Everything Data in Business, Government & Institutional Markets


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  • Part 1: Everything Data in Business, Government & Institutional MarketsReview how B-to-B databases are structured, and how to find the last crumb of useful information about customers and prospects, both internally and externally.Part 2: Developing & Delivering Compelling Motivational OffersThis session will focus on offer development in B-to-B, providing key insights and examples of successful offer and creative in social media, mobile, and print communications. Case studies will be used to illustrate.Part 3: Lead Generation, Conversion, Tracking & ManagementDig deeply into lead generation, campaign planning, lead flow requirements, and setting your campaign budget. You will learn fresh case examples of how to use social media and mobile marketing.Part 4: Integrated Multi-touch, Multichannel MarketingThis session will focus on the importance of integrated marketing communications (IMC) to the B-to-B marketer and how the B-to-B market has changed. Finally, this session will review best practices in global direct marketing to business targets.
  • Budget allocation
  • Source: SagefrogThe most popular marketing tactics used by B2B companies are digital, according to [pdf] a survey released in July 2012 by Sagefrog Marketing Group. When asked which of 16 common marketing tactics they use, 94% of B2B marketers pointed to websites, followed by email (76%), social media (68%), and SEO (58%). More traditional tactics such as direct marketing (48%), tradeshows (46%), seminars (44%), and print ads (35%) appeared further down the list, though they are more popular than search engine marketing (30%), webinars (26%), and online ads (25%).When asked to name their top sources of sales leads, respondents ranked referrals highest among 8 sources, though digital marketing channels also fared well, with online marketing and email marketing taking the second and third spots. Tradeshows and events ranked fourth and public relations fifth, followed by direct mail, advertising, and telemarketing. But when asked which channels provide the best return on investment (ROI), online marketing and email marketing moved to the #1 and #2 spots, ahead of tradeshows and events and public relations.Social Media A Popular, Multifaceted TacticWhile social media ranked third in popularity among the 16 marketing tactics, the 68% of respondents indicating use of this channel represents 14% point growth from 2011. 58% of companies rated social media as important (42%) or very important (16%), compared to just 10% who rated it unimportant.Social media is of course a broad category, and those B2B companies that use social media tactics use several of them. The top five in use are: social networks (79%, up from 66% last year); blogs (48%, up from 34%); micro-blogs (37%, up from 26%); video sharing (35%, up from 29%); and forums and communities (30%, up from 19%).Though they also grew in popularity from last year, photo sharing (16%), document sharing (15%), ratings and reviews (13%), and bookmarking/tagging (11%) are not in widespread use.Meanwhile, LinkedIn (79%) is the most popular social network in use, followed by Facebook (65%), Twitter (54%), YouTube (40%), and Google+ (30%). Pinterest is a distant sixth at 9%, and other sites form an aggregate 4%.Email A Common Tactic, Not Yet Fully LeveragedWhile the Sagefrog study ranked email second in popularity among the 16 marketing tactics, third among sources of sales leads, and second in ROI, a separate study from Pardot paints a more inconsistent use of this channel. According to that study, just one-quarter of B2B companies optimize their emails for mobile; that despite research from Knotice indicating that the share of emails opened on mobiles continues to soar, reaching 27.39% in the second half of 2011. However, 61% of the Pardot respondents use email for drip nurturing, indicating that they see email as a tool for lead nurturing. Indeed, 7 in 10 respondents said they don’t see email marketing as a primary lead-generation tool, although the Sagefrog survey respondents ranked email highly for sales leads.Marketing Budgets to Rise62% of companies in the Sagefrog study spend 5% or more of their revenue on marketing, and 13% companies allocate more than 15%. 44% expect to increase their marketing budgets next year (up from 40% last year), 50% expect to keep those budgets level, and just 6% plan to decrease their budgets.At present, the 3 highest areas of marketing spend are digital channels, being: website development; email marketing; and online marketing. Tradeshows and events and direct marketing ranked fourth and fifth.Email marketing is a significant line-item in those budgets according to the Pardot survey, which revealed that 27% of B2B marketers allocate 26-50% of their budgets to email, and 9% more than half of their budgets.About The Data: Sagefrog Marketing Group conducted a survey of 160 marketing and management professionals from several industry verticals, including Health & Life Sciences, Professional & Business Services and Technology.
  • They needed to figure out a way to generate interest in a product category where the buyers didn’t really care about the products themselves.First, and crucially, they prequalified the buyers over the phone, identifying 3000 prospects who purchase hygiene products for communal toilets in schools, companies and other institutions. Then, they developed a unique way to differentiate the product in the mind of the buyer, and set up a series of two dimensional mailings to deliver the message.
  • A week later, they sent a tester kit to the prospect, in a red and white container. They included a letter, explaining how the tester could be applied to the germ ball, and the prospects could assess how many germs had been transferred to the germ ball by the people in the office who played with it. An excellent graphic reminder of how important hygiene is in the workplace.They also included a no-risk, free trial offer as an incentive, always a popular deal that is attractive to highly qualified prospects.
  • Doesn’t address hygiene…
  • Industry specialty lists: Amtower [government], MDR [schools], Harte-Hanks MI [installed technology], A.M. Best [insurance], idEXEC [global executives], Judy Diamond Associates [pension and benefit mgrs.]
  • Our Analysis:We’ve all done it before... fill in our names as “Anna Banana” with a title of “Miss Universe” to get to a free white paper, webinar or just to see what the next screen is! And, if you have a job like mine, you probably have tools and techniques to identify and, where possible, clean these entries so that your database quality and marketing ability is improved. I was recently doing some spring-cleaning and wanted to share some of the results! Eloqua provides a set of tools to deal with clean data. One of the more useful (and free!) ones is a cloud app called Name Analyzer which helps to identify known bad values and patterns in first name, last name, full name, phone numbers and email addresses. On top of these tools, I also employ a number of other techniques to further cleanse data. Some personal techniques include looking for duplicate values across fields, and improbable letter clusters (asdf, hjkl, zzz, xxx, x, y, xyz,abc). We use a contact washing machine to normalize job titles. Of course, you have to be careful about making assumptions because you don’t want to inadvertently exclude anyone from Hell, Norway.We have found that at at least 14% of form submissions contain obviously fake data. The biggest single source of bad data in this sample set appear to be in the form of spam, which usually contain html links and terms like “Gold”, “Free” and “WoW”.Having bogus data in your database is not great, but it is unavoidable. The good news is that even if a phone number or title is fake, the other information may be fine. The other good news is that tools exist to help marketers deal with these records and in the meantime, it can be a great source of laughs for data professionals! We’ve included some of the funnier entries on our chart. And, hey if that’s the real Slim Shady who is interested in marketing automation, then please stand up.http://topliners.eloqua.com/community/see_it/blog/2012/07/27/eloquas-chart-of-the-week-what-percentage-of-your-data-is-bogus?elq_mid=16179&elq_cid=235035&elq=5245c2747dfe496ea7caa34bffd8fb74&elqCampaignId=861
  • Purpose of segmentation: i.d.. Potential, and treat groups differently. Segment = similar needs or characteristics, and different from the other segments
  • 62% direct sale; 31% lead gen objective
  • 46% lead gen; 50% direct sale objectives
  • 94% of the actions are “post view” (occurring days or weeks after a click) ; only 6% are “post click”[The transactional data has no issue of statistical significance, but there are some issues related to the compositionof the sample. Both Bizo and Epsilon have diverse clienteles but tend toward larger companies with moresophisticated marketing approaches than many small businesses may have. They also deploy techniques thatboost performance, so there is a good chance that there may be a slight upward bias with the transactional data aswell, at least compared with the true mean of the marketing efforts of all 10 million companies in the US.Bizo’s methodology includes a learning process in which Bizo tests different audiences, including some that maynot have a known or proven interest in an offering. Sometimes a new segment performs well; other times itdoesn’t. The result is that CTR’s and action rates improve over the duration of a campaign. The numberspresented here likely underestimate the ultimate effectiveness.]
  • What should you be spending?Marketo benchmarks 10% for tech industry, with Box level of employees.
  • Every small business needs phone equipment, so getting the prospect in the door is the objective. They can be qualified and marketed to later.
  • Actual Test Results:(Click back to see Versions A & B)Version B got a 31% lift in lead gen form submissions. It also got better quality leads, but more on that later…Sterling Ledet & Associates, Inc., an Adobe-certified training company, built and A/B tested the PPC landing pages on the Unbounce landing page platform. All traffic to the page came from PPC ads. Ad copy matched the landing page copy. The test ran for 10 days and reached an 87% confidence level.The only difference between the two versions: Version A had four required form fields. Version B had none, with text telling visitors that “All information is optional.”In this case, 20% of the required email addresses entered on Version A’s form were bogus, whereas all of Version B’s email addresses were valid. The trade-off for using an optional form is that some visitors will leave it blank, which means you won’t get the lead but you will expose them to your brand. It comes down to what is more important to your business — limiting exposure only to those who provide information (some of which may be bogus) or gaining more exposure with potentially fewer but higher quality leads?
  • Do you find personalized subject lines creepy? We were discussing subject line personalization this week, and to settle the debate, we looked at 202 Million emails sent in January 2011. It turns out that personalizing your subject line can help – if you do it right.  Emails with someone’s name have open rates about 4.7% over the average. Subject lines that use the recipient's company name have a lower average rate by 2.6%.  Nothing  beats putting in timely and relevant information that you have gathered  about your contacts interests, for example by indicating that the event your promoting  is in the city they are in. Using this type of custom personalization  leads to an almost 10% increase. Here are some sample subject lines we found that illustrate the point:1 - Personalized with name -  “Joel", it’s time to renew your xyz seasons tickets --> 65% open rate!2 - Personalized with company - Presentation for “Company” --> 2.4% open rate3 - Personalized with custom information - See You this Week at the Road show  in “Toronto” --> 40% What about exclamation points? They don’t seem to be helping open rates, but they make for a catchy chorus!!!
  • The dotted lines scream “take action”
  • Are you really writing for your buyers?  Do you know how many gobbledygook words/phrases you used in your last press release, your “About Us” page, your newsletter or your collateral?  Ok, first things first, what is gobbledygook?  Gobbledygook is a word used by David Meerman Scott to describe the over used marketing words that lack substantial meaning.  These words typically do nothing to actually add value to the content.  Does it really mean anything to your buyers that your product is a scalable, world-class solution?  To learn more, check out the Gobbledygook Manifesto.Here are the top 25 gobbledygook phrases used in press releases sent in North America 2008:Are some of these words looking a little all too familiar, in a bad way?  Gobbledygook Grader is here to the rescue!  Gobbledygook Grader is brought to you from the fine folks at HubSpot, creators of other great graders: Website Grader, Press Release Grader, Twitter Grader and Facebook Grader.  Gobbledygook Grader lets you enter any content and grades that content based on number of gobbledygook words, links, readability, etc.  It is also identifies all gobbledygook words in the content.  I recommend copying and pasting every page of your website into this to see how you rate.  Don’t worry if you have a few words here and there that are gobbledygook.  Sometimes those words are necessary.  Just ask yourself, is this really telling my buyer something about my company/product that would make them want to buy?  Market-leading, flexible, robust solution probably does not mean much to a prospect nor is it particularly compelling.Thank you to HubSpot and David Meerman Scott for this very useful tool to keep our writing in check.
