Digi-Tech Analytics Workshop: Smart Data Driven Marketing

>
Marke(ng Data Strategy <

Smart data driven marke-ng
> Short but sharp history

Datalicious was founded late 2007 Strong Omniture web analy-cs history Now 360 data agency with specialist team Combina-on of analysts and developers Carefully selected best of breed partners Driving industry best prac-ce (ADMA) Turning data into ac-onable insights Execu-ng smart data driven campaigns
June 2010 Datalicious Pty Ltd 2
> Smart data driven marke(ng

Using data to widen the funnel
Media A;ribu(on & Modeling

Op(mise channel mix, predict sales
Targeted Direct Marke(ng

Increase relevance, reduce churn
Tes(ng & Op(misa(on

Remove barriers, drive sales
Boos(ng ROI
> Wide range of data services

Data
PlaIorms
Insights
Analy(cs
Data mining and modelling Customised dashboards Tableau, SpoIire, SPSS, etc Media a;ribu(on models Market and compe(tor trends Social media monitoring Customer proling
Ac(on
Data collec(on and processing Web analy(cs solu(ons Omniture, Google Analy(cs, etc Tag-less online data capture End-to-end data plaIorms IVR and call center repor(ng Single customer view
Campaigns
Data usage and applica(on Marke(ng automa(on Alterian, SiteCore, Inxmail, etc Targe(ng and merchandising Internal search op(misa(on CRM strategy and execu(on Tes(ng programs
June 2010
Datalicious Pty Ltd
> Clients across all industries
June 2010
Datalicious Pty Ltd
> Today
Capturing data
Op-ons, limita-ons, innova-ons
Genera-ng insights
Process, metrics, examples
Taking ac-on
Media, targe-ng, tes-ng
June 2010
Datalicious Pty Ltd
Ques(ons?
Yell out or tweet @datalicious
June 2010
Datalicious Pty Ltd
Clive Humby: Data is the new oil
June 2010
Datalicious Pty Ltd
Oil and data come at a price
June 2010
Datalicious Pty Ltd
> Google Ngram: Privacy
June 2010
Datalicious Pty Ltd
10
Collec(ng data for the sake of it or to add value to customers?

Product Partners Price
Marke(ng
Process
Mix
Physical Evidence
Place
People
Promo(on
June 2010
Datalicious Pty Ltd
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101011010010010010101111010010010101010100001011111001010101 010100101011001100010100101001101101001101001010100111001010 010010101001001010010100100101001111101010100101001001001010
> Capturing data

> Digital data is plen(ful and cheap
June 2010
Datalicious Pty Ltd

Source: Omniture Summit, MaV Belkin, 2007
14
> Digital metric categories

+Social
June 2010
Datalicious Pty Ltd

Source: Accuracy Whitepaper for web analy-cs, Brian CliYon, 2008
15
> What plaIorm to use

Stage 1: Data Stage 2: Insights Stage 3: Ac(on
Third par-es control most data, ad hoc repor-ng only, i.e. what happened?
Data is fully owned in-house, advanced predic-ve modelling Data is being brought in-house, shiY towards and trigger based insights genera-on and marke-ng, i.e. what will happen and data mining, i.e. why making it happen! did it happen?
Time, Control
Sophis-ca-on

16
June 2010
Datalicious Pty Ltd
> Governance and data integrity
June 2010
Datalicious Pty Ltd

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> Tag-less data capture
Google: atomic labs www.atomiclabs.com

> Google data in Australia
Source: hVp://www.hitwise.com/au/resources/data-centre
> Search at all stages
June 2010
Datalicious Pty Ltd

Source: Inside the Mind of the Searcher, Enquiro 2004
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> Search call to ac(on for oine
June 2010
Datalicious Pty Ltd
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June 2010
Datalicious Pty Ltd
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> PURLs boos(ng DM response rates

Text
June 2010
Datalicious Pty Ltd
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> Unique phone numbers

