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Altagamma Social Luxury Index 2020

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Altagamma Social Luxury Index 2020 Altagamma Social Luxury Index 2020 Copyright © 2020 Accenture. All rights reserved. The relevance of now and next LUXURY IS MORE THAN WHERE YOU REQUIRE A USING A MULTI-DIMENSIONAL EVER A DYNAMIC CONTEXT DISTINCTIVE STRATEGY AND BALANCED SCORE CARD TO PREDICT TRENDS IN ORDER TO BUILD AND DISTRIBUTE CONTENT TO MEASURE PERFORMANCES, UNRAVEL TO EVOLVE AND INNOVATE AT THE SPEED OF CULTURE OPPORTUNITIES, DISCOVER PREFERENCES The competitive landscape is changing In order to stay relevant in people’s life, you The aim is to measure your brand's social rapidly and unpredictably, especially on need to monitor and assess your content media impact and consistency, revealing social media. Addressing change and performance, your media ecosystem possibilities among the most suitable ones predicting cultural evolution is key. maturity and your innovation edge. for your category. 2 Copyright © 2020 Accenture. All rights reserved. 2 1 year Time period considered 2019 8 categories of Altagamma members Millions relevant 9 languages 9 Mentions* 35+ digital media channels 80% (vs 5 millions in 2018) 1 tech platform *The analysis focuses on 2019 spontaneous public conversations. No tracking of proprietary members’ accounts nor paid social media investments were considered. 3 OUR TECHNOLOGICAL PARTNER Modern It enables MARKETING, ADVERTISING, RESEARCH, CARE AND ENGAGEMENT. Across 35+ DIGITAL MEDIA CHANNELS including social media, messaging platforms, news, blogs and forums. + Unique CXM PLATFORM With an UNIFIED FRONT-OFFICE ARCHITECTURE. That is OMNI-CHANNEL And is built on CMX* DATA. Copyright © 2020 Accenture. All rights reserved. *Legally available unstructured, unsolicited digital data from modern channels and millions of sites including forum, blogs, and reviews powered by AL 4 THE METHODOLOGY Measuring Social Performances on 5 Pillars 20% 20% 20% 20% 20% Social Share of Sentiment Reach and Top Authors Presence Voice Analysis Engagement Resonance Quality of brands’ Total and average volume Total reach and Total mentions Net sentiment score social media presence of industry mentions engagement rate by KOLs Channel coverage: Total volume of online Delta between Brands’ audience reach Sum of KOLs with 0/1 absence/presence of a 50% mentions generated by 100% percentage of positive 50% (earned + owned reach) 100% relevant number of specific brand on a the active members. and negative mentions. in absolute value. interactions/category. social media channel. 20% Channel KEY DRIVERS completeness. Adjustments based on Engagement rate per OF ANALYSIS 50% 50% the dimension of each category. Geographical and category. 20% linguistic consistency. Channel activity 50% level: 3+ post / month. 0-10 0-10 0-10 0-10 0-10 Copyright © 2020 Accenture. All rights reserved. 5 What is driving the improvement of Social Luxury Index? SOCIAL PRESENCE SHARE OF VOICE MAIN KPI: MAIN KPI: Quality of Social Presence Total Volume + Average of Industry Mentions Some luxury brands cover new A higher volume of channels and consolidate the conversations were previous presence generated by the with a complete page, with increasing virality of Asian linguistic and geographic celebrities. consistency and with an adequate posting rate. SENTIMENT ANALYSIS REACH AND ENGAGEMENT MAIN KPI: MAIN KPI: Net Sentiment Score Reach and Engagement Rate A widespread increase in This year, Altagamma’s brand positive sentiment can be registered a diffused growth in the registered thanks to successful engagement rate. creative campaigns and Stronger leverage on audiences initiatives. reached by influencers. Copyright © 2020 Accenture. All rights reserved. 6 10 9 Social Luxury Index 8 2019 Results 7 6 4,6 2019 saw an increase (+0,3) compared to the previous edition. 5 4,6 Average Social The score is the average of 5 pillars analyzed in 8 Altagamma industries. 4 4,3 Luxury Index 2019 Overall, the pillars show an improvement: in particular, the sentiment score has increased 3 sharply, while top authors' resonance slightly decreased. 2 Category Variability 1 3,3-7,3 0 2018 2019 HOTELLERIE FASHION Copyright © 2020 Accenture. All rights reserved. 7 Social one. Presence IMPROVEMENTS New social media channels are hot Social Presence Established social media are challenged by new platforms Altagamma’s luxury brands performed well in this area of the Index: they strengthened their Social Presence and faced new Opportunities are like challenges, experimenting with new sunrises. If you wait too channels and new content approaches. long, you miss them. Consolidation on Asian and Russian channels in Automotive : • +5% WeChat William Arthur Ward • +26% VK Yachts +13% Automotive +5% +26% Copyright © 2020 Accenture. All rights reserved. 