building a business case for localized marketing automation

Ian MichielsPrincipal Analyst

Gleanster Research

Featured Speaker:

WEBINAR

Building a Business Case for Local Marketing Automation

COMPLIMENTS OF:

Susan TormollenVP of Marketing

Balihoo

Building a Business Case for Local Marketing AutomationMarch , 2014

Ian MichielsPrincipal & Managing DirectorGleanster Research

COMPLIMENTS OF:

Agenda

What is Local Marketing Engagement? Why is it necessary?

What tools are critical to supporting local efforts?

How do you quickly build a business case for Localized Marketing Automation?

Recommendations for making the case stick.

Justification by the numbers.

Best practices for national brands

TODAY’S STATS

Total survey responses: 914

PERFORMANCE BASED ALGORITHM

All Respond

ents

2013 LMA Survey

(Nov. 2013)n= 265

Digital Engageme

nt(Sept. 2013)

n= 649

Top Performers: Respondents that achieved Top Quartile performance in key KPI’s

Everyone Else

Gleanster Benchmark Stats

Importance of Digital for Brand Marketers

Digital is critical to future success

Lack of time

Lack of resourc

es

Unsatisfied with digital execution

Internal support

84%

61% 76%!

? ? ?

* n= 78 Brand Marketers, November 2013 Gleanster LMA Survey

Distributed Marketing Environments Have Unique Challenges

CORPORATE MARKETING LOCAL AFFILIATES

86%Top Performers ranking personalized customer engagement as a top 3 imperative for revenue growth in 2014.

74%Local affiliates who

believe they have a "better level of understanding about local target audiences” than corporate marketing.

NATIO

NALB

RAND



NATURE OF CUSTOMER RELATIONSHIPSHOLISTIC / BROAD PERSONAL / 1:1

NATURE OF THE BRAND STRATEGYBROAD / STRATEGIC TARGETED / PERSONALIZED / FLEXIBLE

NATIO

NALB

RAND



NATURE OF MARKETING TECHNOLOGY INFRASTRUCTURE

NATIO

NALB

RAND

CORPORATE MARKETING TOOLS & AGENCIES• Email• DAM• Social Media • Campaign Management

LOCAL MARKETING TOOLS & AGENCIES• Website hosting• Paid Search• Email• Social Media



NATURE OF OPERATIONAL EXECUTION & EFFICIENCY

NATIO

NALB

RAND

CUSTOMER DATA

CAMPAIGN REPORTING

BRAND CONSISTENCYSONY SORNY

DOMAIN EXPERTISE

Challenges Managing Brand Consistency

68%

Brand consistency in locally executed marketing campaigns is a top 3 challenge with marketing communications.

CMO SUITE

Redundant Technologies & Fragmented Customer Data

89%

Percentage of local marketers utilizing multiple marketing channels in marketing campaigns (email, paid search, landing pages, social media, direct, etc.)

LOCAL MARKETING

Lack of Visibility on Campaign Performance

52%

Local marketers operated marketing technologies that captured data that was not integrated with corporate marketing platforms.

ALL RESPONDENTS

Redundant Spend & Agency Relationships

77%

Local affiliates and local marketers that managed relationships with local agencies and consultants to create localized versions of marketing materials (outside of what corporate marketing provided).

LOCAL MARKETING

Building a Business Case

If you don’t know these, you have no case.

What are you trying to accomplish?

• Pressing reasons to implement• Clearly defined challenges• Current-to-future state understanding

Quantifiable Benefits

• What do we get?• How long will it take?• How much will it cost?

What are Local Marketing Automation Tools?

• Email Campaigns• Email Templates• Basic Analytics• List Management• Drip Marketing

• Landing Page Hosting• Web Analytics• Lead Scoring• CRM Integration• Trigger Marketing• Social Marketing• Preference Management

• Dynamic Templates• Permissions & Security• Asset Management• Version Control• Local Websites• Paid Search• Local List Management• Comm. Frequency Caps• Workflow & Approvals• Holistic Analytics• Co-Op Fund Management

EMAIL MARKETINGMARKETING AUTOMATION

LOCAL MARKETING AUTOMATION

Gen

eral

Cap

abili

ties

/ Fea

ture

s

Why do Top Performers Invest in LMA?

