digital marketing - daniels executive mba

DIGITAL MARKETING

Presented by:

Betsy Chase

Guest Lecturer

Who am I?

Ten years working in online marketing— Director of Marketing

— Marketing Consultant

— Web Analytics Manager

— Affiliate Program Manager

Companies I’ve worked for or with:— Walmart.com, Hanes, Thrifty Rent-A-Car, Rodale Publishing, H&R

Block, DexKnows.com, Gaiam and several small startups

Masters of Science in Integrated Marketing Communications from Northwestern University

AND YOU ARE….?

Agenda

Integrated Marketing Communications

Digital Marketing

Digital Channels— Websites

— Search Engine Optimization

— Search Engine Marketing

— Social Media

— Email

— Affiliates

Group project

Integrated Digital Marketing Case study

INTEGRATED MARKETING

What is Integrated Marketing?

Integrated Marketing is…

“Mixing and matching marketing activities to maximize their individual and collective efforts.” – Kotler & Keller

“A planning process designed to assure that all brand contacts received by a customer or prospect for a product, service, or organization are relevant to that person and consistent over time.” – American Marketing Association

“A single brand message across all your marketing channels” - American Marketing Association

“A data-driven, customer-centric approach to developing marketing strategy” – Don Schultz, founder of the Northwestern IMC program

Which is it?

Why is an Integrated Approach Important?

Multiple customer touch points— Consumers interact with your brand more than once before they

buy

An abundance of media channels— Cut through the clutter

— Fish where the fish are

Your brand is in your customer’s hands— Reinforce your message

Data is easier to access than ever before— Segment your audience, target the message so it’s relevant

WHAT IS DIGITAL MARKETING?

Is it….

Channel

Strategy

Platform

Segment

Why is Digital Important?

Highly measurable

Customizable

Lower cost to execute/acquire customers (in many cases)

Allows for fast iterations

Supports complexity

Platform for creativity

Produces interaction and engagement

DIGITAL CHANNELS

“Markets Are Conversations”

The Cluetrain Manifesto

By Rick Levine, Christopher Locke, Doc Searls & David Weinberger

WEBSITES

Why Do You Need a Website?

Table stakes

Customer touch point

Lead generation

Demand generation

24/7 Commerce opportunity

Branding

Customer service

Information channel

Fish where the fish are

Customers expect it

What Makes a Good Website

Focused on the segment you want to attract

Clear messaging and call to action

Easy navigation

Speed

Functionality

Design

Page Design Matters

Eye Tracking Comparison

SEARCH ENGINE OPTIMIZATION

Search Engine Optimization

Search Engine Optimization (SEO) aims to get a site near the top of the organic (or algorithmic) results of search engines

It is also frequently referred to as Natural Search Optimization (NSO)

Matt Cutts – Google SEO Evangelist

http://www.youtube.com/watch?v=5GK0aQrCDEo

www.mattcutts.com/blog/

Factors impacting SEO

Algorithm looks for pages with high “Authority”

Tagging— Meta tags (title and description, not keywords)

— Keyword density within content

— Alt text

Link popularity

Site and page architecture

URL construct

Inbound Social links

Site speed

Duplicate content

High quality original content

Advantages & Disadvantages of SEO

Advantages— Cost effective (especially if done in-house)

— Most content management systems allow for easy additions/changes

— More cost control

— Better opportunities to deliver your marketing message

— Lots of tools available

Disadvantages— Results take time to see

— Natural search algorithms are black box

— Site architecture plays a big role

— Demand must exist

SEARCH ENGINE MARKETING

SEM Basic Concept

Advertiser selects a specific word or phrase (keyword) on which to bid

Advertiser creates an ad title and description and enters a maximum bid amount for clicks on that ad

When a user enters the specific word or phrase into the search engine, ad appears

Advertiser is charged only when a user clicks on the ad

Search Engine Share

Advantages & Disadvantages of SEM

Advantages— Ability to target by location

— Some control over match type Broad, exact, negative

— Manage marketing spend to a daily budget

— Control your bids based on day of the week and time of day

— Search engines offer tools to help you create, track, measure and optimize campaigns

Disadvantages— Search engine algorithms are top secret, so you never have total

control

— Pay to play, minimum bids can be high

— Demand must exist

SOCIAL MEDIA

What Makes it Social?

Types of Social Media

Crowd sourcing (Groupon, LivingSocial, Trada)

Video (YouTube, Vimeo, Boxee)

Blogs (Blogger, Wordpress, Typepad, Tumblr)

Photos (Flckr, Shutterfly, Picasa)

Gaming (Raptr, GamerDNA, UGAME)

Social Networks (Facebook, LinkedIn, Bebo, Orkut)

Ratings & Reviews (Yelp, UrbanSpoon)

Location based (FourSquare, Gowalla)

Advantages & Disadvantages of Social Media

Advantages— Great opportunity to engage with customers 1-1 or 1-few

— Outlet to resolve customer service issues

— Flexible platforms for consumers to engage with your brand

— Good customer retention tool

— Enables category creation/product input/new products

Disadvantages— Shiny Object Syndrome

— Difficult to scale

— Difficult to track ROAS and therefore it’s impact to bottom line

EMAIL MARKETING

Email

Email is not dead…

Forrester Research recently reported that spending on email marketing in the United States is expected to expand to $2 billion by 2014; this is an annual compound growth rate of nearly 11%.