  • Discuss how the term “lead” is misused to refer to mailing lists and phone lists of business people.
  • Measurement is a hot topic for marketers today. Everyone is under pressure to demonstrate results, deliver value to the firm — and justify budgets.Fortunately, we direct marketers have always been measurement-oriented. Our philosophical roots are in metrics and ROI. We set up all our campaigns to be measurable, and we test incessantly — at least on the consumer side.On the B-to-B side, direct marketers have more trouble with measurement, due to the complexity of the sale and the length of the sales cycle. Sales people don't want to be bothered reporting back to marketing about sales results. And when selling through channel partners, resellers or retailers, sales figures are frequently unavailable altogether.Even more challenging to B-to-B marketers is the problem of multiple touches. A campaign might involved 5 emails, 3 letters, a webinar, an executive conference invitation, a golf outing and 4 sales calls. How can you ever determine which touches were essential to the sale? Or which were most impactful? It's a rare firm that has the patience and discipline to set up controlled experiments to test all the variables involved.Despite the difficulties, business marketers muddle through with fortitude and enthusiasm, thanks to a focus on a few key metrics that are fairly simple to gather and analyze. Well, not simple, exactly. But at least straightforward. Let's review the essential metrics for B-to-B direct marketers.Essential Metrics for B-to-B Direct MarketersLeadGenerationDirect Sales, E-commerce, Mail OrderRetentionMarketingResponserateResponserateResponserateCost per leadCost per orderLifetimevalueInquiry-to-lead conversion rateAverage order sizeChurnLead-to-sales conversion rateROI Expense-to-revenue ratio (E:R For business marketers who are using direct marketing to sell directly, and to retain current customers, the metrics are very similar to those used by consumer direct marketers: Cost per order, average order size, lifetime value and so forth. The differences appear most dramatically in the world of lead generation.Response RateFor direct marketers, response rates are fairly easy to capture through a variety of media, by using a key code, or a unique landing page or 800 number.The problem with response rate as a metric is that it doesn't tell you much about campaign effectiveness. There are simply too many variables involved: the list, the offer, the creative — you know the drill. So when your bosses focus excessively on response rate results, it is your job to explain what a relatively meaningless variable it is, and direct them on to more useful metrics, like cost per lead.For the record, however, we now have useful industry benchmarks on response rates, thanks to three years of tracking by The DMA, which has published its Response Rate Study annually since 2003. Here are B-to-B response rates by medium:Medium200320042005Direct mail2.242.142.05Dimensional mail4.715.144.66Catalog1.431.044.39Email2.342.663.39Inserts.980.34—Telephone6.985.535.95Magazine.27.09.07Note: In 2005, The DMA expanded the number of media reported, so the data reflects a small set of campaigns and may not be as reliable as in the previous two years.Cost Per LeadPerhaps the most fundamental metric in business marketing communications, cost per lead is calculated by dividing campaign cost by the number of leads resulting from the campaign. Sounds simple, right? If only. The conundrum with this metric is the denominator: Should you divide by campaign inquiries or by qualified leads?In B-to-B lead generation the true test of a marketing campaign's worth is its ability to provide the sales organization with qualified leads. It's these leads that improve sales force productivity, reduce cold calling, and increase the amount of time sales people can spend in front of prospects who are actually in the market. So for some marketers, dividing by the number of qualified leads in the most meaningful.For others, however, it's important to assess campaign results on the "front end." To understand your ability to get prospects to raise their hands and express initial interest in your product or service.The bottom line? Either approach is valid. Just make sure you are being consistent over time, so you can compare campaigns, keep and eye on trends, and avoid the problem of apples and oranges. You can also keep track of two metrics: cost per inquiry and cost per qualified lead.Inquiry-To-Lead Conversion RateThe rate by which inquiries convert to qualified leads is a function of two factors: 1) the quality of the initial inquiry and 2) the precision of the qualification criteria. This latter factor is likely to be fairly stable over time. Qualification criteria are developed in concert with sales management, and define the characteristics of a prospect that will allow the sales force to work the lead effectively.But as a campaigner, your life is run by the first factor. Are you working with a new list? Is the offer too generous? Any number of variables can impact the quality of campaign inquiries. The conversion rate becomes an early warning signal that refinements may be needed. Just don't forget that you may also need some tweaks in the qualification criteria, especially as you shift among various products and audiences.Lead-To-Sales Conversion RatesAt this point, the sales force is on the hook to close business and convert your leads to revenue. At what rates will they do so? Here's where the life of a B-to-B direct marketer becomes dicey. If the lead-to-sales rate declines, who's responsible? Is sales falling down on the job? Or did marketing deliver inferior leads? This metric can shed some light on this age-old debate.Expense-To-Revenue Ratio (E:R)To summarize campaign effectiveness, marketers need some kind of conclusive metric, such as ROI. But in B-to-B environments, when campaign revenues are often sizable compared to campaign expense, ROI is problematic. The lead generation campaign is often a very small part of the entire cost of sales. Campaign ROIs thus become so large as to be difficult to work with — even laughable.Consider this example, where you spend $30,000 on a campaign that eventually generates $3.6 million in sales. The campaign ROI comes out to be 11,900%, a ridiculous number. This apparent windfall reflects the fact that the marketing expense is only a small part of the total cost of sales. To understand the true ROI on a program, management needs to take into account the direct costs of both sales and marketing. For the marketing side alone, E:R proves to be a much more useful number, allowing you to evaluate campaigns against each other and to serve as a benchmark over time.Comparing E:R With Campaign ROICampaign expense$30,000Qualified leads generated200Cost per qualified lead ($30k / 200)$150Lead-to-sales conversion rate40%Leads converting to sales (200 x .40)80Average order size (or average incremental revenue)$100,000Cost per sale ($30,000 / 80)$375Sales revenue (80 x $100k)$8 millionGross margin rate45%Gross margin on the campaign revenue ($8 million x .45)$3.6 millionE:R ($30k / $8 million)3.75%ROI (([$3.6 million - $30k] / $30k)11,900%Lead Metrics Across The Sales PipelineHugh McFarlane, author of The Leaky Funnel, identifies additional metrics that marketing may consider tracking. These kick in after the lead has been passed to sales, and provide more insight into the lead's ability to drive revenue.Sales qualified leads (SQLs): The percent of the leads the sales organization was willing to accept and work on. Despite marketing's best effort to ensure a lead is qualified before passing it on to sales, some will be deemed unworthy of sales attention. A typical reason for sales rejection: "We were already in that account."First meetings: The percentage of SQLs that resulted in a meeting, or a similar concrete action.Proposals: Sales needs to make an offer that can be accepted or rejected. What percent of your first meetings resulted in some sort of proposal being made?Closed deals: The percentage of sales offers that were accepted, or closed.Try Proxy MetricsIn many B-to-B environments, the revenue pay-off can take months, even years. What if you need to assess campaign productivity before the sales cycle has ended? Consider applying proxy metrics to your campaign results. Robert Reneau of National Semiconductor assigns an estimated dollar value to each interim campaign outcome, long before the activity has resulted in a sale. When a customer downloads a piece of collateral, for example, they credit the campaign with $1,000. A product sample request? That's $5,000. A lead entered into the sales force automation system earns $50,000. These numbers may seem arbitrary, but over time, National has found them to correlate with actual sales results. For managers, the proxy metrics allow early comparison of campaign productivity by product or by business unit, and mid-course corrections where needed.
  • 4.4% of inquiries were qualified by marketing, and passed to sales.66.6% of them were accepted by sales.48.8% of them were qualified by sales.20.3% of them were closed by sales.
  • MQL 24%SQL Close rate1 in 63 names become a customer
  • Only 9% are not using it at all. Confirmation from studies by White Horse Productions and iTracks/BMA: around 90% of b2b marketers are using social.
  • Mostly about listening (research), customer service, buzz/viral pass-along, so far.
  • Test! a/b split. Video had 300% higher conversion.
  • Testing. a/b split. Headlines on how the products were described. More tech/less tech won. By more than 300%. Wow. Unexpected.NAS = network attached storage, used for backups
  • You need separate out the inquirers who are merely doing some research. These folks need to be handled differently.
  • King Industries, Inc., a specialty chemical manufacturer in Norwalk CT relies on trade shows for lead generation. 5-year sales cycle. King’s sales cycle can be as long as 5 years, from the initial contact through laboratory and field testing to developing the product approved for a customer’s specific formulation. King has developed a set of trade show lead qualification criteria specific to King’s marketing objectives. Sample requests. King knows its prospects are serious about buying when they request a product sample for testing in their labs and in the field. Thus, a sample request comprises the first stage of King’s sales cycle.
  • In this b2b case: from Direct Marketing Partners in the Bay AreaOriginal campaign (Touch/Pass 1): Generated 57 qualified “Sales-Ready” leads. (Email + follow up call)Nurturing campaign (Touch/Passes 2-15): Nurturing produced an incremental 161 qualified “Sales-Ready” leads from the same target group.Law of diminishing returns appears to kick in around mid way, as the incremental gain begins to drop from the nurture pool.This is very pronounced when a b2b company has smaller segmented target markets to penetrate.
  • Email newsletterOutbound telephone callEvent invitation (seminar, trade show, webinar)New product announcementPress releaseOnline videoTweets Blogging Catalog mailingSurvey or market research questionnairePodcastWhite paperCase studyReprintPersonal communication (holiday or birthday card)Letter from the CFO or other senior executives or from various departments (customer service or relevant area, such as IT or engineering)
  • Latest CRM magic quadrant
  • Nurturing is still in its infancy.
  • Deciding who gets the lead There are a number of criteria companies use to determine the recipient:By territory. If the account is in the rep’s territory, the decision is easy. The only problem arises when there may be an internal resource (a field sales person or an inside sales rep) and a third-party resource (a distributor or business partner) in the same territory. In such cases, a decision rule must be created, based on relevant criteria like size or complexity of the opportunity.By skill or qualification. Sales people may be divided into specialty categories, like product specialists or industry specialists. In this case, again, the determination must be made by decision rule.By rotation. When reps are equally qualified to sell, and the territory is not a factor, you may decide to hand over the leads in a rotating fashion, one at a time.By cooperation level. You may decide to turn off the lead flow to sales people who follow up on leads inconsistently or fail to report results regularly.  
