Measure Marketing's Influence on Revenue With Attribution Models
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Transcript of Measure Marketing's Influence on Revenue With Attribution Models
© Copyright 2014 The Pedowitz Group. All Rights Reserved
Measure Marketing’s Influence on Revenue With Attribution Models
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Your Presenters
Kevin Joyce VP Marketing Strategy The Pedowitz Group
Cory Vander Jagt Director, Product Marketing
GoodData
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What You Will Learn
§ Lay the foundation for scalable, reliable, repeatable revenue attribution
§ Understand the different types of revenue attribution models
§ Use your revenue attribution models to optimize Marketing investments
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Strategic Partnership
§ Cloud based, open analytics platform
§ Analytics for Sales, Marketing and Social data
§ Full service Revenue Marketing Agency
§ Transforms Marketing from a cost to a revenue center
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Revenue Marketing Journey Maturity Stages
Minimal Revenue Impact Revenue Maximized
§ Implemented Email platform
§ Tactical, one off emails, batch and blast
§ Cold calling following email tactics
§ Little to no alignment between Sales and Marketing
Lead Generation
§ Integrated full featured Marketing Automation and CRM – Agility and ownership
§ Defined Buyer Journey
§ Digital Body Language and nurture
§ Close alignment of Sales and Marketing
Demand Generation
§ Systems are optimized – Agility and ownership
§ People and processes are optimized
§ RPS – Repeatable, Predictable, Scalable Revenue impact from Marketing
§ Synergy with Sales
Revenue Marketing Traditional
§ Marketing focused on brand building and impressions
§ Make it pretty department - “Pens, mugs, and events”
§ Marketing is not a line of business
Metrics ¨ # of “leads” sent to Sales
¨ Cost per lead
Metrics ¨ Closed Loop Reporting
¨ Portfolio Funnel Mgmt.
Metrics ¨ ROI
¨ Forecasting
Metrics ¨ Measured on costs
¨ Measured on activities
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Analytics Competency
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Revenue Marketing Analytics Service
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Revenue Marketing Analytics Service
§ Cloud Based Marketing Business Intelligence Service
¨ Connectors For Marketo, Eloqua, Google Analytics, Facebook, Twitter, Salesforce and more..
¨ Out of the box - 12 dashboards and up to 55 Marketing and Sales reports
§ Monthly Engagement with Revenue Marketing Analyst
§ Revenue Marketing Analytics Assessment Workshop
§ Start reporting in a matter of weeks
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What is Marketing Attribution?
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B2B Marketing Attribution – Lead Source § Pros:
¨ Had the advantage of at least indicating Marketing Sourced Leads
¨ Very easy to implement
§ Cons:
¨ Opportunities often attached to subsequent Account Contacts – “Sales Prospecting”
¨ Confusion as to the source: PPC Ad, or Gated Content, or Webinar
¨ Generally just used to link Marketing to NEW prospects
¨ Ignores the concept that Marketing sources Accounts, not just leads
¨ Vastly understates the INFLUENCE of Marketing on Revenue
§ Lead Source is not the same as “First Touch Attribution”
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B2B Marketing Campaign Attribution – True ROI Calculate an ROI for every Marketing program
§ Pros
¨ Good relative measure of individual programs – correlation to success
§ Cons
¨ Requires accurate allocation and summation of all costs and revenues
¨ Requires setting an end date for gathering revenues and costs
¨ Ignores other influences on revenue success
¨ Can be many months or years before true ROI is known in B2B
Some firms attempt to measure “Return” in terms of SQLs, MQLs, or Opportunities
§ Shortens the period of time required to measure “Return”
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Marketing Attribution Ideal – Marketing Influence
Begin
Buyer Journey
Make Decision Search Engines
Link to Chat
Receive Email
Research Service Value Select
Service
Research Products/ Vendors
Build Short List Receive
Value Gain
Confidence
Receive Newsletter
Sales Promotion
Explore Competitor
options Receive
Industry WP Receive
Newsletter
Receive Reward
Read Testimonials
Email Incentive
Acquisition Loyalty Consideration Retention Conversion
Search Websites Social Live Person Mobile Email @
Identify business
need
Paid Ads
Increase Services
Show all of the Marketing activity…
¨ With all of the contacts associated, with all of the revenue in a given quarter
Summarize it by activity type and when it happened:
¨ Weight the various Marketing activities - some more heavily (by time or type)
Pros
¨ Shows ALL Marketing influence on revenue
¨ Shows Marketing influence on new and existing customers
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Marketing Attribution Ideal § Cons:
1. Connecting the dots between contacts, leads, campaigns and opportunities can be difficult
2. Figuring out the right model to attribute revenue to campaigns and programs can be a daunting task
3. Interpreting the results and deciding on the best course of action requires a Marketing analytics analyst
§ Con #1 is solved with effective Marketing BI solutions
§ aka GoodData/TPG Revenue Marketing Analytics Solution
§ Con #2 and #3 is something all firms have to grapple with
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Poll Question
§ What is your primary mechanism for attributing Marketing to revenue?
