Compete illustrates the first steps in measuring the impact of consumer generated media, and provides a framework to help auto marketers evaluate the influence of this growing industry trend.

Consumer opinion has become a staple of the online shopping process. Whether it comes from a friend, a family member or blogger, product reviews are now influential go-to media resources, and it's even beginning to drown out the voices emanating from brands and Madison Avenue. User-generated media (UGM) is playing a key role among consumers that are in-market for anything from cameras to household appliances to mobile phones. And, its influence doesn't stop with the purchase itself-- consumers influenced by UGM are demonstrating a ripple effect on other buyers, sharing their experiences with family and friends post-purchase. 

For marketers who are already embracing this media movement, the shift requires that they improve their analyses of UGM's influence on consumer engagement and purchase decisions. How? The attitudes and behaviors of in-market consumers online are the key to unlocking UGM's impact. To start out, measuring the true impact of UGM, and marketing's ability to influence it, requires addressing:

• Determining whether in-market consumers use UGM when considering a purchase
• Estimating how influential UGM is
• Analyzing whether UGM is more or less influential than other media sources 
• This framework is the first step in marketing measurement programs that reflect today's new marketing paradigm.

UGM changes online auto and travel buyers' decisions
Consider autos and travel -- two highly considered purchases -- as examples for measuring UGM's impact. Our research shows that half of auto and travel purchasers surveyed turn to UGM to narrow their purchasing decision; nearly one quarter say that consumer review sites influence their purchase decisions and 24 percent change their minds about the type of vehicle/travel reservation they end up purchasing as a result of UGM influence. 

If you recently purchased a new or used vehicle, it's likely you were among the estimated 80 percent of buyers who currently use the internet to research a vehicle before making a purchase. Scores of informational third-party sites such as Edmunds.com and Cars.com, as well as auto blogs, forums and message boards, make it easy for car enthusiasts and shoppers to share feedback.

UGM is money in the bank for marketers who know how to tap into the new currency around it. Though marketing remains a complex discipline that is one part psychology, one part science and one part art, the internet offers an unprecedented level of real-time information from in-market shoppers to fuel all three parts. Marketers must start using the internet to improve their visibility within UGM. Here's how to begin:

• Analyze in-market consumers. Simply monitoring digital mentions isn't enough. Analyze in-market consumers who are close to the point of purchase, not simply consumers online in general, to better understand how UGM fits into their lives and the role it plays.
• Implement behavioral and qualitative monitoring programs. Examine in-market consumer behavior online and conduct a behaviorally targeted survey of connected, in-market consumers to understand the impact UGM has on product preferences and motivations.
• Measure. Quantify how many in-market consumers changed their minds about the products they purchased as a result of UGM, and how many ended up purchasing your product over a rival's. Measure UGM-influenced buyers' engagement with your brand online by examining not only how they interact with your site but also the attention they give your brand online overall.

Marketers who embrace user-generated media by developing campaigns to stimulate positive consumer discussion and use a measurement methodology have nothing to fear from losing control of the marketing message. They have a lot to gain.

Cynthia Stephens is the director of marketing at Compete, Inc. Data for this piece were drawn from the latest issue of Compete's research series, Spark!: Embracing Consumer Buzz Creates Measurement Challenges for Marketers. Read full bio.