Marketing Darwinism - by Paul Dunay
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Marketing Darwinism - by Paul Dunay
Behavioral Targeting, Business Intelligence, Conversion Optimization, Customer Experience, Enterprise 2.0, Interactive Marketing, Online Testing, Strategy

6 Tips for Turning Big Data into Great Customer Experiences

Highway Signpost "Big Data"

The phenomenon of big data certainly comes with big promise. After all, having terabytes of data on customer history and behavior is certainly better than trying to extrapolate from just a few data points.

For sure, online marketers who make sense of big data are going to be better able to build customer experiences around hard data and evidence rather than on hunches and guesswork. Instead of working on intuition, or crude analytics, you could use definitive evidence to design product pages that lure your best customers directly toward the shopping cart. You’d know exactly when to introduce your promotions and offers, and you’d know which promotion would work best with each particular customer. You could optimize your online interface, so that everything from search to registration to “Place Order” was virtually friction-free.

Getting to that point, however, requires first harnessing the data. It is no small feat to integrate huge amounts of data from a variety of sources. It is even trickier to figure out exactly how to translate that information into more visits and fuller shopping carts—in real time, customer by customer.

The good news is, there are technologies and tools that make it much easier to find the gold hidden in the data—and use it to refine your online marketing with laser precision. But there’s a mind-set at work here, too—a way of thinking about data that may involve some shifts in culture, depending on where your organization is right now.

Having worked with a number of online marketers who needed to tame big data, here are six steps to help you get there:

1) Think continuous evolution and iteration, not instantaneous.

Yes, big data can fundamentally shift the way you do business. But don’t try to change everything at once. It’s far more productive to adopt a “test and learn” philosophy. Two dozen incremental improvements in site design or wording or personalization can get you much further than trying to “innovate” in one fell swoop. We see this every day.

The most successful marketers are optimizing and refining all the time. They steadily move ahead, with a thousand baby steps, finding something to improve almost every day.

Note: This tactic may call for some adjustments to Web development processes. The most agile marketers can typically go “live” with tweaks, adjustments or tests in a matter of hours. (Slow marketers wait for the next release. Don’t do that.)

2) Align big data goals with your individual business goals.

Create separate initiatives or projects for each of your business goals, such as acquiring new customers, boosting conversion rates, improving customer loyalty or increasing lifetime customer value. This approach makes it much easier to determine what type of data to reel in, and exactly how to use it. Focus a team or a project on one objective at a time.

3) Sell the concept internally.

In some organizations, moving toward data-driven, evidence-based marketing may call for some extra communication to get everyone on board:

  • Encourage knowledge sharing, continual learning. Let everyone know what you found out.
  • Simplify everything. Present data and outcomes in easy-to-understand terms that managers can use to make decisions. Use pictures and graphs.
  • Communicate plans and achievements across the organization. Don’t hide results.

 4) Create one team for big data.

You will need to include marketing strategists, analytics gurus and Web developers. And especially creatives, who may sometimes feel threatened or hampered by having to work with hard evidence.

Then integrate with those responsible for e-commerce and site optimization. No silos allowed.

Find a committed, obsessed, dedicated executive to drive the process and act as a focus for future customer experience innovations.

5) Your own data is best. By far.

The real-time data that your website and CRM systems are gathering is far more valuable than anything you can obtain from an outside vendor. Because it’s about your own living, breathing customers, it is data that your competitors don’t have. Advantage, you.

Examples of the typical aggregate data you can capitalize on in a big data strategy:

  • Acquisition source
  • Geography
  • Interaction behavior
  • Transaction behavior
  • Recency of visits
  • Frequency of visits
  • Social attributes
  • Form inputs
  • Conversion rates
  • Conversion values by product or category interests
  • Channel/device

6) Aim for real-time optimization, customer by customer.

For most marketers, the goal should be to make in-session decisions as to what customers should see, what offers you recommend and what you say to them.

Craft a custom experience for each visitor, and they’ll buy more.

Do all of this, and they’ll be back.

This article was originally published on iMedia Connection

May 29, 2013by Paul Dunay
Hashtags, Twitter

Using Hashtags as Strategic Objects

hashtag strategy

Hashtags have been around for a while. At first it was just a neat way to call out a particular sentiment or be associated with a trending story on Twitter; they’ve now made it into our vernacular and expanded to other platforms including Instagram and Google+. With this evolution, brands are now leveraging the once lowly hashtag as a strategic tool to unify campaigns and connect with customers.

