Digital Marketing in India –
Current State, Trends and Future Strategy
Siddharth Sriram
Email Id - siddharth.sriram@outlook.com
Contact No - +91 – 7259630188

Content Overview
Digital Ecosystem In India
Search Marketing
Display Advertising, Rich Media and Online Video
Social Media in India
Mobile Marketing – Future in Focus
Measuring Effectiveness of Digital Programs
Looking Forward
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Digital Landscape in India

The Story So Far

120 million Internet users today

10 million 3G connections within 6
months of launch

28% of travel gets booked online

47% of the classifieds business is
online

Close to 50% of music revenues in
India comes from mobile downloads

E-commerce companies are recording
revenues in the region of a crore a day
– rivaling retail brands that are around
for more than 10 years.
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Increase in No. of Users

The no. of internet users in India today stands at 120 million and is expected to
reach 376 million by 2015 – close to 3 times the current number.
Ecosystem

National Broadband Policy - Rs 60,000 crore by govt. to facilitate high-speed data

Introduction of affordable PC’s, Tablets and Smartphones

Widespread adoption of 3G and 4G services
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How Indian Customers Use Different Media Today
MORNING AT
HOME
0.5 – 1 hour
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TRAVEL TO
OFFICE/COLLEGE
0.5 – 1 hour
AT WORK/ COLLEGE
8 – 10 hours
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TRAVEL BACK HOME
1 – 2 hours
HOME
1 – 2 hours

Time Spent Online
►
Time spent online at
16.5 hours per month
low compared to global
benchmarks,
►
Projected to reach 21
hours by 2015
►
Time spent online has a
significant relationship with
ad spends on Internet and
is expected to aid growth
of online advertising
besides directly benefitting
retail, financial services
and ecommerce
industries.
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Age Distribution
►
Young users drive online
growth today.
►
This trend is expected to
accelerate, since technology
adoption rates tend to be
higher among younger people.
►
At the same time, the number
of Internet savvy people in
higher age groups will
continue to rise
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Advertising Revenues by Media (INR billion)
Source: FICCI – KPMG Indian M&E Industry Report 2012




Between 2007 to 2011, spends on digital advertising increased by CAGR 54% , far more than other forms.
This shift of spends comes majorly at cost of print and OOH advertising.
Ad spends on TV, remain relatively flat as a percentage of overall spends
Digital ad spends are estimated to increase to 10% of the overall ad spends of 586 billion INR in the year 2016.
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Estimated Share of Spends in 2016
Source: FICCI – KPMG Indian M&E
Industry Report 2012
►
►
The increase in the overall share of spends indicates an increasing preference of Indian advertisers towards digital
media as they look to test, understand and leverage the strengths of this medium over others.
Bulk of this revenue in digital advertising is expected to be driven by display, video ads, followed by ads using the
search channel.
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Ad Spend Share by Vertical

FMCG contributed the largest share
of 42% to the total ad-pie, but
shelled out a frugal 9% online.

BFSI with overall ad spend share of
7% contributed maximum to online
spends with Rs 114 crore(19%).

Automotive and M&E - ‘Brand
Awareness' and ‘Engage
Customers‘

BFSI and Consumer Services useful in Integrating with other
Campaigns.

FMCG, Pharma, Durable Goods –
find it a relatively ‘Economical
Medium’ and to ‘Generate Leads’
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Source - Webchutney Digital Media Outlook2010 Report
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Digital Marketing Objectives of Top 1000 Advertisers
Source - Webchutney
Digital Media
Outlook2010 Report
KEY ADVANTAGES ACCORDING TO THEM OVER TRADITIONAL MEDIA

Lead Generation

Key Insights Obtained for Free

Reach is Better, More Targeted - Especially for Youth Oriented Brands

Quick, Highly Cost Effective and Easily Measurable

Highly Interactive, Engaging Platform
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Outlook in Brief
►
The online advertising market is one of the fastest growing segments in the Indian E&M industry.
►
Increasing broadband penetration, successful broadband wireless access spectrum auction and
the adoption of 3G and 4G will boost internet and in turn lead to growth in internet advertising.
►
Social media is growing to become an important form of online advertising.
►
Lack of trust in the effectiveness of using online as a medium and the absence of effective
measurement tools are the key challenges facing the industry.
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Search Advertising

Growth of Search Ad Spends
Source: IAMAI Digital Advertising Report 2012
►
As online spends increase, search advertising has seen a robust growth of 25% YoY over the
last three years, only second to growth seen by display advertising.
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Share of Digital Ad Spends
Indian “paid” search advertising estimated
to be around Rs. 574 crore in 2012 – 20% of
the overall online advertising market today.
Source: IAMAI Digital Advertising Report 2012
The maximum industry wise spends were found to be in
the Financial Services and Travel Sectors, forming 43%
of the overall search advertising pie
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Why Use Search Marketing?

