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The Power of Marketing Automation for B2C Digital Marketers What is marketing automation? Marketing automation applications Case studies
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- 1. 1 The Power of Marketing Automation for B2C Digital Marketers Mark Patron RedEye CEO 23rd April 2013
- 2. 2 Agenda • What is marketing automation? • Marketing automation applications • Case studies
- 3. 3 Evolution of marketing automation Marketing Database Target best customers RFM data Direct mail CRM Direct mail targeting Lifestyle data Phone Digital Marketing Multichannel campaign management Transactional data Search Email… Marketing Automation Personalisation Event triggered Behavioural data Mobile Social ROI 1980’s 1990’s 2000’s 2010’s
- 4. 4 Evolution of email marketing Initialisation Optimisation Retention Automation Win by Volume Content Data Key Metrics List Size Send Volume Opens Clicks Conversions Engaged Subscribers Churn Key Activities Build list Send frequently Content Subject Lines Contact Strategy RFM Analysis Market Basket Analysis ESP selection Cost Deliverability Reporting Integration Segmentation Automation Segmentation None Basic Email - based Advanced Purchase history Web history Automation None Subscriber Welcome Series Abandon Cart Post Purchase Welcome Series Win Back Campaigns Cross Merchandising ReviewsSource: Nathan Decker Evo.com at eTail West
- 5. 5 What do we mean by marketing automation? • Email marketing • Web analytics • Multi-channel • CRM integration • Landing pages • Campaign management • Reporting = Marketing automation
- 6. 6 Database is central to marketing automation Website Behaviour Email Engagement Database INPUTS OUTPUTS Email Mobile Call CentreSingle customer view enables relevant marketing communications
- 7. 7 Database in more detail Marketing Automation Database 1 - 500m site visits per month 50 - 500 variables to choose from Database updated hourly Example variables Transactional: sales, registrations, accessories Demographic: gender, DOB, family Email Engagement: sent, bounce, open, click Behavioural: products viewed, preferred categories, reviews, linked products, preferences, insurance Campaign: search phrase, source site INPUTS OUTPUTS Website behaviour Email activity DM activity Call centre Transactional Offline database Campaign data Social media Surveys Email Call centre Mobile
- 8. 8 Agenda • What is marketing automation? • Marketing automation applications • Case studies
- 9. 9 Marketing automation applications • Customer segmentation • Sales funnel management • Control email frequency • Triggered email • Customer lifecycle email • Campaign management • Multi-channel marketing
- 10. 10 Segmentation, segmentation, segmentation • No such thing as the ‘average’ user • Customer centric analysis • 100’s different segment types
- 11. 11 Sales funnel lead management All prospects Prospects ready to buy Purchase Lead scoring in B2B marketing Measuring customer engagement in B2C…
- 12. 12 Email engagement and frequency
- 13. 13 Triggered behavioural email gives best results Future email Traditional email
- 15. 15 Customer lifecycle behavioural email
- 16. 16 Store Welcome 1 Visit SiteVisit Store Web Welcome 1 Store Welcome 2 Web Welcome 2 Store Welcome 3 Web Welcome 3 Store Welcome 4 Web Welcome 4 Email Sign-up / Registered Email/Site Inactivity Reactivation Email 1 Reactivation Email 2 Reactivation Email 3 Event Reminder Boucher Request Password Reminder Refer A Friend Voucher Code Voucher Reminder On-site Actions Abandon Basket Basket Abandon 1 Online/Offline Crossover Account Activation Account Activation Follow up Call Centre Call Centre Welcome 1 Call Centre Welcome 2 Call Centre Welcome 3 Call Centre Welcome 4 Cross Channel activation Registered Not Purchased Registered Not Purchased Follow up Basket Abandon 2 Basket Abandon 3 Search Abandon Basket items reminder Basket will be deleted in X days Basket deleted Start Shopping Multi Stage Drop out Checkout Abandonment drop off on data capture Registration drop off Drop off just before Saved Basket Saved Basket Step by Step Drop off Category Conversion Registration / Microsite Preferences Basket Upsell Anniversary of Basket Abandon Users Behaviour Site Content Groups Iphone App 404 Error Enquiry Content shared SOCIAL Purchased Account reactivation Activation Confirm Basket Cross Sell Drop off just before purchase confirmation Wish list Click on an email in the last 2 days but have not added to basket
- 17. 17 More accurate data = better targeting Email marketing: • Jane Taylor opened the email and clicked on link 214/A. Marketing automation: • Jane Taylor opened the email and clicked on link 214/A. She first went to the website 4 months ago and 5 visits later registered. She has visited 3 pages on product XYZ and 2 pages on product ABC. 2 of those visits have been as a result of the search term “low cost XYZ” and 2 visits as a result of “best quality ABC”
- 18. 18 Email testing - usage & effectiveness Email marketers test the easy things, marketing automation enables more of the effective things such as better targeting to be tested
