Employee Advocacy Industry Insights [updated Oct. 2020]
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Employee Advocacy has been the talk of town in both HR and communications the last few years.
In this blog post we are going to cover exactly what employee advocacy is and why it’s important if you want to engage employees, attract future employees and customers or simply multiply your brand’s reach on social media.
We will explore the benefits you should expect from running a structured employee advocacy program and dive into how employee engagement correlates with employee advocacy.
But first, let’s start out clarifying what employee advocacy is, and then we will move on to the importance and benefits of employee advocacy.
Employee Advocacy is the action of employees advocating for your brand.
It comes in many forms and shapes and we focus on social media posting. Here are some examples:
The content shared in these posts may be the result of an autonomous action from a single employee or from a structured approach.
Both ways will harvest the power of the workforce, increase social reach, ignite and influence discussions with the ultimate goal of attracting future business and employees.
You can’t have advocacy if there is nothing to advocate for. Therefore employee engagement is a prerequisite for employee advocacy.
According to a Raddon survey of 50 companies it was found that employee advocates tend to be more engaged with the brand, be proud of their work, understand the vision and understand how they impact the bottom line.
“One of the key drivers of engagement for any employee is their connection to the company and how they feel about their employer. Employee advocates are nearly three times more likely to tell others that they are proud to work for the company and almost twice as likely to understand the vision of the organization” (link)
So, if engaged customers is the foundation to build an advocacy program on, then how do you make employees engage with your brand?
The reason employee advocacy works is highly linked to why it is important. It includes four important stakeholders of running a successful business.
The main goal is to get the snowball running: Targeted and highly relevant content distribution to selected (engaged / unengaged) employees spurs content sharing. The increased employee engagement drives great customer experiences, which in turn increases interest, from both future customers and future employees.
In this relationship employee advocacy drives both business growth and secure the interest of future employees. Therefore, employee advocacy becomes a viable mean to drive employer branding.
Now that we know what employee advocacy is and what it builds on, we will dive into why it is important.
Your company DNA must set you apart as your products, your services, your corporate channels, your ads and promotions are not sufficient anymore.
Future customers want to hear, understand and believe in your story – your company DNA. Because in the end, your DNA is exactly what sets you apart from the competition.
Communication has been democratized. Communication and branding has evolved from a central “department” delivered through press releases and TVC’s to a dynamic and fluent action happening on all media 24/7.
And if you think that people are more likely to trust a familiar face than a logo, you are probably right. In fact, according to a 2019 study the most trusted voice from a company is a technical expert, and even the regular employee is more trustworthy than the CEO and Board of Directors.
From a corporate perspective it makes sense to create share-worthy content for the workforce to engage with and share with peers and network as they are more trustworthy. In fact, you should treat employees like customers, with segmented communication and content.
And if this sounds familiar you are probably already working with communication or marketing. That is also why an employee advocacy platform should be able to answer what types of content is actually driving most engagement, so we can adapt and learn for future work.
Igniting the brand with increased reach and penetration for targeted audiences, delivered by a person from your network. People are more likely to engage with and share content from someone they trust.
CPM’s are increasing. According to Statista CPM’s increased of 45% from Q1 2017 to Q1 2019
But despite being obvious important, a research study showed that only 17% of companies have a formal Employee Advocacy program in place.
The same study also found a correlation between the growth of companies with and without formal employee advocacy training, which also underlines the potential and importance of employee advocacy and employee engagement.
Now we know what Employee Advocacy is and why it is important. The next session will deep dive into the benefits of running a structured approach to engage and encourage your workforce.
History takes us from vanity metrics to business impact
First wave of EA adoption was based on metrics similar to social media; get more likes, emojis, followers etc. These where quantitative “vanity metrics”, and additionally encouraging employees to hit the share button in chasing the next like.
Basically there is nothing wrong with quantitative metrics, but they should be secondary and not to be included when measuring the effect from a business perspective.
We are well in to the second wave of adoption of EA, and companies are now focusing on the business side of EA that really can make a difference; thought leadership, employee brand engagement, employer branding, talent management in addition to incorporating EA in the customer journey.
According to Hinge, these are the benefits most companies experience from Employee Advocacy:
While only 3,5% of companies still have to see the benefits of Employee Advocacy.
However, from running more than 50 successful employee advocacy programs across industries and markets, we find that employee advocacy has many more benefits to supplement the above list.
In addition to the above-mentioned benefits:
Below are 3 important benefits of EA.
Go to your LinkedIn company page and identify the follower count and the avg. engagement rate.
Now, say your employee count is 500. By activating your employees’ network your total reach is augmented from 3.000 followers to (500*300) 150.000. Thats 147.000 additional prospects (business and recruitment) than your company page can bring in organically.
Not everyone will share the content they are asked to. Building on the data from running multiple employee advocacy programs we see an avg. engagement rate of 20% (Engagement rate = Shares after being encouraged to share), but best practice is at 74%.
For now, let’s stick with the average of 20% engagement rate.
From our own Employee Advocacy Benchmark 2020 report we identified that across industries each share by an employee ends with 6,2 clicks. That is likely 6,2 highly relevant visitors to your website, who you now can engage with and start conversations with later on.
If you are interested in more benchmarks you can freely download the report here.
Employee Advocacy Industry Insights [updated Oct. 2020]
Get the insights here
In our 2020 Employee Advocacy Benchmark Report we identified several insights:
Using these benchmarks, the count of employees in your organization and an average click prices from e.g. LinkedIn advertising we can calculate the Earned Media Value (EMV)
Here’s how to calculate a scenario:
If you were to buy these impressions and clicks you would most likely spend around €25K / month on e.g. LinkedIn. What you will do with this number is is up to you, but we like to refer this is as the earned media value.
But to be honest, it is also the lost media value if you don’t get involved in Employee Advocacy.
Pricing And Earned Media Value
Try with your own data
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