  • Develop a qualification form suitable to your business. To get you started, here are some typical qualification criteria used in B-to-B.• Budget. Is the purchase budgeted, and what size of budget does the prospect have available. You will want to set up categories or ranges, for easier scoring. Some companies request information about the company’s credit history here.• Authority. Does the respondent have the authority to make the purchase decision? If not, you should try to capture additional relevant contact information.• Need. How important is the product or solution to the company. How deep is their pain. This criterion may be difficult to ask directly, but it can be approached by roundabout methods. “What is the problem to be solved?” “What alternative solutions are you considering?” “How many do you need?” “What product do you currently use?”• Timeframe. What is their readiness to buy. When is the purchase likely to be. Depending on industry and sales cycle length, this can be broken into days, months, or even years. Also be sure to ask whether they would like to see a sales person.• Potential sales volume. How many departments in the company might use this product? How much of, or how often, might they need the product?• Predisposition to buy from us. Are they past customers of ours? Are they similar to our current customers? Would they recommend us to their colleagues? Are they willing to call us back?• Account characteristics. Company size, whether number of employees or revenue volume. Industry. Parent company. Some tips:• We are doing an exercise here, but in real life you MUST develop these criteria in concert with your sales team. Ask them “What are the characteristics of an ideal lead? How would you describe someone who is ready to buy?”• Keep your criteria limited. Less is more. Don’t ask anything for curiosity’s sake.• Make the form easy to complete. Use ranges and check-boxes.
  • ST:Marketing and Sales both identify marketing to a growing number of participants in the buying cycle as increasing challenge.Need for contentDepends on productWho are these people…led us to divide many results by decision makers vs. contributors…don’t underestimate the importance of the contributorKICK TO BRIAN for UNDERSTANDING THE CUSTOMERS BUYING PROCESS…
  • Repeat = lowest risk: supplies, raw materialsRepeat Modified: repeat but with regular evaluation of suppliers: computers, phone systemsBlank slate: entirely new categories where you have no experience : new technology; capital expenditures; new services
  • Less about campaigns, and more about relationships over time
  • Custom Content Council says US companies will spend 1.91 million (on average) on custom content, up from 1.34 million in 2010. Of that $450,000 was electronic content.
  • From Paul Gillin. “For example, marketers will no longer be able to push empty messages because they will simply be ignored. The only hope for marketing is to become a valued source of advice. That doesn't mean publishing more promotional white papers. It means listening to the market and helping customers make wiser decisions, even if that means recommending someone else's product.
  • Each collateral/touch has a different life cycle (half life). It gets old. It is no longer of interest. Eg webinar: it zooms on the day, but doesn’t live beyond the event itself. Live event sponsorship is shortest half life. But an evergreen WP can live for years.
  • Unstructured “big data” is the common term for weblogs and web data, as well as data that is not stored in rows and columns. Almost all social media data is unstructured today.
  • Most of us will be data consumers (and co-producers of course), but there will be a fast-growing business opportunity for big data service providers mainly in the form of cloud services, where most of the data sits anyway.
  • There are two kinds of web testing for E-Commerce sites. A/B testing, also called split testing, allows the testing of two different versions of a design, copy or offer, to see which performs the best. For decades, this has been a classic method in direct mail, where companies often split their mailing lists and send out different versions of a mailing to different recipients. A/B testing is also popular on the Web, where it's easy to make your site show different page versions to different visitors. Use A/B testing when a web site gets fewer than 1,000 page views per week. It is useful when testing big things. For example, if moving complete sections provides an advantage or if changing the overall copy and design works better than the established copy and design. Multivariate testing is the most robust way to test a lot of variables at one time. This advanced statistical methodology can test the effectiveness of limitless combinations. The only limits on the number of combinations and the number of variables in a multivariate test are the amount of time it will take to get a statistically valid sample of visitors and a marketer’s computational power. This form of testing can only be done when a web site receives more than 1,000 page views per week. It can help an E-Commerce merchant optimize multiple content changes in different parts of a multiple web pages simultaneously.
  • Multivariate testing is an area of high growth, as it helps websites ensure that they are getting the most from the visitors arriving at their site. Search engine optimization and pay per click advertising bring visitors to a site and have been extensively used by many marketers. Multivariate testing allows marketers to ensure that visitors arriving at their website are being shown the right offers, content and layout to convert them to sale, registration or the desired action. In the example, headlines, offers, copy, images, background colors are tested. It’s easy to get carried away with multivariate analysis. So, it’s better to test a small number of variations to insure that there are at least 100 conversions per combination analyzed. Website visitors will vote with their clicks for which content they prefer. Multivariate testing is transparent to the visitor, and technology is capable of ensuring that each visitor is shown the same content on every visit. Both A/B and Multivariate Testing allow the market to decide a marketer’s best web page options. There is no room for guessing.
  • Most current attribution models are flawedThe last touch standard or current session modelsCauses over-invest in near-term conversion drivers The consumption and impact of media is interrelated with other mediaTraditional media is interrelated with Digital media The relationship between display and search changes depending on products, brands, time of day, season, company, geography, etc.The multichannel effect is important in high-consideration situations e.g. Expensive, complex or involved offeringsFinancial services offerings, family vacation or a choice of college
  • Everything Data in Business, Government & Institutional Markets

    1. 1. B-to-B Direct Marketing Section Title Ruth P. Stevens Cyndi W. Greenglass
    2. 2. Introducing your seminar leaders… We look forward to working with you.Cyndi W. Greenglass Ruth P. Stevenscgreenglass@dmsolutions.com ruth@ruthstevens.com
    3. 3. Our agenda today, in 4 parts Everything data in Developing and business markets. delivering compelling1. motivational offers. 2. Lead generation, conversio Integrated, multi- n, tracking and touch multi-channel management. marketing. 4. 3.
    4. 4. Direct marketing, defined: Any marketing communication designed to generate a response.• The purpose may be: • Key direct marketing – A direct purchase applications: – A sales lead – E-commerce/mail order – A visit to retail or an event – Lead generation – Driving buying behavior, e.g., store traffic or event attendance – Renewals/retention/repeat purchase – Data analytics, for research or campaigns
    5. 5. Top prioritiesfor businessmarketers.
    6. 6. Where B2Bs spend their budgets 6
    7. 7. Most-used marketing channels 7 July 2012 survey results
    8. 8. Challenges:What’skeeping B2Bmarketers upat night? 8
    9. 9. Case example: Berendsen Textile reverses its fortunes with direct marketingBackground:• A long-established Danish supplier saw declining sales of its hygiene products to industrial and institutional sectors. – Berendsen rents, washes, and delivers textiles and other hygiene products like hand towel rolls, foam soap dispensers, and air cleaners for communal toilets. – Berendsen installs the equipment and afterwards delivers clean towels, soap supplies, and service of the equipment.• Category was commoditized. Buyers didn’t appreciate quality and were unwilling to pay a premium.• Field salespeople and channel partner reps were frustrated at their inability to get sales appointments.
    10. 10. Lead generation campaignMarketing objectives:• Overcome institutional lack of interest in the category.• Educate buyers on the importance of better hygiene in communal toilets.• Generate leads to increase sales 30%.Campaign objectives• Educate buyers on the importance of better hygiene in communal toilets.• Generate leads for field and partner reps to increase sales 30%. 10
    11. 11. Campaign strategy1. Identify and qualify the target audience. – Telemarketing identified 3,000 qualified prospective buyers2. Understand their needs.3. Create a positioning that differentiates the product.4. Use dimensional mail to capture attention and gain involvement.
    12. 12. Multiple touches to capture and inform• Mailed a “Germ Ball” character, with a letter and brochure – Encouraged recipients to put the ball out on their desks – Explained the way germs spread around a company when hand hygiene is poor due to insufficient equipment in the communal toilets Source: The DMA. Gold Echo Award and USPS Gold Mailbox Award.
    13. 13. Do you dare take up the Germ Ball?Dear Ms. Smith:Are you sure that you have the most hygienic toilet solution?Did you know that many people don’t wash or dry their hands well enough aftera visit to the toilet because of insufficient, unpleasant or inadequate toilet fittingsin communal toilets. This is the way things are in most companies, even whenyou have invested in a hand dryer or paper towels. This isn’t so good, especiallywhen you consider that many infectious bacteria and other micro-organisms arespread through skin contact.Let the Germ Ball pass through as many hands as possible . . .To illustrate this, we’ve enclosed a little figure we call the Germ Ball. Place it onyour desk and let as many people as possible touch it. . . . and then test your Germ BallNext week you will get a DIY test kit from Berendsen. With this test you canmeasure the amount of bacteria on your Germ Ball and get a quick indication ofhow good hand hygiene is in your company. And you’ll get an idea of howsuitable your existing toilet solutions are.Do you want an offer of a good hygiene solution now?
    14. 14. The next touch, a week later• The following week, mailed a test kit to measure the level of micro-organisms on the ball.• Included a reply card and 3- months’ free trial offer.
    15. 15. Germ Ball campaign results• 42% of recipients agreed to a meeting.• Number of meetings needed to close was halved.• Sales per rep up 74% over prior year.• Average order per customer more than doubled.
    17. 17. The marketing database: The recorded memory of the customer relationshipA collection of information about customers andprospects and their interactions with the company,organized to be: – Accessible – Sortable
    18. 18. Data typesBehavioral data Descriptive data “what they do” “what they’re like”• Response data • Demographic, lifestyle, at• Transactional data titude • Household vs. individual
    19. 19. How databases are organized: Database file structuresFlat files Relational• Built around a single central • Built around a series of record. No ability to cross- tables, connected by a unique reference to other data sources record identifier• Designed primarily to store data • Designed to use and analyze, as• Easy to use; handles high well as store data volumes • Minimizes redundancy; files are• Uses less computer power easier to access, more scalable and more portable• Cheaper to build • More costly to build• Limited analytic ability • Easier to use in unplanned ways
    20. 20. B-to-Brelationaldataarchitectureexample Direct Marketing Association 21 Source: ARGI
    21. 21. How to decide between database architectures Is your business information dynamic? Ask yourself How quickly is the amount of data you collect growing? these Is your data used by multiple areas of the company? questions: What is the size of your current database? How many people will need access to the database? Will you have much need for ad hoc reporting and queries? Flat Files Relational FilesSimple data that changes very little over time Complex data that changes often over timeLimited computer power required Greater computer power requiredLimited data access Nearly unlimited data accessLow to medium database development cost Medium to high database development costMedium development time Low development timeLess specialized technical expertise required More specialized technical expertise requiredMore difficult end user access Less difficult end user accessLess user friendly More user friendlyLittle ad hoc query capability More ad hoc query capability
    22. 22. Deciding between in-house vs. outsourced database managementAdvantages to outsourcing: Disadvantages to outsourcing: No additional staff is needed to  Database management and build, maintain or enhance the functions is in the hands of the database vendor, not the client Your internal IT staff will not assume additional work load  Systems and solutions may not be proprietary to client and Responsibility for database build and maintenance is in the hands could be shared of an experienced vendor  Outside database team and R&D costs, leading edge company is not controlled technologies more accessible to directly by client company client using an outside database  More expensive over the long vendor term
    23. 23. Database management options1. DIY – Install and create your own environment. – Run by IT.2. Outsourced – Engage with a Marketing Services provider. – Allant, Epsilon, Merkle, Experian, to name a few.3. The Cloud – License or subscription service. – Salesforce.com. – Aprimo.
