How and When to Leverage Social Marketing in the Customer Lifecycle

How and Where to Leverage
Social Marketing in the
Customer Lifecycle

Tactics To Drive Marketing Success
September 12, 2012

Today’s Presenters

David Daniels Atri Chatterjee
Chief CEO Co-Founder
CMO, Act-On Software
The Relevancy Group, LLC

How and Where to Leverage
Social Marketing in the Customer Lifecycle

Tactics To Drive Marketing Success
September 12, 2012

David Daniels – CEO Co-Founder, The Relevancy Group, LLC

Prepared by TRG for

Copyright © 2012 The Relevancy Group, LLC. All Rights Reserved.

Short Is In
Welcome To The Short Burst Society
 50%+ skip commercials
 900 million+ of us place short status
updates on our Facebook profile;
50% do so every day
 300 million use Twitter; 400K+ new
accounts are created daily, at least
320 new members every minute.
 72%+ of U.S. consumers have SMS
plans, at least 203 million consumers

Learn More at www.ShortBurstSociety.com The Relevancy Group, LLC


168 MILLION emails are sent per minute


2.9 billion
The Scale of Social

900 million

463 million
300 million
90 million
Total Accounts Facebook Twitter Email Websites Google+
Daily Activity 1 billion
60 million items shared
updates 140 million
tweets
3.3 billion
searches
47 billion
pageviews

188 billion
messages


The “Short Burst Society” Increases By The
Number of Consumers Adopting Shorter
Communication Styles
Short Communication Behavior By Age
100%
Percentage of Consumers

Primary “Short Burst Society” Age Groups Sent an SMS msg to a friend

80% 85%
79% 77% Updated Facebook status
65%
75%
70% 73% 69%
60% 63% Tweeted on Twitter
56%
47% 50%
40% Retweeted on Twitter
34% 32% 35%
27%
23% 19% Signed up for Twitter
20% 20% 12%
18%
10% Opted-in to mobile marketing
4% 5% 3% 2%
0% offers

Age 13- 19- 27- 33- 39- 46- 54- 61- 71+
Groups 18 26 32 38 45 53 60 70

Question Asked: Which of the following have you done in the last six months?
(select all) Note: SMS=Short Message Service a.k.a. text messages , msg=message, Visit www.ShortBurstSociety.com for
more on this emerging communication behavior
Source: The Relevancy Group Consumer Survey, n=1001 11/10, United States Online Consumers Ages 13+

Marketers Must Adopt Relevant Tactics to
Advance Sharing, Decrease Deletions
Email Marketing Inbox Behavior By Age
100%

Deleted email marketing offer
79% not relevant to me
80% 76% 75% 76%
68%
71% 72% Deleted marketing email
64% 69%
60% because I get too much email
from them
40% Unsubscribed from email that
opted into
22%
20% Marked marketing message
14% 15%
10% 8%
7% 6% 4% that I opted-into as spam
3%
0%
13- 19- 27- 33- 39- 46- 54- 61- 71+ Shared email marketing
Age content on Facebook or
Groups 18 26 32 38 45 53 60 70 Twitter

Question Asked: Which of the following have you done in the last six months?
(select all) Source: The Relevancy Group Consumer Survey, n=1001 11/10, United States Online Consumers
Ages 13+


Social is Gaining Ground To Capture Marketer And
Consumer Attention To Deliver Engagement
Marketing Channels Deployed
Email Marketing 67%
Print Direct Marketing 57%
Facbebook-Social Marketing 57%
Online Display Ads 52%
Field or Event Marketing 44%
Location Based Marketing 40%
Twitter Marketing 38%
Paid Search Marketing 36%
Online Video, e.g. YouTube 34%
Digital Mobile Apps (iPad, etc.) 33%
Mobile Marketing 32%
Catalogs 28%

0% 10% 20% 30% 40% 50% 60% 70% 80%

Question Asked: Which marketing channels do you actively market in? (select all)
Source: The Relevancy Group Executive Survey, n=402 4/12, United States Only


Marketers Work In Silos, Few
Connect Across The Enterprise

EMAIL DIRECT SOCIAL
Customers & Prospects Customers & Prospects Press and Others
Field Marketing Loyalty Marketing Corporate/Brand Marketing
Sales Management Product Marketing Investor Relations

Few Organizations Connect Customer Centric Practices, Data, Measurement Across Silos

Marketing Silos, Lack of Connected Marketing, see www.CMF4.com For The Connected Marketing Framework
Source: The Relevancy Group, LLC


Little Progress Has Been Made To
Connect The Marketing Culture
Marketing Organization Operational Culture
Our marketing department shares common 42%
goals 51%
There is central ownership of marketing across 29%
all channels 33%
We manage contact frequency across all 26%
channels 29%
Our marketing programs are tightly coordinated 25%
across all marketing channels 28%
Use attribution to ensure that offline response is 18% 2012
attributed back to the correct channel 16%
The marketing team is rewarded with common 2011
13%
personal incentives 14%

