Activation, retention & engagement strategy
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Activation, retention & engagement strategy

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• Conduct usability testing to optimize customer activation ...

• Conduct usability testing to optimize customer activation
• Match metrics to business types
• Create a customer oriented culture and build a vibrant community
• Increase referrals among current customers and use social media graphs to increase virality

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  • This is the customer funnel. Who is familiar with this? SEO goals were about acquiring and activating customers. But there other part of the funnel are…
  • Each part of the funnel is associated with different metrics
  • We can figure out what metric your company needs to focus on, and where in the funnel, if we know two things…Any terms you don’t understand?
  • SEOmoz – Saas & empathy (revenue)CAC = Customer Acquisition CostCLV = customer lifetime valueWoM = word of mouthCPE = cost per engagementARPDAU = average revenue per daily active user
  • Split room into three. Have each group pick a company and discuss these two questions- Media- software app- e-commerce
  • SEOmoz – Saas & empathy (revenue)
  • TALK TO NEIGHBOR TO DISCUSS WHAT WE JUST COVERED
  • CrazyEgg (heatmap), TechSmithMorae / UserVue (ux recording), RobotReplay, TapeFailure
  • In 2009, NPR engaged in extensive usability testing to inform the redesign of its website. The process was guided by several different types of performance and satisfaction testing, which included interviewing, user needs exploration, guided brainstorming, prototyping, and several rounds of more traditional usability testing. NPR’s site objectives emphasized the need for an intuitive, streamlined user experience for both the visitors to the site and the staff responsible for adding content. Other key considerations included designing an experience that makes it easy to combine reading with listening, increasing mobile accessibility, and developing a fresh “look” that matches the familiar “sound” of NPR programming.
  • Discuss satisfaction and performance
  • Not only does Yelp get more reviews than its predecessors, but it also has a much more loyal base of reviewers. The vast majority of people who left reviews on Citysearch and Yahoo Local only posted one or a couple reviews, while only a small fraction of Yelp users have posted just one review.
  • People want to be proud about what they display. How can they do that? Is it email? Text? Or do you rely on a social graph?
  • Network effects
  • Other people can comment or buy a product

Activation, retention & engagement strategy Activation, retention & engagement strategy Presentation Transcript

  • Activation, Retention &Engagement Strategy @eric3000 @eric3000
  • Where You Can Find Today’s Slides http://www.bit.ly/emetelka @eric3000
  • Introductions☐ Name☐ Where you work/what you’re working on☐ Goals for today @eric3000
  • Im Eric Metelka, founder and CEO of Full StackMarketing, a full featured digital marketingconsulting firm for startups. I am a formermanagement consultant and the former digitalmarketing manager at BestVendor. @eric3000
  • My Goals for TodayYou know how to choose the one metric that matters to your product or brandYou are able to guide and construct a usability testYou can align user behaviors and motivations to create engagementYou understand the tactics to increase referrals in your product @eric3000
  • What I Am Going to Cover☐ Introduction & Definitions – 30 mins☐ Matching Metrics - 30 mins☐ Activation – 30 mins☐ Engagement – 30 mins☐ Referral & Virality – 30 mins☐ Recap/Evaluation/Questions - 15 mins @eric3000
  • Definitions @eric3000
  • Acquisition – noun /ˌækw ɪˌzɪʃ(ə)n/• The process of buying something or obtaining it in some other way• When a customer comes to the site from various channels or downloads an app @eric3000
  • Examples of Acquisition (note: not actuals)Category User Status Conv % Est. ValueAcquisition Visit Site 100% $.01 (or landing page, or external widget)Acquisition Doesnt Abandon 70% $.05 (views 2+ pages, stays 10+ sec, 2+ clicks) @eric3000
  • Activation – noun /ˌ æktɪˌve ɪʃ(ə)n/• Making a piece of equipment or a process start working• Starting the use of a product, often by creating a login• In ecommerce, starting the shopping process by completing at least transaction• In Mobile, using the basic features of the app• Customer enjoys 1st visit: "happy" user experience @eric3000
  • Examples of Activation (note: not actuals)Category User Status Conv % Est. ValueAcquisition Visit Site 100% $.01 (or landing page, or external widget)Acquisition Doesnt Abandon 70% $.05 (views 2+ pages, stays 10+ sec, 2+ clicks) Activation Happy 1st Visit 30% $.25 (views X pages, stays Y sec, Z clicks) Activation Email/Blog/RSS/Widget Signup 5% $1 (anything that could lead to repeat visit) Activation Acct Signup 2% $3 (includes profile data) @eric3000
