Speaking Sensis

The Sensis® Social Media Report backs up the views of social media experts by showing that engagement is critical to social marketing.

One of the most significant findings of the Sensis® Social Media Report is that consumer uptake of social media far outstrips business uptake. This leads to the conclusion that Australian businesses need to do more to ‘follow the audience’.

But, how?

For a long time, the experts have been telling us the secret is engagement: being able to connect with consumers in a relationship that benefits all.

And the Sensis® Social Media Report bears this out.

Overall, Australian social media users seem roughly split on the legitimacy of advertising in social media. About half don’t like it, while the other half either don’t mind or welcome it.

That’s not so bad. But the skies become less sunny when you consider that only 29% of people say they take notice of advertising on social media. And (coincidentally), only 29% say they sometimes click on social media ads.

In other words, while the acceptance of social media advertising isn’t too bad, we’ve got a fair way to go before it becomes really effective.

So does that mean the social media doors are closed for marketers?

Absolutely not!

You see, in the midst of all this advertising apathy, 63% of social media users say they read online reviews and blogs when searching for information about products and services.

And those consumers expect to read an average of six reviews before making a decision.

But that’s not all. Social media users also have a voracious appetite for something extra. 57% want discounts, 45% want give-aways, 41% want invitations to events and 36% want coupons.

In other words, while social media users aren’t reacting to ads, they’re really big on information and incentives.

And that’s where the opportunity lies. There’s value to be had for marketers who try to be useful, rather than try to be snappy.

And that value can be magnified if you can meet people’s needs so well that they openly advocate for you. That’s because, 27% of Internet users have provided online ratings while 24% have posted an online review or blog.

As everyone keeps saying, the potential for social media marketing is huge. But to unlock that value, we need to see consumers as targets for service, not targets for spin.

Okay, have a guess. Which Australian state is first past the post when it comes to social media?

Too easy. With their higher population and access to technology, it’d be NSW and Victoria in a canter.

Right?

Wrong.

In fact the Sensis® Social Media Report has found that our two most populous states sit in the middle when it comes to most measures of social media uptake.

And that there’s one state that stands head and shoulders above the rest… Tasmania.

To show you what I mean, here is a roll call of leading states in the social media stakes.

Most connected: Tasmania
100% of Tasmanians access the Internet. The national average is 94%.

Most social (consumers): Tasmania (by a mile!)
44% of Tasmanian social media users are networking every day compared to a national average of only 30%. However, they average 160 ‘friends, contacts or followers’, which is well under the national average of 217.

Most social (businesses): ACT and Queensland
20% of Queensland and ACT businesses have a social media presence, which is way ahead of the national average of 15%.

Most friendly: Victoria
Victorian social media users have an average of 241 friends or followers each compared to 217 nationally.

Most brand friendly: Tasmania
Tasmania walloped the other states. 39% of Tasmanian social media users follow sites or groups associated with brands, compared to a national average of 20%.

Most bargain friendly: Queensland
16% of Queensland social media users have used group buying sites compared to a national average of 12%.

Most vocal: Tasmania
37% of Tasmanian social media users have written an online review or blog about their views on a product or service. This is way above second placed Northern Territory (28%) and eclipses the national average of 24%. Meanwhile, 67% of Tasmanian social media users have used online reviews or blogs to research product purchases. This is second only to Western Australia on 69%.

I’ve been thinking what might be behind these trends. Is Tassie’s very high uptake of the Internet (100%, as I mentioned before) driving all this social media activity? Or is there a sense of isolation that social media might be remedying? (Interestingly, social media take-up is also relatively strong in NT). Maybe it’s all of the above, but whatever it is, Tasmanians are the savvy social media users to watch!

The Sensis Social Media Report, which was released last week in conjunction with the Australian Interactive Media Indsutry Association, had some interesting things to say about social media trends among older Australians.

HELPING YOU STAY IN TOUCH

It’s no surprise that the uptake of social networks in Australia is heavily weighted to teens and young adults. According to the Sensis Social Media Report (which is available for free download from the Sensis corporate site), 93% of 14 – 29 year olds have used social media at some point compared to only 31% for over 65s.

While uptake maybe relatively low, the reasons why middle aged and senior Australians are using social media make for interesting reading.

Their reasons suggest that social media could have an enormous role to play in enriching the lives of older Australians in the years to come.

Consider this:

• 60% of over 50s use social media to share photos or videos. This is second only to 20 – 29 year olds and well above the 56% for all Australians.
• 18% of over 65s use social media to meet new friends – this proportion is exceeded only by 14 – 29 year olds.
• 14% of over 65s are using social media ‘to find people with the same interests that you have’. That’s bang on the average for all people and well ahead of 20 – 39 year olds and 50 – 64 year olds.

