Digital marketing ua

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Digital marketing introduction 21 November 2013 UA

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Transcript of Digital marketing ua

Page 1: Digital marketing   ua

Digital marketing introduction

21 November 2013UA

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Digital marketing is dead. It’s just marketing

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Consumers don’t make a distinction between on- and offline. They just want a consistent brand experience. Always. Everywhere.

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I drive to the bus station and

see...

I’m waiting for my bus while...

During my bus trip I check my smartphone...

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Companies like P&G seem to understand this

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“Brand building in a digital world is about having a great idea, an idea that originates from a deep human insight, an simple

recognition and a direct emotional connection.”

Marc Pritchard

Focus on creating the great ideas that move people and build great brands

Leverage digital to make them bigger and engage with people like never before

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We should break down the (digital) marketing silos

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Digital marketing is dead. It’s just marketing

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1) It is about the consumer

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Every marketer should have a deep understanding of his consumers and their Consumer Decision Journey (CDJ)

Source: McKinsey

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2) It’s about leveraging digital

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Social media

Google advertising

Website

Mobile

Affiliate marketing

Online reviews

Real-time Bidding

This is not for experts only. Every generalist should have a good understanding of it

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Today we will cover the consumer and some of the digital media and tactics more in detail

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Changing consumer

Consumer insights and the Consumer Decision Journey

Online reviews

Google advertising and SEO

Real-time Bidding(if time left)

Consumer

Digital media and tactics

Affiliate marketing

Topics like Social media and website redesign will not be covered in this training as there is already

much info available about it

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Changing consumer

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What is the internet prenetration in Belgium?

Question

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Internet penetration in Belgium is about 80%

Individuals who used the internet at least once a week, 2012 (% of individuals)

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Source: Eurostat 2012

77%

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There are still a lot of older people that have never used the internet

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Individuals who never used the internet per age category, 2012 (% of individuals)

Source: ICT-enquête huishoudens en individuen (2012), FOD Economie – AD Statistiek en Economische informatie

2007 2008 2009 2010 2011 20120%

10%

20%

30%

40%

50%

60%

70%

80% 25-3416-24 45-5435-44 65-7455-64

16-24 years: 2,4%

65-74 years: 50,6%

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In Belgium only 5% of total media budget is invested in Online (display)

SOV (investments) of different media in Belgium 2012

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CinemaFree sheets

Online*Magazines

OutdoorRadio

DailiesTV

0.00

%

10.0

0%

20.0

0%

30.0

0%

40.0

0%

50.0

0%

40%

13%

5%

Source:CIM MDB en Mediaxim* Only online display

21%

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Belgian marketers invest 7 times more in TV than in Online

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Internet

TV

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

12%

88%

Split between TV and Internet Ad spend 2012

Ad spend

Source: IAB Mediascope

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Do you think this is logical?

Question

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It isn’t logical if we look at how our customers spend their time

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Internet

TV

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

46%

54%

12%

88%

Ad spendTime

Source: IAB Mediascope

Split between TV and Internet Ad spend and Time consumption, 2012

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We spend most time on TV, internet and radio but internet is the only one that is increasing

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Source:IAB Mediascope 2012

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CIM studies show that many other media still have a higher reach so don’t forget them

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Total reach Average daily reach

Source:CIM PMPA

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Traditional media impact online behavior: e.g. TV ads boost search queries

19Source: Research by Google, VAR, RMB

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Most people are online while watching TV

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54% of Belgians are online while watching TV (EU 48%)

63% of Belgians are online during the primetime TV evening slot (EU: 52%)

Source:Mediascope

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Do you have an idea of smartphone penetration in Belgium?