  • Engagement - noun /ɪnˌ ɡeɪdʒmənt/• The feeling of being involved in a particular activity• The period of time during which a user such stays involved with your product• Customers come back and visit site multiple times @eric3000
  • Examples of Engagement (note: not actuals)Category User Status Conv % Est. ValueAcquisition Visit Site 100% $.01 (or landing page, or external widget)Acquisition Doesnt Abandon 70% $.05 (views 2+ pages, stays 10+ sec, 2+ clicks) Activation Happy 1st Visit 30% $.25 (views X pages, stays Y sec, Z clicks) Activation Email/Blog/RSS/Widget Signup 5% $1 (anything that could lead to repeat visit) Activation Acct Signup 2% $3 (includes profile data)Engagement Email Open / RSS view -> Clickthru 3% $2Engagement Repeat Visitor 2% $5 (3+ visits in first 30 days) @eric3000
  • ɪVirality- noun /vʌɪˌral ti/• The tendency of an image, video, or piece of information to be circulated rapidly and widely from one Internet user to another• Customers like product enough to refer others @eric3000
  • Examples of Virality (note: not actuals)Category User Status Conv % Est. ValueAcquisition Visit Site 100% $.01 (or landing page, or external widget)Acquisition Doesnt Abandon 70% $.05 (views 2+ pages, stays 10+ sec, 2+ clicks) Activation Happy 1st Visit 30% $.25 (views X pages, stays Y sec, Z clicks) Activation Email/Blog/RSS/Widget Signup 5% $1 (anything that could lead to repeat visit) Activation Acct Signup 2% $3 (includes profile data)Engagement Email Open / RSS view -> Clickthru 3% $2Engagement Repeat Visitor 2% $5 (3+ visits in first 30 days) Virality Refer 1+ users who visit site 2% $3 Virality Refer 1+ users who activate 1% $10 @eric3000
  • Matching Metrics to Your Business @eric3000
  • Types of Metrics & Measurement• Qualitative: Usability Testing / Session Monitoring – Watch what users do, figure out problems & solutions from small # of users• Quantitative: Traffic Analysis / User Engagement – Report what users do, track usage & conversion %s for all or empirical sample # of users• Comparative: A/B, Multivariate Testing – Compare what users do in one scenario vs another, see which copy/graphics/UI are most effective• Competitive: Monitoring & Tracking Competitors – Track competitor activity & compare against yours; if possible compare channels, keyword traffic, demographic targeting, user satisfaction, etc. @eric3000
  • Measurement Tools• Qualitative: Usability Testing / Session Monitoring – Qualtrics (surveys), CrazyEgg (heatmap), TechSmith Morae / UserVue (ux recording), RobotReplay, TapeFailure.• Quantitative: Traffic Analysis / User Engagement – Google Analytics (free), Mixpanel, Kissmetrics, Flurry, MyBlogLog, ClickTracks, Index Tools, Visual Sciences / Webside Story, Omniture, WebTrends.• Comparative: A/B, Multivariate Testing – Google Website Optimizer, SiteSpect, Optimost, Offermatica, Vertster, Kefta.• Competitive: Monitoring & Tracking Competitors – Quantcast, Compete.com, Alexa, Hitwise, Comscore, Nielsens. @eric3000
  • Customer Funnel @eric3000
  • Metric Funnel @eric3000
  • Your Business Model Your Business Stage (Monetization) (Lifecycle)• Ecommerce • Empathy• 2 sided market • Stickiness• SaaS • Virality• Mobile app • Revenue• User-generated content • Scale• Media @eric3000
  • E- 2 Sided Mobile User-gen commerce Market SaaS app content MediaEmpathy Interviews, qualitative results, quantitative scoring, surveys Loyalty, Inventory, Engagement, Downloads, Traffic, visits, Content, spamStickiness conversion listings churn churn, virality returns CAC, shares, Inherent WoM, app Content, SEM, sharing Invites, sharing Virality reactivation virality, CAC ratings, CAC virality, SEM (Money from transactions) (Money from active users) (Money from ad clicks) Transactions, Transactions, Upselling, CAC, CPE, affiliate %, Revenue CLV Commission CLV CLV, ARPDAU Ads, donations eyeballs Scale Affiliates, whit Other verticals API, magic #, Spinoffs, publis Analytics, user Syndication, e-label marketplace hers data licenses @eric3000
  • What metrics would you want tolook at? What direction do youwant the metric to be going in? @eric3000
  • E- 2 Sided Mobile User-gen commerce Market SaaS app content MediaEmpathy Interviews, qualitative results, quantitative scoring, surveys Loyalty, Inventory, Engagement, Downloads, Traffic, visits, re Content, spamStickiness conversion listings churn churn, virality turns CAC, shares, Inherent WoM, app Content, SEM, sharing Invites, sharing Virality reactivation virality, CAC ratings, CAC virality, SEM (Money from transactions) (Money from active users) (Money from ad clicks) Transactions, Transactions, Upselling, CAC, CPE, affiliate %, Revenue CLV Commission CLV CLV, ARPDAU Ads, donations eyeballs Scale Affiliates, Other verticals API, magic Spinoffs, Analytics, user Syndication, white-label #, marketplace publishers data licenses @eric3000
