• Save
Case Study Webinar: How an online retailer increased customer lifetime value 416% by using automated emails
Upcoming SlideShare
Loading in...5
×
 

Case Study Webinar: How an online retailer increased customer lifetime value 416% by using automated emails

on

  • 807 views

Join Jermaine Griggs, founder of Hear and Play Music, Inc., an online music teaching business, as he sits down with MECLABS’ Director of Editorial Content, Daniel Burstein, to explain how he was ...

Join Jermaine Griggs, founder of Hear and Play Music, Inc., an online music teaching business, as he sits down with MECLABS’ Director of Editorial Content, Daniel Burstein, to explain how he was able to increase the average lifetime value of his customers from $90 to $375.

In this free webinar, sponsored by Eloqua, you’ll learn how Hear and Play Music, Inc.:

Increased customer lifetime value 416% by using automated email to up-sell, cross-sell, and deepen relationships with customers;
Collects customer data and uses it to tailor automated campaigns to each individual’s needs and interests;
Scores leads based on behavior within the site and email newsletters.

Statistics

Views

Total Views
807
Views on SlideShare
807
Embed Views
0

Actions

Likes
1
Downloads
0
Comments
0

0 Embeds 0

No embeds

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment
  • Closed poll? “We’ll see the results in a second, but first…”

Case Study Webinar: How an online retailer increased customer lifetime value 416% by using automated emails Case Study Webinar: How an online retailer increased customer lifetime value 416% by using automated emails Presentation Transcript

