Welcome!

Search Authors: Jnan Dash, Shelly Palmer, Carmen Gonzalez, Lori MacVittie, Liz McMillan

News Feed Item

Companies’ Online Behaviour Risks Turning People into ‘Brand Blockers’

Well-intentioned marketers are at risk of inadvertently converting potential customers into ‘brand blockers’ as a result of irritating online behaviour. This is the key finding of new global research into the effectiveness of social media marketing commissioned by Pitney Bowes Software, a global leader in customer data, analytics, communication software and services.

Marketers and consumers failing to see eye to eye on social media. (Photo: Business Wire)

Marketers and consumers failing to see eye to eye on social media. (Photo: Business Wire)

The independent study, conducted by Vanson Bourne, compares social media marketing trends among marketing directors with consumer attitudes to marketing via social media across Australia, France, Germany, the UK and the USA.

The survey reveals that when it comes to external communications, nearly 70% of marketing directors are placing a greater emphasis on social media now than ever before, claiming that one-quarter of their marketing budgets will be allocated to social media activity in 2013.

However, marketers' enthusiasm for using social media is not matched by consumers’ views of social media marketing. Only a quarter use social media to follow and keep up-to-date with certain companies or brands (26%), while most are predominantly on social media to keep in touch with friends and family (78%).

In this context, ‘followed’ brands fare relatively well. Nearly half of social media users (48%) are positive towards receiving their marketing messages. The reverse is true of communications from companies people don’t follow, which 40% say they would be annoyed to receive. What is more, consumers rate unsolicited marketing (‘spam’) and pop-up advertisements as their worst experiences of social media marketing.

Perhaps most worryingly, 65% of consumers surveyed say that they would stop using a brand that upset or irritated them as a result of their social media behaviour.

In contrast, recommendations from online friends hold more sway: 68% said that they investigated these or even made a purchase (15%).

Companies out of touch

When it comes to interacting with brands, the research shows consumers are most interested in discount or money-saving vouchers, new products and services, and upcoming sales and events. Yet these are bottom of the list for marketers, mentioned by fewer than one in ten of those surveyed. Instead, marketing decision-makers highly rate the effectiveness of newsletters, information about the organisation’s social responsibility and customer satisfaction surveys, all of which were least interesting to consumers.

While consumers and marketers were aligned in their emphasis on Facebook as the most popular and trusted social media site, they disagreed about the importance of other social media outlets. Beyond Facebook, marketers devote most of their remaining spend on Twitter (57%) and Google+ (51%). By contrast, consumers prefer YouTube – rated only fifth by marketers – over Twitter and Google+.

“This research is fascinating because it reveals a clear disconnect between the effort marketers are putting into social media and the desire among consumers to engage,” says Kieran Kilmartin, Marketing Director, EMEA & India, Pitney Bowes Software. "Even well-intentioned marketers that persist with old-school 'broadcast' marketing models risk inadvertently turning potential brand ambassadors off, or at worst, triggering them to disengage completely and ultimately become a ‘brand blocker’."

Further UK statistics:

  • UK companies will devote the highest proportion of marketing spend on social media next year, allocating close to half of marketing budgets (47%) to social media in 2013
  • There are marked gaps in marketers’ ability to quantify the impact of their social media initiatives. Two-thirds (66%) see their campaigns as effective but only one-third (33%) are confident that they can establish a link between social media spend and profitability. The UK is the most confident market, with as many as 80% saying their campaigns are effective and 62% claiming that they can establish an impact on profitability.
  • At 78%, the UK was among the most confident regions surveyed in their view that consumers are positive toward social media marketing, only exceeded by France (92%).
  • However, the UK also has the biggest disconnect in terms of social media tactics: UK marketers have the greatest confidence in customer satisfaction surveys (70%), matched by the lowest consumer interest in such communications (10%) globally.
  • While globally, only one-third (33%) overall are confident that they can establish a link between social media spend and profitability, 62% in the UK say they are very well informed of the impact social media activity has on profitability.

To read the White Paper ‘Social media: contrasting the marketing and consumer perspectives’ – download now: http://bit.ly/10fIiYn

– Ends –

About the study

In August and September 2012, Vanson Bourne conducted online interviews with 300 senior marketing decision-makers working in business-to-consumer organisations across five international markets (UK, France, Germany, Australia, USA) and seven economic sectors (Retail, Insurance, Retail Banking, Utilities, Telecoms, FMCG and the Public Sector).

The questionnaire focused on their use of social media as a marketing channel, including aspects such as marketing spend, channels used, social media tactics used, measurement and challenges associated with social media marketing.

