How digital analytics can enhance

the customer experience and your bottom line

August 2012

Created and presented by: Kelsey A Horine

For questions or to request permission to use the content in the presentation you can email me at Kelsey.adele@gmail.com

Agenda

Background • Who are you? • Who am I? • A refresher on IMC • What is digital analytics?

In Theory • How digital analytics can enhance the

customer experience and your bottom line • Why companies aren’t doing more with

digital analytics In Practice • Tools that allow a more holistic view of

your customers and the ability for advanced digital analytics

• The path to a better customer experience and improved bottom line – A client case study and examples

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A couple caveats: This is a huge topic, this presentation is just scratching the surface. Some topics in the presentation I will go in-depth on and some I will just touch on, this deck is meant as a takeaway to review more thoroughly. The material in here is intended to be digestible for an audience that has experience in digital marketing and IMC.

Who are you?

1. What are you and or your company doing in digital? 1. Search 2. Mobile 3. Social 4. Retargeting / Online ads

2. Do you know the typical path of

your clients or customer?

3. How involved are you in digital analytics?

4. What tools are you using?

5. What are you hoping to get out of this evening?

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Who am I

• A consumer-centric, data-driven marketer, who truly believes that good marketing connects people with what they want and need.

• I believe in a holistic approach to marketing, using quantitative and qualitative data to drive actionable insights and strategy.

• A Sr. Strategic Consultant at Aspen Marketing Services

(a division of Epsilon)

• In digital marketing for the past 7 years, client side and agency experience

• Educated in Marketing – M.S in Integrated Marketing Communications from

Northwestern University with concentrations in Marketing Analytics and Direct and Interactive Marketing

– B.S. in Business Administration, majoring in Marketing, from the University of Denver.

• When not working, you can find me trying new food, practicing yoga and playing with my yellow lab, Dillon

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An IMC Refresher

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A friendly reminder on IMC

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Integrated marketing communication (IMC) is defined as a customer-centric, data-driven method of communicating with the customer.

Why is IMC Important : Designed to make all aspects of marketing communication work together as a unified force, rather than permitting each to work in isolation.

Identify customers and prospects

Valuation of customers and

prospects

Creating and delivering

messages and incentives

Estimating Return on Customer Investment

Budgeting, Allocation and

Evaluation

Source: Northwestern University, Masters program in Integrated Marketing Communication 2010

The four stages of IMC, we’ll focus stage 3 today

• Reform of financial information infrastructure to foster “closed loop” planning capabilities to return on customer investment measures.

Stage 4

Financial and Strategic Integration

• Integration of various customer data to obtain a richer and more complete view of customer/brand relationship.

Stage 3 Application of Information Technology

• Scope of marketing communications activities broadens to encompass internal marketing to employees, suppliers, and other business partners and to align them with the existing external communications programs.

Stage 2

Refining scope of marketing

communication

Stage 1

Tactical coordination

Focus on tactical coordination of diverse outbound marketing, communications element, and achieving consistency and synergy between functional efforts.

Source: American Productivity and Quality Center, IMC Best Practice Report, taken from IMC the Next Generation by Don and Heidi Schultz, 2009 7

What is Digital Analytics?

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Web Analytics Avinash Kaushik defines Web Analytics as: 1. The analysis of qualitative and

quantitative data from your website and the competition

2. To drive a continual improvement of the online experience of your customers and prospects

3. Which translates into your desired outcomes (online and offline).

Digital refers to the following channels: web, social media, email, online advertising, mobile, video, and search.

Sources: Avinash Kaushik, http://www.kaushik.net/avinash/web-analytics-101-definitions-goals-metrics-kpis-dimensions-targets/, 2010

Jessica Straka, http://threeminds.organic.com/2011/01/digital-analytics-in-a-nutshell.html, 2011

How to approach digital analytics

Source: Avinash Kaushik, http://www.kaushik.net/avinash/web-analytics-101-definitions-goals-metrics-kpis-dimensions-targets/, 2010

1. What are your Business Objectives / Desired Outcomes?

2. What are the associated Goals?

3. What KPIs are you going to use to measure your performance?

4. What KPI targets do you need to meet to be successful?

Objectives must be DUMB: Doable. Understandable. Manageable. Beneficial.

