THE ULTIMATE

GUIDETO DIGITAL MARKETING IN A DATA-DRIVEN WORLD

THE RISE AND RISE OF DIGITAL MARKETING IN A DATA DRIVEN WORLD HOW THE BEST OF THE BEST APPROACH DIGITAL MARKETING

DEFINING THE BEST PRACTICE FOR YOUR ORGANISATION HOW DIGITAL MARKETING FITS INTO THE MARKETING MIX

The Ultimate Guide to Digital in a Data-driven World 1 Achieving your goals needs marketing and business pulling together.

In the digital marketplace the customer is in the driving For more than a decade TrinityP3 has been working seat. Organisations are talking and moving to a customer with many major advertisers aligning their agency roster centric strategy delivered through data-driven customer to their business strategy. In the past five years we have digital engagement. increasingly been extending this strategic alignment process within the organisation too. But achieving a successful customer centric strategy and a successful customer experience requires more To find out how you can achieve the results you need, than just intentions. In most organisations there is a be it integrating digital and data-driven strategy into the requirements to make structural and process changes as marketing process, or aligning the customer experience well, from within the organisation, through marketing to brand, or transforming your company to a customer and right through to the external agencies centric organisation, TrinityP3 has the process and and suppliers. expertise to deliver. Go to trinityP3.com for more information From the EDITOR Can anyone remember what they were doing in 1989?

Well for me, it was my first year of university studying a Bachelor of Economics Degree at The University of Sydney.

It was also a year when the ‘Information Superhighway’ or World Wide Web was invented by a man called Tim Berners-Lee.

I witnessed a wave of ‘dotcoms’ including the creation of what is now vernacular, Google, in 1998. Until suddenly the overhyped market and tech bubble spectacularly burst in early 2000.

Can anyone remember life before Facebook and YouTube both launched in 2004? Or life before Apple’s iPhone that launched in 2007?

It all seems so long ago now, yet has simply become the new normal for most of us.

This digital revolution has not only changed the course of humanity, but has changed the marketing and advertising landscapes forever.

We now regularly hear terms like fragmentation, wearables, automation, big data, content marketing, social business, mobile first, and a myriad of other new terms, companies, and digital solutions that are allowing companies and brands to shake up markets – eg: Uber, Airbnb, Apple Watch, Ooyala and many more.

So whether you’re a digital native or dinosaur, how can you harness the power of digital to drive business growth?

At TrinityP3, we help marketers and agencies create value by improving their productivity, processes, and people relationships. We hope this magazine helps you cut through the hype, get back to basics, and follow the productive path from confusion to clarity in your approach to marketing.

There are 10 steps to follow in navigating digital waters. So hopefully you’ll soak up some of the knowledge, and apply the tips to your marketing activity using the 100-day plan. Enjoy.

Anton Buchner

The Ultimate Guide to Digital in a Data-driven World 1 Marketer Creative

Media PR

Sales Promotion Digital Great agency roster collaboration starts with Evalu8ing. Ever wished your agencies would cooperate Evalu8ing is an online system that allows you better with each other? Or that perhaps even to measure, manage and maximise the level of collaborate to provide more holistic solutions? alignment in performance and expectations And what if you could achieve the same within between up to eight teams or groups. This your organisation? could be your marketing teams, your agencies or your internal departments and functions. The first step in achieving greater cooperation and alignment is to measure and identify where To find out how Evalu8ing the issues are now and then mange these issues could help your achieve greater to achieve maximum performance. collaboration and performance check out www.evalu8ing.com TrinityP3 Pty Ltd www.trinityP3.com ABN: 83091197287

Contents Sydney 1. From the editor Suite 702, 53 Walker Street, North Sydney, 4. The Ultimate Guide to Digital in NSW Australia 2060 a Data-driven World t: +612 9964 9900 f: +612 9955 7901

6. The rise and rise of Melbourne digital marketing in a Suite 201, data-driven world 63 Stead Street, South Melbourne, VIC, Australia 3205 21. How digital marketing fits into the t: +613 9682 6800 marketing mix f: +613 9682 7855

Singapore 25. How the best of the best approach digital Level 27, marketing Prudential Tower, 30 Cecil Street, Singapore 049712 32. Launch with a rock-solid foundation t: + 65 6631 2861 f: + 65 6631 2880 39. Listening to customers to Hong Kong Level 21, remain relevant The Center, 99 Queens Road, 45. The new four-pillar structure for Central, Hong Kong t: + 852 3478 3982 developing digital ideas f: + 852 3478 3880

52. The never-ending facebook.com/TrinintyP3. campaign StrategicMarketingConsultants

twitter.com/trinityp3 62. Understanding the art and science of linkedin.com/company/trinityP3 performance data

69. Educating your brand world Publisher Darren Woolley - TrinityP3 73. Diving into digital in a +61 (0) 411 126 176 data-driven world Editor Anton Buchner - TrinityP3 76. Glossary +61 (0) 414 673 575

Art Director 77. About the Authors Lyndell Correll - Ell Design +61 (0) 432 021 100

3 The Ultimate Guide to Digital in a Data-driven World Introduction: from confusion digital marketing is working This new world brings great (source: Digital Distress: What Keeps opportunities, and like all new to clarity in 100 days Marketers up at Night?). opportunities, these require Have you been asking yourself We work in a digital, data-driven new learnings. These learnings over the past couple of years economy. We said goodbye to in turn demand new skills, how you can harness the the industrial revolution long reassessments and actionable power of digital, including ago, and now we’re well and steps that will revamp your social media, apps, Facebook, truly in the age of technology. approach to marketing. smartphones, tablets, Twitter, Today’s marketing economy games, responsive design, is not run by creative and Now as management conversational search media giants but by data consultants, we at TrinityP3 are marketing, ratings, reviews, scientists, content officers, constantly talking with clients e-commerce, advocacy, chief technologists and the who feel lost in today’s digital Pinterest, blogs, Tumblr, NFC new CEOs (chief experience marketing world, unsure of (near field communication), and officers). Gut feel has given how to proceed. Many senior wearable tech to name a few? way to behavioural analysis marketers who were classically and a whole new world in trained in the 4Ps are feeling And with data being captured which proving (or disproving) a increasingly out of touch in for every digital action – in fact, marketing return on investment an age when social networks, 90% of the world’s data has is the priority. And with all advocacy and engagement been generated in the past two this activity has come great rule discussion. Campaigns years – are you getting a major confusion and chaos. have given way to brands that headache from trying to find need to be ‘always on’. One- insights in your ‘life changing’ However, as chaos theory has off strategies have given way dashboards and executive data proved, within disorder can to the monitoring of consumer reports? be found order – order in the sentiment, the sparking of sense of successful marketing conversations and the delivery Well, the good news is that strategies, improved customer of relevance throughout a you’re not alone – 91% of satisfaction and, ultimately, customer’s life cycle. marketers don’t know if their profitable business growth.

4 The Ultimate Guide to Digital in a Data-driven World So we have created the Article 3: How the best of ideation, compelling content ultimate guide to digital in a the best approach digital stories, technologists and data data-driven world, to help you scientists. This Article will also navigate the hype. marketing help you reassess the internal This guide will not only demystify Article 4: Launch with a rock- and external resources that you will require in order to the world of digital and data solid foundation by explaining how it works, it successfully evolve to next-best practice. will also help you put some Article 5: Listening to logic back into your marketing customers to remain relevant approach. There are no bells, Article 7: The never-ending Articles 3, 4 and 5 delve into no whistles, no hype. This guide campaign how best to approach digital simply aims to help marketers marketing from a business get back to basics and follow the Article 8: Understanding and strategic perspective. path from confusion to clarity. the art and science of They outline the need for performance data marketing plans that map back Article 1: The rise and rise of Articles 7 and 8 detail the impact to your business plan, and digital marketing in a data- of being ‘always on’, as well the need for clear objectives driven world as the need for more flexible and measureable goals. They In this Article we highlight content calendars and more also describe the death of the the array of statistics (which actionable data reporting. marketing funnel as we know unfortunately will be out-of-date it. Importantly, Article 5 outlines the minute you read them) and Article 9: Educating your the shift from product-centricity trends that have accompanied brand world to customer-centricity, and the rise of digital and data-driven Article 9 looks at the importance the need to redefine customer marketing. of reskilling and realigning segmentation based on internal departments, including emotional triggers, personas and Article 2: How digital the C-suite, in order to effectively behaviour. marketing fits into the implement digital marketing in a data-driven world. marketing mix Article 6: The new four-pillar In this Article we put digital structure for developing marketing into perspective, as a Article 10: Diving into digital silo mentality no longer applies. digital ideas in a data-driven world Article 6 explains the new We look at all the key channels And finally, we believe that to be art and science of creating and activity and define how successful, you will need a plan. digital marketing activity. This they interrelate and fit into the So in this Article we outline the is no longer a linear process marketing mix. framework for a 100-day plan to but involves a new approach help you successfully navigate that brings together creative these new waters.

The Ultimate Guide to Digital in a Data-driven World 5 of digital marketing in a data-driven world Big data, little data – it all begins with data. While the old direct mailers from way back have been immersing themselves in data warehouses and databases for decades, it’s now the top brand marketers who are embracing these practices and espousing the power of data to drive their businesses.

6 The Ultimate Guide to Digital in a Data-driven World Major TV advertisers are now past life – that which followed talking at conferences about the industrial revolution. the power of digital marketing and data, and the challenges In the late 1700s, low-yield of harnessing it for their production by hand started to businesses. But this isn’t just give way to mass production talk. There has been a dramatic by machines with the use of shift from TV, print and radio chemicals and coal. New types budgets to budgets for an array of jobs were created, productivity of digital media. In fact, on grew, cities expanded and average, 35% of a marketing living standards dramatically budget is now spent on digital improved. Factories, canals and marketing. railroads forged a new era of urbanisation and connectivity. Let’s not get ahead of ourselves, But these changes were not however. First, let’s go back to instant ones. The industrial the beginning. revolution is widely recognised to have taken place from the mid- The information and digital 1700s through to about 1830 marketing revolution fired up (over roughly 70 years). And in 1989 and sped forwards a second industrial revolution at warp speed. is said to have That was when the Fast-forward begun in the 1850s, so-called ‘information There has been when steel made it superhighway’ was a dramatic easier to produce of digital marketing in a data-driven world created by a British shift from railway tracks, and computer scientist electrification started called Tim Berners- TV, print and to make its mark. Lee. He invented radio budgets the World Wide to budgets for These were times of Web (www) with the an array of major innovation and aim of connecting knowledge transfer. people, places and digital media. And inevitably, information using In fact, on along with major servers, computers average, 35% improvements in and something that of a marketing productivity, wealth has since become and knowledge as common as cars, budget is now came greed and an houses and televisions spent on digital imbalance in society. – the internet. It marketing. The new middle-class wasn’t long before business owners lived e-commerce was born, which in splendour; the workers lived soon began to transform our in squalor. economic and social landscape. It was a completely new way Fast-forward to 1989 and we of life. Having said that, many see the start of the next major lessons can be learned by shift in development – from taking a quick look back at a analogue to digital technology.

The Ultimate Guide to Digital in a Data-driven World 7 It was the advent of the internet- or technology-related. This time, new products were information age, the point at Of these, 117 doubled in price created to allow people to access which the product economy on their first day of trading. But digital content like never before. evolved into the service- by 2001, the number of IPOs These included portable audio based economy. Computers, had dwindled to 76, and none of and video media players, PDAs digital cellular phones and fax them doubled in price on the first (personal digital assistants), machines were created and trading day. ultramobile PCs, mobile phones adopted at a much faster rate with internet multimedia access than the bulkier machinery of the Some internet companies (smartphones), and entirely new earlier transitions. The internet survived by revising their forms of internet access such was shared with the public business models, but most as in-store consoles, kiosks from 1991, giving people faster simply disappeared. It is widely and radical surface technology. access to global information believed that it was a case of Society was again transformed and previously untapped too much, too soon. Greed was in terms of technology and users, international markets. back, and people had forgotten customers and organisations, the simple lesson of hard work. and employers and employees. Just like the industrial revolution, we experienced two major This first wave of digitisation can In 2004, up popped a new waves of change. To begin with, be summed up as ‘convergence’ social networking service called the 1990s saw innovation and – work and life started to Facebook, only a year before experimentation, with internet converge, media started to a global video-sharing platform companies springing up out of converge, even countries started called YouTube was launched. nowhere: Yahoo and Amazon to converge as the ‘global village’ Ten years after going live, were born in 1994, eBay in 1995 mentality was adopted. But by Facebook has over 1.26 billion and Google in 1998. The mantra the mid-2000s, a new wave of users. If this was put in terms was to raise venture capital, ‘divergence’ was being created. of country population, it would operate at a loss and ‘get big The second digital revolution rank second globally, with only fast’. It was also a time when was characterised by hardware China boasting more people. companies were focused on differentiation. And Facebook is currently getting their brand names into the vernacular.

However, dotcoms such as Flooz, Boo, Webvan, Pets and Zap, among many others, didn’t last long. The tech bubble finally burst in March 2000 after numerous internet companies had skyrocketed to life and then spectacularly crashed due to the lack of a solid business plan. The Nasdaq Composite lost 78% of its value as it fell from 5046.62 – more than double what it had been a year earlier – to a low of 1114.11 in 2002. In 1999, there were 457 IPOs (initial public offerings), most of which were

8 The Ultimate Guide to Digital in a Data-driven World banned in China, which means search strategy in the last six Online ad revenue – Online that country’s 1.3 billion residents months? If not, then refer to advertising revenue recently are as yet untapped. the section we’ve included in overtook TV revenue for this Article specifically to help the first time in Australian Facebook and YouTube, along you understand Google. history. For the first six with iPads, iPods, iPhones and months of 2013, online a myriad other ‘smart’ devices Social – 93% of marketers revenue was $1.88 billion, and applications, have indeed use social media for while FTA (free-to-air) TV business (source: Social media revolutionised the world as we was $1.80 billion (source: IAB know it. There are millions of is all about revolution). You may 6Online Advertising Expenditure digital and data statistics we have dabbled in it or you Report). This doesn’t mean could quote here, but we’ve may be highly proficient with that you have to spend narrowed it down to a top 10 that it. Regardless, it’s now table 50% of your budget online. we feel puts it all in perspective stakes to be in social media However, you should be and highlights what impacts from a customer service, assessing the effectiveness marketers the most: 3engagement and advocacy of your online spend. How perspective. Are you? are you optimising online Mobile – In 1982, there were activity every month? Trust – 82% of buyers say 4.6 billion people in the world, they trust a company more – E-commerce with not a single mobile/ E-commerce when its CEO and senior now accounts for just under cellular-phone subscriber leadership team are active US$1.3 trillion globally among them. In 2013, there in social media (source: War of and involves an estimated were seven billion people words). It’s not just the hipsters 1.03 billion digital buyers on the planet and six billion and early adopters who use around the world (10.3 mobile-phone subscriptions, social media. Consumers million in Australia) (source: of which 73% were in the are demanding that all levels The Global Information Technology developing world (source: Are 1 of business utilise it. What smart phones spreading faster than 4 Report 2012). E-commerce percentage of your business, any technology in human history?). 7may not be relevant to Yes, the world truly has in particular your senior every business, but it’s still gone mobile, and it’s time for leadership team, is using important to consider how it marketers to incorporate this social media regularly? might be integrated into the into the mix. customer experience. Facebook – 80% of Facebook users prefer to Search – Of all the traffic YouTube – YouTube users to the 18,000 e-commerce connect with brands on upload 100 hours of new sites analysed on the Facebook (source: Amazing video every minute of every social media statistics). While KISSmetrics blog (source: 8 day (source: YouTube Statistics). important stats), 30.5% came from we have already mentioned This has helped give rise to organic searches on Google, Bing, social media, it’s worth the notion of ‘unstructured Yahoo and other search engines. reinforcing that Facebook data’, or data that is not As Google continues to is the killer network. Have organised according to a update its search algorithm, 5you got a structured content predefined model/process. it is critical for websites to calendar for your Facebook 8As the song went, ‘Video 2not only be relevant but also activity that maps to your killed the radio star’. Online to be connected and contain business plan? video has transformed the conversational engagement. concept of a corporate video So have you reassessed your by allowing bite-sized imagery