1 unique phone number
Phone number is considered part of the brand Media origin of calls cannot be established Added value of website interac-on unknown
2-10 unique phone numbers

Dierent numbers for dierent media channels Exclusive number(s) reserved for website use Call origin data more granular but not perfect Dicult to rotate and pause numbers
> Unique phone numbers

10+ unique phone numbers
Dierent numbers for dierent media channels Dierent numbers for dierent product categories Dierent numbers for dierent conversion steps Call origin becoming useful to shape call script Feasible to pause numbers to improve integrity Dierent numbers for dierent website visitors Call origin and -me stamp enable individual match Call conversions matched back to search terms
Datalicious Pty Ltd 25
100+ unique phone numbers
June 2010
> Jet Interac(ve phone call data
June 2010
Datalicious Pty Ltd
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> Poten(al calls to ac(on

Unique click-through URLs Calls to ac(on can help shape Unique vanity domains or URLs the customer Unique phone numbers experience not Unique search terms just evaluate Unique email addresses responses Unique personal URLs (PURLs) Unique SMS numbers, QR codes Unique promo-onal codes, vouchers Geographic loca-on (Facebook, FourSquare) Plus regression analysis of cause and eect
June 2010
> Cookie based tracking process
What if: Someone deletes their cookies? Or uses a device that does not support JavaScript? Or uses two computers (work vs. home)? Or two people use the same computer?
June 2010 Datalicious Pty Ltd
Source: Google Analy-cs, Jus-n Cutroni, 2007
28
> Duplica(on across channels

Paid Search Bid Mgmt
Banner Ads
Ad Server
Email Blast
Email PlaIorm
Organic Search
Google Analy(cs
June 2010
Datalicious Pty Ltd
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> De-duplica(on across channels

Paid Search
Banner Ads Central Analy(cs PlaIorm Email Blast
Organic Search
June 2010
Datalicious Pty Ltd
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> Datalicious SuperTag
Ad Sever, Paid Search
SuperTag
Web Analy-cs
Use the same business rules to trigger conversions across all plaIorms to reduce discrepancies
> Unique visitor overes(ma(on

The study examined data from two of the UKs busiest ecommerce websites, ASDA and William Hill. Given that more than half of all page impressions on these sites are from logged-in users, they provided a robust sample to compare IP-based and cookie-based analysis against. The results were staggering, for example an IP-based approach overes-mated visitors by up to 7.6 -mes whilst a cookie-based approach overes(mated visitors by up to 2.3 (mes.
Source: White Paper, RedEye, 2007
32
> Maximise iden(ca(on points

160% 140% 120% 100% 80% 60% 40% 20%
0 4 8 12 16 20 24 28 32 36 40 44 48
Probability of iden-ca-on through Cookies
Weeks
> Customer proling in ac(on

Using website and email responses to learn a liVle bite more about subscribers at every touch point to keep rening proles and messages.
June 2010
Datalicious Pty Ltd
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> Online form best prac(ce

Maximise data integrity Age vs. year of birth Free text vs. op-ons
Use auto-complete wherever possible

> Research online, shop oine
June 2010
Datalicious Pty Ltd

Source: 2008 Digital Future Report, Surveying The Digital Future, Year Seven, USC Annenberg School
36
> Oine sales driven by online

Adver(sing campaign Phone order Credit check, fullment
Retail order
Conrma(on email
Website research
Online order
Online order conrma(on
Virtual order conrma(on
Cookie
June 2010
Datalicious Pty Ltd
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> Summary: Capturing data

Plenty of data sources and planorms Especially search is great free data source Maintaining data integrity takes eort Cookie technology has its limita-ons New tag-less technologies emerging Maximise iden-ca-on points Oine can be -ed to online
101011010010010010101111010010010101010100001011111001010101 010100101011001100010100101001101101001101001010100111001010 010010101001001010010100100101001111101010100101001001001010
> Genera(ng insights

