MARKETO’S SECRET SAUCE:
SMARTER MARKETING FOR
BETTER RESULTS
Jon Miller
VP, Product Marketing & Co-Founder
Marketo
@jonmil...
ABUNDANCE
INFORMATION
Source: The Corporate
Executive Board
Company, “The Digital
Evolution in B2B
Marketing,” 2012.
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
TOFU MOFU
Opportunity Customer
Lead
Sales
Lead
Nurturing
Data...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Expos...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Feels...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Names...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Meani...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Quali...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Marke...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Quali...
Name
Awareness
Friend
Engaged
Target
Marketo’s Revenue Cycle
Opportunity Customer
Lead
Sales
Lead
Nurturing
Database
Accep...
Top of the Funnel
Blog, e-books, research data,
funny videos, curated lists,
infographics, webinars
Thought leadership and
enjoyable content...
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Inbound creates the best leads by far...
Page 23 © 2014 Marketo, Inc.#mktgnation14
Page 24 © 2014 Marketo, Inc.#mktgnation14
Customized messaging for
visitors who use other
marketing automation
Page 25 © 2014 Marketo, Inc.#mktgnation14
For visitors in B2C industries
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
But we also use a Portfolio
of progra...
JUNEDATE:
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Sponsored Email builds the
database, ...
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Webinar, tradeshow, PPC, and virtual
...
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Paid Social & Display Ad drive
brand ...
Middle of the Funnel
Sales Ready
Source: RainToday
25%
50%
25%
2%
Need More
Nurturing
Disqualified
Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
Average days to
Opportunity: 327 days
Lead Nurturing:
Building relationships with
qualified prospects regardless
of their timing to buy
-- @jonmiller
Relevance
Get the “Definitive Guide to Lead Nurturing”
marketo.com/DG2LN
More Targeted Emails are More Relevant
0
50
100
150
200
250
300
350
400
100 1000 10000 100000
EngagementScore
Email Send S...
A
B
C
D
1 2
3
Stages
1. BUYING STAGES
• Early: Be a Better Marketer
• Mid: Why Marketing Automation
• Late: Why Marketo
• ...
Industry, Geography,
Company Size, Customer
vs. Prospect, etc.
The Key to Relevance is Behavioral Targeting
Top Tactics to Increase Email Engagement
Example: Topic of Interest Triggers
• Attends event
• Downloads content
• Click email
• Fills out form
• Score is changed
...
Standard Nurture Triggered Interests Lift
Open % 21.7% Open % 34.0% 57%
Click to Open % 23.4% Click to Open % 37.1% 59%
Cl...
Scoring and Lead
Management
Lead Scoring Defined
“Shared sales and marketing methodology for ranking leads in order to
determine their sales readiness...
Demographic “Fit” Score
Positive Demographic Score
• e.g., Marketing Manager title, known CRM customer,
known competitive ...
Form Completion for Data Augmentation
Hidden Fields
• Early stage content +3
• Attend webinar: +5
• Visit any webpage /
blog : +1
• Visit careers pages: -10
• Decay inactivit...
One Way to Identify Marketing Qualified Leads
A Lead Lead Lead
B Lead Lead
C Lead
D
4 3 2 1
Fit
Behaviors
No Lead Left Behind: Service Level Agreements
Day 0 Notification
Day 1 If untouched, reminder
Day 2 If untouched, reminder...
Revenue Analytics
Accurately Tracking “Investment” vs Budget
Why Measuring Return is Hard
• Multiple touches. Seven
touches needed to convert a cold
lead into a sale
• Multiple influe...
Track All Touches Across People
Screenshot: Marketo Revenue Cycle Analytics
Track All Touches Across People
Screenshot: Marketo Revenue Cycle Analytics
Example: Multi-Touch Attribution
A deal worth $100,000 recently closed.
Three people were involved in the deal:
• Person A...
Source: Marketo Revenue Cycle Analytics, Apr 2014
* Percentage of all programs in channel that achieve MT Ratio > 5
Source: Marketo Revenue Cycle Analytics, Apr 2014
* Percentage of all programs in channel that achieve MT Ratio > 5
Inboun...
Source: Marketo Revenue Cycle Analytics, Apr 2014
* Percentage of all programs in channel that achieve MT Ratio > 5
(MT) R...
Source: Marketo Revenue Cycle Analytics, Apr 2014
* Percentage of all programs in channel that achieve MT Ratio > 5
% Prog...
Revenue Cycle Modeler
Screenshot: Marketo Revenue Cycle Analytics
Filter/Drill into
data, e.g. by
Program Type,
Business Unit,
Geography, etc.
Key topic areas:
• Balance (Reach)
• Flow
• C...
Use Metrics to Set & Justify Budgets
New
Targets
60,000
Inventory
Of Active
Targets
131,000
New
MQLs
Score>100
23,000
15.3...
Marketing Forecasts
Get The “Definitive Guide to Marketing Metrics & ROI”
http://marketo.com/DG2MM
Tweetable Takeaways
1. The way buyers buy has changed forever – the
way we market and sell must change as well
2. Define t...
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
Marketo's Secret Sauce: Smarter Marketing for Best Results
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Marketo's Secret Sauce: Smarter Marketing for Best Results