The Ultimate Guide to Digital in a Data-driven World 9 to be created cost-effectively Feeling a little overwhelmed? eventually Google will lose market (and your customers make Are you thinking, ‘Should I even share, and the demand and price the most of this too, in user- bother to read on’? Well, take a charged for the ads around these generated content). Have you deep breath and relax as we start results will both drop. seen what Zappos has done? to demystify this digital whirlwind and all the mind-numbing Here are a few stats to give you Big data – The volume statistics it throws up. an idea of what is at stake here of business data across (source: By the numbers): all companies is doubling In Article 2, we will explore how Current daily searches on approximately every 1.2 digital fits into the marketing mix Google – 3.5 billion per day years (source: 2012 IBM Annual and challenge the conventional Report). This information thinking that regards it as being Monthly unique visitors to tidal wave makes it a single piece of a jigsaw puzzle. Google sites = 191.50 million easy to drown in data. However, before you click on, (October 2013) How are you gleaning let’s explore the world of search Google share of US search insights from all your data? a little deeper. 9 market = 66.9% (October 2013) – Over the past Content Number of URLs Google three years on Facebook Understanding Google The title of this section is a bit of a was requested to remove alone, the total number of misnomer. Very few people have pieces of content shared per in September 2013 = 21.50 a complete understanding of week has increased from million how Google actually does what 3.50 billion to 33.25 billion Drop in global web traffic (source: 20 mind-blowing social it does, even those who work when Google had a media statistics). We’ve left this there. Various silos at Google number until last. However, can reveal pieces of the puzzle, five-minute outage in August it’s possibly the number-one but only a small number can offer 2013 = 40% detailed insights into the full, 10stat. All the digital channels Total % of online advertising complex picture. and platforms are irrelevant revenue earned by Google without the relevant content. = 33% (August 2013) Do you have an effective Google’s business model is based content strategy and on revenue from advertising, editorial calendar for your and this is inextricably linked We’ll let you ponder that last marketing activity (not just to the quality of the results that figure for a few seconds … an old-fashioned promotional Google’s famous and incredibly calendar)? complex algorithm gives. If the How many of our daily tasks organic search results deliver are not tied to the use of less-than-optimum answers, then Google products? Even the most zealous Macophiles would have trouble avoiding the vast array of Google products and platforms. Who can conduct their business lives without Google Drive, Google Calendar, Gmail, Google Analytics, Google Webmaster Tools, Google Maps, Google News, Android, Chrome, the social channels (YouTube, Blogger and Google+) …

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Order your copy here http://www.trinityp3.com/marketing-management-book/ and what about the big one, core business relies on delivering drivers of business suddenly Google Search? the best possible experience disappeared from search. Major to its customers – people using article directories lost 90% of This is true market dominance. search – so that it can continue their traffic overnight. Many And Google’s goal is, of course, to dominate internet advertising. cried foul, but when you looked to grow this further. How will it at the quality of the content on do this? With innovation and Because of the huge amount these sites, it was crystal clear creativity that is beyond what of potential income at stake, that they were being used to anyone else out there is able an entire industry has bloomed manipulate the SERPs (search zto match. around being smart or skilful engine results pages). Even Seth enough to circumvent the filters Godin’s Squidoo got hammered Your website and Google and to hack into the top positions by this ‘clip-on’ algorithm, as So how does all this affect your for money keywords. This is a it too fell into the content farm business, and how does it inform frantic game of cat and mouse category. your marketing strategy? Any – find an Achilles heel, exploit it, sell the tactic and rake in the business that is serious about But Google’s Search Quality cash. It seems that a significant its web presence and its online Team (also known as the number of businesses play this brand has to understand what Webspam Team) had much more game, one in which they see the Google’s requirements are. in its sights. There is still some rewards as great and the risks Google gets to make the rules in debate about exactly what the as minor. But unfortunately, this this space and you either step up various incarnations of Panda is not the case. Recovery from a or face less-than-positive results. honed in on, but here are a few penalty can take six months and of the more accepted targets: Your online business hub is your tens of thousands of dollars, and Content farms – too much branded website – the domain even then it is likely that you will low-quality, duplicated content that you covet and the aesthetics not regain your previous level of and attitude that you project search engine trust. Not enough content ‘above with your investment in design the fold’ (refers to what can and technology. In order for this be seen when a web page Google game changers hub to be universally found and first loads, without having to accessed, it is critical to know Panda update scroll down) what Google wants and what Up until February 2011, it was Google does not want. And make relatively easy to gain top page Thin content or pages with no mistake. It is very easy to stray positions for targeted keywords. no content into the ‘does not want’ sector by You could create a video, publish Multiple pages saying much accident. We have all heard the an article or a press release, stories – major brands that have and write a blog post, then use the same thing suffered financial hardship due to software to quickly mass-submit Too many ads above the fold breaching guidelines and which this content to multiple sites. have spent a fair amount of time Machine-generated content and resources trying to recover Then Google rolled out the Panda Multiple affiliate links their positions. update – originally referred to as the Farmer update because Why is Google so it targeted so-called ‘content Over time, it became clear that uncompromising with the dishing farms’, or sites that offered little many technical aspects of search out of non-compliance penalties? value. This caused huge ructions optimisation had fallen out of It all comes down to search in the online marketing industry, favour. Accidental duplication, quality. In other words, Google’s as sites that had been huge crawl errors, server issues and

12 The Ultimate Guide to Digital in a Data-driven World WEEKLY UPDATES ON THE HOT TOPICS IN MARKETING MANAGEMENT Read by more than 150,000 people globally

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Essential reading for marketing, advertisers, marketing procurement and agencies. international SEO (search engine • Paid links, including though the jury is still out on optimisation) concerns started advertorials whether this update had much to become more problematic as of an impact on the practice. • Too many exact-match each of the Panda updates was The DMCA (Digital Millennium rolled out. These were the first of keyword anchor text links Copyright Act) penalty was many signs that it was no longer • Too many links from low- created for sites with repeat OK to develop a website and go quality sites (as a percentage copyright violations (funnily live without consulting an SEO of overall links) enough, YouTube continued specialist. unscathed). Google also sent • Paid blog networks out thousands of ‘Unnatural link’ The big directories have never • Comment spam warnings via Webmaster Tools, recovered their previous positions and then proceeded to announce of authority because Google does • Anything deemed to be a ‘link that these may not have been a not see these sites as having any scheme’ problem after all. Throughout, value. Of course, in the wake of Google has been on Penguin went to the heart of the Panda updates, people were a seek-and-destroy manipulative techniques and still able to find loopholes and mission, identifying link successfully shifted the focus perform hacks to build authority schemes and banning from ‘link building’ to ‘link earning’. and a presence for particular the primary sites, Unfortunately, it also created websites. But the respite would then penalising an opportunity for negative not last long. Google was working everyone linked to SEO, where a large number of on something much bigger than them. low-quality links are directed Panda. at a competing site in order to To demonstrate get it penalised. Various SEO the power of Penguin update forums, including ‘black hat’ SEO Although the head of Google’s Matt Cutts and his discussions (‘black hat’ refers to Search Quality Team, Matt Cutts, Search Quality Team, aggressive SEO strategies that had telegraphed that something the Google browser focus on a quick financial return), big was coming at various search Chrome was removed from have suggested that this is not an marketing events in early 2012, Google Search for the phrase uncommon practice. the Penguin update still sent a ‘browser’ for 60 days for violating shock wave through the world guidelines. The team at Chrome of search marketing when it Other Google spam targets had compensated bloggers for Over the past couple of years, launched in April that year. talking about Chrome, which fell Google has made a number of into the category of ‘paid links’. other moves against webspam Websites large and small were Even Google Maps was removed and manipulation. flung to the outer reaches of from search at one stage for search results, and in many being ‘too spammy’. Can you The Page Layout update cases disappeared from search imagine the glares directed targeted thin content above altogether. There was plenty across the Google cafe tables at the fold coupled with too many of speculation about what was these times? ads (ironically, Google’s own called ‘an over-optimisation search results layout violates penalty’, but very few people Recently we have also had the this update!). The Exact Match realised the scope of what was Pigeon update which has caused Domain update was supposed happening. It took another some serious difficulties for to shoot down low-quality sites couple of versions of Penguin companies in “local SEO” and we that were ranking purely due to to be released before it became have had the Pirate update which a keyword in the domain name, apparent what had been hit: targets piracy and led to a 98%

14 The Ultimate Guide to Digital in a Data-driven World reduction in visibility of torrent was the beginning of semantic Following this evolution, sites like Pirate Bay. search and signalled increased sometime around August 2013, intelligence in judging searcher came the comprehensive There was also the HTTPS/SSL intent based on a range of criteria, refurbishment of Google’s update which offered increased including context. The Knowledge algorithm and the soft launch of a performance for “safe” websites. Graph takes information from new animal named Hummingbird, In the rush by many to take a number of sources, including so named because it was very advantage of this change several Wikipedia and, interestingly, the fast and very accurate. But this high profile sites had less than CIA’s World Factbook. It allows wasn’t merely a new version positive results. Buffer lost 90% the search engine to display of Caffeine. Hummingbird had of their traffic for several days responses to a range of queries other objectives in mind – most until Google found a “bug” which without the searcher needing to significantly, future-proofing. returned them to their previous navigate to another page for the rankings. answer. Hummingbird anticipates the dominance of mobile devices Google is not, however, It was further confirmed with the and the move towards ‘voice all about combating incremental launch of “Answer search’ as the primary search webspam. If the boxes”. These offer instant function. It is a major shift away company did not answers at the top of search from keyword-based search also continually results that take away the need behaviour. It is about a real innovate, it would for a searcher to click through conversational search in that a perish in this fast- to websites. There are well over user can ask, in a full question, moving space. 100 search types that will trigger exactly what they want and an Answer box including any then continue the conversation Search search around the weather, how without referencing the original innovations tall is…?, how far is…?, how old request. This is made possible Google is continually is…?, sports results, calculators due to the update’s advanced refining and maximising for converting a number of abilities around context, history the effectiveness of its measurements and many, many and behaviour. It means that a search engine. Indeed, it has more. question like ‘How old is it?’ has implemented many innovations meaning to the software, which over the past few years. An interesting answer box interprets intent. appears if you type in “the In August 2009, Caffeine was answer to life the universe and Pretty cool stuff! And how about launched. This was a new everything” which will appeal to prompts like ‘OK Google’ to get architecture created to cope with fans of The Hitchhikers Guide to the ball rolling? the speed with which information the Galaxy”. was arriving from social media Here we have a search engine platforms, particularly Facebook These answer boxes have led to that is a big part of the daily and Twitter. It enabled Google some consternation and a good experience of much of the to surface fresher results and example why is Government world’s population and which allowed the index update time to weather sites who now have to is predicting the future (Google be shortened substantially. pay for a position with Adwords to Glass and Google Cars), appear at the top above the large delivering innovation to grow its The Knowledge Graph was answer box. The drop in traffic multimarket domination. another huge innovation, one that when the weather answer box has become a familiar feature was launched must have been of search results pages. This frightening.

The Ultimate Guide to Digital in a Data-driven World 15 But what does all this Understanding the key elements build on this expertise presence technobabble mean for your of content, those that drive and you will drive demand across online business presence? Well, engagement, sharing, advocacy a range of offerings. it means you have to grasp the and attraction, is the first step opportunity afforded to you. towards increased revenue and Companies that sell physical brand presence. This is at the products also need to understand Post–Hummingbird content core of inbound marketing – what their markets are most strategy delivering expertise and value interested in, and often it will not Content may already have been to such a high degree that your be the companies themselves King, but we will have to find an prospective clients or customers or even their products. Coca- even higher position for it in the are falling over each other to buy Cola recently launched a content aftermath of Hummingbird. from you or work with you. strategy based on a huge amount of research and testing. Panda and Penguin spelled the The traditional branding and A website was developed to end of cheap tactics and ushered marketing principles are still embrace a new model, the ‘Coca in the era of strategy in SEO. important: Cola Journey’. It was all about Everything Google is working • Who are our customers? storytelling and engagement, towards is completely reliant on with the emphasis on actioning • How do we help them? quality. consumer feedback. There were • How are we different to our some surprising inclusions, Low quality = low satisfaction. competitors? such as background on Coca- Cola marketing campaigns and Frequent low satisfaction • Who are the people who can information about jobs in the = time to look at options. help promote our message? company. But the main focus was • What is our story? on elements that were prominent And in our increasingly impatient in the research results, such as world, market share can be lost Then it comes down to how music, lifestyle and food. in days, not weeks. generous you are with your expertise and how well-thought- These are the key characteristics For business, this is both an out is your engagement strategy. of effective content: opportunity and a conundrum. Consultants/agencies will always • It must be what your target It requires a complete need to demonstrate a high market is looking for – in this reassessment of resourcing. level of leadership, creativity sense, it is solutions-based. It requires a commitment to and expertise. The difficulty can investment in content creation lie in letting go of the concept of • It must be of high quality. and also expertise in content intellectual property: What if our • It must be interesting/ optimisation and promotion. competitors use this information? entertaining/informative. It requires a big investment in What if our clients do? What if we time, as training, education, make it all sound so intuitive that • It must speak in a voice that workshops, schedules and we are diminishing the value of your market understands. deadlines have become important our services? parts of the strategy. And it • It must be unique/innovative. requires investment in top-level There are boundaries, of course, • And this is critically important: staff or partners with expertise in but overall, the demonstration of It must reach the target expertise will do nothing but put the many digital disciplines. The market. rewards for such investment, your business front-of-mind when however, are significant. potential clients are looking for the service you offer. Consistently

