MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021

Page created by Gary Chang
 
CONTINUE READING
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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 Survey
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
Many 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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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.
MCDONALD'S SOCIAL LISTENING JOURNEY - ANA DATA & ANALYTICS VIRTUAL EVENT - HOSTED BY WHARTON CUSTOMER ANALYTICS MARCH 30, 2021
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
© 2021 McDonald’s Corporation . All Rights Reserved.
You can also read