Engagement Metrics: Understanding the Consumer Behavior
Consumers are the vital factor in the growth of a business. Consumerâ€™s awareness, preferences, considerations and actions leading to their purchasing decisions are modeled through a marketing funnel. However, in the recent years, with more factors entering the funnel, complexity had taken over leading to a complicated network rather than clean lines. The factors that have taken root are recommendations from friends and family, product reviews, and availability of a range of alternatives.
The changing attitude of the consumers effects organizations growth. Thus, arises a need to understand consumer behavior, their effect on peer purchases and product reviews, besides the volume of transactions and loyalty status. Marketing professionals need to conduct the proper engagement analysis to understand the retention and loyalty status of the consumers with the help of a number of engagement metrics. Termed, as engagement metrics, this refers to the leading indicators, which makes it possible to measure engagement of a consumer to a product or brand. These levers, which impact engagement, are critical to success of every organization that has a social media focus.
With the advent of technology and technologically sound consumers, the traditional marketing channels are weakening. The growth of social intelligence has paved for e-commerce and the online shopping portals provide a number of product reviews, message boards and online videos bring transparency into the brand in their attempt to woo the customers. However, it needs to be understood that customer engagement has been necessitated with the rising need of social, technical and marketing developments. And engagement metrics provide the quality and value of engagements.
The customer engagement can be conducted by creating a dialogue with the customer to stimulate their interest in a brand. With the Internet and social media analytics so widely used, these become the primary vehicle chosen for the purpose by the technologically sound global organizations. This helps to understand the internal dynamics as well as the consumerâ€™s behavior and engagement status of the consumers online. The boost of the social media and the wide adoption of the Internet as a social engagement metric have given rise to the concept of online inter-customer engagement.
The Facebook analytics and other social media analytics have shown that online engagement between
peers and through the social media sites has not only empowered the customers but has also brought about an opportunity for businesses to engage target customers online. The recent study of engagement metrics through a discrete engagement analytics on few leading organizations revealed that nearly 80% of online customers decided on alternatives brands as a result of negative reviews while a favourable review helped 87% of customers stayed on with the brand.
Published on Feb 27, 2012
Consumers are the vital factor in the growth of a business. Consumer’s awareness, preferences, considerations and actions leading to their p...