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Webinar: Not all visitors are created equal
June 2015
Ernest Oppetit
Product Manager
Qubit
Robin Trickett
Senior Strategist
Qubit
‣ The acquisition challenge
‣ Using data to focus acquisition
efforts on predicted ‘quality’
customers
‣ Demonstration using Qubit’s tools
‣ Q&A
Agenda
Qubit is a global leader
in digital optimisation
• Segmentation
• Analytics
• Personalisation
• Testing
Profitability is driven by focusing acquisition investments on those
customers most likely to generate high lifetime value
Acquiring customers can require significant investment1
Some customers will go on to renew/increase share of wallet,
others will churn shortly afterwards
2
Acquisition success should be measured on lifetime value, as
opposed to initial conversion value
3
Two challenges:
i) How should ‘predicted high lifetime value’ customers be identified
before they’ve even converted?
ii) How is their revenue opportunity then maximised?
The revenue opportunity of ‘Predicted High Lifetime Value’ customers
can be increased using 5 levers
Pre-siteA On-siteB Post-purchaseC
PURCHASE CYCLE
REVENUE
LEVERS
QUBIT
APPLICAT-
IONS
Increase volume
arriving on site
1 Increase
conversion rates
2
Increase
conversion values
3
Increase re-
purchase /
renewal rates
4
5 Increase re-
purchase /
renewal values
• Attribution
modelling
• LTV modelling
• Audience
segmentation
• Personalisation
& testing
• ESP integration
• Audience
segmentation
• Personalisation
& testing
Pre-siteA
Increase volume arriving on site1
‣ The objective is to
increase the volume of
visitors arriving on site
who are most likely to
go on and have the
greatest lifetime value
‣ This requires
attribution modelling
to identify those
channels which fulfil
this requirement
This attribution model needs to allocate a behavioural lifetime value to
each channel, and if appropriate, keyword
1. Identify those
channels, campaigns
and keywords which
generate greatest
lifetime value
- Value should be
measured using a
behavioural model as
opposed to first click
or last click
2.Optimise marketing
spend accordinglySEM SEO Affiliate Social
LTV (behavioural) First click
Last click
CHANNELS
KEYWORDS
PRE-SITEA
On-siteB
Increase conversion rates2
‣ Step one is to map out
a profile which defines
what a prospect looks
like who is likely to go
on to have a high LTV
‣ Step two is to identify
these visitors when
they arrive on-site
‣ Step three is to deliver
personalisations to
these visitors to
increase their
conversion rates and
values
Increase conversion values3
Firstly, a profile needs to be defined which can be used to identify
predicted high LTV customers when they arrive on-site
ON-SITEB
Identify pre-conversion characteristics
of high LTV customers
Create a profile to enable the probabilistic
identification of these visitors
Arrival data Site footprint Provided data
• Channel
• Keyword
• Device
• Location
• ……..
• # sessions
to purchase
• # pageviews
to purchase
• Page types
viewed
• ……..
• Quote value
• Marital
status
• Age
• Occupation
• ……..
• Attribute of a potential high LTV customer
VISITOR PROFILE: Predicted high LTV customer
+ +
Decipher demo -
http://www.qubit.com/webinar/focus-
acquisition-on-quality-over-quantity
On-siteB
Increase conversion rates2
‣ Step one is to map out
a profile which defines
what a prospect looks
like who is likely to go
on to have a high LTV
‣ Step two is to identify
these visitors when
they arrive on-site
‣ Step three is to deliver
personalisations to
these visitors to
increase their
conversion rates and
values
Increase conversion values3
Secondly, once a predicted high LTV visitor is identified on site, a range
of personalisations can be leveraged to increase conversion rate & value
ON-SITEB
50% match
Levers to
increase
conversion
rate
Pre-populate
form fields
Offer
discounts
Levers to
increase
conversion
rate
Re-order high
value items
Pre-populate
upsell items
‣ The accuracy at
which a visitor
can be matched
increases with
the number of
sessions
‣ The closer the
match, the more
levers available
to increase
conversion rate
& value
• Attribute of a potential high LTV customer
…….
…….
Secondly, once a predicted high LTV visitor is identified on site, a range
of personalisations can be leveraged to increase conversion rate & value
ON-SITEB
50% match
Levers to
increase
conversion
rate
70% match
Pre-populate
form fields
Offer
discounts
Levers to
increase
conversion
rate
Re-order high
value items
Pre-populate
upsell items
‣ The accuracy at
which a visitor
can be matched
increases with
the number of
sessions
‣ The closer the
match, the more
levers available
to increase
conversion rate
& value
• Attribute of a potential high LTV customer
…….
