Masterclass Dublin Jan 2014

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Presentation given by Dan Slagen, SVP of Marketing for Nanigans at the Masterclass Conference in January 2014. The conference featured speakers from Google, Facebook, LinkedIn, Twitter and more!

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  • Example – sporting goods retailerHigh affinity: males, age 30, interested in PatsLow affinity: females, age 18 interested in Beyonce
  • Support for all Facebook ad types, including: unpublished photo/link page post adsdomain adsmobile app install ads
  • Study of $1.2
  • Masterclass Dublin Jan 2014

    1. 1. after hyper growth from ! 35 to 100 people across 4 offices ! Predictive Lifetime Value for in just over a year…! Performance Marketing at Scale Masterclass Tour Dublin 2014 Predictive Lifetime Value
    2. 2. Thank you Predictive Lifetime Value
    3. 3. Predictive Lifetime Value
    4. 4. 240+ features in 2013 Predictive Lifetime Value
    5. 5. $45 $79 Kerry $7 CPA Diana $5 CPA Predictive Lifetime Value
    6. 6. Customers? (every marketing team’s worst nightmare) Predictive Lifetime Value
    7. 7. Kerry Diana 6 Week Purchase Cycle Predictive Lifetime Value
    8. 8. The marketing multiplier effect • Direct marketing • Email marketing • Content marketing • TV campaigns • Social engagement • Loyalty programs & re-marketing Predictive Lifetime Value
    9. 9. Media investment = lifetime value Predictive Lifetime Value
    10. 10. Lifetime ROI vs. CPA – 6X higher ROI Predictive Lifetime Value
    11. 11. Review of yesterday • Think about lead gen • Paid products on the rise • 230M users • 24M users in UK, 20M on mobile • 6M users in Netherlands, 4.8 on mobile • Ad accuracy norm is 27%, 91% on FB • 33% of people find product via social, 50% from search • 300M on G+, 540M on Google products • 2.4B global internet users • 5x more expensive to acquire customers than retain • 23% of Euro marketers sole focus is targeting the right audience Predictive Lifetime Value
    12. 12. Looking for performance at scale. Predictive Lifetime Value
    13. 13. Predictive Lifetime Value
    14. 14. State of Facebook. Predictive Lifetime Value
    15. 15. 5.5M in 2005 Predictive Lifetime Value
    16. 16. Predictive Lifetime Value
    17. 17. We need to generate $1M in handbag sales by end of quarter Predictive Lifetime Value
    18. 18. Predictive Lifetime Value
    19. 19. Predictive Lifetime Value
    20. 20. 100M During Primetime Every Night Predictive Lifetime Value
    21. 21. Predictive Lifetime Value
    22. 22. $4M for 30 Seconds Predictive Lifetime Value
    23. 23. Predictive Lifetime Value
    24. 24. Results? Predictive Lifetime Value
    25. 25. 2013 retail benchmark report. Highlights: - 2.5X Increase in CTR - 36% Increase in ROI - 45% increase in CPMs - 3x more tracking mobile revenue - 57% of desktop is News Feed Predictive Lifetime Value
    26. 26. Brand case study • 10X greater purchase rates • 2X greater LTV vs. any other channel • 50% greater LTV using lookalikes • 12M members from FB “We’re gaining higher LTV via FB than we are from anywhere else. Right now, FB is our most effective marketing channel.” – Tom Beverly, Fab VP Marketing “I won’t make a move on FB unless I speak with Nanigans. I consider them an extension of my engineering team.” – Blake Chandlee, Facebook VP Predictive Lifetime Value
    27. 27. Agency case study $80k - $200k Predictive Lifetime Value
    28. 28. Best way to approach Facebook? Predictive Lifetime Value
    29. 29. Predictive Lifetime Value
    30. 30. Goals? Market Size? Expectations? Predictive Lifetime Value
    31. 31. Creative Targeting Optimization Predictive Lifetime Value
    32. 32. Predictive Lifetime Value
    33. 33. Predictive Lifetime Value
    34. 34. Predictive Lifetime Value
    35. 35. Nothing else: Self identifiable and frictionless ads Predictive Lifetime Value
    36. 36. Aesthetics (interest) Language (consideration) Relevancy (decision) Predictive Lifetime Value
    37. 37. Aesthetics (interest) Over a googol targeting combinations 250% Predictive Lifetime Value