    24. 24. Database differences in B2B• Hierarchical data adds complexity. – Enterprise – Headquarters – Site• One-to-many relationship of contacts to the company level.• Contacts need to be maintained based on their role in the decision process.• Transaction data and “decision” data may be very different. – P.O.’s, ship to and bill to addresses – Business vs. home contacts – Email addresses
    25. 25. How the D&B DUNS # can create corporate linkage in diverse families
    26. 26. Building your database: Have you tapped these sources of customer and prospect information?Internal sources External sources• Sales contacts • Business• Billing systems, credit partners/channels files • Prospect lists• Ops/fulfillment systems – Compiled files• Customer service – Response files systems – Prospecting databases• Web data • Surveys• Inquiry files, referrals • Database append
    27. 27. Essential fields that B-to-B marketers want to have in their databases (italic fields from internal sources)• Account name, address • Credit score – Phone, fax, website • Fiscal year• Contact(s) information • Purchase history – Title, function, buying role • Purchase preferences• Parent company/enterprise • Budgets, purchase plans link • Survey questions• SIC or NAICS • Qualification questions• Year started • Promotion history• Public v. private • Service history• Revenue/sales • Source code• Employee size • Unique identifier
    28. 28. Business-to-Business data sourcing challengesWhat you want, but can’t getfrom a data supplier Data problems we all face• Actual titles • Mail rooms• Job functions • Data at a global level• Levels • Missing names,• Buying role especially at lower than• Global data C-level• Wallet share• Choice, preference, compliance
    29. 29. 4 steps to clean, accurate data acquisition1. Identify the data elements you need.2. Append elements available from third-party suppliers.3. Fill in the gaps with “data discovery.” – Outbound telephone to target accounts – Probing on buying roles and contact info – Fill in the blanks in your database4. Focus on key accounts.
    30. 30. Prospecting:The state of B-to-B lists available in the U.S. Business lists available 18,500 “Mainstream” B-to-B lists 1,600 Lists with phone numbers 5,000 Lists with email 4,100 List pricing (postal) $100-$250 List pricing (email) $300-$450 Source: David Gaudreau, InfoGroup
    31. 31. Types of prospecting lists available in B-to-BResponse lists contain Compiled lists contain names of people who have people who have not taken any interacted in some way action • Purchased a product or • Telephone directories service • Clubs and associations • Attended a seminar or – Dun & event Bradstreet, InfoGroup, Jigsa – Catalog/e-commerce w buyers – Resold by – Publication subscribers others, Acxiom, Experian • Controlled versus paid Most response lists are rented for 1-time use. – Seminar/training attendees Then, responder names can be added to your database.• Email lists, telemarketing Compiled lists may sometimes be purchased for lists multiple use and imported into your database.
    32. 32. Response listexample
    33. 33. Compiled listexample
    34. 34. Specialized lists may be available in your industry category List provider AudienceMCH Institutions: Churches, schools and governmentMDR Schools, administrators, teachersHarte-Hanks Market Installed technology atIntelligence companiesA.M. Best InsuranceJudy Diamond Associates Pension and benefit managers
    35. 35. The evolution of B-to-B list rental: Prospect databasesList specific databases Membership databases• MeritDirect’s MeritBase (72 • Abacus’s B-to-B Alliance (75 million names at 22 million million names from 350 sites, from 1400 lists) companies, with 1.5 billion• Direct Media’s BTB Data transactions) Warehouse (78 million net names from 900 lists) • b2bBase, built by MeritDirect• BRAD, Business Response and Experian (70 participants Alliance Database, managed and 55 million transactions) by Edith Roman (963 response files)
    36. 36. What’s new in B-to-B data sourcing • Shared contact databases generated by sales and marketing people in B-to-B • Data generated automatically by sweeping corporate websites • Data captured on site and made available online
    37. 37. Filling in the gaps in your data: Data append• Most common overlay data fields: – sales volume – number of employees – SIC/NAICS (industry codes)• Method: – Only append after exhausting all internal sources – Clean your database – Identify the elements you want to append – Pre-test the match rate – Test appended data for validity and response• Consider compiling custom data
    38. 38. Data append: The types of data elements available from outside providersActual Number of Businesses at Multi-Tenant Code MSA (Metropolitan Statistical Area) Code and DescriptionAffluent Neighborhood Location Indicator NAICS and DescriptionBlock Group New Business CodeBusiness Status Code (HQ, Branch, Subsidiary) Number of Employees (Site and Total Company)Census Tract Number of Personal ComputersCity Population Size Office Size (Employees, Square Footage)Contact Name, Title, Salutation, Gender, Ethnicity Own/Lease CodeCredit Rating Phone NumberEntrepreneur Indicator Population DensityFax Number Post Office BoxFemale Executive/Owner Indicator Public/Private IndicatorForeign Parent Indicator Public Filing Indicator (Bankruptcy, Lien, Foreclosure)Fortune Magazine Ranking Sales Volume (Site and Total Company)Geo-code SIC and DescriptionGovernment Segment Code Size of Yellow Pages Ad (Federal, State, County, Municipal) SOHO Business Indicator ElementsGrowing/Shrinking Indicator Stock Exchange Ticker SymbolHigh Income Executive Indicator Toll-free Number available inHigh-tech Business Indicator Web Site URLImport/Export Code White Collar Indicator the U.S.Location Property Manager Year Established Source: InfoGroup
    39. 39. Reports at: http://ruthstevens.com/white-papers.htmlBuyer beware:Data compilers vary in quantity and quality Source: Online Sources of B2B Data: A Comparative Analysis 2010
    40. 40. New databases offer more contact-level data Source: Online Sources of B2B Data: A Comparative Analysis 2010
    41. 41. DATA HYGIENEKeeping your customer information clean and fresh
    42. 42. Data degrades quicklyB-to-B Consumer• Business data degrades • American households by 4-6% per month. move at the rate of 20% per year. The lesson? Invest in data hygiene. Decisions made on bad data are more dangerous than on no data at all.
    43. 43. B-to-B data decay, in context In the U.S., in the next two hours…706 firms will move 120 new businesses will open578 businesses will change 60 businesses will shut downtheir phone numbers250 business phone 514 suits, liens or judgmentsnumbers will be will be filed against companiesdisconnected120 D&B credit ratings will 120 corporate CFOs willchange change60 companies will change 10 firms will file a bankruptcytheir names petition Source:D&B
    44. 44. Decay rates differ by element # Employees 36.3% Sales Volume 23.9% Decay rates of Addl Exec 21.5% key business CEO Name 21.2% data elements Physical over a one 20.7% Address year periodPhone Number 18.0% (US data). --From an internal study conducted by D&B. SIC 16.0%Business Name 17.4% Mail Address 15.8% 0.0% 5.0% 10.0% 15.0% 20.0% 25.0% 30.0% 35.0% 40.0%
    45. 45. Bad data is an expense you don’t need Source: Sirius Decisions, “The Impact of Bad Data on Demand Creation”
    46. 46. 7 tactics for B-to-B data hygiene1. Standardize data and train key-entry personnel.2. Train and motivate customer-facing personnel to update the data.3. Use data-cleansing software, internally or externally.4. Eyeball the data regularly.5. Allow customers access to their records on your web site, so they can make changes.6. Validate business addresses via the postal service.7. Outbound phone or email to verify, especially to top customers.
    47. 47. The danger in customer-entered data
    48. 48. Segment your hygiene strategyCase exampleMrs. Beasley’s makesannual outbound callsevery August toaccounts who bought>$250.Invest in clean-upon your topcustomers first.
    49. 49. Benefits of clean data• Improve response by reaching more people• Lower costs with less waste• Improve customer satisfaction and company perception Bad customer data costs U.S.For recent white businesses more than $600papers on data billion a year inhygiene bestpractices, visit postage, printing and staffruthstevens.com/ overhead—not to mention lostwhitepapers. opportunities. --The Data Warehouse Institute
    51. 51. CRM and Social CRMCRM Social CRM – Maintaining preference, – Monitoring engagement choice – Building loyalty – Maintaining transaction – Monitoring sentiment history – Maintaining demographic – Web based and psychographic appends – Maintaining firmographic, function, titles – Linear based
    52. 52. CRM Systems: How to get the most value• Marketing automation is on everyone’s radar screen: – 54% of CMO’s have either begun or completed implementation of marketing automation software – 17% intend to begin implementation Source: Marketing Sherpa• Success requires a clear articulation of the value to be gained and a roadmap to implementation.• Successful automation requires: – Financial and Senior Executive endorsement – A well thought out migration model – Alignment and collaboration on lead management definitions and scoring – Hygiene processes and business rules – KPI’s that matter – Focus, refine, focus , refine, focus
    53. 53. CRM systems: How to get the most valueYour Reality Checklist 1. Get key stake holder buy in. 2. Train for transformation, training, and learning curve. 3. Find the right people in the organization – or trade up – to power users. 4. Map out key integration points.. 5. Never, ever, over-promise. 6. But always, always over-communicate. 7. Hold back on those “suspects” until they are qualified – no matter what the cost.
    54. 54. CRM systems: How to get the most valueKPI’s to measure yourself against benchmarks fromDemandGen/Eloqua study: 1. 20% of pipeline can be directly attributed to nurturing programs. 2. 5% more qualified leads is the accepted increase for sales to make a significant improvement in conversion. 3. Nurturing programs through the database lead to 3X open rates over general email deployment.