Consumers Using Search Have Higher Purchase/ Usage Intent

Cost effective medium for increasing awareness/ reach

Established Method of Conversion / Leads (bottom of the funnel conversion) –
Search ads ALWAYS have a CTA whereas TV always focuses on awareness and
affinity towards brand

Real time monitoring possible where budget for campaign can be increased/decreased
at will depending upon performance

Strong ROI measurement mechanism in place which are performance driven and cost effective
(Eg – Cost Per Click Methodology)
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Types of Search Methodologies
Search Methodology
SEO
•
•
•
•
•
SEM
Long term Strategy
Requires well made site
Based on trust, expertise
Lower Cost/ Earned Media
Harder to Measure
SEO
10%
SEM
90%
• Faster Performance
• Depends on keyword, copy and landing page
• Ease of Measurement
• Higher Costs/ Paid Media
• Not trusted by Searchers
• ROI requires conversion
Share of Spends (INR 547 Crores)
Source – IMRB International Report 2012
Currently, the Share of Spends happens to be in the ratio9:1 in favour of SEM.
However, it is considered ideal to start with a 65:35 ratio between SEM and SEO while SEO is being improved upon
over time. As the advertiser gains more confidence in SEO and sees an improved performance, budgets can be
gradually shifted from SEM to SEO
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Integrating Search with Display Advertising
Display Advertising are used for more top of the funnel activities such as brand awareness
Search ads meanwhile focus on bottom of funnel activities such as conversion
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Reporting and Monitoring Search Performance
Metrics
Week One
Week Two
Week Three
Total
Clicks
9
85
188
282
Impressions
687
6950
5341
12978
CTR
1.31%
1.22%
3.52%
2.17%
Avg CPC
$ 0.42
$ 0.82
$ 0.68
$ 0.71
Total Cost
$ 3.81
$ 69.45
$ 127.29
$ 200.55
No. of
Conversions
0
0
9
9
Conversion Rate
0%
0%
4.81%
3.23%
Cost per
Conversion
0
0
Rs 6820
Rs 10,000
(Impressions/Clicks)
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Sample
performance
report
template for
a
3 week
search
campaign

Search Marketing Checklist

Was testing and optimization done for the copy and best performing keywords

Is there sufficient relevance between keyword, copy and landing pages?

Is campaign duration optimal and has optimal budget been allocated between SEO and SEM campaigns?

Are the right metrics in place to measuring and optimizing website and/or PPC performance?

Were the reporting timelines and parameters identified and agreed upon?

How well integrated is the search strategy with the rest of the online strategy?
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Display Advertising, Rich Media and Online Video

Display Ad Spend Growth
Source: IAMAI Digital Advertising Report 2012
Display Ads have been increasing at a rate of 27% over the last three years to
form a major chunk of the overall online ad spends.
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Share of Digital Ad Spends
Display forms 25% of overall ad spends today
As the display and other interactive technology
improves and the vendor networks consolidate,
many more advertisers are expected to invest in
this medium.
Source: IAMAI Digital Advertising Report 2012
Top Spenders by Sector –
Source: IAMAI Digital Advertising Report 2012




Travel
Auto
Telecom
BFSI
Source: IAMAI Digital Advertising Report 2012
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Current Usage by Indian Marketers
Amongst the top 1000 marketers
surveyed in India, the following
happens to be the order of priority for
digital marketing –
• Brand Website
• Campaign Microsite
• Display Ads
62% of the existing marketers using
digital medium and 51% already
employ Display and Rich Media Ads
respectively
Source - Webchutney Digital Media Outlook2010 Report
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Why Use Display Advertising?


Better Targeting Capabilities than any form of traditional media

Highly Interactive and Experiential Advertising is also possible

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Efficient Tool for Improving Brand Awareness, Engagement, Top of
Mind Recall
Continuous tracking of campaign performance to measure metrics such
as impressions, clicks and conversions that helps calculate the ROI
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Display Advertising Value Chain
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Different Usage Formats – By Size
Different sizes of ad formats –
•
•
•
•
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Banners and Leaderboards
Buttons
Rectangles and Boxes
Skyscrapers