Companies like Volvo have taken steps to use specific branded hashtags like #SwedeSpeak and #MyFirstVolvo to interact with specific consumers about particular topics. By doing so and educating their audience about how to use them and what to expect, they have been successful in transforming these conversations into engagement tools for existing consumers while driving awareness of that usually positive relationship to those consumers’ networks.

In order to be successful with your hashtag strategy, leaders in the space recommend several best practices to follow:

  1. Limit the number of hashtags you use and keep it simple. Too many hashtags make it difficult to track and are confusing to consumers.
  2. Make them mean something. Figure out what you are going to focus on and then consistently leverage those across numerous campaigns.
  3. Avoid open-ended questions. By not limiting the response to a specific type, not only are you losing relevancy, but you are opening a can of worms for a hashtag hijacking.
  4. Be realistic. Make sure you have permission from your consumers to claim that hashtag. Blackberry’s #BeBold campaign, complete with super heroes, was a #Fail that opened it up to ridicule that quickly expanded into a chance to mock their slip into irrelevance.
  5. Get organized. Use dashboards structured by hashtag or more easily monitor and manage your campaigns.

Innovators, such as American Express, have pushed the envelope even further. Through the newest phase in their partnership with Twitter AMEX has created hashtag-enabled commerce, allowing joint AMEX-Twitter members who connect their accounts the ability to pay for a new Kindle Fire just by sending #BuyKindleFireHD.

Other companies are also creating new ways to leverage this supercharged special character. The mobile marketing platform smartsy, for example, is using their engagement marketing features and visual recognition functionality to help transform products and campaign assets into #objects, which act as focal points for easily creating and distributing user generated content within the platform as well as across channels, including social media.

As you can see hashtags have come a long way since Jack Dorsey launched Twitter six years ago. I’m excited to see what the next six years will bring. #Predictions, anyone?

February 27, 2013by Paul Dunay
Advertising, Applications, Branding, Content Marketing, Customer Experience, Facebook, Inbound Marketing, Listening, Personalization, Social Media

Don’t Blame Facebook: 10 Reasons Low Conversion Rates Are YOUR Fault

So, you’re one of the seemingly millions of brands out there using Facebook to lure people over to your website. Chances are you’ve viewed recent reports about Facebook’s surprisingly low activity rates (“Only 1% of people who like a Facebook page ever go back to that page”) as vindication of what you’ve always suspected: marketing on Facebook just doesn’t work.

You’re not alone. The following are the 10 top reasons brands fail to tap into the real potential of Facebook. (Hint: zero of them are Facebook’s fault.)

1.     Failure to make a great first impression

Most fans won’t ever come back to a brand’s page unless they feel they have good reason to. This is not totally different from how they interact with their friends’ pages when you think about it. Unless the new friend has great content to go back to, there’s not much of a reason to go directly to their page very often, if at all.

2.     Poor text and visuals

A successful Facebook page must have concise, engaging text that’s relevant to both the brand and the fans’ interests. Overly long, humdrum copy will fail to capture fans’ attention. Crisp, eye-catching, high-resolution visuals (photos, videos, illustrations) that clearly speak to those things visitors like about the brand in the first place will draw them in for more.

3.     Stagnant page content

If fans stop by more than once only to find the same old Facebook page, they might assume the page is outdated — or worse, abandoned. It’s important for marketers to give fans new ways to connect and advance their relationship with the brand or product being promoted. Keep to a consistent schedule with fresh content and ever-improving offers, and be sure to test what works with your audience.

4.     Inconsistent or lazy branding

If there’s no stylistic connection between a company’s Facebook page and its main website, visitors may not trust that the page is legit. Brands often spend a disproportionate amount of time, money and effort on website branding efforts, in comparison to the relative pittance reserved for complementary Facebook efforts. Keep branding consistent across all channels, so that visitors know exactly where they’re going and whom they’re dealing with.

5.     Confusing calls to action

Once fans arrive at a brand’s Facebook page, they should have a clear idea of what to do and what’s available to them. Offers and calls-to-action should be prominently displayed, and any associated instructions should be easy to follow. Be aware, however, that Facebook has guidelines concerning calls-to-actions, offers and anything else resembling blatant advertising on company pages, so it’s important to make sure you’re current on usage guidelines.

6.     Too many clicks

People are impatient—and want immediate gratification—especially on Facebook. If you have to use forms to give visitors access to the content they want, they’re likely to click away. Make sure the desired destination can be reached in the fewest amount of clicks possible. Also, if you have to use a form to capture data, keep it short and simple.

