Capacity, Cost & Lost Opportunity: The Online Marketing Dilema

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  • 22/05/09Copyright 2006 Longhaus Pty Ltd - All Rights Reserved<number>
  • 22/05/09Copyright 2006 Longhaus Pty Ltd - All Rights Reserved<number>
  • Capacity, Cost & Lost Opportunity: The Online Marketing Dilema

    1. 1. CAPACITY, COST & LOST OPPORTUNITY The Online Marketing Dilemma June 2007 Copyright © 2007 Longhaus Pty Ltd
    2. 2. Australia’s billion dollar online advertising market is here • Consumers engagement and experience of brands is now multi-channel and multi-device • As a result managing campaigns must change 2 Commercial-in-confidence
    3. 3. Online campaigns platforms address these changes • Online campaigns are not corporate websites – They have different profile requirements • Service-based environments provide more transparent customer ROI – They do not operate a fixed cost basis • Scalable platforms maximise campaign opportunities – They cope with unexpected demand • Responsiveness is ultimately the key to any campaign platform 3 Commercial-in-confidence
    4. 4. Failure during an online campaign has real brand impacts • Some front line advice from Kimberley Clark’s e-Business Consumer Relationship Manager “Consumer expectation of the performance of online channels is higher than ever and they have little patience for companies who fail to provide a quality online customer experience. In the context of today’s marketing campaigns, this means responsiveness is central to the overall campaign success.“ “With campaign cycles as short as 6 weeks and costs exceeding $1 million dollar, it doesn’t take much to realise that one week of poor server performance or outage is a huge loss - both in terms of the direct costs and lost opportunities.” 4 Commercial-in-confidence
    5. 5. Evaluate online platforms with new criteria • Hosted technology platforms must address the seven factors of effective campaign management Factors Traditional Platform Online Campaign Platform Channel Only those available within the All the channels you need to match corporation your customers preferences Reliability Measured in terms of infrastructure Measured in seconds of response time availability to ensure consistent customer E.g. 99.5% experience E.g. Less than 2 seconds Scalability Scoped and built for a maximum Ramp up and down in response to assumed load actively measured demand Flexibility Project driven and prioritised over Turnaround in days not weeks months Frequency Undifferentiated long term or fixed Suits short campaigns such as events presence and competitions IT Approach Draws on corporate best-practice Draws on industry best-practice Cost Model Fixed Variable 5 Commercial-in-confidence
    6. 6. An online campaign platform is now part of a modern campaign framework • The providers of online campaign platforms are a critical support aspect for Marketing Service Providers (MSPs) • They help MSPs deliver against the new demands of an online campaign lifecycle. 6 Commercial-in-confidence
    7. 7. Thank you Longhaus Head Office Sam Higgins Level 30, AMP Place Research Director 10 Eagle Street sam.higgins@longhaus.com Brisbane QLD 4000 +61 412 621 014 Longhaus Research Centre 7/269 Abbotsford Road Bowen Hills QLD 4006 p: +61 7 3868 4796 f: +61 7 3303 8445 inquiry@longhaus.com 7 Commercial-in-confidence

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