Different Usage Formats by Technology
Different Ad Technology Formats Available
•
•
•
•
•
Text
Image (GIF/JPG)
Simple Flash
Rich Media with Video
Rich Media without Video
Text
Rich Media3%
without Video
10%
Why is Simple Flash Most Popular?
In the hope of a cost effective
manner to increase reach
Lack of awareness of strengths and
proven performance of other formats
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Simple Flash
39%
Rich Media
with Video
24%
Images
24%
SHARE OF DISPLAY AD FORMATS
IN INDIA - Source IAMAI Digital Outlook 2012 Report
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Worldwide Click Through Rates by Industry
CTR’s by industry
for Rich Media ads
in US
How do we justify the low CTR’s?
What is the best way to measure
the ROI?
Source: DoubleClick for Advertisers, U.S. Advertisers, January – December 2009
DoubleClick Rich Media Formats Only
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Experiment for Measuring Effectiveness of Display Ads
Control /Exposed Group Testing –
►
►
Two groups were created, similar in behavior and demographics prior to the campaigns and are used to
measure lift in site visitation and search.
Lift is calculated by the delta between the two groups.
Audience
Average ad-exposure group consisted of 8,239 panelists per campaign by comScore
103 campaigns,
39 advertisers,
7 industries
Results
To be measured based on
1) Lift in Website Visitation
2) Lift in Branded Searches
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Media Placement Strategies
►
Run of Network - Select ads to run over a specific ad network such as a GDN or a Yahoo Network. Even specific categories
within the network can be chosen For example, if “Automotive” is chosen, ads may appear on sites throughout the Yahoo!
Network as well as Yahoo! Autos.
►
Audience / Contextual Targeting - Ads on web pages that have a relationship to the content of the page. For example,
shampoo ads are placed in the hair care section of health and beauty sites.
►
Premium Targeting - Based on high-visibility placements on premium publishers. Eg – Advertising on MoneyControl or
LinkedIn that maintain their own inventory.
►
Behavioral Targeting: Relevant to individuals based on past site visit behavior. Eg - Ads for Volkswagen may be shown on
the music site or child care site, or both. This is different from contextual targeting, where auto ads on auto sites are rendered.
►
►
Efficiency Targeting - Based on cost-per-click engagement with creative
Retargeting: Based on data that confirms users have previously visited an advertiser’s site. Eg – Makemytrip ads literally
follow you across any site, if there was any previous visit to their site for unfinished ticket bookings.
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Measuring Performance On Website
% Lift In Site Visits after 4 Weeks Of Exposure
•‘Retargeting’ and ‘Audience’
buys remain the best at driving
audiences to the site over time.
•‘RON’ and “efficiency’ buys
result in the lowest lift in site
visitation
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Measuring Performance On Search
% Lift In Branded Search after 4 Weeks Of Exposure
‘Retargeting’ best due to
consumers having already
expressed an interest in the
brand
‘Audience’ and ‘Premium’
placements also excellent at
driving sustained, actionable
interest
Contextual, RON and efficiency,
relatively effective at driving site
traffic but less effective in
creating long-term brand lift.
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Pricing Models By Targeting Methodology
CPM: Cost per thousand
impressions served
CPC: Cost per single click
CPA: Cost per action
performed on a marketer’s site
Marketers Use CPM pricing when seeking Branding Impact
CPC and CPA pricing when seeking Direct-response action (Site Visit, Online Purchase, Lead Form Fill)
‘Retargeting,’ ‘RON’ and ‘Efficiency’ are primarily sold using direct-response pricing models.
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Video Advertising
WHY IS IT THE NEXT BIG THING?
►
India saw a growth of 21 percent in unique viewers across video sites in India from 2010 to 2011.
►
In Dec 2011, YouTube witnessed 25 percent of its views in India from mobile devices, and has seen a 300
percent increase in viewership from mobile devices
►
As broadband, 3G and 4G services become more acceptable, video watching is going to evolve among
Indian users.
►
Advertisers will become more comfortable with the format as the reach increases and the
online video ad rates continue to be far lesser than TV advertising.
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Video Advertising
Video advertising is conventionally misunderstood to be about uploading videos online ( which
is part of social media marketing). On the contrary its more about reaching audience before
the respective videos upload.
How is it different from TV Advertising?
►
One on One Targeting Possible
►
CPV (Cost per View) Model - Advertiser is only charged when a viewer has chosen to
watch the ad, not when an impression is served.
►
Real time campaign monitoring possible
►
Far lower rates in comparison
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Case Study - Jabong
Onslaught of Display Banner ads,
resulting in a huge increase in
no. of impressions over
three months – from 2.39
to 189 million impressions in
three months.
RESULT
The traffic increases to more
Than 8 times within the
same period
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Source – Vizisense Data
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Case Study - Jabong
Website Traffic
Source – Vizisense Data
No Of Branded Searches – Jabong Rises To The Top In 5 Months
Source –
Google Insights
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Risks Involved in Display Ad Delivery
Not in View: In-view is defined as an ad impression with at least 50% of the ad’s pixels in the user’s view
for one second or more. The likelihood that an ad is counted as an impression despite not reaching the
intended user is high.
Wastage: Instances of multiple banner ads being targeted to the same user on the same page are rampant
which result in wastage of delivery.
Use of Wrong Costing Method – Using CPM methodology when the objective is to drive conversion and
CPC for improving brand awareness for instance results in the unnecessary increase in costs incurred.
Protecting Brand Safety - Ads delivered on sites deemed not appropriate for brand advertising due to
objectionable. Also cases where ads which start to appear in totally unrelated publisher page is undesirable
and adversely affects brand consistency.
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Social Media Marketing

