Integration of social media and email marketingFebruary 2011

@DaleSimmons

Email is strong, but social media usage is growing quickly...

Social media is especially used to promote the brands they like by younger consumers

Inevitably the competition between online comms channels is becoming more heated

So marketers are using both...

Spending on social media marketing will rivalemail by 2012 according to Forrester

Luckily this reflects how consumers are using multiple ways to interact with brands

Although this is dependent on their age group...

Pew Internet Research Dec 2010

With such high investment, successful integration is essential

Although they are still using the more obvioussocial networks

Incremental reach can be easily gained by using these major platforms

500 Million Active Facebook Users

10 Billion+ Tweets Sent Since 2006 2 Billion Videos Streamed Each Day

90 Trillion Emails sent in 2009

To further shared objectives...

But varying depth of engagement across digital channels leads to different outcomes

Greater commitment at sign up is more likely to induce advocacy and future purchase likelihood.

The decision / purchase process has become much more complex

And equally important, customer value now needs to include more than just sales metrics – influence, participation etc

To tailor the customer journey intelligent use of data is essential

Data

Average visit frequency & spendConcession expenditureProduct trial propensityOverall peer group headroomCross & up-sell likelihoodAdvocacy membership propensityNet Promoter ScoreLikely Influencer Score

Potential Value

Consumer SegmentHousehold CompositionAgeIncomeMotivations & BarriersLikely occasionsCompelling offers & partnershipsNPD appeal

Needs & Attitudes

Preferred retailerDistance to retailersTravel timeLikely mode of transport

Location

Social & Mobile TechnographicsEmail receptivity – open / CTRsAd Exposure - placement, format etcWeb Analytics – site visits/pages/time

Digital Behaviour

Purchase value & frequencyProducts purchasedOnline vs. offline salesStandard price vs. discount ratio

Transaction History

Central Data

This data ultimately drives all digital activity, ensuring it is consistent, relevant & timely

“ Almost half of respondents selected coordination of communication across channels (49%) and personalising messages based on consumer behaviour (48%) as their top two challenges…”Trends in Cross-Channel Campaign Management: Emerging Channels Outpace Existing Solutions, Forrester Research Inc. (April 14, 2010)

Email

Social

e-tailer Analytics

Display

SearchIndividual Data

Data from these sources is generally held at an individual customer level, so is easily consolidated to create a single customer view.

Aggregate Data

Usually held at an aggregate (anonymous) level, so difficult to allocate to an individual customer without the use of passive tracking cookies. Use of tracking cookies would require changes to the opt-in terms & conditions, and all customers would be driven towards incentivised acceptance of new T&Cs

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2

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Kate searches the web for one of your new FMCG products. She clicks on your paid search ad and browses product pages on your website, but leaves without a purchase (despite deep links to the e-tailer basket).

To better understand the full customer journeyTwo days later, Kate spots your targeted display ad for the merchandise she browsed. Kate clicks your ad and explores further at your website, using your slick product comparison interface and signing up for a newsletter before clicking away.

Later in the week, you send Kate a personalised email. She clicks through, browses again, and makes her way to your Facebook fan page, where she reads products reviews by fellow socialisers.

But you don’t see Kate online again. You retarget her with another email and display ads, but they generateno click-through. What happened?

In fact, your online marketing was a success. Your online ads and email intrigued & persuaded Kate, so she bought the item she browsed online in her nearest supermarket. But you never know about that, because the transaction was recorded in a retailer ePOS system beyond your reach. How do we include robust sales data to derive ROI?

And also their digital behaviour...

