{"id":2695,"date":"2014-04-15T13:20:52","date_gmt":"2014-04-15T17:20:52","guid":{"rendered":"http:\/\/www.naylor.com\/associationadviser\/?p=2695"},"modified":"2014-04-15T13:20:52","modified_gmt":"2014-04-15T17:20:52","slug":"gain-strategic-insight-digital-metrics","status":"publish","type":"post","link":"https:\/\/www.naylor.com\/associationadviser\/gain-strategic-insight-digital-metrics\/","title":{"rendered":"How to Gain Strategic Insight from Digital Metrics"},"content":{"rendered":"<p><img decoding=\"async\" style=\"font-size: 10pt; line-height: 1.5em; margin-right: 10px; margin-bottom: 30px;\" title=\"Stephen D. Rappaport\" alt=\"\" src=\"http:\/\/www.naylornetwork.com\/NAY-ADVISER\/assets\/steve%20rappaport%20headshot2.jpg\" width=\"100px\" height=\"100px\" align=\"left\" \/><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\"><span style=\"font-size: 10pt;\">Few topics give association executives more fits than choosing metrics\u2014the counts, percentages and ratios that are supposed to measure the performance of digital initiatives. The great majority of digital metrics put a number on tactical results\u2014the things that campaigns encourage people to do, such as opening emails, clicking links, reading pages and viewing videos, posting and commenting, sharing, downloading content, installing apps, liking, checking-in, and friending, connecting or following.<\/span><\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">But where is the strategic insight?<\/span><\/p>\n<p><span style=\"font-size: 13px;\">Missing in action.<\/span><br \/>\n<img decoding=\"async\" style=\"font-size: 10pt; line-height: 1.5em;\" title=\"\" alt=\"\" src=\"http:\/\/www.naylornetwork.com\/NAY-ADVISER\/assets\/tweetables.jpg\" \/><\/p>\n<table style=\"border-collapse: collapse; width: 95%; margin: 5px; border: 1px solid black; background-color: #dcdcdc;\" width=\"\" cellspacing=\"3\" cellpadding=\"3\" align=\"center\">\n<tbody>\n<tr>\n<td style=\"border: 1px solid black;\">\n<ul>\n<li><span style=\"font-size: 10pt;\">Don&#8217;t fall into the trap of optimizing to platform and network metrics.<a href=\"http:\/\/ctt.ec\/bak3D\"><img decoding=\"async\" alt=\"Tweet: Don't fall into the trap of optimizing to platform and network metrics. http:\/\/ctt.ec\/VORU3+ Via @NaylorLLC\" src=\"http:\/\/clicktotweet.com\/img\/tweet-graphic-1.png\" width=\"21\" height=\"21\" \/><\/a><\/span><\/li>\n<\/ul>\n<ul>\n<li><span style=\"font-size: 10pt;\">Most digital metrics report tactical results, not strategic impacts that achieve objectives.<a href=\"http:\/\/ctt.ec\/RGNU8\"><img decoding=\"async\" alt=\"Tweet: Most digital metrics report tactical results, not strategic impacts that achieve objectives. http:\/\/ctt.ec\/GJA5N+ Via @NaylorLLC\" src=\"http:\/\/clicktotweet.com\/img\/tweet-graphic-1.png\" width=\"21\" height=\"21\" \/><\/a><\/span><\/li>\n<\/ul>\n<ul>\n<li><span style=\"font-size: 10pt;\">For strategic insight, develop a theory about how digital supports your objectives, then develop a measurement framework and fit metrics to it.<a href=\"http:\/\/ctt.ec\/9fOPb\"><img decoding=\"async\" alt=\"Tweet: Develop a theory about how digital supports your objectives, then develop a measurement framework and fit metrics to it. http:\/\/ctt.ec\/9fOPb+\" src=\"http:\/\/clicktotweet.com\/img\/tweet-graphic-1.png\" width=\"21\" height=\"21\" \/><\/a><\/span><\/li>\n<\/ul>\n<ul>\n<li><span style=\"font-size: 10pt;\">Challenge your digital experts to explain how digital works for your association, why it works and how you know it works.<a href=\"http:\/\/ctt.ec\/CcdEB\"><img loading=\"lazy\" decoding=\"async\" alt=\"Tweet: Challenge your digital experts to explain how digital works for your association, why it works and how you know it works. http:\/\/ctt.ec\/CcdEB+\" src=\"http:\/\/clicktotweet.com\/img\/tweet-graphic-1.png\" width=\"21\" height=\"21\" \/><\/a><\/span><\/li>\n<\/ul>\n<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p align=\"left\"><span style=\"font-size: 10pt;\">The reason? Most brands and associations aim to maximize to suppliers\u2019 metrics, such as likes or followers, rather than to their own brand objectives.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Why is that? We tend to think that metrics from social, mobile, Web or email vendors have fundamental meanings, as scientific measures do. But supplier metrics are different: They derive from their supplier business models and their assumptions about how their platform or service works. Views, likes, shares, social clicks, friends and such are really &#8220;endometrics,&#8221; as media authority and mathematician Gilles Santini calls them. These metrics describe a system in its own terms, not according to some objective standards.<\/span><\/p>\n<p align=\"left\"><span style=\"font-weight: bold; font-size: 10pt;\">Like, what are you measuring?