Social Media Marketing - Definition
It refers to any platform that a brand provides to interact with its consumers and where
consumers are able to connect to each other, in a very transparent, real time world.
Usually, social media marketing forms a part of Earned media because it forms a big part of
“Word of Mouth” marketing. Also, a major part of social media is co-creation – where users
form a majority of the content.
There are 5 main categories of social media:
►
Forums – Yahoo Answers, Mouthshut, TripAdvisor
►
Social Sharing Tools: Youtube, Flickr, Pinterest
►
Social Networks – Facebook, LinkedIn
►
Blogging and Micro blogging: Twitter, Blogger, Wordpress
►
Bookmarking sites – StumbleUpon, Pinterest, Delicious
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Social Media Marketing – Usage Snapshot
67 percent of Indians who are on the web use online reviews to help them make purchases
60 percent Indians who are social media users are open to being approached by brands
Indians spend more time on social media than they do checking personal email
1/4th of online Indians were able to recall brands using social media
Having a social media presence connotes ‘innovation’ ‘customer friendliness’ - Source: comScore 2012
Facebook
Facebook is the most popular social networking site in India with 46 million active users as of April 2012,
an increase of 132% since last year. 75% of Facebook users are Males and Metro cities dominate its usage
in India.
Twitter
Twitter has a total user base of more than 14 million in India and is the sixth largest country in terms of accounts
and the micro blogging in India has not risen in India when compared to other social networking sites as Indians
are not comfortable with a 140 character limit.
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Social Media Marketing – Usage Snapshot
LinkedIn
Professional social networking site LinkedIn user base in India has grown 300% since they set up their
India office in November 2009. There are currently over 14 million users from India on the network,
making it their second-largest user base, only behind the US. 7 million of India’s 14 million users log in
to LinkedIn via mobile applications.
Youtube
India has 23 million unique users on YouTube, which saw 48 hours of content uploaded every minute
and more than one trillion playbacks that's about 140 views for every person on the earth. Video
streaming has truly arrived for the 100 million internet users in India.
In terms of amount of time spent watching videos, UK leads the list with an average of 18.3 hours of
videos per single userin a month This was followed by US with 15.8 hours. India were lower with 5.1
hours of video per viewer. This does present a lower online video penetration in India but it also
reflects the scope of growth that is possible.
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Social Media Marketing – Usage Snapshot
Google+
►
Google+ has a total user base of 12.3 million in India with 86% of the users being male and
dominated by students and young professionals. However the engagement time on this network
is very low and is yet to catch up.
Pinterest
►
Pinterest is “A Virtual Pinboard.” Probably the best social networking site where you can upload
pictures of what interests you. Traffic on Pinterest has grown 4000% in the last 6 months. They’re
already at 40 million users worldwide with close to 2 million users in India. Unlike Google+, the
engagement time spent on this site is also very high, with avg user time anywhere between 10
minutes and half hour/day.
►
It’s easier for brands to showcase their products and services on Pinterest because of the
availability of boards and the ability to post pictures.
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Satisfaction With Social Media As A Marketing Tool
Social Media seems to have become a
popular 'fad', but marketers haven't
really understood how to navigate and
steer brand advocacy among online
communities to their
distinct advantage.
Source - Webchutney Digital Media Outlook2010 Report
There is a high rate of dissatisfaction amongst marketers (close to 20%) already using it as a tool.
This could mainly be because of using it for the wrong objectives or not at the dissatisfaction at not being
able to measure the ROI. It truly is a fad for quite a few.
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How Users Behave on Social Media
Facebook
Blogs
Forums
Twitter
LinkedIn
Youtube
The Brand
Proactively Reaches
out to the User
Want Expert/ Influencer
Opinion
Seek Mass Peer
Opinion
Proactively Follow For
Updates
Seek career or
business
advancement
Seeks entertainment/
visual explanation of a
concept
Tata Docomo,
Fastrack
Technorati.com
The Mobile Indian
Carwale,
Mouthshut
Femina Magazine
Brands that have leveraged the respective platforms
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Dell Community for Old Spice Man
SME’s
Campaign