Question

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Smartphone penetration is rising and people are using their device everywhere

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Restaurant

Cafe or coffee shop

Work

In a store

On-the go (e.g. While commuting,

walking)

Home

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

71%

75%

76%

77%

86%

96%

2012 20130%

10%

20%

30%

40%

34% of Belgian people have a smartphone

22%

34%

Places where smartphone is used

Source: Google, Our Mobile Planet Belgium, 2013

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Most brands are not ready for the mobile revolution

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UK

NL

BE

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

20%

37%

40%

Source: IAB Belgium, November 2012

Share of optimized sites

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Smartphone users are multi-taskers

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TV and smartphones are a powerful

combination that marketers need to

explore

Source: Google, Our Mobile Planet Belgium, 2013

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Research on smartphones is playing an important part in the evaluation phase of the Consumer Decision Journey

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People do research on their smartphone before they make a

purchase…

At work

On-the-go

At home

0% 20% 40% 60%

19%

19%

44%

Place research

…But most research is done at home

Source: Google, Our Mobile Planet Belgium, 2013

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Do you have an idea of social media penetration?

Question

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73% of all Belgian Internet users have used a personal or professional Social Media website

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Internet users

Smartphone

users

Use Daily use

73% 36%

80% 46%

Social media usage

Smartphone users are heavy social

media users

Source: Comscore; Google, Our Mobile Planet Belgium, 2013

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Peer recommendations are well trusted

28Source: Nielsen report on Global Trust in Advertising and Brand Messages 2012

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What do you remember from all those figures and how should marketers act on it

Question

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Summary: Marketers need to act on those trends

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Internet penetration is around 80% and we spend more than 13 hours online

per week

Social is penetration is above 70% and people trust

their peers

Marketing investments should follow

Mobile penetration is rising fast: 22% in 2012, 34% in

2013

We are using multiple screens and the line

between online and offline is blurring

Offer engaging content and stimulate customers to make

recommendations

Integrate mobile within your strategy and create and optimized

site

A multi-channel strategy is needed to engage consumers across the

multiple paths to purchase

Changing consumer and media landscape

What marketers need to do

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The world is changing fast

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But marketers should be aware that not all people are equal

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Not all Millenials are social media addicts

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Source: Boston consulting group

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Even Gen Z is still watching TV

33Source: JWT, Gen Z: Digital in their DNA

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So TV and radio are still very important to create impact

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And some things will never change

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“Real motivations are the result of nature’s programming of our genes.

The proper study of the communicator is the unchanging man”

Bill Bernbach

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Customer insights and the Consumer Decision Journey

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Marketing starts with great insights

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An OBSERVATIONis something found

(WHAT the customer does/thinks)

An insight is a fundamental truth about consumers’ needs and motivations which connects with your target audience and leads to

a competitive advantage

An INSIGHTis something thought

(WHY the customer does/thinks the above)

An insight is not the same as an observation:

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Great insights lead to poweful engagement. An example of Dove

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Insight: Need

Insight: Dilemma

Women want to feel beautiful

BUT women are their own worst beauty critics

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You also need a good understanding of the Consumer Decision Journey if you want to create a cross-media campaign

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Source: McKinsey

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Telenet is using social media to find people who deserve a perfect TV moment

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Consider phase

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Online has become very important for retailers like Fnac

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Source: Google,

52% of in-store TV purchasers researched products online before buying

Offline shoppers who research online spend 33% more than those who don’t research

Wanting to see the physical product is the principal barrier to online transaction

Case Fnac SpainEvaluate

phase

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Nike uses mobile in the experience and bond phases

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Experience and bond

phase

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Vandenborre encourages people to talk about their products

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Advocate phase

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Google is also talking about ZMOT

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Question

What is ZMOT?

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ZMOT stands for Zero Moment of Truth and is used to describe the online decision-making moment that is now

part of most Consumer Decision Journeys

Answer

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Marketing used to be about 3 steps

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“The best brands consistently win two moments of truth. The first moment occurs at the store shelf, when a

consumer decides whether to buy one brand or another. The second occurs at home, when she uses the brand —

and is delighted, or isn’t”

A.G. Lafley in his foreword to Kevin Roberts’ remarkable book Lovemarks

Source: Google, Winning the zero momenth of truth

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Now you also have to win at the Zero Moment of Truth

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It is used by 84% of

customers and is as important as stimulus and

FMOT

Source: Google, Winning the zero momenth of truth

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Can you think of some actions consumers do at ZMOT?

