Spending on social media marketing will rivalemail by 2012 according to Forrester
Luckily this reflects how consumers are usingmultiple ways to interact with brands
Although this is dependent on their age group... Pew Internet Research Dec 2010
With such high investment, successfulintegration is essential
Although they are still using the more obvioussocial networks
Incremental reach can be easily gained by usingthese major platforms 90 Trillion Emails sent in 2009 500 Million Active Facebook Users 10 Billion+ Tweets Sent Since 2006 2 Billion Videos Streamed Each Day
But varying depth of engagement across digitalchannels leads to different outcomes Greater commitment at sign up is more likely to induce advocacy and future purchase likelihood.
The decision / purchase process has becomemuch more complex And equally important, customer value now needs to include more than just sales metrics – influence, participation etc
To tailor the customer journey intelligent use ofdata is essentialNeeds & Attitudes LocationConsumer Segment Preferred retailerHousehold Composition Distance to retailersAge Travel timeIncome Likely mode of transportMotivations & BarriersLikely occasionsCompelling offers & partnerships Digital BehaviourNPD appeal Data Social & Mobile Technographics Email receptivity – open / CTRsPotential Value Ad Exposure - placement, format etc Web Analytics – site visits/pages/timeAverage visit frequency & spendConcession expenditureProduct trial propensityOverall peer group headroom Transaction HistoryCross & up-sell likelihoodAdvocacy membership propensity Purchase value & frequencyNet Promoter Score Products purchasedLikely Influencer Score Online vs. offline sales Standard price vs. discount ratio
This data ultimately drives all digital activity,ensuring it is consistent, relevant & timelyIndividual Data Aggregate DataData from these sources is Email Search Usually held at an aggregategenerally held at an individual (anonymous) level, so difficultcustomer level, so is easily to allocate to an individualconsolidated to create a single customer without the use ofcustomer view. passive tracking cookies. Use of tracking cookies would Social Central Display require changes to the opt-in terms & conditions, and all Data customers would be driven towards incentivised acceptance of new T&Cs e-tailer Analytics“ Almost half of respondents selected coordination of communication acrosschannels (49%) and personalising messages based on consumer behaviour(48%) as their top two challenges…”Trends in Cross-Channel Campaign Management: Emerging Channels Outpace Existing Solutions,Forrester Research Inc. (April 14, 2010)
To better understand the full customer journey Two days later, Kate spots your targeted display ad for the merchandise she browsed. Kate clicks your ad and explores further at your website, using your slick product comparison interface and signing up for a newsletter before clicking away. Kate searches the web for one of 2 your new FMCG products. She clicks on your paid search ad and browses product pages on your website, but 4 leaves without a purchase (despite deep links to the e-tailer basket). 1 But you don’t see Kate online again. You retarget her with another email and display ads, but they generate no click-through. What happened? 3In fact, your online marketing was a success. Your online ads Later in the week, you send Kate aand email intrigued & persuaded Kate, so she bought the personalised email. She clicksitem she browsed online in her nearest supermarket. But through, browses again, and makesyou never know about that, because the transaction was her way to your Facebook fan page, where she reads products reviews byrecorded in a retailer ePOS system beyond your reach. How fellow socialisers.do we include robust sales data to derive ROI?
And also their digital behaviour... Food Explorers Mobile internet 100 Age 20- 34 and C1 or C2 or D and I always have fun at parties Im always on the look-out for Bluetooth 80 Take pictures new exciting things to do and I have a positive outlook on life 60 Source: CCS Media & Client Study (January 2009) Weighted by: Population 1911 (000) 40 20 Access social network 0 MMS Web Segment 100 UK average Mobile Google IM Plat games 80 Listen music Download software 60 Email Mobile 40 Forums 100 20 80 Social Networks IM 60 0 40 20 0 Manage photos Games Read blog Write blog buzz Read blog Watch video channel usage Mys pace Podcast Forums 100 80 60 Flickr Facebook 40 20 Inactives 0 Spectators Joiners Collectors Bebo Youtube Critics Creators Friends Reunited 0 10 20 30 40 50 60 70 80 90 100 social behaviour Source: Forrester Research Technographics® surveys, 2009 social consumption
This will allow targeted comms for each segmentWhat are the benefits of a customer segmentation?• Divide the market into meaningful and measurable High segments according to their sentiment, influence score & Brand Sentiment frozen food needs• Determine the potential of each segment by analysing the Medium impact of serving each segment• Target segments according to their sales & influence potential Low• Invest resources to tailor product, service and marketing programmes to match the needs (and influence potential) of each customer segment• Measure performance of each segment and adjust the segmentation approach over time as market conditions change. Customers will be segmented on 3 unique criteria based on data collected at registration / competition entry: 1. Brand Sentiment – based on a single NPS question 2. Influence Potential – based on social media usage, volume of friends/fans/followers and contact freq 3. Consumer Segment – initially based on existing segment attribution questions 4. As digital tracking data reaches critical mass we can also overlay engagement scores & propensity models
Create segment journeys to drive regular purchase Occasion Targeting Data-driven Drive back promotion promotion Prospect Phase Register / time & place info1st contact point 1st Purchase(search, display, web, local press) MGM / Welcome & up-sell Refer-a-friend Advocacy Phase Post-purchase survey Re-activation Phase Win-back offer Customer Data-driven promotion Retention Phase• Journeys will be different for each segment• Use all available touchpoints (email, mobile, 3rd Purchase 2nd Purchase social networks, site content, search) to drive long term brand engagement Product Cross-sell Thank you & free upgrade Push to Facebook
Which will provide a broader platform forinteracting with the brand....
Evolution of the current CRM offering CRM eCRM sCRM Customer Value Customer Value Customer Value Engagement Participation Influence scoresCRM recognizes that whether someone recommended, purchased, or simplyrecognized a product or service publicly makes an impact on behaviour atvarying levels.
The objective is to increase the value & lengthof the customer lifecycle Acquire Convert Grow Retain Empower Best Customer Lifecycle Advocacy Customer satisfaction Social Participation Cross & Up sell Loyalty Typical benefits Customer Lifecycle Activation Drive visit freq Welcome Lead nurture Bespoke time & place info Suspect Prospect Customer Active Customer Advocate Search Search Email Social Media Social Media Channel Display Email Social Media Mobile Mobile Site Listings Site Listings Site Listings Email Email Local Press Local Press Local Press Site Content Site Content
Achieved by using both traditional email and real-time social approachesReal Time Social Our Approach Traditional email Acquire Convert Grow Retain Empower Events Data Triggers Personalised Segmentation Programs Lifestyle Campaigns Marketing Behaviour RFM / LTV Influence ROI Suspect Prospect Customer Active Advocate Customer Awareness Retention Participation Multichannel Digital CRM Loyalty Acquisition Advocacy
sCRM – Intelligent use of data is essential Social CRM is achieved through the integration of digital analytics (web, email, mobile, search, video etc), social media analytics and other CRM management analytics to determine and articulate social media ROI (e.g. Radian6 with WebTrends and Alterian)
Making it happen right now Court your best email customers and encourage them to 1 become fans or followers in social media Then provide them with the tools to share their knowledge and 2 their passion Use analytics to segment your database and send targeted 3 communications that inspire commenting and sharing Use the combination of email and social media to provide 4 multiple ways for consumers to interact with the brand – brand interactions in social media are often perceived as less intrusive