cairo day1 part1 keynote dec2009pub

(c) Michael Leander Nielsen, 2009 2

Inspiration

Innovation

Candy for thought

Internet/

Business

Marketing

candy store

My keynote contents

A few facts to get us started

Future scenario just around the corner

7 things you should consider to become a successful

digital marketer

1. Customer experience

2. Innovation and differentiation

3. Permission marketing

4. Mobile marketing: SPECIAL GUEST

5. Usability and websites

6. Return on Marketing Investment

7. Understanding your target audience

3

Quick facts


1.7 billion people have internet access

That is 25,6% of the global population

Emerging markets quickly catching up

Email, searching, shopping, online banking, socializing, contributing, “being”

Having digital conversations is the key driver today and in foreseeable future

5

Valeria – 10 years old Anne-Grethe – 62 years old

• Chat with friends

• Meet new figure skating friends

• Comments, playing games, watch TV

• Upload pictures and videos

• Create (weird) art-work and share

• Search interests

• Find things to buy

• Spends 15-20 hours online/week incl.

mobile internet usage

• Chat with friends and family

• Stay in touch with family/friends

• Comments

• Upload pictures

• Search interests

• Online banking/investments

• Does taxes online

• Spends 10-15 hours online /week

Quick

stats


Cyprus: 30,9%

Sweden: 89,2%

SMG anno 1995 and what I learned

Size

• Largest IT distributor in Scandinavia

• Revenue in excess of 900 mill USD (1996)

• Internet penetration around 15%

Challenge

• Margins under pressure

• Loads of very small IT reseller customers (Fax/phone orders)

• Risk of manufacturers selling direct

Solution

• Invest in internet presence/e-commerce

• Add value: convenience, self-serviced pricing, support

Result

• USD 35 mill revenue within first 12 months

• Improved margins, freed time to VIP customers, increased loyalty in all segments

• Outperformed competition in all vital areas


Imagine different internet growth and user

adaption scenarios and plan accordingly

• 10% growth adds 1,2 mill. new

internet users in Egypt each

year

• Increase in penetration will

nurture increased usage (time

spent online pr. week)

• Government initiatives may

stimulate a more rapid growth

• Remember the

Ketchup effect – be

ready


A guide to approach your internet

marketing presence – some key questions

• What are you trying to accomplish?

• Long term and short termObjective

• Your target audience?

• What do you need to take into consideration?Research

• Which sort of digital presence?

• Why?Presence

• How are you going to drive traffic to your online presence?Traffic

• How are you going to get business online?

• How can you serve your customers online?Convert/serve

• When you are successful – how can you expand your presence and why?Expand



Your

challenge

Consumer_Advertiser_Movie.mp4


Consumers are exposed to 3.000 to

6.000 marketing messages every daymobile marketing user generated content email

marketing Enterprise 2.0 customer experience

RSS feeds marketing web 2.0 permission

marketing communities conversations TV

COMMUNICATION OVERLOAD The Moment of

truth push/pull web 3.0 Word of Mouth RELEVANCE FREQUENCY RECENCY

S OC IA L NETW ORK IN G

Michael Leander Nielsen

10 years on the business side- CEO, midsize companies, IT software- VP sales/marketing, 2 * public companies- VP sales/marketing, 1* midsize

10 years on the agency/consulting side- Advertising agency, consultant- CEO, marketing consulting + ESP

12

7 things you must consider

to become a successful

(digital) marketer – a high

level introduction

13

Your job just got harder

The simplified digital ecosystem


Digital ecosystem.mmap

The customer experience matters much

more than you think

15


US no subs.avi

Food for thought about the customer

experience

(c) Michael Leander Nielsen, 2009

18

1

• A survey, In Customers Are People, shows, that 70% of the customers buying decision are based on how they feel they are being treated

• Another survey shows, that 69% of the customers say, that emotions count for more than half of the total buying experience

• A good customer experience is told to 8 people

• A bad customer experience is told to 22 people

• It takes 10 good experiences to make up for one bad

• Your web presence is very much part of

the customer experience

Survey: Does Companies Provide an

Excellent Customer experience?

We are motivated to share by experience


Very motivatingNot motivating

Even sharing customer experiences via

video


Create a customer vision/strategy

Customer

Knowledge

Customer Value

Customer Expectation

Balanced effort

Integration

CustomerExperience

Customer ExperienceHow do we ensure that customers get the

same experience across all touch points?

On which level must the experience be

consistent across all channels?

IntegrationHow do we share knowledge of our

customers?

How do we plan and implement

customer activities across the

company?

How close do we want to

integrate ourselves with

customers and partners?

Balanced effortHow do we balance our efforts in relation to the

customers value?

What effect does that have in our activities? How far

will we go?

How do we focus on loyalty, retention, additional and

cross sales?

Customer ExpectationsWhen are the customer in touch with us and why?

