The cult of analytics / Steve Jackson, Quru / Next 2016
•Download as PPTX, PDF•
0 likes•461 views
Organized on the 19th of August on the island of Lonna, Helsinki, Next 2016 was a day-long digital marketing summit that brought together marketers, innovators and business decision-makers to discuss the challenges and opportunities of digitalization. In his presentation, Steve considers the importance of analytics and the steps to creating a culture, followed by a look at the magic behind it all, and how to keep it continuous.
Recommended
More Related Content
Viewers also liked
Viewers also liked (9)
Recently uploaded
Recently uploaded (20)
The cult of analytics / Steve Jackson, Quru / Next 2016
- 1. Change management tactics to create a data driven culture CULT OF ANALYTICS
- 2. 3 Copies For Questions Where do you want to be? My first case What’s the hard part? Where are you? Q&A
- 3. WHERE YOU WANT TO BE… YOU’VE MADE THE INITIAL INVESTMENTS YOU’VE TAKEN THE TIME TO LEARN HOW ANALYTICS HELPS YOU ACHIEVE YOUR OBJECTIVES YOU UNDERSTAND WHAT THE RETURN ON INVESTMENT IS YOU’RE MAKING MONEY Cost line Profit line Time You Are Here Organisational Readiness
- 4. THE STEPS TO GET THERE 1) JUST STARTING OUT 2) A FEW PEOPLE KNOW THEIR STUFF AND ARE TRYING STUFF OUT 3) YOU REGULARLY USE DATA TO PROVE YOUR IDEAS HAVE MERIT ACROSS THE BUSINESS 4) THERE ARE SYSTEMS, QUALITY CONTROLS AND WAYS TO DO THINGS THAT DRIVE VALUE ON A DAILY BASIS 5) YOU’RE LIKE AMAZON 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 5. MY FIRST CASE WHEN I GOT LUCKY Voucher Code from Newspaper 7 Newspaper websites 1 form 1 error
- 6. MY FIRST CASE 1) PREVIOUS CONVERSATION’S (INFORMATION) 2) WEBTRENDS 3.5 3) MY FIRST CONVERSION RATE 4) THE SITE WITHOUT THE VOUCHER FIELD HAD 5 TIMES AS MANY CONVERSIONS 5) 60% VISITORS WERE FROM ABROAD THAT HIT THE FORMSAint the way back machine great? http://webtrends.com in 1999
- 7. MY FIRST CASE 1) IT WAS ALL PART OF MY CUNNING PLAN 2) WE WEREN’T SERVING OVERSEAS VISITORS WELL 3) LOCAL MARKETING EFFORT WAS POOR ROI 4) AD REVENUE WAS MUCH HIGHER ROI 5) PROCESSING CREDIT CARDS WAS AN IDEA THE WEB TEAM GOT BEHIND
- 8. MY FIRST CASE 1) GETTING BUY IN 2) RUNNING THE TESTS 3) PROVING THE CASE 4) EXPLAINING IN CLEAR LANGUAGE 5) THE WIN WAS IN PLACE Jargon free blah blah blah!
- 9. My first case This was what I didn’t know had just happened Urgency Led top down Vision Comms Actionable Quick Win Continuous organisational Improvement Routinely used Kotter change management model Urgency in the Print Industry The biggest fear that newspaper managers have about the Internet is that electronic competitors such as Microsoft's Sidewalk and CarPoint might steal away advertising, especially classified. AJR, (American Journalism Review) May 1999
- 10. MY FIRST CASE THERE WAS A MODEL THAT HAD ALSO (ALBEIT ACCIDENTALLY) FALLEN INTO PLACE Editors IT Team Fulfillment Ad Sales Goals The Hub and Spoke Model
- 11. MY FIRST CASE 1) WE STARTED AT GROUND ZERO 2) WE MOVED TO TESTING AND PLAYING 3) WE INADVERTENTLY BUILT THE FRAMEWORK TO GAIN INSIGHTS AND CREATE A SYSTEM 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 12. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE € + $ + £ = URGENCY
- 13. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE Stop calling your boss a hippo
- 14. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE Vision Our vision is to be earth's most customer centric company; to build a place where people can come to find and discover anything they might want to buy online. Creating value for customers, to earn their lifetime loyalty We help people trade practically anything on earth
- 15. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE No Jargon Don’t say this….. Our conversion rate is 1.5% and our bounce rate is 51%. We drove 100,000 visitors at a cost per visit of €0.40. Our average order value is €350 and our cost per acquisition is €26.66. Say this….. Last month our website made €525,000 revenue with profit after costs of €38760. Our big problem is we wasted €20K of our advertising spend. Our ROI could be much improved. We need to test our offers
- 16. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE Do or Do Not There is no try (Yoda) MEASURE ANALYZE TEST OPTIMIZE
- 17. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE There is ALWAYS something you can improve + + = €