- 19. 19 Agenda • What is marketing automation? • Marketing automation applications • Case studies
- 20. 20 Monarch behavioural emails 17,257% ROI
- 21. 21 Monarch • Monarch incorporated dynamic content triggered by online search into a behavioural email campaign. • 56.53% open rate • 34.37% CTR • 6% conversion • 17,257% ROI
- 22. 22 Hotel Chocolat • Whilst increasing send volume by 44%, Hotel Chocolat used behavioural and engagement segmentation to effectively target users from the inception of email communication. • Direct revenue from email increased by 20% • Average order value increased by 22% • Open rates and CTR increased • There was no negative impact on unsubscribe rates
- 23. 23 Gala Coral • Gala Coral implemented a highly segmented welcome programme to nurture new subscribers and increase the number of active online users. • Some emails resulted in over 90% of subscribers becoming active online users. • From January to May 2012, the average open rate exceeded 40%. • During this time CTR reached over 30%
- 24. 24 Budget Rent-A-Car • RedEye helped Budget implement a highly targeted Customer Behaviour Campaign. • Key to the strategy was to make customers feel valued rather than pestered. • 19% CTR (30% on abandonment programmes) • 6% conversion rate • 836% ROI • Year on year email revenue doubled
- 25. 25 Summary • The future of digital marketing is relevant communications: • Right offer, right person, right time, right channel • Relevance is achieved through: • Personalisation, segmentation and targeting • Behavioural data • The enabling technologies are: • Marketing automation • A good database
- 26. 26 Thank You Any questions? For more information see “The Fundamentals of B2C Marketing Automation” whitepaper at www.redeye.com
Editor's Notes
- Monarch wanted to find a way to produce a timely and relevant email campaign that would generate bookings. The company wanted to avoid bombarding customers/users with random special offers as they knew, if these emails were unwelcome they would damage both email reputation and brand reputation. The challenge was finding a way to extract users Monarch was sure were in the buying window. Using RedEye’s single customer view database, Monarch was able to capture data on what destinations users searched for on their website. On Monarch’s website users can search via flights, holiday or hotel. This information is stored in RedEye’s database and segmented by the exact destination searched. In total 18 airport destinations were stored (collected from flight searches) and 23 holiday destinations were stored (collected from hotel and holiday searches). For each of the chosen destinations 3 templates were devised each incorporating dynamic content specifically relevant to the destination the user had searched. All emails were automated. Template one (example 1) was sent the morning after a search was made. This email thanked the user for searching for their chosen destination on Monarch and encouraged them to continue to make a booking. Dynamic content used in this email included destination name (e.g. Thank you for searching for fares to Alicante), an image of the searched destination and a clear call to action regarding great deals to the chosen destination. If the user did not complete a booking after receiving this email a second email (example 2) was sent 3 days later providing further information on the benefits of booking with Monarch. As before, dynamic content used in the email included destination name in the opening line, an image of the destination, and the latest deals to the chosen destination. For any user who still did not book a third email was devised (example 3 ) sent 7 days after the search. As well as the dynamic content mentioned in the above emails, this email also incorporated further dynamic content, providing the user with alternative suggestions to other nearby destinations to what they originally searched (an extremely targeted, relevant and effective cross-sell). In all templates, landing URL’s were also dynamic, ensuring when users clicked through from the email they arrived on a page enabling them to easily make a booking to their chosen destination. The campaign proved to be extremely effective. The average open rate for the campaign was 56.53%, reaching over 70% on several occasions. The average CTR was 34.37%, reaching 44.62%. In two months the campaign achieved a click to sale conversion of over 6%, generating over 6000 bookings (nearly 100 bookings a day). The ROI for the campaign reached a tremendous 17,257%. Account Manager: Danni Hunt
