Brave, New Multi-Channel World – Implementing & Measuring ...
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Brave, New Multi-Channel World – Implementing & Measuring Integrated, Multi-Channel Campaign Strategies PRESENTED BY RICHARD BECKER, PRESIDENT – TARGET ANALYTICS
Transcript of Brave, New Multi-Channel World – Implementing & Measuring ...
Brave, New Multi-Channel World – Implementing & Measuring Integrated, Multi-Channel Campaign Strategies
PRESENTED BY RICHARD BECKER, PRESIDENT–TARGET ANALYTICS
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Agenda
• The Marketer’s Dilemma: How to Measure Cross Channel Effectiveness
• The Impact of On-line Advertising on Direct Mail Response
• Use Case Review
#1: International Relief Organization Targets Active & Lapsed with Gift Request
#2: Animal Welfare Organization Targets Active & Lapsed with Sustainer Request
• Best Practices in On-Line Advertising & Multi-Channel Marketing
• Q & A
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The Marketer’s Dilemma:
How to Measure Cross Channel
Effectiveness
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Advertising effectiveness in question
GM Will Remove $10 Million Worth Of Ads From Facebook
Mere days before Facebook goes public,
General Motors announced that it will pull
$10 million in advertising from the social
media site. GM execs told the Wall Street
Journal they're not getting appropriate
bang for their buck from Facebook's paid
ad content.
Wednesday, May 16th – Wall Street Journal
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Click Thru 0.4%
4 clicks per
10,000
impressions
served
Conversion 0.005%
1-2 conversions
per 100,000
impressions
served
Return-on-Ad-Spend 0.25 : 1 25 cents per $1
spent
Typical On-line Advertising Results
Traditional measurement techniques
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Traditional models of on-line advertising
• Topic and Interest Targeting Target users from predefined interest categories, inferred from a user browsing history
• Keyword Contextual Targeting Use keywords to find web pages for your ads across your ad network
• Remarketing / Retargeting Target ads to people who have previously visited your website as they browse other web sites
• Self Reported Data Targeting Target ads based on information volunteered by the user via a membership form or user profile
• Location Based Targeting Target ads based on a user’s geographic location
• Demographic Targeting Target ads based on a user’s estimated age, income, gender, etc.
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Limitations of traditional on-line advertising
Key Limitations
Advertising based on inferences of affinity,
interest, and capacity, not previous
philanthropic behavior or organizational affinity
Advertising is delivered to unknown recipients,
limiting the ability to measure its effectiveness
on stimulating other on-line and off-line
channels
Advertising is centered on the on-line actions of
web users, such as previously visiting your
website, a very limited perspective that does
not account for previous philanthropic related
behavior or affinity
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The impact of on-line advertising on
direct mail response
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Moving to targeted advertising
• Targeting moves from “Where they are on-line” to “Who they are.” You no
longer have to rely on inferences or demographic profiling to determine who
received advertising. Now, you can target prospects based on philanthropic
behavior driven predictive modeling.
• Target the same prospects on-line as you do off-line. Reinforce your brand with
the same prospects you are mailing, telemarketing, or targeting with other 1:1
marketing channels. Create response lift across all channels by using true
integrated, multi-channel marketing.
• Measure on-line advertising effectiveness. Understand exactly how brand
impressions on-line affect donor behavior across all solicitation channels. For
example, measure how brand impressions on-line lift direct mail performance.
How it works - conceptual
Your Organization’s Target
Prospect List
On-Line Matching
Advertising Served to Your
Target Prospect
• Your Active Donor File
• Your Lapsed Donor File
• Your Acquisition Marketing List
• Any List Source Consisting of
Name & Postal Address
• Matches Your Input List to On-line
Users to a Network of On-Line User
Profiles
• Wherever your Target Prospect
Goes on the Web, Serve Them
Advertising
Why it works
Direct Marketer
focus is focused
on the
transaction
Reinforcing the
brand to build
awareness,
favorability, and
consideration is
often overlooked
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Use case review
Use Case #1 - Introduction
Client
• International Relief Organization
Campaign Objective
• Complement direct mail campaign targeting active & lapsed donors with on-line display
advertising, serving direct mail recipients advertising impressions during 3 month direct
marketing campaign
• Improve overall campaign response and donations as a result of on-line advertising
• Realize a minimum 1:1 return on advertising spend (ROAS)
Campaign Scope
# of Household Records – Mail File 1,006,374
Campaign Duration 3 Months
Campaign Timing October 3, 2011 – December 31, 2011
Digital Campaign Spend $50,207
Cost per Thousand Impressions $9.60
Use case #1 – Brand Exposure
Total Mail File - # of Households 1,006,374
Total # of Households with Cookies 518,402
% of Mail File with Cookies 51.5%
Total # of Households Served Ads During Campaign 183,160
% of Mail File Served Ads 18.2%
% of Mail File with Cookies Served Ads 35.3%
# of Ads Served 5,229,916
Average Number of Ad Impressions Per Household 28.6
Average Number of Ad Impressions Per Household Per Month 9.5
183,160 Households were delivered 5,229,916 Ad Impressions Over 3 Months
Brand Exposure
Use Case #1 – On-line Performance
Click Thru & Click View Activity
Total # of Households Served Ads During Campaign 183,160
# of Ads Served 5,229,916
Total Unique Households with Click Thru 2,003
Households with Click Thru as a Percent of Total Households Served Ads 1.09%
Click Thru Based Conversions 16
Conversion % (Click Thru Based Conversions as a Percent of Total Click Thru) 0.8%
Click Thru Based Revenue $1,244
View Based Conversions 644
Conversion % (View Based Conversion as a Percent of HH Served Ads) 0.4%
View Based Revenue $93,091
On-Line Only Activity Associated with Connection360 produced 660 donors and
$94,335 in donations, yielding an “On-Line Only” Return on Ad Spend of 2:1
Use case #1 – Total Campaign Lift
Test vs. Control – Affect of Advertising on All Channels
Control
Cookie No Ad Served
Test
Cookie Ad Served Lift
Unique Households 183,160 183,160 -
Total Conversions 12,999 16,642 3,643
Total Revenue $906,729 $1,165,136 $258,407
Total Conversion Rate 7.10% 9.09% 28.0%
$ Per Household $4.95 $6.36 28.5%
Average Gift Per Donor $69.75 $70.01 0.4%
Total Activity Associated with Connection360 produced 3,643 donors and $258,407 in
donations, yielding an Total Return on Ad Spend of 5:1
Use case #1 – Performance Summary
$258,000
5:1 ROAS Ad Spend
Incremental
Revenue
$50,207
Return on AD Spend
(ROAS)
Return on ad spend of 5:1.