Customer preference managementRegulatory compliance

Empower local marketersReduce campaign cycle-time

Visibility on marketing effectivenessControl budget variance

Personalize local marketing materialsControl agency spend

Reduce costsIncrease revenue

0% 25% 50% 75%

28%

32%

41%

42%

47%

49%

55%

59%

65%

76%

Top Performers

Revenue

Cost / Efficiency

Basics of a Solid Business Case

Preparation

Understanding

Funded Investmen

t

A quick checklist for preparing the business case

Pressing reason to act Documented current state Understanding of future state 2-3 options for solving the challenges Understanding of stakeholders impacted Expected benefits (Quantifiable) Timeline Cost

Decision makers need to buy into your initiative over x many others.

Bridging the gap between current and future state

Current State Future State???Is your Business Case

• What will we solve?• What is required to solve it?• Who will be involved?• What’s the benefit?• When will the benefit be

realized?

Basic Process Swimlane Tool

Stakeholder Management - From 20/20 Project Management

- From DocStoc

Let’s Talk Numbers

3 Benefits to Link to Tangible Return

REVENUE

SalesAverage Order ValueUp-SellingCross-SellingFrequency of SaleCustomer Retention

COST

Time Savings (Resource Costs)Agency SpendTechnology LicensesAsset LicensesData Integration and IT Support

CUSTOMER EXPERIENCEPersonalized MessagingCentralized Communication Frequency ManagementImproved SegmentationBrand ConsistencyUnified Multi-Channel Communications

Percentage of Top Performers that justify ongoing success of local marketing automation by successfully achieving increased QoQ sales objectives.

Versus 11% of All Other organizations who claimed the same.

52%Everyone ElseTop Performers

Document Current Stats

On the Cost Saving Side of Things

On the Boosting Revenue Side of Things

Recommendations

Be open to changing processes.

Engage all stakeholders and have a plan for managing them.

Consider a phased rollout. Benchmark existing stats

before starting the implementation.

Marketers who know this stuff have very successful careers because most marketers don’t want to know this stuff.


THE LOCAL LANDSCAPETHE SHIFT TO DIGITAL

This shift has been a huge opportunity for marketers at the national level…

…but has caused a serious problem for brands who rely on local outlets to sell their products. Local marketers can not keep up with the changing landscape.

Better TargetingBetter AnalyticsMore measurable ROI


THE LOCAL LANDSCAPETHE SHIFT TO DIGITAL

Brands who rely on local marketers to execute local:Miss 50% of the local marketing mixAnd, they potentially miss 50% of consumer interest

Your brand needs to be here.


LOCAL MARKETERS PREFERRED TACTICSSOURCE: BALIHOO PLATFORM DATA, 300,000+ AFFILIATE ACCOUNTS

Circular

s/Share

d Mail

Total

Promotio

n Total

Magaz

ine Total

Radio Total

Altern

ative

Total

Newsp

aper

Total

Cable

TV Total

Direct

Mail Total

Network

TV Total

Out of H

ome Total

Display

/Ban

ner Ads T

otal

Email Total

Pay per

Click S

earch

Total

Yellow Pag

es Total

In-Sto

re Total

Video Total

$ SP

ENT

97% OF LOCAL MARKETERS

3% OF LOCAL MARKETERS


SUBSCRIPTIONS VIA BALIHOO APPLICATION

Search Local Sites Email Direct Mail

SUBSCRIPTIONS

# OF

ORD

ERS

10% WHEN NATIONAL BRAND MANAGES

90% WHEN NATIONAL BRAND MANAGES


THREE MODES OF LOCAL MARKETING AUTOMATION

EX: Local marketer accesses web-based LMA system to customize a newspaper ad. They download the ad and place the media directly with the vendor.

EX: Local marketer accesses web-based LMA to opt-in to paid search program. Program is executed and results are communicated.

EX: Websites published for every local affiliate using known data. Local marketers have the option to access web-based LMA system to modify, but it’s not required.


BALIHOO CUSTOMER RESULTS

15-20% Engagement

80-100% EngagementTriggered email and DM campaigns: 13 to 1 ROI.

80-100% EngagementPage 1 SERP22:1 Conversion Phone vs. Form


ABOUT BALIHOOBalihoo is the premier provider of Local Marketing Automation technology. Our cloud-based platform allows national brands to think big and execute precisely.

A FEW BRANDS WE WORK WITH…

ComplimentaryDeep Dive Research Report

Includes Cost and RevenueJustifications Worksheets

Thanks!

Q&A

Ian MichielsGleanster Research @InsightFanatic

[email protected]

Susan TormollenBalihoo @[email protected]

mailto:[email protected]

