Whats Hot in Digital Marketing?

WHAT’S HOT IN DIGITAL MARKETING?July 26, 2011

@AaronGoldman#OMSCHI

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Heat-o-Meter

Companies

Channels

Macro Trends

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COMPANIESFeeling Hot, Hot, Hot!

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Facebook

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Facebook

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Facebook

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Facebook

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Facebook

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Facebook

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Groupon

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Groupon

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Groupon

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Groupon

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Apple

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Apple

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Apple

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Google

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Google

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Google

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Google

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LinkedIn

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LinkedIn

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Twitter

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Twitter

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Microsoft

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Microsoft

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Microsoft

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Yahoo

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Yahoo

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Yahoo

Source: SEMPO State of Search 2011

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CHANNELSThe Heat is On!

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Social

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Social

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Social

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Social

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Social

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Mobile

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Mobile

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Mobile

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Mobile

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Mobile

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Local

Local Ad Spending (2010-2014, $Billion) Source: BIA/KelseyYear Traditional Online Traditional

ShareTotal

2010 $113.6 $19.6 85% $133.32011 119.2 23.0 83 133.22012 110.4 26.8 80 137.32013 109.3 30.9 78 140.22014 110.0 35.2 76 145.2

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Local Ad Spending (2010-2014, $Billion) Source: BIA/KelseyYear Traditional Online Traditional

ShareTotal

2010 $113.6 $19.6 85% $133.32011 119.2 23.0 83 133.22012 110.4 26.8 80 137.32013 109.3 30.9 78 140.22014 110.0 35.2 76 145.2

Local

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Local Ad Spending (2010-2014, $Billion) Source: BIA/KelseyYear Traditional Online Traditional

ShareTotal

2010 $113.6 $19.6 85% $133.32011 119.2 23.0 83 133.22012 110.4 26.8 80 137.32013 109.3 30.9 78 140.22014 110.0 35.2 76 145.2

Local

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Local Ad Spending (2010-2014, $Billion) Source: BIA/KelseyYear Traditional Online Traditional

ShareTotal

2010 $113.6 $19.6 85% $133.32011 119.2 23.0 83 133.22012 110.4 26.8 80 137.32013 109.3 30.9 78 140.22014 110.0 35.2 76 145.2

Local

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Local

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Video

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Video

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Search

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Search

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Search

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Display

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Display

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Display

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Display

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MACRO TRENDSIf You Can’t Stand the Heat, Get Out of the Kitchen!

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Automation

Source: SEMPO State of Search 2011

Dynamic SEM Merchandising

Attributes

Store: 123Metro: MSPCity: BloomingtonCategory: Living RoomSubCategory: SofaSize: LargeBrand: King’sItem SKU: 527 510 480 10Name: Soft FieldColor: Lime GreenPrice: $550.00Inventory: 12

Auto Keyword Expansion

Category + BrandSub-Category + BrandCategory + Color + BrandBrand + Sub-Category Brand + CategoryBrand + NameName + ColorSize + NameName + BrandBrand + LocationLocation + InventoryCategory + Location

Auto Campaign & Ad Group Creation

Dynamic Ad Creation

King’s Soft Field SofaOnly 12 left at $550.00.Price Match Guaranteewww.acme.com/LivingRoom/Sofa

PriceKeyword Combos

Promotions

Category

Brand

Inventory

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Dynamic SEM Merchandising

Attributes

Store: 123Metro: MSPCity: BloomingtonCategory: Living RoomSubCategory: SofaSize: LargeBrand: King’sItem SKU: 527 510 480 10Name: Soft FieldColor: Lime GreenPrice: $550.00Inventory: 12

Auto Keyword Expansion

Category + BrandSub-Category + BrandCategory + Color + BrandBrand + Sub-Category Brand + CategoryBrand + NameName + ColorSize + NameName + BrandBrand + LocationLocation + InventoryCategory + Location

Auto Campaign & Ad Group Creation

Dynamic Ad Creation

King’s Soft Field SofaOnly 12 left at $550.00.Price Match Guaranteewww.acme.com/LivingRoom/Sofa