Answer

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ZMOT compromises different actions

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Liked a brand

Visited retailer site

Read comments following an article

Read reviews

Visited brand website

Did comparison shopping online

Talked with friends/family

Searched online

0% 20% 40% 60%

18%

22%

22%

31%

36%

38%

49%

50%

Source: Google, Winning the zero momenth of truth

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The Consumer Pathway is another way to look at the customer journey

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AwarenessInvolvemen

t

Active considerati

onPurchase

Consumption

Relationship building

Advocacy

Make your target aware of your offer

Communicate your benefit and reason to believe

Increase emotional engagement before purchase

Shift up the order of consideration by facilitating favorable comparison

Convert intent into action at point of purchase

Improve the user experience

Make your customer feel special to improve loyalty and

Encourage recommendations

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Digital marketing introduction

Online reviews

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There are two main types of online reviews

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Consumer reviews

Understanding how online reviews affect consumers’ purchase decisions is vitally important to companies that rely on online word-

of-mouth to disseminate information about their products

Professional reviews from journalists and fulltime bloggers

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Consumer opinions posted online generate trust

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Confidence in consumer opinions posted online is high and grew over 15% compared to four years ago

Source: Nielsen report on Global Trust in Advertising and Brand Messages 2012

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Consumer reviews increase conversions

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A restaurant rating improved by just half a star (scale 1-5) is very much more likely to be full at peak dining times: number of bookings

increased from 30 to 49%

Example: Tripadvisor.nlSource: Economic Journal (2012)

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5 elements that determine the credibility of an online review

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Reference groups

Relevant/Detailed content

Authenticity

Independent platform

Number of reviews

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Online reviews have a higher impact when one or more of the conditions below are true

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Niche product

High involvement experience goods

Focus on product quality

Internet experience of your target group

Credibility is key

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Stimulate people to write a review

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Example of a cashback promotion where you could win a tablet when you left a review about the refrigerator you just bought. Result of this action: more than 600 reviews, split over 35

refrigerator models.

Source: Assignment THoM

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Don’t be scared about negative reviews. A mix of positive and negative reviews helps to improve consumer trust in the opinions they read

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Consumers trust reviews more when they see both good and bad scores

Consumers suspect censorship or faked reviews when they don’t see any negative opinions on the page

It depends on the type of product on offer. A book, game or film will often divide opinion, but reviews of electrical products which highlight flaws will be more likely to deter others

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Do you think that reviews will still be important in 5 years? Will consumers still trust them?

Question

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Digital marketing introduction

Affiliate marketing

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Affiliate Marketing is mainly useful to stimulate purchase at a controlled cost

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AwarenessInvolvemen

t

Active considerati

onPurchase

Consumption

Relationship building

Advocacy

Make your target aware of your offer

Communicate your benefit and reason to believe

Increase emotional engagement before purchase

Shift up the order of consideration by facilitating favorable comparison

Convert intent into action at point of purchase

Improve the user experience

Make your customer feel special to improve loyalty

Stimulate recommendations

Affiliate Marketing is only rewarding

publishers that are driving traffic, leads

or sales

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Affiliate Marketing is performance-based marketing

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Affiliate Marketing

Marketing done by others to promote a company’s products and services

The affiliate only gets paid when he is driving traffic, leads or sales

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Affiliate Marketing has 3 core players

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Merchant

The advertiser

E.g. Thomas Cook

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Network

The network connects merchants with publishers and takes care of negotiation communication, tracking and payments

E.g. Zanox and Affiliate window

2

Publisher

The affiliate that promotes the products of the merchant

E.g. A blog about city trips

3

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There are different types of affiliates

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Most comparison sites are mainly focused on price so it’s only interesting if you have a price competitive offer

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Comparison sites

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Coupon code sites are popular for certain product categories

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According to Flipit the most popular product categories are fashion (33%), electronics (19%), recreation and leasure (11%) and books and

DVDs (9%)

Source: Flipit

Coupon code sites

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Of course as a marketer you should decide if promotions are a good tactic for your brand

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• Increase visibility

• Generate trial

• Boost volume per occasion

• Raise frequency

Voucher codes can serve different objectives

• Damage your brand equity as customers use price points to determine quality

• Create certain expectations and postpone buying behavior

But don’t use them too much as they can…

Coupon code sites

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cashback sites reward their members if they use their site to access a retailer's online

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Cashback sites

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Some publishers also have large email databases