MarketingSherpa survey: email is one of only two tactics where more marketers increased budgets than decreased budgets in 2009. The other was social media.

Highest ROI of digital channels— Averages $40/$1 or higher (Direct Marketing Association)

45

Presented by Grant Baillie of Argos at 2008 Email marketing conference, with permission

Q9. How refined is your email marketing capability?

Advantages & Disadvantages of Email

Advantages:

Highly customizable

Ability to target

Ability to track metrics and show value

Easy/fast to test

Comparatively low cost to execute

Disadvantages:

Building a list takes time

Must adhere to CAN SPAM legislation

Requires commitment of resources

Easy for consumers to ignore

AFFILIATE MARKETING

Affiliate Marketing

Similar to partnership marketing – a merchant pays an affiliate to sell their products

— Revenue share

— Bounty

Affiliate = website

— Focus on driving traffic to their site(s) Opt-in email, keyword buys or search engine optimization, social media

— May build multiple sites based on different verticals

Affiliate networks are companies that provide a technology platform that allows merchants and affiliates to connect

The network makes money on licensing fees, up selling services and takes a cut of the commission

Affiliate Platforms

Advantages of Affiliate Marketing

For Merchants:— Use other people’s website traffic to sell your products

— If you go with a network you can get broad distribution and some of the work is taken off your hands

— Ability to manage to a budget

For Affiliates:— Great opportunity to monetize your website

— Networks offer easy access to merchants & trackability

— Access to new creative to refresh your site

— Strong affiliate community – lots of support

— Excellent home-based business model

Disadvantages of Affiliate Marketing

For Merchants:— Loss of brand control

— Large affiliates may dictate terms

— Need resources to manage it

For Affiliates:— If you go through a network you may make less

— Merchants terms may limit your ability to market their products Commission structure might not be enough to support the way they

drive traffic

Merchants’ agreement may limit the channels they want to use to market products

DISPLAY ADVERTISING

Uses of Display Advertising

New product introductions

Category creation

Brand building

Sales promotion

Lead generation

Retargeting

How retargeting works

http://www.youtube.com/watch?v=k0YOww5SHc8&p=31D26B270375E3C7

Advantages & Disadvantages of Display

Advantages— Target based on location, demographics, behavior

— Build brand awareness

— Retargeting opportunities

— Trackable

— Some types are very cost effective

Disadvantages— Low conversion rates on regular display

— Need to keep refreshing creative inventory

— Difficult to determine contribution to conversion

GROUP PROJECT

Old Spice Case Study

http://www.youtube.com/watch?v=fD1WqPGn5Ag

How was it integrated?

Old Spice campaign results

Day 1: Almost 6 million views (more than Obama’s victory speech)

Day 2: Brand had 8 of the 11 most popular online videos

Day 3: Campaign had reached over 20 million views. After the first week old spice had over 40 million views

Twitter following increased 2700%

Facebook fan interaction up 800%

Oldspice.com website traffic up 300%

Old Spice YouTube channel became the all time most viewed channel

Campaign generated 1.4 billion impressions since launch

Increased sales by 27% year/year

Sales were up 55% the last 3 months

Sales up 107% from the social responses campaign work

Old spice is now the #1 body wash brand for men

Then What Happened?

Two months after the campaign — Only 23 tweets, none personalized

They had 120,000 followers – big missed opportunity!

— No videos uploaded to YouTube for 6 months

They left the consumer behind!

He’s Back

http://www.youtube.com/watch?v=qt6iEGzLPjg

THANK YOU

@BetsyChase

Betsy.chase@gmail.com

http://linkedin.com/in/betsyrchase

APPENDIX

Email

CAN-SPAM— Passed in 2003, established first national standard for the commercial

use of email and is enforced by the FTC.

— Regulates compliance to standards around unsubscribe functionality, content and the way emails are sent.

What is the impact to business?

— All email marketing must be permission based

— Email service providers take an active role enforcing compliance Merchant must be able to document the date and time a consumer opted-in,

and the IP address for the machine they used to do it.

Affiliate Tax Law

Also known as “Amazon Tax”

State governments faced with huge budget deficits enact law that requires large online retailers to either collect sales tax for online transactions or provide a summary of people’s online purchases

Went into effect in Colorado in March of 2010

Amazon immediately terminated all affiliates in the state of Colorado and followed suit with subsequent states who passed the law

Should they have done it?