7.     Mysterious visitors

All fans are not alike – so why treat them all the same? With the right tools, marketers can compile profiles using Facebook data authorized by the user (age, gender, location, name, relationship status, etc.) as well as previous site behaviors, to get a better sense of the type of people they’re reaching on Facebook. Those profiles can then be used to present offers, content and/or experiences that are the most effective in attracting fans, “Likes”, website traffic or any other relevant conversion metrics.

8.     Preconceived notions

As excited as marketers may get about shiny new objects—especially social media objects—they‘re often reluctant to spend the time and money to truly develop new efforts for them. Why not step out of your comfort zone and try to develop specific content based on customer segments? An even crazier idea—consider developing Facebook-specific campaigns rather than repurposing ones created with a different platform in mind.

9.     Ineffective plugin use

If Facebook plugins aren’t integrated into the main company website, a great deal of potential traffic—and revenue—is being lost. Plugin tools turn consumers into brand advocates, making it easy to share site information with Facebook friends. Let visitors like or share website pages back to their Facebook profile with one click. Better yet, provide personalized suggestions to your website visitors, based on what other people are sharing as well as their own click behavior.

10.   Sticking to stand-alone metrics

Getting just one side of the story isn’t enough. Marketing programs need to be set up so that Facebook stats and user profiles are fully integrated with all other online and offline ecommerce channels’ information to create rich, detailed and fully comprehensive user profiles. Profile reports should be updated on a regular basis, so the most recent user information is always available.

With the proper attention to detail and willingness to dedicate the same energy to Facebook efforts as they do to other initiatives, online marketers will no doubt find that their 1% conversion rate is something they can control—and that it’s not Facebook’s fault their customers aren’t more engaged.

January 23, 2013by Paul Dunay
Advertising, Branding, Social Media

Social Media Gone Wrong … and How to Avoid Making the Same Mistakes

We’re all human. We all make mistakes. However, when your mistake involves social media, it’s not that easy to make amends. Take, for example, the case of the (now) infamous KitchenAid tweet about President Obama’s dead grandmother.

If you somehow missed it, it went a little something like this: During the first presidential debate between President Obama and Mitt Romney, Obama credited his tenacious grandmother who helped raise him and passed away three days before he was elected president.

Moments later, @KitchenAidUSA, the company’s official Twitter account, sent this:

“Obamas gma even knew it was going 2 b bad! She died 3 days b4 he became president.” The insensitive tweet not only went to the company’s 25,000 followers, but also included a hashtag to make it a part of NBC News’ social debate conversation. KitchenAid hastily deleted the tweet, but the damage was done. Even after the head of the KitchenAid brand, Cynthia Soledad, offered an apology, many still expressed outrage and announced boycotts of the brand.

Of course, KitchenAid isn’t the only company who has fallen victim to social media gone bad. There is a plethora of marketing campaigns to choose from that all ended with disastrous results. Here are a couple listed below along with the lessons we can learn from each of them.

Toyota Camry

During last football season’s Superbowl, Toyota launched a major Twitter campaign meant to promote the Camry. Creating a number of Twitter accounts labeled @CamryEffect1 through @CamryEffect9, Toyota intended to engage users by directly tweeting them. However, this had the opposite effect: users accused Toyota of bombarding and spamming them with unsolicited messages. To their credit, Toyota quickly suspended the accounts and issued an apology, but by then it was too late.

Lesson learned: Not only is mass-spamming your social media audience an awful campaign plan, but in order to truly engage your community, tweets should be interesting and engaging. In the case of the Camry, it came across as nothing more than self-serving spam.

Qantas Airlines

Last year, Qantas faced huge backlash over a very poorly timed Twitter competition, inviting followers to win a pair of first class pajamas by tweeting their idea of a luxury experience. The promotion was arguably already in poor taste given the global economic downturn, but was also acutely insensitive given that at the time of the contest, the airline’s labor relations was at a standoff with the unions representing its pilots, engineers, baggage handlers and caterers. Qantas had grounded their entire domestic and international fleet, leaving thousands of passengers stranded. The competition turned into an opportunity for angry customers to share their gripes and jokes at the company’s expense.

Lesson Learned: Timing is everything.

Durex South Africa

Durex caused quite a controversy when they sent out this terrible tweet in South Africa: “Why did God give men penises? So they’d have at least one way to shut a woman up. #DurexJoke” The tweet certainly made an impression with tweeters, bloggers, and mainstream media picking up the story with the sole intent of trashing the brand. Durex later issued an apology of the offensive, misogynist tweet which was apparently sent out by their PR company.