  • Join the conversation #SherpaWebinar #sherpawebinar @realhearandplay • @DanielBurstein
  • Sponsored by: Oct. 24, 2012
  • Panel Presenters Daniel Burstein Director, Editorial Content MECLABS @DanielBurstein Jermaine Griggs Founder Hear and Play Music, Inc. @realhearandplay #sherpawebinar @realhearandplay • @DanielBurstein
  • Join the conversation #SherpaWebinar #sherpawebinar @realhearandplay • @DanielBurstein
  • MarketingSherpa is a research and publishingorganization serving the marketing community• MarketingSherpa’s annual research cycle provides knowledge for continuous marketing improvement #sherpawebinar @realhearandplay • @DanielBurstein
  • Research Background• We surveyed over 3,000 marketers focused on lead generation to uncover: • Top challenges • Best marketing tactics • Lead scoring, nurturing and management • Content strategies • Marketing automation • Marketing analysis • Marketing operations and metrics• Result of this research – MarketingSherpa’s FUEL methodology to power marketing effectiveness from lead generation to sales conversion #sherpawebinar @realhearandplay • @DanielBurstein
  • Whats best way to address “automated emails are off-brand” perception at upper management? – Justine "We just key in those product numbers and product descriptions, and then it is going to populate an automatic email," Daphne Chen, Senior Manager, Email Marketing, Newegg. "We are really quite automatic in this part, and we dont spend a lot of labor to do the Shell Shocker daily alert email every day.“ Results • 60% average open rate • 6% average CTR Source: http://www.marketingsherpa.com/article/how- to/why-neweggs-dailydeal-alert-emails #sherpawebinar @realhearandplay • @DanielBurstein
  • Please indicate the level of EFFECTIVENESS for each of the emailengagement and relevancy tactics your organization employs. #sherpawebinar @realhearandplay • @DanielBurstein
  • Poll: What type of automated, event-triggered, lifecycle email messages doesyour organization deploy? • Welcome • Date Triggered • Thank you • Reengagement • Transaction • Event countdown • Post-purchase • Website behavior triggers • Upsell • Cart abandonment • Activation #sherpawebinar @realhearandplay • @DanielBurstein
  • What type of automated, event-triggered, lifecycleemail messages does your organization deploy? #sherpawebinar @realhearandplay • @DanielBurstein
  • Who I Am (The Quick Version) • Grew up in Long Beach, CA • Started Hearandplay.com in 2000 with $70 • By 19, we grew to mid-six figure business • By 21, surpassed seven figures • Today, our total sales exceed eight figures • Having bootstrapped, I attribute much of success to automated and personal e-mail marketing (relationship with customers). #sherpawebinar @realhearandplay • @DanielBurstein
  • #sherpawebinar@realhearandplay • @DanielBurstein
  • “Automated” & “Personal” in the same sentence… An oxymoron? #sherpawebinar @realhearandplay • @DanielBurstein
  • In This Presentation• Why the words “Automated” and “Personalized” are not contradictory, and…• How to achieve both by utilizing demographic and psychographic data collected to customize user experience (message  market match), which…• Improve conversions, lowers opt-outs, and increases customer retention / ltv. #sherpawebinar @realhearandplay • @DanielBurstein
  • For These Slides & Free 26-pg Report, “How To Harness The Power Of Automation To Make More While Working Less” Visit: www.AutomationClinic.com/ms #sherpawebinar @realhearandplay • @DanielBurstein
  • Marketing Automation“The Process OfScaling Personal Attention” #sherpawebinar @realhearandplay • @DanielBurstein
  • “Marketing Automation has been called the most transformativeadvancement in sales and marketingsince the advent of CRM (Customer Relationship Management)” #sherpawebinar @realhearandplay • @DanielBurstein
  • Case Study: ME 500 450• Focusing on 400 350 automated, personalized e-mail 300 250 LTV marketing increased my 200 150 lifetime customer value by 100 50 416% in 14 months (from $90 0 2007 2008 2009 2010 2011 to $375+)• Avg global clickthrough rate of 41.28% Today: #sherpawebinar @realhearandplay • @DanielBurstein
  • Marketing Automation “How It Works”• Relies on collecting lots of data (always be collecting data!)• Uses data to segment prospects & customers to deliver personal experiences a human could NEVER manage. #sherpawebinar @realhearandplay • @DanielBurstein
  • Before After•We asked for skill level and favorite •Ask the same questions but actuallystyle on opt-in form started USING THE DATA•Same follow up to all users with •Users are segmented & receive“personalized” fields (i.e. – “learning authentic e-mails based on style,*jazz+ piano”) skill level, and behavior (clicks/purchases/time on page)•There was a set-in-stone schedule •Everything is conditional and basedof follow up e-mails on user behavior. One e-mail may trigger another, and another. #sherpawebinar @realhearandplay • @DanielBurstein
  • #sherpawebinar@realhearandplay • @DanielBurstein
  • Before After•Used a “one-to-many” broadcast •Use conversational tone & referencetone because we had no choice past actions taken (e.g. - “Bob, I noticed you checked out my last gospel lesson on traditional hymns”)•Once in our system, no additional •Every action taken results in a tagdata was used to alter future added to their profile, which can becommunications (static follow-up) used as a condition in future automated e-mails (dynamic)•Once the sequence was over, it was •Like quantum physics, packets ofover possibilities exist based on accumulated profile data (promotions can be repeated for those who didn’t click or buy, new promotions started, etc.) #sherpawebinar @realhearandplay • @DanielBurstein
  • Data Collection #sherpawebinar @realhearandplay • @DanielBurstein
  • Data Collection #sherpawebinar @realhearandplay • @DanielBurstein
  • Data Collection #sherpawebinar @realhearandplay • @DanielBurstein
