Online communities and the future of digital engagement for Brands
Consumer engagement is the key to Business Success.
This principle holds true no matter what industry you are in or what is the size of your business.
The importance and potential of effective engagement with consumers is driving brands and businesses to increasingly seek dedicated channels to connect with consumers.
Power of online communities for Brands and businesses -
Dedicated online communities are increasingly becoming the go- to option for consumer engagement and product improvement -
- According to Forrester Research’s Customer Lifecycle Journey report, 81% of companies have a consumer community or similar support channel.
- The Forrester report also found that, 60% of businesses own a branded online community and 15% are planning on launching one within the next year.
- According to Inversofts’s research, 77% companies believe that an online community significantly improves brand exposure, awareness and credibility.
- According to Leader Networks and CMX media study, 86 percent of marketers believe that having a branded online community benefits core business operations. And 85% think it will improve customer trust.
- According to Inversoft survey, 72% of companies with an online community use it to gather product feedback, while 67 percent use it to collect new product and feature ideas.
According to a Michigan University study, customers spend 19% more after joining a company’s online community than the third party site like Facebook.
- Establishing FANography insight community has helped broadcast giant ESPN to save $650,000 by bringing market research in house.
- DEWALT (the professional power tool company) has saved close to $6 million in research costs by launching an insight community.
Why are businesses choosing communities over social media ?
Having an in-house community provides companies with increased options for branding, product development and consumer engagement -
- Two way and deeper consumer engagement
Targeted advertising and promotion opportunities
- Specific and actionable product feedback and development inputs in real time.
- Increased Brand recall value resulting from emotional engagement and visual customization options.
- Opportunities for effective consumer complaint redressal.
- A ready channel for product and marketing testing.
- Customised traffic and interaction management tools.
- Comparative cost reduction and higher ROI
A prediction of exponential growth -
As the brands and companies are becoming increasingly aware of the role of dedicated communities, the potential for its growth is expanding exponentially -
Advisory firm IDC expects the worldwide online communities market to reach $1.2 billion by 2019, i.e. compound annual growth rate of 24.3%.
- The social business market, which runs largely on community platforms, is expected to reach $23 billion by 2019.
- According to Keys to community readiness and growth report, 23% companies admit that their branded communities have grown 100% or more in the last year.
A new wave of digital revolution has just begun with emergence of deep interest online communities — Are you on the right side of history ?
Take the first step towards revolutionizing your consumer engagement and building a vibrant brand on CommunityZapp today !