Lesson Learned: Just because you have a hashtag joke does not mean anything goes, and sex does NOT always sell.

Now, for a couple examples of social media done right:

Canlis

A couple years ago, Canlis, a restaurant in Seattle widely regarded as the best in the city, celebrated its 60th birthday, and to mark the occasion, it ran a Facebook and Twitter contest where the winners were able to dine at 1950’s prices. From a restaurant where the average entree can set you back over $60, that’s a pretty good deal. Brothers (and founders) Mark and Brian Canlis personally signed 50 restaurant menus from 1950 and hid them around the Greater Seattle area daily for the 50 days leading up the Canlis’ 60th birthday. The “scavenger hunt” started anew every day, as the restaurant posts a clue to the menu’s whereabouts, via their Twitter and Facebook accounts. The first person to unravel the clue and find the hidden menu won the dinner.

This was a genius social media marketing campaign and I love the creativity that went into it. The contest duration was long enough to give it lasting interest and participation, it encouraged repeat visitors to their social media sites, the prize was worth playing for, and there were MANY winners.

Proctor & Gamble

We all know the infamous ‘Old Spice’ viral video campaign by now (which earned itself over 43 million views on YouTube), but what you may not have heard of is the follow up to the video. Proctor and Gamble’s brand agency, Wieden + Kennedy, put Isaiah Mustafa on the Web and invited fans to use Twitter, Facebook and other social media outlets to pose questions that he quickly answered. The questions poured in–even celebrities asked a few–and Mustafa responded in more than 180 Web videos shot quickly over a few days. The real-time effort was the first of its kind, but it won’t be the last.

QuestionPro

Lastly, let’s take a look at a social media campaign going on right now that you can take part in: QuestionPro, a provider of online survey software, is currently running a contest on their Facebook page, asking users to ‘burn their comment cards’. The idea behind the contest is that the era of paper feedback is dead, and that hospitality needs to move to a more digital solution, such as QR codes, digital feedback surveys, and iPad and tablet based research tools.

This campaign works for a few reasons — it’s funny without being offensive, it relates to their product strongly enough to send a message but without going overboard, and most importantly, it’s easy to enter. Yes, there are lots of examples of super-innovative contests that attract plenty of attention, but there are even more examples of innovative contests that flop because they are too complicated for the user.

Head over to the contest page to check it out.

October 31, 2012by Paul Dunay
Commerce, Customer, Facebook

10 Reasons Brands Fail to Convert Facebook Fans into Paying Customers

According to HubSpot, ninety three percent of adults on the Internet are on Facebook, yet only 1% of a brand’s Facebook fans will ever make their way to the company’s main website. Many blame their low conversion rates on Facebook: “Facebook ads don’t work.” “I have a ton of likes but it doesn’t mean anything because I’m not making money.” “I keep posting things but I’m not getting many views.” Few, however, look to their own efforts for answers. And even fewer put a strategy in place to convert this highly active audience into highly engaged website visitors.

Upon learning these statistics, we did a little—actually, a lot—of digging to find out who/what is actually to blame for these disproportionately low conversion rates. We know, after all, that Facebook users are a highly active and engaged audience. So, why aren’t brands able to capitalize on that? It simply can’t be Facebook’s fault…

Below are the 10 most common reasons brands aren’t getting enough love from Facebook users, along with recommendations for better using the tools at their disposal. (In order to determine which methods work best, try them out and then test each one using the same online testing methods you use to measure your brand website’s effectiveness.)

1. Failure to Get Past the First Step

Most fans won’t ever come back to a brand’s page unless they feel they have good reason to. This is not totally different from how they interact with their friends’ pages when you think about it. Unless the new friend has great content to go back to, there’s not much of a reason to go directly to their page very often, if at all.

What does this mean for marketers? It means they’ve got to use that first “viewing” wisely, offering immediate and easy ways to engage visitors further upfront:

  • Email list
  • Blog subscription
  • Gift download

Test: The various methods listed above to determine which ones actually have a positive impact on conversion rates.

2. Poor Text and Visuals

A successful Facebook page must have concise, engaging text that’s relevant to both the brand and the fans’ interests. Overly long, humdrum copy will fail to capture fans’ attention. Crisp, eye-catching, hi-resolution visuals (photos, videos, illustrations) that clearly speak to those things visitors like about the brand in the first place, will draw them in for more.