None of the above 9%
7%

0% 20% 40% 60% 80% 100%
Question Asked: Please select the statement or statements that best represent how
your marketing organization operates? (select all)
Source: The Relevancy Group/ClickSquared Executive Survey, n=402 4/12, United States Only
The Relevancy Group/ClickSquared Executive Survey, n=368 5/11, United States Only

The Customer Lifecycle
Social + Email Awareness Social

Advocacy Acquisition

Engagement
Email + Social Email


Social Tactics Rival The More Import Sciences
of Direct/Email Marketing
Top Six Social Marketing Tactics Currently Used - 2012
80%

20% 23%
60% 27% 26%
19% 24%

40%
Plan w/in 12 months
55% 52% Currently
20% 46% 45% 45% 45%

0%
Share Email Manage Respond w/ Leverage Twitter to Email/Social
content to follower private social for nuture metrics for
social sites pages on messages email customer attribution
social sites on FB acquisition relations

Question Asked: Which social marketing initiatives have you currently deployed, plan
to deploy or do not plan to deploy? (select one for each tactic) Top 6 Responses
Source: The Relevancy Group/ClickSquared Executive Survey, n=402 4/12, US Only


The Cost Effective Twitter Can be an Effective
Social Marketing Client Acquisition Tool
Bottom Six Social Marketing Tactics Currently Used - 2012
80%

60%
21% 22% 25%
27%
23%
40% Plan w/in 12 months
Currently
33%
20% 44% 43% 42% 38% 33%
14%
0%
Target email subs based on social influence Direct message offers followers
Deploy engagement apps a marketing channel, Twitter
Twitter as contests games Utilize a listening sentimentNothing
analysis

Question Asked: Which social marketing initiatives have you currently deployed, plan
to deploy or do not plan to deploy? (select one for each tactic) Bottom 6 Responses
Source: The Relevancy Group/ClickSquared Executive Survey, n=402 4/12, US Only


Roughly a Quarter of Companies Operate
More Than Two Facebook Pages
Number of Facebook Pages that Brands Maintain

13.0% One

Two
13.0% 45.0%
Three
3.0%
10.0% Four

Five or more
16.0%
Not sure

Question Asked: How many Facebook Brand Timeline Pages does your company
operate? (select one)
Source: The Relevancy Group LLC Executive Survey, n=320 6/12, United States Only


Facebook Rivals Marketer’s Own Branded
Website For Greatest Consumer Engagement
Deepest Consumer Engagement
Top 3 Marketing Channels
Our own branded website 75%
Facebook 72%
Our Email Marketing campaigns 39%
Twitter 26%
Linked-In 17%
Our customer community site 12%
Google+ 11%
Our blog 7%
Our Mobile Application 5%
Pintrest 2%
Not sure 11%

0% 20% 40% 60% 80% 100%
Question Asked: In terms of consumer engagement, defined by clicks, shares and
time spent, select the top 3 marketing channels where your deepest consumer
engagement occurs? (select top 3)

Above All Else, Marketers Seek Engagement
To Drive New Customer Acquisition
Goals to Engage Customers Across Channels

Acquire new customers 65%
Branding impressions 43%
Drive purchases (revenue) 42%
Providing consumers the ability to engage wherever
they feel comfortable 42%
Delivering a seamless customer experience 38%
Integrate a consistent social experience across all
channels 30%
Drive customer influence to create brand advocates 29%
Allowing consumers to generate content and/or
reviews about our brand 27%
Drive consumer engagement with contests, games
and/or sweepstakes 18%

0% 20% 40% 60% 80% 100%

Question Asked: What are your organization’s goals to engage your consumers
across all channels? (select all)

Most Marketers Seek Facebook for Brand
Awareness but Many Miss Acquisition and
Engagement Benefits
Greatest Benefits of Branded Facebook Pages

Brand awareness 70%
Consumer engagement 53%
Customer service 36%
New leads 36%
Client acquisition 26%
Increased number of email marketing subscribers 19%
Delivering revenue 11%
Monetizing our content for partners or advertisers 9%
Not sure 6%

0% 20% 40% 60% 80% 100%

Question Asked: What are the greatest benefits of your Facebook Brand Page(s)?
(select all)

Tremendous Opportunity Exists For
Marketers To Implement Referral
Rewards to Drive Recommendations
Disposition of Existing Customer Referral
Program to Capture & Reward WOM
Recommendations

37.5%
Yes
No
62.5%

Question Asked: Does your company have a customer referral program today to
capture and reward word of mouth recommendations? (select one)


Marketers Must Embrace Tools To
Execute and Improve The Measurement
of Their Facebook Spending
Disposition of Facebook ROI on Brand Pages

Absolutely
17.0%
26.0%
Somewhat

14.0% Not at all
43.0%

Unable and/or not sure
how to measure
Facebook ROI

Question Asked: Does your company see measurable ROI (Return on Investment)
from your Facebook Brand Page(s)? (select one)


For Measurement Focused Marketers,
Facebook Branded Timeline Has
Improved Engagement
Engagement Impact of Facebook Branded
Timeline

Increased

38.0%
Decreased
57.0%

Not sure
6.0%

Question Asked: Has engagement increased or decreased with the Brand Timeline?
(select one)