    55. 55. Top benefits of marketing automation60 Lead Generation50 Increasing marketing ROI40 Automated lead process30 Improved sales & marketing20 alignment Improved nurturing10 Personalize Communication0 Percent 2012 Marketing Outlook: B@B, January 2012
    56. 56. What can you do with your database? Top database marketing applications• Research/analysis – Purchase patterns – Product patterns – Trends• Promotion – Campaign targeting/selection – Cross-sell/up-sell – Reactivate dormant/lost customers• Measurement – Campaign results – ROI, optimize marketing investments – Lifetime value, Managing customer segments
    57. 57. Top B2B database marketing techniques• Segmentation• Penetration analysis• Profiling – To understand customer needs; to find look-alikes• Modeling – To predict behavior, like response or purchase• Targeting/campaign selection• Recording results of marketing activity
    58. 58. Typical B-to-B segmentation variables• The relationship existing today between the company and the buyer (“life-cycle” or “life-stage”) – Prospect, first-time buyer, core customer, defector• Geographics• Demographics, “firmographics” – Company size, industry, purchasing behavior• Purchase history Segmentation techniques – Product • Cross-tab analysis – Revenue, LTV • RFM • CHAID • Cluster analysis
    59. 59. Profiling: Describing the characteristics of a customer segment• Customer data is cleaned and then matched against a large database of names.• Variables are assessed for their similarity to or difference from the general population.• Profiling allows marketers to: 1. Understand their customers’ characteristics 2. Find “look-alikes” in the general population
    60. 60. Profiling U.S. small businesses Method •Upload a list of your best (or worst) customer names and addresses via the online tool. •Profile customers by ZIP, credit risk, annual sales, number of employees, etc. •Create a custom list of prospects that resemble these best customers. Source: e-BizInsight.com
    61. 61. Comparing customers to the market as a whole Source: BizInsight Business Profiling,
    62. 62. Exercise: Creating a Data Strategy• Create a 3-part data strategy for your company/division/product/service. Data Field/Element Source Marketing use Fields to be Internal and The marketing use maintained for external. Where to which the data each customer will the company will be put. How and/or for each get the data are you going to prospect. elements? get business value Exactly what out of each field? elements need to be collected?
    63. 63. B-TO-B DIRECT MARKETINGBENCHMARKS AND METRICSResponse rates, conversion rates
    64. 64. EmailCaution: Notesmall samplesizes.Source: DMA 2012 Response Rate Study
    65. 65. Source: Eloqua MarketingAutomation, Trends, Benchmarks and Best Practices2011 66
    66. 66. Direct mailCaution: note smallsample sizes. Source: DMA 2012 Response Rate Study 67
    67. 67. Paid searchNote: Respondentsreported 46% of thecampaigns were for leadgeneration, and 50% werefor direct sales objectives. Source: DMA 2012 Response Rate Study 68
    68. 68. Telemarketing Source: DMA 2012 ResponseBanner ads, overall Rate Study
    69. 69. Bannerads, byindustryNote: 94% of the actions are“post view” (occurring daysor weeks after a click) ; only6% are “post click.”Sample size: 2 billionimpressions. Source: DMA 2012 Response Rate Study 70
    70. 70. Direct marketing campaign metricsPre-campaign calculations Results calculations• Cost per thousand (CPM) • Response rate• Allowable cost per • Cost per response/lead response/lead • Conversion rate (for leads &• Break-even analysis other two- step programs) • Average order size • Customer lifetime value (LTV) • Campaign revenue/ROI
    71. 71. Expense to Revenue (E:R) 72
    72. 72. Marketers are raising their level of measurement sophistication 73
    73. 73. A word about Key Performance Indicators (KPIs)Relevance: How program adds value to the business.Alignment: Proof that department is focused on the success of thebusiness, not the size of its budget.Rigor: Fact-based, disciplined approach to strategy and execution.Otherwise, management gets “The Question”: “Can you be trusted to spend the company’s money wisely?” In short, accountability is about effectiveness, not merely about what is being measured.
    74. 74. Businesses use data and analytics to make decisions and predict results of decisions made• The use of data and analytics has been accompanied by a measurable improvement in productivity and performance. – A one-standard-deviation increase in the use of data and analytics was correlated with a 5% – 6% increase in profitability• Businesses need 3 fundamentals to become data driven. 1. Technological infrastructure … The ability to measure things in more detail than before 2. The resources and skill sets necessary… analytical and business skills 3. Cultural change to use the data to learn the right answers Source: Research from MIT
    76. 76. The incentive offer in direct marketing, defined “What you’re going to get, andwhat you have to do to get it.” (This is a two-way exchange of value.)
    77. 77. What’s a B2B offer’s function?To move the prospect to ACTION.• To overcome inertia.• To imitate the persuasiveness of face-to-face sales.• To get an order, or move the prospect along the buying cycle.• To attract a profitable customer.
    78. 78. A cautionary tale about advertising, especially online• If you are looking for response: – You NEED AN OFFER to overcome people’s natural inertia.And keep in mind:• Even in business markets, it’s people who buy.• It’s self-interest that motivates people.• An incentive substitutes for the personal persuasive power of a salesperson. 79
    79. 79. Characteristics of a great offerA great offer should:1. Be something of value to the prospect.2. Be tangible, something the prospect can visualize.3. Be unique, something the prospect can’t get anywhere else.4. Relate to the product or the main benefit.
    80. 80. Offer types: Hard versus softHard offers Soft offers• Stress the business • Attractive, low risk value • High perceived value• Less personal appeal • Examples:• Examples: – Free t-shirt, mug – Seminar invitation – Product sample – Request for a sales call Best use: For buildingBest use: Toward the end database, or when of the selling process. universe is highly qualified.
    81. 81. Five Steps to Developing a Superb OfferStep 1: Look at what others are doing Type of incentive B-to-B B-to-CFree gifts 3.43 3.59Free information 3.64 2.78Free/reduced shipping 2.20 2.60 EffectivenessFree sample 3.00 2.92 rating on a scale of 1 to 5Free trial 3.13 3.00Sweepstakes 2.83 2.67Discounts 3.33 3.47Buy one, get one free 2.00 2.94Frequent buyer/loyalty program 2.20 2.77 82 Source: The DMA ―Getting Creative‖ study
    82. 82. Step 2: Generate offer ideas• Ask customers what they want and need – Surveys – Focus groups – Advisory boards• Ask your sales and service people what customers are looking for• Review what your competitors are doing – But don’t necessarily mimic them• Analyze results of previous offers
    83. 83. Step 3: Get inside the mind of your prospectLead generation for a software product targeted to engineers:1. Free! Your choice of white papers from The MathWorks technical library2. Send for your free technical kit now!3. Get the latest articles in any one of these 3 areas: signal processing, visualization, or control design.4. Free! The 5 most-requested technical briefs and articles from The MathWorks company.Source: Pushing the Envelope, by Alan Rosenspan
    84. 84. Get inside the mind of your prospectWhat motivates sales people?
    85. 85. 86
    86. 86. Step 4: Think “gain without pain” High perceived value, low actual cost Examples – Extended returns period for best customers – Special privileges, e.g., President’s Circle – Special 800# for high-value customers – Product upgrades – White paper or newsletter
    87. 87. Step 5: Map your offer sequence to the buying process Stage in sales cycle Hard offers Soft offers•Awareness Reference workbook Book, premium•Consideration Expert content white Curiosity quiz paper•Develop Implementation guide Download•Trial/evaluation ROI calculator Survey results Online event, seminar Article reprint•Short list Market analysis Discount•Purchase Case study Tickets/passes Source: Keith Sullivan, PARTNERS + simons
    88. 88. Multiple offers can appeal to different target audiences, in this case, different stages of the buying process.
    89. 89. The #1 offer in B-to-B today: Information-based products, aka “content”• white paper• research report• case study• brochure• newsletter• article reprint• video or book• demo CD• “10 Tips” document Why is information so effective?
    90. 90. ComputerCare sells ERPinventory managementsoftware to mid-sizedapparel importers andmanufacturers.These businesses are eagerto improve their profitability.
    91. 91. How ―10 Tips‖ document isused:•Lead generation at thewebsite•Direct mail offers•Collateral material
    92. 92. Checklist of proven B-to-B offers• More information • Self-assessment tool• Premium (gift, book) • Seminar or webinar• Trial period • Demonstration• Sample • Discount • Sales call• Free shipping/handling • Free lunch• Drawing/contest • Consultation or audit• Free installation • Estimate• Continuity/replenishment • ROI calculator
    93. 93. “Merchandise” your offer • Your offer is what it is. But it also can be positioned more powerfully than it really is. • How you state the offer can vastly enhance its effectiveness.Which presentation is more powerful? Which presentation is more powerful? Half off Two for the price of one 50% Buy one, get one free off
    94. 94. The 3 most common offer mistakes What not to do… …And why 1. Complicated offers Don’t make them think. Keep it simple and easy to grasp, quickly. 2. Vague or generic offers Be CLEAR. Give enough detail. 3. Too good to be true Credibility is essential, especially on the Internet
    95. 95. What’s wrong with these offers? 5-Year Service Guarantee* *subject to location and availabilityGo to our website Our product is so great, you should have it!and get a free iPad Get a $100 discount on your first purchase when you sign up for our Premier Customer program, and get an extra card for colleagues.
    96. 96. Inemail, statethe offeroften, andabove thefold.
    97. 97. In bannerads, focus on theheadline and callto action.
    98. 98. B-to-B goes YouTube: “Love that Glove”• Kimberly-Clark’s Kimtech Science Sterling Nitrile lab gloves used YouTube to generate excitement among users (lab technicians) and sales reps.• Created a contest inviting people to – Show how they loved the product and used it in their labs – Do something crazy with the product – Let their imaginations run wild• Got 10 entries. Spent $15,000 including prize money. In social media, get a• 4,000 prospects visited the microsite. bit crazy with offers— Videos watched thousands of times. Sold $1.4 million of the new product, like contests—to go 30% over forecast. viral. 99
    100. 100. B-to-B ads are generally ineffective 74% Message gets lost 66% Audience needs are ignored 39% Full of “chest-pounding” 38% Too product-focused Source: Crain’s BtoB Magazine
    101. 101. The 9 principles of motivating response1. Analyze the beliefs, feelings and desires of your audience.2. Stress benefits, versus features.3. Drive the offer.4. Make a clear call to action.5. Create a sense of urgency.6. Make it easy to respond.7. Eliminate risk.8. Design for clarity, over beauty.9. Use a personal, “me-to-you” tone.
    102. 102. 1. Analyze the beliefs, feelings and desires of your audience To promote enrollment in an IT seminar, the copywriter analyzed the IT professional: – Beliefs: I’m smarter than anyone else. – Feelings: Frustration, about a lot of things. – Desires: To be left alone. Post-analysis headline Inside: Important Original headline Information for Any IT Interpersonal Professional Who Skills for IT Wanted to Say to an Professionals End-User: “Go to Hell!”Source: Bob Bly, bly.com
    103. 103. The best B-to-B message platforms• Save time. Get to market • Increase efficiency or quicker. productivity. Do more with• Save money. Sell more. less. Spend less. • Exclusivity. Be part of an elite• Reduce manufacturing group. overhead. • Greed. Make money.• Grow the business. Increase sales. Increase Penetrate new markets. profits.• Find new customers. Sell • Make your job easier. Avoid them more. stress or hardship. Get help.• Job security. Help you look • Fear of the unknown, or good in your job. “No one regulators, loss, or failure. ever got fired for buying IBM.”