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Email

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There are different ways to reward affiliates

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Cost Per Click (CPC)

Cost Per Lead (CPL)

Cost per Sale (CPS)

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CPS and CPL can be used seperately or in combination. Each form has its pros and cons

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Only CPS

- You are certain about the ROI

- Affiliates get insight into your sales conversion rate

- Less stimulating to start with your program

CPS + CPL

- Still quite safe but more stimulating for affiliates to start with your program

- Affiliates get insight into your sales conversion rate

Only CPL

- More stimulating for affiliates to start with your program

- Affiliates don’t get insight into your sales conversion rate. If your rate is better than that of competitors, it could be less expensive to reward leads

- Less certain if the leads will also convert in sales.This can only be evaluated afterwards

- More risk for fraud

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Affiliate Marketing is very appropriate if some of the conditions below are true

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Focus on customer acquisition

Limited product portfolio

Strong affiliates

Demand for immediate ROI

Limited budget for awareness building

Promotion of certain types of products

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Affiliate Marketing is mainly used by financial servcies, Telecom, Travel, Fashion and Retail

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Source: IAB report on online Ad spend, The Netherlands 2012

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There are some risks but most of them can be mitigated if managed well

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Sales volume could be too small to be worth the effort

Not everyone wants to work on a CPS basis

Possible brand damage

Risk of fraud

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Would you make use of affiliate marketing if you would be the ecommerce manager of Timberland? Explain why

Question

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Digital marketing introduction

Google advertising

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Search advertising is useful to reach people with a certain intent. The Googe Display network can also be used to create awareness

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AwarenessInvolvemen

t

Active considerati

onPurchase

Consumption

Relationship building

Advocacy

Make your target aware of your offer

Communicate your benefit and reason to believe

Increase emotional engagement before purchase

Shift up the order of consideration by facilitating favorable comparison

Convert intent into action at point of purchase

Improve the user experience

Make your customer feel special to improve loyalty

Stimulate recommendations

Search advertising is more appropriate to

influence consideration and

purchase

Display network can

help to create

awareness

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Google offers 2 ways to advertise

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Google search and partners like Skynet

Via search

Google websites and services and partner websites

Via content (the Google Display Network)

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Let’s explore search

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Over the years Google also launched a lot of new features within search advertising. Do you know which ones?

Question

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• Ad extensions. We will only discuss some of them

• Product Listing Ads

• Enhanced campaigns

Answer

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Sitelink extensions allow you to promote additional landing pages below your standard ad text

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Call extentions allow you to incorporate your phone number in your text ads

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Google automatically applies seller ratings if you meet their criteria

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• Ratings are taken from Google Shopping

• At least 30 reviews within last 12 last months and a score of 3,5 stars

• At least 10 reviews in the customer’s language

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Product Listing Ads allow you to include specific product information like an image, title, price, promotional message, and your store or business name

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Google launched enhanced campaigns earlier this year, one of the biggest changes in history

Susan Wojcicki, SVP Advertising of

Google

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"We want to provide the best search results for users regardless of where they are and what device

they are using.“

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It enables advertisers to target people at the right time, in the right place, with the right advert and call-to-action

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Targeting is done by adjusting bids

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-100% +300%

To allow advertisers to optimize mobile activity separately to desktop activity, there will be multiple bid adjustments available

at keyword level

Bid adjustment

Device

Location

Time

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A breakfast cafe wants to reach people nearby searching for "coffee" or "breakfast" on a smartphone.

How should they adjust their bids?

Question

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Answer: they could adjust their bids as follows

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Device

Location

Time

50% higher for searches on smartphones

25% higher for people searching 500 meters away

20% lower for searches after 11am

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It will no longer be possible to have separate Adwords campaigns for mobile

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Advertisers need to get more insights in the customer journey and multi-screen behavior of their customers

Sites need to responsive

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Let’s explore the display network

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You can choose between 2 bidding options

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Goal: Direct response

Choose for CPC

Goal: Branding

Also consider CPM

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We marketers love to segment and target. Do you know which kind of targeting is available within the Google

Display Network?