Benefits of Social Media Marketing According to Marketers Worldwide
Source – Social Media Examiner 2011 Report
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Why Use Social Media?
►
►
►
►
►
►
It is where the youth are increasingly spending their time.
High media fragmentation, brings everyone on one platform.
Helps increase transparency, trust and WOM when used optimally.
Free Earned Media, most cost effective.
Proven by research that interacting consumers on social media are likely to
spend much more on brand purchase and also refer it to peers.
Ideal medium for research insights, developing advocates, generate leads,
change brand perception and offer customer service
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How the Indian Marketers Have Leveraged It So Far
Companies in India have successfully used
Social Media for : 1.
2.
3.
4.
5.
6.
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Raising Awareness - Johnson and Johnson’s Nicorette
Garnering Marketplace Insights – Dell Ideastorm
Reducing Marketing Expenses – Parle Hippo
Increasing Brand Engagement - Fiama Di Wills
Improving Customer Perception and Satisfaction – Skoda Auto
Generating Product Buzz – Reebok Reetone Shoes
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Establishing a Social Media Framework
1. Identifying business objectives and relevant business metrics that support
them.
Refers to measures such as revenue, customer satisfaction, and brand reputation, while business unit
heads focus on other, more granular metrics specific to their goals. For measuring metrics, the step
would be deciding how to measure success from a business perspective. For example -
Many companies struggle to create, monitor strategies and
calculate an ROI on their investment in social media. And
without confidence in clear returns, have difficulty securing
the funds needed to scale their efforts.
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2. Building social metrics to support business objectives
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3. Choosing between different social media platforms and setting metrics for
each
Every platform has
its own set of
strengths that
needs to be
selected according
to TG and
objectives
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4. Developing content strategy
across social media platforms
5. Refining and optimizing for social
media efficiency and insights.
Good Compelling Content must –







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Develop a voice relevant to brand &objectives
Be real time, flexible according to most
trending events
Be user generated for a significant portion
Not be too pushy and promotional, offensive
Be Informational, entertaining, funny,
fascinating and/or non repetitive
Follow a content schedule that is pre
decided (especially for blogs)
Be well integrated and cross promoted
across different platforms
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►
►
►
Test each platform for a predetermined
duration.
Compare performance of each social media
platforms v/s pre decided metrics
For underperforming platforms, figure the
reasons why if any.
Use insights gathered to fine tune
subsequent strategies

Risks Involved in Using Social Media
►
►
Limiting the campaign strategy to only Facebook, with lack of awareness of other platforms
Not going beyond reach (Followers, Fans) for measurement, ignoring engagement and sentiment metrics.
►
Absence of pre decided metrics and KPI’s in place during planning and strategy
►
Not having a crisis monitoring system and response mechanism, apart from social media guideline policies in
place.
►
Being pushy and using too much promotional content.
►
Not considering sufficient integration strategies with other online and offline platforms.
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Mobile Marketing – Future in Focus

Introduction
About 10 million smartphones with
internet connection in 2011
ACTIVE INTERNET ENABLED SMARTPHONES
Smart phones estimated to reach
approximately 264 million by 2016
72% of internet users are
estimated to use mobile as a
primary point of access by 2015
More than 100 million user
subscribers in rural India.
Source: KPMG in India Analysis
-Source Hungama Digital, Nielson Informate
Mobile Insights
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Users by Point of Primary Access of Internet (%)
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Time Spent on Smartphone
Source: Nielsen Informate Mobile Insights
Smartphone users spend about 150 minutes a day on their phones
More than 50% of this time is on Browsing, Entertainment and Applications
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Usage Patterns
1.
INCREASED PHONE USAGE
Smartphone users spend significantly more time
on the phone than others.
3.
2.
LESS VOICE, MORE DATA Evolved smartphone users engage with
many activities on their devices, calls
lower in priority.
ECOSYSTEM AND LIFE-STAGE GUIDE ENGAGEMENT Varying smartphone involvement across operating systems and age groups,
simplifying targeting for marketers
Source: Nielsen Informate Mobile Insights
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Usage Patterns
BlackBerry users principally use their devices for communication with all other activities taking a back seat.
Android - encourages users to make the most of their devices which is why they drive maximum engagement.
Symbian users’ smartphone activities revolve around Entertainment and Browsing as it makes up for 2/3rd of their
total active time.
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The Need for a Mobile Strategy

Mobile access to outgrow PC access within 3 years in India

Facebook, Twitter and LinkedIn all grew their mobile audiences by 50% in the
past year worldwide.