16 The Ultimate Guide to Digital in a Data-driven World Amplification of content Accounts we have analysed that you to reach large numbers of Too often we see blogs where have had some of the biggest people, grow your likes and drive there is almost no engagement, numbers of likes, followers and up engagement. However, there no sharing and very few actual connections have also had some is quite a big divide between what views. In other words, there is of the lowest engagement figures. Facebook Insights reports and no strategy. Without a content what Google Analytics says is the promotion strategy that identifies Having big numbers is only part reality about clicks on links. the potential channels for of the picture. There are other, amplifying your content, you equally important issues to Anecdotally, it seems that are wasting valuable time and address. How are you giving value Facebook currently inflates the resources. to these networks? What are figures around website visitors you doing to build relationships to increase the desire for further Here are a few of the crucial with potential customers/clients, promotional spend. In one case, elements of such a strategy: collaborators and advocates? Insights reported 200+ clicks SEO – metadata, URL What are you doing to increase on a blog post link, yet Analytics optimisation and heading tags brand visibility and seek out recorded just 25 visitors from influencers to engage with? What Facebook on the same day. Content structure – what is your strategy for engagement And we don’t think that Google appears where and how on trade sites? Analytics is underreporting, so … you improve the UX (user experience) It is just not useful to set up The targeting features in boosted multiple social media accounts if posts also seem to be fairly Social media promotion your strategy does not address all random. Choosing specific schedule – the correct frequency of the above engagement factors. countries and interests seems to for multiple platforms The result of this lack of focus will get content in front of people who be the impression that your brand Newsletter and list promotion – are completely unrelated to the is not popular or that it is inept. targeting – boosting to your fans email marketing Either of these can be damaging, and their friends would seem to Influencer and network outreach so it is critical to get things right. be a bit more reliable. – crucial people through whom to extend your reach When we look at four of the most But, in the end, the spend does popular social media platforms, bring an overall increase in Technical promotion – pinging it quickly becomes apparent that visitors from Facebook. And the and URL submission for speed separate strategies are required popularity of the content does of indexing for each of them. have a positive effect on organic visitor numbers. Offline promotion – trade press, The Facebook paradox press releases and PR Facebook is the largest of the Welcome to LinkedIn Interested organisations – more social networks, but it can be LinkedIn is going from strength outreach difficult for B2B companies to gain to strength, and it would be traction here. Aspirational, FMCGs unwise for key people in any This is also where a highly (fast-moving consumer goods), organisation to not have a solid developed social media presence fashion and music all work very presence here. It has morphed pays dividends. Developing well here, and their effectiveness from an employment-related a tuned-in audience through can be increased with the various site, where everyone hung their various social media channels paid options Facebook offers. CVs, to a powerful content and affords your content great reach. Boosted posts and PPC (pay-per- engagement channel. But this is not just about numbers. click) ads, for instance, will allow

The Ultimate Guide to Digital in a Data-driven World 17 Twitter encourages constant testing and learning: How do you get noticed? What types of titles get the best click-through-rates? What topics are the most popular? Content placed here has the ability to get in front of a lot of encourages constant testing and potential to reach a large number people. Click-through is also very learning: How do you get noticed? of relevant people, and the level good and has led to very good What types of titles get the best of conversation is increasing all website visitor results. click-through rates? What topics the time. But as with all social are the most popular? strategies, it is not a good idea to Unfortunately with a feature like be overly self-promotional. This is this, there is no barrier to entry Twitter is also a brilliant customer about giving value in the range of and the steady rise of low quality service channel. People will content shared and contributing content has meant fewer views expect an answer or a response in a generous way to discussions for the high quality posts. fairly quickly, though, so you will that relate to your areas of have to resource this accordingly, expertise. LinkedIn Groups are High-speed Twitter with constant monitoring. the most effective areas for these Twitter is the fastest and probably contributions, as they remove the most complex of all the social Is Google+ an echo chamber? a layer of brand advocacy that channels. It benefits from having This is the social channel that many on LinkedIn are a little wary a large number of followers, and is the least understood. Google of. Regular, helpful contributions high engagement is shown quite has announced usage figures demonstrate expertise and clearly in Analytics visitor numbers. that put Google+ second behind leadership and serve to improve It does require a consistent effort, Facebook for active users, but this personal brand presence. though. Fortunately, a range of is a little disingenuous. Every time social scheduling tools can assist someone logs into Gmail or uses LinkedIn Company Pages are in managing the regular posting of a Google product, the Google+ still a little tentative unless valuable content. page appears in the menu, and your brand has high visibility this is seen as an ‘active’ user. generally. I am guessing that Because of Twitter’s structure, So let’s ignore the hyperbole and this will be on LinkedIn’s radar it is quite OK to post multiple concentrate on the benefits. in the near future, though, as times every day, and some level many Company Pages get to a of repetition is acceptable. On Google+ is Google’s great social certain stage of growth related publication, you can schedule media hope, and so the company to encouraging employees to a new tweet to be shared more has given users some pretty follow the page, and then the than once on the first day and useful advantages. Firstly, the enthusiasm for sharing content can repeat it over the next few links from Google+ are ‘dofollow’, there gradually diminishes. days – assuming, that is, you which means that they count And as you can’t connect with are following the unwritten rule of towards site authority. Dofollow individuals with a Company sharing more content from other is a tag that tells search engines Page, this somewhat limits the people than from yourself. they can use the link to go to the potential for higher reach. destination page and that they Because the feed on Twitter can allow PageRank to flow to the The addition of LinkedIn moves so rapidly, this is a great destination site (‘nofollow’, on the publishing has created a very platform on which to hone other hand, tells search engines useful new channel and having your short-copy skills. It also they should not follow the link or content published here has the pass PageRank).

18 The Ultimate Guide to Digital in a Data-driven World Google recently removed The days of posting frequent design aspects of the posts? Authorship which added the short blogs are over (unless you • What are the key metrics that author’s image and numbers are Seth Godin). What is needed will demonstrate success? in circles to the search results. now is complete and exhaustive These were so successful in research and documentation. And content has evolved in a attracting clicks however that With Google’s recent addition of number of other ways: it is suspected that these were ‘in-depth articles’, the bar has • Correct content optimisation is removed due to a drop in paid been raised for content length now paramount. Adwords clicks. and quality. • Metadata must be handled The usefulness of Author Rank Recent data has confirmed the carefully so that every is still being debated. While relationship between increased opportunity to engage is there does not currently appear social shares / pageviews and taken. Titles are the hook to be any weighting on this, content length. Analysis of the – they must be appealing the influence of an author and TrinityP3 blog has shown that or compelling enough to the value of their network will the sweet spot on this site lies gain instant attention. Meta have a bearing on search result around the 1500–2000-word descriptions must summarise presence at some stage (Google mark. Posts in this range achieve the theme and have a call- holds the patent for Author Rank). significantly higher figures in both We are already starting to see the aforementioned metrics. to-action. This call-to-action data that backs up the notion does not have to be a generic that interaction with influential This raises various questions ‘read more here’ but can be users is having an effect on how concerning resourcing: much more strategic. Asking well posts are ranking. Google+ • If you want to publish questions, being provocative influencers do primarily operate regularly, how do you and tapping into emotions are in tech-related industries, but resource the 5+ hours needed all ways to optimise click- this dominance should dissipate to create each post? throughs. as more and more people from other vertical markets grasp the • How many authors will be • The correct heading structure benefits. contributing? will allow readers to scan for key points. It will also • Will you use expert pieces persuade the visitor to The evolution of content from individuals who are investigate in more detail or strategy outside your organisation Over the past couple of years, will help them navigate to (rather than random guest content strategy has come of age. the specific solution they are posts for the benefit of SEO)? This largely has been driven by seeking. Google’s need for as much high- • As the business achieves • Grouping content by relevant quality content as possible, as the targeted growth figures, categories helps guide well as the series of safeguards how will this resourcing be readers to more information discussed earlier that inhibit the managed? ability of low-quality pages to on their particular field of gain high SERPs. • Who will perform the role of interest. managing editor or content • The use of images, GIFs, The best way to attract a director? completely natural link profile is graphs, diagrams, videos and to create exceptional content and • Who will drive the selection drawings all add to the UX to give comprehensive value. of topics and the creative and and help break up the text.

The Ultimate Guide to Digital in a Data-driven World 19 • The art of copywriting has these issues and more should The most crucial element, been elevated. Those with be checked off before you hit though, is value: the skills to bridge the the publish button. • Who is the content going to divide between informal help? • UX has also grown in and professional, warm and importance. Larger font • What is the solution that the informative, engaging and sizes, white space, ease of content is offering? instructional, are in high navigation and overall great demand. Shorter sentences • Will the reader be satisfied design have really jumped to and paragraphs that speak that the solution is trustworthy the fore. directly to the reader increase and easy to understand? time on page and build the • CRO (conversion rate connection. optimisation) is likewise becoming an important • Technical compliance has element of content. This become very important. refers to gaining increases in The correct use of Open the desired actions through Graph and heading tags, the a focus on testing buttons, elimination of duplication, colours, navigation, calls-to- a good URL structure, the action, copy, layout and more. optimisation of images –

The three pillars of a successful web presence To summarise this section on search, there are three pillars that support online success:

1 2 3  SEO and technical Content strategy Social media compliance This is where the value is Social proof, content reach This covers everything from delivered. This is where amplification, relationship keyword research to website you connect with your building, engagement, development, from site target market and provide brand humanisation – audits to reporting, from solutions that will assist your all these and content optimisation to the prospective customers. This more can be integrated with elimination of duplication, is where you tell your stories. the two points above. and much more.

The world of the web has become extremely complex, but the underlying concepts are still relatively simple. Give value. Think humans first and robots second. Be committed to your strategy. Be agile and innovative. Be creative. Think relationships – with customers, colleagues, partners and advocates. And be prepared to put in the hard yards to understand all of the necessary elements, to continue educating yourself about new innovations, best practice, and technical advances and requirements.

20 The Ultimate Guide to Digital in a Data-driven World HOW DIGITAL MARKETING FITS INTO THE MARKETING MIX

Define what digital marketing actually means for your business and ensure everyone is aligned.

The Ultimate Guide to Digital in a Data-driven World 21 Now that you are armed with the history and background of search, and a deeper understanding of it, let’s be clear on what digital marketing actually is. For it seems that everyone we speak to has a different interpretation of it.

We don’t propose our view to be Digital marketing can be seen as • NFC based on radio all-encompassing. However, for having four characteristics: frequency identification the purposes of this guide, and standards By connecting companies, to really simplify it for you, we • Mobile devices, including products and services to have defined digital marketing as smartphones, tablets, consumers, digital is a channel follows: PDAs, kiosks and surface accessible through a hardware technology Digital marketing is the device, such as a computer. practice of connecting There are a myriad channel It is also the digital format of companies, products and forms, but the top six are: advertising, which interrupts services (or brands) to consumers in their online journeys • Email consumers through digital 1 – hence display advertising, paid means. This can involve • SMS SEA, social media advertising, a direct hard sell (e.g. quick response codes, video etc. e-commerce) or a softer • Social networks: Facebook, sell (influential) through Google+, Twitter, Pinterest, digital content. LinkedIn, to name a few 2Digital marketing can entail platforms containing content that • Search engines: Google, informs, entices and engages Yahoo, Bing, Baidu (China’s consumers in order to build a number-one search engine) closer relationship with a brand; – these involve the organic for example, websites, apps, ranking of websites, where games, blogs and e-learning your website is naturally environments, as well as scored, ranked and listed, 3‘curated content’ sources such as hence the need for SEO as YouTube, SlideShare, Instagram discussed in the previous and Pinterest. (Curated content Article; they can also involve is a collection of posts from other paid search, whereby you sites presented together in a can pay for your website news format or as a blog post to appear on the first-page with a unique introduction.) advertising area of a search engine, hence the need  for SEA (search engine advertising)

22 The Ultimate Guide to Digital in a Data-driven World And lastly, digital marketing is Unfortunately, it’s most often • Guerilla – yes, if in a digital measurable. The word digital the latter. Digital marketing, by format or a digital channel comes from the same source as our definition, is a channel for • Inbound – yes, if in a digital the words digit and digitus (the connecting with consumers, format or a digital channel Latin word for finger), as fingers just like TV, magazines, radio are often used for discrete • Influencer – yes, if in a digital counting. In fact, every digital and catalogues. But we’ve channel or platform also defined it as advertising action leaves a discrete digital • Telemarketing – yes; phone 4fingerprint in the form of data. and other content that can be calls are digitised, and The recent explosion in digital distributed, just like a 30-second telemarketing technology activity, devices and technology TV or radio ad. Yet digital is increasingly is becoming has been accompanied by an distinctive. It is interactive, not cloud-based and automated equivalent explosion of data – one-dimensional or one-way. as we mentioned in Article 1, the Have you spotted the amount of global business data is Digital offers an opportunity for commonality? doubling every 1.2 years. So it’s immediate interaction, as well The world is going digital. Just no wonder that you find yourself as the continuation of a story or as happened when the world drowning in data, analytics and journey that transcends borders became industrialised, it’s measurement reports. In Article 24/7, 365 days of the year. no longer a matter of digital 8, we will explore the various marketing being seen in isolation forms of digital marketing The truth is that digital is measurement to help you make in a silo, as it was during the first a detailed, specialist area more sense of your activity, and digital revolution. Rather, in this underpinned by a myriad formats, to demonstrate how to map it second digital revolution, it is options and technologies, hence back to your business goals. critical to see digital as a form of the confusion. marketing that either augments So again, where does it fit in? or modifies your current To recap, using the • Advertising – yes, if in a digital traditional activity. format or a digital channel That means it is crucial that • PR – yes, if in a digital format you break down some of the or a digital channel principleKISS (keep it simple silos that your business has • Direct marketing – yes, if in stupid), digital marketing is been built on, including those a digital format or a digital four things: channel established during the first digital 1. A channel revolution: the website team, • Database marketing – yes, if 2. An advertising opportunity social team, database team, in a digital format or a digital 3. Content channel, and targeting a analytics team and technology 4. Immediately measureable database of contacts team. The new marketing team should be digital by nature. So how does digital • Promotions – yes, if in a marketing fit into the mix? digital format or a digital It should be an expert not only in Neatly, or is it a grey area? channel the 4Ps – product, price, place and promotion/advertising – but

The Ultimate Guide to Digital in a Data-driven World 23 also in what one global agency • Social status, journeys, life cycles and has termed the 4Es: • Technology levels of happiness with a brand. • Experience – the digital (and We’ll explore this a little further in However, new boxes are being non-digital) customer journey Article 5. of discovery, which has led added by the day: • Mobile (including responsive to the creation of the chief So to close out this Article, what experience officer role design for websites) have we learned? • Everyplace – the multitude • Content marketing We have highlighted that of digital (and non-digital) • Video, webinars and virtual digital is an evolution of your channels and touchpoints, events ranging from interruption to current activity. While it does interception to retargeting • E-learning and employee require specialist skills, it training must ultimately be judged • Exchange – more than just using the same business a pricepoint, this is what • Applications acumen that you have always you can offer customers in • Digital analytics applied to your business: exchange for their attention, • Social sentiment and • How will it impact on or engagement and permission; monitoring benefit your customer? it has led to the creation of the chief content officer role But maybe we should think • How will it add to your bottom line? • Evangelism – the power of differently and move from advocacy, word of mouth and product-centricity to customer- In the next Article, we will explore brand passion centricity, creating a ‘customer how to put digital marketing

Now while this all sounds nice in budget’. This would cover the into practice and how best to theory, in practice, for marketers, various budget items under the approach it from a resource there are still plenty of budgets 4Es and focus more on customer perspective. being split by discipline. And digital marketing, by association, needs a box to fit in – although we would challenge you not to do this.

The current major digital marketing boxes are as follows: • Online advertising • Website • SEO and PPC • Database and CRM (customer relationship management), including email

24 The Ultimate Guide to Digital in a Data-driven World HOW THE

BestOF THE Best approach digital marketing The Ultimate Guide to Digital in a Data-driven World 25 The Marketing Budgets 2013 Report released by Econsultancy and Responsys highlighted the fact that just over half of the companies surveyed globally were planning to recruit more people into their digital marketing teams in 2013 – this figure increased to 66% for businesses in the Asia-Pacific region and to almost 75% for Australian companies. However, it also identified company culture and staff as the top two challenges in making the most of digital investment. Simon O’Day, vice-president at Responsys Asia-Pacific, was reported as saying, ‘While it’s good news that digital investment is rising, it’s still concerning that a third of marketers consider company culture a challenge preventing further growth’.