Question

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Answer: GDN allows 7 ways of targeting

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Keywords Pages with content that matches your keywords

Managed placements Websites you have selected

Topics Websites that include content about specific topics

Content

Interest Users with specific interests based on websites they visit

Remarketing Users who previously visited your website

Demographics (beta) Users based on inferred gender and age

User

Auto optimization

(DCO)

Google automatically optimizes your targeting to find additional conversions

Google

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Digital marketing introduction

SEO

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Google is 15 years and a lot happend during that short period

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An example of the knowledge graph

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Can you think of some basic SEO tricks?

Question

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Some basic tricks are

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On-site optimization

• Focus on one or 2 keywords per page• Avoid duplicate content• Use descriptive, readable and short URLs• Enter descriptive keywords in the alt attribute of

images

Promote your site• Linkbuilding and linkbaiting• Create engaging content and faciliate sharing

Smart website migration

• Use 301 redirects when you launch a new website

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Today we will quickly discuss the impact of the latest algorythm updates on SEO, especially the last one

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The panda update punished low quality content

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Q1 2011

What is it about? Lowered the ranking of low quality website

How does it judge quality

Focus on human quality indicators like time on site

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The penguin update punished low quality linking

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Q2 2012

What is it about? Punished the sites who didn’t respect the Google guidelines

How does it judge quality Diversity of links

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So do not over optimize

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Tip 1: good content

Create good content instead over optimizing your website for keywords

Tip 2: healthy linking strategy

Make sure that you have a healthy linking strategy• Not too much run of site links• Different types of links• A good mix of link authority or pagerank• Evenly spread over time

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Meanwhile our world is changing fast

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The hummingbird algorythm is about better understanding your search queries

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What is it about?

Makes sense of conversational (voice) searches and understand the relationship between searches

Q3 2013

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Google will not just look at keywords but will also understand the intent of the searcher

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Best restaurants BA

Where to eat at BA in terminal A

Website page:Best restaurants at BA

Terminal A…

Terminal B…

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Google stopped showing the organic keywords that drive traffic to your site. They are forcing you to look at content, not keywords

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Google is now able to understand the relationship between searches

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As a marketer you should focus on good content

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Conversational search

Users will make longer search queries and use voice activated search more frequently

Connected search

Users will stop typing certain keywords as Google relates search queries to each other

Less focus on keywords, more focus on content and make sure that content is accesible on multiple devices

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Remember

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“The future is about things, not [keyword] strings.”

Matt Cutts, Head of Web Spam at Google

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Digital marketing introduction

RTB

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RTB (buying via automated trading) is about buying impression per impression

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The process happens within milliseconds

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It offers some advantages

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It’s plug and play. No time-consuming site-by-site negotiations

You can optimize along the way

You can buy impression per impression and are able to identify the right media for your audiences

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There are different parties involved

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Here is the list of players active in BE

You can identify both independent and agency

Trading Desks

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About 7 Billion impressions available in Belgium

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Source: Adform quarterly reports

• 8th in the Adform European Ranking: +7 billion impressions per month

• Demand from advertisers emerging

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Facebook offers great opportunities

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Source: From Triggit computer graphic September 2013

Only 9% of the 500 biggest American companies use FBX

FBX offers 3.5x MORE bidding opportunities than GDN

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Facebook is also the most important domain in Belgium

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Top 20 Domains in Belgiumfacebook.comyoutube.comebay.beautoscout24.be2dehands.bekapaza.benetlog.comdailymotion.comtagged.commicrosoftadvertisingexchange.beskyrock.commeteovista.besanomamedia.nlskynet.beimmoweb.bemarktplaats.nlweeronline.nltelegraaf.nlvoetbalnieuws.bemeetic.be

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There are also different targeting possibilities

• Website topics or categories

• Whitelisting (placements)

• Location

• Language

• Device

• Time of day

• Remarketing

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Yourconsume

r

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It offers great creative possibilities like Dynamic creative optimization

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Display campaigns can be synchronized with TV commercials to increase the reach and share of voice

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Join us at our Meet & Greet!

Grand Café Modeste – Wapenstraat 18 Antwerpen03/12/2012 – 19h00

Subscribe

www.thom.be/meet-greets

Hope to see you there – Campus Recruitment Team Antwerp (Céline & Valérie)