Seven Reasons Businesses Lose Customers

A May 2014 onliSeven Reasons Businesses Lose Customersne survey conducted by Harris Poll points out seven reasons businesses lose customers.

Poor customer service is costing American consumers 30.8 work hours which translate into $108 billions a year in missed work time and productivity

Poor customer service costs a lot more to businesses and brands when you take into account that 35% cancelled their service or stopped using the brand or business and factor in a customer’s long term value (LTV), lost referrals or worse, since 13% have taken to social media

What frustrated them the most?

  • 44% waiting for a service rep
  • 43% being put on hold
  • 38% feeling that service representatives didn’t know how to fix problems.
  • 35% service rep did not understand their problems
  • 32% having to call back because the problem wasn’t fixed
  • 21% billing issues
  • 12% trying to schedule an appointment

“These service frustrations are significantly impacting service businesses today because consumers are becoming more and more likely to demand not just a great price but a great service experience,” Timms said. “Companies that offer the best experience in all parts of the service process will be the ones that retain their customers, grow, and succeed.”

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Mothers With Children Under 5 Most Active on Social Media

moms with young children are often more active on social mediaA new analysis from Experian Marketing Services found that moms with children under the age of 5, are often more active on social media, more likely to shop using mobile devices and more open to engage with brands across digital touch-points than consumers at large.

Moms with young kids represent a highly active and digitally sophisticated segment of consumers who are eager to connect with brands and share their experiences through multiple platforms Continue reading

Google Plus Social Media Relevance

Google + is an interesting beast and as a platform, the question remains, what is Google Plus social media relevance?

As more and more data comes out, the question is still up in the air.  It’s not that Google is not trying, they have been shoving Google + down our throats by integrating (very poorly)successful social media properties like Blogger, Picasa, Google Places and You Tube into one platform:  Google +

In doing so Google + has shown impressive growth in terms of registered users but when it comes to social media, growing your base is only one part of the business model.  Most social media platform do so by providing a platform where users want to spend time and and share content with their friends increasing relevancy of the platform and creating an incentive for users’ friends to join.

Google failed at that part and fell back on the second option; using properties users love to use and forcing them into Google +.  It could have worked if Google had not made it more difficult to use the already successful properties and tried to make it as difficult as possible to share them in platforms other than Google +.

The result?  A recent study from Shareaholic shows that high user growth is not translating in higher use, engagement and sharing. Continue reading

How Consumers Find Websites

With the on going debate on SEO vs SEM vs Social, a recent study by Forrester Research released in July 2013 sheds some very interesting light on how consumers find websites  The study was conducted in 2012 and show the fast rise of social search

  • 54% of consumers find websites through natural search results, up from 50% in 2011 but still 7% less than in 2010
  • Social networks are the second-most preferred discovery resource, with 32% using them in 2012, up from 25% in 2011 and 18% in 2010.
  • 50% of 18-24 year old and 43% of 24 to 32 year old are using social media as their main internet discovery resource
  • Links are the third important means of website discovery, with 28% saying they found websites from links on other sites, down from 31% last year.
  • Just 18% of those surveyed said that they use ads for website discovery, an improvement from 2011, when paid search was the least popular form of website discovery, with only 8%
  • One-third of Americans are using Facebook and Twitter for discovery.

How consumers find websites

Do CMOs Have The Wrong Priorities?

A recent study by Forrester Research show that CMOs are more interested in launching new products and acquire new customers than keeping the ones they already have.

CMOs ranked customer retention 5th, increasing customer lifetime value came 8th and increasing customer satisfaction and advocacy 9th, which is surprising since retaining customer and increasing their lifetime value is a lot cheaper than gaining new customers. The same goes for increasing customer satisfaction.

In addition, studies have shown that satisfied customers are easier to turn into evangelist is a lot more effective than traditional marketing at generating revenues.

The study begs to ask, do CMOs have the wrong priorities?

CMOs top priorities

Twitter, Pinterest, Instagram Differing Social Media Demographics

Twitter, Pinterest, Instagram are popular with differing demographics

eMarketer estimates that by the end of 2013 there will be 163.5 million social network users in the US, and unsurprisingly they are a diverse group.

A December 2012 study of social networking demographics from the Pew Internet & American Life Project found that Hispanic internet users were most likely to identify themselves as social network users, at 72% penetration, vs. 68% of black and 65% of white internet users. Pew also found that higher concentrations of women than men were social networkers by a margin of nearly 10 percentage points: 71% vs. 62%.

Social networks such as Twitter, Instagram and Pinterest seem to be attracting a particularly diverse coalition of users. Black internet users, for instance, were significantly more likely than average to use Twitter—while 16% of internet users overall said they used the service, 26% of black internet users said they did so. Hispanic internet users were also slightly overrepresented: 19% reported using the service.

Twitter US demographics

Pew found this phenomenon even more pronounced on photo-sharing service Instagram, now owned by Facebook. Black internet users were nearly twice as likely to use it as the average internet user: 23% vs. 13% overall. Hispanic internet users overindexed as well, while whites were slightly less likely than the average internet user to be found on the site. Pew also found Instagram’s users skewed slightly female: 16% of women said they were on it, compared to 10% of men.

Instagram US Demographics

The study confirmed Pinterest’s reputation as skewing largely female: Fully one-quarter of female internet users said they were on it, compared to just 5% of male internet users.

Pinterest US demographics

Pinterest is also diverse in another way: While most emerging social networking sites skew heavily toward younger users, Pinterest attracts internet users in a broader range of age groups. With its friendly interface and visual orientation, Pinterest is popular with the 18- to 29-year-olds that frequent most social

 

Original article

Two-thirds increasing spending on paid social media ads

Two-thirds increasing spending on paid social media ads

Advertisers’ appetites for paid advertising on social media sites shows no sign of abating in 2013. According to a study conducted for digital brand measurement provider Vizu by Digiday, 64% of US advertisers planned to increase their paid social media ad budgets this year, with just 2% saying they intended to spend less money in 2013 than they did in 2012 on paid social ads.

Changed in paid social media ads in 2013

Most of those increasing their spending on ads on social sites planned to do so by 10% or less. But a significant number were making even larger investments: 26% of respondents reported planning to increase their social media ad spending by 11% or more.

Seven in 10 respondents said they would spend between 1% and 10% of their online budget on social ads, suggesting that for most it is a present, but not a dominant part of the marketing mix. For 13% of respondents, however, it plays a larger role: This group spends 21% or more of their online budgets on paid social media advertising.

Overall, eMarketer estimates that US advertisers will spend $4.1 billion on paid social media ads this year, rising to $5 billion in 2014.