Behavioural Marketing in a Multi Channel World
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Presented at the World Travel Market 2013 Speaker: Will Schnabel, MD EMEA Behavioural Marketing & how to get your customers to love you The World of Marketing is now more multi-channel dependent than ever. Find out how to better integrate your email, web, mobile and social media marketing to deliver outstanding ROI. And how a behavioural marketing approach can drive personalised, multi-channel experiences for your customers that ultimately means they'll love you to death. This presentation looks at Behavioural Marketing and the simple journey you can follow to deliver a more personalised experience for your customers: • How to capture the things people do when they interact with your company across all channels (email, web, mobile, social, etc). • How to combine that data with what you already know about that person – the profile & preferences; or past behaviours. • The rules to apply to the data • How to use the rules to generate a personalised interaction and a multi–channel, multi-step relationship that delivers the most relevant customer experience for the individual.
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Behavioural Marketing in a Multi Channel World
- 1. Behavioral Marketing. How to Get Your Customers to Love You Silverpop World Travel Market, London 6th November, 2013. #WTM13
- 2. Silverpop is… the unified digital marketing platform that delivers superior return on relationship powered by the deepest insight into the way each customer behaves. #WTM13
- 3. 5,200+ Brands & 16,000+ Marketers Powered by Silverpop #WTM13
- 5. Digital Marketing Channel Explosion
- 6. As buyers, we all began to change The way we communicate The way we learn and buy #WTM13
- 7. Marketing didn’t really change we took on more and ran faster More Channels More Content More Campaigns More Messages Declining Results
- 8. #WTM13
- 10. So customers are beginning to tune out #WTM13
- 11. Buyers are looking for Personalized Experiences VS
- 12. Help!
- 13. Marketing practice is ten years behind marketing vision. #WTM13
- 14. Behavioral Marketing. Let me introduce you to Bob. #WTM13
- 15. #WTM13
- 16. #WTM13
- 17. #WTM13
- 18. This is “Bob”, the owner of “Primrose Deli” #WTM13
- 19. Three weird facts 1 2 Bob = Waitrose x 5 Bob 3 Avg spend per visit = + 30-200% > planned I love it Waitrose #WTM13
- 20. Marketing needs to get more like Bob PROFIT SIMILARITY TO BOB #WTM13
- 22. We’re on the way BROADCAST TARGETING SEGMENTING PERSONALIZING #WTM13
- 23. The Segmented Audience Approach Female Homeowner Male 30-40 Female Homeowner College Educated With kids Female Homeowner College Educated With kids Female Homeowner College Educated With kids Male 30-40 Female Homeowner Male 30-40 Male 30-40 Female Homeowner College Educated With kids Male 30-40 Female Homeowner College Educated With kids Male 30-40 Male 30-40 College Educated With kids #WTM13
- 24. Problem: The Segmented Audience approach is failing 3% Relevant 97% Irrelevant #WTM13
- 25. Extending traditional segmentation 1 By Profile 2 By Preference 3 By Now? #WTM13
- 27. The goal: segments of one #WTM13
- 28. The biggest win: by behavior #WTM13
- 29. Data that can be used for Segmentation Demographics • Age • Gender • Nearest • • • • • Airport/station Travel preferences Buy for self/as a gift Anniversary Birthday etc Email behavior Relational data • Opened email • Did not open • Booking/ Travel • Cart • Voucher • • • • • • • • email • Clicked on link in email • Bounced • No mailing activity • • history Survey results Loyalty points Destination searches Abandoned carts etc Web behavior • • • • abandoned Trips searched Form completed Information downloaded Video viewed Custom event Recommendations ‘Likes’ Off-line behavior • • • redemption Hotel purchase Event attendance Call centre activity Information request etc #WTM13
- 30. Noise #WTM13
- 32. Getting on the road to behavioral marketing #WTM13
- 33. A really simple idea Capture action Apply rules Generate the best, interaction #WTM13
- 34. A really simple idea, refined Capture behavior Combine with existing knowledge Apply rules Generate Measure the best, most personalized series of interactions #WTM13
- 35. A really simple idea, refined and turbo-charged Capture behavior from any channel Combine Apply rules with existing knowledge from profiles, preferences and past actions across all channels Generate the best, most personalized series of interactions Measure and store learning to inform rules And most relevant track across all channels #WTM13
- 37. The 5 big questions 1 Which behaviors matter most? 2 How do we capture and learn from them? 3 4 5 How do we How to How do we turn this insight do it at scale? do it across into action? all channels? #WTM13