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You’ve heard the buzz about marketing automation and how it can help maximize your marketing efforts. But do you really grasp its full potential? Get the inside scoop from Jon Miller (@jonmiller), VP Marketing and co-founder at Marketo. In this session, Jon will share an up-close and exciting look into the content marketing, lead generation, and marketing automation strategies that are driving Marketo’s growth, including:
- Key trends driving marketing automation
- Designing programs to be measurable
- Key lessons to improve your performance, profitability, and credibility with marketing metrics and analytics
- How the experts at Marketo do it themselves, including actual examples of how Marketo’s smart and innovative programs produce eye-popping results

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  • ©2006 Marketo, Inc. CONFIDENTIAL
  • Our #1 secret is that we believe that buying has changed forever, and that marketing and sales need to change as well.

    Not that long ago, there were few 3rd party sources of information – information scarcity – which meant that a buyer had to get most of their information from sales.

    In this world, it made perfect sense for marketing to pass all leads over to sales. It also meant we lived in a world of attention abundance, with fewer channels competing for a buyer’s attention. Traditional marketing, characterized by Mad Men-style marketing, grew up in this era.
  • But now, there is an explosion of readily available information… According to IBM, we create 2.5 quintillion bytes of data 
    — so much that 90% of the data in the world today has been created in the last two years alone.

    This is a recent phenomenon…
    When Marketo was founded in 2006, the iPhone didn’t exist, Twitter had not launched, and Facebook was only for college students.

    All this data = buyers today are more empowered. The Web provides them with instant information gratification. They can access detailed specs, pricing, and reviews about goods and services 24/7 with a few flicks of their thumbs. Meanwhile, social media encourages them to share and compare, while mobile devices add a wherever/whenever dimension to every aspect of the experience.

    Result: Forrester Reports that 65-90% of buying process is complete when consumer is walks into store/branch/dealer, or contacts sales

    Requires deep changes in how we market to consumers.

    That’s how we approached our marketing process at Marketo.
  • Changed buyer
  • With this change, marketing has the opportunity to seize the day and take a much larger share of revenue – since Marketing is responsible for that 70%. Requires Marketing to think as rigorously about their process as Sales typically thinks about their.

    Here’s Marketo’s…. Let me explain.
  • Many names are not yet our friends
    Names are NOT leads, don’t call them leads

  • Majority of leads NOT sales ready. This is OK since human interaction is part of developing the relationship (nurturing). These Lead are recycled back to Target for additional nurturing until Sales Ready.
  • Sales does on call, and converts if Opp
  • This is how Marketing gets paid… carry a quota for Opportunity created.
    Only Sales can create the opportunities.
    [Requires very solid definitions of what is an opp, since people get paid on it – can’t be subjective.]
  • In traditional marketing, companies needed to rent (or beg) attention from other people’s media. Whether it’s a display ad on a website, a booth at a tradeshow, or an email sent to a third-party list, companies are essentially “renting” attention that someone else built. This can be effective, but it’s also expensive – and become less effective with attention scarcity.

    In contrast, with inbound marketing, companies build up their own audience and attract their own attention.
    Marketing needs to become like a publisher. Build your own audience and attention.