- 18. WHATS THE HARD PART? 1) URGENCY DOESN’T EXIST 2) MANAGEMENT BUY IN ISNT THERE 3) VISION BEYOND MEASUREMENT 4) COMMUNICATION IS POOR 5) NO ACTIONS RESULT FROM REPORTING 6) NO WINS ARE FOUND OR SHARED 7) RESULTS IN NO IMPROVEMENT OR ROUTINE Forming habits makes routines Sep Oct Nov Dec
- 19. WHERE ARE YOU? 1) GROUND ZERO 2) TEST AND PLAY 3) INSIGHT 4) SYTEMISATION 5) THE CULT OF ANALYTICS What do you do next? 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 20. WHERE ARE YOU? 1) GROUND ZERO 2) TEST AND PLAY 3) INSIGHT 4) SYTEMISATION 5) THE CULT OF ANALYTICS What do you do next? 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 21. WHERE ARE YOU? 1) GROUND ZERO 2) TEST AND PLAY 3) INSIGHT 4) SYTEMISATION 5) THE CULT OF ANALYTICS What do you do next? 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 22. WHERE ARE YOU? 1) GROUND ZERO 2) TEST AND PLAY 3) INSIGHT 4) SYTEMISATION 5) THE CULT OF ANALYTICS What do you do next? 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 23. WHERE ARE YOU? 1) GROUND ZERO 2) TEST AND PLAY 3) INSIGHT 4) SYTEMISATION 5) THE CULT OF ANALYTICS What do you do next? 1 Ground zero 2 Test & play 3 Insight 4 Systemisation 5 The Cult of analytics Time Organisational Readiness
- 24. Q & A a part of quru.fi sek.fi Steve Jackson steve.jackson@quru.fi @blackbeak +358503435159
Editor's Notes
- Company wide process that works and is adhered to by all staff. Advanced KPIs for each business unit Business performance measured company wide Web Analytics data is fully integrated with all marketing systems on and offline Decisions based on data and done regularly. You can predict how your customers will act in a given situation You use in house analysis to answer key business questions. Investment decisions are made at the executive level based on analytics Lead generations systems drop hot (scored) leads into the email inboxes of your sales people. Your e-commerce systems are integrated to react to who your visitor is based on behavioral data or customer segments. All this stuff guarantees you know if you’re making money or not
- 1998. Web developer story. Describe only the bombshell on this slide where the guy says Too many enquires from abroad
- Previous conversation with the editors had mentioned dropping the vouchers as no-one used them Yet this guy was getting 10s of signups per day?? My boss gave me access to Webtrends 3.5 new and scary but I found the pages sorted over time I managed to find the form pages and the thank you pages 40% of all visitors from abroad – this was huge I asked about webtrends from my boss but it was 1998. He only used it to work out visitor counts.
- Whether they believed me or not wasn’t the point They asked me to present to the editors Editors were telling me 1-2 a day signed up from the papers and they could use the space for ads. Overseas visitors were getting the same service as visitors from the local markets The newly formed web editors team needed a focus point beyond reporting and serving news to the web
- My punishment as a 27 year old chancer was to prove to the guys what I was suggesting made sense The presentation I had was to all the editors of the papers – the CEOs of each division if you like The tests would prove whether this was worth the money The case was low cost and freed up room for advertising space I didn’t know what a conversion rate was, what a bounce rate was or a page view. So I was talking english to them about their business. It proved its value
- Urgency – Money was being wasted (ad space and time) and print was in a state of panic Led top down – All of the editors were informed and it impacted all of their business The vision was to fix a simple problem and it was exciting, new and different at the time Communication was easy as I was central to the whole thing. There was an actionable easy to approve plan The case itself if proven was a great use case to back up doing more and more I had 5 from 7 of Kotter’s points. The continuous improvement and routinely used would come later.
- The team I was in was central to the 4 areas all with their own goals The tool I was using could be used for the benefit of all of them I’d informally designed a process of testing and optimisation
- We were still a long way from being amazon but we’d made a start So what’s the hard part?
- Simple formula Will you lose money? Are you leaving money on the table? Are your competition taking market share? Are you moving too slowly? Is your industry under threat? Is your idea new and requires a fast capture of market share to stay relevant?