- 39. Which behaviors to track? Demographics • • • • • • Age Gender Nearest airport Travel preferences Buy for self/as a gift etc Email behavior • Opened email • Did not open email • Clicked on link in email • Bounced • No mailing activity Relational data • • • • • • Booking history Survey results Loyalty points Trip searches Abandoned carts etc Web behavior • • • • • • • • Cart abandoned Product searched Form completed File downloaded Video viewed Custom event ‘Likes’ Recommendations Off-line behavior • • • • • • Voucher redemption Store purchase Event attendance Call centre activity Catalogue request etc #WTM13
- 40. How do you capture and learn? 2 #WTM13
- 42. Single Identity The marketing database must establish a single view of a customer across platforms and devices #WTM13
- 43. How to turn insight into action? 3 #WTM13
- 45. How to do it at scale? 4 #WTM13
- 46. #WTM13
- 47. How do we do it across all channels? 5 #WTM13
- 48. Input channels – Interactions Output Channels – Communications Silverpop Input Channels Email Email Web site Social Web site SMS Location SMS Social External Input Channels Direct Mail Travel Site store Store EPOS Call Call centre Mail order #WTM13
- 50. The right platform Email High volume sends Rapid throughput Deliverability services Marketing Automation Web tracking Contact scoring Contact nurture programmes Automated behavioural routing Alerts #WTM13
- 51. Automate something! • • • • • • • • • • 1. Welcome/Onboarding 2. Browse Abandonment 3. Booking/Cart Abandonment 4. Recommendation 5. Travel Review Request 6. Happy Birthday 7. Replenishment/Re-order 8. Cross Sell 9. Travel/Purchase Anniversary 10. Re-engagement #dmu13 #WTM13
- 53. #WTM13
- 54. Start on the Road to Behavioral Marketing STA Travel: Moving towards a segment of one http://vimeo/69406200 Or email us at emeamarketing@silverpop.com #WTM13
Notes de l'éditeur
- Behavioural Marketing & how to get your customers to love you The World of Marketing is now more multi-channel dependent than ever. Find out how to better integrate your email, web, mobile and social media marketing to deliver outstanding ROI. And how a behavioural marketing approach can drive personalised, multi-channel experiences for your customers that ultimately means they'll love you to death. This presentation looks at Behavioural Marketing and the simple journey you can follow to deliver a more personalised experience for your customers: How to capture the things people do when they interact with your company across all channels (email, web, mobile, social, etc).How to combine that data with what you already know about that person – the profile & preferences; or past behaviours.The rules to apply to the dataHow to use the rules to generate a personalised interaction and a multi–channel, multi-step relationship that delivers the most relevant customer experience for the individual.
- Continental Airlines UK
- Remember when digital marketing was fun and simple – like the ferris wheel – it was a nice pace and we could keep up – we focused on our web site, search and email. We had time for collaboration and creativity. We had time to plan and implement campaigns. Then…
- There was an explosion of marketing channels. We needed to embrace new technologies, platforms, and mediums of communication
- This changed the way all of us communicate, learn, and make travel/purchase decisions. No longer did we need to talk to the transportation provider or seek out a travel expert to get informed. We could get informed on our own.
- But with this change Marketing didn't change – we just tried to do more of the same – running faster and faster – the nice pace of the ferris wheel was gone and things started to spin out of control.
- We aren’t the only ones shouting at them. Every other marketer, whether it’s our competitor or just a bunch of other companies, is bombarding our customer. All these other marketers are shouting at the same group of customers make it harder and harder for you to be heard above the noise.
- As a result we have overwhelmed the customerMassive message overload – The customer is simply getting too many messages, even from brands that they trust and like because we’re sending them things that aren’t relevant.
- The end result is the customer starts to tune out and we get lost in the noise when we are trying to reach them. Customers and prospects are increasing in control of …What they seeWhen; the timeThe frequency of the messageIf they want to be communicated to at allThe type of messagesWhich channels they engage in
- The customer really favors a personalized experience. Contrast walking into a Blockbuster store when they existed and walking around the store looking for a movie and coming out the other side with nothing that you want to watch with Netflix where it is so simple because you start watching movies, rating them, telling Netflix more about your tastes and preferences they start to recommend things to you which save you time and gives you a positive experience. You are incented to tell them more information because the experience just gets better.
- Here’s the problem in a nutshell.
- This is my favourite local wine shop. I shop there all the time. I’m so protective of it that I’m going to keep its identity secret!Let me explain.