> Corporate data journey

Stage 1 Stage 2
Data
Sophis-ca-on
Insights
Followers
Ac(on
Stage 3
Leaders
Laggards Third par-es control most data, ad hoc repor-ng only, i.e. what happened?
Data is fully owned in-house, advanced predic-ve modelling Data is being brought in-house, shiY towards and trigger based insights genera-on and marke-ng, i.e. what will happen and data mining, i.e. why making it happen! did it happen?
Time, Control

40
June 2010
Datalicious Pty Ltd
> Process is key to success
June 2010
Datalicious Pty Ltd

41
> AIDA and AIDAS formulas

Old media New media
Awareness
Interest
Desire
Ac(on
Sa(sfac(on
Social media
June 2010
Datalicious Pty Ltd
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> Simplied AIDAS funnel
Reach
(Awareness)
Engagement
(Interest & Desire)
Conversion
(Ac-on)
+Buzz
(Sa-sfac-on)
June 2010
Datalicious Pty Ltd
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> Marke(ng is about people
People reached
40%
People engaged
10%
People converted
1%
People delighted
June 2010
Datalicious Pty Ltd
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> Addi(onal funnel breakdowns

Brand vs. direct response campaign
People reached
40%
People engaged
10%
People converted
1%
People delighted
New prospects vs. exis-ng customers
June 2010
Datalicious Pty Ltd
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New vs. returning visitors
June 2010
Datalicious Pty Ltd
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AU/NZ vs. rest of world
June 2010
Datalicious Pty Ltd
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> Poten(al funnel breakdowns

Brand vs. direct response campaign New prospects vs. exis-ng customers Baseline vs. incremental conversions Compe--ve ac-vity, i.e. none, a lot, etc Segments, i.e. age, loca-on, inuence, etc Channels, i.e. search, display, social, etc Campaigns, i.e. this/last week, month, year, etc Products and brands, i.e. iphone, htc, etc Oers, i.e. free minutes, free handset, etc Devices, i.e. home, oce, mobile, tablet, etc
June 2010
> Conversion funnel 1.0

Campaign responses Conversion funnel
Product page, add to shopping cart, view shopping cart, cart checkout, payment details, shipping informa-on, order conrma-on, etc
Conversion event
> Conversion funnel 2.0

Campaign responses (inbound spokes)
Oine campaigns, banner ads, email marke-ng, referrals, organic search, paid search, internal promo-ons, etc
Landing page (hub)

Success events (outbound spokes)
Bounce rate, add to cart, cart checkout, conrmed order, call back request, registra-on, product comparison, product review, forward to friend, etc
> Addi(onal success metrics

Click Through
Click Through
Add To Cart
Cart Checkout
Click Through
Bounce Rate
Pages Per Visit
Avg Cart Value
Click Through
Call back requests
Store Searches
> ...
June 2010
Datalicious Pty Ltd
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Exercise: Sta(s(cal signicance
June 2010
Datalicious Pty Ltd
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How many survey responses do you need if you have 10,000 customers? How many email opens do you need to test 2 subject lines if your subscriber base is 50,000? How many orders do you need to test 6 banner execu(ons if you serve 1,000,000 banners
June 2010
Google nss sample size calculator
Datalicious Pty Ltd
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How many survey responses do you need if you have 10,000 customers? 369 for each ques(on or 369 complete responses How many email opens do you need to test 2 subject lines if your subscriber base is 50,000? And email sends? 381 per subject line or 381 x 2 = 762 email opens How many orders do you need to test 6 banner execu(ons if you serve 1,000,000 banners? 383 sales per banner execu(on or 383 x 6 = 2,298 sales
June 2010
Google nss sample size calculator
Datalicious Pty Ltd
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Exercise: Metrics framework
June 2010
Datalicious Pty Ltd
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> Exercise: Metrics framework

Level Level 1, people Level 2, strategic Level 3, tac(cal Funnel breakdowns
Reach
Engagement
Conversion
+Buzz
> Exercise: Metrics framework

