Key Points Of The Article
1. Massive amounts of big data are sufficient to provethe positive relationship between social volume and sales volume,andthis positive relationship is normally distributed within a certain numerical range.
2. This is an important discovery: for example, in the beauty and skincare industry, the conversion sales volume corresponding to the unit social volume of social content is within the range of 1,000 to 4,000 yuan, with the top 20 mask and sunscreen brands showing a normal distribution around the 2,500 yuan mark.
3. From the big data research of primary categories, secondary categories, and top brands, we canestimate the scale of social volume required to achieve a certain sales volume conversion target.
In the recently released Q1 Moojing Consumer Potential Whitepaper, we can find: in several high-growth sub-categories of beauty and skincare, their Social Convert Index (SCI) is between 3,100 and 5,000 yuan:
Similar commodity categories, similar SCI value ranges, this cannot simply be seen as a coincidence.
Data reveals: specific sub-categories do have their specific SCI ranges.
Definition of Data Indicators:
Sales (Ten Thousand Yuan):The sales volume of the goods in the sub-category in the first quarter of this year.
Voice:The volume of posts on the three major social platforms: Weibo, Douyin, and Xiaohongshu. Volume is defined as the number of posts.
Social Convert Index (SCI):The sales volume divided by the volume count, measuring the average sales amount converted per post.
Further, we conducted a more extensive big data study onmasks and sunscreentwo sub-industries, as shown in Figure 1 below:
We found that the overall mask category and the top 50 brands, as well as the overall sunscreen skincare category and the top 20 brands,have SCI indices that show a normal distribution around 2,500 yuan,from such a large amount of big data research, we can find that the 2,500 yuan mark is the "moat" position for our social content investment. If we calculate it based on the target sales volume, for example: if a brand's target online sales volume is 100 million yuan this year, then the volume needed is about 40,000 posts. Therefore, we can establish a market budget for 40,000 posts volume, and break down the 40,000 post target, into how many are PGC (Brand Generated Content) and UGC (User Generated Content) respectively, thus reasonably developing social content creativity with the creative agency.
(Note: The range of SCI values is based on normal factors, including products, marketing strategies, pricing, channels, etc. If SCI is outside the normal distribution range, the range of factor research needs to be expanded.)
We extended our research to commercial reports, applying SCI in the horizontal comparison of brands.
In a specific rolling year (MAT), we conducted SCI research on leading sunscreen category brands such as Anessa, L'Oréal, and Missha, we discovered their SCI fell within the range of 2,000 to 3,300 yuan.
This is also a very meaningful set of data that shows the achievements of top brands:Based on the average level of social content, brands can start with approximately SCI 2000, setting a sales volume budget based on volume; or set a sales target, and with the highest SCI value of 3,356, calculate the minimum volume needed to achieve the sales target.
Compared to the mask category, as sunscreen skincare products have more clear and singular functions, the social content effectiveness is more stable and the SCI range is also more stable. For masks, due to larger differences in effects and prices, the differences in the effects produced by social content are also intensified, which is why some mask brands in Figure 1 have SCI ranges above ten thousand yuan. These brands with high SCI values are worth our research, indicating that their product strength or social content conversion effectiveness is particularly strong!
Looking across categories, in the Q1 Consumer Potential Whitepaper, we can again find some high-growth 3C sub-categories, with SCIs in another range: 16,000 to 36,000 yuan:
This reveals that different sub-categories have different SCI ranges.
These data suggest that, in different segments, at a specific period, their ranges fall within different SCI intervals. If we conduct research on more sub-categories:
From the above figure, we can see that in the beauty and skincare primary category's various secondary sub-categories, the SCI range is between 1,000 and 4,000; while the shoe and clothing industry categories are above 4,000, within the 4,000 to 14,000 range.
We believe that we can discover the SCI range for broad categories and the SCI benchmark for various sub-categories, thereby setting the "moat" position for our own social content conversion.
Having read up to here, we can separate the work of a brand's social content division into two stages "Bilevel Approach":
The First Stage:SCI study to find the SCI range of the sub-category you are in, as well as the SCI value ranges of leading brands for horizontal comparison, to provide a basis for setting social volume targets, sales volume targets, and social marketing budget for your own brand.
The Second Stage:Within the SCI value range, optimize social content to increase the social conversion value. (Stay tuned for subsequent articles on social content themes)
Our collaboration with the innovative team of MiaoZhen has extended the study to cover more brands, even products, to explore the positive correlation between social volume and sales volume.
Before introducing methods of social content optimization, let's revisit the classic marketing definition "meeting customer needs profitably" (Kotler and Keller). SCI study is based on social sentiment analysis reflecting consumer needs plus e-commerce sales covering the profitably metric.
For functional product categories such as beauty, health & wellness, home appliances, the consumer behavior characteristics presented by Learn->Do->Feel, demand for category/product needs, are greatly reflected in the traditional marketing funnel, especially in the Awareness, Interest, Consideration stages. Social sentiment + big data have a natural advantage in this area of research compared to hard advertising.
The strategy for marketing brands is from the perspective of "Benefit" brought by the category/product to consumers, to understand and analyze the marketing landscape of the market, supporting the formulation of product advertising strategies.
SCI's correlation analysis between social sentiment and e-commerce for the category validates the positive correlation between social sentiment and e-commerce sales volume.
By combining social sentiment, which consumers focus on category characteristics, to identify the main value points (Benefit) for e-commerce sales volume, to directly serve as Actionable Insight driving the definition and validation of subsequent business assumptions.
Comprehensive theme research requires a large accumulation of industry data, taking beauty as an example: research analysis based on MiaoZhen's accumulated sentiment detail data of over 300 million, covering 80% of products, combined with Moojing's e-commerce data of over 400 billion yuan in sales. MiaoZhen's beauty industry product database, together with Moojing Data Lab's joint research capability, has already partnered with numerous leading beauty brands, empowering brands to achieve high-frequency, multi-dimensional product insights.
Our Subsequent Joint Research Direction Will Focus On Segmenting Social Content According To The Business Needs Of Consumers And Brands. Different Perspectives, Such As PGC (Producer Generated Content) And UGC (User Generated Content), Will Be Used To Study The Positive Correlation Strength With Sales Volume, To Obtain A More Detailed Social Convert Index!
We Sincerely Offer Big Brands Customized SCI (Social Convert Index) Research Services, Providing Forward-Looking Predictions And Decision-Making Basis For The Multi-Million Or Even Tens Of Millions Of Dollars Invested In Social Content Annually!
About The Author:
Jack Yuan (Yuan Jin)
Currently Serving As The Vice General Manager Of Moojing Market Intelligence Shanghai; MBA Master And Corporate Mentor From Shanghai International Studies University; Formerly Worked At 4A Advertising Groups Such As WPP, Ogilvy, And Hakuhodo, Providing Dozens Of Brands With Data Analysis And Integrated Marketing Solutions.
Adam Wang (Wang Ying)
Currently Serving As The Vice President Of Innovation Delivery At Magic Seconds Technology; Formerly Worked At OMG And IBM, Committed To Data + Technology Empowerment Of Business And Best Practices For Innovative Value Creation For Clients.