Let’s now explore how to break Bricks-and-mortar organisations area or discipline. Likewise, the down the silos and how best to were naturally built into silos marketing discipline was also plan for digital marketing success. as they expanded. Physical siloed. It often has the structure presence and a production-line shown below (source: Forbes’ Here’s It’s no surprise that the leading focus demanded that certain what the marketing organization of the future should look like). digital companies have leadership people be in charge of a particular teams that live and breathe the digital ecosystem. The online shoe and clothing retailer Zappos, for example, is widely regarded So where the organisational as the leader in creating online structure had looked like this: product description videos. The company started in 2009 with seven people and, in line with its CMO customer service mantra, it had the lofty ambition of creating up to 5000 videos to help consumers better understand its products. Now, Zappos employs 12 people Marketing Public Market Product Strategies Advertising Relations Research Promotion and has produced over 200,000 Manager Manager Director Manager Director Director product videos.

The common link between Zappos and other leading digital Staff Staff Staff Staff Staff Staff organisations is a collaborative construct and a seamlessly integrated culture.

26 The Ultimate Guide to Digital in a Data-driven World However, as we have migrated The new marketing construct So how can you best from a product society to a looks more like that shown below, implement this new service society, this model with a CMO focused on the brand collaborative construct and create a more-effective has become outdated. The and customer experience at all culture? There are four core successful organisations of today touchpoints of marketing. steps in achieving this: have realised that they require an 1. Slowing down ‘always on’ approach, with a more This is a major shift for flexible and collaborative culture. organisations and requires 2. Aligning goals Disciplines now interrelate and resource realignment and/or 3. Allocating ownership leverage information and insights recruitment, budget reallocation, 4. Knowledge sharing from each other in order to retraining and reskilling, and Slowing down build more successful business potentially outsourcing to new Some may remember the great outcomes. experts as part of the team. digital promise of the 1990s, that we were all going to have more free time thanks to digital solutions and the computer. It will now look like this: Yes, digital was going to allow us to do things more easily and more quickly, and then we could Product just chill out and enjoy life. Well, Manager human nature unfortunately countered this thinking with, ‘If I Marketing have spare time, I’d better fill it Promotion Strategies with something’. Director Manager As a result, digital has in fact made us do more, creating the CMO feeling of always being busy and having too much to do. We now constantly check our phones, Market emails, social media and Advertising Research messages. Why? Because we Director Director can. Digital solutions have put the power in our fingertips and Public Relations our voices to activate virtually Manager anything anywhere.

The Ultimate Guide to Digital in a Data-driven World 27 This is where the values and proofpoints of your business need to be defined – the things that really set you apart from the pack and which will persuade your target consumers (and prospects) to take an interest in your offering.

So the first step in establishing continually see organisational the new collaborative construct departments working towards is to slow down. As the old completely different goals – and saying goes, ‘Rome wasn’t built worse still, not mapping them in a day’. You are going to need back to the overarching business time, headspace and multiple goals. perspectives in order to effectively challenge your current approach There are a few layers here. First, Once your mission and vision are to operations, processes, people you need to agree on and set the clear, you can set your goals and and technology. overarching business mission, vision, goals and objectives. objectives. People often believe In Article 10 we propose a 100- These are often found in dusty these to be one and the same. day plan to help you slow down corporate business plans, or they In fact, goals are where you and implement an effective new are set at the beginning of a new intend to go, and realising them direction. However, rather than financial year and then forgotten confirms that you have achieved skip to the end of this guide, until 11 months later. Dig this part or all of your vision – these read on to learn about the next material out and take another are often described in words. three steps in putting together look at your business mission. Objectives are the specific steps a new marketing construct, and Your mission is your crusade. It’s you will take to reach your goals also check out the Articles on your view of what’s wrong with – these are typically numerically digital planning (Article 4) and the world and how you intend to driven (for example, % shift, $ actionable measurement (Article fix it. growth) or date driven. 8). Now look at your vision, or what Once your business goals and Aligning goals the world will look like after you’ve objectives have been set, you It sounds obvious to say that finished changing it. An important can assign your marketing and everyone should be working part of this process is assessing digital marketing objectives. The towards the same business how your business differentiates important thing here is to ensure goals. However, at TrinityP3, we itself from your competitors. they all point towards a common

28 The Ultimate Guide to Digital in a Data-driven World business direction. It is no good marketing approaches. It used providers and technology setting a digital objective that to be a matter of ‘set and forget’ solutions, organisations now has little or no relevance to your and one-way channel activity. often commission a third- overall business direction. This But now it is about always party evaluation of potential will only create confusion, division being on and iterative. Hence, suppliers before finalising and another silo of activity that ownership can vary according to any contractual agreement. executive management will the technology, data, research, TrinityP3 offers Supplier struggle to place value on. It will content or channel used. That Search and Selection services result in the asking of questions said, ultimately, one person or as well as Strategic Supplier like ‘Why on earth are you doing an executive team needs to be Alignment to determine what you are doing?’ and ‘How is made accountable for the activity the optimal mix of rostered that delivering any value to our in order to make decisions and suppliers and agencies. business?’. move forward. Fees versus value received – Consider upfront fee Allocating ownership This is particularly important structures versus ongoing Once you have set a clear if you decide to outsource to fees. Some suppliers will direction, it will be easier to specialists. Someone within lowball upfront fees only to allocate the right KPIs (key your organisation needs to be 2 sting you with the cost of performance indicators) and responsible for managing the ongoing services. Assess budgets, and define who will external supplier/s, someone what value you are receiving own them. By this, we mean who is senior and can make the from a supplier and how this identifying the employee who hard decisions when it comes is helping you achieve your will be responsible for making to assessing whether activity is business objectives. A simple things happen, which may or adding business value or simply cost-benefit analysis can may not be the person who will ‘blue sky’. be conducted to reveal the implement the strategy. This When you are looking at answer. often depends on the size of your outsourcing, you need to business. Small business owners Appetite for risk – You will consider three key factors: can often own the KPIs as well need to weigh up the risk of The supplier’s true area of as implement the strategies, looking beyond your internal expertise – Is it e-commerce 3 whereas in larger organisations, resources against hiring conversion, social media line managers tend to be additional resources with maximisation, search engine responsible for the KPIs and the necessary skill sets and marketing and optimisation, also the teams implementing the determining how they can or creative build and strategies to achieve them. best fit into your collaborative development? Assess the true organisational construct. skill sets of the people working In allocating digital marketing1 on your business. With the ownership, there are more explosion in digital service considerations than in traditional

The Ultimate Guide to Digital in a Data-driven World 29 Knowledge sharing employees simply update world reading 174 newspapers Finally, when creating a new everyone else on what they are every single day’ (source: Why collaborative construct, it is doing. Neither does it mean a knowledge management is important to critical to share knowledge. In flood of reporting sent to all and the success of your company). today’s digital business world, sundry. According to freelance Rather, in order to actively best-practice managers are journalist David Derbyshire, and efficiently manage all hiring minds, not arms and people are being bombarded with this information, best-practice legs – knowledge is seen as a data every day. He was quoted digital marketing organisations company asset. in 2011 as saying that ‘mankind make a point of establishing broadcasts two quadrillion knowledge-sharing processes Consequently, organisations megabytes – or two followed and knowledge management are establishing processes for by 21 zeroes – of information (KM) platforms in order to keep sharing individual knowledge through televisions, radios, people up-to-speed on insights company-wide, converting it into newspapers, post and emails and learnings from activity. organisational power. This does every 12 months. That’s the not mean a weekly management equivalent of every person in the meeting where individual

Knowledge Management Cycles

Collect

Identify Classify

Organise/ Knowledge VALUE Create Repository Store

Share/ Use/Exploit Disseminate

Access

Source: www.mobileskycode.com

30 The Ultimate Guide to Digital in a Data-driven World However, leveraging this of knowledge – there’s no build on each other’s ideas rather information is only possible if agreement as to why the than tear them to shreds. people value it. Here are five key information is being shared reasons why organisations fail Collaboration is the key to share knowledge effectively 4. There’s no willingness to share In approaching digital marketing, it (source: Knowledge sharing): knowledge – self-importance will be critical to break down some 1. The knowledge isn’t sticky and individual power/greed of the structures and processes – too much effort (time override the desire to share (obstacles) that exist within your and energy) is required to organisation. Silos are out and 5. There’s no knowledge of explain it collaboration is in. Aristotle’s great knowledge – people don’t quote ‘The whole is greater than There’s no common identity know what they don’t know, 2. the sum of its parts’ has never among the knowledge sharers or in other words, they don’t been truer. Each part of your – this refers to the absorptive understand what they are organisation has a function, an capacity to understand supposed to be sharing objective. However, it’s the unique knowledge; this capacity might Again, the key to establishing combination of these parts that be high within a specialist an effective knowledge-sharing makes the whole organisation group or division, but far lower culture is to agree on and set more cohesive and more effective for those outside the group values that everyone buys in reaching its goals. 3. There’s no relation between into. This will help shape an the receiver and sender organisation in which people will Marketing management ebook of the year

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The Ultimate Guide to Digital in a Data-driven World 31 with a rock-solid foundation

32 The Ultimate Guide to Digital in a Data-driven World Now that you have set your 3. Nurture and educate The CDJ takes a more complex, mission, vision, goals and prospects – deepening customer-centric approach than objectives, along with the the relationship to educate the marketing funnel. It focuses framework for collaboration, prospects about your offering on five stages through which a it’s time to flesh out the actual or keep it top-of-mind until the consumer can move back and digital marketing strategy prospects have a need for it forth: that will help you reach your 1. Consider – brands that people objectives, allocate resources 4. Convert prospects into consider when thinking about a and budgets, and define the customers – closing the purchase critical metrics for measuring sale and ideally managing success. The development of the relationship through to 2. Evaluate – information- your go-to-market strategy, ongoing repeat purchases gathering about the above which is the focus of this Article, (lifetime value) brands to narrow the choice should be done in conjunction However, life in the new 3. Buy – buying the preferred with listening to your customers, digital world, as we’ve already option identifying their needs and mentioned, is highly interactive creating a more relevant rather than one-way and 4. Post-purchase – post- customer-segmentation strategy with a sequential. Digital technology purchase reflection on – these issues are dealt with in allows consumer actions and whether the brand purchase Article 5. decision-making to be more was suitable and whether rock-solid iterative and integrated. So many expectations were met; this In the past, the conventional often informs the decision wisdom was to use the leading digital organisations now about whether or not to make marketing funnel to create a cite the McKinsey loyalty loop foundation (shown below) as the preferred another purchase plan. The funnel was a plan of campaigns that aimed to migrate consumer decision journey (CDJ). prospects through a series of sequential steps to reach a Engaging consumers throughout purchase decision. It involved the consumer decision journey four key stages: Tap consumer Cultivate influential 1. Create awareness – getting passion to attract conversations and direct engagement personalised your company, product or with the brand selection process Evaluate service name in front of a Connect in Bond/ the channel, potential target market advocate seamlessly Buy delivering Consider the brand 2. Generate leads – gathering Enjoy prospects who have inquired Foster passionate Design a post purchase communities of users experience that inspires or shown interest in your interacting with the brand, interaction on an people in the company, ongoing basis offering and one another

The Ultimate Guide to Digital in a Data-driven World 33 5. Advocate – telling friends an online-transaction-only of wider social media. This can and colleagues about the organisation, it naturally requires be viewed as owned, earned or purchase and the experience a website with e-commerce paid media. of the product or service functionality. The website content and structure will The CDJ approach opens up a also need to be optimised Promoted much richer range of strategies Brand to achieve a strong organic Paid Media Content Owned Media Traditional Ads Corporate Content and allows you to focus your ranking in search engines. energy on the right aspects. Converged Google is constantly changing Media It changes your thinking from its algorithm, so it is important Sponsored Brands that a conversion mentality to a to seek advice from an SEO Customer ask for shared belief in satisfying needs and expert to determine how to Press Coverage behaviours. maximise the ranking of the Earned Media Organic business in the context of a Using the following hypothetical competitive flower industry. Source: The Converged Media Imperative: How Brands Must Combine example, let’s now bring these Paid, Owned & Earned Media’ Altimeter Group (July 19, 2012)

stages to life. One such change, which Google recently introduced Owned media is an Example via its Hummingbird update, organisation’s assets; for An organisation sells concerns the impact of intra- example, a blog or a Facebook flowers online – we’ll call it website social and conversations page that is managed by, or flowers2friends. This service on the actual website ranking. on behalf of, the organisation. allows you to order flowers This means that flowers2friends For this example, we will create online and then have them will need to consider the level a flowers2friends Facebook physically delivered by a of engagement from customers page and a calendar of content network of local florists. The on its website. This may activity (status updates) based florist who is nearest the include ratings of the service, on seasonal themes and intended recipient of the flowers testimonials from happy which includes key events will fulfil your order, and they recipients, reviews, and perhaps that may appeal to men. We guarantee delivery within three the ability to +1 or like, or to will also assign resources for hours of the order being placed share content, offers or specials. monitoring and managing the or you get your money back. Also, initially, the business will Facebook page interaction Let’s develop strategies for need to spend some money on and response, as we foresee a each stage of the CDJ on the SEA in order to be visible on the variety of service-based inquiries assumption that the key target first page of a search engine. coming through the page. market for this business is men And we will develop a crisis aged 30–50. Now that flowers2friends has strategy, escalation policy and planned its website presence, it Consider contingency plan, to be prepared will need to consider the impact First, as flowers2friends is in case of any serious consumer

34 The Ultimate Guide to Digital in a Data-driven World backlash. However, we hope to never need these as we aim to be transparent and honest in all our communications.

Earned media involves creating a strategy for customers to share your content within their social networks, as discussed stages 2, 3, 4 and 5. This can Evaluate earlier. And paid social media be mapped out as a content and Now that you have planned refers to paying for advertising activity calendar, with automated how to get flowers2friends on placements within social triggers being sent out according a person’s radar, you need to networks. Facebook allows to behaviour, tenure and value. develop the evaluation plan. you to easily set up ads and sponsored stories which you Having planned its digital First, you must consider how can aim at your preferred target channels, flowers2friends can to help prospects evaluate market simply by choosing now look at broader media and your offering given the number demographic variables, locations strategies to get itself into the of competitors out there. You and areas of interest that the consideration set. As CMO of the decide to focus on an emotional target market may have. For company, you decide to create hook, as alluded to above – this example, we will develop a PR strategy and launch event. rather than talk about your a series of creative ads and You bring the whole service service, you will bring to life the messages to test and target men to life by creating pilot videos emotional response to receiving aged 30–50 within one country. of people receiving flowers, flowers. So you create a series to demonstrate the emotions of videos that are housed on Now that its social media is recipients feel when they get your website, sent to prospects planned, flowers2friends will flowers. You also incorporate a via your email program (so want to create a database of series of press and radio ads for that people click from the prospects who are interested the first six months to specifically email to the website to view in the service. To do this, it will target men aged 30–50. the videos) and then added to produce an e-newsletter that your Facebook page for people people can opt into from the Interestingly, you have built your to share. Consumers can now website. The email program will consideration plan from the like and rate the videos as well need to be fleshed out in order customer experience point of as add comments. In time, you to not only welcome people view rather than from a media- want to build up a bank of videos to flowers2friends, but also first point of view, the reverse of which are all rated, sparking to demystify the service and how traditional media is typically commentary and prompting the brand world, as well as start planned. videos to be shared, which will to build relationships through help attract more business.