Level Level 1, people Level 2, strategic Level 3, tac(cal Funnel breakdowns
June 2010
Reach People reached Display impressions Interac(on rate, etc
Engagement People engaged
Conversion People converted
+Buzz People delighted
? ?
? ?
? ?
Exis(ng customers vs. new prospects, products, etc
Datalicious Pty Ltd
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> Establishing a baseline

Switch all adver-sing o for a period of -me (unlikely) or establish a smaller control group that is representa-ve of the en-re popula-on (i.e. search term, geography, etc) and switch o selected channels one at a -me to minimise impact on overall conversions.
June 2010
Datalicious Pty Ltd
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> Combining data sources

Website behavioural data
Campaign response data
+
Datalicious Pty Ltd
The whole is greater than the sum of its parts
Customer prole data
June 2010
59
> Transac(ons plus behaviours

CRM Prole
one-o collec-on of demographical data customer lifecycle metrics and key dates predic-ve models based on data mining
Site Behaviour
age, gender, address, etc
protability, expira(on, etc propensity to buy, churn, etc

historical data from previous transac-ons
average order value, points, etc
+
Datalicious Pty Ltd
browsing, checkout, etc

tracking of content preferences
tracking of purchase funnel stage
products, brands, features, etc

tracking of external campaign responses
search terms, referrers, etc

tracking of internal promo-on responses
emails, internal search, etc
Updated Occasionally
June 2010
Updated Con(nuously
60
> Sample customer level data
June 2010
Datalicious Pty Ltd
61
> Enhancing data sources

Customer prole data
Geo-demographic data
+
Datalicious Pty Ltd
The whole is greater than the sum of its parts
3rd party data
June 2010
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> Geo-demographic segments
June 2010
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June 2010
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> Hitwise Mosaic segment swing

australia.com vs. newzealand.com australia.com vs. bulaji.com
June 2010
Datalicious Pty Ltd

Source: Hitwise, 2006
65
> Single source of truth repor(ng
Insights
Repor(ng
66
June 2010
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Thinking outside the box
June 2010
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> Store locator searches
June 2010
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> Search and brand strength
June 2010
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> Search and media planning
June 2010
Datalicious Pty Ltd
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> Search driving oine crea(ve
June 2010
Datalicious Pty Ltd
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> Importance of calendar events
Trac spikes or other data anomalies without context are very hard to interpret and can render data useless
> Summary: Genera(ng insights

Right resources and processes are key Dene a standardised metrics framework Maintain framework to enable comparison Combine data sets for hidden insights Establish a single (data) source of truth Think outside the box and across channels Data does not equal signicance
101011010010010010101111010010010101010100001011111001010101 010100101011001100010100101001101101001101001010100111001010 010010101001001010010100100101001111101010100101001001001010
> Taking ac(on

> Smart data driven marke(ng

Using data to widen the funnel
Media A;ribu(on & Modeling

Op(mise channel mix, predict sales
Targeted Direct Marke(ng

Increase relevance, reduce churn
Tes(ng & Op(misa(on

Remove barriers, drive sales
Boos(ng ROI
> Campaign ow and calls to ac(on

= Paid media = Viral elements = Coupons, surveys
Organic search
PR, WOM, events, etc
YouTube, blog, etc
Home pages, portals, etc
Paid search
TV, print, radio, etc
Direct mail, email, etc C1
Landing pages, oers, etc C2
Display ads, aliates, etc
CRM program
Facebook Twi;er, etc C3
POS kiosks, loyalty cards, etc
Call center, retail stores, etc
June 2010
Datalicious Pty Ltd
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> Success a;ribu(on models

Banner Ad Paid Search Organic Search $100 Success
$100
Last channel gets all credit
Banner Ad $100
Paid Search
Email Blast
Success
$100
First channel gets all credit
Paid Search $100
Banner Ad $100
Aliate Referral $100
Success
$100
All channels get equal credit
Print Ad $33
Social Media $33
Paid Search $33
Success
$100
All channels get par(al credit