    Examples: superbowl add, regular tradeshow booth = rented attention. Examples of owning: rockstar tour vs tradeshow booth; blog vs traditional PR; our weekly webinar
  • Map content to the buying stage {keep it short}
  • We create a ton of content… go to marketo.com/resources
  • We create a ton of content… go to marketo.com/resources
  • Some systems are simple, but require manual repetition of basic tasks, over and over again. In Marketo, not only are campaigns launched rapidly, they can be replicated in a matter of seconds, as only Marketo offers the ability to clone a campaign, including all of its assets, in a single click.

  • Take a webinar for example. You’ll have the email invites, registration page, reminders, follow-ups, and more. Once the webinar is cloned, simply change the date, title, description and more, and all of the assets in the cloned campaign will be updated in one fell swoop.
  • Unlike Moz, we have a sales team (not ecommerce).
  • You can do this simply by creating more content, but we’ve found it helps to push your message sometimes!
  • So how can we be more relevant and engaging?
    You can’t be relevant if you’re broad.

    We know batch and blast does not work – it is simply less engaging.
    One way is to be more targeted – smaller sends = more engaging.

    Engagement Score enables marketers to quickly judge how effectively each piece of content is engaging prospects and customers over time… combines open, click, unsubscribe, conversion, and so on into a single metrics.
  • 18 triggers
    11 batches
    19 campaigns to manage the whole thing
  • Not all segments need to be different email versions
  • The key to relevance is behavioral targeting.
    So you want relevancy and engagement – but this requires sophisticated targeting that combines online body language (web traffic, search behavior, email response) plus transactional data plus with lifestyle and demographic data (personas)

    When behavioral cues are not used, email can be experienced as a dissonant interruption. What the sender considers a coordinated "drip campaign" may feel more like water torture to the receiver.
  • Here’s an example of how Marketo created even more relevance.

    Topic of interest nurturing: Nurture tracks based on four different topics that we thought our customers were interested in (email, social marketing, marketing automation, and Microsoft Dynamics). We listen for signs that may be interested in this (events attended, web visits, keywords used etc.), and if so assign them to the specific track nurture track.

    If they get to the end of that specific track, we put them back to regular until they do something else specific.
  • Result: Big lift!
    More on our blog about this: http://blog.marketo.com/blog/2013/06/topic-of-interest-based-nurturing.html

  • Mention Positive and Negative Demo Score
  • http://www.senseologic.com/form-completion-test-page/
  • Here’s how Marketo does it.

    Latent behaviors – interest
    Active behaviors – buying intent
  • Active vs Latent Leads – very different follow-up. Active <5 min response. Latent, craft a personalized message.
  • Many marketers are perceived as a cost center.
    You can’t expect your organization to place value on something you’re unable to quantify. But when you do use the right metrics and processes, there is nothing more powerful to help marketing earn it’s rightful seat at the revenue table.

    Here I show you how Marketo does it.
  • Let’s talk about measuring what the CXO cares about..
    While you may not be doing all this analysis now, you most likely will in their future. [Be sure to focus on this point a lot so you don’t lose them.]

    ROI:
    First investment – then revenue

    Measure ROI to find not just what works, but what works better

    Establish goals upfront
    Make sure programs are measureable
    Focus on decisions that improve ROI
  • Next, let’s focus on “Investment” side of ROI. Notice it’s investment, not cost. You “invest’ in growth, marketing is a growth driver.

    -Then you enter and track your budget plan
    -as invoices come in from your financial system, you can map them to line items
    -you can also map your Marketo programs to specific budget categories or line items
    -you can track planned, forecasted and actual spend, and indicate whether forecasted spend is committed or optional
  • Step 1: Important to track all touches
  • Step 1: Important to track all touches
  • Here we see what works for Marketo (over the last 12)

    58% of pipeline from Inbound activities
  • Here we see what works for Marketo (over the last 12)

    58% of pipeline from Inbound activities
  • Here we see what works for Marketo (over the last 12)

    58% of pipeline from Inbound activities
  • Here we see what works for Marketo (over the last 12)

    58% of pipeline from Inbound activities
  • Model
    Note Success Path and Detours; Inventory and SLAs
  • Google Analytics for Revenue
  • Marketo's Secret Sauce: Smarter Marketing for Best Results

