Marketing Stats

Part
01
of three
Part
01

Brand Awareness' Impact on Sales

It's very hard to confirm the exact ROI of brand awareness, however, marketers know that brand awareness impacts a company's sales through many indirect ways. Brand awareness increases sales because most purchases are done subconsciously, increases brand loyalty, protects against the competition, increases sales to other businesses, and it breeds trust. These points and more are discussed in greater detail below.

Most Purchases are Done Subconsciously

Brand Awareness Through Social Media Encourages Loyalty

  • At least 78% of people in the United States have at least one social media profile.
  • Social media leads to brand awareness because it enables engagement, promotes content, and promotes sharing. This is why according to a Sprout Social study, 80% of social media marketers say their biggest goal is to increase brand awareness.
  • Seventy-one percent of consumers are more likely to purchase from a brand that they follow on social media.
  • Social media helps in retaining customers and keeping them loyal. A 5% increase in customer retention can boost profit by 25% to 95%, according to a Bain and Company study.

Brand Awareness Protects Against Competition

  • Even though it's hard to calculate the ROI of brand awareness, branding plays an important role in how companies are valued, especially in highly competitive sectors like tech.
  • Brand awareness helps to set a product or company aside from the rest even though there are similar products offered by larger companies.
  • An example of this is Slack, which even though it faces stiff competition from larger companies like Microsoft, Google, and Facebook, has brand awareness due to its perception of being a hot hew innovative tool for startups.

B2B Buyers Depend on Brand Awareness More Than Consumers

Brand Awareness Breeds Trust


Part
02
of three
Part
02

PR, Social Proof, and Trust's Impact on Sales

Public relations is mostly used as a part of the marketing strategy and therefore it is difficult to measure its effect on business performance. Some types of social proof such as testimonials can increase conversions by 34% on sales pages, while 83% of Americans indicate that trust is one of the most important factors in their purchasing decisions.

PR

  • According to HubSpot, "PR doesn’t always have an impact on sales" as it typically only promotes services and products and provides the best results when it is used in tandem with marketing.
  • While public relations is important for promoting a brand and it usually has a goal of increasing company revenue, it is used as an indirect strategy to support sales.
  • The Institute of PR states that it is difficult to measure the impact of PR on revenue and other aspects of business performance as it is a part of the marketing mix model.
  • The increase in sales can be attributed to public relations, in rare occasions, when it is the only market activity used by a company.
  • Cision conducted a global comms survey 2018 where 28% of senior-level PR leaders in the United States said that their most difficult challenge was the "inability to measure impact effectively".
  • The recent "Role of Media Coverage in the Sales Cycle" report indicates that the press releases published by tech companies on their websites generate "high-quality traffic", have a 12% higher goal completion, average session duration is 59% longer and are impactful on buyers.

Social Proof

  • Conversions can be increased by 15% by incorporating social proof on the company website and using tools such as TrustPulse.
  • The 2018 Word of Mouth Report states that 83% of around 1,000 surveyed Americans are more likely to buy a product or a service after a "word of mouth recommendation from a friend or family member".
  • According to HubSpot, "57% of consumers will only buy or use a business service if it has at least a 4-star rating".
  • Americans are more likely to purchase if they see "positive customer testimonials on a Display Ad".
  • Even negative reviews can have a positive effect on sales, while five-star reviews are often considered as less credible.
  • Around 92% of B2B marketers are more likely to buy a service or a product after reviewing a trusted review.
  • Testimonials can increase conversions by 34% on sales pages, while 88% of customers make their purchases based on reviews.

Trust

  • The recent research conducted by Trust Pilot regarding the influence of trust signals on customers' purchase decisions indicates that 67% of the people in the United States are more likely to purchase if they see a trust signal.
  • According to a special trust report by Edelman, 37% of Americans trust most of the brands they buy and 83% said that trust is an essential factor in their purchasing decisions.
  • Survey Monkey notes that 31% of Americans said their purchase decisions are influenced a great deal by trust, in a survey, they conducted in 2018, on the effects of brand trust in buying decisions.
  • The absence of trust can have a big negative impact on company sales, resulting in longer sales cycles, win and renewal rates, according to Accenture Strategy.

Research Strategy

To obtain insights about PR, social proof and trust impact on sales of a company, we searched through various organizations such as the Institute of PR and Public Relations Society of America and news articles and publications including PRNewswire, Forbes, Fast Company among others. We also scanned different reports by market research companies including Accenture, Edelman, review websites such as Trust Pilot and G2 and marketing and reports on sources such as HubSpot and Salesforce.
Part
03
of three
Part
03

Enhanced Content's Impact on Sales

Any product with an online listing is accompanied with the necessary information. The consumer journey is highly affected by the quality of the content attached to any product. Enhanced content improves ranking, builds trust, results in better online reviews, and yields a higher ROI. Strategy is critical in determining the best approach in utilizing the various advancements in technology.

