Share of voice is an ad revenue model that is used in online advertising. It is defined as the share of total advertising exposure that a brand receives. Abbreviated as SOV, share of voice is a way to measure the presence of a brand and to gauge how visible that brand was within an advertising medium during a particular period of time. Share of voice is usually depicted as the percentage of total exposures.
One of the goals of all business owners is to improve their performance across all marketing channels. As such, that means that you – a business owner – and your competitors have the same intent. For that reason, it is important to keep track of your brand’s share of voice across specific channels. Once you do this, you can really compare how you your brand is performing with your competitors.
Share of Voice in Marketing
Share of voice (SOV) is a measure of how much of the conversation that is taking place with your targeted audience belongs to your business as compared to your competitors. These conversations can take place on various channels, including social media, blogs, web sites, forums, and any other location that your target audience can hear from and talk about your brand and the brand of your competitors.
By assessing your share of voice over a period of time, you will be able to measure whether or not you or your competitors have gained or lost traction with the target audience of your industry. It helps you gauge your brand’s awareness, your brand’s equity, and the engagement of your target audience. By understanding whether or not your brand is being discussed more or less by your target market as compared to your competitors, you can determine if your marketing efforts are effective or if adjustments need to be made.
Calculating Your Share of Voice
Calculating a share of voice might seem like it would be tricky to do; however, in reality, it’s actually pretty simple and straightforward.
Share of voice can be calculated using the following formula:
Your brand advertising / total market advertising = share of voice
Previously, calculating share of voice wasn’t precise. That’s because spend had to be estimated and some of the advertisements from your competitors may have been overlooked. However, thanks to the newer avenues that are available, such as social media, search engine optimization (SEO), pay per click (PPC), and social media, there are many ways to calculate your spend more precisely.
The Importance of Share of Voice
Knowing your share of voice is important because it lets you know the presence of your brand in social conversations as compared to your competition. Measuring it is an effective way to determine the relative success of your brand.
How to Improve Share of Voice
Obviously, the more share of voice you have, the better for the success of your business. If you are looking for ways to increase your share of voice, consider using the following tactics:
- Narrow the segment search. If the segment or industry you are focusing on is too big, share of voice can become very overwhelming. Focus on narrowing your search down to specific areas of interest that your customers may have. Finding out who top competitors are will allow you to find out what portion of the market they are trying to influence.
- Establish your presence online. When you have a clear idea of what consumers are talking about socially, you can develop a strategy that will allow you to participate in the conversation. Share relevant, useful content that will allow you to add to the conversation in a meaningful way.