    38. 38. Have fun - Disruptive - “Attention” - Self identification Predictive Lifetime Value
    39. 39. Language (consideration) Over a googol targeting combinations 75% Predictive Lifetime Value
    40. 40. Relevance (decision) Over a googol targeting combinations 40% Predictive Lifetime Value
    41. 41. Creative Targeting Optimization Predictive Lifetime Value
    42. 42. How many targeting combinations are there on Facebook? Predictive Lifetime Value
    43. 43. 10,000,000,000 000,000,000,000,000 000,000,000,000,000 000,000,000,000,000 000,000,000,000,000 000,000,000,000,000 000,000,000,000,000 Over a googol targeting combinations on Facebook Predictive Lifetime Value
    44. 44. Unprecedented targeting Demographics Affinities Social • • • • • Likes • Interests • Conversations • Relationship status • Education level, college, major • Employer, position Device Behavior CRM • Type • OS version • Wi-fi connectivity • Actions taken with sites and apps • Offline purchase behavior • CRM… Age Gender Language Location Predictive Lifetime Value
    45. 45. CRM targeting CRM Database FB Profile Match Targetable Audience james@gmail.com laura@gmail.com jennie@gmail.com alex@gmail.com scott@gmail.com Predictive Lifetime Value
    46. 46. Interest targeting scales campaign Impressions vs. Purchase Rate by Targeting Type 8,000,000,000 35.00% 7,000,000,000 30.00% 6,000,000,000 25.00% 5,000,000,000 20.00% 4,000,000,000 15.00% 3,000,000,000 10.00% 2,000,000,000 1,000,000,000 5.00% 0 0.00% None Partner Lookalike Categories Broad Custom Interest Audiences Targeting FBX Purchase Rate Impressions Predictive Lifetime Value
    47. 47. Creative Targeting Optimization (60% of employees) Predictive Lifetime Value
    48. 48. Maturity curves Affinity modeling Cohort analysis Predictive Lifetime Value
    49. 49. Early ROI signals via maturity curves 250% 200% ROI 150% 100% 50% 0% 0 10 20 30 40 50 60 70 80 90 Hours from Click Predictive Lifetime Value
    50. 50. Expand to lookalikes via affinity modeling High affinity with core customers Low affinity with core customers Expand into the highest quality segments Predictive Lifetime Value
    51. 51. Track cohorts – lifetime behavior Predictive Lifetime Value
    52. 52. Track cohorts – identify opportunity Time Period ROI Increase Black Friday vs. prior Friday + 36% London vs. Paris + 24% 35-44 age demo vs. 45-54 + 9% Cyber Monday vs. prior Monday + 54% Re-targeting implementation + 28% Predictive Lifetime Value
    53. 53. Go big – Scale with confidence Predictive Lifetime Value
    54. 54. Remarket 39% more customers. 89% increase in revenue per customer Predictive Lifetime Value
    55. 55. Automation – RTB, programmatically bid, enhance and refresh Save time with automated targeting, creative testing, and conversion-based algorithms Predictive Lifetime Value
    56. 56. That’s all there is to it… Closing points Predictive Lifetime Value
    57. 57. State of digital advertising • Digital 25% of marketing • Paid search 24%; at point of diminishing return • Display represents 41% • 290B impressions on thousands of sites; 54% not visible • Social less than 15% • Mobile less than 15% Predictive Lifetime Value
    58. 58. Social & mobile Predictive Lifetime Value
    59. 59. Why Aren’t We More Excited About Digital Advertising? Predictive Lifetime Value
    60. 60. Predictive Lifetime Value
    61. 61. Technology is not Technology. Predictive Lifetime Value
    62. 62. More is not More. Predictive Lifetime Value
    63. 63. Managed service deflates Value. Predictive Lifetime Value
    64. 64. Predictive lifetime value for performance marketing at scale. Predictive Lifetime Value
    65. 65. slagen@nanigans.com Additional case studies on nanigans.com • Interest targeting scales delivery 3000% • Pixeling reduces cost per purchase by 8x • 4x ROI with dynamic creative • 197% higher ROI w/FBX News Feed • 89% sales increase using FBX • 55% sales increase with photo posts • 12x member acquisition • 235k fans in 3 days • 136% ROI increase in 4 days Predictive Lifetime Value
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