Growing old must be difficult for many Australians. You spend decades building a life, a family and a network of friends; only to find that they slowly ebb away due to an increasing loss of mobility.

I’ve seen this myself over the last few years. Before they made the trip to aged care, I watched my parents gradually become prisoners in their own home. Due to growing immobility, their ability to socialise – something the rest of us take for granted – became more and more difficult; to the point where they only rarely left the house and hardly ever saw their friends.

Social networks bring with them an enormous opportunity to alleviate the loneliness of advancing age. They offer a way to talk, share and even play with family and friends regardless of distance and mobility issues.

Which, in an ageing country like Australia, could become very important in the future.

HELPING YOU SHOP

Of course, many middle aged and senior Australians are as mobile as ever and living very active lives.

Which leads to another interesting observation about the use of social media in Australia.

You see, Australians over the age of fifty are showing a tendency to rely heavily on social media for purchase decisions.

• 17% of over 65s use social media to research holiday destinations or travel offers: the highest percentage for all age groups
• And 17% of 50 – 64 year olds, use social media ‘to research other products or services you might want to buy’. This response shared the top spot with 12 – 19 year olds.

There’s a simple message here. You wouldn’t normally think about over 50s as an audience for social media marketing.

But, given their spending power and propensity to use social media to research purchases, social media could be a significant opportunity for over 50s marketers in the years to come.

With the 16th Annual AIMIA Awards fast approaching, voting has opened for the all new People’s Choice Award.  The People’s Choice category is exactly that – it’s your turn to vote for the finalist you feel deserves to be a winner of their respective category!

The finalist with the most votes wins and the exciting news is, of course, that our very own Yellow Pages® iPhone app is in the running. Get in quick to cast your vote on the digital industry’s brightest creations of the past year. Click on a link to look at the entry and cast a vote for your favourite. There is only one vote per person so make it count! Voting closes at 10.00 AEDT Friday 26 February.

To cast your vote go to:  http://www.aimia.com.au/awards/peoples-choice/

As announced on 3 February, Yellow Pages® is a finalist in the Best Mobile Service or Product Category. I will be frocking up to attend the ‘The Amys’ on Friday 5 March to find out who in the industry will be awarded for their exceptional work (and of course have my fingers crossed for Yellow Pages®). I look forward to seeing many of you there and I will bring you all the news, gossip and pics in the coming weeks.

 To learn more about the AIMIA awards click here http://www.aimia.com.au/isp/icms.isp?page=6636

The AIMIA Digital Summit in Sydney last week included presentations from the likes of BBC, Facebook, Viocorp and Microsoft, research presentations from the Internet Advertising Bureau, Nielsen Online and Research International and case studies from Aussie, Witchery Holdings and Tourism Queensland. To sum up some of the key themes that emerged over the two days… online usage is flattening out but continuing to grow and mobile internet usage is on the up. Companies like Aussie and Witchery Holdings now attribute a significant proportion of their revenue to online retailing.

But, 97% of Australian retail sales are still occurring offline. This highlights the importance of local search services like Yellow Pages, which provide the link between online purchase research and the bricks and mortar supplier.

Jonathon Stinton from Research International explained that with so many channels at the disposal of the consumer and the advertiser, it’s getting harder and harder to determine what the key influencers are over a purchase decision. He calls this the “Twilight Zone of information”. So what are influencers as far as we can tell? Consumers are strongly relying on the web to research retail buying decisions and social media is having a minor but growing impact on this phase of the purchase cycle. With the phenomenal rise in social media traffic, brands want a piece of the action and are exploring ways to tap into this and develop relationships with consumers.

So what should an advertising and media company take away from this? We need to be focused on providing choice to both buyers and sellers – and hence our multichannel strategy. With digital such a major part of many Australians’ search repertoire, Sensis needs to provide the most relevant online and mobile local search experiences possible to bring buyers and sellers together. Speaking on the closing panel, Sensis’ GM of Digital Development Cheryl Vize said this is why Sensis is so proud of innovations like the Yellow iPhone app and why we’re absolutely determined to keep “raising the digital bar”.

One thing seems clearer than ever: there may be no crystal ball, but it’s never been as important as it is now for a business to get the magnifying glass out and really examine the DNA of its target market and what media they are consuming where, when and for what purpose in order to determine how to get the best cut-through.

Times might be tough in the media sector today, but there’s a lot about the future to be excited about.

This week, Bruce Akhurst, the CEO of Sensis, will be sharing his thoughts on the future in a two-part presentation: The Age of Engagement.

The first part of his speech – covering the rise of local search – will be delivered at an American Chamber of Commerce luncheon in Sydney this Thursday, 23 April.

And, in a departure from the norm, part two of this presentation, which covers the rise of social media will be delivered using – what else – social media!

So, pop back to the Speaking Sensis blog this Friday, 24 April. You’ll be able to view both of Bruce’s speeches.