1. The New CMO –
Cross Media Optimization
Craig Macdonald, CMO and SVP of Products
cmacdonald@covario.com

2. Relationship between Paid and Organic Search

3. Relationship between Paid and Organic Search
• Loss of traffic during test
• Measurement confounded by
other factors
– Cyclical patterns
– Other marketing actions
(yours and competitors’)
– Economy, weather, etc.

4. Relationship between Paid and Organic Search
Organic CTR
Paid CTR

5. Conclusion
• Measurement of keyword level performance for paid and
organic with tagged landing pages
• Requires experimentation
• Result: 15–20% of paid search spending is mis-targeted

6. Affiliate Programs

7. Affiliate Programs

8. Affiliate Programs
Paid Organic
• 50% rev increase
January over
November
• Daily average
revenue increase
150% from
November to January
• Conversion rate
increase up 34%

9. Conclusion
• Tagging for affiliate vs. direct traffic required
• Requires experimentation
• Result: 35% higher returns for 33% less cost

10. Display and Search

11. Online Offline
ROI impact of synergized TV-Search marketing — SuperBowl

12. Online Offline
TV Spots
500%
CTR increase
20%
Showed Purchase
Intent
• Search campaigns launched with consistent messaging
• Huge ad relevancy, traffic, and ROI gains seen immediately
• Traffic lift persisted beyond ad flighting

13. Challenges
• Testing and experimentation expertise
• Flexible measurement environment
• Governance structure
• Incentives

14. What Has Changed?
DJIA NASDAQ
• Digital growth at 5–10% level (down from 35%+ growth)
• NO headcount increases
• Squeeze 15% cost improvements out of programs
• 3 month payback periods, max

15. Maturity Model
Centralization
Cross Media Optimization
Channel Optimization
Channel Specific
Process
Fragmentation

16. Cross Media Optimization
Predictive Modeling Scenario Analysis
Ability to conduct ―what if‖ analysis to determine
Ability to develop forecasts of outcomes to marketing events
Cross Media impact of strategic changes
Constraint-based Optimization
Optimization Deployment
Impact analysis on how budget and inventory Integration with execution systems to enable
constraints limit goal attainment optimal strategies
Channel
Search Display Social Radio TV Print
Search Video Community Commercial Network Magazines
Mobile Banners Sites Satellite Cable Trade Pubs
Content Rich Media Blogs Digital Newspapers
Targeted Gadgets
Direct
Portal Modular Applications
Web, Email, Personalized Reports Search, Display, TV, Print, Social Media, etc
Data Integration
Platform
Platform Database
Security, Administration, Business Rules, Workflow Multi-Dimensional, OLAP

17. Getting Started
• Investment in web analytics
• Develop experimentation strategy
• Digital Center of Excellence
• Build success and knowledge — then scale