Amazon offers an enhanced content package to vendors that allows them to include the following information to their product listing: item description, videos, comparison charts, and heightened images. This report uses this information to support the findings below.

Poorly Done Content Impacts Purchases

  • Three out of five consumers are purchasing a product would change their minds if they encounter poorly designed or poorly written content.
  • 39% of consumers are annoyed by poorly written content while 28% are annoyed by poor design.

Enhanced Content Improves Ranking

Building Customer Trust

  • When customers/consumers understand the product, they are less likely to return them. Customers will also have a better understanding of the benefits of the product.
  • Customers are also more likely to trust brands that pay more attention to them by offering services such as delivery, packing, and return.
  • By placing the consumer at the center of the marketing strategy, brands are able to develop effective enhanced content.

Enhanced Content Results in Better Reviews

Enhanced Content Yields Higher ROI of Advertising Cost

  • Getting people to click on a product already incurs a cost. Enhanced content persuades a purchase.
  • Marketers need to focus on making their brand content interesting, entertaining, and useful.
  • Brands on Amazon that use enhanced content are exposed to a wider audience and may most likely see an increase in their sales.

Enhanced Content Strategy

  • With the constant growth and advancement in technology, brands increasingly require a strategic approach to their digital marketing efforts.
  • Brands that rush to take advantage of the latest platforms to out-pace other brands may pay a steep price for it and it may be detrimental to the brand's marketing strategy.
  • It is of paramount importance to note that what works for some brands may not work for others. Brands should think more strategic rather than tactful. Every asset should drive a strategy, or should drive other assets that drive the strategy.
  • Platforms like Amazon, have over two million sellers on their site. Standing out is critical as the competition is stiff. Enhanced content ensures maximized visibility.

Research Strategy

Our initial research was able to provide some insights into the impact that enhanced content has on a company's sales. Our insights addressed the aspects of direct and indirect impacts. We also analyzed a major platform/online marketplace, Amazon, to build on our findings.
Sources
Sources

From Part 02
Quotes
  • "Unlike marketing, PR doesn’t always have an impact on sales. It typically indirectly promotes your products or services through activities like press release distribution and speaking at industry events. "
  • "For this reason, using PR and marketing in tandem drives the best results: typically, someone connects with your brand as a result of your PR efforts and converts into a customer as a result of your marketing tactics."
Quotes
  • "There isn’t necessarily a measurable impact on sales from public relations. It’s more of a big-picture strategy."
Quotes
  • "The study found that while many B2B organizations would like to shift more of their budgets to earned media, they lack confidence in PR’s ability to measure and communicate the ROI of earned media."
  • "As such, public relations data, when it’s included at all, is dependent on others to “invite” PR to participate and outside of PR’s control. And the modelers don’t understand PR’s unique role in the marketing mix to represent it properly."
  • "There are cases, thought rare, where a sales spike occurs when the only in-market activity is public relations. With no other way to explain the sales surge, success is attributed to PR."
  • "But public relations rarely operates in isolation and one must account for other modes of simultaneous marketing output in every other instance."
  • "In summary, “PR in Isolation” may be inexpensive, but it’s extremely rare (since there’s usually so many other channels operating simultaneously whether you know it or not)"
Quotes
  • "While there might be truth to thatclaim, ARPR’s research reveals that press releases are impactful on a potentially more important audience - your buyers."
  • "Despite the low overall volume, press releases generate incredibly high-quality traffic, with a 59% longer average session duration and a 12% higher goal completion rate than other traffic sources. Website visitors that originate from a press release view 56.64% more pages on average than those from other sources."
Quotes
  • "Incorporating social proof into marketing efforts has allowed many startups and small companies to grow in popularity and see a spike in sales."
  • "Implementing social proof such as recent customer activity takes less than five minutes to set up and deploy on your site with a great social proof tool like TrustPulse. And, it can boost conversions by up to 15%."
Quotes
  • ""83% of Americans say that a word of mouth recommendation from a friend or family member makes them more likely to purchase that product or service.""
Quotes
  • "57% of consumers will only buy or use a business service if it has at least a 4-star rating."
Quotes
  • "To find out exactly how social proof influences the purchasing process and which trust signals are the most important, we surveyed nearly 1,700 consumers across multiple regions (United States, United Kingdom, Australia, and many European countries)"
Quotes
  • "Our experience shows that the absence of trust has significant negative impacts on sales and growth, causing reduced win rates, longer sales cycles, and lower referral and renewal rates."