Study Finds No Correlation Between Ad Spend and Brand Sentiment on Twitter
Shelling out big bucks to advertise on Twitter may be a good idea to gain more followers and increase brand awareness, but a recent study from Covario shows that there's no correlation between ad spend and brand sentiment on the social networking site.
Covario tracked 81 of the world's largest advertisers and found that there's a correlation between the amount of money spent on digital advertising (e.g., paid search, display ads) and the number of followers or mentions a brand gets on Twitter. However, brand sentiment isn't influenced by the amount of money spent; it's impacted by the quality of the campaigns run with those ad dollars.
“Clearly, the amount of money spent on digital advertising influences the quantity of brand mentions by people who tweet, raising overall Twitter impressions,” said Craig Macdonald, chief marketing officer and senior vice president for products at Covario, in a company press release. “Expressions of sentiment, on the other hand, appear to be influenced more by how well the money is used, not the amount.” Sentiment is measured in terms of the creativity and relevance of marketing campaigns.
The beverage industry is spending its money wisely on Twitter, with companies averaging a 3.26 sentiment score (on a scale of one to 10), followed by the retail industry (2.65), high-tech (2.00), consumer electronics (1.69) and consumer packaged goods (1.37).