MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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McDonald’s Social Listening Journey ANA Data & Analytics Virtual Event – Hosted by Wharton Customer Analytics March 30, 2021 © 2021 McDonald’s Corporation . All Rights Reserved.
Looks effortless, but it takes years to get there.
A BALLERINA'S TALE ft. Misty Copeland Official Trailer (2015) HD
© 2021 McDonald’s Corporation . All Rights Reserved.Social media is a massive platform where we can collect
data from our current and future customers.
It’s where consumers
In our ambition to
are (and where they
convert indifferent to
expect brands to
advocates, social is
engage
where cultural
conversations unfold
+ 50%
People in the World
on Social Media
Source: Hootsuite, July 2020
© 2021 McDonald’s Corporation . All Rights Reserved.Our social ecosystem is large; therefore we have massive amount of data. Over ½ our channels reaching more than 500k followers. We are responsive to emerging social media platforms. We have equipped our teams with tools to allow them to manage our activity across these channels. © 2021 McDonald’s Corporation . All Rights Reserved.
There are different ways we engage with customers in
social...amplifying datasets that we collect.
Net Agree
94%
marketer believe their
social media content has
a positive impact on the
way consumers see them
Net Agree
Customer requests Celebrity campaigns Cultural moments
79 %
Have had a social post
that’s gone viral in the
past year
© 2021 McDonald’s Corporation . All Rights Reserved. Source: OMD Quantitative SurveyMany social conversations are competing for our attention.
Marketing campaigns
Products
Restaurants Brand Reputation
Crew
Operations
https://www.abtrainingfacility.com/
Memes Violence
Customer experience
PR
© 2021 McDonald’s Corporation . All Rights Reserved.Social listening analysis helps us analyze this unstructured
data.
WHAT IS SOCIAL LISTENING?
Social listening involves scraping the web and open social media sources to collect data on
consumer conversations based on specific pre-defined topics. The gathered data is then
analyzed to understand popular trends and obtain consumer insights. These insights can inform
product innovation, asses marketing campaign performance, identify brand advocates, or provide
competitive actions that can inform strategy.
HOW DOES SOCIAL LISTENING WORK?
Social listening tools only collect publicly available social media sources, based upon
designated keywords. Insights are delivered on a dashboard for analysts to decipher or via
displays or they are served via email alerts that show that a topic of interest is trending (e.g.
going viral) in social.
© 2021 McDonald’s Corporation . All Rights Reserved.We’ve relied on vendor partners to help us get to insights
and democratize to teams.
Outside
Corp Partnerships:
OMD/W+K
Comms
McKinsey
Kantar
Global
Strategic
Listening Vendor: Insights
• Built Topics/theme architecture Global
Market Marketing
• Built AI capabilities: Social Operations
• Smart Alerts Teams Supply
• AI Smart Themes finder
Chain
• AI Insight finder
• Democratization: Global IT
• Self-serve Dashboards Data &
• Real-time Displays Analytics
Customer
Data Care
Analytics
Hub
© 2021 McDonald’s Corporation . All Rights Reserved.Especially during pandemic, our team leaned into social
listening …
Only data source we had for consumer insights, before we could set up a Sentiment
Tracker across our markets
Could understand customer anxiety – safety was # 1 concern
… and continue to use to performance against McDonald’s
new growth strategy.
Literature suggests best ways to measure advocacy include
surveys and social listening
© 2021 McDonald’s Corporation . All Rights Reserved.But the data is noisy and not always actionable. So we’ve
built a text analytics tool.
“I ordered a burger,
it was good, the fries
were cold.”
• Keyword based (rules) incomplete • All text analyzed
• Hard to classify new data quickly • Classification automated
• Sentiment of post unreliable • Reliable sentiment of phrase (80%+)
• Spam (irrelevant data) • Relevant Social listening & CSAT data
• Extract one insight at a time • Extract multiple insights
© 2021 McDonald’s Corporation . All Rights Reserved.The TA tool surfaces insights quickly, and it will get better
over time.
“I ordered a burger,
it was good, the fries
were cold.”
© 2021 McDonald’s Corporation . All Rights Reserved.“A common challenge is recognizing that we are still in the
early stages of AI. It’s not a silver bullet. It requires a high
volume of quality data, solid analytics capabilities, and strong
business applications. When you adopt AI, you often have to
create the data, train models, and do labeling. Sometimes the
solutions are still fairly linear and can be brittle and difficult to
flex when the models evolve.”
-Craig Brabec, VP Data Analytics Hub, McDonald’s
WSJ, An Appetite for AI at McDonald’s
© 2021 McDonald’s Corporation . All Rights Reserved.And given the benefits, we are investing further.
