Maximizing performance in an omnichannel worldMay 2013

Overview

Know your customer

Acquiring customers offline

Extending marketing online

Integrating channels

Case studies

Half of marketers don’t.*

Do you know your customers?

*Marketing in Retail: Making the Case for the CMO, Retail Systems Research, September 2012.

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preferences

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demographics channel

preference

total

spend

A 360o view of your customer is key.But how do you achieve it? It all starts with data. Data is the building block of any successful omnichannel campaign.

Complete data gaps & leverage data

Use your 360° view to reach the right customer…

This approach ensures that you are effectively using your marketing efforts to reach customers when they are most likely to respond

at the right time…

through the right channel…

with the right message…

Acquiring customers offline

Despite what the media may lead you to believe,

direct marketing is twice the size of Internet/mobile in expenditures*

*Marketing in Retail: Making the Case for the CMO, Retail Systems Research, September 2012.

The most effective predictor of future purchase behavior is past purchase behavior.

It begins with your offline data.

Direct mail is not dead.

2012$51.1Boverall direct mail expenditure

$26.3Boverall email, Internet (excluding search), social & mobile expenditure

Maximizing your list sources will increase the ROI for the direct mail channel of your campaign.

Increasing your list rental

revenue = improved

ROI

Lower your cost per piece

If a list isn’t performing,

don’t continue to

use it

Be bold inlist source evaluation

The result?Your

marketing pieces hit the mail

faster

Use fewer lists to improve recency

Paying for the same

name from multiple lists is a waste

Streamlineyour prospect pool

…bring it online

Now that you have high-performing offline data…

Take a holistic approach to online targeting.New to the world of online marketing? Start small, market with relevancy, and grow your campaign incrementally.

Email retargetingDisplay to engage

lapsed buyersDisplay for acquisition

Site retargeting

Portal match: match offline file to the registered users of major portals (Yahoo, AOL, etc.)

Direct mail: drive sales and multichannel relationships

Your total audience

Prospects

Offline audience

Online audience

The key is addressing your entire audience.Use multiple approaches to ensure maximum online reach.

Site retargeting: place cookies when consumers visit your site; match to offline data when consumers register

Email retargeting: place cookies when customers open an email message from your brand

Matching platform: match offline file to online cookie universe

The evolution of marketing:Online communication is becoming increasingly relevant and data driven.

BehavioralOnline click-based behavior used to target

ContextualDisplay ads bought on specific sites base on site content

Use real-world data to drive selection of your audience

Define the audience you want to reach & use display to market to them wherever they are online

Audience basedDriven by data, customers are engaged with relevant, personal communications

Typical return on ad spend (ROAS) for online campaigns

Follow up with consumers who visited your site but did not complete a transaction

Leverage what you know about your customer’s site visits and bridge the site and online display channels.

Site retargeting

Keep the relationship going with engaged customers as they visit other websites

Keep brand visibility beyond the website

Continue to promote special offers after an email is opened and bridge the gap between the email and display channels.

Email retargeting

Keep the relationship going with engaged customers

Reinforce email program messaging with highly targeted display advertisements

Build a large scale online audience for ongoing campaigns

Gain visibility outside of the inbox

Use offline data to better target and measure display media and reinforce offline direct marketing.

Targeted banner advertising

Keep the relationship going with engaged customers

Reinforce email program messaging with highly targeted display advertisements

Build a large scale online audience for ongoing campaigns

Gain visibility outside of the inbox

Acquisition emailBuild your housefile, acquire new customers, and increase your visibility through the email channel.

Build up your customer house file

Develop a large customer pool for future campaigns

How to leverage the display channel

Acquisition with custom modeling

Sample the data of your best prospects and build a custom model that can help you focus online spend and advertising on the highest value audience.

Retention and cross-sell with CRM

Find your offline audience online, and reach your existing customers with messages as a stand-alone program, or use it to reinforce offline offers.

Acquisition with categorized audience segments

Buy online-ready audience segments by demographic, financial attributes, etc. and target them with advertisements.

Retargeting through display

Drop a cookie on your site or via email to retarget engaged customers who have not yet made a purchase with the email or site offer that they previously viewed.

Start with data. Create a consistent message across channels. Increase your visibility. Engage your prospects with relevant communications. Improve your ROI.

Omnichannel campaign integration

Case studies

Streamlining your offline list sources

CHALLENGE Grow consumer business and improve 20% repeat purchase rate.

SOLUTION Modeled names were utilized to drive prospects and optimization to mine older files. Moved to a single source solution to decrease strain on internal resources and streamline costs.

RESULTS With increased prospect circulation, the Oneida house file grew to 12% from 2009 to 2010, and 25% from 2010 to 2011. Contribution now ranges from $14–$22/new customer.

“Epsilon’s insights, efforts and innovative solutions have provided us with impressive results and decrease strain on our internal resources. We consider Epsilon to be a strategic extension of our in-house marketing team.”

Andrew RuggeriVice-President

Customer retargeting

CHALLENGE Maximize purchase of existing customers in a specific geographic location.

SOLUTION Existing CRM data was made actionable online. In addition, a state-wide campaign was run, targeting existing customers with offers to match their preferences and location.

RESULTS Customers who received an online display ad had 21% more orders, and 17% larger average order size than customers who did not receive an online display ad.

17%

21%

# of ordersincrease

average orderincrease

Those not targeted with online ads

Omnichannel acquisition

CHALLENGE A fine food and specialty gift retailer typically saw sales spike during the holiday season, and saw the potential to increase overall performance through multichannel acquisition and brand awareness efforts.

SOLUTION The client engaged Epsilon to integrate the display channel with TargetDisplay to provide more frequent brand exposure to targeted prospects and customers during the holiday season.

RESULTS

At the end of the day, you need to understand the proliferation of channels

• Customers have many choices• There’s a proliferation of channels and competitors• Need to understand consumer preferences• Evolve to omnichannel marketing• Create a seamless cross-channel contact strategy

Key takeawaysChannel coordination + optimization = improved customer experience and increased ROI

IT’S ALL ABOUT THE CUSTOMER

• Make data actionable: Leverage offline data to target customers and prospects online

• Make offers relevant and personal

• Create consistent, coordinated messages on all channels

• Cost savings

COST SAVINGS

• Streamline spend to reach only target audiences

• Attribute spend across all channels

• Be sure to calculate the impact of digital marketing to offline sales

• Leverage existing data and infrastructure

INCREASE CUSTOMER INSIGHT

• Utilize the information you gather for a better omnichannel view of customer behavior and preferences

• Leverage data to understand full customer interaction

Ready to get started? Let us help.

For more information, contact us:

800.309.0505 | info@epsilon.com