Turning Local Trends into Transactions - Brand Automation for Local Activation


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Technology is a must have for overcoming local marketing roadblocks. Top brands such as Dunkin' Donuts, Snap Fitness, and Subway are effectively harnessing online tools and technologies to deliver simple-to-execute campaigns to their franchisees/affiliates.
To see how they're doing it, download the slides from the CMO Council webinar, Brand Automation for Local Activation: Turning Local Trends into Transactions.

You will also read about:
-Key findings from the CMO Council's recently released Brand Automation for Local Activation report
-Top trends in local customer engagement and the tools that are reshaping the local marketing landscape
-Best practices for driving channel and field sales effectiveness in social, mobile, and local marketing
-Real world case studies

Published in: Marketing
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Turning Local Trends into Transactions - Brand Automation for Local Activation

  1. 1. Turning Local Trends into Transactions Wednesday, May 1, 2013
  2. 2. Welcome…Here’s the Game Plan • Share top level “Ah-Hah” moments from the CMO Council study • Hear from amazing brands innovating and pushing the local needle • Talk with a Local Marketing expert to learn some ways to get the ball rolling • ANSWER YOUR QUESTIONS!
  3. 3. • Set Out to Benchmark: • How to effectively activate local customers without loosing national brand strategy… • Identify the required channels, measures and resources to optimize local activation… • Find out who is is getting it right… • And how is tech enabling it…
  4. 4. What Did We Learn? • Local marketing is a key strategy to drive demand and boost revenues: – 59% say it is essential to growth & profitability • Many struggle to develop strategies & measure effectiveness: – Only 7% have highly evolved campaigns and measurements in place to activate local customers
  5. 5. What Are The Key Challenges? • Resources – Most brands rely on a highly manual & resource intensive process • Budget – 50% of respondents say they lack budgets to execute • Analytics – Nearly 1 in 3 brands lack in-market intelligence needed to develop relevant experiences at national level
  6. 6. Our Speakers • Russ Romeo, Regional Marketing Director, Dunkin Brands • Brant Schmitz, Online Marketing Manager, Snap Fitness • Jeff Larson, VP of Global Marketing, Subway • Shane Vaughan, CMO, Balihoo
  7. 7. Local Store Marketing: A Bridge-to-Broadcast Russ Romeo Regional Marketing Director Dunkin Brands QSR Perspective
  8. 8. Local Store Marketing – “Bridge to Broadcast” FACT: For large retail mass-marketers, traditional broadcast media is the easiest and most effective medium ▫ The larger & more established the market, the more efficient broadcast becomes ▫ Note: Broadcast while still king… It’s becoming fragmented and fractionalized. FACT: Broadcast media (TV) is less viable/efficient for small brands or low penetrated markets. ▫ Funding DMA-wide coverage ▫ High cost of entry (TV production & media) For new/emerging or low penetrated markets LSM can be a bridge ▫ Depending on the concept, penetration levels & ad funding… it may be years until a brand can afford “sufficient levels” of broadcast media. ▫ During start-up, “gorilla-marketing” will be required to gain beachhead ▫ LSM becomes a key local strategy for these markets 8
  9. 9. LSM IS: • An efficient way to reach a site’s trade-area consumer base ▫ Drive awareness & traffic to the site ▫ Message unique offerings ▫ A link to building loyal customers ▫ React and respond to local competition in real time ▫ Capitalize on local trends/opportunities ▫ Less costly than broadcast TV media/production ▫ Does not require market penetration to be effective ▫ Can be deployed with minimal start-up costs and materials 9 Local Store Marketing – What It IS
  10. 10. LSM: It’s not a silver bullet… • Compared to broadcast, LSM is not easy or neat • LSM activities tend to be: ▫ Human resource intense:  Higher soft costs, lower hard costs ▫ Challenging to execute and measure ▫ Not scalable for larger concepts or well penetrated mkts ▫ A slower build, than traditional broadcast media  Investment = Reward (requires persistence & focus) • LSM cannot overcome systemic issues within a marketplace ▫ Poor sites, poor operations, poor price/value, poor brand relevance… will render any LSM effort ineffective 10 Local Store Marketing – What It’s NOT All things considered... if sufficient media is unattainable, than LSM must be a part of the marketing mix
  11. 11. Larger brands are often “empowering” local sites to execute LSM activity ▫ Concepts may offer a “token” LSM resource  Localized marketing can be a resource intense activity ▫ Efficiency & scalability are a barriers to corporate LSM resourcing ▫ Concepts may offer some basic strategic resourcing… this is helpful Advertising agencies (agency of record) are typically not involved in LSM execution • Agencies charge additional fees for LSM planning/execution ▫ Most F/ees & O/O are not willing to pay for agency support 11 LSM Execution: Who Owns It? More (F/ees & O/Os) are now expected to execute LSM: • GMs, store MGRs/Asst.MGRs are more accountable for LSM activation ▫ Need the “right” person for the LSM role ▫ Employ meaningful crew incentives to push-thru execution