78
June 2010
Datalicious Pty Ltd
> First and last click a;ribu(on

Chart shows percentage of channel touch points that lead to a conversion.
Paid/Organic Search
Emails/Shopping Engines
Neither rst nor last-click measurement would provide true picture

79
June 2010
Datalicious Pty Ltd
> Full path to purchase

Introducer Inuencer Inuencer Closer
SEM Generic
Banner Click
Direct Visit
SEO Branded
Online
Banner View
SEO Generic
Aliate Click
Social Media
Oine
TV Ad
SEO Branded
Direct Visit
Email Update
Abandon
June 2010
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> Understanding channel mix
June 2010
Datalicious Pty Ltd
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> ClearSaleing media a;ribu(on
June 2010
Datalicious Pty Ltd
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June 2010
Datalicious Pty Ltd
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Targe(ng
The right message Via the right channel To the right person At the right -me
> Increase revenue by 10-20%

Capture internet trac
Capture 50-100% of fair market share of trac
Increase consumer engagement
Exceed 50% of best compe-tors engagement rate
Capture qualied leads and sell Building consumer loyalty
Convert 10-15% to leads and of that 20% to sales
Build 60% loyalty rate and 40% sales conversion
Increase online revenue

Earn 10-20% incremental revenue online

85
> New consumer decision journey

The consumer decision process is changing from linear to circular.
June 2010
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> New consumer decision journey

The consumer decision process is changing from linear to circular.
Online research Change increases the importance of experience during research phase.
June 2010
Datalicious Pty Ltd
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> Coordina(on across channels

Genera(ng awareness
TV, radio, print, outdoor, search marke-ng, display ads, performance networks, aliates, social media, etc
Crea(ng engagement
Retail stores, in-store kiosks, call centers, brochures, websites, mobile apps, online chat, social media, etc
Maximising revenue
Outbound calls, direct mail, emails, social media, SMS, mobile apps, etc
O-site targe(ng
June 2010
On-site targe(ng
Datalicious Pty Ltd
Prole targe(ng
89
> Combining targe(ng plaIorms

O-site targe-ng
Prole targe-ng
On-site targe-ng
June 2010
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June 2010
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Take a closer look at our cash ow solu(ons June 2010 Datalicious Pty Ltd 92
June 2010
Datalicious Pty Ltd
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> Combining technology
On-site segments
O-site segments
CRM
June 2010
Datalicious Pty Ltd
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> Datalicious SuperTag
One tag for all sites and planorms Hosted internally or externally Fast tag implementa-on/updates Eliminates JavaScript caching Enables code tes-ng on live site Enables heat map implementa-on Enables redirects for A/B tes-ng Enables network wide re-targe-ng Enables live chat implementa-on Plus mul--channel media aVribu-on
> Anity re-targe(ng in ac(on

Dierent type of visitors respond to dierent ads. By using category anity targe-ng, response rates are liYed signicantly across products.
Message Blackberry Bold CTR By Category Anity Postpay Prepay Broadb. Business
+ -
+ + -
+ + +
96
Google: vodafone omniture case study or h;p://bit.ly/de70b7

June 2010
5GB Mobile Broadband Blackberry Storm 12 Month Caps
Datalicious Pty Ltd
> Ad-sequencing in ac(on

Marke-ng is about telling stories and stories are not sta-c but evolve over -me
Ad-sequencing can help to evolve stories over -me the more users engage with ads
> Sample site visitor composi(on

30% new visitors with no previous website history aside from campaign or referrer data of which maybe 50% is useful 30% repeat visitors with referral data and some website history allowing 50% to be segmented by content anity 10% serious prospects with limited prole data
98
30% exis(ng customers with extensive prole including transac-onal history of which maybe 50% can actually be iden-ed as individuals
Exercise: Targe(ng matrix
June 2010
Datalicious Pty Ltd
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> Exercise: Targe(ng matrix

Purchase Cycle Default, awareness Research, considera(on Purchase intent Reten(on, up/cross-sell
Segments: Colour, price, product anity, etc
Media Channels
Data Points
> Exercise: Targe(ng matrix

