Thursday, December 1, 2011
Here’s a collection of interesting statistics to prove why social media marketing is important for the success of your business.
Our aim is keep this regularly updated with all the latest statistics, so make sure you visit regularly AND please do send us any interesting statistics you may come across.
Consumers interest in reading reviews and ratings
- Consumers overwhelmingly rely on online reviews and price comparisons to research products and services before making a purchase. 47% of consumers rely on online reviews about products or services on company websites over newspapers, magazines or social networking sites before making a purchase decision. (Lightspeed Research, 2011)
- 25% of search results for the World’s Top 20 largest brands are links to user generated content. (Socialnomics 2011)
- Consumer reviews are significantly more trusted – nearly 12 times more – than descriptions that come from manufacturers, according to a survey of US mum internet users. (eMarketer, February 2010)
- High product rating will increase likelihood of purchase for 55% of consumers. (eConsultancy, July 2010)
- Availability of product ratings was a factor for 59% of UK shoppers, as was the availability of user generated or consumer product reviews (57%). (eConsultancy, July 2010)
- Nearly two-thirds (64%) of the UK population have researched products/services online within the last 3 months. (European Commission, May 2010)
- By 2014, 53% of total retail sales (online and offline) will be affected by the web, as consumers increasingly use the internet to research products before purchasing. (Forrester, March 2010)
- 84% of consumers said they were more likely to check online for reviews prior to making a purchase compared to twelve months ago, according to a recent survey by Brand Reputation. (Retail Bulletin, October 2009)
- 97% of UK female internet users research products online and 92% of UK female internet users buy products online. (eMarketer, February 2009)
- 46% of 1000 e-shoppers find value in product recommendations from their friends; 47% look to onsite customer reviews when making a decision. (Manage Smarter, September 2009)
- Some 70% of Americans say they consult product reviews or consumer ratings before making a purchase. (Business Week, October 2009)
- 63% of consumers indicate they are more likely to purchase from a site if it has product ratings and reviews. (iPerceptions study, January 2008)
- 81% of consumers consider the availability of customer reviews to be ‘very important’ (33%) or ‘somewhat important’ (48%). (Major consumer electronics retailer/iPerceptions study, January 2008)
- According to a survey of 2,445 US online consumers, 82% considered user generated reviews ‘extremely valuable or valuable.’ (North American Technographics Retail Online Survey Q3, 2008)
- Over 50% of respondents from Germany (56%), Italy (55%) and the UK (54%) agreed that ‘customer ratings/reviews help me decide whether or not to purchase a product/service.’ (European Technographics Retail, Customer Experience and Travel Online Survey Q3, 2008)
- Customer reviews are an important research tool for online consumers, with 71% agreeing that consumer reviews make them more comfortable that they are buying the right product. (Nielsen Online Holiday Survey, December 2008)
- The Trust in Advertising survey of 26,000+ found that ‘consumer recommendations’ are the most credible form of advertising. (“Social Media Marketing: The Right Strategy for Tough Economic Times” Awareness, 2008)
- Consumers were willing to pay between 20 to 99% more for a 5-star rated product than for a 4-star rated product, depending on the product category. (comScore/Kelsey, October 2007)
User generated content beyond the web
- Nearly 64% of respondents had watched a user generated video review, and more than three-quarters of that group said it helped them make a purchase decision—either for or against a product or brand. 81.3% listed the ability to see the product in action as their favorite thing about video reviews. (Internet Retailer, June 2010).
- The number of people creating user generated content online is expected to rise to 114.25 million in 2013 from 88.8 million in 2009. (eMarketer, February 2009)
- Over half (51.0%) of consumers are using the internet before making a purchase in shops, educating themselves on the best deals available. 51% of all those surveyed were viewing or reading user generated content. For the 13-24 age group, this figure rose to 71%. (Verdict Research, May 2009)
When planning a holiday
- Nearly two thirds of respondents (63 %) find other travelers’ reviews to be trustworthy, while 29% are less trusting. (The Third Annual Access American Vacation Confidence Index, 2011).
- 87% of all holiday shoppers are influenced by customer reviews. (ChannelAdvisor, August 2010).
- Only 8% of consumers have used Facebook for planning a holiday in the past 12 months. Even fewer (5%) mention Twitter as having any influence on travel plans. (Conrad Advertising 2011, “The Influence of Social Media study”)
- Tripadvisor has the greatest influence on holiday plans with 50% consulting the review site for some information while the next most relevant social media, according to 35% is reviews on companies’ own websites. (Conrad Advertising 2011, “The Influence of Social Media study”)
- However a study from World Travel Market 2011 suggests that in five years time, 48% of the industry believes social media will be more important than PPC while 37% say it will remain behind PPC and 15% believe it is already at a tipping point and its popularity will diminish.