Business

ObjectiveGoal KPI KPI Target

Increase unique visitors Lift in unique visitors per

month7%

Increase online applications Lift in online application

completion rate 5%

Increase loyalty to the website Lift in recency and frequency of

visits 5%

Improve conversion from

"abandoned carts"

Lift in conversion from

triggered events 10%

Increase the number of new

accounts funded

Lift in the number of new

accounts funded in the first 30

days

10%

Understand the top content for

high value clients

Top content viewed by high

value clients, based on recency

and frequency views

Identify the

top 3 content

topics by line

of business

Provide more relevant content

to the site

Reduce website bounce rate

Reduce mobile site bounce rate

10%

20%

Increase Net New

Accounts

Increase Account

Balances

Increase customer

satisfaction

Business Objectives

Goals KPIs

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What should we be looking at?

• The bottom-line: revenue and ROI

• The behavior of people after actions, and the interaction with follow-up actions

• The type of information that is valued the most by the subscribers

• The percentage of leads from a campaign (for example, with downloading a white paper)

• The cross-channel behavior of people (e.g. social sharing)

• The percentage of qualified leads delivered to sales and effectively becomes a customer

• Incremental effects of integrated approaches

• Cross-fertilization effects of multi-channel contact strategies

We should look at metrics and key performance indicators that tell us something about the bottom-line, and follow both the lead and the customer throughout the entire life cycle.

Source: Selligent, Integrated data and metric cross channel and customer centric, 2012 http://www.selligent.com/en/blogs/e-mail-marketing/en-integrated-data-and-metrics-cross-channel-and-customer-centric-busin/ 10

So… how can digital analytics enhance the customer experience and the bottom line?

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• Improves Engagement and Customer Satisfaction Potential for Cross-sell & Up-sell Identify activities that are correlated with revenue driving

activities across channels

Content can be prioritized based on key performance indicators

Identify preferred channels

• Enhances Quality and Quantity of Leads and or New Customers Identify decision rules when a lead should be passed to sales

Can provide lead nurturing messaging to prospects

Understand what high-value customers are doing, to acquire more like them

• Reduces Fallout and Cost Indicate content that is broken and prohibiting client activities

What leads to abandonment before a client converts

More customers, higher value customers, reduced costs

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Why companies aren’t doing more with digital analytics?

A recent Forrester study found that 59% of interactive marketers

surveyed wanted a “better system for measuring and analyzing the performance of programs that encompass multiple channels.”

Source: Forbes http://www.forbes.com/sites/davidwilliams/2012/04/16/if-you-think-a-web-analytics-tool-is-enough-think-again/2/ 2012 13

Common challenges to understanding the customer experience online

1. Building organizational consensus – Structure – Processes – Goals / Priorities

2. Developing the technical infrastructure and resources

– Across channels, departments and lines of business

– Real-time

3. Measuring the value of (inter)actions

and touch points – Channel-agnostic consumer – An often disjointed purchase path and – Proliferated media consumption

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The Tools

Tools for a multi-channel view Keep in mind: “the quest for a single tool/source to answer all your questions will ensure that your business will end up in a ditch”. Avinash Kaushik Compare analytics tools at www.aboutanalytics.com

Digital Analytics • Adobe Digital Marketing Suite • Web Trends* • Core Metrics* Web Analytics and Tag Management • Google Analytics (Premium)

– Multi-channel funnel API

• Tableau • Crazy Egg • Analytics Canvas

Mobile • Flurry • Bango • AdMob analytics • Litmus Social • Radian6 • AlterianSM2 • MNIncite

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Competitive Insights • Compete • Quantcast • Insights for Search • DoubleClick Ad Planner Testing • Google Website Optimizer • Adobe Test and Target • Optimizely • ClickTale