  • Choose one actionable metric to followUnderstand your product market and stage @eric3000
  • Activation @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Dev SocialNetworks Blogs AffiliatesApps & Direct, Tel,Widgets Email TV Domains 1. ACQUISITION Website.com @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Dev SocialNetworks Blogs AffiliatesApps & Direct, Tel,Widgets Email TV Domains 1. ACQUISITION Marketing Channels: •Largest volume (#) •Lowest cost ($) •Best performing (%) Website.com @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Dev SocialNetworks Blogs AffiliatesApps & Direct, Tel,Widgets Email TV Domains 1. ACQUISITION Homepage / Landing Page Product Features Website.com @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Dev Illustrative Activation SocialNetworks Criteria: Blogs AffiliatesApps & Direct, Tel, • 10-30+ secondsWidgets Email TV 1. ACQUISITION • 2-3+ page views Domains • 3-5+ clicks Homepage / Landing • 1 key feature usage Page Product Features Website.com @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Dev Illustrative Activation SocialNetworks Criteria: Blogs AffiliatesApps & Direct, Tel, • 10-30+ secondsWidgets Email TV 1. ACQUISITION • 2-3+ page views Domains • 3-5+ clicks Homepage / Landing • 1 key feature usage Page Product Do LOTS of landing Features page tests & A/B tests - just make lots of dumb guesses & iterate QUICK Website.com @eric3000
  • How to Test Activation• Performance - an objective measure of how well a particular website works. It is strictly utilitarian, and it is concerned primarily with effectiveness and efficiency. @eric3000
  • Performance Metrics  Task Test - observing the steps testers take to complete task actions @eric3000
  • How to Test Activation II• Satisfaction - a subjective measure of how users feel while interacting with a website. It is concerned with how the information looks, how the content is organized, and how the user feels navigating around the site. @eric3000
  • Satisfaction Testing  Open-Ended Test – monitoring tester exploration of the site without specific instructions @eric3000
  • Implementing Testing @eric3000
  • Diagnosing Your Site @eric3000
  • Activity: Google “Jeans” @eric3000
  • @eric3000
  • Raise your hand when you bounce from the page @eric3000
  • Testing is crucial to activating new customersUnderstand the difference between performance goals and satisfaction goals @eric3000
  • Engagement @eric3000
  • Customer Funnel Campaigns, SEO SEM PR Contests Biz Social Network Dev Blogs Affiliates s Apps & Direct, Widgets Email Tel, TV Domains 1. ACQUISITION Homepage / Landing Page Automated Emails Product FeaturesSystem Events & Time- based Features Blogs, Content Website.com @eric3000
  • Customer Funnel Campaigns, SEO SEM PR Contests Biz Social Network Dev Blogs AffiliatesAutomated emails are simple & s Apps & Direct,easy retention feature. Lifecycle Widgets Email Tel, TVemails @ +3, +7, +30d Domains 1. ACQUISITION Homepage / Landing Page Automated Emails Product Features System Events & Time- based Features Blogs, Content Website.com @eric3000
  • Customer Funnel Campaigns, SEO SEM PR Contests Biz Social Network Dev Blogs AffiliatesAutomated emails are simple & s Apps & Direct, Teleasy retention feature. Lifecycle Widgets Email , TVemails @ +3, +7, +30d Domains 1. ACQUISITION Homepage / Landing PageEvent-based emails Automated Emailsas they occur Product Features System Events & Time- based Features Blogs, Content Website.com @eric3000
  • Customer Funnel Campaigns, SEO SEM PR Contests Biz Social Network Dev Blogs AffiliatesAutomated emails are simple & s Apps & Direct,easy retention feature. Lifecycle Widgets Email Tel, TVemails @ +3, +7, +30d Domains 1. ACQUISITION Homepage / Landing PageEvent-based emails Automated Emailsas they occur Product Features System Events & Time- based Features Blogs, Content Email newsletters weekly/monthly Website.com @eric3000
  • Community Building - Yelp @eric3000
  • Citysearch had a 28-month headstart and had collected more than112,000 restaurant reviews by thetime Yelp had its first restaurantreview @eric3000
  • Yelp Members Write More Reviews @eric3000
  • How Did Yelp Build Community? Tie Identity &  Yelp members have a public profile page that Reputation to records their activities Product  Member reviews rated as intelligent, fair, Encourage Quality knowledgeable, public- spirited, and cool with Signals  Members rewarded with “elite” status in profileOn-line and Off-line  Exclusive access to offline parties and events Rewards  Some members are hired as communityEmpowering Users managers  Discussion forum for further adding to the site’s social aspects @eric3000