The Ultimate Guide to Digital in a Data-driven World 35 However, for this strategy, you Post-purchase experience, people will naturally want to encourage women Now this is where your advocate their business. (as the recipients of flowers) marketing strategy really While this is partly true, you to influence men, so you also connects. You don’t just want should also identify your best, create a Facebook advertising to assume that customers are most satisfied customers and campaign around the videos that satisfied – you want to ask them then, based on their proactive targets women, to spark more if they are. So you implement behaviour, enable them to sharing. a series of three emails. The become advocates of your first is sent 24 hours post- business. These are the

Buy purchase purely as a thank customers who deliver profit Now that you have a strategy you for shopping. The second (not sales revenue) – they are to get men interested in buying email is sent 72 hours after the willing to regularly buy your high- flowers from you (and also to sale and asks the customer margin products rather than just have them influenced by women for a rating, and to share this talk about it. to make purchases), you need on Facebook. The third email to entice them to buy the right Data analysis and modelling will is sent a week post-purchase ones. Again, you opt for an allow you to identify these top as a fun feedback survey that emotional strategy to heighten customers, who may make up includes a net promoter score the otherwise functional the top 1–5% of flowers2friends’ (NPS) question, which you will purchase of flowers. Rather customer base. Adding an use to target customers who than the typical listing of flowers NPS question will reveal an had issues versus those who and other products, you create attitudinal dimension of your were extremely satisfied and a series of ‘mood products’ – best customers who are willing happy to recommend/advocate various types of flowers that to recommend others. This is flowers2friends. reflect different moods the the form of advocacy that you customer might be in, or moods As we mentioned earlier, you will want to create – having your they would like to create with the will also map out an ongoing most profitable customers bring recipient. email communication calendar new customers to your business. and content targeting different Next, you ensure that these segments of customers. In Metrics products can be selected and Finally, you will need to set your particular, you should arrange paid for within four clicks. You campaign metrics to benchmark for an email to be sent out every also build a mobile app to make and map back to your business four months to people who it even easier for people who are objectives. The table below haven’t repurchased within that on the go to make purchases. outlines some of the key metrics period. The end result is a seamless, that flowers2friends could simple process that is a pleasant Advocate consider for each stage of the surprise for the target market. Some organisations believe CDJ. that simply by creating a great

36 The Ultimate Guide to Digital in a Data-driven World Strategy Campaign objective Metric Business objective Consider Acquire X new prospects Website traffic Sales revenue within first six months Traffic source: organic, search, referral, other within first six months (split by time periods to analyse traditional media Profit impact) Email sign-ups Facebook page likes App downloads Evaluate Acquire X new prospects Email open rate within first six months Click-through rate Social click-through rate Video views Facebook page engagement rate App users Buy Convert X% leads to sales Sales revenue Acquire X new customers Sales units (split by product type) within first six months Profit (split by product type) Profit (split by segment type) ROI (return on investment) Postcode/region Post-pur- Retain most profitable Website content rating, reviews, comments chase customers Email open rate (split by tenure and segment) (database growth, churn, Email click-through rate (split by tenure and inactive) segment) Repeat Facebook comments purchase rate Customer testimonial videos Advocate Active referrals Facebook page shares NPS Video shares New customer referrals

As you can see, marketers Create your executive reports or have switched their focus dashboards around these key from the traditional reach and measures and leave additional frequency metrics, the old one- measures and analysis to more way measures, to a deeper detailed reports. set of two-way engagement measures. Engagement relies on relevance, therefore the more targeted and relevant your offering is, the more likely you are to convert prospects into customers. At the same time, by setting clear metrics for each stage of your strategy and the CDJ, you will be able to clearly benchmark success and not drown in data.

The Ultimate Guide to Digital in a Data-driven World 37 Creating a shortlist for your next pitch is now even easier

Getting a shortlist of agencies suitable for your next The TrinityP3 Global Agency Register has the profiles of pitch can be difficult and time consuming. How do you literally thousands of media, creative, digital, technology assess their suitability and make sure you eliminate the and other disciplines. TrinityP3 consultants meet with conflicts without revealing to the marketplace you are the agencies on a regular basis and update the register to thinking of reviewing? ensure we have the most detailed and up to date profiles.

Then there is no definitive source of agency details. You can access this register when you are looking to Agency website are notoriously short on the information create a shortlist of agencies to invite to pitch for your you need. Industry directories are often out of date business or account. Simply contact TrinityP3 when you or simply a list of names and addresses. And asking are planning to go to market and we can work with you colleagues and peers is open to personal bias and to prepare the ideal shortlist to your needs. We can even anecdotal evidence. help you manage the pitch too if you like. What could be easier than that?

Go to trinityp3.com/agency-register for more info Listening to customers to remain relevant As mentioned in the previous Article, in order to create a truly customer-centric strategy, you will need to identify your best, most profitable customer profiles and understand what drives their behaviour. This Article looks at how to establish customer segmentation and explains the shift from simply identifying functional drivers to also understanding emotional drivers. Once we have dealt with establishing your customer segments and brand values, we will outline the importance of maintaining a clear persona and tone of voice, in order to differentiate your brand from those of your competitors.

The Ultimate Guide to Digital in a Data-driven World 39 frequency, monetary) model – organisations succeeding in this space are adding ‘length of relationship’ to create a more robust RFML model.

So before establishing your segmentation or evolving your current segmentation, it is important to heed these three observations: 1. Chaos – As mentioned previously, the digital ecosystem has made the In Establishing segmentation We also regularly see marketing and consumer- Have you ever heard this? segmentation models with 10–20 behaviour landscape a more We need more one-to-one overarching customer segments. chaotic and unpredictable one. This means that a large marketing and an econometric But while these look scientific and number of relatively static model to truly deepen our highly targeted, they often fail to and predictable customer effectively deliver on business customer segmentation. segments are ineffective in objectives. They simply aren’t today’s digital world. At TrinityP3, we hear this regularly practical, nor are they worthwhile 2. Multi-tasking – As the from clients evolving from brand- considering the effort required digital world diverges, based advertising to a more direct to apply them. As budgets get consumer behaviour is customer model as they enter the squeezed, many segments are migrating to multi-tasking. world of e-commerce and data- simply not showing the YOY Media consumption has driven digital marketing. But while (year-on-year) profit growth that rapidly changed from a one- new technology allows massive was predicted. form-at-a-time activity to a amounts of data to be crunched multiform one. According relatively easily and quickly, The fact is that the companies to eMarketer, in 2013, ‘the average US adult will this doesn’t necessarily mean that are achieving success spend over 5 hours per that you need to apply a pure with direct-to-customer digital day online, on non-voice marketing have simplified their one-to-one model – mobile activities or with other notwithstanding the fact that segmentation to 3–7 core digital media … compared many financial institutions segments with overarching to 4 hours and 31 minutes espouse talking at a one-to-one attributes. Even more watching television. Daily level based on financial holdings significantly, these segments are TV time will actually be down slightly … while and a customer’s predictive based on a buying life-cycle and digital media consumption propensity to purchase. life-stage segmentation rather will be up 15.8%’. than the old RFM (recency,

40 The Ultimate Guide to Digital in a Data-driven World eMarketer also reports will help you formulate a more Brand personas and that 57% of Americans use practical and effective customer archetypes smartphones, 67% use segmentation strategy. Let’s look at how to identify PCs, 75% use tablets and your brand persona using 77% use TVs while also It is also crucial to define your the archetypes conceived by using another device (source: brand persona. This process, Digital set to surpass TV). As Swiss psychologist Carl Jung. which is part of defining your our behaviour changes, so Jung believed that universal, too does our desire to be mission, vision and values (as mythic characters – archetypes segmented into one profile. discussed in Article 3), will help – reside within the collective Human beings are now you clarify the real benefit you unconsciousness of people the busily juggling their work, offer customers and who you world over. He decided there private lives, split parenting, ultimately want to appeal to. were 12 such archetypes, each sports, cultural activities, and social community and real community involvement, sometimes all within 24 hours!

3. Control – We have moved from the brand (or company) being in control of the distribution process to consumers controlling marketing activity and choosing their preferred form of information and delivery method. We have shifted from preset segments to an approach that allows customers to self-segment either via preference centres or the digital behaviour they exhibit.

In light of these three observations, you will need to develop a deeper understanding of the critical customer behaviours that you desire in order to deliver profit, as well as identify the variables that define a customer who exhibits specific behaviour. This

The Ultimate Guide to Digital in a Data-driven World 41 Some golden segmentation tips As mentioned previously, your segmentation should not be overcomplicated. Rather, you should look for significant distinguishing variables and factors. Here are 10 tips for developing a robust segmentation symbolising a basic human 9. The Outlaw – acts strategy: need, aspiration or motivation, disruptively to overturn what 1. Segments should be and capable of evoking deep isn’t working significantly different in terms of their defining emotions: 10. The Lover – intent on characteristics, otherwise 1. The Sage – uses becoming more and more you may as well have one intelligence and analysis to physically and emotionally segment! understand the world attractive, and on nurturing relationships with the people, 2. Segments should deliver 2. The Innocent – associated work and surroundings they significantly different with goodness, morality, love outcomes in terms of simplicity, nostalgia or profit and business value, childhood 11. The Jester – prioritises otherwise why bother to having a great time and 3. The Explorer – has a differentiate your marketing! lightening up the world desire to explore, and to At TrinityP3 we see this experience a better, more 12. The Regular Guy/Girl – time and time again. We authentic, more fulfilling life embraces ordinary, solid ask businesses with many virtues to be down-to-earth segments how these vary 4. The Ruler – exercises and approachable, to by profit, only to learn that power to create a there’s very little variance. prosperous, successful connect with others If you’re going to spend family or community Marketers can use one archetype your marketing budget on 5. The Creator – develops or a combination of archetypes to creating multiple versions of artistic control and skill to anchor their brands in territory communication (segmented marketing), then it stands realise a vision that connects with the people to reason that you should they want to target. Customer 6. The Caregiver – does expect an exponential return things for others segments and personas can to make this viable. then be matched back to the 7. The Magician – wields 3. Segments should clearly archetypes. This will help you transformative power to identify like-minded people create a common tone of voice make dreams come true using demographic factors for all your communications, such as gender, marital 8. The Hero – demonstrates which can then be tailored to status, family make-up, mastery in a way that income, employment status improves the world each segment.

42 The Ultimate Guide to Digital in a Data-driven World and ethnicity. The 2011 of the ‘global village’ and might decide to identify Australian Census revealed digital technology that your social advocates – that 26% of Australia’s enables greater access to those consumers who are population was born information, it has become highly active in creating overseas and a further 20% much easier to segment like- and sharing digital content had at least one overseas- minded ‘tribes’. through social media, blogs, born parent. Will this statistic platforms and networks. 7. Segments can be created influence how you group You might also identify using a key life event or customers? e-commerce buyers and trigger; for example, having prior purchase customers. 4. Alternatively, segments a baby, marriage, divorce, might clearly identify like- turning 50 etc. Be careful 10. Segments can also be minded attitudinal factors with life-stage segmentation, based on predictions – the such as lifestyle, interests, however. People who propensity to purchase and opinions and preferences. vary greatly in age may econometric models can be For example, a company have common beliefs and used to identify the potential that sells beauty products attitudes, in which case they for a group of customers might identify knowledge may ultimately be situated in to make an additional about beauty as a key the same segment. purchase. definer of segmentation in 8. Segments can be based order to increase product Listen and learn on the level of knowledge uptake as this knowledge To round out this Article, we want and understanding of your increases. to remind you that you need to brand and product. You 5. Segments can also might therefore choose to listen to your customers in order exhibit similar geographic segment based on life cycle to become a truly customer- characteristics. For example, and migrate your customers centric organisation that delivers a retailer might define through a knowledge-based effective digital marketing. purchasing characteristics approach that will impact on based on a customer’s the potential for purchase Digital media enables you to proximity to a store. These and repeat purchase. This assess consumer sentiment and may also be impacted by could also allow you to understanding on a scale never an analysis of competitor develop a media attribution before possible. Social media– store locations and potential model whereby you can overlaps and influence. associate different forms monitoring tools allow you to of media with the impact identify sentiment towards your Segments can be 6. they have on migrating a brand and competitors and other generationally driven or they customer to purchase, rather market themes, as well as track may transcend generations than simply looking at the conversation, pinpoint social and tap into unifying last clicked (used) media. emotional connections. influencers and analyse the Traditionally, life stage was 9. Segments can be based on effectiveness of your marketing a major factor in setting behavioural characteristics. activity. segmentation strategy. In today’s digital, socially However, with the rise connected world, you

The Ultimate Guide to Digital in a Data-driven World 43 Feedback also can be harnessed And here is an example of a six-segment approach based on immediately, in real time, so it is emotional needs versus functional needs, and high-value versus critical to understand what your low-value consumers: customers want from you before finalising your segmentation. Don’t be afraid to use surveys H and feedback forms to identify Satis ed shoppers consumer characteristics, Product enthusiasts (reward switch) (recognise) behaviours and emotional drivers – to pinpoint what makes them different to other customers. Armed with these insights, you Pro tability might decide there are only three Deal junkies Frugal families or four truly different segments. (disinvest/grow) (grow)

Here’s an example of a simplified L 4 four-segment approach based on L H level of profitability and loyalty (as Loyalty identified by the RFML model): Source: Booz Allen Hamilton

BASED ON (++) Emotional Needs QUALITATIVE RESEARCH ‘Aspirers’

‘Rescued’ • Ambiance ‘Spoiled’ Prestige/ Inclusion • Exclusivity status

• Respect/attention • Sophistication • Comfort • Highly Fashionable Lower Income Price and Higher Income Consumer Quality Consumer

• Core needs within ‘Constrained’ consideration act ‘Pragmatic’ Get (driven mostly by income) Rational Purchases Rational Purchases Right • Price Point Variety Shoppers • ‘Practical’ purchase • Assistance • Broad and • Don’t make a mistake differentiated variety • Convenience • ‘But well’ • Variety

(++) Functional Needs

44 The Ultimate Guide to Digital in a Data-driven World The new four-pillar structure for 4 developing digital ideas

OK, so you are now Traditionally, brand agencies 80% of its revenues in 2011 from well down the track developed the overarching traditional advertising campaigns to an effective digital brand ideas and left it to other and less than 20% from digital marketing strategy. disciplines, including the digital initiatives, to a 60/40 traditional/ Your business goals teams, to adapt the media digital split only 12 months later. are clear, your strategy work. However, this is no longer is set, your internal and effective as it ignores the two-way The agency landscape has also external resources are nature of digital channels and seen micro-agencies being set aligned, and you have the need for an ongoing journey up due to the inflexibility and clearly identified your of discovery rather than one-off, lack of speed-to-market that brand persona and one-way push communication. characterise the global ad agency approach to customer Consequently, traditional brand behemoths. Utilising open segmentation. Now and advertising agencies have innovation, crowdsourcing and you need to focus on started creating engaging digital co-creation, one or two people developing compelling campaigns (albeit not necessarily can create an agency without the digital marketing ideas with the deepest specialist skill rigid structures, processes and in this new collaborative set or strategic foundation). egos that can constrain great era. You must Goodby, Silverstein & Partners, ideas in the biggest firms. concentrate on bringing for example, went from collecting your strategy to life.

