Presentation on theme: "ECMOD London, Oct 6-7 th, 2010 Terry Jukes - President B2B Direct Marketing Intelligence, LLC. www.b2bdmi.com."— Presentation transcript:
ECMOD London, Oct 6-7 th, 2010 Terry Jukes - President B2B Direct Marketing Intelligence, LLC.
ECMOD We Are Conductors! Most B2B marketers today are conductors of their multi-channel orchestra. Conducting has become increasingly complicated with many new instruments. Historically, spending on outbound telesales has steadily grown. Recently online marketing expenditures have skyrocketed.
Offline: 1. Retail stores? 2. PR? 3. Sponsorships? 4. Distribution deals? 5. Field sales? 6. Dealer networks? 7. Wholesale? Online: 1. Webinars? 2. Podcasts? 3. Online videos? 4. Blogging? 5. Landing pages? 6. Net gnat brands? 7. Content ECMOD … Plus Other Marketing Investments
ECMOD How do we evaluate our various activities in a way that allows us to constantly adapt and re-balance our investments?
How do you effectively measure all your diverse activity with a common yardstick and effectively allocate your scarce marketing dollars? How do you move towards real time, automated, customer driven, interactive, marketing spending? Where do you start? ECMOD Where To Begin?
What are some of the commonly used measurements? ECMOD 2010
Orders # Sales $ Net RRs % New orders, sales, RRs. Incremental orders, sales, RRs. AOV, MOV Margin $,% Costs (fixed and variable) Contribution margin New site/name acquisition costs. Repurchase rates Retention LTV Others? ECMOD Common Campaign Measurements
RR, AOV, MOV, LPO, UPO, $/cat, $/page, Sales first 14 or 21 days…to forecast Sales by product category Performance vs. forecast (curve) Yr/Yr results Merge/purge results, match back results Seed measurements-timeliness, quality Marketing contribution Others? ECMOD Mail Measurements: Catalog, Solo Mail
By Dept. Sales, calls, orders, total talk time, man-hours, payroll, $sales/$payroll, available time/paid time, data collection, up sell, retention, By Rep: Sales, calls, orders, UPO, LPO, available time, total talk time, avg talk time, quality (qualitative), data collection, up sell, retention Product test scores (training) Others? ECMOD Inbound Phone Measurements
By Dept. Net leads, Calls, connects, presentations, talk time, closes, rejects, Sales, AOV, MOV, UPO, LPO, coverage/penetration of file, returns, payroll/overhead to sales, retention/react. By Rep. Calls, connects, presentations, talk time, available time, closes, rejects, Sales, AOV, UPO, LPO, performance rank, returns, retention/react, quality. Other? ECMOD Outbound (Program) Telesales
By rep: # accts assigned, Q/Q, Y/Y acct growth/decline and comparison to control, site penetration (share of wallet), product category penetration, sales trends by site, calls, talk time, personalized faxes/ s sent/received, quotes presented, talk time, available talk time, paid time, $/names managed/mailed, AOV, LPO, UPO, personalization/custom order rate, name/site retention/order frequency….and the qualitative measures. By dept. All of the above, payroll/overhead to name, site and revenue growth. Other? ECMOD Account Management Sales
Traffic sources, search terms, site rank Direct entry URL Proprietary versus non-proprietary search terms Organic listing or PPC Links/Affiliates/ => landing page Pages opened, viewed, printed, time spent. New visitors vs. repeat visitors. Registrations…varying levels. Total visits, page views, driver of visit? Abandon shopping carts. Other? ECMOD Website Measurements WWW
For each activity, develop a summary of what you put out (costs, time) compared to what you get back and when/where. Where you dont have hard numbers, assign a judgmental value or allocation. Come to a bottom line to be used for comparing and balancing your marketing investments. Continue to improve and refine your measurement system. Find ways to make it work versus reasons why it cant. Avoid silo decision making. ECMOD Measuring Multi-channel Marketing
ECMOD What Could Another $100K Produce? ActivityLast $100K?Next $100KAction Prospect Mail Generate sales($50,000)($75,000)Hold Acquire new customers$100,000$75,000Invest Customer Mail Generate sales$200,000$100,000Hold Retain names/sites$50,000$10,000Hold Inbound sales training$300,000 Invest OBTM Program 1$500,000$300,000Invest Program 2$100,000($50,000)Hold Program 3$10,000($90,000)Reduce Program 4 - New $400,000Test Online Mktg Site$1,000,000$250,000Hold SEM$1,000,000$1,500,000Invest PPC$700,000$200,000Hold $2,000,000$300,000Hold PR Sponsorships Field Sales Other
Is there an opportunity to improve matchback processes? Capture source data for online orders. Direct entry (branded)URL Proprietary or non-proprietary search term Click on search result or PPC ad. Capture sales rep code National acct rep and OBTM rep ECMOD MatchBack PLUS
What marketing activity gets what % of the credit? Online order, direct entry URL, assigned rep? Online order, proprietary search, PPC click, no catalog mailed? Online order, non-proprietary search, catalog mailed? Online order, non-proprietary search, PPC, competitors catalog mailed. Inbound phone order, OBTM called? Online order from campaign? ECMOD Fractionally Allocate Orders
Situation: B2B Catalog with inbound, outbound (program and relationship) and online marketing efforts. How were various efforts measured, assessed, rewarded? ECMOD Case Study – B2B Catalog
Inbound Sales Reps given training & quality standards Comparative performance posted and discussed Monthly bonuses for top quartile performers Sales, Gross Margin AOV Up-sell = units per order/UPO Cross-sell = lines per order/LPO Did not reward calls, call length, time connected, etc. ECMOD Case Study – B2B Catalog
Program telemarketing Dials, talk time, file penetration, presentations coached with guidelines. Orders, sales and margins rewarded with percentage commission. Credit given for inbound orders received from customers pitched within 14 days. No extra credit given for callback (inbound)orders. ECMOD Case Study – B2B Catalog
Relationship sales Approx. 500 assigned accounts with prior year orders/revenue/margin base established. Annual/quarterly goals set. New account and penetration of existing goals set. Monthly commission paid on incremental gross margin generated. All catalog and promotional expenses charged to the reps P&L. Ghost territory held for comparison ECMOD Case Study – B2B Catalog
Catalog mailings Source code tracking with quarterly match back analysis. Catalogs had item pre-fix codes and some had special pricing ($.97) Direct entry and proprietary search term orders 80% allocated to the mailings. White mail 100% catalog ECMOD Case Study – B2B Catalog
programs Triggered Order, Ship confirmation, Abandon Cart, New customer (name), Account details change, Lapsed customer Promotional Consumables continuity Seasonal products and annual events (i.e. back to school) New product introductions Cross-sell offers Non-seasonal events (i.e. oil spill) CTRs, conversion, promo products vs. other. ECMOD Case Study – B2B
SEM Non-proprietary search terms captured to order 80% credit to SEO, 20% site maintenance PPC Non-proprietary search terms, Click PPC -80% SEO, 20% PPC Click organic listing – 100% SEO Affiliates & Online advertising 100% to activity ECMOD Case Study – B2B Catalog WWW
Terry Jukes - President B2B Direct Marketing Intelligence LLC