    104. 104. 2. Stress benefits, along with features• Features are about you and the product. Benefits are about the customer.• Put yourself in the place of the prospect – Ask: “What’s in it for me?” Feature Benefit Our service You’ll rest easy, knowing center is that help is available 7 staffed round by 24 to help you solve the clock by any problems. highly skilled specialists.
    105. 105. Where are the benefits here?
    106. 106. 3. Drive the offer• Remember the key objective of direct response communications: To get them to ACT.The offer is the motivator to action.• State the offer prominently and frequently.• Make the offer the hero of the creative treatment.
    107. 107. In lead generation, sellthe offer, not theproduct or service.
    108. 108. Letter, front and back
    109. 109. 4. Make a clear “call to action”• Tell them what you want them to do. Don’t be shy!• Tell them clearly, and tell them often.• Make it highly visible.• Make it very specific.
    110. 110. 5. Create a sense of urgencyA sense of urgency stimulates action.• Limited time offers – Respond before (date) or the offer goes away – Early bird discount• Limited number offers – Limited edition of an item. – The first 50 to respond receive a…
    111. 111. 6: Make it easy to respond• Remove obstacles. – Reduce click steps – Ask for minimal data• Offer multiple response media options. – Phone, fax, URL, email• Add involvement devices. – See-through envelope window – Survey
    112. 112. Avaya goes for volume, asking for minimal data.
    113. 113. RightNow goes for quality over quantity
    114. 114. PPC ad’s landing page with all fields optional lifted response by 31%Source: WhichTestWon.com
    115. 115. PURLs (personalized URL) lift response• Recipients can’t resist visiting a website with their own names in the address. – PURLs lift response by 2-3x.• Visits a customized landing page that continues the messaging begun in the direct mail or email. 119
    116. 116. How to personalize an email subject line
    117. 117. 7: Reduce risk Include a strong guarantee• Money-back guarantee• Satisfaction guaranteeMake it LOOK like a guarantee
    118. 118. Reduce risk:Use testimonials and endorsements
    119. 119. 8. Design for clarity, over beauty• Direct response design is: – less about “creativity.” – more about delivering the message clearly.• So the first rule of direct response design is: Don’t get in the way.
    120. 120. Ad units aremorecreativethan ever.
    121. 121. When does “creative” become “annoying”?
    122. 122. 9. Use a personal, “me-to-you” tone• Create a personal relationship. – You are not talking to the world. You are talking one to one.• Use of the most powerful word : “you.”• Create an emotion.• No jargon.• Use personalization technology.
    123. 123. Medical Group Management Association recruitment campaign
    124. 124. Avoid trendy “gobbledygook” in your copy.http://gobbledygook.grader.com/
    125. 125. How to convert brand advertising into direct response advertising • Insert an offer. • Stress the call to action. • Create urgency. • Make response easy. – Multiple response media options – Remove barriers to response – Add a tracking device (key-code) • Plan the “next step” in advance. • “Mystery shop” the response process.
    126. 126. Attention-getting words• Advice • Proven• Announcing • Revolutionary• At last • Save• Because • Secrets• Confidential • Smart• Congratulations • Special invitation• Free • Success• Guaranteed • Wanted• How to • Which• Introducing • Who else• Limited-time • Why• New • Yes• Now Sources: Tested Advertising Methods, by John Caples; Response!, by Lois K. Geller
    127. 127. Use as manywords as you needin the headline.Symantec packs awallop in thisheadline.•Call to action•Offer
    128. 128. Top copy mistakes Avoid being… And why…Clever Be clear insteadHumorous Too riskyPoetic “The star sapphire is like a cup of night blue…”-not!Unbelievable “Get rich! Work less!”—not!Cool or cold No way to begin a relationshipA creative writer This is selling, not literature
    129. 129. Leads for headlines and letter copyNews Here’s a way to increase your sales, fast.Emotional Doesn’t it drive you crazy when a customer service rep puts you onconnection hold?Problem/solution Is your factory floor covered with dangerous greasy film? We can help.Testimonial Just listen to what our satisfied customers say about usCompelling Would you like to sell more and spend less, in the very next quarter?questionGuarantee Sixty day free trial, and your money back if you are not completely satisfied.Benefit Here’s an idea that you can put to use tomorrow.Fear What would you do if you lost your job tomorrow.Greed I want to give you this special free gift, just for reviewing my helpful new guide to human resource management. Source: Creative Strategy in Direct Marketing, by Susan K. Jones.
    130. 130. Exercise: Evaluate a failed campaign• A Microsoft reseller wanted to get local-area business people to attend a seminar.• They sent a 3-postcard series to 1,000 names from 2 local chambers of commerce.• The campaign netted one (1) response. Ouch.• How would you analyze their creative strategy?
    132. 132. The case for supporting your sales effort with lead generation programs• The sales function is your single most constrained resource.• You can triple sales productivity by reducing the number of cold calls sales people need to do. Just heading out for a round of cold calls, Boss! 141
    133. 133. Defining “what is a lead”Lead generation Identifying prospective customers and assessing their likelihood to buy, in advance of making a sales callA sales lead The name, contact information and background information on a prospective buyer, preferably someone who has expressed interest in your product, service, category or companyA qualified lead A prospect who is ready to see a sales person 142
    134. 134. Badges zapped at a trade show are not qualified leads
    135. 135. How many leads do you need?Revenue quota per rep $3,000,000Percent of quota self-generated 40%Quota requiring lead support $1,800,000($3M*1-.40)Revenue per order $60,000Converting leads required ($1.8M/$60K) 30Conversion rate 20%Qualified leads required per rep (30/.20) 150
    136. 136. Lead generation is a process Inquiry generation Response handling Lead qualification Lead nurturing Hand off to sales Sales closure Tracking Continuous improvement The company with the best process wins.
    137. 137. It’s a numbers game• Of 100 inquiries…20% will qualify (that’s 20 qualified 100 inquiries leads)• Of 20 qualified…50% can be contacted (that’s 10 20 qualified contacted)• Of 10 contacted…20% will 10 contacted convert (that’s 2)• So we may just end up with 2 2 sales closed sales.
    138. 138. The 5 critical lead generation metrics Metric ConsiderationsResponse rate Useful against industry benchmarks. Not of much value in actually assessing campaign effectiveness. In email, best proxy is “click-to-open” rate.Cost per lead/cost per qualified Campaign cost divided by number of leads thatlead resulted. This allows you to compare campaigns over time, compare media options and compare offers.Inquiry-to-lead conversion rate This will show inquiry quality. Did you perhaps use a weaker list? Is the offer too generous?Lead-to-sales conversion rate Assuming the lead quality is not declining, this shows sales productivity.Expense-to-revenue ratio (E:R) Allows you to evaluate campaigns overall, against each other or over time.
    139. 139. Lead conversion ratesSource: Sirius Decisions, as reported by PointClear 148
    140. 140. 1 in 63 inquirers converts to a sale 149
    141. 141. 1 in 52 in tech industry
    142. 142. Use the most productive inquiry generation mediaTop techniques today• Solicit leads at your website• Ask your customers for referrals• Search engine marketing – SEO – SEM• Outbound telemarketing• Direct mail, including dimensional mail• Trade shows, if the audience is highly qualified
    143. 143. Turn your website intoa lead generation machine Motivate visitors to leave behind their contact information.
    144. 144. A new technique in B-to-B for de-anonymizing website visits• Matching data from the visitor’s browser with offline business data, and flagging the account as a prospect. – IP address identifies company – Company data is sourced from B-to-B databases• Providers: – VisitorTrack, from NetFactor – Demandbase Stream – LEADSexplorer
    145. 145. 154
    146. 146. Ask for referrals at every opportunity• Let your customers help you with your marketing – They will, but ONLY IF YOU ASK THEM• Where to ask for referrals – On your home page – As a P.S. in your emails and direct mail letters – On your billing statements – Inside your sales collateral• Copy suggestion “Our business grows primarily through referrals from our satisfied customers. If you are happy with our work, please tell your friends and colleagues. Thank you!”
    147. 147. Ramping up your referral marketing
    148. 148. What’s new: Domain-based ad servingSophisticated B-to-B website publishers, like Forbes, Business Week and The Wall Street Journal, are offering advertisers a way to serve their ads only to visitors from particular companies, based on their company IP address.Case: The consulting giant Accenture wanted to sell $5 to $10 million technology outsourcing deals to 30-50 among the top 100 electronics and technology corporations. They made their target selections, and provided the list to several business sites, who then served up the Accenture outsourcing ad only when visitors from those top companies appeared.
    149. 149. usage effectiveness
    150. 150. Lead generation media that are less productive• Cold email to rented lists• Broadcast advertising• Print advertising (with exceptions)• Trade shows, all other• And what about social media?
    151. 151. Social media is ramping up in B-to-B About 90% of businesses report they are using social media today.
    152. 152. How to apply social media to lead generation objectives Objective Medium ApplicationInquiry generation Add an offer. Drive to landing page. Collect data.Lead qualification Supplement outbound communications with research on networks.Lead nurturing Keep in touch with unqualified prospects via every possible medium.
    153. 153. Landing page best practices• Visually connect the landing page to the ad. – Landing pages specific to the outbound message improve response by 48% according to Marketo• Deliver on the ad’s promise.• Ask for only the data you need.• Pre-populate forms where possible.• Test!
    154. 154. Example of what not todo, from Ion Interactive. 163
    155. 155. Be sure to test. In thislanding page test IonInteractive found thevideo lifted conversionby 300%.
    156. 156. In this test IonInteractive found thesimpler headlines(More/Less Tech) liftedconversion by 300%.
    157. 157. Fulfill fast• Be ready to deliver on the offer you made. – Send out the white paper… – Deliver the demo…• Don’t make them wait!• You’ll be way ahead of your competition. – An experiment of 1,000 responses to trade advertisements resulted in only 39% fulfillment over 60 days.
    158. 158. Checklist of fulfillment optionsWeb-based downloadTraditional flat mail pieceMulti-dimensional mail pieceE-mailFaxTelephone follow-up callSales call
    159. 159. A philosophical question What is the objective of your lead gen campaign? 1.Quantity 2.QualityFor most marketers, the objective is to generate enoughqualified leads so that each sales territory is optimallybusy, productive and fulfilling its quota.
