© IDM Academy 2008 Web Analytics for DM Matthew Tod CEO Logan Tod & Co

© IDM Academy 2008 Who are Logan Tod & Co? Twenty five Covent Garden based online optimisation consultants with over fifty years of web analytics experience across 12 major tools The team analyses site and campaign performance and helps clients implement actions to improve conversion rates & sales

© IDM Academy 2008 The issue The new online marketing techniques have eclipsed DM because: –They are more measurable, –They are more flexible –They are more effective So is DM in terminal decline? –Costs are rising –Response is declining –It is not seen as a relevant media choice

© IDM Academy 2008 But is this scenario really true? The lack of real understanding of how consumers use the web to research, decide and buy products, coupled with basic tracking errors, are causing marketing departments to make incorrect investment decisions

© IDM Academy 2008 In the beginning it was so easy! campaignDM Campaign Banner campaign Single Access %

© IDM Academy 2008 The impact of an offline campaign ResponseDM campaign campaign Affiliate PPC campaigns Natural search DM will drive sales through other channels – why? Because that is how we all behave now!

© IDM Academy 2008 How campaigns really interact Offline Campaign 2 Google Campaign 3 Initial visit Shopping visit 1. “Gary Lineker” value attributed to this click. It was the last click, so is credited with the goal 2. This campaign generated the initial engagement, but no value attributed to it.  3. Engagement here is of real value, but it is not counted as a success  Checkout A SALE! Online Campaign 1

© IDM Academy 2008 So what is really happening? DM boosts online channels –Raises response and effectiveness of other channels Response is often far greater than is measured by traditional techniques –And results are often misallocated and double counted Consumers take more than one visit before deciding to make a purchase in many instances and this confuses reporting Site is often the weakest link in converting Interest into Action – it fails to convert interest into action

© IDM Academy 2008 A Hypothesis Demand Generation Persuading people that a product is of interest and is something to consider Offline media does this really well Demand Harvesting Funnel people who are “in the market” to your site to research, decide and buy Most online media is great at doing this

© IDM Academy 2008 What should you do to better understand the role & impact of DM? Match-back & de-duplicate to understand campaign respondents –We mailed you, and you responded Web analytics to analyse people who engaged but did not respond –We mailed you, and you looked but did not respond directly

© IDM Academy 2008 Match-back the respondent to the original mailing ResponseDM campaign campaign Affiliate PPC campaigns Natural search If a respondent’s address matches the mailed address then REGARDLESS of channel the DM campaign probably played a role

© IDM Academy 2008 Match-back: Capture online source to derive further insight CustomersProspects Mailed10000 Phone14574 Post159 Web Direct3212 Web 242 Web PPC4831 Web Natural search3214 Web Affiliate1512 Total Response rate3.1%1.5% To do this you have to capture online campaign codes with the response form and analyse matched-back data

© IDM Academy 2008 Web Analytics: Segmentation is the key to insight from web analytics First time visitors –Have never been seen on the website before Returning visitors –Have previously visited the site Existing Customers –Have taken an action that leads you to believe they are customers Brand navigators –Use your brand name to find the site Generic term searchers –Looking for something, but necessarily you Specific product searchers –Looking for your product

© IDM Academy 2008 Segmented data allows more insight Each segment has its own pattern, due to the different campaigns being run online & offline When you have the correct segments properly configured you can start to correlate with offline activity

© IDM Academy 2008 Segmentation exposes behaviour Enormous behaviour differences through out the entire customer journey are apparent for the Prospect segment

© IDM Academy 2008 To summarise DM / Online analysis: It is messy, complex and not well understood There is a need for businesses to look afresh at how they report on campaigns Match-back with added web data is the best solution for respondents Detailed web analytics work can show the engagement generated by DM campaigns

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