At the same time, 3,000 adult consumers in the same regions, who use either use or have previously used social media, were interviewed online to explore corresponding areas of interest, such as which social media they are using, what they are using them for, along with their response to receiving marketing messages and providing personal information.

About Pitney Bowes Software

Pitney Bowes Software (PBS) was formerly Pitney Bowes Business Insight (PBBI).

Pitney Bowes Software provides multichannel solutions that optimise data to create relevant dialogue between organisations and their customers. These solutions enable lifetime customer relationships by integrating data management, location intelligence, sophisticated predictive analytics, rules-based decision making and cross-channel customer interaction management to increase the value of every customer communication while also delivering operational efficiencies.

Pitney Bowes Software is a wholly-owned subsidiary of Pitney Bowes Inc. (NYSE:PBI), a customer communications management technology leader. For more information, please visit www.pitneybowes.co.uk/software and www.pb.com/software.

More Stories By Business Wire

Copyright © 2009 Business Wire. All rights reserved. Republication or redistribution of Business Wire content is expressly prohibited without the prior written consent of Business Wire. Business Wire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

@ThingsExpo Stories
The 3rd International Internet of @ThingsExpo, co-located with the 16th International Cloud Expo - to be held June 9-11, 2015, at the Javits Center in New York City, NY - announces that its Call for Papers is now open. The Internet of Things (IoT) is the biggest idea since the creation of the Worldwide Web more than 20 years ago.
The security devil is always in the details of the attack: the ones you've endured, the ones you prepare yourself to fend off, and the ones that, you fear, will catch you completely unaware and defenseless. The Internet of Things (IoT) is nothing if not an endless proliferation of details. It's the vision of a world in which continuous Internet connectivity and addressability is embedded into a growing range of human artifacts, into the natural world, and even into our smartphones, appliances, and physical persons. In the IoT vision, every new "thing" - sensor, actuator, data source, data con...
Cultural, regulatory, environmental, political and economic (CREPE) conditions over the past decade are creating cross-industry solution spaces that require processes and technologies from both the Internet of Things (IoT), and Data Management and Analytics (DMA). These solution spaces are evolving into Sensor Analytics Ecosystems (SAE) that represent significant new opportunities for organizations of all types. Public Utilities throughout the world, providing electricity, natural gas and water, are pursuing SmartGrid initiatives that represent one of the more mature examples of SAE. We have s...
How do APIs and IoT relate? The answer is not as simple as merely adding an API on top of a dumb device, but rather about understanding the architectural patterns for implementing an IoT fabric. There are typically two or three trends: Exposing the device to a management framework Exposing that management framework to a business centric logic Exposing that business layer and data to end users. This last trend is the IoT stack, which involves a new shift in the separation of what stuff happens, where data lives and where the interface lies. For instance, it's a mix of architectural styles ...
The Internet of Things is tied together with a thin strand that is known as time. Coincidentally, at the core of nearly all data analytics is a timestamp. When working with time series data there are a few core principles that everyone should consider, especially across datasets where time is the common boundary. In his session at Internet of @ThingsExpo, Jim Scott, Director of Enterprise Strategy & Architecture at MapR Technologies, discussed single-value, geo-spatial, and log time series data. By focusing on enterprise applications and the data center, he will use OpenTSDB as an example t...
An entirely new security model is needed for the Internet of Things, or is it? Can we save some old and tested controls for this new and different environment? In his session at @ThingsExpo, New York's at the Javits Center, Davi Ottenheimer, EMC Senior Director of Trust, reviewed hands-on lessons with IoT devices and reveal a new risk balance you might not expect. Davi Ottenheimer, EMC Senior Director of Trust, has more than nineteen years' experience managing global security operations and assessments, including a decade of leading incident response and digital forensics. He is co-author of t...
The Internet of Things will greatly expand the opportunities for data collection and new business models driven off of that data. In her session at @ThingsExpo, Esmeralda Swartz, CMO of MetraTech, discussed how for this to be effective you not only need to have infrastructure and operational models capable of utilizing this new phenomenon, but increasingly service providers will need to convince a skeptical public to participate. Get ready to show them the money!
The Internet of Things will put IT to its ultimate test by creating infinite new opportunities to digitize products and services, generate and analyze new data to improve customer satisfaction, and discover new ways to gain a competitive advantage across nearly every industry. In order to help corporate business units to capitalize on the rapidly evolving IoT opportunities, IT must stand up to a new set of challenges. In his session at @ThingsExpo, Jeff Kaplan, Managing Director of THINKstrategies, will examine why IT must finally fulfill its role in support of its SBUs or face a new round of...
