A cross category research ( ROMI Media , Research division,2022 , measured the impact of several marketing vehicles on people’s consumption decisions in main categories / industries. (Romi Media, research division,2022).
The research was focused on four main vehicles:
- SPOQ – Social Proof Of Quality. This vehicle is based on users’ reviews, and combines sentiment and volume of user recommendations. Ranking products and services by user’s recommendation will be a leading factor in the next phase of Digital Marketing.
- Content Marketing. Brands and Services provide consumers with relevant high value content and consequently develop ongoing relations with the audience
- UIA – User’s Initiated Advertisements. The commercial information is initiated by users search for a specific product or service.
- ATL / One To Many Advertisements. This is a traditional mass media, commercial interaction, in which one source (brand, company, service provider) tries to convince its audience to choose its product or service. This vehicle refers to offline or digital ads such as TV, magazines, radio, websites and social ads, etc.
The research focused on 12 main categories:
Grocery
Pharma
Health care
Beauty
Convenience stores
Personal services (lawyers, accountants, etc.)
Travel
Leisure
Education
Finance
Media & Content
CPG
Retail
On Line Retail
Automotive
Real estate
Home Products
Personal products
The research’s main conclusions
In some of the categories, traditional advertising was found to have no impact.
SPOQ – Social Proof Of Quality vehicle, has major Impact on people when they have to take decisions in the fields of leisure, travel, consumer services (such as lawyers, coachers, psychologists, dieticians and accountants), education, healthcare, online retail, pharma and finance. It seems that in these categories, one should invest his entire marketing budget in the evolving discipline of SPOQ and Content and avoid any One To Many / ATL activity.
According to this research, traditional advertising makes an impact and should be the leading marketing vehicle in the Consumers Package goods.
UIA / Search engine marketing should be included in your activity if you are active in the categories of online stores, grocery, personal products, CPG, real estate and automotive finance, software and electronics.
This research may help marketers choose what vehicles will lead their marketing plan according to their main category. Traditional advertising should only play a minor role in some of the high involvement category (products and services) activities.
Online retailers should invest in SPOQ !!!!!
People’s reviews influence our decisions much more than any creative advertisement. The SPOQ Index is based on sentiment and volume, which we all use when choosing a hotel for example, on sites such as Booking and Expedia. The travel industry is leading the usage of SPOQ as a prime tool to help us in our purchase decisions. Leisure brands should invest in improving their SPOQ Index instead of launching a new expensive TV campaign. This trend will take over all other categories and will change the relations between companies and people.
How can companies improve their SPOQ Index?
- Set genuine relationship with users and customers. An in-depth relationship ensures users are happy to share their (good) experience about your products and services.
- Brands should create friendly recommendations areas on their sites and apps
- Brands should ask users to share their experience and consider some personal reward for their contribution.
- Loyalty programs can work very well in improving brand’s SPOQ Index.
- Brands should keep a fruitful dialog with customers on their site. That will encourage users to write and share.
- Brands should include users’ comments and recommendations as a main factor in their campaign.