The Ultimate Guide to Digital in a Data-driven World 45 The 4D model of joining the pitch list, V&S messages are sticking. So to It simply is no longer good proactively created a brief and be successfully received, your enough just to brief an art director posted it to its thousands of creative idea must be focused, and a copywriter to dream up creatives and strategists, made simple and emotionally engaging. that Big Idea. In today’s digital, up of freelancers, moonlighters If you can tap into a human truth data-driven environment, ideas from other agencies, and brand and human emotions, you stand need to be generated in four and advertising enthusiasts a better chance of connecting. dimensions: who’d all opted to work in the To do this, let go of the creative 1. Creative new open model. director ego and the ‘one-way’ 2. Compelling story ‘Six hundred ideas flooded in’, mentality – TV ads are still 3. Technology claimed V&S CEO John Winsor. important, but they are now 4. Data science He apparently tweeted Harley- merely one part of the creative Davidson’s CMO to explain what jigsaw puzzle. Instead, become they were doing and the CMO open to collaboration and the replied, ‘Go for it’. V&S ended up two-way journey of creative presenting 65 ideas and won the discovery. business (source: The end of traditional

ad agencies). Compelling story The creative idea is just the start Let’s now examine more closely of the process – the goalposts, these new ways of working in the to use a sports analogy. You digital world. can’t stop at creating a one- Before we explore these dimensional advertisement and dimensions, here’s a case study Creative expect consumers to do the to whet your appetite. As you saw in the V&S example, rest. You must now take your creative ideation is changing. Victors and Spoils (V&S) is a customers on a journey of brand, However, while the process is relatively new Colorado-based product and service discovery. being transformed, it has never agency that was founded in You need to develop a story been more critical to have a 2009. It claims to be the first with different (and relevant) compelling creative idea that creative advertising agency built touchpoints throughout all the connects with your consumers. on crowdsourcing principles, different stages of the consumer This is because in our digital with a 7200-member community. life cycle. world, we have seen a huge In 2011, V&S was keen to win increase in the number of ads Content marketing is fast Harley-Davidson’s business and other communication that becoming the new advertising after hearing that the motorcycle we are receiving. There is more playground, with editors, manufacturer had split with ‘noise’ than ever before, which journalists and specialist writers its agency of three decades, means that fewer and fewer creating annual content calendars Carmichael Lynch. But instead

46 The Ultimate Guide to Digital in a Data-driven World and more-compelling stories Technology Needless to say, it is critical that than any agency writer could It’s a wild, confronting and you incorporate specialists within ever dream of. Companies such confusing world when it comes your business who can demystify as Story Worldwide, Redwood, to digital technology. And it’s and assess the external Edge Custom and King Content changing by the hour. To help specialists that you might utilise. are radically changing the agency those whose heads are spinning As we pointed out earlier in this landscape and turning marketers’ with all the new developments, guide, technology solutions need heads by presenting brands as Gartner (source: Gartner introduces to be assessed from a business- stories. These agencies also the Digital Marketing Transit Map) has value perspective, not from the allow user-generated content created a digital marketing transit viewpoint of ‘technology for to be integrated into the story map that nicely summarises technology’s sake’. In terms of – when consumers create their some of the more important creative ideation, that means own content, relating their own technologies, relationships and partnering your creative teams experiences and stories about providers. with a technologist who will your brand, they are buying build their understanding and into the business direction that challenge their thinking, helping you desire. them to bring ideas to life with relevant forms and touchpoints that will positively impact your target market and their brand experience (customer journey).

Data science Just as qualitative focus groups used to unearth consumer insights, now data is the new playing field. But a crucial point here is that it’s not the fact that you have lots of data that is exciting. ‘Big data’, as it has come to be known, is useless if it doesn’t help improve the customer experience, as well as Victors and Spoils is a relatively new point you towards better insights Colorado-based agency that was founded in 2009. and solutions.

It claims to be the first creative advertising agency Data insight-gathering is an art as built on crowdsourcing principles, with well as a science. Algorithms and a 7200-member community. models may not be the best way

The Ultimate Guide to Digital in a Data-driven World 47 to unearth golden trends. Focus There is a wide range of agency 4. Lead agency – A key strategic more on the questions you want models and options to choose service provider takes to ask and the hypotheses you from: responsibility for managing have, or on direct feedback from 1. Full service – The marketer and coordinating all service customers, and then mine your selects a single service providers for the brand. This data for proof or valid insights. provider to deliver all of their can also be structured to The key is to look for major trends marketing communications factor in all service providers and not, so to speak, to ‘major in requirements. from the one holding the minors’. Paths with minimal company. differences or impact are not 2. Customised agency – One worth following. You should be of many holding companies, 5. Strategic tier – This involves looking for the foremost trends either global or regional, taking a holistic approach within each of your segments provides from within their to the supplier portfolio, to bring to light real business portfolio of companies a providing access to the opportunities. customised package to fulfil required range of services in a the marketer’s needs. more manageable, structured Agency models approach. This can also be Now that you are equipped with 3. Holding company – The structured using all the service an understanding of the new holding company accesses providers from one holding 4D model, you can begin to prime resources across company. determine what resources you multiple companies to create require. Should you outsource a new virtual or real service- 6. Strategic group – to a general advertising or brand provider entity. This operates Representatives from the agency group with a myriad on a local, regional or global core strategic suppliers business entities, or should you basis. form a management focus on one or more specialist group to coordinate agencies? strategy development and

Ease of Management implementation. This can also single full service marketer agency be structured using all the holding co. Full Service single service providers from one agency agency full service agency

agency agency agency holding company. lead marketer agency marketer agency agency strategic marketer group Customised Agency agency agency Complexity agency Simplicity 7. Best of breed – The marketer agency agency Lead Agency holding co. identifies and selects the Strategic Group agency agency agency agency agency

agency

agency suppliers required to deliver marketer agency agency agency

agency agency marketer Holding Company the necessary capabilities agency agency

agency agency agency agency agency and services from the total

marketer agency agency agency Strategic Tier supplier population.

agency agency Best of Breed Flexibility

48 The Ultimate Guide to Digital in a Data-driven World These models are further defined We propose these steps for Potential models are then and reviewed in the TrinityP3 determining the right range compared against: SlideShare presentation Agency of suppliers and the best 1. the Requirements/Capabilities Supplier Roster / Portfolio structure for managing them: Matrix Structures. 1. Define and map the current supplier landscape – this 2. the future strategic In comparing these models, should encompass as much requirements of the brand the key question is: What is the as possible, including supplier 3. the resources available within best structure for delivering the categories and geography strategic and creative capabilities the marketing team and the required in the most cost- and 2. Undertake one-on-one organisation time-efficient manner, and which interviews with the current By referring to the Requirements/ results in the most effective brand/marketing teams to Capabilities Matrix and a preferred marketing outcome? determine their immediate supplier structural model, an and future requirements, and implementation plan can now be In answering this question, then weigh up current supplier developed for transforming your marketers often find themselves performance against these current practice. considering a trade-off between requirements the convenience of a single Collective inspiration agency supplier and the depth 3. Undertake one-on-one To sum up this Article, it is of expertise offered by a range interviews with the suppliers important to understand that the of specialist, best-of-breed to determine their capabilities, creative ideation process has service providers. Ultimately, ideally supported by case changed dramatically in recent the ‘best’ model will depend on studies and testimonials from times. Gone are the days of the strategic requirements of other agency clients one creative team solving all the marketers and the brand, your challenges, developing a the geographic scope of the From this information you TV ad concept and then going operation, and the resources and can develop a Requirements/ to lunch. Now it is imperative skills that are needed. Capabilities Matrix, which can that you develop two-way ideas be used to determine: that engage consumers. To • the shortfalls or gaps in current accomplish this, right from the supplier capabilities that point beginning, you have to utilise the to a need for new or different collective talents of creatives, suppliers story writers, technologists and • duplication in current supplier data scientists. services which can be rationalised

The Ultimate Guide to Digital in a Data-driven World 49 We turn the cloud into Technology is providing huge business opportunities for business and marketing to be more effective and efficient. And cloud based solutions solutions allows organization to be more collaborative and flexible. But these solutions come with their own challenges and issues in their implementation.

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50 The Ultimate Guide to Digital in a Data-driven World High Profile Enterprises

seo | content | social

High Profile Enterprises are The team at High Profile inbound marketing specialists. Enterprises, and especially the They use SEO, Content directors, have been instrumental Marketing and Social Media in helping transform TrinityP3 strategies to grow their clients into a world renowned marketing business results. They are also management consultancy. Without the only New Zealand agency to their strategy, hard work and be included in Content Marketing discipline the success we enjoy Institute’s (USA) recommended would still be a dream... agency listing. Darren Woolley, They have been working with Founder and CEO, TrinityP3 - Go to TrinityP3 on their inbound strategy Global leaders in Marketing www.youngmindsaustralia.com since 2011 and have been a Management Consulting for more information major contributor to TrinityP3’s rapid growth - doubling TrinityP3 revenue in three years. visit www.highprofileenterprises.com 52 The Ultimate Guide to Digital in a Data-driven World HE NE T V E R N

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Now that you have set your mission, vision, goals and objectives, along with the framework for collaboration, it’s time to flesh out the actual digital marketing strategy that will help you reach your objectives, allocate resources and budgets, and define the critical metrics for measuring success.

The Ultimate Guide to Digital in a Data-driven World 53 Living in beta and it may also present Crisis management Today’s marketing world, which challenges you have never seen When talking to today’s is largely driven by technology before – some good, some bad. management, we at TrinityP3 and software companies, can be So before we look at creating the still come across nervousness described as a beta-world. No content calendar, let’s examine about approaching social longer are technology products how to prepare a crisis plan and media. Well, that nervousness is coming off the production line escalation process to handle understandable. As we’ve said a after years of being perfected. negative social media and few times now, we no longer do Lead times to market have consumer backlash activity. our work on a traditional one- shortened dramatically, and therefore competitive advantage has diminished. This means that, as marketers, you will need to accept that your product will never be 100% ready – it will never satisfy 100% of the market 100% of the time. Your ‘production mentality’ now entails releasing your product into the market (or a market segment), allowing time to update and refine it, then releasing it into wider markets. To steer its way through this iterative process, your business will require more agile, flexible and collaborative business structures and processes, as discussed in Article 3.

Your marketing activity will also be subject to an iterative process. Linear brand stories can be created – hence the content calendar – but you need to be prepared for non-linear activity as well, especially in social media. Consumer reaction and engagement may open up completely new opportunities,

54 The Ultimate Guide to Digital in a Data-driven World way street. We now operate on sparking ongoing commentary, If negative commentary requires a two-way digital street, where then you will be facing a backlash you to make an important brands invite conversation and and a potential crisis – this is decision, then you may be facing exchange. That means you have what happened in the wake of the a crisis. Be careful, though, to expect the good, the bad and 2006 BP oil spill off Alaska. There to distinguish between a bad the ugly. This is especially so in is a fine line between weathering outcome and a crisis. A bad regards to social media, which is some heat and burying your head outcome is short-lived and can be why it is critical that you ‘listen’ to in the sand. openly addressed by a business digital conversations. You should before it becomes a full-blown invest in monitoring software We recommend looking at such crisis. A crisis requires a difficult as well as resources that allow commentary as a mirror of your decision to be made as it has you to listen during those key business actions. If you can hold already fundamentally affected periods of the week, or times of your head up high and say that your business practice. day, that impact the most on your the discussion is a storm in a business. teacup because your business practices are ethical, then you It is also important to train your most likely aren’t facing a crisis. resources to identify what is a Your social community will crisis (or potentially a crisis) as probably negate the naysayers, opposed to what is not a crisis. or you can state the facts in a The word ‘crisis’ is defined clearly worded response and in the Oxford Dictionary as: satisfactorily address the issue. noun (plural crises) However, if the commentary a time of intense difficulty or continues to escalate, targeting danger … a time when a difficult a specific business practice or or important decision must be action that your business has made … a crisis point undertaken, then you will have a big decision to make. This often Let’s explore this definition in happens when a brand covers relation to social media. up an issue or does not openly ‘A time of intense respond to the market within a difficulty or danger’ satisfactory period of time. In these circumstances, the brand One or two negative comments could be in danger. about your business may be ‘When a difficult or undesirable, but these are important decision unlikely to have a significant must be made’ impact on what you do. However, if the comments snowball,

The Ultimate Guide to Digital in a Data-driven World 55 ‘A crisis point’ There is a point at which The crisis plan negativity tips into crisis. This is There are generally seven key steps in a crisis plan. generally when the conversation Step 1: Internal alert is being communicated by a You will need an escalation policy that clearly identifies which large proportion of your customer executive managers – all the way up to the CEO – need to be alerted base, or it has transcended to the situation. This policy should also identify the level of monitoring geographic boundaries. When that will be required throughout a crisis. The important thing here is this happens, the commentary that you acknowledge at all levels of the business that there is indeed has the potential to significantly a crisis. impact your business. Social media is a great weapon in the Step 2: Rapid response fight to promote your brand, but Be prepared to respond rapidly using the channel where the negativity you have to realise that it can also was created. While you may not have a clear legal position to state, be a dangerous weapon in the nor a solution to offer, it is best practice to at least indicate that you are aware of the situation and are taking action to investigate the matter hands of those who want to bring and potentially address it. It is important to be open, honest and your business down. Information heartfelt in your response. You are dealing with human emotions here, travels rapidly nowadays, which so empathy is your ally. Many brands make the mistake of putting out means that messages can a full legal transcript that ultimately just seems cold and calculated. be beyond your control within This can often fuel a social media fire rather than put it out. minutes. Step 3: Be sorry – apologise If you are at the point of crisis, Often, the hardest decision to make is to say you’re sorry for creating you must implement your the negativity. But as the old saying goes, ‘It is sometimes better to crisis plan. lose a battle than lose the war’. The fastest way to be truly forgiven is to say that you’re sorry – just cast your mind back to Bill Clinton and Tiger Woods dealing with their infidelities, and to the Australian Government’s apology regarding the stolen generations. There is a point at which negativity tips Step 4: Be open and communicate into crisis. It is important to be proactive and offer answers to as many of the questions that you face as possible. Rather than reply to one This is generally when message at a time, you can create a ‘Frequently Asked Questions’ the conversation is section on your website or a set up a microsite that conveys your being communicated responses to the key questions that have been raised. It is easiest by a large proportion to direct people to these via your call centre and owned social media of your customer base, channels. It is also good practice to distribute this material to your or it has transcended permission-based database via email – if appropriate, you can also geographic boundaries. text the database a short alert message directing people to a web page.

56 The Ultimate Guide to Digital in a Data-driven World Your FAQs should do the their tensions rather than have a myriad channels following: opening up around your business. This will also 1. Acknowledge that the issue has arisen and provide a platform for identifying any subsequent explain how the company found out about it crises that may arise from the initial situation.

2. Clearly detail the observed facts Step 6: Take it offline 3. If possible, provide some of these facts or You need to know when to take significantly details in the form of imagery, rather than just negative commenters offline. Encourage such words – this can help to humanise the situation critics to contact you directly via email or by 4. Outline who has been alerted within your phone to have their questions answered. For this organisation based on your escalation plan, so action to be effective, you have to make sure your that people are aware of your reaction and the response team is well informed about all aspects specific actions that you are taking of the crisis.

