Proactive approach to reviews sparks customer conversations, driving traffic and sales to LG’s website

Bazaarvoice Solution

Bazaarvoice Conversations

Client since

2011

Web link
www.lg.com/uk

Summary

LG works with Bazaarvoice to turn up the volume of its customer conversations — ensuring effective engagement and insight across channels.

  • Review volume increases by 400%
  • Review readership up by 114% in a single month
  • Greater click through ‘Where to Buy’ conversion rates from customers who interact with reviews

Background

LG is one of the world’s leading electronics manufacturers. From smartphones to home entertainment to household appliances, LG creates beautifully designed and high technology products for today’s demanding consumer.

In a fast moving technological and consumer environment, LG works with Bazaarvoice to turn up the volume of its customer conversations — ensuring effective engagement and insight across channels.

Situation — break down barriers

Consumer-focused, LG delivers highly desirable and cutting edge electronics. Gaining ongoing understanding of customers is complicated, however, because the vast majority of its products are sold through third parties. This is a well-established business model, but in an age when customer insight is the key to success, it can introduce a barrier between manufacturer and consumer.

When customers were moved to engage, feedback was almost invariably given on the vendor’s website rather than the manufacturer’s. With low review volumes on LG’s own site, the company was in danger of being left out of critical customer conversations.

The challenge for LG was to engage directly across channels despite the third-party vendor model: harnessing invaluable customer feedback by igniting authentic conversations with customers in the form of ratings and reviews; beginning a dialogue leading to loyalty and trust; driving traffic to, and sales through, its website; and allowing the company to showcase its full range of products more effectively.

Solution — turn up the volume

Already working with Bazaarvoice to ensure review authenticity, LG approached the team in 2012 and asked them to accelerate the tempo of dialogue. As LG’s Digital Marketing Manager, Dave Cottrell, said, “With Bazaarvoice, we already understood the value of customer conversations. What we needed now was to optimise that value by turning up the volume.”

The problem was in reaching customers who hadn’t directly engaged with LG and find the introduction that would ignite dialogue. Working with LG to understand the customer’s purchasing journey, Bazaarvoice identified that there was one critical point of direct interaction — the moment of product registration.

As part of the registration process, customers enter their email address — and Bazaarvoice’s solution was simple, elegant and effective. Once completed, customers would receive a post registration email (PRE), thanking them and asking for an honest opinion of the product. It gave out a very clear message that LG cared about their views. As an added incentive, customers who submitted reviews were automatically entered into a competition to win an LG SMART TV.

Whilst aimed at generating direct engagement with their customers and driving traffic to the web, the campaign was truly multi-channel. The competition was promoted across the range of digital channels, with consistent messaging and imagery on the web and social media platforms such as Facebook
and Twitter.

Results

Results have been spectacular, even though the campaign ran for just under two months between December 2012 and January 2013. Using the Bazaarvoice solution:

  • visits to the LG website’s review pages leapt by 112 per cent;
  • interaction with review content jumped by 114 per cent; and
  • the number of customers writing reviews directly to the LG website rocketed by close to 400 per cent.

With such an impressive uplift in engagement, it’s hardly surprising that the campaign has smashed the original Bazaarvoice industry benchmarks and proves that more reviews deliver more sales:

  • post registration email (PRE ) open rates of 51 per cent compared to a benchmark of 30 per cent;
  • PRE click through rates of over 15 per cent, nearly doubling the industry benchmark;
  • review conversion rates from PRE of 10 per cent — over four times the industry benchmark;
  • 11 per cent of visitors who clicked the ‘Where to Buy’ link; read reviews or wrote reviews; and
  • an increase in review submissions of 31.8 per cent, with
  • 18.6 per cent of visitors clicking on ‘Where to Buy’, when the competition promotion banner was moved to position one on LG’s home page carrousel.

Reviews are driving qualitative as well as quantitative improvements: with new levels of insight, LG’s customer service teams are using feedback to align more closely to customer expectations.

It’s a deepening relationship with Bazaarvoice that’s paying added dividends. Built-in measurement and analysis allows LG, for example, to refine campaign content. Analysis of three separate strands of messaging shows that the “Your Opinion Matters to LG” approach resonates most with customers, delivering nearly four times the conversion rate of a simple “Your Recent Purchase” subject line.

Dave Cottrell said, “We’ve been converted to Bazaarvoice evangelists by campaign success. It’s exceeded expectations in customer engagement and now we’re looking at ways of generating even greater value, such as integrating reviews into our wider marketing activities. It really is a no brainer — we’ll be leveraging this kind of engagement again and again.”

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