- Highest paid person in the office (hippo) Executives are not stupid. They got where they are by being good at something Give them proof Give them a win. Give them something they can test Speak their language. Remember they have no time to listen to jargon. If you can’t convince them you’re worth listening too you have a problem. Create an environment that by backing your initiative you make them look good.
- The Vision shouldn’t be about Analytics, the vision should be something greater, more meaningful and easy to understand that requires analytics. The 3 brands mentioned here have strong visions and strong analytics competence to measure customer value, retention, recency, frequency. Does your vision include analytics at it’s core?
- (Hands) Who understands how much money was made and what the problem is here? Without a calculator? The statement right is from the same identical data set. The first statement is also passive. The second has an action point. Always give advice when communicating your ideas.
- Stop reporting and start acting Measure: KPIs Analyse things you can improve based on the KPIs. IE CPA, Bounce. Form test/hypothesis from the KPIs Optimise continuously. It never ends.
- In 15 years of anaylzing websites I’ve never seen one we couldn’t improve somehow (Quru has 130 check points for every site we work with) Study until you find an idea. Test the idea. Monetize it. Communicate it. The monetisation could be enough. In fact we use it as a prioritization technique. What are your KPIs? Reach – sources, campaigns in terms of volumes and costs? Can they be improved? Countries? Cities? Differences? Engage – Abandonment, bounce rates, which pages are designed for CTR? Time spent? Activate – Sources, campaigns, landing pages in terms of conversions? Any improvements? Nurture – What works best in terms of customer lifetime value? What’s the best way to reach people at the different stage of the customer lifecycle? Determine cause of the issue youre researching Identify impact Can you confidently 90% prove your idea? If not keep digging
- Habits are formed when plans are put in place and implemented. Measure KPIs, Analyze the outcomes, test new hypothesis and finally optimize for the KPIs. Quarterly business review (are we hitting the goal?) (Strategy) Bi-weekly status calls or meetings (did everyone do what was promised) (tactical) Weekly optimization and communication – All communications in one place. (tactical) Daily monitoring via automated alerts across media tools and analytics triggers (operational)
- You don’t have a system Very little understanding You might have some requirements but no-one has a clue where to start You have a black hole where your data should be. Get backing from management Consider outsourcing (self serving?) Install a free analytics system (IE google analytics) if you don’t have it already Start learning about the tools available in relation to what you need.
- You have made a start and have a few people using the tools to the benefit of the business Reports/usage is scattered and sporadic Almost certainly no coordination between departments or tools used Little action can happen without more focus but some campaign analytics may be turning heads Basic implementations are set up Continue to seek buy in Design a company wide framework for measurement (IE REAN) Develop KPIs that match company requirements (Consider outsourcing) Start developing case ideas based on the data to for wins
- You’ve gone beyond simple tests and now fully understand the potential of analytics to your org You have some analytics people that know what they’re doing (IE in house experts)) Information reaches people showing wins, successes via newsletters, intranets and in company presentations You’re comparing campaign performance, actively run SEO campaigns and have advanced implementations with good KPIs measuring performance You’re actively using segmentation and adding qualitative data to enrich your information. Backing is there from management but you need to centralise and make everything systematic – form a hub Transfer knowledge sharing and KPIs across the business Continue spreading your internal frameworks so that all aspects of your business use the same system Rely on consultants to do the harder things like set-ups, difficult tagging, difficult KPIs, digging for insights and value driving data Start bringing the strategic thinking to your analytics operations
- You have a centralised data management system (like the hub and spoke model) You have underlying frameworks across different business units You have developed KPIS/Dashboards and scorecards, regularly monitor for poor performance and regularly act on data across your organisation You share data business wide – especially with those that lag behind the early adopters All data sources that are useful are used (abundance doesn’t scare you). Build momentum with ongoing sharing/meetings and agile methods Make data autonomy a priority Start integration programs to develop automation between data sources (IE BI & CRM into web or vice versa) Can you find processes of marketing that can be automated well with the use of data? IE Email/PPC?
- It works. Your analytics machine is fully automated. Think how amazon knows when to send you an offer Your analytics data hub helps power key business decisions on a daily basis Your lead generation drop the hottest leads to you and filter out the poor ones Ecommerce systems react to who your visitor is based on behavioural data or segments you’ve set up. Triggers work across customer touchpoints based on analytics rules You understand exactly what the value of your system is. You’ve only just begun to succeed Consistency is key, keep doing the right things Keep improving as there is always room to improve Keep sharing Reward the right behaviour from your employees Keep building the culture so your staff don’t move into consulting. Work in your place should be fun!