5. Highlight any real or potential impacts – it is Step 7: Learn from your mistakes important to make people aware of all the The worst fallout from a crisis sometimes involves relevant scenarios and to assure them that you a company not learning from the disaster that will provide full details of what is happening as has occurred. It is critical to document all activity soon as possible during the crisis, to then deconstruct what 6. Give contact information to your customers so happened and how you responded, and finally to that they can contact key stakeholders (real honestly evaluate your actions after the emotion people) within the business – again, the aim is has subsided. to humanise the situation, and also to manage the negativity rather than go into hiding in the When doing your self-evaluation, ask yourself hope it will all go away these important questions and rate your crisis 7. Finally, outline the steps you will take to prevent management from 0–10 (with 0 being the worst a recurrence of the issue – you may decide to score and 10 being the best): update the wording of this statement when your • How well did your escalation plan work? final standing is confirmed • How well informed were customers? • How well informed were internal staff? Step 5: Release the pressure • How well did online activity integrate with It has become best practice to proactively create offline activity? an owned media property where customers can • How well did you handle the response? vent their feelings and opinions, Hopefully you won’t ever need to use a crisis and where you can respond if appropriate. The plan as outlined above, but it’s best to have thinking here is one in place should the worst happen. And if an that it is better to have a designated zone in emergency should arise, just remind yourself that which people can focus their anger and release every crisis has an end point.

The Ultimate Guide to Digital in a Data-driven World 57 The content calendar product and promotional activity quarter of activity that maps back Returning to the main focus of throughout the year, such as to quarterly business goals. Then this Article – the never-ending launches, promotional events split the months into weeks and campaign – you’ll need to and seasonal sales periods. allocate a subtheme to each develop a content calendar to This will form the initial structure 7-day period that maps back to frame your ongoing campaign of your content marketing the overall monthly theme. You activity. A content calendar not plan. However, you will need to will then need to create further only ensures that your messaging reassess all this activity from a subthemes for each channel is consistent, but also that you customer’s point of view to define (email, blog post, Facebook, are effectively focusing your time your content marketing activity. Twitter, Pinterest etc.) which and resources rather than being Doing some brainstorming from will extend down to the level of sidetracked by unproductive the customer’s perspective will communication frequency for activity that may not deliver on help you identify the key life that channel. your objectives and goals. cycles and need-states to focus on, which in turn will highlight For example, if you are creating There are four steps you need to the different levels of content daily status updates for Facebook, take to create a reliable content that need to be created within then you will have five or seven calendar. your calendar. These may be updates that map to the weekly based on months, seasons, subtheme. Alternatively, if you are Step 1: Organise your geography or needs – it would be creating one blog post per week, framework and content wise to collaborate with your key then you will map to the monthly marketing themes divisions in order to achieve full theme. According to a recent study by alignment across your business. Skyword, Content Marketing Gets Step 2: Create Social, only 46% of marketers To get started, simply create evergreen content have a formal content marketing a 12-month spreadsheet with Julie Fleischer, Director of Media strategy. The important first step an overarching theme for each & Consumer Engagement at is to collate your plan, themes month (or another defined period Kraft Foods Group, highlighted and desired content areas into of time). Map each month to a four types of content at the a framework which will form an eXditorial calendar. This can be

as simple as using a spreadsheet Overarching monthly theme with weekly, monthly and quarterly

sections, or you may decide to Weekly sub-themes use more collaborative enterprise tools such as Google Docs.

Daily channel In your marketing plan, you will activity have identified key periods of

58 The Ultimate Guide to Digital in a Data-driven World Do your agency fees and rates stack up to market?

How do you know if your agency is charging the right fees? The right rates? How do these rates stake up to what other similar advertisers of Market your size are paying? Are these rates too high? Australia Report type About this report Strategy and Creative The report provides an indication of how the rates Or even potentially too low? you've entered statistically compare with the median Prepared for rates for the same role against an industry benchmark Darren Woolley determined by your choice of agency and advertiser type.

Agency Rates within one standard deviation from the median Trinity P3 Pty Ltd sit in the green shaded zone, two to three standard For more than a decade TrinityP3 has been deviations in the orange zone and four or more standard Prepared on deviations in the red zone. 2014-08-08 collecting and benchmarking agency rates across The results are dependent on the suitability and the Report name accuracy of the data you submitted. Please take care in Agency 2 interpreting the results as this will be dependent on what almost all advertising categories and all agency you have provided. Benchmark Large Network Agency sizes and types. We have added these rates to a MNC Aligned

Your rate-11σ-10σ-9σ-8σ-7σ-6σ-5σ-4σ -3σ -2σ -1σ Benchmark median +1σ +2σ +3σ +4σ+5σ+6σ+10σ+11σ+7σ+8σ+9σ database, which you can access through the Ad Management CEO / MD per hour $539 +0.05 Account Management

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The Ultimate Guide to Digital in a Data-driven World 59 2013 Content Marketing World will act as a guide for your discussed in Article 4, is to conference in Cleveland, Ohio. activity, but it should allow you identify your best customers from She described the notion of to adapt your messaging (based an advocacy point of view and highly produced content that on newsworthy topics) in a way bring them into your business. is created according to brand that is still on-brand and relevant You can uncover them using values, executional content to your business goals, as well existing databases or survey your that may involve testing or low as being relevant to customers. customer base to augment your budgets, and perishable content This will show that your company data with an advocacy question that may be opportunistic and and brand are not only active but such as an NPS. This is a score impactful yet not have a lot of also current. ranging from 0–10 (again, with staying power (for example, 0 being the worst score and 10 biscuit manufacturer Oreo’s Step 4: Co-create being the best) based on one In this Article we have focused tweet during the blackout at the question that identifies whether a on ‘creating’ a content calendar 2013 Super Bowl). Finally, she customer is likely to recommend from your business’ point of view, discussed evergreen content, your brand or service to a friend. but it is important to also open up which is created to last. You should aim to identify all your communication world to co- customers who respond with a creation, which will increase your In regards to your content 9 or 10 and then invite them to integrity and spheres of influence. marketing activity, it is important create content for your business. You can harness industry to focus your budgets on creating You may decide to invite them influencers to create content for evergreen content which will onto a VIP product-development you and share it within their own add value to your customers’ and testing panel, or you may circles. You can also invite your experience of your brand. offer them opportunities to create best customers to submit content This content should be widely regular content around their which can then be easily shared linked and help drive traffic experiences with your brand. The through your social network, to your website. It will serve important factor here is that you as well as theirs. Customer to emphasise your level of are leveraging real-life customer advocacy is now frequently authority within a category or experiences. topic area – and ultimately within seen as more authoritative than the consumer’s mind. company content. If you have As we hinted at in Article 1, ever used TripAdvisor, then Google’s recent Hummingbird Step 3: Allow room for you’ll understand that consumer update to its search algorithm ‘newsworthy’ activity reviews and ratings can be far has increased the importance of You will also need some level more powerful than a branded socially connected content and of flexibility in order to react to website and company-pushed conversational keywords. So real-time market activity and information. the more real-life content you local news of the day that is can create, co-create and have relevant to your brand. The The key to approaching this socially shared, the better. content marketing framework strategically, as we briefly

60 The Ultimate Guide to Digital in a Data-driven World Put your agency remuneration calculations in the palm of your hand.

At $500 per hour, how much is the salary being paid to the person charged out at this rate? Or how many billable hours is reasonable to expect per annum? Agency compensation based on labour is a potential mathematical minefield, with overheads, profit margins and mark ups and billable hours clouding the calculation.

But now you can have all of the answers in the palm of you hand with the TrinityP3 Resource Rate Calculator App. The app is free to download and available for iPhone, iPad, Android and Windows mobile.

It takes you step-by-step through the calculation process so you are able to quickly and easily answer questions like “How much should I pay or charge for a particular role based on their agreed salary?”

To get your TrinityP3 Resource Rate Calculator App go to www.trinityp3.com/mobile_apps_for_business/ UNDERSTANDING THE ART AND SCIENCE OF PERFORMANCE DATA

Now that your content activity is aligned with your marketing activity and goals, it’s time to explore the data side of your strategy – specifically, the analysis of customer behaviour and engagement, optimisation, and measurement of the performance and impact of your digital marketing activity.

As you know, every digital action segments of prospects and has a common-sense flow to is measureable, and therefore customers it, and which meets a person’s as marketers, you can analyse expectations (intuitive). consumer behaviour until the 3. Quality conversion and cows come home. Considering optimisation – focusing on Now while this sounds the explosion of data that we converting quality leads and straightforward, UX is constantly highlighted earlier in this guide, customer behaviour, rather changing and should not it is critical to focus on the major than losing focus on high- be thought of tactically or impact areas rather than wade volume / low-conversion in isolation. New levels of through huge amounts of data activity technology, interactivity and within your organisation. With rich media continue to impact 4. ROI – measuring the that in mind, in this Article we will on a consumer’s experience, in financial return on your digital explore four fundamental areas: particular what people can do in marketing activity that maps 1. UX – ensuring there is a digital channels. So UX should to your business goals logical interrelationship be thought of strategically in the context of the role of your digital between digital channels (and User experience marketing and brand in your offline channels) as well as a UX quite simply is the experience consumer’s world. logical UX and journey within the user has when visiting your each channel digital property. Typically, you You also need to ensure that are aiming to quickly deliver 2. Engagement – identifying the you are constantly optimising relevant information in a format levels of engagement that your activity based on consumer that is easy to understand and you require from different outcomes. The essence of UX

62 The Ultimate Guide to Digital in a Data-driven World UNDERSTANDING THE ART AND SCIENCE OF PERFORMANCE DATA

is to create a user flow and at people. Remember that • Does the UX help build on the experience that is logical and people have a short attention relationship with the user or can take a user quickly and span and are always only one are areas confusing? seamlessly to their desired end click away from leaving your point (be it a known or unknown digital property. • Does the UX encourage point). We will provide more users to stay on your digital detail about CRO later in this Here’s a quick checklist of property? Article, keeping in mind that a questions to answer as you • Are the links on your page successful digital entity should move through the UX planning working, and are they directing be one that delivers on its and development stages: • What do your users need people to the right areas? business goals and builds on its and does your site meet such brand world experience. • What is the logical next step needs? in the consumer journey after By definition then, UX involves • What do your digital properties each piece of digital content is a focus on the user, which say to users about your brand consumed? means it is critical to take a world? customer-centric approach to • Does the UX successfully building your digital activity. This • Do you want to have leads onsell or upsell to your users? will ensure you keep thinking land on your main page, a about information, content and • Does the digital entity relevant content page or a the overall experience from a complement other channels? specifically designed landing user’s point of view rather than page? aimlessly pushing your content

The Ultimate Guide to Digital in a Data-driven World 63 Engagement example in Article 4). The overall • Content clicks = the total In developing your UX strategy, engagement rate can then be number of clicks on specific you will naturally identify the levels measured: total engagement as content. As above, this should of user or customer engagement a percentage of the total number also be assessed as the total that you want to achieve with your of people reached (users). number of unique people who digital marketing. As mentioned clicked on a specific piece of Here is a list of typical previously, digital today = content engagement metrics to consider interaction = engagement. for each channel: email, social • Pass-alongs = the total number However, the term ‘engagement’ media, website and apps. of times an email was forwarded is often bandied around and treated as something to tick off a Email • Unique pass-alongs = the total marketing list, rather than as the • Open rate = the total number of number of unique people who goal of digital marketing activity. people who opened your email forwarded an email as a percentage of the total who Engagement by definition invites received the email (this second Social media people to participate and take total refers to those to whom Not every company measures action. As actions increase, so the email was successfully the impact of its social media too does your data footprint. delivered rather than the total presence. In fact, only 25% So it is important to set up your number of emails deployed, of firms are making such engagement criteria and metrics which will include messages measurements down to individual in a way that focuses on the most that bounce back). This rate pieces of content. impactful measures. Remember should also be assessed in Don’t know that it is easy to drown in data, unsure terms of a unique open rate (the 11% Yes 25% statistics and models. The key is unique number of people who No 32% to unearth engagement metrics opened your email) Under development that map to your business goals. plannig 33%

• Click-through rate = the You should also consider number of people who clicked engagement in the context of as a percentage of those who a customer’s life cycle. For received the email (or you can Here are some key example, if someone is initially look at it as a percentage of measures you really should seeking information, then there those who opened the email). assess for your business: is no point assessing final sales- This rate should also be • Fans/followers/page likes = the conversion metrics. However, assessed in terms of a unique total number of people joining as the customer moves through click-through rate (the unique or signing up to your digital the sales cycle, different number of people who clicked community. You can analyse engagement and conversion on your email, not the total these by location, date, source points become more important number of all clicks in the email) or demographics (gender, age, (refer back to our flowers2friends language). While fans/followers/

64 The Ultimate Guide to Digital in a Data-driven World page likes are interesting, it is • Content pageviews per visit = often more relevant to analyse Average Post the number of pages viewed the ‘engaged fans’. For example, Engagement Rate and ‘consumed’ (downloaded, in Facebook, this refers to the watched, rated, commented on people who are ‘talking about’ = or reviewed) per visit. As with your page. The statistic appears Likes + Comments + time on-site, you need to be Shares on a given day next to your total page likes. careful with this metric. If your

However, be careful when using # of wall posts made by UX is poor, then a high number this, as it is only a seven-day page on a given day of pageviews may be misleading activity measure Total Fans on a given day • Time with content = the time • Content interactions (clicks/ spent on specific pages or with likes/comments/shares) = the specific content Website total number of actions within • Visits and unique visitors = your page. You can analyse • Content usage (single, repeat) ‘visits’ refers to the total number clicks on content, likes of = the total number of times a of page visits by all people within content, comments and the piece of content is consumed. a specified time period (some total number of times a piece of This can be analysed by single of whom may visit multiple content is shared. In addition, usage or repeat usage times). ‘Unique visitors’ refers you can also analyse day to the total number of unique • Screen flow / behaviour = of week and time of day for people visiting your website. the analysis of individual macro- and micro-interaction You can analyse your visitors pageviews, time on page, the trends. And you can assess by demographics (age, gender), bounce rate, site speed and the fan reach to identify what interests, location, new versus the page exit rate, along with percentage of your total fans returning visitors, frequency of the rates between pages. It is actually saw your content in the visitation, browser type, mobile important to look at the drop- first place device, source and the keyword off rates to see whether pages they used to find your site • Unique commenters = the should naturally be exited or total number of unique people whether there is a potential • Time on-site or visit duration = commenting, as opposed to the usability issue the average time a user spends total number of comments on your site. Be careful with • Monetisation conversion = the this metric as marketers often You can determine the average total number of conversions look to increase time on-site. post-engagement rate as (and associated dollar value) However, if you offer a fast UX based on your goals or follows (source: Which social and have created a simple end- e-commerce offering engagement metrics really matter?): goal process, then you may be (engaged users divided by looking to reduce average time reached users) × 100 on-site