- Of the industry figures surveyed by World Travel Market 2011, 22% already use social media as a revenue stream and 27% are planning to go forward.
- For the consumers that do use social media in their travel plans, 89% have had a positive experience and 23% say they have used it more in 2011 than 2010.
- The medium is also having a significant impact on their travel plans with a third saying they change their hotel choice after consulting social media channels while one-in-ten switch resorts.
Word of mouth still rules
- 74% of travelers under 35 are most likely to say that online travel reviews influence their travel plans while 44% of those 55 and over are least likely to be influenced by reviews. (The third annual Access America Vacation Confidence Index, 2011).
- Nearly 79% of respondents with a household income of $75,000 or more factor other travelers’ reviews into their own plans, while less than half of those with an income of under $25,000 do so (46%). (The third annual Access American Vacation Confidence Index, 2011)
- Social media plays an important role in raising peoples’ awareness of alternate options, with 28% saying sites such as YouTube, Facebook, and Twitter help them learn about new brands and products. These tools also help consumers eliminate brands and products from consideration, based on feedback from friends. After all, getting others’ opinion was the primary reason 31% of respondents gave for using social media as part of their decision-making tool bag. (study by GroupM Search and comScore, Feb 2011)
- When asked what sources ‘influence your decision to use or not use a particular company, brand or product’, 71% claim reviews from family members or friends exert a ‘great deal’or ‘fair amount’ of influence. (Harris Interactive, June 2010)
- 90% of online consumers online trust recommendations from people they know; 70% trustunknown users, 27% trust experts, 14% trust advertising, 8% trust celebrities(Econsultancy, July 2009, Erik Qualman, Socialnomics)
- The average consumer mentions specific brands over 90 times per week in conversations with friends, family, and co-workers. (Keller Fay, WOMMA, 2010)
- Social media plays an important role in raising peoples’ awareness of alternate options, with 28% saying sites such as YouTube, Facebook, and Twitter help them learn about new brands and products. These tools also help consumers eliminate brands and products from consideration, based on feedback from friends. After all, getting others’ opinion was the primary reason 31%of respondents gave for using social media as part of their decision-making tool bag. (study by GroupM Search and comScore, Feb 2011)
- 67% of shoppers spend more online after recommendations from online community of friends. (Internet Retailer, September 2009)
- 61% of people rely on user reviews for product information or research before a buying decision is made. (Razorfish, 2008)
- On turning negative reviews into postives; one very interesting report conducted by Harris Interactive in 2011, “The Retail Consumer Report”, highlights how businesses have an opportunity to turn negative reviews into positive word of mouth marketing bykeeping track of online conversations about their businesses and responding to them.
- 68% of consumers who published a complaint or negative review about an online business on a social networking site or a review site were contacted by the businesses they complained about. 18% of those people were so satisfied with the responses they got from those businesses that they made additional purchases and became loyal customers. This highlights that if you as a company reach out to the customer and attempt to make the situation right with them, then you can possibly turn a negative review into a positive one.
- 33% of consumers who were contacted by the businesses about their online complaints turned around and published a positive review about that business and 34% deleted their original negative reviews.
- Facebook tops Google for weekly traffic in the U.S (Socialnomics 2011)
- If Facebook were a country it would be the world’s 3rd largest ahead of the United States and only behind China and India. (Socialnomics 2011)
- 50% of the mobile internet traffic in the UK is for Facebook. (Socialnomics 2011)
From Facebook statistics page…
- More than 800 million active users.
- More than 50% of Facebook’s active users log in any given day.
- Average user has 130 friends.
- More than 900 million objects that people interact with (pages, groups, events and community pages).
- Average user is connected to 80 community pages, groups and events.
- On average, more than 250 million photos are uploaded per day.
- More than 75% of users are outside of the United States.
- More than 350 million active users currently access Facebook through their mobile devices.
- YouTube is the 2nd largest search engine in the world after Google. (Socialnomics 2011)
- According to Google’s blog, in 2011 they reached 3 billion views per day – “that’s the equivalent of nearly half the world’s population watching a YouTube video each day, or every U.S. resident watching at least nine videos a day,” Google wrote.
- In 2011, over 48 hours of video are uploaded to the site each minute, a 37 percent increase in the past six months, and a 100 percent increase from last year.
- ComScore ranks YouTube as the top online video property as of April, with over 142 million unique visitors, trailed by VEVO with over 55 million viewers. Facebook, in fourth, has over 46 million viewers.
- 53% of people on Twitter recommend companies and/or products in their Tweets, with 48% of them delivering on their intention to buy the product. (ROI Research for Performance, June 2010)
To find out more about the benefits social media marketing, call us today on +44(0)1179 055 195 or email firstname.lastname@example.org