<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">A social network that talks up the philosophy of engagement, word-of-mouth, liking, implied endorsements from friends, contacts or connections, or sharing as drivers of advertising effectiveness, for example, will capture data and report metrics along those lines. When their philosophies are promoted as &#8220;how advertising works on their platform&#8221; by themselves or by agencies, consultants or gurus, then brands quite naturally work hard to optimize one or more of the metrics available for that platform to improve their chances for success.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Consider the ubiquitous &#8220;like.&#8221; How many times has a colleague or partner said to you, &#8220;We have to get more likes!&#8221; What, however, is the business reason? Usually the answer is, &#8220;Because more likes are better.&#8221; But are they?<\/span><\/p>\n<p align=\"left\"><span style=\"font-weight: bold; font-size: 10pt;\">Real-world example<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Take this example: Brand X is targeting greater growth by reaching light-users, brand-switchers and nonusers, and decides upon a campaign to increase likes. Independent studies by Karen Nelson-Field and United Parcel Service show that people who like a brand are disproportionately the brand\u2019s loyalists or deal-seekers. Likers are not\u2014as often assumed\u2014a diverse group of people, all having warm feelings towards a particular brand. Brand X\u2019s strategy to increase likes unintentionally risks transforming a growth play into a volume and promotion play. Undoubtedly it will achieve results, but probably not the growth outcomes senior management seeks. (However, a brand aiming for volume gains or offering a sales promotion may find increasing likes attractive).<\/span><\/p>\n<p align=\"left\"><span style=\"font-weight: bold; font-size: 10pt;\">Three steps to strategic insight through digital metrics<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt; font-weight: bold;\">1. Develop a theory about how digital media should help your association achieve its goals, such as member recruitment, retention, engagement or conference attendance.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Let\u2019s take an example from packaged goods. Here a leading food brand sought to increase sales through a stepped-up use of social media. But the brand realized that merely counting recipe downloads or coupon redemptions would not tell a story about its initiative\u2019s impact. Instead, it adopted an evidence-based theory that connected levels of brand advocacy to brand sales: Increases or decreases in brand advocacy led to increases or decreases in sales 30 days later.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt; font-weight: bold;\">2. Create a measurement framework based on your theory.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">The CPG brand recognized that brand advocacy reflected a high level of consumer involvement. The brand identified four stages of increasing involvement and precisely defined them: awareness (a consumer passively receiving message about the brand), participation (a simple effort to interact with the brand), engagement (greater or more frequent interaction with the brand and sharing) and advocacy (the consumer is committed to the brand and is speaking\u2014unsolicited\u2014on behalf of the brand with other consumers).<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt; font-weight: bold;\">3. Select and fit metrics to the framework.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Defining the stages enabled the CPG brand to select the most suitable metrics for their purpose. Importantly, it chose a manageable set\u201413 in all\u2014to monitor and track. It knew that having an economical set would result in a sharp analytic focus and tell a tight narrative about the performance of its initiatives.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Two examples show how to fit measures into the framework. For the awareness stage, the brand tracked three metrics: impressions served, reach and brand mention amplification. Here the CPG brand measures awareness with traditional display advertising exposure measures and one social one. Their advocacy metrics tell a different story. For this stage, it analyzes trends in positive user-generated content on the brand\u2019s behalf, net promoter score and the number of social recommendations to friends. In contrast to awareness, these measures are social through and through and embody action.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">This straightforward scheme enabled the CPG brand to go away from saying, &#8220;this looks good,&#8221; &#8220;this went up&#8221; and &#8220;this went down,&#8221; to understanding what is going on, what it means and what to do. If participation stage measures are going up, but advocacy measures are going down, the brand knows how to interpret those changes in the context of its strategy and theory and which steps to take.