The Ultimate Guide to Digital in a Data-driven World 65 Apps Quality conversion and a digital property. The property • Total users = the total number optimisation owner can then assess whether of people who downloaded As highlighted in our UX the actions are logical and your app discussion, we encourage efficient. Advanced eyetracking marketers to focus on quality techniques also can be used to • Returning users = the conversion and optimisation identify what people are looking at percentage of users who have rather than scattergun quantity on a computer screen, to assess returned more than once and irrelevance. Indeed, in the whether the content has been 2012 APAC Digital Marketing optimally presented or whether • Loyalty = daily active users Performance Dashboard report it’s difficult to find, interact with, divided by monthly active users released by the CMO Council navigate to, or act on. (DAUs/MAUs). This gives you a in partnership with Adobe, 50% basic measure of how much the Optimisation should be based on: of Australian marketers said average user is using the app • the optimal quality of the leads that social media optimisation, per month being funnelled through including boosting community growth and engagement, was a • Engagement index = a funnel • the conversion of the leads to priority that financial year. This of engagement goals that can your set goals be set up for in-app activity reinforces the importance of and which may include ‘Add the conversion metrics outlined • the business impact or ROI to cart’, ‘Proceed to checkout’, above, and more generally the ‘Buy’, ‘Write a review’, ‘Rate necessity of looking at how users Return on investment You are in business to generate the app’, ‘Share to social’, are moving through your digital business. Digital marketing ‘Tasks completed’, links clicked properties. is no different. While there or specific areas visited within This pathway analysis can be are numerous softer-sell the app optimised from a quantitative opportunities in digital media and • Average session duration = how and a qualitative point of view. social platforms, the name of the much time users are spending Digital marketers often focus on game is to grow your business. with your app quantitative metrics to identify Hence, all digital activity should poorly optimised pages, content be assessed in terms of a • In-app purchase = the total and behaviour flows. However, financial return. number of in-app purchases while this is important, it may (and their related monetary not uncover the reasons why This can easily be calculated value) people are dropping or bouncing based on total digital marketing out. Qualitative research can be spend, quantity of sales and • Lifetime value = the total conducted with focus groups sales value. However, when revenue a user generates with or closed-group user sessions, assessing media using this your app while still actively whereby people are set a approach, you often calculate using it number of tasks to achieve within the first or last clicked media (or

66 The Ultimate Guide to Digital in a Data-driven World traffic source) that generated To gauge the effectiveness that is commonly preferred for the sale. Why should the first of all your media, you should multi-touch attribution is the or last piece of digital media implement a media-attribution allocation of greater weight to get all the glory? This ignores model. This identifies the series the first and last channel and the roles played by other of touchpoints used before a then the apportioning of the media throughout a customer’s customer buys and attributes a remaining percentage among the journey, which may have portion of the sale back to that other options (source: A better way to heavily influenced a customer’s media. However, a common measure ROI). decision to buy. Perhaps the difficulty with media-attribution customer was swayed by a post modelling is knowing how much on Facebook, or a blog article, to attribute to each channel. or a banner ad that retargeted There are a variety of options them a few days ago. that can be used here, but one

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The Ultimate Guide to Digital in a Data-driven World 69 You’re almost 1. The level of internal training need to align your KPIs to their there. Plan in required (bottom-up and sales goals and targets to show top-down) how both work together. Front- place. Resources line sales teams are also a great in place. Digital 2. How to achieve a C-suite source of ongoing customer activity developed. buy-in insights, particularly regarding buying behaviour and multi- And measurement The level of internal training channel customer journeys. framework in place. required (bottom-up and

Now in walks the CEO top-down) IT department – Make sure your and asks, ‘Why haven’t IT team is fully across the activity Now that your digital plan is in you are planning. Typically, they we built a Pinterest place, you need to align your are briefed only for specific presence yet? And let’s internal resources. This will need digital marketing projects and start a new company to occur from the top down as platform requirements, but IT blog’. Hmmm. Where well as from the bottom up. ideally should have a complete did that come from? A word of warning here. Hopefully picture of what you are looking You didn’t even know you have been including key to achieve. They will then be able that your CEO was stakeholders and decision- to provide invaluable research aware of Pinterest. makers within your business and solutions for your digital throughout the planning stages. technology requirements. Article 1 Yes, that’s right. All your So in effect, what happens next Data team – Usually the data painstaking digital planning can won’t be a surprise. But it will still team sits within the IT division. easily be unravelled from the be critical to ‘train’ the relevant Make sure your key data analysts top if everyone isn’t aligned. It is divisions and stakeholders in and managers are up-to-speed essential to take all parts of your regards to your activity. business with you on your digital with your data-capture plans, journey. That includes making Here’s a handy checklist segmentation methodology and sure that the C-suite has bought of divisions and actions: ongoing measurement criteria, into it too. They obviously don’t Sales – Sales and marketing as you will be relying on them need to know all the meticulous each used to be completely to crunch the mass of data that detail, but they do need to know siloed. However, in many you collect. Remember that your overall plan and how it will organisations, the sales and success will rely on uncovering deliver more business. marketing functions are now the hidden opportunities that the uniting as one force. Either wealth of big data within your In the penultimate Article of way, make sure your key sales business provides. Often, this will our guide, we explore two managers – be they central, hinge on one number delivering critical aspects of educating national, state or regional – have one insight, not on a 100-page your business and brand world: bought into your plan. You will PowerPoint deck.

70 The Ultimate Guide to Digital in a Data-driven World Research – You will have culture model. This is vital from involved your research teams an internal staff and brand culture in the customer-insight planning point of view, as it will ultimately stage. Also make sure your impact on your desired customer ongoing customer-insight activity experience. Have you got a is fully aligned to the research universal brand archetype for manager’s plan. Digital media, your business that aligns with the in particular social networks, can business’ personality? How are be your best source of research, staff (existing and new recruits) customer insight and product/ delivering on the values and service learning. Be careful not proofpoints? Are there marketing to duplicate research activity. opportunities to leverage ongoing staff training programs? How are Contact centre – If you rely on a staff delivering on your content contact centre, be it in-house or marketing objectives? Hopefully outsourced, you will need to brief you’ve raised these questions the senior contact-centre teams with your HR manager and team on your overall plan, in addition to throughout your planning process giving individual project briefings. – and answered them. Your contact centre is also a key channel for customer insights Legal – Make sure your in-house that you should be utilising for legal counsel has had input planning and for optimising your into, and agreed to, the legal ongoing activity. stance on your digital marketing activity. In particular, legal must Product/purchasing – You also agree to your social media crisis- will be working with product management policy as well as and/or purchasing teams. As any financial obligations within we mentioned in Article 7, your your digital marketing activity; for content calendar will start with key example, loyalty rewards, service product releases and product- standards and pricing structures. based events and activity. Finance – Most importantly, Human resources (HR) – Ensure get buy-in from finance on your that HR are across the marketing measurement criteria and ROI ethos and that they have input into model. Finance has the CEO’s the overall plan. Your marketing ear, so you will need to be aligned plan should map to, and align with them. with, the internal HR plan and

The Ultimate Guide to Digital in a Data-driven World 71 How to achieve a C-suite meetings to explore the views, have likewise been adjusted to buy-in preconceptions and concerns of concentrate on a shorter-term It’s also essential to ensure that individual C-suite stakeholders. focus and decision-making. your digital marketing activity has Depending on the level of You should keep in mind that a C-suite buy-in. This may sound information required, it might be digital marketing, while offering daunting, but it’s unavoidable wise to follow each deep-dive quick-win tactical opportunities, if you are to help evolve your with another session for which is like no other part of business business in a digital world. After you bring in an SME (subject practice. It requires a great deal all, digital marketing will affect all matter expert) to reinforce your of thinking, planning, assessment areas of your business, not just ideas and solutions. The idea is and proper valuation. the touchpoints. And remember not to undermine your authority that this may be confronting but rather to reinforce your To summarise, the main theme for the C-suite too, as digital company allegiance and supplier here is to educate and align marketing is not generally one of independence. Alternatively, the key stakeholders within their areas of expertise. They will you could run a group session your business and brand world. be relying on you for information, with the C-suite and introduce a This means that you will need reality checks and business variety of SMEs to enlighten the to view your digital marketing assessments, as well as the executives. buy-in process through an identification of opportunities. internal corporate lens as well Finally, it is vital that you involve as through an external customer We recommend that you first the C-suite throughout your lens. By doing so, you will cover immerse the C-suite in digital planning process, as outlined all aspects of your business, marketing by conducting a half- in Articles 3 and 4. Remember as well as all the silos. This will day digital session just with that clarity of goals and buy-in ensure that you have a crystal- them. You should highlight key at each stage of the endeavour clear direction to head in, and digital areas and then identify will prevent surprises and battles also a groundswell of support which ones impact your business down the track. The key here is and business KPIs with which and should be considered to understand that the C-suite is to dive into digital marketing. for your marketing plan. This sceptical of marketing – this was will allow you to assess the confirmed by a study conducted knowledge levels (including by the Fournaise Group, the 2012 gaps in knowledge) and areas of Global Marketing Effectiveness interest of specific stakeholders. Program, in which 80% of the It will also allow you to pinpoint CEOs surveyed indicated that the areas that require a business they didn’t trust marketing. The planning focus. notion of competitive advantage also has been weakened in We then recommend that you terms of speed-to-market, so follow up the initial session business goals and activity with one-on-one deep-dive

72 The Ultimate Guide to Digital in a Data-driven World Diving into digital in a data-driven world

The Ultimate Guide to Digital in a Data-driven World 73 The never-ending campaign Well, that wasn’t so bad was it? explained the fact that you will Nine Articles of gold to help you succeed ‘always be on’ in digital channels. Therefore, you need to put in place in digital and data-driven marketing. Let’s a content-marketing framework quickly recap the essence of each Article for never-ending campaigning, of this guide. along with escalation processes and a crisis-management plan (in The rise and rise of digital Launch with a rock-solid case you require them). marketing in a data-driven foundation world highlighted the ever- argued for the need to throw Understanding the art and science of performance data changing nature of digital and away the old sequential marketing demystified the wealth of data data. Your mission will be to funnel when planning, and and arrays of metrics that can be harness the statistics and provided an example of how utilised for your plan. Remember opportunities by grounding them to consider customer journeys that you will need to identify the in business reality. As the digital and non-sequential cycles of most relevant, most potent ones world is changing every day, discovery. you will need to keep abreast of for your planning and ongoing- the major themes and assess Listening to customers to optimisation purposes, rather the impacts on your business. remain relevant than simply drowning in data. Ensure you have set up your key asserted the need to shift to a Educating your brand world information agents and sources customer-centric plan as opposed outlined how to ensure that key of wisdom. to relying on the outdated business stakeholders and the C-suite or product-centric approach. It provide input into, and ultimately How digital marketing fits into also explained the impact this will take ownership of, your digital and the marketing mix have on your segmentation and data plans. demystified digital channels and data profiling. demonstrated how digital fits into Your 100-day plan the marketing mix. It also posed a The new four-pillar structure Now before we unleash you, we big question – Should you create for developing digital ideas believe that to close the loop on a customer budget? introduced the development of this guide, we should sum it up in digital ideas in four dimensions: a straightforward 100-day plan. As How the best of the best creative, compelling story, we’re sure you will find, everyone approach digital marketing technology and data science. It challenged conventional business is now a digital marketing expert, advocated favouring this over the operation in silos. It then so you will need a structured traditional TV idea that is pushed highlighted the need for a new planning process in order to into various digital channels like a model of collaboration, ownership develop your own plan and stay square peg into a round hole. and knowledge sharing. on track.

74 The Ultimate Guide to Digital in a Data-driven World The table below serves as a framework for you to populate. The plan has been split into After defining action areas increments of five days (one and agreeing key deliverables, standard working week), with the most importantly put your final day marking the finalisation of the specified action. Also detailed plan into action. are the deliverables.

Day Week Action area Deliverable 1 1 Stakeholder identification List of team members, from C-suite through to key stakeholders in your business 5 1 World of digital Defined view of the world of digital and gaps where you may need further research or SMEs 10 2 Resources Identification of all internal resources and external suppliers to deliver on digital marketing activity 15 3 Data audit 1 Data audit that identifies all key touchpoints for capturing data 20 4 Current structures and Detail of the current, top-level state of play for marketing, digital and plans data activity. Identification of gaps and opportunities to explore in greater detail 25 5 Current processes Identification of current processes for delivering digital and data activity within your business 30 6 Data audit 2 Data audit identifying all data variables being utilised across the business 35 7 Internal immersion 1 Immersion of stakeholders and the C-suite in your helicopter view of the first 30 days 40 8 Process evolution Identification of the re-engineered collaboration construct to implement 45 9 Data mining Deep-dive into the current segmentation methodology, data variables and measures that are in place 50 10 Internal immersion 2 Subject matter presentations for C-suite and key stakeholders 55 11 Stakeholder interviews Deep-dives with key stakeholders to identify needs, hurdles and opportunities 60 12 Collaboration planning 1 Customer-centric planning workshops 65 13 Collaboration planning 2 Customer-centric planning workshops 70 14 Digital framework Alignment of the territory for your plan and framework 75 15 Content requirements Identification of content marketing requirements 80 16 Resource requirements Identification of resource requirements (internal and external) 85 17 Measurement criteria Identification of key measurement criteria and the impact on reporting frameworks 90 18 Internal immersion 3 Stakeholder immersion to refine hurdles/opportunities 95 19 Finalisation of plan Final stakeholder alignment 100 20 Implementation of plan Plan is put into action

The Ultimate Guide to Digital in a Data-driven World 75 Glossary CDJ – consumer decision journey CRM – customer relationship management CRO – conversion rate optimisation DAUs – daily active users DMCA – Digital Millennium Copyright Act FMCGs – fast-moving consumer goods FTA – free-to-air (TV) HR – human resources IPOs – initial public offerings KM – knowledge management KPIs – key performance indicators MAUs – monthly active users NFC – near field communication NPS – net promoter score PDAs – personal digital assistants PPC – pay-per-click (ads) RFM – recency, frequency, monetary (customer segmentation model) RFML –  recency, frequency, monetary, length of relationship (new customer segmentation model) ROI – return on investment SEA – search engine advertising SEO – search engine optimisation SERPs – search engine results pages SME – subject matter expert UX – user experience YOY – year-on-year (profit growth)

76 The Ultimate Guide to Digital in a Data-driven World About the Authors

About Anton Buchner Anton is one of Australian’s leading customer engagement consultants. With an eye for discovering greater marketing value and a love for listening to what customers are really saying about a brand. Anton has helped take global and local businesses including Microsoft, Nestlé, P&G, Gloria Jean’s, Foxtel and American Express amongst others to the next level.

About Mike Morgan Mike Morgan is a Founder and Director of High Profile Enterprises a New Anton Buchner Zealand based SEO consultancy. Mike has been working in collaboration with TrinityP3 on an integrated Search Engine Optimisation, Social Business and Content Marketing Strategy since early 2011.

About Darren Woolley Darren is called a Pitch Doctor, Negotiator, Problem Solver, Chair of the Australia Marketing Insrtatute, Founder & Global CEO of TrinityP3 - Strategic Marketing Management Consultants and a founding member of the Marketing FIRST Forum. He is also an Ex-scientist, Ex-Creative Director and a father of three. And in his spare time he sleeps. Mike Morgan

About TrinityP3 Marketing Management Consultants TrinityP3 is an independent strategic marketing management consultancy that assists marketers, advertisers and procurement with agency search & selection, agency engagement & alignment and agency monitoring & benchmarking to ensure maximum performance in efficiency and effectiveness of their advertising and marketing budgets. We work across Asia-Pacific including Australia, China and SE Asia with offices in Sydney, Melbourne, Hong Kong, Singapore and Auckland, and work globally through our M1F network. Darren Woolley

The Ultimate Guide to Digital in a Data-driven World 3 Think global. Act local. Do both with Marketing FIRST. Global advertisers know that while you can plan a global effectiveness, with a seamless unified offering – strategy, delivery is on a local market-by-market basis. be it through tools, processes as well as methodologies. So when you are managing your agency relationships, be that global, regional or local, you need to think global We are globally aligned on services, tools and processes – and act local. often mirroring our clients own business unit structures. Thus, as a united team we work efficiently and effectively The Marketing FIRST Forum is a global collective of to the benefit of our clients. strategic marketing management consultants – like- minded marketing professionals around the world. Now, more than ever, the complex and challenging issues facing the management of marketing Our offering is simple: assisting marketers on global communications can benefit from the way Marketing marketing excellence through local knowhow and FIRST Forum works.

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