Many Marketers Must Embrace
Opportunities For Programs To Drive
Facebook Engagement
Companies That Have Invested in Programs to
Drive A Facebook “Like” Engagement

49%
51% Yes No

Question Asked: Has your company invested in programs to drive Facebook 'Likes'?
(select one)


To Drive Likes and Engagement on
Facebook, Marketers Pay a Mean of $3.70
For Each Like They Acquire
Average Marketer Investment to Drive Each
Consumer “Like” on Facebook

Less than $1 dollar

$1-$5 dollars
33%
48% $5-$10 dollars

$10-$50 dollars
13% Greater than $50 dollars

1% 2% 5% Not sure

Question Asked: On average, how much has your company paid for each 'Like' it
obtains? (select one)


Facebook Marketing ROI Is Mixed, Particularly
Encumbered By Poor Measurement
Measureable ROI from Investments in Facebook “Likes”

Absolutely 10.0%

Somewhat 38.0%

Not at all 12.0%

Unable and/or not sure how to measure Facebook
ROI 41.0%

0.0% 20.0% 40.0% 60.0% 80.0% 100.0%

Question Asked: Does your company see measurable ROI from these likes? (select
one)
Source: The Relevancy Group LLC; Extole Executive Survey, n=320 6/12, United States Only

The Notion of Purchasing Ads on
Facebook Has Yet to Resonate With The
Majority of Marketers
Disposition of Marketers Purchasing Facebook
Ads

22.0%

Yes
No
78.0%

Question Asked: Do you currently purchase Facebook ads? (select one)


Facebook Ads Are At Best “Somewhat
Effective,” Marketers Must Seek New Tools To
Drive Social Engagement and Conversions
Are Facebook Ads Effective in Driving Qualified Click-
Through and Conversion?
Effective, qualified 1%

Effective, mostly qualified 17%

Somewhat effective, sometimes qualified 35%

Somewhat effective, but not entirely qualified and
relevant 39%

Not effective at all 7%

0% 20% 40% 60% 80% 100%

Question Asked: Do you find Facebook ads to be effective in driving qualified click-
throughs and conversion? (select one)

Social Marketers Are Primed To
Purchase Sponsored Stories
Marketer Aspirations to Purchase Sponsored
Stories Based On Effectiveness

44% Yes
56% No

Question Asked: Would you purchase sponsored stories if you knew they were more
effective than Facebook ads? (select one)
Source: The Relevancy Group LLC; Extole Executive Survey, n=320 6/12, United States Only


Email Usage Remains A Persistent Daily
Activity For US Consumers
Frequency of Checking Primary Personal Email
Account
1%
6%
Hourly or more
13% frequently
Multiple times per day

27%
Daily

Multiple times per week
53%
Monthly, Multiple times
per month

Question Asked: How often do you check your primary personal email account?
(select one)


Mobile Email Usage Soars Particularly
Among Younger Consumers
Mobile Email Adoption By Age
100%

80%
66%
60%
54% 52%
50%
40% 41% 37% Yes
No
26%
20%
14% 11%
0%
Age 13- 19- 27- 33- 39- 46- 54- 61- 71+
Groups 18 26 32 38 45 53 60 70

Question Asked: Do you currently access one or more of your personal email
accounts on a mobile device, such as a cell phone or smart phone? (select one)


Impact on email
 Consumers spend on average 28 seconds
reading an email*
 Format for mobile, image sizes
 Test copy length, use of links
 Measurement of which devices
subscribers are using to view your email
 Mobile formatted landing pages

*Source: Live Intent Email data

Majority of Marketers Still Missing Many
Major Segmentation Opportunities
Top Six Most Common Customer Segmentation/Targeting
Attributes By Marketers –2012

Demographics 56%

Geographics 49%

Customer Spending 38%

Satisfaction survey data 37%

Email Click-throughs 30%

Customer profitability/LTV 30%

0% 10% 20% 30% 40% 50% 60%

Question Asked: Which of the following customer data attributes has your company
used to segment audiences for marketing campaigns within the last six months?
(select all) Source: The Relevancy Group Executive Survey, n=402 4/12, United States Only

Benefits of Attribution

Source: Google Analytics/eConsultancy n=401 2/12, United States Only

Most Common Methods of Attribution

This graphic breaks out the methods used by marketers and agencies to determine
the value of individual channels and how they interoperate.
Source: Google Analytics/eConsultancy n=401 2/12, United States Only


Summary
 The marketing organization must have
common goals across all channels
 Email remains an influential channel but
requires segmentation for optimization
 Use social channels in appropriate places
across the customer lifecycle
 Leverage attribution models to recognize
channel influence appropriately


Questions?
The Relevancy Group
Connect - david@relevacnygroup.com
Connect - 877.972.6886
Connect with David on Twitter @emaildaniels
The Relevancy Group on Twitter @relevancygroup

Download Market Research for Free with Registration at
www.RelevancyGroup.com/Research
Translated in five languages world wide, Get The book on Email Marketing
www.emailmarketinganhouraday.com


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