…….
Secondly, once a predicted high LTV visitor is identified on site, a range
of personalisations can be leveraged to increase conversion rate & value
ON-SITEB
50% match
Levers to
increase
conversion
rate
70% match >90% match
Pre-populate
form fields
Offer
discounts
Levers to
increase
conversion
rate
Re-order high
value items
Pre-populate
upsell items
‣ The accuracy at
which a visitor
can be matched
increases with
the number of
sessions
‣ The closer the
match, the more
levers available
to increase
conversion rate
& value
• Attribute of a potential high LTV customer
…….
…….
Deliver demo
http://www.qubit.com/webinar/focus-
acquisition-on-quality-over-quantity
Post-purchaseC
Increase re-purchase/renewal rates4
‣ Once the initial
investment has been
made in acquiring a
predicted high LTV
customer, further
efforts should be
employed to ensure
they realise this
potential
‣ This can be in the form
of encouraging them
to re-purchase/renew
their subscription, or in
the form of upsell and/
or cross-sell
Increase re-purchase/renewal values5
Subsequent website visits provide an opportunity to target these high
LTV potentials to drive further value from them; reinforce through email
POST-PURCHASEC
Target on-site during return visits Follow-up with targeted emails
Campaign mirroring
•
Increase renewal / re-purchase rate
‣ Content recommendations
‣ Renewal offers1)
1) See churn reduction webinar for more details
•
Increase renewal / re-purchase value
‣ Upsell and cross-sell recommendations,
personalisations and offers
•
Highly targeted emails can be sent to pre-
defined segments, reflecting the exact
content they were viewing on-site
•
If customers then return through email, their
immediate on-site experience should reflect
the content and nature of the email
i ii
iii
In summary, strategies should be in place across the purchase cycle of
predicted high LTV customers, in order to maximise their value
Pre-siteA On-siteB Post-purchaseC
PURCHASE CYCLE
REVENUE
LEVERS
STRATEGIES
Increase volume
arriving on site
1 Increase conversion
rates
2
Increase conversion
values
3
Increase re-
purchase / renewal
rates
4
5 Increase re-
purchase / renewal
values
• Use behavioural
attribution models to
determine which
channels are the best
source of high LTV
customers
• Identify the pre-
conversion
characteristics of high
LTV customers in order
to target this segment
with personalisations
and offers
• Once these customers
have been acquired,
ensure their value is
maximised through
further site and email
personalisations
Liked what you saw? Contact
retention@qubit.com to
book a demo

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Attribution: Last click or lifetime value? How to focus acquisition on quality over quantity.

  • 1. Webinar: Not all visitors are created equal June 2015
  • 2. Ernest Oppetit Product Manager Qubit Robin Trickett Senior Strategist Qubit ‣ The acquisition challenge ‣ Using data to focus acquisition efforts on predicted ‘quality’ customers ‣ Demonstration using Qubit’s tools ‣ Q&A Agenda
  • 3. Qubit is a global leader in digital optimisation • Segmentation • Analytics • Personalisation • Testing
  • 4. Profitability is driven by focusing acquisition investments on those customers most likely to generate high lifetime value Acquiring customers can require significant investment1 Some customers will go on to renew/increase share of wallet, others will churn shortly afterwards 2 Acquisition success should be measured on lifetime value, as opposed to initial conversion value 3 Two challenges: i) How should ‘predicted high lifetime value’ customers be identified before they’ve even converted? ii) How is their revenue opportunity then maximised?