Purchase Cycle Default, awareness Research, considera(on Purchase intent Reten(on, up/cross-sell
June 2010
Segments: Colour, price, product anity, etc Have you seen A? A has great features! A delivers great value! Why not buy B? Have you seen B? B has great features! B delivers great value! Why not buy A?
Datalicious Pty Ltd
Media Channels Display, search, etc Search, website, etc Website, emails, etc Direct mails, emails, etc
Data Points Default Ad clicks, prod views Cart adds, checkouts Email clicks, logins, etc
101
> Quality content is key

Avinash Kaushik: The principle of garbage in, garbage out applies here. [ what makes a behaviour targe;ng pla<orm ;ck, and produce results, is not its intelligence, it is your ability to actually feed it the right content which it can then target [. You feed your BT system crap and it will quickly and eciently target crap to your customers. Faster then you could ever have yourself.
> ClickTale tes(ng case study
June 2010
Datalicious Pty Ltd
103
> Developing a tes(ng matrix

Test Test #1A Test #1B Segment Content KPIs Poten(al Results
New Conversion Next step, prospects form A order, etc New Conversion Next step, prospects form B order, etc New Conversion Next step, prospects form N order, etc
? ? ? ?
? ? ? ?
104
Test #1N
?
June 2010
Datalicious Pty Ltd
> Summary
There is no magic formula for ROI Focus on the en-re conversion funnel Media aVribu-on is hard but necessary Neither rst nor last click method works Create a coordinated targeted experience Content is always king no maVer what Test, learn and rene con-nuously
Dont wait for be;er data, get started now.

cbartens@datalicious.com blog.datalicious.com twi;er.com/datalicious

Contact me Learn more Follow me
Data > Insights > Ac(on
June 2010
Datalicious Pty Ltd
108

Digi-Tech Analytics Workshop: Smart Data Driven Marketing

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>

Marke(ng Data Strategy <

> Short but sharp history

> Smart data driven marke(ng

Media A;ribu(on & Modeling

Targeted Direct Marke(ng

Tes(ng & Op(misa(on

> Wide range of data services

Datalicious Pty Ltd

> Clients across all industries

Datalicious Pty Ltd

Datalicious Pty Ltd

Datalicious Pty Ltd

Clive Humby: Data is the new oil

Datalicious Pty Ltd

Oil and data come at a price

Datalicious Pty Ltd

> Google Ngram: Privacy

Datalicious Pty Ltd

Collec(ng data for the sake of it or to add value to customers?

Product Partners Price

Datalicious Pty Ltd

101011010010010010101111010010010101010100001011111001010101 010100101011001100010100101001101101001101001010100111001010 010010101001001010010100100101001111101010100101001001001010

> Capturing data

> Digital data is plen(ful and cheap

Datalicious Pty Ltd

> Digital metric categories

Datalicious Pty Ltd

> What plaIorm to use

Datalicious Pty Ltd

> Governance and data integrity

Datalicious Pty Ltd

> Tag-less data capture

Google: atomic labs www.atomiclabs.com

> Google data in Australia

> Search at all stages

Datalicious Pty Ltd

> Search call to ac(on for oine

Datalicious Pty Ltd

Datalicious Pty Ltd

> PURLs boos(ng DM response rates

Datalicious Pty Ltd

> Unique phone numbers

2-10 unique phone numbers

> Unique phone numbers

100+ unique phone numbers

> Jet Interac(ve phone call data

Datalicious Pty Ltd

> Poten(al calls to ac(on

> Cookie based tracking process

> Duplica(on across channels

Datalicious Pty Ltd

> De-duplica(on across channels

Banner Ads Central Analy(cs PlaIorm Email Blast

Datalicious Pty Ltd

> Datalicious SuperTag

Ad Sever, Paid Search

> Unique visitor overes(ma(on

> Maximise iden(ca(on points

Probability of iden-ca-on through Cookies

> Customer proling in ac(on

Datalicious Pty Ltd