    160. 160. Qualify the leads• Not all leads are created equal.• You must find out if the prospect is ready to see a sales person, according to pre- determined qualification criteria.Method 1: Ask the qualification questions onyour response form.Method 2: Use follow-up communications toqualify. – Email – Phone – Mail
    161. 161. Adding qualification questions to theresponse form saves the time and expense of outbound contact.But it reduces response. Sample courtesy of The Hacker Group
    162. 162. Categories of qualification criteria1. Demographics – Company size, industry, geography – Individual and corporate2. Activity/behavior – Recency, frequency, significance (download, demo) – Lead source (search term, offer, ad medium)3. BANT – Budget, authority, need, timeframe
    163. 163. B-A-N-T Classic large-enterprise qualification criteria Budget. Is the purchase budgeted, and what size of budget does the prospect have available. Authority. Does the respondent have the authority to make the purchase decision? Need. How important is the product or solution to the company. How deep is their pain. Timeframe. What is their readiness to buy. When is the purchase likely to be.
    164. 164. Additional qual criteria to consider Potential sales volume. How many departments in the company might use this product? How much of, or how often, might they need the product? Predisposition to buy from us. Are they past customers of ours? Are they similar to our current customers? Would they recommend us to their colleagues? Are they willing to call us back? Account characteristics. Company size, whether number of employees or revenue volume. Industry. Parent company.
    165. 165. Case example Custom qualification criteriaKing Industries, Inc., a specialty chemical manufacturer, uses trade shows to generate leads. 5-year sales cycle. Key criterion is sample requests.
    166. 166. Inquiry qualification IS THE critical success factorRule #1 in lead management:Never, ever, pass an unqualified lead to sales 175
    167. 167. B-to-B marketers are slow to follow qualification best practices
    168. 168. Budgeting for qualification• Include funding as part of the campaign budget. – Calculate the cost of expected outbound touches, by medium, and multiply by expected response rate.
    169. 169. Use a lead scoring system• A: the prospect is ready to see a sales rep.• B: the prospect still needs nurturing, but the contact is to be done by the sales team.• C: the inquiry still needs nurturing, to be done by marketing.• D: an inquiry that is not worth nurturing. Put the inquiry into the marketing database for ongoing communications, or throw it away.
    170. 170. Lead scoring: The weighting method Criterion Score Score Score Score ScoreBudget $0-50k 2 $50-100k 3 $100-250k 4 $250k+ 5Authority recommend 4 specify 3 use 2 approve 5 purchase 1Time frame 1-3 months 5 3-6 mo. 3 6-12 mo. 1Rep call? yes 10 no 0Budgeted? yes 5 no 0 Example Sales wants any lead with a 15+ score to be sent to them immediately. They would receive a lead representing an inquirer with: •a budget of $80,000 (3 points), approved (5) •who is planning to buy this quarter (5) •who is the end-user of the solution (2) They would also receive a lead representing an inquiry: •from a purchasing agent (1 point) •for a prospect with an urgent need (5) •who wants to see a sales person (10), but has no budget approved yet
    171. 171. Custom scoring based on fit and behavior Fit BehaviorIn a target vertical where you have 5 Visited our website 3domain expertise Attended webinar 2In a target vertical where you have 3 Came in from a referral 5no domain expertiseNot a target vertical 0 Participated in web-based 4Your product is ideally suited to 5 demosolve their problemYour product will solve their 3problem with some customizationYour product will not solve their 0problem without major investmentin customization Adapted from Laura Patterson, VisionEdge Marketing
    172. 172. Scoring elements used by Aberdeen “best in class” companiesSource: Aberdeen Group: Lead Prioritization and Scoring, May 2008
    173. 173. Lead scoring pays offA study from Eloqua showed that companies who uselead scoring improve their results as much as 30%,without additional campaign expense. Source: Eloqua, Grande Guide to Lead Scoring, 2009, as presented in Maximizing Lead Generation: The Complete Guide for B2B Marketers.
    174. 174. Nurture inquiries that are unqualified• 45% of all business inquiries result in a sale— eventually. Don’t let your competitor get the business.• Institute a nurturing process – A series of communications to build awareness and trust, and maintain contact till the prospect is ready to see a salesperson• Some nurturing tactics: – Email newsletters – Outbound telephone – Event invitations – New product announcement
    175. 175. The case for nurturing: Buyers need multiple touchesSource: Understanding the Industrial Buy Cycle, a white paper by GlobalSpec
    176. 176. Email is the top medium for nurturing
    177. 177. Why does nurturing pay off? Qualified Campaign Responses LeadsResponses generated 100Immediately qualified 5 5Unqualified 95 Post-campaignLead pool 95Contacts reached (60%) 57Qualified via outbound 11 11 Cumulative campaign communication (20%) lead total: 41Nurturing pool 84Qualified via nurturing 25 25 (30%)
    178. 178. Case example: Multiple nurturing touches dramatically increase the volume of qualified lead output # ofTouch/Pass Lead % of Total Cumulative % of es s A Leads Leads (right axis) 1 57 26.1% 26.1% 2 50 22.9% 49.1% 3 29 13.3% 62.4% 4 26 11.9% 74.3% 5 18 8.3% 82.6% 6 12 5.5% 88.1% 7 12 5.5% 93.6% 8 5 2.3% 95.9% 9 4 1.8% 97.7% 10 3 1.4% 99.1% 14 1 0.5% 99.5% 15 1 0.5% 100.0%Source: Direct Marketing Partners, Inc.
    179. 179. Checklist of nurturing tactics• Email newsletter • Podcast• Outbound telephone call • White paper• Event invitation (seminar, • Case study trade show, webinar) • Reprint• New product • Personal communication announcement (holiday or birthday card)• Press release • Letter from the CFO or• Online video other senior executives• Tweets • Letter from various• Blogging departments (customer• Catalog mailing service or relevant area, such as IT or engineering)• Survey or market research questionnaire
    180. 180. Nurturing flow: ExampleDay from Message Medium inquiry 1 Thank you for your inquiry Phone 7 Research report relevant to request at Email inquiry 30 Case study of success from company in Email inquirer’s industry 45 Seminar invitation Phone 60 Customer testimonial and personalized Mail letter 75 Link to article from trade journal Email 90 Personal note from sales engineer to Email schedule online demo 105 White paper and personal cover letter Mail 125 Invitation to breakfast seminar at trade Email show
    181. 181. Marketing automation becoming essential to lead management
    182. 182. Automation vendors, assessed by Gartner
    183. 183. Marketers still have improvements to make inlead nurturingSource: IDC tech marketing study, as published in BtoB magazine
    184. 184. Deciding who gets the lead By territory. By skill or qualification. By rotation. By cooperation level. Lead transfer options • Warm transfer by phone • Email • Web-based systems • Lead management software
    185. 185. Lead gen campaign results metricsActivity-based metrics: Results-based metrics:• Cost per thousand • Conversion-to-sales rate• Response rate • Sales revenue per lead• Cost per inquiry • Campaign ROI• Campaign turn-around • Campaign expense-to- time revenue ratio• Qualification rate• Cost per qualified lead
    186. 186. Seven methods for tracking sales from lead gen campaigns1. Closed loop system2. End-user sampling3. Data match-back4. Control groups5. Exclusive offers6. Product registration7. Activity-based metrics
    187. 187. Treat your leads as gold Each lead costs hundreds—perhaps thousands of dollars—to generate. Each lead may represent thousands—perhaps millions of dollars—in sales potential. Develop a plan to instill within your company an appreciation for the value of the inquiries and the qualified leads they later become.
    188. 188. Exercise: Setting qualification questions • Your company sells custom-engineered turbines to owners of industrial boilers, to convert wasted steam to electricity. • Your target audience is plant managers at food manufacturing companies, universities and paper mills around the world. • Identify 3 qualification questions that might make sense for lead generation campaigns.
    189. 189. To Review: Your action plan • Lay out your lead generation process. • Calculate lead requirements. • Select your campaign elements. – Most effective media. – Strongest offer. – Response-driving creative. • Set up a referral program. • Plan for response handling • Pick qualification criteria. • Establish a nurturing program. • Measure results.
    191. 191. Only 7% of industrial purchases are made by one person alone Percent of decision made by respondentsSource: Understanding the Industrial Buy Cycle, GlobalSpec 2010
    192. 192. Buying groups are growing in size
    193. 193. Higher ticket means more decision makers Source: Understanding the Industrial Buy Cycle, GlobalSpec 2010
    194. 194. The riskier the purchase,the more parties are involved Examples Repeat=supplies, raw materials Modified=computers, p hone systems Blank=new technology, capital expenditures 203
    195. 195. What’s on the mind of the target?Specifiers How is this thing better than the competition?Influencers Make my job easier.Users Easy to install and use.Decision makers Bottom line results.Gatekeepers Protect the executive from sales people.Purchasing agents Save money.
    196. 196. Talking their languageTech buyer Easy to install. No downtime. End-users won’t complain. I can look like a hero. “Spend less.”LOB buyer Easy to use. Will save us time and money. Help me get the job done. I can look smart. “Sell more.”
    197. 197. Example: Creative segmentation Line of business buyerTech buyer
    198. 198. Both online and offline sources are important to buyers Source: “Maximizing Your Touchpoints”: Enquiro.com/b2bRese arch 207
    199. 199. What does this mean for marketers?• Companies have the chance to meet their prospects earlier in the process than ever.• Set yourself up to respond to buying signals in real time.• Marketing must keep the relationship moving forward – for a longer period – synchronizing their communications throughout the buying process – with multiple parties who have different agendas – through a wide variety of media
    200. 200. Average number of media channels used in a direct marketing campaignHow many different types of media does your company use for atypical direct marketing campaign? Mean = 3N = 518 Source: Capturing the Cross Media Direct Marketing Opportunity, InfoTrends,
    201. 201. Multiple touches drive higher response 40% 34% 30% 28% 20% 19% 10% 0% Print & Web Print & Web Print & Landing Page, email and Landing Page email Mobile Marketing Source: Multi-Channel Communications Measurement & Benchmarking. InfoTrends
    202. 202. How B-to-B direct marketing is evolvingTraditional approach The new B-to-B direct• Generate a lead marketing• Qualify • Communications across a• Hand off to sales long sales cycle – Multiple touches, media,• Cross-sell/up-sell offers • Messaging relevant to multiple parties • Marketing responsiveness to buying signals in real time
    203. 203. Where we end up… Mprofs.com
    204. 204. Stamford placeholder
    205. 205. Buyers rely on content more than ever “Very” or “extremely” influential over final purchase decision.Source: Eccolo Media 2011 B2B Technology Collateral Survey
    206. 206. Checklist of content assets A library that can serve different needs• Case studies • Articles• White papers • Data sheets• Archived webinars • Customer stories• Podcasts • eBooks• Videos• Research reports • Executive interviews• Blog entries, Tweets • Presentations• Infographics• Press releases
    207. 207. To deliver value consistently Develop a content strategy1. Map buyers’ information needs to their stage in the process.2. Assess current content assets.3. Fill any gaps with appropriate content.