- Bob knows me.He knows what I like, what I don’t like, what I’ve tried before.What I’ve bought recently. That I don’t cook, but like to entertain.My attitude to wine. My price range for normal evenings and for special occasions.Where I live. Where I work. What I do for a living. How many kids I have.What I bought last week, last month, last year.
- I buy five times more wine from Bob than from WaitroseI tend to leave the shop having spent 30-200% more than I thought I wouldI wouldn’t think of buying my wine anywhere elseIn fact I enjoy buying from Bob. I love the experience that much.
- This talk is about increasing the Bob-ishness of your marketing.The more you do it, the more you will sell.This is a direct, linear relationship. Everything you do to become more Bob-like will increase every metric that you’re tracking:More traffic, higher conversion rates, better email opens and click throughs, greater loyalty, repeat purchase, lifetime value… All of them will get boosted from this one simple thing.Plus you’ll get your customer to love you.
- The bad news: marketing is far from Bob today. In fact its decidedly un-BobularIf Bob was a marketer instead of the world’s best wine salesman,… I’d walkin and instead of saying “Hey Will, how’d you get on with that Riesling?” He’d say, “Hello potential customer. This is a wine shop. We have red wine and white wine and sparkling wine. Some of it is from France.’Instead of saying, “I’ve got a Rioja that your wife is going to rave about.” He’d say, “Buy three cases of this new Malbec and get one free!” Instead of saying etc.
- Good news, we’re all well on the way.Everyone in this room is marketing in a far more sophisticated way than the same room of people even three years ago.The history of marketing is a march towards becoming more like Bob.
- Today, those of us who are segmenting tend to be basing our segmentation on two things:By Profile – the usual demographic stuff: age, gender, locationAnd By Preference – if they’ve opted in to an email; how they like to be contactedBut what is missing is context. I may be a MD, married with 2 kids living in West London. But that doesn’t necessarily mean I’m in the market to buy wine or book a trip at the moment.
- The trend is clear: our segments are getting smaller, more specific, more targeted, better informed.
- At Silverpop, we talk about the ultimate destination being The Segment of One.When you’re really talking to each person as an individual.And using the things you know about that individual to have a MUCH more intelligent, relevant interaction.Like Bob would.
- As brands the missing dimension is behavioural data: what a consumer does when they interact with you.Essentially, your customers are telling you all about themselves and their needs and interests every time they interact with you.And it turns out the insight you can derive from this data is the BEST guide to personalization of your customer experience.Best here has one definition: the customer experience that gets the best response, the most clicks, the highest revenue.
- Let’s look at the kind of data we’re talking about.We’ve already talked about demographics – which we’re using here to mean both profiles and preferences. Still a valuable way to segment.But now we start to add behaviours – in just a few of the big channels here:Email – what did I open? What did I click?The relational stuff that tends to live in CRM – what did I buy? What did you learn from the survey I completed? What does the Loyalty program say about me? On the Web – did I abandon a cart? What products did I search for? What videos did I view?And Offline – did I redeem a voucher? Buy something in a store? Call the call centre?
- All this is important as we’re all having to compete with so much noise.The average consumer is exposed to over 30,000 marketing messages a day. To stand out you have to forge a better emotional connection.
- Think about this.If you know that I came to your site, searched for trips to the canary islands, looked at three hotels, and started a booking and and went away…Would you treat me differently than if you knew NOTHING about me?Of course you would. Bob definitely would.And all this data -- all this INSIGHT – is right there, ready to be used. You own it. It’s yours.
- Getting started with Behavioural Marketing be as basic as following up Cart Abandonments
- The cart abandonment email is a simple, powerful example of the essence of Behavioural Marketing.And it really is a simple idea: You capture the things people do when they interact with you.You apply a few rules to that data.And the rules generate the best interaction for that person at the next point of interaction.Simple.
- Let’s refine it a bit.Capture the behaviour.Combine that data with the stuff you already know about that person – the profile & preferences; or past behaviours.Apply the rules.Generate the best interaction – and trigger the most relevant track or series of interactions. (so it’s not just one response at a time – it’s a customer experience path that you designed)Then measure what happens so you can refine all the other steps.Still the same simple idea: capture, apply rules, interact intelligently – but refined a bit more.
- Now turbo-charge it.Capture that behaviour FROM ANY CHANNEL at all. Email, web, mobile, in-store, CRM… you name itCombine it with everything you know – again from ALL past interactions, profile data, preference data…Apply your rulesGenerate a PERSONALISED interaction and a MULTI -CHANNEL track that Then measure it all and store the learning to make your rules and your customer experience paths better and better and better
- Now you’ve arrived.Because now your marketing is doing what Bob does every day, without even thinking about it.But Bob has a few hundred customers. What if you’ve got a few million?How do you apply the kind of personalisedbehavioural marketing we’ve just seen?
