marketo's secret sauce: smarter marketing for better results

© 2013 Marketo, Inc. Marketo Proprietary and Confidential

Marketo's Secret Sauce: Smarter Marketing for Better Results

How the experts at Marketo use marketing automation themselves

© 2013 Marketo, Inc. @jonmiller

Hi, I’m Jon MillerSubscribe to blog.marketo.com

@jonmiller

1. Born in Ethiopia2. Can dislocate my thumbs at will3. Studied Physics at Harvard, captain of high-

school debate team and newspaper staff4. My first child was born the same month that

we incorporated Marketo


Rapid Growth and Momentum

$0.7 $1.0 $1.2$1.6

$2.4$3.1

$4.0$4.6

$6.1

$7.4

$8.7

$10.1

$12.2

$13.9

$15.4

$16.8

$19.7

Q1 ‘09 Q1 ’10 Q1 ’11 Q1 ’12 Q1 ’13

135% Compounded Annual Revenue Growth

>2300Customers

Revenue (Millions)


INFORMATION SCARCITY

WE USED TO LIVE IN A WORLD OF


ABUNDANCEINFORMATION


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Marketo’s Revenue Cycle

TOFU MOFU

Opportunity Customer

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Nurturing Database

BOFU


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Nurturing Database

Exposed to us via content, brand, or word of mouth


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Nurturing Database

Feels a relationship and trust with us


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Nurturing Database

Names are just names.


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Meaningful interaction with us


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Nurturing Database

Meaningful interaction and qualified demographics

Nurture until ready for next step


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Nurturing Database

Live human interaction with an SDR


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Qualified as sales-ready by SDR


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Accepted and actively worked by sales


Sounds great, but I have almost 1 million

contacts!


Processes at scale


Inbound and Content Marketing


Blog, e-books, research data, funny videos, curated lists, infographics, webinars

NO

YES

MOSTLYNO

Thought leadership and enjoyable content to build brand and awareness

Tools that help buyers find you when they are looking for solutions

Company-specific information to help evaluate and reaffirm selection

Buying guides, RFP templates, ROI calculators, definitive guides, analyst reports

Pricing, demos, services information, 3rd party reviews, customer case studies

Gated?Early Stage

Middle Stage

Late Stage


Four Tips to Build Content Like Marketo

• Appoint executive editor• Invest in content creators

• Content consumers• Great communicators• Self-promoters

• Distribute creation: content staff + all internal + community-generated

• Create a content / social policy

Marketo invests 10% of marketing

headcount into content


Content Results

• Content “influencing” 45% of opportunities, “driving” 18% of opportunities

• 17% of contacts associated with new business opps also visited blog at least once in last 90 days

Source: Marketo Analytics screenshot


Paid Programs


Avg Demographic Score: Which programs bring in the targets we want?

$ / Target: Which programs bring in targets most cost-effectively?

% New: Where are we exhausting the lists?

Top Of Funnel Metrics (TOFU)


Source: Marketo Revenue Cycle Analytics, Q2-2013 paid programs only (as of 7/22/2013)

Sponsored email is the workhorse for TOFU

Tradeshows, events, and PPC drive expensive targets

Virtual tradeshows = low cost targets

But not all targets are equal value!


Sidebar on Social


Social is very important for brand and content amplification*

Paid social can work for lead gen, but ROI is average (exception: Slideshare Pro)

Note: New names from Social slow to convert to Opportunities – organic names are VERY slow

Source: Marketo Data as of Jun-2013; Marketo Revenue Cycle Analytics*Facebook “People Talking About Us” averages 9,200 a week

names ≠ targets


70% trust friends

and family

<20% trust

company messages


Re

ach

& E

ng

age

me

nt

Soci

al Li

ft

Soci

al Li

ft

Soci

al Li

ft

Soci

al Li

ft

Soci

al Li

ft

Landing Pages

Website Facebook Pages

Online Ads Email

Soci

al Li

ft

Events

Making Every Campaign Social


Test & Tune With Social Funnel Metrics

Measure,

Test and

Optimize

Coloring Book Results• 289 participants

shared• 354 registered

downloads• 19.8% increase in

registered downloads


Middle of the Funnel


But who is ready?You got them to the dance


All N

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LeadNurturi

ng

Lead Nurturing Plugs the LeakBuilding relationships with qualified prospects regardless of their timing to buy, with the goal of earning their business when they are ready.

Con

-ta

cte

d OpportunityS

ale

sLead

MQLSAL

SQL

Marketo Data:•% new Targets not Opp ready: 98%•Target to Opp time: 123 days avg•% Slow Leads: 80%•50% more MQLs at 33% lower cost per lead


Lead Nurturing Relevance

A

B

C

D

1 23

Stages1. BUYING STAGES

• Early• Mid and Late• Customer

2. BUYING PROFILES• Role (Marketing, Sales, Exec): 67%

• Industry: 82%• Company Size: 49%• Geography: 29%

Get The “Definitive Guide to Lead Nurturing”http://marketo.com/DG2LN

http://marketo.com/DG2LN



Send four educational / enjoyable messages for every one soft promotion and one hard promotion

The 4-1-1 Rule for Nurturing

4 1 1


Snippets for Scalability

A

B

C

D

E

F

Define Segments Create Snippets Create/Send One Email

Email 1

A

Email 1

B

Email 1

E

Email 1

F

Email 1

C

Email 1

D

Industry, Geography, Company Size, Customer vs Prospect, etc.