  • Before After•Had no way to gauge how •Using lead scoring & attaching pointsresponsive a prospect was to each action (click, view, time on page, purchase), distinguishes hot from cold leads/customers.•Offers were sent at arbitrary •Offers are sent when prospects passintervals (based on generic research certain thresholds (lead score, “x ofbut not tailored to prospect’s last y” messages clicked, avg buyingreceptivity) cycle period exceeded, etc.)•Prospects had no control over what •With the insertion of a simplemessages they received trackable link, prospects can be asked to click if they have interest in receiving further details on the subject matter (or even yes vs no links) #sherpawebinar @realhearandplay • @DanielBurstein
  • An Automated Sequence With 171 Steps #sherpawebinar @realhearandplay • @DanielBurstein
  • 171 Steps? Are You Crazy? • No • Segmentation: Not all prospects will receive all 171 steps in 365 days. The steps act as “possibilities.” • Some steps are genre-specific • Some steps are behavior-specific • Some steps are holiday/anniversary-driven • Some steps are cyclical • Some steps utilize multimedia #sherpawebinar @realhearandplay • @DanielBurstein
  • Scaling Personal Attention #sherpawebinar @realhearandplay • @DanielBurstein
  • #sherpawebinar@realhearandplay • @DanielBurstein
  • #sherpawebinar@realhearandplay • @DanielBurstein
  • #sherpawebinar@realhearandplay • @DanielBurstein
  • Example: Beginner Gospel Musician• Opt-in with first name, e-mail, beginner (skill), gospel (style)• Receive gospel-related communications (with colloquial language to build rapport)• Every e-mail clicked, video watched, & minutes stayed on page result in points added to their lead score (which affects frequency)• As they watch lesson samples sent via e-mail, 2-question surveys collect further data that be used in future. #sherpawebinar @realhearandplay • @DanielBurstein
  • Example: Beginner Gospel Musician• Time on page & video usage stats as conditions in future communications to ask user how they enjoyed the lesson and even offer a follow up lesson.• If desired action wasn’t taken, benefits of CTA can be re-emphasized• Weeks later, follow-up steps can reference past similar actions taken to further current desired actions (e.g. – “This video is similar to the one you watched a few weeks ago.”). #sherpawebinar @realhearandplay • @DanielBurstein
  • Example: Beginner Gospel Musician• Evergreen newsletters / e-mails can be used & recycled at later times based on usage data.• Anniversaries are acknowledged (e.g. – “It’s been six months since you first committed to learn gospel music on the piano”).• Soft offers are generally presented under content or as an aside early on (“P.S.”).• Hard offers are presented once user has passed lead score thresholds, has clicked certain # of links, has requested front end offer, has raised their hand by clicking previous links, and a number of combinations thereof. #sherpawebinar @realhearandplay • @DanielBurstein
  • Taking It A Step Further: Adding Human Touch • Incorporating multimedia channels. • Adding personalized (and even generic) audio messages to various e-mail follow up. • Voice broadcasting to emphasize a particular e-mail sent or campaign started. • Sending birthday cards. • Offline personalized postcards. #sherpawebinar @realhearandplay • @DanielBurstein
  • Taking It A Step Further: Adding Human Touch • SMS “Tip of the Week” – Mobile Music Minutes • Starbucks gift cards and cookies (customers who pass various monetary thresholds) • Incorporating direct mail (catalogs, direct mail offers sent once various e-mail thresholds have been met) #sherpawebinar @realhearandplay • @DanielBurstein
  • Package Stickers Mobile E-mail (Pre-recorded Msg)Free CD Offer Newsletter (Direct Mail) Catalog Postcard LettersBirthday Card Personalized Cookies & Gifts Internet Audio Personal Voice Broadcasts #sherpawebinar @realhearandplay • @DanielBurstein
  • Upselling & Cross-selling • All upselling and cross-selling is based on data in their profile • During & after purchase, user is shown offer based on hierarchy: what they just bought, what they’ve already bought, and what they’ve proven to be interested in (based on tags/data in record), and current customer value. • Global Upsale Rate: 33.8% • Follow-up backend selling utilizes RFM analysis: Recency, Frequency, Monetary. • Average customer now comes back 9.14 times #sherpawebinar @realhearandplay • @DanielBurstein
  • Market leaders including American Express, LinkedIn, HP, and hundreds more rely on Eloqua to ensure every component of their marketing works harder. Eloqua provides Modern Marketers with the Expertise, Education and Technology needed to help drive revenue • The most powerful marketing automation platform available • Dedicated modern marketing expertise and services • Comprehensive education and training to maximize your investment Our goal is to help our customers become the fastest growing companies in their categories.For more information visit www.eloqua.com call 866-327-8764 or email demand@eloqua.com
  • February 19-22 Las Vegas
  • Wrapping It Up: Action Steps • Collect key pieces of data to get the conversation started • Use CRM that will allow you to continually add and act upon data and tags in user records • Build out different paths within the sequence for your most active users to follow (course correction for others) #sherpawebinar @realhearandplay • @DanielBurstein
  • Wrapping It Up: Action Steps • Every link or action taken should be tracked with CRM system. Use data to keep conversational tone. • Implement an internal “scoring” system that distinguishes your hottest prospects and customers from the rest. • Don’t be afraid to have 5 “almost” duplicate steps that cater to the exact needs of different segments vs one- size-fits-all. #sherpawebinar @realhearandplay • @DanielBurstein
  • Wrapping It Up: Action Steps• Incorporate other marketing channels & multimedia elements: direct mail campaigns, personalized audio, video, post cards, birthday cards, gift cards… especially to hyper-responders.• Use behavior data to cross-sell based on last purchases, last pages visited, time on page ranking, lead score, etc.• Remember: Don’t be afraid to use a personal, conversational tone… even in B-to-B. “Companies are People.” #sherpawebinar @realhearandplay • @DanielBurstein
  • Thank You! Daniel Burstein Director, Editorial Content MECLABS @DanielBurstein Jermaine Griggs Founder Hear and Play Music, Inc. @realhearandplay #sherpawebinar @realhearandplay • @DanielBurstein