- There are 5 big questions to answer.
- This will vary a lot by business and channel and customer.Some behaviors will be gold dust for driving uplift [the abandoned cart for instance]. Others won’t move the dial at all [If I buy a gift for my niece today, that doesn’t make me more likely to buy another tomorrow]You won’t know in advance which behaviours matter the most to your business.The key is to get in there and start finding out.Start with best guesses and hunches. Apply them. See what happens. repeat.
- Remember all the sources of behavioural data you’ve got.Pick the most likely – the ones that feel like good predictors of intention – and start working with those.Experiment with a small chunk of your database. Do A/B tests. Start learning.
- Second question: how do you capture all that data and turn it into insight?Well the obvious thing is that you need a single place to store it all…
- A central experience databaseFed by all channels and touchpointsA place to associate all that behaviours across all those places, with the individual.
- You will need to interact with the same individual across platforms and devices – continuing a cohesive dialogue
- So you’ve captured all that behaviour data.Third question: how do you turn it into insight?Because data is just effluent. It’s just noise. Unless you can extract some reliable, relevant insight from it.
- You turn data into insight using a few tools:Rules – simple logic that says, ‘If you see this behaviour or combination of behaviours, do this.” Good rules are the key to effective behavioural marketing. [There are vendors out there with all kinds of fancy algorithms that claim to not be rules based. In my experience, they all tend to have rules inside that somebody wrote. And I’d rather let the marketer write the rules instead of hiding the in a black box algorithm…]Analysis – taking the data and deciding what it means. If we see that a person responds to emails that are sent between 5 and 7pm but ignores emails sent from 9 to 5, we can draw conclusions.That’s simple analysis.Scoring – giving specific behaviours a score, so you can add up different behaviours and trip an action.Opening an email – 5 points; Visiting a web page – 5 points; Putting something in a shopping basket: 80 points…Triggers – the things that are invoked by the rules, analysis and scoring… When these things happen, do this.
- Next question – how do you scale this up?It’s a lot easier for B2B scales.I spent a lot of my career in B2B marketing and I’ve used the marketing automation tools that work fine at these scales.But B2C behavioural marketing has to scale to millions of customers. And Billions of interactions. This really is big data.
- 150 million Messages delivered per day213 billion Records under management70,000 Active Message Automations200 million CRM records sync’d per month346 million Individualized Automated Messages per month4.7 BillionBehaviours processed per month
- It’s nice to have email driven by insight from previous emailIt’s great to have your email driven by insight from email, web, mobile app, CRM, PoS, etc.But it’s hugely powerful to have ALL interactions powered by ALL insight from ALL channelsThat’s the end game of behavioural marketing.And to do that you need a platform built to work this way.
- Here’s the big picture.WhatBehavioural Marketing looks like to a geek like me.On the left: all the channels where a customer can interact with you. Email, web, mobile, whatever.In the middle, the Engage database, the rules and scoring engine, the relational tables that tie it all together.And on the right, the channels where you’ll interact next. So a behaviour that happened in an email can inform what web page you serve up to me.And a form I complete on Facebook triggers a dynamic email that seems like it was written for me – because it was.Essentially what you’re looking at is the Brain of Bob.
- So behavioural marketing can be super-sophisticated – but it can also start with baby steps.What I would urge everyone in this room to do is to take the next steps on this road. Little by little.To do that you needA platform that can do the simple really wellThen scale up one step at a time to the whole visionTaking in any data – APIDriving any channel interaction - APIHandling any scale
- For me, the right platform combines the best of two worlds:Email platforms and Marketing Automation platforms.You need to be able to do all the cool new behavioural things that the MA vendors bring: But you need to be able to do it at the scales of the biggest, baddest email platforms or services.Not surprisingly, this is exactly where Silverpop sits. Where MA and traditional email providers meet.
- Back to Bob.All the things we’ve talked about are really just examples of being more Bob-like on a massive scale.Being that personal, informed brand that doesn’t treat every customer like a new person who just walked in off the street.Treating each one like the valued individual that they areGo forth and become Bob.
- This is the link to the STA Travel video: http://vimeo.com/69406200 I cant find the slide that John used when he presented this but if we get them to either email us at emeamarketing@silverpop.com or drop their business card (use DG or Ameer to collect these) we can send out the link post the session if that is easier? I shall get the travel slide across to you ASAP