The big secret: Marketing is still difficult Or what no one wants to admit about technology There’s no magic potion for executing a successful marketing campaign through digital channels. Technologies, such as SSPs, DSPs and RTB are already showing their limitations See blog post at http://thethingis.typepad.com David Levy Thought leadership for digital business [email_address] http://thethingis.typepad.com
Not all of them buy your products and services Some of them bought once but have not done so again Some like your advertising and have clicked on banners Some come to your site to look at content Some just browse
Most of your revenue comes from a small group, say 33%
<ul><li>Once you get another “set” of customers, you should see a similar distribution of buying patterns </li></ul>Double revenue by doubling the audience, via SCALE <ul><li>By doubling the audience, you have also acquired another 33% “slice” of buyers </li></ul>
<ul><li>Use CRM, offers and better data to stimulate purchase from those who hadn’t before </li></ul>Or convert more people into buyers via EFFICIENCY <ul><li>While the total audience is still the same, the “slice” of buyers has now doubled </li></ul>
Generally, companies have to make a trade off. Conventional wisdom suggests that doubling your audience via scale --say through search or display advertising--is cheaper and easier than doubling your audience via efficiency —say by executing a sophisticated data driven customer relationship marketing strategy to cross-sell and up-sell your existing audience which is harder and more expensive
The solution: Technology to the rescue! The phenomena of real time bidding (RTB), supply side platforms (SSPs) and demand side platforms (DSPs) and a host of other alphabetic technologies were supposed to allow marketers to do both …first via efficiency , then through scale
First get efficient: Learn what motivates your audience to buy Through testing, you can understand what motivate these folks to buy, then… … apply those lessons to the rest of the audience, and, Voila!... You have the insights and data you need to convert more browsers into buyers...there’s your efficiency
Now Scale it! Apply algorithms, appended data and smart analytics to acquire new audiences that are more likely to buy your products and services. In other words, stop wasting your money attracting the people who merely browse. Only acquire the buyers…and get them every time!
Point your rtb/ssp/dsp at more profitable audiences Media buying and selling technologies give you efficiency in buying at scale
One day, and soon!, you can be 100% efficient Machine: “Only acquire purchasing customers”
The things is…the audiences don’t scale Yikes! You’re only more efficient.
There is no magic potion, or technology Media buying and selling technologies help you manage your marketing portfolio
You need to raise awareness You need to get audiences at scale You need to be efficient You need to build relationships You need to be social Manage your portfolio. You need to do it all!