Test: Copy length and content; image quality and subject matter.

3. Stagnant Page Content

If fans stop by more than once only to find the same old Facebook page, they might assume the page is outdated—or worse, abandoned. It’s important for marketers to give fans new ways to connect and advance their relationship with the brand or product being promoted. Keep to a consistent schedule with fresh content and ever-improving offers, using the results from the testing mentioned above.

Test: Update frequency.

4. Inconsistent or Sloppy Branding

If there’s no stylistic connection between a company’s Facebook page and its main website, visitors may not trust that the page is legit. Brands often spend a disproportionate amount of time, money and effort on website branding efforts, in comparison to the relative pittance reserved for complementary Facebook efforts. Keep branding consistent across all channels, so that visitors know exactly where they’re going and whom they’re dealing with.

Test: logo variations, cover photo options, and other brand elements.

5. Confused Calls-to-Action

Once fans arrive at a brand’s Facebook page, they should have a clear idea of what to do and what’s available to them. Offers and calls-to-action should be prominently displayed, and any associated instructions should be easy to follow. Be aware, however, that Facebook has guidelines concerning calls-to-actions, offers and anything else resembling blatant advertising on company pages, so it’s important to make sure you’re current on usage guidelines.

Test: Calls-to-Action and offer variations—in terms of design style, content, placement, and ease-of-use, to see which combos bring the most fans.

6. Too Many Clicks

People are impatient—especially on the Internet—and want immediate gratification. If visitors have to jump through too many hoops or fill out too many forms in order to get what they want, they’re likely to click away. Make sure the desired destination can be reached in the fewest amount of clicks possible. Also, if there are forms to fill out, keep them short and simple.

Test: length of forms, number of required fields, number of clicks necessary to get to target content.

7. Mystery Visitors

One of the most important aspects of Facebook marketing is finding out who’s using it to access the company website. Anything in a fan’s Facebook profile—age, gender, location, name, relationship status, “Likes,” and more—can be captured, depending on the level of authorization granted by that fan. With the right tools, marketers can compile user profiles using that authorized data as well as previous site behaviors, to get a better sense of the users they’re reaching on Facebook. Those profiles can then be tested to see what offers, content and/or experiences are most effective in attracting fans, “Likes”, website traffic or any other relevant conversion metric—as well as applied to other marketing efforts.

8. Preconceived Notions

As excited as marketers may get about shiny new objects—especially social media objects—they‘re often reluctant to spend money on developing new efforts for them. Dipping your toes in too slowly, however, can be ineffective. Once you’ve decided to “do” Facebook, you may as well do it right. Step out of your comfort zone and try new efforts for specific customer segments. An even crazier idea—consider developing Facebook-specific campaigns rather than repurposing ones created with a different platform in mind.

Test: Campaign effectiveness in terms of user receptivity by various demographics—age, location, interests—to gauge interest from potential untapped markets.

9. Ineffective Plugin Use

If Facebook plugins aren’t integrated into the main company site, a great deal of potential traffic—and revenue—is being lost. Plugin tools turn consumers into brand advocates, making it easy to share site information with Facebook friends. Some examples of plugins are:

  • “Like” button: lets visitors share main site pages back to their Facebook profile with one click.
  • “Like” box: enables visitors to “Like” the company’s Facebook page and directly view its stream from the brand site.
  • Recommendations: gives personalized suggestions for pages on the main site visitors might like, based on what other people are sharing.
  • Comment box: allows comments on any site content, such as a webpage, article, or photo. The visitor can share their comment on Facebook by posting it to their wall and their friends’ streams.

Test: Plugin types and the effectiveness of each for meeting your program goals.

10. Sticking to Stand-alone Metrics

Getting just one side of the story isn’t enough. Marketing programs need to be set up so that Facebook stats and user profiles are fully integrated with all other online and offline shopping channel information to create rich, detailed, and fully comprehensive user profiles. Profile reports should be updated on a regular basis, so the most recent user information is always available.

With the proper attention to detail and willingness to dedicate the same energy to Facebook efforts as they do to other initiatives, online marketers will no doubt find that their 1% conversion rate is something they can control. And that it’s not Facebook’s fault their customers aren’t more engaged.

October 3, 2012by Paul Dunay
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Welcome to my blog, my name is Paul Dunay and I lead Red Hat's Financial Services Marketing team Globally, I am also a Certified Professional Coach, Author and Award-Winning B2B Marketing Expert. Any views expressed are my own.

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