How To Measure and Track the Business Value of Community

Measuring, Tracking, Amplifying the Business Value of Community

Scott Hirsch VP Product Marketing @getsatisfaction #GetSuccess

@getsatisfaction 2 #GetSuccess @dscotthirsch

Purpose of Session

! Introduce Concept of Value Measurement –  Discuss community value drivers

–  Associate value drivers with metrics

–  Talk about methods to assess community value by use case

! Two Examples –  #1 CPG Brand: Method to gather detailed metrics on marketing impact

–  #2 Business Software: Method to calculate “ROI” on support impact


Get Satisfaction communities enable companies to be at the center of the conversation … Conversations are how

communities deliver value


Conversa)on Value = CONTENT

•  Created by real people, in their language •  Addressing real-‐world needs with shared

knowledge •  Highly discoverable … both in context and

with SEO


Conversa)on Value = PEOPLE

•  Consumers/customers – •  star the “best” content, •  build reputa)on around exper)se

•  Business users – •  post replies, •  set status and mark the “official” answer, •  curate content and rally internal support, •  Beknight champions


The Value in the Dialogue

•  Bi-‐direc)onal •  Has purpose •  Has an outcome •  Asynchronous

(happens even when you’re not listening)


Service/Support and Customer Experience

Sample: Community Value Metrics

Marketing and SEO

Feedback and Collaboration

! Ticket deflection

! Improved first call resolution

! Enhanced agent efficiency

! Improved CSAT

! Improved purchase intent

! Improved brand perceptions

! Lower-cost content to capture and score leads

! More organic search referral traffic

! Faster time to market

! Less re-work

! Real-time, ongoing ideation


Marketing and SEO


! Make your website more engaging

! Capture customer content for marketing

! Improve your search performance (SEO)

Value Drivers: Marketing and SEO

Improve brand perceptions Increase customer satisfaction

Improve purchase intent Increase conversion rates

Decrease SEM spend Increase pageviews


! Implementation –  On Facebook Brand page under “Ask <Us>”

–  On the brand website under “Contact Us”

–  Community had been “live” for 6 months at time of study

! Community management approach –  Consumer relations does community moderation

–  Brand/PR is in charge of community management strategy and integration with other community initiatives

–  Deliberate effort to promote GetSat use on Facebook page

Example #1: Consumer Brand (CPG) Community Details


Example #1: CPG Measurement of Specific Metrics*

Que

s%on

s Prob

lems

Take-‐aways -‐ •  Customers who encountered the community had higher

sa)sfac)on and purchase intent scores than the mean. •  Only 11% of customers were unable to get their

ques)ons answered.

* 6 month longitudinal survey conducted by Foresee Results


! Payout Model –  Calculated a conservative 3-10x payout on community interaction

–  Value (purchase intent + CSAT) * Reach (Facebook+SEO+website)

–  Allows the brand to assign a $$ value to each community interaction

! Impact –  Implementing community on product pages of brand website to reap

benefit of purchase intent improvement

–  Community recommended to all brands as always-on infrastructure for consumer relations

–  Replacing KB and email with community in certain brand/country combinations

Example #1: CPG Marketing Value Calculations


Service and Support


! Reduce need for 1to1 support channels

! Create better self-service experiences

! Enable peer-to-peer support

Value Drivers and Metrics: Service and Support

Deflect support tickets/issues Increase customer satisfaction

Decrease in repeat questions Enhance shared knowledge

Increase agent efficiency Increase “self-direction” score


! Implementation –  Communities in English and Spanish

–  On the product website under “Learn & Support”

–  On the Zendesk portal under “Ask the Community”

–  Community has been “live” for 3 years.

! Community management approach –  Prezi acquires 1 million new users / month

–  Full-time community management, integrated with support team

–  Active users of CHA, powered by Gooddata

–  Actively identify and enable customer “champions” to provide peer-to-peer support

Example #2: Prezi - Online SaaS Software Community Details


Example #2: Prezi ROI Hypothesis

Deflection has “Direct” and “Indirect” components

–  Direct = People who asked and got an answer

–  Indirect = People who found their answer without asking

! Community = high efficiency support channel

! Value = (deflected tickets) x ($/ticket cost)



Example #2: Prezi Source Data (CHA)

Assumption: 90% of total replied-to topics are “answered” or “solved” Last 6 months = 3,725


90% of total Q&P pageviews (last 6 months) = 741K

Example #2: Prezi Source Data (CHA)


Example #2: Prezi Actual Deflection Value - Deflections

6-‐Mo. Count Annualized

Gross Topic Counts:

Direct -‐ “Solved” Topics 3,725 7,450

Indirect – Pageviews 741,000 1,482,000

Gross 6-‐Month Deflec)on 1,498,450

High/Low Deflec)on Totals:

60% (op)mis)c) 899,070

10% (very conserva)ve) 149,845

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Example #2: Prezi Support Value of Community

$8/Ticket $3/Ticket

Op)mis)c @ 899,0700 Deflec)ons: $7.2M $2.7M

Conserva)ve @ 149,845 Deflec)ons $1.2M $450K

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Is this the ROI? You could easily calculate an ROI … just divide by annual costs (mostly software + staff)


! What is the value of the content your customers post? –  How do you know what content is valuable?

–  How could you better leverage this content?

–  How can you syndicate this content for maximum impact

! What is the value of the people in the community? –  How do you invite customers to have conversations?

–  Who are you best community members? How do you recognize them?

–  How do you encourage them to participate more?

Take-away for your company … Content + People = Conversation


Questions

Answers.

http://gsfn.us/t/3zaqp Or search for the topic in our community: “How do you measure the value of your community?”

Technology

How To Measure and Track the Business Value of Community