More Google searches in India happen on mobile than online

One on One and Geo - Local targeting possible

Influencing customers decisions at point of purchase

Potential to increase sales through mobile commerce

Increasing brand awareness through better interaction and engagement.
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Serving the Mobile Customer
CHASE
Customers now use smartphones
and tablets to interact with
businesses 24/7, from anywhere.
How can business take advantage?
This banking app lets customers
deposit checks via a snapshot and
send via email, leaps in mobile
functionality that might eventually
let banks maintain fewer ATMs.
WALGREENS
Walgreens delivers what their
mobile users want on their
mobile site:
ability to find nearby stores,
prescription refills, mobile shopping
and coupons.
As a result, Walgreens now
completes 25% of all prescription
refills via mobile,
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Important to define value
proposition by determining what
consumers want to do with
business on mobile.

The Local Mobile Customer
Mobile site builder Digby reports that across all their mobile sites mobile customers use store
locators 63 times for every one mobile commerce order
Data from Google suggests that roughly a third of all web searches
have local intent in the US
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The Local Mobile Customer
CLEARTRIP
One of India’s premier travel and hotel booking portals,
Cleartrip’s app has enabled many travellers to search and book
hotels in the last minute within miles from their area suggesting
they are making more real time decisions, apart from making the
travel booking process itself a seamless experience.
BOOKMYSHOW
In 240 cities with 3.5 million listings
and 25 million users, Just Dial the
free search service has become
the advertising medium of choice
for small and medium local
businesses.
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BookMyShow enables users to search for
information on local movie listings and events
ranging from theatre to sports. With the majority
users being the youth which makes decisions on
the go, this feature provides a convenient
platform to book tickets, increasing bookings
substantially ever since it went mobile.
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Price Transparency
45%
53%
38%
39%
12%
8%
ShopSavvy is the bargain hunter’s app that has altered the retail
of all consumers use
smartphones for in-store
landscape in the west. With a simple scan of a product’s
product research & browsing7
barcode, it delivers information to the shoppers on the fly,
of men use smartphones
compare prices, product reviews, or share information about
in-store to check prices at
potential purchases with friends. With the cost conscious Indian
other stores8
of women use smartphones
customer, it’s only a matter of time before it at
becomes a hit here
in-store to check prices
too.
other stores8
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themobileplaybook.com
Private and Confidential
Half of US consumers use
smartphones for in-store
product research and
browsing. The power is
therefore shifted to the
consumer where retailers are
now being forced
of walk-outs, when shoppers to offers
better value or
leave without making a lower prices.
purchase, were influenced
by smartphone usage10
checked other
online retailers10
checked availability
at other stores10

Price Transparency – Possible Solutions
IMPROVE IN
STORE
EXPERIENCE
STOCK
UNIQUE
PRODUCT
BUNDLES
EMBRACE
MOBILE
TECHNOLOGY
IN STORE
Page 67
• Offering services offered by stores that an online experience cannot
such as expert service from salespeople or same-day pickup
• By stocking products that manufacturers have modified exclusively
for them or by bundling products with unique accessories
• Example – Nissan emblazons vehicle price stickers with QR codes
that let shoppers find key information features, options, video
overviews, image galleries, incentive offers, dealer inventories
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Mobile gives the
opportunity to reach
consumers with contextual
ads when they’re
searching for products
within their own or
competitor’s stores and
affect choices at the
moment of purchase.

Mobile Optimized Websites
NECESSARY BECAUSE OF DIFFERENCE
IN SIZE AND A DIFFERENCE IN
MINDSET OF MOBILE CONSUMERS
TICKETS NOW
TicketsNow’s mobile-optimized site doubled the company’s
mobile sales and increased ticket sale conversions by 50%.
These dramatic before-and-after numbers are actually common
when brands first launch their mobile-optimized site.
The Advertiser’s #1 Priority Must be to
Build a Mobile Optimized Site
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Using Mobile for Branding & Promoting Loyalty
HP
An app is essentially a bookmark for users
who want to engage with the brand
but the majority of the traffic will still coming
from the web.
HP’s ePrint app enables consumers
to print from their phones to an HP
printer. The app drives revenue for
HP because it encourages printing
and ink usage, and is also very
convenient when travelling.
DOMINOS
Domino’s mobile app lets
customers order more than 1.8
billion pizza combinations from
anywhere, and follow their
order’s step-by-step progress
with the Domino’s Live Pizza
Tracker
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Entertainment or Utility Driven –
Great Medium to Promote
Brand Loyalty