1. None
2. Lead source
3. Marketing Automation Analytics
4. CRM Campaign Reporting
5. Marketing Business Intelligence Platform
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How to Get Started?
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#1 Define Your Lead Funnel Stages and KPIs
Added Progressed Balance Avg. Age
351 70 15431 50 Days
35 34 17 2 days
32 37 127 14 days
16 17 35 2 days
11 10 70 56 days
5 - - -
2 2 129 65 days
1 - - -
Conversion
10%
90%
50%
66%
49%
40%
50%
Lists Web Social Events Search
Raw
BDM Accepted Lead
MQL
Inquiry Re-Market
MA Qualified Lead (MAQL)
SAL
SQL
Opportunity
Won
Sales BDM
Junk, Disqualified
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#2 Connect Campaigns to Revenue
§ Utilize the Campaign and Contact Role in your CRM and synch data from Marketing System
§ Leverage Marketing BI system to connect the dots: Campaigns to Contacts to Accounts to Opportunities to Revenue
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Types of Marketing Attribution
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First Touch Revenue Attribution
New
sle&er Sign up
100% Download
Asset
0% A&en
d Web
inar
0% Opportunity
§ 100% revenue credit given to the first campaign of which a Lead/Contact was a "responded" member
§ Lead Source is similar, but not the same
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First Touch Revenue Attribution Example
§ Top 10 highest-revenue generating campaigns by Campaign Type and Amount from the "First-Touch Campaign Attribution" perspective.
§ Business Rule: First campaign response must be within seven days of Lead/Contact created date
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Last Touch Revenue Attribution
New
sle&er
Sign up
0% Download
Asset
0%
A&en
d Web
inar
100% Opportunity
§ 100% revenue credit given to the last campaign of which a Lead/Contact was ever a "responded" member before being converted to an Opportunity
§ Simple, but suspect approach
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Last Touch Revenue Attribution Example
§ Top 10 highest-revenue generating campaigns by Campaign Type and Amount from the "Last-Touch Campaign Attribution" perspective
§ The last campaign response must be within seven days prior to the Opportunity created date
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Multi Touch – Even Weight Revenue Attribution
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sle&er Sign up
33%
Download Asset
33%
A&en
d Web
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33% Opportunity
§ Equally-credits all Marketing touches which the Lead/Contact was ever a "responded" member
§ Very fair, may overstate the value of some Marketing activities
§ Requires consideration of frequency and recency of some activities
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Multi Touch – Even Weight Revenue Attribution
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Influencing your Campaign and Content
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Multi Touch – Custom Weighting
Opportunity
New
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10% Do
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30%
A&en
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60%
§ Custom attribution weighting based on asset type, buying process or time decay
§ Requires additional setup and complexity for most marketers not using RMA
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Multi Touch – Before Opportunity New
sle&er Sign up
33% Do
wnload Asset
33%
A&en
d Web
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33% Opportunity
§ Equally-credits all campaigns of which the Lead/Contact was ever a "responded" member before being converted to an Opportunity
§ Ignores Marketing influence once Sales is driving the opportunity
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Multi Touch – After Opportunity
Prod
uct T
rial
33%
Download Asset
33%
A&en
d Web
inar
33% Opportunity
§ Equally-credits all campaigns of which the contact was ever a "responded" member only after the Opportunity was created
§ Isolated Marketing influence on the Sales pipeline
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A Vision of the Future of Attribution
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A Vision of the Future of Attribution
Program type
Buying Cycle
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Summary
1. Define your lead funnel stages and KPIs
2. Connect campaigns to revenue in CRM and Marketing Automation
3. Utilize the appropriate attribution model(s) for your buying process
4. Configure your reporting system for the revenue attribution or utilize RMA solution
5. Review on a quarterly basis and adjust the model(s) as needed
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Questions or Comments?
Kevin Joyce VP Marketing Strategy
Cory Vander Jagt Director, Product Marketing
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Learn More Follow Us
@revenuemarketer
@gooddata
Free Revenue Marketing Analytics Trial
bit.ly/GDTrial-Mktg
Get In Touch
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Thank You!