  12. 12. Concepts should develop a single LSM tool kit: Simple, inexpensive, turn-key and user-friendly 12 LSM Tools & Materials:  Enable fast/easy execution (web-based system preferred)  Tools need to be updated and relevant  Pre-approved camera ready art  Turn-key and proven tactics  Publishing business cases (dash board)
  13. 13. • Simplified & proven tactical recommendations (racked & stacked): ▫ Drive traffic, drive ticket, daypart, events, product news, etc. ▫ Simplified template for each tactic… Grab n’ go approach • The most often used tactic is still direct mail (solo or shared): ▫ Proven results, low cost and measurable ▫ Typical redemption is 3-5% (dependent on offers and scale) • The use of geo-targeted digital media is booming! ▫ Mobile apps, opt-in texts, Facebook/Google messaging, eClubs, web coupons, store locators, etc ▫ Smart phone apps are an exploding vehicle • Use of electronic signage (reader boards) & window paints are effective ▫ Old school, but still works ▫ Use the facility as marketing vehicle  Standards and guardrails should be employed 13 LSM Tactics: Overview
  14. 14. Corporate Marketing in a Hyperlocal Market
  15. 15. About Snap Fitness Leading Franchisor of 24/7 Fitness Centers Over 1400 locations worldwide #1 “Best in Category” for Fitness Franchise- Inc. Magazine #16 INC 500
  16. 16. Brant Schmitz 13 Years in Marketing 8 years in Digital Marketing & Social Media Focus on SMB marketing tactics and execution Brick and Mortar >>>>>>> Online
  17. 17. Challenge In the fitness space, times are a changin’
  18. 18. Objectives Make it easy for Franchisees to reach prospects and members Continue with existing vendors plus ability to easily bring in new vendors Single marketing platform that eliminates need to contact mulitple vendors Flexibility and support for over 1400 locations Improve franchisee adoption of new marketing channels
  19. 19. Solution- Marketing Platform Balihoo One destination for our Franchisees Vendor Agnostic Traditional and Digital Marketing
  20. 20. Solution – Paid Search Simple Opt-in for Franchisees Brand continuity Takes guessing game out of campaign management Tracks leads and conversions 2:1 ROI
  21. 21. Solution – Direct Mail Direct Mail still big Jan – March New Movers automated mailing 13:1 ROI
  22. 22. Solution – Member Engagement We have the members, but how do we keep the members? Member Engager Automated, triggered emails Email Templates Member Surveys Member Dashboard ROI off the charts!
  23. 23. Results Execution for traditional and digital campaigns at a hyperlocal level Increase in Franchisee adoption Reduction in Campaign Costs Increase in Campaign ROI
  24. 24. • • • •
  25. 25. Reward Engage Visit Reward Engage Visit
  26. 26. Confidential Local Marketing Automation May 1, 2013 30
  27. 27. Confidential What is Local Marketing Automation? SaaS platform enabling national brands to bring enterprise-class marketing strategy, CRM/customer data and demand gen tools to their distributed network • Includes multiple mediums (TV, print, email, radio, social, mobile, POP, coupons, direct mail, SEO, PPC, websites, etc) • Financial management (ex: co-op management) • Analytics and reporting • Automated campaign execution (subscriptions) 31
  28. 28. Confidential Benefits of Local Marketing Automation • Ensures brand control and compliance • Reaches prospects closer to the point of purchase • Increases channel engagement and success • Aggregates metrics and reporting • Increases revenue, decreases complexity 32
  29. 29. Confidential 33 Roadblocks
  30. 30. Confidential Roadblock #1 – Scaling National Strategy 34 Keys to overcoming: • Understand the objectives • Use “local” to your advantage • Modify the creative and the CTA
  31. 31. Confidential Roadblock #2 – Data 35 Keys to overcoming: • Centralize data storage • Distinguish between “commercial” and “marketing” data • Collect once, publish everywhere • Customers are “shared”
  32. 32. Confidential Roadblock #3 – Poor Execution 36 Keys to overcoming: • Control the execution • Think “in conjunction with or on behalf of” • Make it easy for the local marketer
  33. 33. Confidential Roadblock #4 – Lack of Measurement 37 Keys to overcoming: • Centralize and automate results reporting • Simplify the metrics • Scale trumps sophistication
  34. 34. Confidential Questions? Now What? 38 Learn Much More: http://balihoo.com/local-marketing-resources 1. INFOGRAPHIC: Driving National Campaigns to the Local Level with Automation 2. WHITE PAPER: The Local Web–The Linchpin to Successful Local Marketing 3. REPORT: Brand Automation for Local Activation – Connecting Customer Engagement into Measurable Local Strategies Shane Vaughan, Balihoo svaughan@balihoo.com @shanevaughan
  35. 35. Q&A Please Submit Your Questions!