  • @eric3000
  • Rewards @eric3000
  • Notifications of New Content @eric3000
  • Email Newsletters Curate Content Interesting Personalized Timely @eric3000
  • Lifecycle Emails Re-engage Lapsed Customers @eric3000
  • Align user motivation, behavior, and long- term valueReward members for their contributionRe-engage your customers via the appropriate channel (Email today)Listen to your customers and understand how they are using your product @eric3000
  • Referral & Virality @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Social Networ Blogs Affiliate Dev ks Apps & s Direct, Widgets Email Tel, TV Campaigns, Domain 1. ACQUISITION Contests s Homepage / Landing Emails & Page Alerts Emails & Product widgetsSystem Events & Time- Features based Features Blogs, Content Website.com @eric3000
  • Customer Funnel SEO Campaigns, SEM PR Contests Biz Social Networ Blogs Affiliate Dev ks Apps & s Direct, Widgets Email Tel, TV Campaigns, Domain 1. ACQUISITION Contests s Homepage / Landing Emails & Page Alerts Emails & Product widgetsSystem Events & Time- Features based Features Blogs, Content Only encourage users to refer *after* they have “happy” user experience; Website.com avg score >= 8 out of 10 @eric3000
  • Calculating Growth ConversionK = i X % @eric3000
  • Calculating Growth Number of Invitations Invitations Accepted Viral Sentcoefficient = X (K) Number of Number of Invitations Users Sent @eric3000
  • Calculating Growth Invitations Accepted Viralcoefficient = (K) Number of Users @eric3000
  • MathYou have 2000 customersThose customers invite 5000 of their friendsOf those invitations, 500 are accepted @eric3000
  • MathYou have 2000 customersThose customers invite 5000 of their friendsOf those invitations, 500 are acceptedHow fast are you growing?Are you viral? @eric3000
  • MathYou have 2000 customersThose customers invite 5000 of their friendsOf those invitations, 500 are acceptedHow fast are you growing? K = .25Are you viral? No @eric3000
  • Trend to Zero27002600250024002300220021002000 @eric3000
  • MathYou have 2000 customersThose customers invite 5000 of their friendsOf those invitations, 2500 are acceptedHow fast are you growing?Are you viral? @eric3000
  • MathYou have 2000 customersThose customers invite 5000 of their friendsOf those invitations, 2500 are acceptedHow fast are you growing? 1.25Are you viral? Yes! @eric3000
  • Viral Growth920008200072000620005200042000320002200012000 2000 @eric3000
  • How to Increase K ConversionK = i X % @eric3000
  • How to Increase K ConversionK = i X %  Make invites central to the product  Network effects  Reward for invites  Dropbox  Gamification  Make sending invites easy  Social sharing @eric3000
  • How to Increase K ConversionK = i X %  Test invite creative  Test invite format  Social?  Email?  SMS?  Test sign-up incentives  Dropbox @eric3000
  • The Actual Formula Is a Bit More Complicated… @eric3000
  • The Actual Formula Is a Bit More Complicated… TIME! @eric3000
  • How to Increase Speed @eric3000
  • So Should I Put Like Buttons Everywhere? @eric3000
  • So Should I Put Like Buttons Everywhere?How can a customer create content that reaches non-customers? @eric3000
  • So Should I Put Like Buttons Everywhere?How can a customer create content that reaches non-customers?How does a customer’s experience get better when they are connected to more users? @eric3000
  • So Should I Put Like Buttons Everywhere?How can a customer create content that reaches non-customers?How does a customer’s experience get better when they are connected to more users?How does a customer benefit from reaching out to a non-user? @eric3000
  • So Should I Put Like Buttons Everywhere?How can a customer create content that reaches non-customers?How does a customer’s experience get better when they are connected to more users?How does a customer benefit from reaching out to a non-user?What percentage of growth comes from this channel versus others? @eric3000
  • Conclusion @eric3000
  • Choose One Actionable Metric to Follow @eric3000
  • Testing is crucial to activating new customers @eric3000
  • Align usermotivation, behavior, and long-term value @eric3000
  • Determine if and how viral growthaligns with your value proposition @eric3000
  • Questions? @eric3000
  • Digital Marketing Reading List Kissmetrics Blog -http://blog.kissmetrics.com/ Andrew Chen – http://andrewchen.co Rand Fishkin – http://moz.com/rand SEOMoz blog – http://SEOmoz.org/blog Inbound – http://inbound.org Conversion Rate Experts - http://www.conversion-rate-experts.com/blog/ Slideshare - http://www.slideshare.net/ @eric3000
  • Email: e.metelka@gmail.comTwitter: @eric3000LinkedIn: /in/emetelkaFacebook: /e.metelkaDownload Slides:www.slideshare.net/emetelka/ Please fill out evaluation forms @eric3000