  • 5. The revenue opportunity of ‘Predicted High Lifetime Value’ customers can be increased using 5 levers Pre-siteA On-siteB Post-purchaseC PURCHASE CYCLE REVENUE LEVERS QUBIT APPLICAT- IONS Increase volume arriving on site 1 Increase conversion rates 2 Increase conversion values 3 Increase re- purchase / renewal rates 4 5 Increase re- purchase / renewal values • Attribution modelling • LTV modelling • Audience segmentation • Personalisation & testing • ESP integration • Audience segmentation • Personalisation & testing
  • 6. Pre-siteA Increase volume arriving on site1 ‣ The objective is to increase the volume of visitors arriving on site who are most likely to go on and have the greatest lifetime value ‣ This requires attribution modelling to identify those channels which fulfil this requirement
  • 7. This attribution model needs to allocate a behavioural lifetime value to each channel, and if appropriate, keyword 1. Identify those channels, campaigns and keywords which generate greatest lifetime value - Value should be measured using a behavioural model as opposed to first click or last click 2.Optimise marketing spend accordinglySEM SEO Affiliate Social LTV (behavioural) First click Last click CHANNELS KEYWORDS PRE-SITEA
  • 8. On-siteB Increase conversion rates2 ‣ Step one is to map out a profile which defines what a prospect looks like who is likely to go on to have a high LTV ‣ Step two is to identify these visitors when they arrive on-site ‣ Step three is to deliver personalisations to these visitors to increase their conversion rates and values Increase conversion values3
  • 9. Firstly, a profile needs to be defined which can be used to identify predicted high LTV customers when they arrive on-site ON-SITEB Identify pre-conversion characteristics of high LTV customers Create a profile to enable the probabilistic identification of these visitors Arrival data Site footprint Provided data • Channel • Keyword • Device • Location • …….. • # sessions to purchase • # pageviews to purchase • Page types viewed • …….. • Quote value • Marital status • Age • Occupation • …….. • Attribute of a potential high LTV customer VISITOR PROFILE: Predicted high LTV customer + +
  • 11. On-siteB Increase conversion rates2 ‣ Step one is to map out a profile which defines what a prospect looks like who is likely to go on to have a high LTV ‣ Step two is to identify these visitors when they arrive on-site ‣ Step three is to deliver personalisations to these visitors to increase their conversion rates and values Increase conversion values3
  • 12. Secondly, once a predicted high LTV visitor is identified on site, a range of personalisations can be leveraged to increase conversion rate & value ON-SITEB 50% match Levers to increase conversion rate Pre-populate form fields Offer discounts Levers to increase conversion rate Re-order high value items Pre-populate upsell items ‣ The accuracy at which a visitor can be matched increases with the number of sessions ‣ The closer the match, the more levers available to increase conversion rate & value • Attribute of a potential high LTV customer ……. …….
  • 13. Secondly, once a predicted high LTV visitor is identified on site, a range of personalisations can be leveraged to increase conversion rate & value ON-SITEB 50% match Levers to increase conversion rate 70% match Pre-populate form fields Offer discounts Levers to increase conversion rate Re-order high value items Pre-populate upsell items ‣ The accuracy at which a visitor can be matched increases with the number of sessions ‣ The closer the match, the more levers available to increase conversion rate & value • Attribute of a potential high LTV customer ……. …….
  • 14. Secondly, once a predicted high LTV visitor is identified on site, a range of personalisations can be leveraged to increase conversion rate & value ON-SITEB 50% match Levers to increase conversion rate 70% match >90% match Pre-populate form fields Offer discounts Levers to increase conversion rate Re-order high value items Pre-populate upsell items ‣ The accuracy at which a visitor can be matched increases with the number of sessions ‣ The closer the match, the more levers available to increase conversion rate & value • Attribute of a potential high LTV customer ……. …….
  • 16. Post-purchaseC Increase re-purchase/renewal rates4 ‣ Once the initial investment has been made in acquiring a predicted high LTV customer, further efforts should be employed to ensure they realise this potential ‣ This can be in the form of encouraging them to re-purchase/renew their subscription, or in the form of upsell and/ or cross-sell Increase re-purchase/renewal values5
  • 17. Subsequent website visits provide an opportunity to target these high LTV potentials to drive further value from them; reinforce through email POST-PURCHASEC Target on-site during return visits Follow-up with targeted emails Campaign mirroring • Increase renewal / re-purchase rate ‣ Content recommendations ‣ Renewal offers1) 1) See churn reduction webinar for more details • Increase renewal / re-purchase value ‣ Upsell and cross-sell recommendations, personalisations and offers • Highly targeted emails can be sent to pre- defined segments, reflecting the exact content they were viewing on-site • If customers then return through email, their immediate on-site experience should reflect the content and nature of the email i ii iii
  • 18. In summary, strategies should be in place across the purchase cycle of predicted high LTV customers, in order to maximise their value Pre-siteA On-siteB Post-purchaseC PURCHASE CYCLE REVENUE LEVERS STRATEGIES Increase volume arriving on site 1 Increase conversion rates 2 Increase conversion values 3 Increase re- purchase / renewal rates 4 5 Increase re- purchase / renewal values • Use behavioural attribution models to determine which channels are the best source of high LTV customers • Identify the pre- conversion characteristics of high LTV customers in order to target this segment with personalisations and offers • Once these customers have been acquired, ensure their value is maximised through further site and email personalisations
  • 19. Liked what you saw? Contact retention@qubit.com to book a demo