Transcript of Web mrktngprsntn
- 1. All Credit for this presentation and the data that is shown
goes to the following Conference Speakers: Geoff Ramsey of
www.eMarketer.com Nick Usborne of www.forkinthehead.com Shannon
Kinnard of www.ideastation.com Web Marketing Trends Update National
e-Marketing Conference; March, 2000
- 2. Web Marketing Conference 2000 There was a common theme
within the presentations of all 15 speakers at the conference:
Lifetime Value of a customer will drive the development of Internet
Marketing. Traditional marketing models are not valid for the
Internet because of declining margins. The Internet belongs to the
consumer, who will use it to encourage competition, reduce costs
and drive profit margins down. Marketing Strategies of successful
companies will graduate from seeking First Time sales to
establishing and maintaining long-term relationships with their
customers. Delivery of Customer Service will move increasingly
on-line as Customer Relationship Management capabilities improve
and companies become more focused on long-term customer retention.
Following the new model of Permission Marketing and CRM
integration, sales and service will no longer be able to operate as
separate entities. A seamless and consistent delivery of both
products and after-sale service will be required to meet ever
increasing customer expectations. Permission Marketing companies
such as: MoneyforMail.com, CyberGold.com, WinWin.com and
LifeMinders.com are scaled nationally to make their cost affordable
on a per customer basis. Auto Dealers must develop their own
locally based Permission Marketing strategies and operations. The
March 20, 2000 San Jose Mercury News reported: Eventually, every
business in America will be able to reach its target customer.
Conference speakers indicated that Search Engine Optimization
(moving up on the list) may require more resources than the results
justify. Go to: www.searchenginewatch.com for more information.
Response time to customer inquiries and emails dramatically effects
sales to leads received ratios . Several web sites are using live
chat technology that allows dealers to push information, such as
details on a particular vehicle, through to the prospect in real
time.
- 3. Web Marketing Conference 2000
- The most effective hyperlinks are text links using 7-12 words
describing what the user will get by clicking on the link shown.
Use trigger words to capture customer attention.
- Secure more URLs with names that lead buyers to your web site.
Use up to 67 characters, such as: Words in a URL are search engine
prioritized FIRST.
- Design a Point of Purchase survey: Do you use email? Do you use
the Internet? have you been to our site? Did you use the Internet
for research? What would you like to see on our web site that would
encourage you to use it? Etc.
- Business-to-Business is a Hot Internet function. Dealers should
develop web relationships with local ly based credit unions, banks,
insurance companies, malls, newspapers, factories, etc.
- During the next 2 years, integration of Internet Functions into
the entire Dealership will determine operating efficiency and
results for sales, service, customer relations, business office,
etc.
- Integrating a dealerships customer database into their Internet
Marketing Strategy and operating plan is very effective and
something all dealers should be doing.
- Customer Relationships are created by listening. Use the web to
initiate more customer contact. Web site functions such as: Ask a
technician, Tell us about your purchase experience?, Send a message
to the Owner, Suggestions From Customers, Etc. Go to www.zoomerang.
com for more ideas.
- Dealership CRMs (Customer Relationship Managers) must develop
effective Internet skills.
- Consider using www .GoTo.com which is a search engine which
charges for clickthroughs. Companies are listed in order of highest
bid. Web sites are allowed free use of GoTos search engine function
to attract customers. Dealers who use it can track results through
their Web Trends reports function.
- 4. Demographic profile comparison for average: Source:
eMarketer, 2000 Age 33.0 Women 51% American Net User 35.5 49%
Income $37K $58K College 22% 43% e MARKETER
- 5. Demographic profile comparison for average: Source:
eMarketer, 2000 Age 33.0 35.0 Women 51% 41% American Net User Net
Buyer 35.5 49% Income $37K $62K $58K College 22% 53% 43% e
MARKETER
- 6. There is a fundamental shift in power, and it is shifting to
the consumer . George Ferguson, WebVan e MARKETER
- 7. How to turn online shoppers into buyers: CROSS the divide!
Shopper Buyer C.R.0.S.S. e MARKETER
- 8.