- Previously RedEye helped Hotel Chocolat set up a unique in-store email sign-up microsite. The process is helping Hotel Chocolat significantly increase the volume of its email database with valuable customer data. However, Hotel Chocolat was more than aware, often when email volumes increase, open rates and click rates decrease and unsubscribe rate rise, causing a negative impact on sender reputation. To reduce this risk and maximise the revenue potential from each email address collected, Hotel Chocolat knew it had to send quality email communications. The challenge therefore was to find a way to effectively manage all the new data being received in order to efficiently send quality communication to each new subscriber. Doing this would keep new and existing subscribers highly engaged and ultimately help increase online and wider multi-channel sales. In order to limit the volume of emails sent (so not to appear like a bulk sender and increase the quality of targeting) RedEye helped Hotel Chocolat implement a process of behavioural segmentation. While increasing Hotel Chocolat’s send volume by 44% year-on-year, utilising behavioural segmentation has helped retain Hotel Chocolat’s sender reputation (with whitelist status) and successfully achieved the ultimate aim, improving online sales. Revenue direct from email has increased by 20% helping improve total website revenue by 12% Average order value has increased by 22% Deliverability has improved Both open rates and click rates have increased There was no negative impact on unsubscribe rates Account Manager: Andy Stockwell Utilising RedEye’s single integrated database Hotel Chocolat was able to efficiently segment subscribers based on how they signed-up (microsite or online). A targeted welcome programme consisting of four welcome emails over 45 days was developed for each segment, meaning the first email a subscriber received was relevant to their past experience with the company. This would engage all users from the inception of email communication. Further to this, subscribers were automatically segmented based on additional activity or further engagement with the brand (such as email behaviour, website behaviour or transaction history). With all activity effectively held in one place, all new subscribers were quickly passed into correct engagement segments, ready to be targeted with appropriate email communication. Segments are continually built upon to identify members by recency and frequency of email opens, frequency of website visits and website purchase activity. This enables Hotel Chocolat to target members at exactly the right time in the customer lifecycle, and avoids sending emails to those showing signs of disengagement.
- Many customers register to use the wide range of games available through the Gala Coral Group. However, a large percentage of these registered users do not go on to use the site. Gala was aware the first week of a user signing up is the most influential in terms of turning the registrant into an active user. The company wanted to find a way to effectively engage these receptive customers and turn them into active users. RedEye helped Gala implement a highly segmented email programme to nurture new users and turn more registered users into active customers. When users register on any of the Gala Coral websites, they can deposit money immediately into an online account or can choose to deposit at another time. On both the Coral website and Gala Bingo website, RedEye helped Gala immediately segment registered users based on whether or not the user had made a deposit. For those users that did deposit money into their online account the segment was split again between those depositing more than a certain value and those depositing less than that value. Each segment was then targeted with a highly developed email welcome programme. All users were sent an initial welcome email, to introduce the brand and thank the user for joining the site. Following this, users who had deposited more than a certain value, but were yet to play, were sent a series of emails suggesting games available to play with the money they had deposited. Users who had deposited less than that value, but were yet to play, were sent a separate series of emails, suggesting games suitable to play based on the money they had deposited. Users who had not made a deposit were also sent a series of emails, but these emails encouraged the user to deposit money in order to start playing the games available. Image 1: First welcome trigger of a registered not deposited email Image 2: Second trigger of a registered not deposited email (8 triggers sent altogether to each segment) Any user who initially registered without depositing, but then went on to make a deposit but still did not play, automatically moved into the email journey for those customers who had deposited but not played. Likewise, any user that deposited and played, but didn’t re-deposit, joined a new email segment encouraging the user to play again. Each email within the welcome programme had a unique message, subject line and content in order to effectively target the user depending on what segment they fitted into. The campaign for both websites was fully managed by RedEye. This included creative design, campaign strategy, technical set-up, proofing & sending and reporting. Before the project started, RedEye made it a prerogative to understand Gala Coral’s goals and objectives in order