Voice of Customer / Text Analytics • 4Q by iPerceptions • KissInsights • UserTesting.com • Concept Feedback • Clarabridge • OpinionLab

Sources: Avinash Kaushik http://www.kaushik.net/avinash/best-web-analytics-tools-quantitative-qualitative/ 2010 INC. Best web analytic tools http://www.inccom/guides/12/2010/11-best-web-analytics-tools.html 2010

A deeper look at Adobe Marketing Suite

SiteCatalyst • web analytics solution that provides

marketers with actionable, real-time intelligence.

SocialAnalytics • provides marketers with

measurement, monitoring and insight into how social media impacts business and marketing.

Discover • allows digital marketers to deeply

analyze and segment any quantity of online channel data in real time.

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Test and target executes multiple A/B and multivariate tests, measure effectiveness and increase relevance of online content through segmentation, targeting and automated personalization. Genesis automates the integration between Omniture and its partner applications. Genesis includes over 200 partners spanning 30 categories such as display advertising, email, social media, rich media/video and content management.

Sources: Adobe http://www.omniture.com/en/products/digital-marketing-suite 2012

Functionality of Adobe Insight

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Insight accepts data from any source, including data warehouses and business intelligence tools. Load Structured Data • Load and analyze any structured data; no

pre-aggregation required for analysis.

Analyze by Dimension • N-dimensional analysis of data, with the

ability to add new dimensions on the fly.

Segment Data • Unlimited segmentation and filtering

capability to discover meaningful business insights.

Visualize Complex Data • Powerful visualization to make complex

data and trends easy to understand.

Free-Form Queries • Rapid analysis of free-form queries to get

information to decision makers quickly.

Sources: Adobe http://www.omniture.com/en/products/digital-marketing-suite 2012

The path to a better customer experience and improved bottom line

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Case Study Removed for Confidentiality

2nd Fictional use case Optimizing the mobile site experience Desired Outcome: Increase consumer sales Goal: Increase sales from mobile KPI: Mobile sales

I find Garrett’s popcorn easily through mobile search on my

iPhone

Good news, they have a mobile

optimized site but I don’t know if I can

order online

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I decide to click on tin designs

and find out I can purchase online by choosing my

tin

I continue as a

guest and proceed to fill out my billing information but it requires me to fill out my company

name… but I’m not ordering on behalf

of my company

On my way to work I talk to my mom and

she reminds me that I need to send Garret’s

popcorn to my grandpa for his birthday, it’s his

favorite

70% of visitors leave at this fist page, possibly due to no clear order

now link

For the 30% of visitors who remain 20% click tin

designs

From that 20% remaining, I lose 40% of them because the form

requires a company name

Through digital

analytics I can focus just on

mobile browsers and look at fallout.

3rd Fictional use case Using content preferences for cross-sell Desired Outcome: Get online subscribers to convert offline Goal: Deepen the relationship with online subscribers KPI: Magazine subscriptions from online subscribers

I click on new bars and restaurants

opening and view a couple page and tweet about City

Winery opening in my neighborhood

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Two weeks later, my brother is coming to town so I check out

TimeOut Chicago for restaurants to visit

and things to do this weekend.

I look into the food trucks and things to

do this week in Chicago and then

leave the site

I am curious if any new restaurants are opening this weekend in Chicago

so I search “New restaurants openings” in

TimeOut Chicago. I don’t have a subscription but visit online frequently

Understand the click

stream over time my visitors

Could test or populate homepage content

based on what they last viewed

Add a custom area that promotes cross-sell to the magazine or email sign-up referring the content I cam most

interested in

Through digital

analytics I could …

So…

Digital Analytics can: 1. Improve customer experience, 2. Which can improve your bottom line But with that, keep in mind: 1. Focus on outcomes, not just metrics 2. When it comes to the tools it is as much

about the implementation as strategy 3. There is no magic tool that gives you

everything

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Thanks and Questions