Measuring Effectiveness of Digital Programs

Arriving at Key Metrics
Identifying Business Objectives
Goals of the Campaign/Brand
Key Performance
Indicators(KPIs)
Metrics
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The Need for KPI’s
KPI – Metrics that help understand how company is performing against adjectives.
A company that wants to measure the success of their campaign should
thus have a target obtained for every KPI.
CLASSIFICATION OF KPIS
►
Based on website’s traffic growth
►
Content effectiveness KPI
►
Marketing effectiveness KPI
►
Conversion KPI
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POEM Framework for Metrics
Media Type
Definition
Example
Role
Owned
Media
Channel a brand
controls
Website
Mobile Site
Blog
Twitter Account
Build long term
relationships with
existing clients and
customers, earned
media





Control
Cost efficiency
Longevity
Versatility
Niche
Audiences


Shift from foundation
to a catalyst that
feeds owned and
creates earned media




In demand
Immediacy
Scale
Control


Listen and respond –
Earned media is often
the result of well
executed and well
coordinated owned
and paid media


Most credible
Key role in
most sales
Transparent
and lives on


Paid Media
Earned
Media
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Brand pays to
leverage a
channel
When customers
become the
channel
Display Ads
Paid Search
Sponsorships
WOM
Buzz
Viral
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Benefits

Challenges




No guarantees
Company
communication
not trusted
Takes time to
scale
Clutter
Declining
response rates
Poor credibility
No control
Can be
negative
Scale
Hard to
measure

Classification of Metrics
Metrics Used No. of impressions
Unique visits
Number of visitors
Time spent on site
Bounce Rate
Metrics Used Share of Voice
Sentiment Analysis
Top Of Mind Recall
Customer Satisfaction
Page 74
Activity based
metrics
Engagement
Metrics
Metrics Used –
Metrics that are
transactional and
simply reflect the
action performed by
the user
Metrics to the level of
engagment between
the user and the
brand
Likes
Comments
Shares, Retweets
Level of interaction
Mindshare
metrics
Business metrics
Metrics Used –
Metrics that are used
to obtain the value
and perception of the
brand in the minds of
the consumer
Metrics that can be
used to calculate the
actual financial
impact of the online
activity of the user
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Conversion rates
CPM
CTR
Lead Generation
Sale / Lead

Tools Managers Are Aware Of
Page 75
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Tools Available in the Marketplace
Tools
Categories
Website and social media
analysis
Uses
Traffic, reach, and ROI
Analyticalcalculation, reporting and
tools
USP
Free availability
monitoring
Digital business analytics
Unified Digital Reach of
consumers
Online marketing and web
analytics unit
Host of products and
services offering analytics
Engagement, Social activity,
customer loyalty, brand awareness
Social media marketing
platform
Blog content, promotion,
monitoring, analytics
Email-like Interface, track
social mentions across
different networks
Web analytics to increase
customer acquisition and
retention rates
Page 76
Online audience
measurement, e-commerce,
ad, search solutions
Tracks user activity rather
than just clicks
Conversion Funnel
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Tools Available in the Marketplace
Tools
Categories
Analytical tools Uses
USP
Integrated social media tool
Average engagement Rate
Social media
Social media Influence,
reach and Advocacy
The Influence of a
user/brand
Social media
Brand strength
Strength of brand, Sentiment
analysis, Passion, Reach
Social media dashboard for
measurement and
monitoring
Track brand mentions,
social media traffic,
managing and monitoring
Good, easy, clean UI
Social media measurement
and monitoring
Page 77
Track, compare
performance and obtain
insights
Assessment, reporting,
Engagement
Online reputation
management, brand
perception, cloud based
tools
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Key Metrics Currently Used By Managers
PAID MEDIA
EARNED MEDIA
Number of impressions
CTR | CPC | CPM
Conversion Rate
Buzz | WOM
No. of brand mentions
Likes, comments and shares
Fans and growth in fans
Sentiment analysis
Influencers discussing the brand
OWNED MEDIA
Clicks
Average time spent on website
Page views
Degree of engagement
Depth of navigation
Unique | Repeated visitors
Traffic
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Analytics Framework
Brand
goals/objectives
KPIs
Metrics
Exposure
CTR| Page impressions|
CPM| Conversion rate | CPC
Engagement
Bounce Rate | Page views |
Unique visits | visitors | click
density | Depth of navigation
Conversion
Applause(likes,+1s,sentiment
analysis)| Amplification, No of
mentions, shares,
retweets,Reach)|
Conversion rate| Share of Voice|
Influencers
BRAND AWARENESS
Paid:
Owned:
SALE/
CONVERSION
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Earned:
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Analyzing Owned Media
Google Analytics showing analysis for a branded website over a month. From this tool, it becomes possible to

Track increase/decrease in no. of visitors on the site

Analyze difference in behavior of traffic from different sources ( pageviews, avg time on site, bounce rate etc)
Page 80
Private and Confidential

Measuring ROI


By obtaining Impressions of digital media vis-à-vis impressions of
traditional media, ROI can be calculated for each form of Paid,
Owned and Earned media.

