Driving extraordinary results through email analytics

© 2016 Experian Information Solutions, Inc. All rights reserved.

Charles Nguyen Associate Director, Strategic Services

Experian Marketing Services

January 26, 2016

Driving extraordinary email results through omnichannel analytics

Nicholas Einstein VP Research and Principal Analyst

The Relevancy Group

2 © 2016 Experian Information Solutions, Inc. All rights reserved.

Bringing brands and customers closer together, every time.

Reach the right audiences

Maximize the value of every

customer interaction

Inspire long-term brand

advocacy


Meet the presenters

Charles Nguyen Associate Director, Strategic Services

Experian Marketing Services

Nicholas Einstein VP Research and Principal Analyst

The Relevancy Group

@othereinstein

#EmailAnalytics


Founded by tenured industry analyst and marketer David Daniels, The Relevancy Group (TRG) provides market research and advisory services

We measure consumer and executive behaviors to develop strategies that optimize a return on marketing investments, and are a trusted advisor to leading technology organizations and familiar brands

Publish The Marketer Quarterly - www.marketerquarterly.com

The Relevancy Group

#EmailAnalytics


Experian’s background in data/analytics

#EmailAnalytics

30 years data-driven expertise

• Largest consumer database

housing demographic data on 700M

individuals in 270M households

• Data modeling experts, including over

200 PhD’s, statisticians and data scientists

• Experian Marketing Suite enables over

10,000 brands to identify, understand and

engage customers and prospects across

any channel

Place Image

Follow the conversation on Twitter

#EmailAnalytics | @ExperianMkt | @RelevancyGroup

Agenda

• The evolution of analytics

• The importance of analytics for email

marketers

• Analytics in real life • Real-time contextual data at email open

• Cross-channel attribution

• Predictive modeling

• Requirements and recommendations


About The Research

• Hypothesis-driven research based on a survey of 300 marketing executives conducted in Spring 2015.*

• The research was acquired and sponsored by Experian; they are a neutral partner and this research does not endorse Experian.

• We will take questions at the end of the presentation and are happy to answer any follow-up questions via email - [email protected]

#EmailAnalytics

mailto:[email protected]


So, what do we mean by analytics and how has it

evolved?


Complete customer

view

Demographics Locations + profile

+ assumptions

Behavior Online divide

+ clicks + views

+ content

Journey Social presence

+ triggers

Transactions Customer purchases

+ spend + loyalty

reward

Future behaviors Predictive

analytics + insights

Making big data small, purposeful and actionable

Your data +

Data management Data quality

An

aly

tics

#EmailAnalytics


A/B testing

Last click attribution

Time of Day

Day of Week

Use of Email Data

Basic Tactics

Advanced Tactics

Multivariate testing

Omnichannel attribution

Predictive modeling

Deep personalization

Use of real-time data

Omnichannel data integration

Coordination of lifecycle campaigns across channels

#EmailAnalytics


Why is this important for enterprise marketers?


Email is dying blossoming

#EmailAnalytics

91%

81% 76%

72% 70% 67% 63%

59% 54%

49%

EmailMarketing

DisplayAdvertising

SocialMarketing

(Facebook,Twitter,

etc.)

PaidSearch

Marketing

Print DirectMarketing

Mobile App Use ofvideo,

YouTubeMarketing

MobilePush

Messaging

SMSMarketing

CatalogMarketing

Q: Please rate the effectiveness of each channel in terms of delivering revenue results for your business

91% of surveyed

marketers named email

highly or somewhat

effective

Source: The Relevancy Group

Executive Marketer Survey, 4/2015, N=300


Email is dying blossoming

#EmailAnalytics

Q: What percentage of your overall revenue is attributed to your email marketing initiatives?

% of Email Marketers Reporting That Email Drives >25% of Total Revenue


Executive Marketer Survey, 11/2013; 4/2015,

12/2015

12.80%

22.70%

24.40%

0.00%

5.00%

10.00%

15.00%

20.00%

25.00%

Fall 2013 Spring 2015 Winter 2015


It is becoming a prerequisite for driving relevant messaging across channels

#EmailAnalytics


Top priority for improving ROI is Analytics

Question: What are your top five priorities for improving the ROI of your digital marketing programs?

Source: The Relevancy Group Executive Survey n=300 4/15 US Only.

26%

29%

29%

30%

34%

0% 10% 20% 30% 40%

Increase relevancy of direct communications through the use ofdynamic content

Centralizing our customer data and making it actionable

Improving response attribution across multiple channels

Utilize real-time data

Greater use of analytics in order to optimize our communications

#EmailAnalytics


Marketers are asking for help

85.5%

91.0%

93.6%

80.0%

84.0%

88.0%

92.0%

96.0%

Fall 2013 Spring 2015 Winter 2015

Percentage of email marketers reporting that they

currently use or plan to use analytic services


Executive Marketer Survey, 11/2013; 4/2015,

12/2015 #EmailAnalytics


Opens

Clicks

Unsubscribes

Transactions

Meta data

► Device type

► Time of day

► Location

Email data is abundant, proprietary and easily accessed

#EmailAnalytics

Of course, analytics isn’t

limited to email data.