to create a highly successful campaign. From the inception of the project, RedEye’s email designers worked closely with Gala Coral’s account manager to ensure all designs were created with the purpose of fulfilling the campaign objectives as well as effectively representing the brand (be it Coral or Gala Bingo). With account management, design and client services all under one roof, RedEye was able to ensure every element of Gala’s email marketing campaign worked together to achieve optimal success. Through the email campaign hundreds of thousands of new users are now depositing money into their online accounts and proceeding to make use of the games available through the Gala Coral Group. Some emails have resulted in over 90% of recipients who have already deposited money, becoming active online users. From January to May 2012, the average open rate for the initial welcome email (across the two sites) exceeded 40% on several occasions, with click rates for these campaigns reaching over 30%. The remaining programmes achieved an average open rate over 17% and average click through rate over 16%. Account Manager: Georgina Thompson
- Previously Budget’s email strategy involved general newsletter mailings and triggered confirmation emails only. Budget wanted to implement a long term strategy that would work as an effective branding tool to engage customers, improve conversion, increase ROI and generate revenue. The challenge was finding a cost efficient and effective way to do this. RedEye helped Budget introduce a highly segmented strategy that involved sending emails automated by the customers’ own online behaviour and personal details. Emails were split between pre-purchase, post-purchase, personal triggers and business customers. The key to the strategy was making customers feel valued rather than pestered. All emails were devised to focus on ‘the message’ rather than ‘the sell’. Emails were redesigned to appeal to the user visually, and content was personalised, containing helpful and relevant advice and information. Best of all the automated approach meant it could be continually rolled out, helping Budget engage with customers and build brand loyalty, long term. By integrating web analytics with email marketing, Budget was able to send highly relevant emails triggered by the customers’ own online behaviour. One of the biggest challenges of sending emails triggered by online behaviour is the integration of data. RedEye’s single integrated customer database bypasses this block. Using it Budget was able to gather and segment data based on hundreds of different variables of online behaviour, along with details submitted by customers during registration. The first category introduced as part of the customer behaviour campaign was pre-purchase emails. Templates were devised to be triggered by the following behaviour; registration, abandonment and website browsing. Welcome emails were sent as soon as a user registered. (Image 1) For abandonment emails (image 2) three different triggers were configured to target consumers depending on exactly where in the buying process the customer dropped off. Browser information emails (image 3) were triggered by any user that had viewed 2 pages of the website, but had not yet entered into the buying process. In the post-purchase category, as well as a general confirmation email, Budget also introduced pre-rental reminder emails. (Image 4). These were automated to be sent to a customer 7 days prior to a vehicle being rented out. As well as reminding the user about their purchase, Budget used it as an opportunity to provide helpful information about what the driver would need to bring when picking up their vehicle. Based on information the customer disclosed when registering on the Budget website, personal triggers such as ‘Happy Anniversary’ were devised. (Image 5) . These emails were completely unique to each individual user. These campaigns included discounts and offers to thank the user and make them feel valued as a customer. In order to effectively target customers renting cars for business rather than those renting cars for personal means, Budget set up a specific segment called business connections. Creative (Image 6) was adapted to fit the corporate audience and within the segment emails were split again between rental and non-rental, ensuring an entirely relevant email was sent to each individual user. • Average conversion rate from all email triggers is 6.51%. Reaching an average of 17.95% on welcome emails. • Average CTR on all email triggers is 19.73%, reaching over 30% on abandoned basket emails. • Deliverability improved, reaching 99.5% in September. Budget has now achieved whitelist status. • Email volume has grown by 225% with no impact on unsubscribe rates. • The cost effective nature of the automated campaigns has resulted in an ROI of 836%, an increase of 254% from last year’s campaigns. • Year on year revenue from email has more than doubled. The campaign won ‘Best Use of Email’ at the 2012 Revolution Awards. Account Manager – Phill Manson