0 10 20 30 40 50 60 70 80 90 100

Creators

Critics

Collectors

Joiners

Spectators

Inactives

Food Explorers

buzz

Mobile

Segment

UK average

channel usage

social behaviour Source: Forrester Research Technographics® surveys, 2009 social consumption

Age 20- 34 and C1 or C2 or D and I always have fun at parties I'm always on the look-out for new exciting things to do and I have a positive outlook on lifeSource: CCS Media & Client Study (January 2009) Weighted by: Population 1911 (000)

0

20

40

60

80

100

Web

Google

Email

IM

Games

Watch video

ForumsPodcast

Read blog

Manage photos

Social Networks

Download software

Mobile

0

20

40

60

80

100Mobile internet

Take pictures

MMS

Plat games

Listen music

IM

Access social network

Bluetooth

0

20

40

60

80

100Forums

Write blogRead blog

0

20

40

60

80

100Myspace

Facebook

Youtube

Friends Reunited

Bebo

Flickr

This will allow targeted comms for each segment

What are the benefits of a customer segmentation?

• Divide the market into meaningful and measurable segments according to their sentiment, influence score & frozen food needs

• Determine the potential of each segment by analysing the impact of serving each segment

• Target segments according to their sales & influence potential

• Invest resources to tailor product, service and marketing programmes to match the needs (and influence potential) of each customer segment

• Measure performance of each segment and adjust the segmentation approach over time as market conditions change.

Customers will be segmented on 3 unique criteria based on data collected at registration / competition entry:1. Brand Sentiment – based on a single NPS question2. Influence Potential – based on social media usage, volume of friends/fans/followers and contact freq3. Consumer Segment – initially based on existing segment attribution questions 4. As digital tracking data reaches critical mass we can also overlay engagement scores & propensity

models

Low

HighB

rand

Sen

time

nt

Med

ium

Re-activation Phase

Advocacy Phase

Create segment journeys to drive regular purchase

Customer Retention

Phase

Prospect Phase

1st Purchase

3rd Purchase 2nd Purchase

1st contact point(search, display, web, local press)

Welcome & up-sell

Post-purchase survey

Data-driven promotion

Product Cross-sell

Push to Facebook

Thank you & free upgrade

• Journeys will be different for each segment

• Use all available touchpoints (email, mobile, social networks, site content, search) to drive long term brand engagement

Register / time & place info

Occasion Targeting

Win-back offer

MGM / Refer-a-friend

Data-drivenpromotion

Drive back promotion

Which will provide a broader platform for interacting with the brand....

Evolution of the current CRM offering

CRM eCRM sCRM

sCRM recognizes that whether someone recommended, purchased, or simply recognized a product or service publicly makes an impact on behaviour at varying levels.

Customer Value Customer ValueParticipationInfluence score

Customer ValueEngagement

sCRM – What exactly is it?

The objective is to increase the value & length of the customer lifecycle

SearchDisplay

Site ListingsLocal PressC

han

nel Search

EmailSite ListingsLocal Press

EmailSocial MediaSite ListingsLocal Press

Social MediaMobileEmail

Site Content

Social MediaMobileEmail

Site Content

Acquire

Suspect Prospect Customer Active Customer Advocate

Best Customer Lifecycle

Bespoke time & place info

Lead nurtureWelcome

Cross & Up sell

Activation

Advocacy

Customer satisfaction

Drive visit freq

Convert

Loyalty benefits

Typical Customer Lifecycle

Social Participation

Grow Retain Empower

Achieved by using both traditional email and real-time social approaches

Acquire

Suspect Prospect Customer Active Customer

Advocate

Convert Grow Retain Empower

Events

Triggers

Behaviour

Influence

Real Time Social Traditional email

Data

Segmentation

RFM / LTV

ROI

Our Approach

PersonalisedLifestyle

MarketingCampaignsPrograms

RetentionLoyalty

Advocacy

AwarenessParticipationAcquisition

Multichannel Digital CRM

sCRM – Intelligent use of data is essential

Social CRM is achieved through the integration of digital analytics (web, email, mobile, search, video etc), social media analytics and other CRM management analytics to determine and articulate social media ROI (e.g. Radian6 with WebTrends and Alterian)

Making it happen right now

Court your best email customers and encourage them to become fans or followers in social media

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Then provide them with the tools to share their knowledge and their passion

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Use analytics to segment your database and send targeted communications that inspire commenting and sharing

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Use the combination of email and social media to provide multiple ways for consumers to interact with the brand – brand interactions in social media are often perceived as less intrusive

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