Which expectations do they have and how do we

live up to them?

How do we communicate with the customers?

What impact does customer satisfaction have on

revenue and profit?

Customer ValueWhich customers have which value?

How do we measure it?

Which customers will we attract,

retain or develop?

Which service will we provide the

defined segments?

Knowledge of CustomersHow do we collect knowledge of our customers

In which touch points?

How do we use this knowledge?

How can we enrich and increase our own knowledge

Engaging customers and prospects

through innovation and differentiation


Bil vask, baby


Take away

• Out of the box thinking can get you ahead of competition

and closer to the hearts of your customers

• Spend time contemplating, brainstorming – look at other

successful (online) players to seek inspiration

• And remember: If you can dream it, you can do it


The concept of permission marketing


What is permission marketing?

• Traditionally referred to for electronic marketing through

email, SMS etc.

• Getting an active and volunteered consent to receive

communication via the specified channel from you

• Marketers must accept the consumer´ prerogative to opt-

out of communication anytime

• When a consumer opts-out, no communication can take

place in that particular channel until a new opt-in is

acquired(c) Michael Leander Nielsen, 2009 29

Permission marketing in a multi-channel

world

Permission to any channel

of communication

• Email

• Direct mail

• SMS/MMS

• Telemarketing

• Etc.


Let the consumer decide – if you want


I don’t want your

emails – I only want

your printed

catalogue

Mobile marketing

Special guest: Con O´Donnell, Sarmady

Inc.


Sarmady

../../../../Desktop/Mobile Internet Sarmady.pptx

Websites and Usability out of the box



اإلنسان بالتفكير وهللا بالتدبير

Your nose is a part of you even if it

was cut (or ugly).


http://www.emka.si/default.aspx

Daring to go new ways

http://www.madrid-open.com/site/start

Really new ways: Will this influence?

http://www.greatpockets.com/index.php



http://www.greatpockets.com/

The sales funnel when building web sites

Can a different approach

turn more visitors into

customers?

Benefits of ”reinventing and innovating” –

take aways

• THINK: Sales funnel first

• Increase traffic to web properties

• Increase Word of Mouth

• Increase key web metrics

• A different perception of your company / brand

• A different perception of your image / identity

• Acknowledgement amongst your peers


ROMI – Return on Marketing Investment


What do you want to achieve?


Attract 20.000

newsletter

subscribers

Get 50000 people

to talk about

my product

Customer fan

club

Sell for € 1 mill

by Friday

Have 100.000 ppl.

watch my video

Understand Customer Lifetime Value

Set clear, measurable tangible goals for monetary actions

• Cost per sale

• Cost per repeat sale

• Referral value of customers

Set clear, measurable goals for non monetary actions

• Acquiring a permission

• Increasing the quality of your database

• Switching recipients from direct mail to email permission

Meeting Return on Marketing Investment goals

makes it more fun to be a marketer


Take aways

As a multi-channel direct marketer you must have the ability to

differentiate your approach depending on

• Status of permission and channels

• Value of customer

• Potential value of prospect (f.ex. unaddressed

communication)

• Gross profit (or revenue) you can achieve

• Timing, relevancy and ease and speed of buying


Understand how to utilize social networks

and social media


Social networking

and social media

is here to stay

How are you going

to tap into these

new channels?


Most people can recall at least 2 social

networks …



New applications add

social networking capabilities

by default, examples;

- Event-sites

- Photo sharing sites

- Blogs

- Professional online media

- TV stations etc.

Facebook numbers

• Egypt: 2.170.000 profiles – that’s nearly 20% of the

internet population in Egypt

How to engage – if you want to engage?


Engage through a profile (not)



70.500

fans

Promotions

And what about Twitter?


Launching a product utilizing the

community

BeoSound 3

Can you keep a

secret ?

400 ambassadors

chat with PM

Results amazing

PR 4 in 5 days

1 mill. + hits on page

in ”no time”

Aligning experience to product benefits


WillItBlendt_Iphone.flv

Understanding your audience and

anticipating their needs


The ultimate customer experience –

think automationAsk:

How can I deliver a great

customer experience

wherever I interact with

customers?

How can I utilize all customer

touch points for maximum benefit

to me and my customers?

How do I align that with my

ROMI and other objectives?

breakdown.mpg

57

Summary

First: Understand and know you target audience1. Think: How can I deliver a good-to-great customer

experience in digital/online channels?

2. Think: How can I stand out? What can I do to make

me unique and attractive?

3. Think: How do I implement a relevant permission

marketing program in various channels?

4. Think: How can I become part of the conversation

taking place online?

5. Think: How do I tie new channels in with my existing

marketing mix?


If none of this works:

Consider more

drastic means

cairo day1 part1 keynote dec2009pub

Business

michael leander

social media

permission

touch points

sales funnel

vp salesmarketing

customer

experience