<\/span><\/p>\n<p align=\"left\"><span style=\"font-weight: bold; font-size: 10pt;\">Not for consumer brands only<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">The principles of a working theory, measurement framework and fitting metrics apply equally to associations. I worked with professional associations for nearly a decade. I often heard comments that the digital strategy teams dutifully reported retweets, follower counts and the rest, but no one knew what they meant other than &#8220;we got more, and that is good&#8221; or what action to take, other than &#8220;let\u2019s get more.&#8221; If they offered a theory, framework and metrics, then everyone would have known what the numbers meant, their business impact and what executives should do to ensure success.<\/span><\/p>\n<p align=\"left\"><span style=\"font-weight: bold; font-size: 10pt;\">Conclusion<br \/>\n<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt;\">Faced with mounting pressure to build, grow and sustain associations, digital initiatives take on greater importance by the day. Association leaders need analyses that point out the impact of their strategies on performance and move away from feasting on the eye candy of pretty numbers for tactics. Developing theories and frameworks need not be daunting or mysterious: Begin by asking the question, &#8220;how and why digital initiatives should work to help us achieve our association goals, and how will we know we are making progress?&#8221; Answer that question and you will be on your way to understanding what metrics really mean and what steps to take next.<\/span><\/p>\n<p align=\"left\"><span style=\"font-size: 10pt; font-style: italic;\"><a href=\"mailto:steve@sdrconsultingllc.com\">Stephen D. Rappaport<\/a>, senior consultant of <a href=\"http:\/\/www.srappaport.com\">Stephen D. Rappaport Consulting, LLC<\/a>, is author of <\/span><span style=\"font-size: 10pt;\"><span style=\"font-size: 10pt;\">The Digital Metrics Field Guide: The Definitive Reference for Brands using the Web, Social Media, Mobile Media, or Email <\/span><\/span><span style=\"font-size: 10pt; font-style: italic;\">(ARF 2014), and also of <\/span><span style=\"font-size: 10pt;\"><span style=\"font-size: 10pt;\">Listen First! <\/span><\/span><span style=\"font-size: 10pt; font-style: italic;\">(Wiley 2011) and <\/span><span style=\"font-size: 10pt;\"><span style=\"font-size: 10pt;\">The Online Advertising Playbook<\/span><\/span><span style=\"font-size: 10pt; font-style: italic;\">(Wiley 2007). Prior to forming his consultancy, Stephen headed the <a href=\"http:\/\/thearf.org\/knowledge.php\" target=\"_blank\">Advertising Research Foundation\u2019s Knowledge Center<\/a>.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Challenge yourself to learn how digital works for your association, why it works and how to develop a measurement framework that supports your objectives.<\/p>\n","protected":false},"author":59,"featured_media":2701,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6],"tags":[400,401,5,402],"class_list":["post-2695","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology","tag-digital-experts","tag-digital-metrics","tag-measurement","tag-results"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How to Gain Strategic Insight from Digital Metrics - Association Adviser<\/title>\n<meta name=\"description\" content=\"Challenge yourself to learn how digital works for your association, why it works and how to develop a measurement framework that supports your objectives.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.naylor.com\/associationadviser\/gain-strategic-insight-digital-metrics\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"How to Gain Strategic Insight from Digital Metrics - Association Adviser\" \/>\n<meta property=\"og:description\" content=\"Challenge yourself to learn how digital works for your association, why it works and how to develop a measurement framework that supports your objectives.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.naylor.com\/associationadviser\/gain-strategic-insight-digital-metrics\/\" \/>\n<meta property=\"og:site_name\" content=\"Association Adviser\" \/>\n<meta property=\"article:published_time\" content=\"2014-04-15T17:20:52+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.naylor.com\/associationadviser\/wp-content\/uploads\/sites\/2\/2014\/04\/Steve-Rappaport-thumbnail.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"105\" \/>\n\t<meta property=\"og:image:height\" content=\"105\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Stephen D. 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