C.R.0.S.S. e MARKETER
- 9. Customer Service Facts
- 67% of consumers defect to another (competitive) dealer due to
poor service
- 63% of online shoppers say they wont buy from a dealer without
human interaction
- 47% of people are more likely to buy from a dealer online with
the addition of real-time customer service response
e MARKETER
- 10. MARKETER e 39% of e-consumers are more likely to buy from
Internet Dealers with whom theyve already had an offline experience
Source: Jupiter Communications, 2000
- 11. MARKETER e Balance Nurture versus Capture
- It costs $22 - $42 to get one customer to make an inquiry
online (BCG)
- Do the math... calculate your average lifetime value of a
customer
- 12. Use of the internet as a marketing tool among medium to
large companies Source: eMarketer, 2000 MARKETER e
- 13. Average click-through rates for generating web site traffic
Source: eMarketer, 1999 MARKETER e
- 14. eMail is the best bang for the buck in generating
dealership web site traffic $1 - 3 Direct Mail $0.75 - 2.00 Average
Cost Per Message Telemarketing $ $0.25 Banner ad $0.05 eMail
Source: eMarketer, 1999 MARKETER e
- 15. eMail excels as a tool used for customer service, retention
and relationship building MARKETER e
- 16. The Big Shift
- By the end of 2001 the most successful businesses will be those
that compete on the basis of customer relationships and
personalized marketing approaches
- Promotional Strategies and budgets will shift towards highly
targeted relationship marketing programs
- Successful dealers will be those with a continued and
intensified focus on direct marketing tools and tactics
MARKETER e
- 17. E-mails success could be its demise Time T Effectiveness
Volume MARKETER e
- 18. Selling products and services using the web is about
creating and sustaining relationships. (Beware - its their network
of relationships, not yours! ) Marketing the Web Way: The Best of
What You Cant Do Elsewhere
- 19.
- Build the potential for relationships into your site
- Build in the capacity to listen.
- Make your site interactive.
- A great resource for building relationships one-on-one:
Get them back for more By creating relationships.
- 20. Figure out what your web site users want by listening to
them. How to do it...
- 21. Build interactivity With customer permission!
- Every customer relationship grows step by step.
- Every new step requires customer permission.
- Using Permission builds trust - trust builds sales.
- 22. Build interactivity With permission. Opt-in Opt-out From
workz.com
- 23. Build interactivity With customer permission. Getting it
right From whirlpool.com
- 24. Keep in touch with email. Why bother?
- Creating relationships requires dialogue a conversation.
- email achieves an intimacy of communication that is
personalized and cant be achieved with a web site alone.
- email will draw people back to your web site, leading them to
your dealership when they are ready to buy.
- 25. Keep in touch with email. Use email for housekeeping...
From amazon.com
- Take full advantage of each email opportunity
- Even housekeeping emails can have a promotional component
- Your one chance to promote - without permission
- 26. Keep in touch with email. Use email to sell From: Download
Warehouse Reply-To: DownloadWarehouse Special Offers Newsletter
Date: Tue, Jul 27, 1999, 9:48 PM To:
DOWNLOADWAREHOUSE4@LISTSERVER.DIGITALRIVER.COM Subject: The Hottest
Prices on the Coolest Deals! You can beat the heat, but you can't
beat these prices! Our thanks to you for being a continued
downloadwarehouse.com customer!
- Make every email one-on-one
- Use the voice of a person - not of a salesperson
- 27. Keep in touch with email. Use email to serve your
customers... From art.com
- Every complaint provides a new opportunity
- Always keep it personal...
- 28. Keep in touch with email.
- Use email to touch people one-on-one...
- 29. Building Customer Relationships Customer Relationship
Marketing - some services to help manage your online relationships:
http://www.epiphany.com http://www.responsys.com
http://www.guesttrack.com http://www.kana.com
http://www.personify.com http://www.postcommunications.com
http://www.brightware.com http://www.netperceptions.com
http://www.vignette.com http://www.accucast.com Start making sense
of it at: http://www.accelerating.com
- 30. Reward interaction...
- If you want to sustain a dialogue - make it worth their
while...
- Through improved service.
- Through internal reward programs.
- Through external reward programs.
http://mypoints.com http://cybergold.com http://beenz.com
http://ecentives.com http://netcentives.com http://webstakes.com
http://prio.net
- 31. Protect your relationships with honesty, privacy and trust.
- Long-term relationships are built on trust, integrity and
honesty.
- Honesty and trust are key elements in any permission-based
model of relationship marketing.
Protect your relationships with honesty, privacy and trust.
- Long-term relationships are built on trust, integrity and
honesty.
- Honesty and trust are key elements in any permission-based
model of relationship marketing.
Examples of honesty and trust selling Our pledge to you is that
living.com will never willfully sell, trade, rent, disclose, or
make available personally identifiable information about you to any
third party without first receiving your permission, except when we
believe in good faith that the law requires it, or to protect the
rights or property of living.com. From living.com
- 32. Protect your relationships with honesty, privacy and trust.
Get third party verification... http ://www. truste .org
http://www. verisign .com http ://www. bbbonline .com
- 33. Concluding points.
- Build in the capacity to listen
- Remember the math and get people back a second time...
- Communicate with permission.
- Be honest and trustworthy.
- Never forget - its about the people, not the technology.
(And remember - its their network of relationships, not yours!
)
- 34. Overview of E-mail Marketing Copyright, 2000 Shannon
Kinnard
- 35. Pieces of the Pie...
- Planning Set goals and surpass them. This takes strategic
planning to fill databases with the right pieces of information for
use in customization, personalization.
- Promotion Fill that database as quickly as you can!
- Technology Building, buying, outsourcing
- Creative Execution Using the right message
- Measurement Budget, results and ROI
- E-Care Loyalty in relationships is a two-way process.