$50,207 cost against
$258,000 in incremental
revenue
9.09%
+28% Control Group:
No Digital Ads
Test Group:
Digital Ads Served
7.10%
Response Rate
Response rates were 28%
higher for those that were
served banner ads than the
control
$6.36
+29% Control Group:
No Digital Ads
Test Group:
Digital Ads Served
$4.94
$ per Household
The $69 average donation was
comparable between test and
control; $$ per HH was 29%
higher for the test group
Use Case #2 - Introduction
Client • Animal Welfare
Campaign Objective • Complement direct mail campaign with on-line display advertising, serving direct mail
recipients advertising impressions during 3 month direct marketing campaign
• Improve overall campaign response and donations (and specifically optimize sustainer
donations) as a result of on-line advertising
• Realize a minimum 1:1 return on advertising spend (ROAS)
Campaign Scope
# of Household Records – Mail File 1,399,508
Campaign Duration 3 Months
Campaign Timing December 20, 2011-March 12, 2012
Digital Campaign Spend $75,756
Cost per Thousand Impressions $9.00
Use case #2 – Brand Exposure
Brand Exposure
Total Initial Mail File 1,399,508
Total # of Targetable Households after DLX match 1,343,963
Total # of Targetable Households with Cookies 867,695
% of Targetable Households with Cookies 65%
Total # of Households Served Ads During Campaign 306,027
% of Targetable Households Served Ads 23%
% of Targetable Households with Cookies Served Ads 35%
# of Ads Served 8,417,329
Average Number of Ad Impressions Per Household 27.5
Average Number of Ad Impressions Per Household Per Month 9
306,027 Households were delivered 8,417,329 Ad Impressions Over 3 Months
Use case #2 – Total Campaign Lift
Total Activity Associated with Connection360 produced 321 additional sustainer
donors and $143,636 in donations, yielding an Total Return on Ad Spend of 2:1
Gift Type Conversions % Conversions Avg. Donation 12 Month Value Total Revenue
One-Time 15,895 89.6% $38 $38 $605,067
Sustainer 1,799 10.1% $30 $362 $651,124
Other 41 0.2% $27 $27 $1,113
Total 17,735 $1,257,303
Gift Type Conversions % Conversions Avg. Donation 12 Month Value Total Revenue
One-Time 15,181 91% $38 $38 $577,874
Sustainer 1,478 8.9% $30 $362 $534,972
Other 30 0.2% $27 $27 $822
Total 16,689 $1,113,667
Test
Control
Test vs. Control – Affect of Advertising on All Channels
Use case #2 – Performance Summary
5.80%
+6.3% Control Group:
No Digital Ads
Test Group:
Digital Ads Served
5.46%
Response Rate
Response rates were 6%
higher for those that were
served banner ads than the
control
$2.16
+5.4% Control Group:
No Digital Ads
Test Group:
Digital Ads Served
$2.05
$ per Household
$ per HH was 5% higher for
those that were served banner
ads; average gift per donor
was comparable
12.5%
+34%
Test Group:
Digital Ads Served
9.3%
% Donations via
Web
Gifting via the web for the test
group represented a 34%
increase versus the control
Control Group:
No Digital Ads
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Best Practices in On-Line Advertising
& Multi-Channel Marketing
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Key Ideas
• The ad should strive to accomplish 3 things:
• Drive brand awareness
• Communicate cause message & reason to donate
• Clear call to action
• Your campaign should adhere to these 3 things:
• Effective multi-channel marketing must be integrated
• Only use marketing channels with clear performance measurements
• Prior philanthropic behavior is the best indicator of future philanthropic behavior
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Best practices – Do’s and Don’ts
• Do: Use strong brand reinforcement with prominent brand name display - CLEAR
• Do Not: Use intrigue in an effort to get people to click thru
• Do: Keep the message simple, with an obvious call to action – URGENCY
• Do Not: Promote social media or other intermediary steps to your desired outcome
• Do: Use imagery to compliment your effort to reinforce your brand – USE EMOTION
• Do Not: Use imagery that does not involve a living person or animal
• Do: Use consistent creative across all landing pages and off-line media CONSISTENCY
• Do Not: Treat on-line advertising as a stand-alone channel, it exists to reinforce your brand
• Do: Make the donation form and landing page as simple as possible - SIMPLICITY
• Do Not: Drive click thru’s to your homepage or page other than the donation page
• Do: Use rich media, flash, and color to attract attention – BOLD
• Do Not: Use white as the background for your on-line ads
Great Creative
Great Creative