One of the biggest challenges when developing connected devices is identifying user value and delivering it through successful user experiences. In his session at Internet of @ThingsExpo, Mike Kuniavsky, Principal Scientist, Innovation Services at PARC, described an IoT-specific approach to user experience design that combines approaches from interaction design, industrial design and service design to create experiences that go beyond simple connected gadgets to create lasting, multi-device experiences grounded in people's real needs and desires.
Enthusiasm for the Internet of Things has reached an all-time high. In 2013 alone, venture capitalists spent more than $1 billion dollars investing in the IoT space. With "smart" appliances and devices, IoT covers wearable smart devices, cloud services to hardware companies. Nest, a Google company, detects temperatures inside homes and automatically adjusts it by tracking its user's habit. These technologies are quickly developing and with it come challenges such as bridging infrastructure gaps, abiding by privacy concerns and making the concept a reality. These challenges can't be addressed w...
The Domain Name Service (DNS) is one of the most important components in networking infrastructure, enabling users and services to access applications by translating URLs (names) into IP addresses (numbers). Because every icon and URL and all embedded content on a website requires a DNS lookup loading complex sites necessitates hundreds of DNS queries. In addition, as more internet-enabled ‘Things' get connected, people will rely on DNS to name and find their fridges, toasters and toilets. According to a recent IDG Research Services Survey this rate of traffic will only grow. What's driving t...
Connected devices and the Internet of Things are getting significant momentum in 2014. In his session at Internet of @ThingsExpo, Jim Hunter, Chief Scientist & Technology Evangelist at Greenwave Systems, examined three key elements that together will drive mass adoption of the IoT before the end of 2015. The first element is the recent advent of robust open source protocols (like AllJoyn and WebRTC) that facilitate M2M communication. The second is broad availability of flexible, cost-effective storage designed to handle the massive surge in back-end data in a world where timely analytics is e...
Scott Jenson leads a project called The Physical Web within the Chrome team at Google. Project members are working to take the scalability and openness of the web and use it to talk to the exponentially exploding range of smart devices. Nearly every company today working on the IoT comes up with the same basic solution: use my server and you'll be fine. But if we really believe there will be trillions of these devices, that just can't scale. We need a system that is open a scalable and by using the URL as a basic building block, we open this up and get the same resilience that the web enjoys.
We are reaching the end of the beginning with WebRTC, and real systems using this technology have begun to appear. One challenge that faces every WebRTC deployment (in some form or another) is identity management. For example, if you have an existing service – possibly built on a variety of different PaaS/SaaS offerings – and you want to add real-time communications you are faced with a challenge relating to user management, authentication, authorization, and validation. Service providers will want to use their existing identities, but these will have credentials already that are (hopefully) i...
"Matrix is an ambitious open standard and implementation that's set up to break down the fragmentation problems that exist in IP messaging and VoIP communication," explained John Woolf, Technical Evangelist at Matrix, in this SYS-CON.tv interview at @ThingsExpo, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
P2P RTC will impact the landscape of communications, shifting from traditional telephony style communications models to OTT (Over-The-Top) cloud assisted & PaaS (Platform as a Service) communication services. The P2P shift will impact many areas of our lives, from mobile communication, human interactive web services, RTC and telephony infrastructure, user federation, security and privacy implications, business costs, and scalability. In his session at @ThingsExpo, Robin Raymond, Chief Architect at Hookflash, will walk through the shifting landscape of traditional telephone and voice services ...
Explosive growth in connected devices. Enormous amounts of data for collection and analysis. Critical use of data for split-second decision making and actionable information. All three are factors in making the Internet of Things a reality. Yet, any one factor would have an IT organization pondering its infrastructure strategy. How should your organization enhance its IT framework to enable an Internet of Things implementation? In his session at Internet of @ThingsExpo, James Kirkland, Chief Architect for the Internet of Things and Intelligent Systems at Red Hat, described how to revolutioniz...
Bit6 today issued a challenge to the technology community implementing Web Real Time Communication (WebRTC). To leap beyond WebRTC’s significant limitations and fully leverage its underlying value to accelerate innovation, application developers need to consider the entire communications ecosystem.
The definition of IoT is not new, in fact it’s been around for over a decade. What has changed is the public's awareness that the technology we use on a daily basis has caught up on the vision of an always on, always connected world. If you look into the details of what comprises the IoT, you’ll see that it includes everything from cloud computing, Big Data analytics, “Things,” Web communication, applications, network, storage, etc. It is essentially including everything connected online from hardware to software, or as we like to say, it’s an Internet of many different things. The difference ...
Cloud Expo 2014 TV commercials will feature @ThingsExpo, which was launched in June, 2014 at New York City's Javits Center as the largest 'Internet of Things' event in the world.