Copyright, 2000 Shannon Kinnard
- 36. Database Marketing
Copyright, 2000 Shannon Kinnard
- 37. What is E-Mail Marketing? E-mail communications sent to a
self-selected audience for the purpose of building a long-term
vendor/customer relationship over time. Ideas: Contests E-mail
Newsletters Member-Only Information Online Networking Discussion
Lists Discount Offers Copyright, 2000 Shannon Kinnard
- 38. Mass Customization 1. Define your purpose in phases. 2.
Collect robust data. 3. Make customization meaningful. 4. Set up
systems to cultivate, grow and refine your database. Copyright,
2000 Shannon Kinnard
- 39.
- Goal: To build strong relationships with best customers.
- Vendor Needs: Platform-independent, unlimited scalability,
customization & personalization, trackable results.
- Tactic: Web Fares & Fan Fares
-
- Customers Specify their Departure Cities
- Sending one million messages per month
- Average click-thru: 10%; Sales up 400%; Opt-in rate of growth
up 900%
- * Source :http://accucast.com , for a complete description of
this case study
Case Study: Delta Airlines Copyright, 2000 Shannon Kinnard
- 40. Building Relationships
- Ethics: Deliver on your promise
- Offer ongoing, valuable, consistent and dependable
communications
- Provide a mechanism for feedback
Copyright, 2000 Shannon Kinnard
- 41. Building Your Database
- Trade and paid advertising, both on and offline
- Directory of Ezines at: http://www.lifestylespub.com
- Networking and signature files
Copyright, 2000 Shannon Kinnard
- 42. Building an In-House List continued...
- Welcome subscribers with pertinent information about the email
program. For example:
You are now subscribed to The Balance from Kinnard's Pharmacy.
Thank you for joining us! Our mission: your total wellness. We
produce The Balance so that when you make health choices, you are
armed with knowledge. We respect your privacy. Your email address
and personal information will remain private, and will only be used
for a once-monthly mailing. To unsubscribe, send the message
unsubscribe to [email_address] . If you'd like to contact someone
at the pharmacy, email [email_address] . If you have any problems
with subscribing or unsubscribing to this free monthly email
program, please contact the list administrator, [email_address] .
Thanks and welcome! Copyright, 2000 Shannon Kinnard
- 43. Technology Investment
- What should you expect to pay?
- Free services: host e-mail names, distribute e-mails, insert
their ads (Topica, eGroups, Onelist)
- Distribution programs: Load it on your PC (Mailking ($99) or
Broadc@st ($99 - $2,495))
- Service Bureau: Slingshot Media ($250 setup, $1/1000 messages
delivered)
- Server Programs: Accucast Enterprise ($25,000+)
- Opt-In Brokers: $.25-$.50 per message (Postmaster Direct,
Yesmail)
Copyright, 2000 Shannon Kinnard
- 44. How to Measure ROI (Sample Scenario) Send campaign to (A)
100,000 recipients for (B) $40 product (C) Cost Per Piece, to send
= $.04 (www.accucast.com) (D) Expected Response Rate = 7.5%
(industry average) (E) Expected Conversion Rate = 10.0% (industry
average) (F) Total Program Cost is A x C = $4000 (G) Number
responding is A x D = 7500 (H) Cost per response is F / G = $.53
(I) Number converting is G x E = 750 (J) Cost per conversion is F /
I = $5.33 ROI = ( (I) Conversion x (B) Sale ) (F) Program Cost) ROI
= (750 x $40) - $4000 = $26000 One-shot scenario doesnt consider
the Lifetime Value of a Customer Copyright, 2000 Shannon
Kinnard
- 45. Sample Vendor List Netcreations Postmaster Direct
Socketware YesMail! L-Soft International MyPoints.com Digital
Impact Sling Shot Media Revnet MarketHome For a monthly updated
autoresponder of vendors in this field and descriptions of their
services, send an e-mail to: [email_address] Copyright, 2000
Shannon Kinnard
- 46. Poor Service is News
- Most companies continue to treat customer email as second-class
communications
- 73 % of wired consumers prefer email to other on-line service
options (including telephone). Only 8% reported it met their
needs
- 49% of wired consumers say that regardless of outreach and
attempts to receive on-line service, their problems go
unresolved
- To compete on the Internet, providing instant service 24/7 is
not just important, its mandatory
- 87 % of on-line shoppers that spent $2K or more on the web
within the past six months will click to a competitor if they
experience bad customer service
Wall Street Journal July 6, 1998 Real Market November 9, 1999 PC
Week Online July 19, 1999
- 47. Training Training Training Research by J.D. Powers and
Associates shows that there is a direct relationship between
dealers who are having success selling cars on the Internet and the
amount of training that is provided. More training means higher
closing ratios. The study showed that dealerships that dont provide
any training for their personnel average 4.3 Inernet sales per
month. Dealerships that provided at least 8 hours of training
averaged 9.7 sales per month, more than twice that of the untrained
sales force.