Marketing Strategies for 2013

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Presentation from Blue Glass conference on marketing in the era of search, social and video and how many people are wasting money by advertising where there is banner blindness or measuring vanity metrics.

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Marketing Strategies for 2013

  1. Marketing in Today’s Changing WorldMark SusterBlueGlass – April 2012@msuster
  2.  Ex software developer (‘91)  BuildOnline (’99)  Koral /Both Sides Of The Table Salesforce.com (’05)  VC at GRP Partners (‘07)
  3. The Marketing Landscape Changes Very Quickly These Days Pre Web 95 - 2007 08 - Now 10 - Now Future Mobile, Mobile, Who The F Who The F Offline Offline Online Online Social Social Video, Video, Knows? Knows? Images Images • TV • Display • FB Ads • Pre-roll • Print • Email • FB Likes • Overlays • Radio • SEO • Twitter • Brand Integration • SEM • FB Timeline • CPI
  4. What IS Clear Pace of change will accelerate You need a strong POV / strategy  Are FB “Likes” better than FB ads that convert directly?  Are Twitter Sponsored Tweets a good ad unit? You need to be metrics driven & test a lot You need to monitor emerging trends  Should we put energy into Pinterest?  Is the celebrity endorsement model worth it?
  5. As a VC it’s my job to stay ahead of these trends Investment strategy Portfolio advice
  6. The Move to Online Forced Standards That Sub- Optimize Experience & Performance Banner Banner Skyscraper Skyscraper 99% of 99% of User Attention User Attention
  7. Banners are a brand category. The Internet has been about purchasers (DR)
  8. Jakob Neilsen eye-tracking has confirmed we are trained to ignore banners (CTR = 0.08%)
  9. Big dollars still pursue brand campaigns. They just keep their money offline.
  10. But didn’t Google prove you could make money with “side links” ??
  11. Paid Search Worked as a Text-Based Side Link Because of “Intent” 1. Intent- Based Ads2. Organic Result 3. GoogleComparison Shopping
  12. Many technologists confuse this. They think: “The best ads are thosethat are ‘not in the way of the user experience’ ”
  13. Facebook Ads initially much less effective without intent & integration (but targeting helps) SAP? Seamless? Is My Site Optimized? Get Sales Cloud?
  14. We all know what really converts in non-intent ads: CleavageNot joking. Ad studies consistent
  15. Twitter’s came up with a “side link” product – “Promoted Tweets” #Droid Charge “Screwed up battery” “Not the phone I’m looking for” “What the fuck is a Droid Charge?”
  16. My Biggest Marketing Themes of Past 5 Years Have Been  Integrated  Targeted  Personalized  Measurable
  17. We Know How Powerful Images are in Advertising. Images = Content = Ad (integrated)
  18. We Even Know How Valuable Images are in Today’s Applications
  19. Images avoid the blind spots & aren’t spammy like double-underlined text Banner Banner Skyscraper Skyscraper
  20. Integrated Images: Higher CTR, Higher Brand Recall, Automated & Relevant
  21. In video, YouTube standard ad units work well at scale $4 CPM Pre-Roll Pre-Roll Video Video Translucent Overlay Translucent Overlay $1 CPM
  22. But integrated campaigns are performing off thecharts, even for niche audiences. Example: Style Hauls Blair Fowler Elle Fowler 750,000 views
  23. Integrated YouTube Campaigns Have Proven Successful at Conversion  Authentic  Engaging  Youth Demo  Call-to-Action
  24. Mobile Games have offered opportunities for “integrated ads”Ad as Part of Game Incentivized Ads
  25. And an increasing part of media conversions is moving to “sponsored stories” – an integrated ad unit Excellent engagement, even on sponsored posts
  26. Other companies betting big sponsored story model  Converts better media-to-media  More cost effective than SEM  Gravity is even personalized
  27. Measurement is an important part of managing effective campaigns.But social has been measuring vanity metrics, not business Likes Clicks
  28. Link tracking shows clicks. Awe.sm tracking shows bottom-of-funnel conversions. $18.41 $68.11 $34.60 $72.41 … $57.50$2159.0 61 SHARING:3 + 1 + 321 downstream $1134.29 = downstream $3293.32purchases clicks clicks purchases total revenue from this post
  29. It also tracks down-stream influence / conversion $57.50 $331.22 direct purchases downstream purchases 15 6 58 clicks downstream downstream shares clicks $74. $94.09 $97.09 21 $65.02 direct purchases downstream direct direct purchases purchases purchases 19 2 14 11 1 7 7 clicks downstream downstream clicks downstream downstream clicks shares clicks share clicks $78.12 $19.78 $18.41 direct purchases direct purchases direct purchases 9 5 7 clicks clicks clicks
  30. And through cookies can auto incentivize your best “sharers” Welcome back, Suzy! 4 of your friends have bought because of your sharing — you’re a Fashion Maven! Thanks for spreading the word! Enjoy 50% off your next purchase. Share the good news with your friends!
  31. Internet marketing is changing rapidly. It favors those who are  Integrated  Targeted </end>  Personal Thank you  MeasurableMark Suster :: BlueGlass – April 2012 :: @msuster

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