9 EMERGING SOCIAL LEADERS Social Presence Moving forward: gaps and new opportunities 2018 WeChat 45% Local Social Media Channels 2018 registered a strong Social Only Weibo 37% New Emerging Presence of Altagamma members on Channels in Scope established social media, while, on ~28% VK 2% average, only 28% of brands were covering new local platforms (WeChat, Weibo, VK). Presence on local social media 2019 showed an improvement in Altagamma brands’ presence on local 2019 social media. WeChat 51% Only However, emerging channels such as Weibo 41% TikTok, Douyin and Little Red Book, still ~32% VK 4% result as weakly covered. Presence on local social media TikTok and Chinese social channels are growing fast TikTok, its Chinese version (Douyin) and Little Red Book are fast-growing channels in terms of active users: they ~8% are strongly dominant in highly populated Asian countries such as China and India and increasingly Altagamma’s members are present on emerging relevant for younger generations. local social media >80% of category <80% but >20% of category <20%of category members cover the channel members cover the channel members cover the channel Copyright © 2020 Accenture. All rights reserved. 10 SOCIAL PRESENCE BEST PERFORMER Social Presence 2019 2018 11/12 9/12 Channels covered; Channels covered; All channels proved to be All channels proved to be Complete, Complete, Consistent, Consistent, and Active. and Active. Luxury 5.7 Luxury 5.4 Fashion 6.7 Automotive 7.4 Gucci 9.2 Lamborghini 9 Copyright © 2020 Accenture. All rights reserved. 11 New social media emerge as an opportunity Social Presence Despite positive steps forward in enhancing their Social Presence, the majority of Altagamma’s brands are still not present on these emerging channels. LITTLE RED BOOK TWITCH TIKTOK Given their unique features and audience, they might become the biggest opportunities to be invested in for the long run. Copyright © 2020 Accenture. All rights reserved. 12 TRENDING TikTok: a 2019 opportunity Social Presence TIKTOK APP IS “TRAINING WHEELS” FOR FUTURE INFLUENCERS AND CONTENT CREATORS: TikTok is making it easier for them to become content creators. It allows them to easily create content that they would not otherwise be able to make as easily on their own, and gives them a framework they can play or create within. DELIVERS AN IMMERSIVE EXPERIENCE: TikTok allows you to have fun with full screen videos, 3D lenses and augmented reality. Copyright © 2020 Accenture. All rights reserved. 13 TIK TOK Social Why is it so popular Presence FAST LEARNING ALGORITHM – ALWAYS PROVIDING THE “NEW” Binary Feed Followed accounts’ contents are separated from automatically proposed content, emerging thanks to Engagement Rates. ENGAGEMENT IS THE KING 4% higher average Engagement Rates than Instagram. Achieving high Engagement Rates allows wide spreading branded contents to users which are not yet your fans. SPONTANEOUS OR IGNORED Fast Scrolling features gives no room for brand- centered content which can be easily ignored. The brand’s message should pivot on spontaneous advocates and leave the stage to users’ entertainment. Copyright © 2020 Accenture. All rights reserved. 14 TIK TOK Social TikTok is the channel for Presence The need for speed the new generation The fastest growing phenomenon 15 to 60 seconds to capture users’ attention and communicate your message. +68% of app downloaded between 2019 and 2020. <50 characters (emoji included) is the average comment length under +60% daily active users TikTok videos. between 2019 and 2020. A young platform for the young 315 TikTok App 400, mln download • 41% of users 320, 199 between 16-24 years old. 187 176 mln mln 156 • 70% of users 240, mln mln under 35 years old. 160, Early adopters in 2019 80, 11 assets 0, Q1 2019 Q2 2019 Q3 2019 Q4 2019 Q1 2020 20 assets Copyright © 2020 Accenture. All rights reserved. Sources: Emarketer.com, Ocean Insights Sources: omincoreagency.com 15 Little Red Book / Xiaohongshu: A 2019 OPPORTUNITY Social Presence A SOCIAL COMMERCE EXPERIENCE: Xiaohongshu is a social commerce in which users can find inspirations by looking at posts, decide to buy by looking at users' feedbacks, and buy directly within the app. CLOSER TO CELEBRITIES: Xiaohongshu also brings Chinese celebrities closer to their fans. Actress Fan Bingbing has apparently joked that she should stop reviewing products on the app because they get sold out and she can never find them. LIVE STREAMING: Introduced live-streaming, a feature already in some other popular shopping apps, which makes for a shopping experience that’s sort of mash-up of YouTube tutorials, Facebook Live and Amazon. A good way to close the loop between content and e-commerce. Copyright © 2020 Accenture. All rights reserved. 16 LITTLE RED BOOK Social KOL - oriented platform drivers sales Presence FAST LEARNING ALGORITHM – RECOMMENDATION MECHANISM It creates a customized homepage based on users’ browsing and search history. It also offers an “Explore” feature based on this same data. This function allows users to focus on topics they are interested in and sort out unwanted information. TRAFFIC DISTRIBUTION - 80/20 RULE 80% of traffic comes from head accounts that make up only 20% of the community (mainly influencers and celebrities). HIGH CONVERSION RATE 8% of Little Red Book's users make an order on its app after reading posts compared with 2.6% who do the same on Tmall.
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