Benefits Current limitations
1 Time Savings 1 No competitor data (yet)
2 Sentiment accuracy – 80%+ 2 UI handling
3 Scalable 3 Added costs
4 Data ecosystem 4 Continuous model training
© 2021 McDonald’s Corporation . All Rights Reserved.We’ve worked with data scientists to get to better keywords.
Project to detect potential food safety issues more quickly. Our current vendor keywords cannot
reliably identify new tweets that
mention food safety non-compliance
issues.
Hypothesis:
Can we reliably identify
food safety non-
compliance issues on
Twitter through keyword
searches?
© 2021 McDonald’s Corporation . All Rights Reserved.And we now have an ecosystem from which to build other
capabilities.
Connecting to other databases
L’Allegro, il Penseroso ed il Moderato, Marc Morris Dance Center
© 2021 McDonald’s Corporation . All Rights Reserved.A future of connected databases, teams and methodologies
would allow us to avoid situations below.
McDonald’s is running out of burgers thanks to a partnership with
the rapper and singer Travis Scott.
1 Travis Scott
The fast-food chain confirmed the shortages in a statement to
Business Insider after some people said on Twitter that their local
McDonald’s had run out of the Travis Scott Meal.
2 Spicy McNuggets The Chips Ahoy! McFlurry that was advertised with the Spicy
McNuggets (because dairy has cooling properties) is also selling
Chips Ahoy McFlurry out, as is the Mighty Hot Sauce. Business Insider notes that this is
the not first time this month.
McDonald’s has revealed it is “working quickly” to restock
Pokemon 25th Anniversary trading cards following reports that
3 Pokemon Happy Meal cards scalpers are profiting from the limited-edition packs – and is
“strongly encouraging” restaurants to set a limit on how many packs
they sell to individual customers.
© 2021 McDonald’s Corporation . All Rights Reserved.We are starting to integrate more AI into our projects and
we are still learning.
Current Lessons learned
1. Spend the time to ask the right questions (starting with customer experience)
2. Importance of MVPs: Learn quick, limit investment, clear timeline
3. Select the right team to implement: business owner, IT architects, data science team
4. Remember YOU are the business owner – you own specifications
5. New challenges arise:
▪ Data Privacy
▪ IT Processes / tools change over time
▪ API changes: constant evolution
▪ Teams change
© 2021 McDonald’s Corporation . All Rights Reserved.We also know from ROMS models the importance of our
customer comments (earned social) on sales.
Not a ‘one model fits all markets’ approach.
ROMS study Market 1 ROMS study Market 2 ROMS study Market 3
2017-Q1 2018 2017-Q1 2018 Q1-Q3 2020
Coupons Paid Social Media 0.4 0.6 Nat’l Paid Media 2.2 3.6 1.0 0.6 2.7 0.2 1.6 3.3 0.9
15.0
Earned Social 1.1 Earned Social Mentions Earned Media
6.9
Media Local Paid Media
Base Sales 94.0
Non-Marketing 93.0 96.0 94.0
Non-Media 78.0
Other Paid Media
Customer Care
0.4 5.0
Portfolio Sales Portfolio Portfolio Portfolio
Portfolio Sales
Sales Sales Sales
Observation: Observation: Observation:
Social media conversations about Social media marketing contributes Earned Media (PR+Earned Social) had a
McDonald’s helped generate 1.07% of 1.39% of sales among which .63% are strong showing in 2020, with marketing
incremental sales for the business. from paid social and 0.41% from earned campaigns the key drivers.
These earned conversations work social mentions. 0.35% are driven by
together with media and non-media. customer care. Earned social mentions
And less so with coupons. interact mostly with TV media and Paid
Social media.
© 2021 McDonald’s Corporation . All Rights Reserved.Each market has different strategic intent and priorities. © 2021 McDonald’s Corporation . All Rights Reserved.
To get to a beautiful production, need to group talent across
the organization to bring initiatives to life.
Future plans for social data
Build out prediction: feedback from customers
to inform operations and training
Integrating Loyalty data – to inform more
relevant offers
Identifying Micro trends to elevate creative
ideation for content teams
A BALLERINA'S TALE ft. Misty Copeland Official Trailer (2015) HD
Democratizing interactive visualization to
prevent crises
© 2021 McDonald’s Corporation . All Rights Reserved.“It’s a little bit of a Rubik’s cube of what’s
the customer looking for, what works
operationally and then the business
fundamentals.”
-CEO McDonald’s Chris Kempczinski
© 2021 McDonald’s Corporation . All Rights Reserved.Recap
1. Social media is a massive platform where we can collect
feedback about customers
2. Social listening tools can help teams uncover insights with
real-time agility and inform future action
3. Text analytics can help you get to insights more quickly, but
still in early stages of AI
4. Partnership and communication across teams is critical
5. Starts with alignment on strategic intent
© 2021 McDonald’s Corporation . All Rights Reserved.Thank You Very Much
jolanta.oliver@us.mcd.com
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