Example: Topic of Interest Triggers

• Attends event• Downloads content• Click email• Fills out form• Score is changed


Standard Nurture Triggered Interests Lift

Open % 21.7% Open % 34.0% 57%

Click to Open % 23.4% Click to Open % 37.1% 59%


Lead Scoring Defined

“Shared sales and marketing methodology for ranking leads in order to determine their sales readiness”

Nurture Nurture DisqualifyPass to Sales

Pass to Sales

Fit Interest Buying Stage

@jonmiller


Hard ROI of Lead Scoring

0%

5%

10%

15%

20%

25%

30%

35%

We pass every-thing to sales and let them cherry

pick

We score leads based on fit

We score leads based on fit as well

as interest

Revenue Growth vs Peers

0%

10%

20%

30%

40%

50%

60%

70%

We pass every-thing to sales and let them cherry

pick

We score leads based on fit

We score leads based on fit as well

as interest

Sales Time Spent Selling

Source: Marketo Benchmark on Revenue Performance as of May 10, 2012 (N=300)


Demographic “Fit” Score

Positive Demographic Score• e.g., Marketing Manager title, known CRM customer,

known competitive solution customer

Negative Demographic Score• e.g., Generic email address, illegitimate phone number,

non-existent company (unemployed, self, looking)

Data Augmentation Not Forms


• Early stage content +3• Attend webinar: +5• Visit any webpage /

blog : +1• Visit careers pages: -10• Decay inactivity:

-1, -5, -10

Latent Behaviors (Engagement)

• Pricing pages: +10 • Watch demos:

• +5 overview • +10 detailed

• Mid-stage content +8• Late-stage content +12• Searches for branded

keyword “Marketo” +8

Active Behaviors(Buying Intent)

Get The “Definitive Guide to Lead Scoring”http://marketo.com/DG2LS




Sort Score and Act Now• Free Trial form• Contact Me form• Key late stage content

Act N

ow

𝐒𝐨𝐫𝐭=𝑩𝒆𝒉𝒂𝒗𝒊𝒐𝒓 +(𝑷𝒐𝒔 𝑫𝒆𝒎𝒐𝒈𝒓𝒂𝒑𝒉𝒊𝒄 )𝟐− (𝑵𝒆𝒈𝑫𝒆𝒎𝒐𝒈𝒓𝒂𝒑𝒉𝒊𝒄 )𝟐

• Viewed weekly live demo• Viewed deep dive demo • Viewed demo on AppExchange• Request live demo

MQL > 53 sort score


Sales Development Reps (SDRs) Pass The Baton from Marketing to Sales

• Faster, more consistent, & better quality follow-up on leads

• Better economics• The human touch

enhances lead nurturing

• Better data and more metrics

• Talent development for sales

Best place for dramatic improvements in business performance are handoffs between functions


Stars and Flames show priority

Full list of Interesting Moments


No Lead Left Behind: Service Level Agreements

Day 0 Notification

Day 1 If untouched, reminder

Day 2 If untouched, reminder cc boss

Day 3 If untouched, alert executives

Day 7 If stale, reminder

Day 8 If stale, reminder cc boss

Day 9 If stale, alert executives


Revenue Analytics


Accurately Tracking “Investment” vs Budget


Why Measuring Return is Hard

• Multiple touches. Seven touches needed to convert a cold lead into a sale

• Multiple influencers. Typical buying committee has 5-21 people


Track All Touches Across People

Screenshot: Marketo Revenue Cycle Analytics


Screenshot: Marketo Revenue Cycle Analytics (actual data)


What Generates Pipeline for Marketo?

Source: Marketo Revenue Cycle Analytics, June 2013* Percentage of all programs in channel that achieve MT Ratio > 5

Nurture Email - CTA

Nurture Email

Paid Online (PPC+Email)

Nurture (New)

% Above Min*

N/A

52%

100%

39%

79%

46%100%

38%

N/AN/AN/A29%38%

52%7.6


Revenue Cycle Modeler



Filter/Drill into data, e.g. by Program Type, Business Unit, Geography, etc.

Key topic areas:• Balance (Reach)• Flow• Conversion• Velocity Trends over time



Marketing Forecasts

Get The “Definitive Guide to Marketing Metrics & ROI”http://marketo.com/DG2MM

http://bit.ly/DG2MM


Key Takeaways

1. The way buyers buy has changed forever – the way we market and sell must change as well

2. Publish / own content to help leads find you

3. Leverage peer-to-peer influence to give every campaign a social boost

4. Most leads are not “sales ready” – nurture relationships over time

5. Use analytics to turn marketing from a cost center into a revenue driver


Additional Resources

The Definitive Guide to Social Marketinghttp://marketo.com/DG2SM

The Definitive Guide to Marketing Metrics & ROIhttp://marketo.com/DG2MM

The Definitive Guide to Marketing Automationhttp://marketo.com/DG2MA

http://marketo.com/DG2SM

http://marketo.com/DG2MM

http://marketo.com/DG2MA

http://marketo.com/DG2MA


Marketo, Inc.901 Mariners IslandSuite 200San Mateo, CA 94404

Direct: +1.650.376-2310

blog.marketo.comwww.marketo.com

JON MILLERVP Marketing

[email protected]@jonmiller

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