Take advantage of data from other

channels to optimize your email and

cross-channel programs.

Place Image

Separate the signal from the noise.


Advanced analytics: Examples


Personalization

Relevancy

Engagement / Data Driven

Optimization

Improved User Experience

Real-time contextual data at time of email open

#EmailAnalytics

Results

Delta Open Rates 2X &

CTR 3X

Finish Line +21% CTR &

+42% revenue


Predictive modeling Example: Multi-Channel Retailer client

Challenge Customer Centric strategy with 1:1 messaging

to increase engagement and transactions

Need Utilize 1st and 3rd party data to optimize content

Results

Maximize targeting sophistication

Develop compelling content

67% Average Order Value lift

#EmailAnalytics

Gender: Female Age: 32 Location: Chicago

Shared demographics & geographics

Look at Me Now

• Premium brands

• Country club member

• Enjoys entertaining

• Quality relationships

• Safety, security

Stop & Smell the Roses

• Enjoys simple pleasures

• Creative, cultural, spiritual

• Healthy living

• Outdoor enthusiasts

• Activist thinking


Cross-channel attribution Example: Telecommunications client

Challenge As the client expanded across channels, could

not properly allocate channel value

Need Actionable data-driven means to manage its

marketing spend.

Results

Real-time attribution delivery now permits

in-flight adjustments

Reduced prospecting budget by 13.5%

Redistributed prospecting spend resulting in

220,000 incremental responses worth

$88MM in lifetime value

#EmailAnalytics


Requirements for building more powerful analytics


Requirements Clean & managed data

Garbage in = Garbage out

Leverage email

behavioral data

Fuel paid media with

CRM data

Establish identity

across channels

#EmailAnalytics

Sophistication ladder:


Requirements Customer profile development

Opened

today’s

email

3 purchases

per year

Dan

First-party data

3rd party data

Social

influencer Influenced

by % off

offers

Next car

purchase in

6 mo.

Impulse shopper,

especially online

#EmailAnalytics

Single

Age 29


Requirements: Focus

Once you trust your data,

narrow in on the data points

that will help you drive the experiences your customers care about

#EmailAnalytics


Headwinds in the Enterprise Marketing Organization

Requirements: Organizational structure

Less than half of

marketers responded

that their marketing team

shares common goals

#EmailAnalytics

2%

15%

16%

17%

18%

22%

23%

23%

24%

25%

25%

26%

28%

38%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

None of the above

Our marketing department is rewarded with common personal incentives

My compensation and incentives are tied only to the marketing performance of…

We have data scientists on our team

Each marketing channel operates independently with no central or common…

We practice marketing response attribution to ensure that offline response is…

Our marketing programs are tightly coordinated across all marketing channels

Marketers in our department are aware of the specific success measures that…

Our CMO & CIO meet regularly

There is central ownership of our marketing programs across all marketing…

We have clear measures in place to determine success

We have clear marketing goals by channel

We manage customer contact frequency to ensure customers get a limited set of…

Our marketing department shares common goals

Question: Describe how your marketing organization operates.

Source: The Relevancy Group Executive Survey n=300 4/15 US Only.


Sophisticated Analytics drives real business results


The return on marketing analytics – monthly revenue

#EmailAnalytics

$258,547

$617,298

$-

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

$700,000

Basic Analytics Advanced Analytics

Source: The Relevancy Group Analysis, The Relevancy Group Executive Survey n=300, April, 2015, US Only. Based on 19.3 Million Messages a

Month. The Relevancy Group applied the actual delivery, open, click, conversion and average order value that marketers reported based on the

tactics that they reported that they utilized.


Customer focus + improved customer experience

► Customer advocacy

► Greater loyalty, and ultimately, revenue

Better manage channel proliferation

► Internet of Things

► New networks and devices

Other benefits of advanced analytics

#EmailAnalytics


Choosing the right

technology partner


40% of marketers shared that “analytical services” would be the single most valuable service to their organization*

Marketers value analytical services

*Source: The Relevancy Group

Executive Marketer Survey, 4/2015, N=300 #EmailAnalytics

3%

17%

24%

27%

28%

30%

31%

33%

36%

40%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

None of the above

Production services to manage our production process

Technical services to assist with managing and integrating data

Creative services to develop content or templates

Acquisition services to acquire new customers

Strategic services to assist in adopting new marketing digital…

Analytical services to help us identity audience trends

Analytical services to develop recommendation algorithms

Strategic services to help optimize our programs

Analytical services to develop measurement, attribution models


Proven track record of strategic data services

Data integration/technology for a single customer view

Relevant vertical experience

Data management expertise

When choosing a partner, prioritize:


Those marketers who employ more sophisticated analytics programs can drive over 2x the monthly revenue of those that do not

The email channel generates key data that can be leveraged to drive omnichannel success

Channel proliferation and customer expectation demand that marketers make better use of the data at their disposal

More data is at marketers disposal today than ever before and marketers value the products and services that help them manage

Key takeaways

#EmailAnalytics


Stay tuned for an email with links to download the paper and access webinar recording

http://ex.pn/analytics

#EmailAnalytics



Driving extraordinary results through email analytics

Marketing

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