This is a really interesting article by FC Expert Blogger Kevin Randall – read it and tell me what you think!
“A new confluence of market forces (including popular interest in charitable giving post-Haiti quake, the coming of age of the idealistic Millennials, public anger over Wall Street bonuses, the Sustainability movement and near universal hostility directed at BP–“Beyond Pollution”) is requiring brands to be socially “good”–hence more rankings and metrics: Brandkarma.com; PSFK Good Brands.
Of course there are already rankings for brand financial value: Interbrand; Millward Brown BrandZ; Credit Suisse Great Brands; Equitrend; brand equity; and brand word-of-mouth buzz/promoting from McKinsey–all of which try to correlate a brand’s score with its bottom line.
Add to the rankings list now: Brand Social Currency. The inaugural study was completed earlier this year. “Building Social Currency is probably the most important investment companies can make to create value for themselves,” says Erich Joachimsthaler, Founder and CEO of Vivaldi Partners, the author of the study. He views Social Currency as a new, strategic dashboard to help corporate leaders diagnose, build and monitor the long-term heath and value of their “brand assets” in the shifting marketplace.
The methodology was developed in conjunction with MIT Sloan statisticians and Lightspeed Research. Brand Social Currency is defined as the extent to which people share the brand and/or information about the brand as part of their everyday social lives at work or at home. It is made up of six key dimensions or “levers”–Utility; Affiliation; Identity; Conversation; Advocacy; and Information. The study surveyed 1000 respondents on more than 60 brands across a dozen categories. Questions for each lever were posed to brand users. Results then rolled up into a composite Social Currency score.”