Search and Display Advertising already have advanced measurement
methodologies, however attribution between them becomes key.

Page 81
Not everything can be bracketed into a one on one comparison
between traditional and digital. However this methodology helps weigh
benefits of one over the other.
Correspondingly, based on the company goals and KPIs, the metrics
can be figured out and correspondingly the ROI.
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Planning and Strategy Overview
Methodologies for Client to Improve Online Presence
AWARENESS
Reaching prospects
& customers
CONSIDERATION
Achieving the
initial interaction
CONVERSION
to Lead or Sale
ENGAGEMENT
Building customer
loyalty and advocacy
Marketplace Audit – Evaluating Client’s Existing Presence
Audience & Customer
Analysis
Competitor
Benchmarking
Evaluating Current
Digital Touch points
SWOT -Own Digital
Marketing Review
Objective Setting – Determining Goals and KPI’s to be Used
Alignment with Overall
Strategy
Page 82
Goal Setting and
Evaluation
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Analytics Tools for
Monitoring and Reporting
Performance Review &
Incorporating Feedback

Evaluating Digital Optimization Strategies
REACH
CONVERSION
RETENTION AND GROWTH
Search Marketing (SEO & PPC)
Social Media Marketing
Community Building Initiatives
Online Advertising
Conversion rate optimization
eNewsletters & promotional
emails
Viral Marketing
Lead generation techniques
Customer Support Tactics
Social Media Marketing
Analytics Practices
Mobile Marketing
Integration with Traditional Media
AB and Multivariate Testing
Social CRM
Evaluation and Measurement of ROI
Page 83
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Audience Reach Analysis
Audience & Customer Analysis
• Evaluation of the targeted
demographic, psychographic and
behavioral profiles of segments.
• Assessing the online needs,
wants & behavior of different
audiences
• Relevance of message style
relevant to the aims that need to
be delivered for effectiveness.
Evaluating Digital Touch points
• Relevance of channel touch points
used to the different segments of the
target audience
•Did the agency compensation
contract cover for different scenarios
of under/over performance?
• Reducing duplication of reach across
the different channels
• Reconciliation between client’s PO
and RO raised by the agency to the
media publishers
• Assessing if the strengths of each
channel had been optimized, risks
mitigated.
• Evaluating potential alternative
channels have for better performance
• Recommendations for integration with
offline and traditional media
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Financial Check
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• Did the agency have any preferred
vendors/existing partnerships that
could’ve been leveraged for cost
effective digital media purchase?

Objective Setting & Performance Monitoring
Alignment with Overall Strategy
Was campaign objective
in line with the overall
business strategy?
Were they broken down
into short, medium and
long-term goals ?
Page 85
Goal Setting and Evaluation
Were the right
evaluation metrics &
KPI’s in place for
measurement of the
goals?
Were the best case and
worst case scenarios
covered before the
campaign?
Analytics Tools for Monitoring and
Reporting
Performance Review and
Incorporating Feedback
What proprietary tools were
used for monitoring
analytics and reporting?
Comparing campaign
performance against
previously set benchmarks
What is the timeline that the
agency would follow to
report campaign
performance to the client?
Reasons for under/over
performance, if any
Are there other
measurement tools needed
?
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Were the impact on customer
experience, revenue and
costs measured?
In what way are the
campaign insights to be used
in subsequent strategies?

Digital Marketing Strategy, Planning & Implementation
Strategy
Implementation
Evaluation
Establishing
objectives aligned
with the overall
strategy
Deciding priority
among Social,
Search, Display and
Mobile
Creating KPI’s estimating returns
per channel
Evaluating KPIs and
fiscal
achievement
Identifying relevant
TG across segments
Deciding Channel Mix covering
Setting and Display
Search, Social Campaign
Benchmarks
Design of
campaign elements
across
channels
Determining
campaign
performance against
set benchmarks
Best communication
methods of engaging
with the audience
Page 86
Planning
Proprietary tools to
be used for
monitoring and
reporting
Recording salient
information at each
step for
evaluation
Integrating lessons
into future
campaigns
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Digital Marketing Going Forward
• As the medium and consumer habits evolve, marketers shifting to this medium
sooner will reap immense first mover advantages.
• Significant no. of advertisers are willing to shift to digital as a medium over
time, they’re only looking for concrete evidence that it works better
than traditional
• Integration of digital with traditional media will become key over the long run.
• It’s the only medium to offer a two way conversational channel fine tuned
towards serving the customer and most measurable.
• Ultimately, businesses will stop looking at digital as just a medium and
would change entire business models to serve their customer.
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THANK YOU
Page 88
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