    208. 208. Top B-to-B content uses1. Thought leadership.2. Lead generation offers.3. Search engine rankings.4. Lead nurturing touches.
    209. 209. Make your content relevant and non-salesy Nurturing materials UsageEducational materials (white 78%papers, research, etc.)Webinar invitation 72%Links to customized landing pages 72%Product or service information 67%News and events on the company 44%Source: Aberdeen Group
    210. 210. Source: DemandGen/Genius study 2011
    211. 211. Source: DemandGen/Genius study 2011
    212. 212. Content loses value at different ratesSource: Bulldog Solutions
    214. 214. 90% of the world’sdata created in the last two years Big Data Means Big Changes 80% of new data growth is unstructured content
    215. 215. Big Data, defined“Techniques and technologiesthat make capturing value fromdata at an extreme scaleeconomical.”Forrester Research, 2012
    216. 216. Unstructured data is the fastest growing enterprise data category Unstructured data cant be stored in rows and columns, e.g. E-mail files, word-processing text documents, PowerPoint presentations, JPEG/GIF image files, and MPEG video files Stored as Blobs (Binary Large Objects) in relational databases
    217. 217. Why Big Data is like crude oil It needs filtering and refining to unlock its value and make it usable.• Only small percent of social media streams data is relevant, e.g., for sentiment analysis.• Less than 20% of all tweets include a link that needs to be opened to understand its context.• The question is: – Are you a consumer of oil (i.e., gasoline, jet fuel, heating oil), or do you want to build exploration sites and refineries? – Are you a data consumer or a data service provider?Forrester Research, 2012
    218. 218. Big Data will do well in the cloud• Big data requires a spectrum of advanced technologies, skills, and investments. – Do you really need/want this all in-house?• Big data includes huge amounts of external data. – Does it make sense to move and manage all this data behind your firewall?• Big data needs a lot of data services. – Focus on the value of your differentiated data analysis instead of big data management.Forrester Research, 2012
    219. 219. How to make sense of Big DataThink of customers and prospects as Tribes• DEMOGRAPHICS – Who they are and where they live• PSYCHOGRAPHICS – What they buy and what they like• INFOGRAPHICS – What they read and how they communicate• SOCIOGRAPHICS – Where they hang out
    220. 220. Four steps for making use of Big Data1. Define your customer. – Who is the buyer? Who influences the sale? Who authorizes it? Create a multilevel picture of each company, and fill in any information gaps.2. Cleanse and standardize your data. – Standardize mailing addresses, check email addresses, and validate domains.3. Match data. – B2B matching is complex because of the variations in company naming conventions and sites that can span addresses – Continually test and refine your matching rules.4. Generate insight. – Leverage BI tools Read more: http://www.marketingprofs.com/short-articles/2451/four-steps-to-taming-wild-b2b-data#ixzz24rUSCcE6
    221. 221. Starting to gain traction: Online trade shows• Benefit to attendees: Go to a show from your desktop• Benefit to exhibitors: Vastly reduce costs, but still interact with qualified buyers
    222. 222. MarketingProfs virtual event uses ever-improvingtechnology
    223. 223. The genius.com stand
    224. 224. Online testing: A secret to success in multi-touch programs• A/B testing (Split Testing) – Compares the performance of two different pages – Good when a web site has fewer than 1,000 page views per week – Can help when moving sections around or changing the overall look of web pages• Multivariate Testing – Compares the performance of content variations in multiple locations on a page – Good when a web site receives more than 1,000 page views per week – Can help optimize multiple content changes in different parts of multiple web pages simultaneously
    225. 225. Multivariate testing Test multiple variables at a time Test A Test B Test C Headline 1 Headline 2 Head line 3 Image A Image B Image C Body Copy a Body Copy b Body Copy cOffer 1 Offer 2 Offer 2 Call to Action I Call to Action II Call to Action III 36 Variables (3x3x3x3x3x3) = 729 Tests
    226. 226. The “last ad” standardAtlas Solutions, Microsoft Advertising
    227. 227. Engagement mapping across channelsAtlas Solutions, Microsoft Advertising
    228. 228. Case example of multi-variate testing: Palo Alto SoftwareBackground• Business Plan Pro, a shrink-wrapped planning software package, sold online and priced at $99.95• Wanted to improve conversion (sales rates) at the landing page from marketing campaigns• 11 variables were considered, e.g., – layout – images at top and bottom – product description copy – submit button placement
    229. 229. Palo Alto Software, cont’d.Solution• Used Optimost’s hosted solution (Optimost’s leading competitor is Offermatica—but Google has introduced free optimization tools)• 11 variables meant 41 million permutations• Set up 5 waves of 15,000 page views each, with a control group of 29,000• Eventually Palo Alto identified the optimal page version, which raised overall conversions 41.3%, from .75% to 1.06%
    230. 230. Landing page optimization results Optimized landing page lifted conversions by 41.3%.
    231. 231. Additional insights from optimization• The multi-variate campaign identified the variables that Lift had the most impact. generated Top image 16.8% Bottom layout 12.3% Product 11.9% description area
    232. 232. Heat mapping for website optimizationThe Perceptual Map Shows what users will see on the page within the first few seconds of their visit. Websites that make sure that users see important messages right away exhibit lower bounce rates, higher engagement and ultimately higher conversion rates.The Attention Map Shows how a user’s attention is distributed within the first 3-5 seconds of viewing a landing page. Deep red areas attract the most attention, while blue areas attract the least.The Hot Spots Shows the 10 most salient points on the landing page. The bigger the circles, the more eye catching the underlying elements. More than one circle on one element indicates that the area will most probably be viewed several times.
    233. 233. Google webmaster tools & analytics• Google Webmaster Tools - See which phrases you’re ranking well for, what pages are causing problems for Google when crawling your site, which pages are getting the most links, RSS subscribers, etc.• Enterprise class web analytics measure and understand engagement on your website, find your site’s top content, understand how mobile impacts your site, see the full path to conversion with multi-channel funnels and measure the impact of social media on your business.
    234. 234. • Website Grader – Website Grader by Hubspot is a free tool that measures the marketing effectiveness of a website. It provides a score that incorporates things like website traffic, SEO, social popularity and other technical factors.• EyeQuant heatmap neurotechnology that helps you optimize user attention on your websites. It predicts within seconds where users will look and what users will see, enabling rapid and cost-efficient conversion optimization. In contrast to other approaches, EyeQuant delivers more than 90% of an Eye-Tracking study’s performance.
    235. 235. Visual Website Optimizer offers enterprise tools for A/B & MVT Testing . • Concept A|B testing: Split-run or A|B tests that compare radically different page layouts. • Simple ultivariable testing: Individual single elements such as offers, price points, images, or content • Full multivariable testing: Any combination of online elements, anywhere, including dynamic content and rich internet applications like AJAX and Flash. Ability to control for interactions and other complex testing scenarios • Behavioral Targeting: Show personalized content/offers to your visitors to increase conversion rate • Usability Testing: Get feedback on your landing pages to discover usability issues and get improvement ideas • Heatmaps
    236. 236. 3 types of heat mapsPerceptual Attention Hot Spots Source: Diamond Marketing Solutions
    237. 237. StanfordUniversityalumniprogrampromoting asummitmeeting inIndia.
    238. 238. Attentionmap forStanfordUniversityemailcampaign.
    239. 239. 5 reasons your business must be mobile1. Your Audience is Mobile Business professionals live by their smartphones today. 91% of mobile workers use a smartphone for work. What’s more, many say they would be emotional (59%), disoriented (40%) or distraught (34%) if they worked without a smartphone for a week. Additional stats are in the infographic below from [x]cube labs.2. B2B Mobile Traffic Matters ComScore reported 8.2% of US traffic in 2012 was from mobile devices, and Walker Sands tracking shows mobile traffic increased by 102% from Q4 2011 to Q4 2012. Participants from B2Bchat reported mobile traffic of up to 27%, with most between 10% and 20%, all on B2B websites.3. Email is Mobile By the end of the year, ReturnPath predicts mobile clients will subplant desktops and web mail as the top email clients. If you are not already designing your emails for mobile screens first, start now. For marketers making this switch today, start looking at comps or tests of mobile emails first, before looking at desktop versions.4. Social is Mobile People now spend more time with Facebook and Twitter from a mobile device than from laptops and desktops. (source).5. Search is Mobile By December 2012, Marin Software predicts 25% of all paid search clicks will be from mobile devices, more than doubling over December 2011. (source)
    240. 240. New ways for business professionals to interactwith your B-to-B brands
    241. 241. Create “personas”• Persona: A fictional character representing a target segment. – Aka “profile.”• Useful in crafting relevant messaging and motivational offers. Meet Joe. Hes owner and CEO of a growing, mid-sized stock brokerage company. Joe is a gregarious guy, married, with two children. His wife works, so there’s always more to get done in the day than they can handle. Joe wears a suit to the office, but is actually more comfortable in casual clothes. He drives a roomy 4- door. In the downturn, his company took quite a hit, so he’s looking for ways to get back on track and run the business more efficiently, using technology.
    242. 242. Tech influencer persona Meet Stan. Hes database administrator at a large manufacturing company in suburban Illinois. Stan is single, and lives in a rental apartment with his two dogs. On weekends, he favors day hiking and watching his favorite sports teams on Internet television. He’s a gadget-lover, and early adopter of consumer electronics. He never wears a suit to the office. He drives a late-model SUV. Stan appreciates how people in his company are always asking him for tech advice. His company understands the value of technology in gaining a competitive manufacturing edge.
    243. 243. Triggered communications Top B-to-B triggers• Automatic generation of an • Inquiry follow-up outbound message, based on predefined decision rules • Order confirmation• Key benefits: • Product usage tips – Improved relevance • Download acknowledgement – Better ROI • New product announcement • Job/company change • Site visit follow-up • Warranty expiration • Event attendance management
    244. 244. Best application of trigger marketing: e-nurturing• Example: Web-based request for a case study is followed by a series of emails – Deliver the case studies – Additional content based on • Their stage in the sales cycle • Actions the customer has taken• Result: Shorter lead conversion cycle Source: Microsoft Solomon division e-nurturing campaign, from MarketingSherpa
    245. 245. The thorny “attribution” question 255
    246. 246. Where is B-to-B direct marketing heading? • More complexity. – More parties involved. – More media options. • New tools. • Globalization. • Corporate Social Responsibility. • Digital integration.
    247. 247. Thank youruth@ruthstevens.com cgreenglass@dmsolutions.com