Valuable Brands More Present in Social Media
China's most valuable brands are increasingly present in social media. Their presence cuts across most categories. These conclusions emerge from ranking the 2013 BrandZ™ Top 50 Most Valuable Chinese Brands according to their engagement in social media.
State Owned Enterprises (SOEs) especially increased their engagement. Of the six newcomers among the Top 15 brands in social media presence, five were SOEs. The beer brand Tsingtao was the sixth.
In addition, the ranking again confirms a positive correlation between brand value and social media presence. Among the BrandZ™ Top 50 Most Valuable Chinese Brands, the Top 20 brands in social media presence average $10 billion in brand value, compared with an average brand value of $3.9 billion for the other 30 brands.
The social media strategies and campaigns executed by these brand leaders in social media presence reveal several best practices that can benefit Chinese brands looking to use social media more effectively. These best practices include:
- Reach and Impact: Aim to drive both audience reach and impact to fully enhance campaign value. As with traditional media, social media marketing becomes effective when enough of the right consumers see the communication and are positively impacted.
- Targeted Focus: Focus whatever social media tactic is used— online video, micro-site, Weibo or Weixin—on consumers with affinity for the brand. Those unfamiliar with the brand are less likely to invest time on the brand's deeper level engagement activities.
- Holistic Approach: Select the tactic or tactics that best meet the objectives of reaching the targeted audiences and having the greatest impact. A structured, holistic approach to social media will build brands most effectively.
For this 2013 report, we expanded the social media ranking to the Top 20 from the Top 15 last year. The methodology for creating the ranking remains the same. It's based on a Social Media Index developed by Millward Brown using BrandZ™, the world's most extensive consumer research database. The Social Media Index is based on responses from social media users who are also relevant category consumers for each brand. The Index comprises three measures:
- FanZ: The percent of consumers who claim to be a fan/follower and keep up with the brands via social networks
- Digital Brand Presence: The percent of consumers who have seen, heard or read about the brand online recently
- RecommenderZ: The percent of consumers who are likely to recommend a brand
The Social Media Presence ranking is based on a combined view of social media from Millward Brown BrandZ™ consumer research and CIC, China's leading social media research firm. CIC corroborated the Social Media Index findings by looking across both social networking sites (Renren) and leading microblog platforms (Sina and Tencent) to evaluate each brand's fan followership (number of followers), brand passion for interacting with customers (number of brand-initiated tweets) and brand related buzz (number of brand-related tweets).
Only brands in the BrandZ™ China Top 50 were included in the Social Media Presence ranking. All portals, social networking sites and e-commerce sites were removed, since consumers use these platforms to engage with brands in the digital space. The removed brands include Baidu, Renren, Sina, Sohu and Tencent. CIC data includes verified brand accounts (including top sub-brands) on each social media platform as of the end of August 2012.