    1. 1. MARKETO’S SECRET SAUCE: SMARTER MARKETING FOR BETTER RESULTS Jon Miller VP, Product Marketing & Co-Founder Marketo @jonmiller #SugarCon
    2. 2. ABUNDANCE INFORMATION
    3. 3. Source: The Corporate Executive Board Company, “The Digital Evolution in B2B Marketing,” 2012.
    4. 4. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle TOFU MOFU Opportunity Customer Lead Sales Lead Nurturing Database BOFU
    5. 5. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Exposed to us via content, brand, or word of mouth
    6. 6. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Feels a relationship and trust with us
    7. 7. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Names are just names.
    8. 8. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Meaningful interaction with us
    9. 9. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Qualified potential customer Nurture until sales ready
    10. 10. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Marketing qualified lead (score > 100) – Sales Development Rep (SDR) reach-out
    11. 11. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Qualified as sales-ready by Sales Development Rep (SDR)
    12. 12. Name Awareness Friend Engaged Target Marketo’s Revenue Cycle Opportunity Customer Lead Sales Lead Nurturing Database Accepted and actively worked by sales: marketing quota attainment
    13. 13. Top of the Funnel
    14. 14. Blog, e-books, research data, funny videos, curated lists, infographics, webinars Thought leadership and enjoyable content to build brand, awareness, and desire Tools that help buyers find you when they are looking for solutions Company-specific information to help evaluate and reaffirm selection Buying guides, RFP templates, ROI calculators, definitive guides, analyst reports Pricing, demos, services information, 3rd party reviews, customer case studies Early Stage Middle Stage Late Stage
    15. 15. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
    16. 16. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.
    17. 17. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources. Inbound creates the best leads by far: high conversion, high velocity
    18. 18. Page 23 © 2014 Marketo, Inc.#mktgnation14
    19. 19. Page 24 © 2014 Marketo, Inc.#mktgnation14 Customized messaging for visitors who use other marketing automation
    20. 20. Page 25 © 2014 Marketo, Inc.#mktgnation14 For visitors in B2C industries
    21. 21. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources. But we also use a Portfolio of programs
    22. 22. JUNEDATE:
    23. 23. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources. Sponsored Email builds the database, but low conversion
    24. 24. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources. Webinar, tradeshow, PPC, and virtual tradeshow are top paid TOFU
    25. 25. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources. Paid Social & Display Ad drive brand and amplify inbound as well
    26. 26. Middle of the Funnel
    27. 27. Sales Ready Source: RainToday 25% 50% 25% 2% Need More Nurturing Disqualified
    28. 28. Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources. Average days to Opportunity: 327 days
    29. 29. Lead Nurturing: Building relationships with qualified prospects regardless of their timing to buy -- @jonmiller
    30. 30. Relevance Get the “Definitive Guide to Lead Nurturing” marketo.com/DG2LN
    31. 31. More Targeted Emails are More Relevant 0 50 100 150 200 250 300 350 400 100 1000 10000 100000 EngagementScore Email Send Size Source: 100s of Marketo campaigns
    32. 32. A B C D 1 2 3 Stages 1. BUYING STAGES • Early: Be a Better Marketer • Mid: Why Marketing Automation • Late: Why Marketo • Customer: Success 2. BUYING PROFILES • Marketing • Sales • Exec
    33. 33. Industry, Geography, Company Size, Customer vs. Prospect, etc.
    34. 34. The Key to Relevance is Behavioral Targeting Top Tactics to Increase Email Engagement
    35. 35. Example: Topic of Interest Triggers • Attends event • Downloads content • Click email • Fills out form • Score is changed Email Social Content Technology
    36. 36. Standard Nurture Triggered Interests Lift Open % 21.7% Open % 34.0% 57% Click to Open % 23.4% Click to Open % 37.1% 59% Click % 5.1% Click % 12.6% 147%
    37. 37. Scoring and Lead Management
    38. 38. Lead Scoring Defined “Shared sales and marketing methodology for ranking leads in order to determine their sales readiness” Nurture Nurture DisqualifyPass to Sales Pass to Sales Fit Interest Buying Stage @jonmiller
    39. 39. Demographic “Fit” Score Positive Demographic Score • e.g., Marketing Manager title, known CRM customer, known competitive solution customer Negative Demographic Score • e.g., Generic email address, illegitimate phone number, non-existent company (unemployed, self, looking) Data Augmentation, Not Forms
    40. 40. Form Completion for Data Augmentation Hidden Fields
    41. 41. • Early stage content +3 • Attend webinar: +5 • Visit any webpage / blog : +1 • Visit careers pages: -10 • Decay inactivity: -1, -5, -10 • Pricing pages: +10 • Watch demos: • +5 overview • +10 detailed • Mid-stage content +8 • Late-stage content +12 • Searches for branded keyword “Marketo” +8 Get The “Definitive Guide to Lead Scoring” http://marketo.com/DG2LS
    42. 42. One Way to Identify Marketing Qualified Leads A Lead Lead Lead B Lead Lead C Lead D 4 3 2 1 Fit Behaviors
    43. 43. No Lead Left Behind: Service Level Agreements Day 0 Notification Day 1 If untouched, reminder Day 2 If untouched, reminder cc boss Day 3 If untouched, alert executives Day 7 If stale, reminder Day 8 If stale, reminder cc boss Day 9 If stale, alert executives
    44. 44. Revenue Analytics
    45. 45. Accurately Tracking “Investment” vs Budget
    46. 46. Why Measuring Return is Hard • Multiple touches. Seven touches needed to convert a cold lead into a sale • Multiple influencers. Typical buying committee has 5-21 people
    47. 47. Track All Touches Across People Screenshot: Marketo Revenue Cycle Analytics
    48. 48. Track All Touches Across People Screenshot: Marketo Revenue Cycle Analytics
    49. 49. Example: Multi-Touch Attribution A deal worth $100,000 recently closed. Three people were involved in the deal: • Person A attended Seminar A and Trade Show B • Person B attended Trade Show B • Person C was sent Direct Mail C $100,000 Revenue $25,000 $25,000 $25,000 $25,000 Seminar A $25,000 Tradeshow B $50,000 Direct Mail C $25,000
    50. 50. Source: Marketo Revenue Cycle Analytics, Apr 2014 * Percentage of all programs in channel that achieve MT Ratio > 5
    51. 51. Source: Marketo Revenue Cycle Analytics, Apr 2014 * Percentage of all programs in channel that achieve MT Ratio > 5 Inbound + Nurture = 58% of (MT) Pipeline Paid Programs = 42% of (MT) Pipeline
    52. 52. Source: Marketo Revenue Cycle Analytics, Apr 2014 * Percentage of all programs in channel that achieve MT Ratio > 5 (MT) Ratio = Pipeline / Investment >10 is Great and <5 is Fail Sponsored Email = 12.8, Tradeshow = 10.6, PPC = 13.0, Webinars = 25.4, Field Events = 6.6, Content Syndication 7.7
    53. 53. Source: Marketo Revenue Cycle Analytics, Apr 2014 * Percentage of all programs in channel that achieve MT Ratio > 5 % Programs with MT Ratio > 5 e.g. Tradeshow has good average but 49% programs “fail”
    54. 54. Revenue Cycle Modeler Screenshot: Marketo Revenue Cycle Analytics
    55. 55. Filter/Drill into data, e.g. by Program Type, Business Unit, Geography, etc. Key topic areas: • Balance (Reach) • Flow • Conversion • Velocity Trends over time Screenshot: Marketo Revenue Cycle Analytics
    56. 56. Use Metrics to Set & Justify Budgets New Targets 60,000 Inventory Of Active Targets 131,000 New MQLs Score>100 23,000 15.3% Inventory of Active MQLs 10.5% 20,000 New Opps* 1,000 6 Month Created Opp Inv. 2,000 270 *Opps is bigger than SQLs because includes outbound and partner referrals SDR capacity driven Inbound/ Programs 120,000 (900K DB Total) New Names New SQLs 922 2.4% 1.9% 75% Wins 35% win
    57. 57. Marketing Forecasts Get The “Definitive Guide to Marketing Metrics & ROI” http://marketo.com/DG2MM
    58. 58. Tweetable Takeaways 1. The way buyers buy has changed forever – the way we market and sell must change as well 2. Define the stages of the buying cycle, in alignment with sales 3. Map content and marketing to the buyer’s journey: early, mid, late stage 4. Most leads are not “sales ready” – nurture relationships over time, use online body language to score leads 5. Use analytics to turn marketing from a cost center into a revenue driver @jonmiller
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