PriceKeyword Combos

Promotions

Category

Brand

Inventory

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Top 500 internet retailer drives 200%+ increase in ROI through dynamic campaigns

ROI increased on average from $ 2.94 to $ 6.41 

2.6 Million Keywords and 1.5 Million Ads Created into Highly Granular Campaigns (categories, styles, SKUs)

Proof Point

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Real-time URL Monitoring

Turnkey Solution for Maintaining Optimal Landing Pages– Uses web-bot (does not scrape live ads) – Triple error verification to reduce false positives– Minimal website footprint (loads code only, no image rendering)– Provides alerts that can be immediately acted on to repair campaigns

Website Errors

• 404 Page Not Found

• Extraneous Load Times

Redirection Errors

• Too many redirects• Tracking

parameter causes broken link

Out of Date Errors

• Product not found• Promotion ended

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URL Monitoring

Turnkey Solution for Maintaining Optimal Landing Pages– Uses web-bot (does not scrape live ads) – Triple error verification to reduce false positives– Minimal website footprint (loads code only, no image rendering)– Provides alerts that can be immediately acted on to repair campaigns

Website Errors

• 404 Page Not Found

• Extraneous Load Times

Redirection Errors

• Too many redirects• Tracking

parameter causes broken link

Out of Date Errors

• Product not found• Promotion ended

Random Sample of 10 Kenshoo Watchdog Users:

3.21% of all links checked were brokenAverage value of a single broken link: $54.37

(Based on 7 day look-back for ad spend) 

Proof Point

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Integration

Source: SEMPO State of Search 2011

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Connect the Dots Offline

Call Conversion Optimization

Promotion Conversion Optimization

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Connect the Dots Offline

Call Conversion Optimization

Promotion Conversion Optimization

B2C Furniture Retailer Gets Big Lift

Accounting for Offline Phone Conversions

Driven by SEM

31% of total revenue driven offline38% increase in Average Order Value130% increase in ROI

Proof Point

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Attribution

Source: SEMPO State of Search 2011

Give Credit Where It’s Due

Keyword 1

Green T-ShirtGreat PricesT-shirt.com

Blue T-ShirtGreat PricesT-shirt.com

Keyword 2

Red T-ShirtXL Size Available

T-shirt.com

Keyword 3

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Most advertising tracking systems report and act on only the last click prior to purchase

6 0 %2 5 %1 0 %5 % 4 0 %1 0 %1 0 %4 0 % 2 5 %2 5 %2 5 %2 5 % 1 0 0 %0 %0 %0 % (Last Click)

Attribution Models

Linear Ratio

U Shaped

Distribute Evenly

Single Click Only (First or Last)

Give Credit Where It’s Due

Keyword 1

Green T-ShirtGreat PricesT-shirt.com

Blue T-ShirtGreat PricesT-shirt.com

Keyword 2

Red T-ShirtXL Size Available

T-shirt.com

Keyword 3

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Most advertising tracking systems report and act on only the last click prior to purchase

6 0 %2 5 %1 0 %5 % 4 0 %1 0 %1 0 %4 0 % 2 5 %2 5 %2 5 %2 5 % 1 0 0 %0 %0 %0 % (Last Click)

Attribution Models

Linear Ratio

U Shaped

Distribute Evenly

Single Click Only (First or Last)

14% increase in Facebook revenue for apparel advertiser with 1st click attribution

Proof Point

Search + Social = 3

Top 100 Internet Retailer running DR search and social campaigns on Kenshoo platform, both with positive ROI 20% of all conversion paths showed ad clicks from more than one channel (search and social)– Over 1/3 had brand queries in the path to conversion– Consumers discover brand on FB and then search for it by name

Logarithmic Distribution of Keywords in Multi-Channel Conversion Paths Source: Kenshoo Social

Kenshoo Case Study – Search & Social

Top 100 Internet Retailer running DR search and social campaigns, both with positive ROI 20% of all conversion paths showed ad clicks from more than one channel (search and social)– Over 1/3 had brand queries in the path to conversion– Consumers discover brand on FB and then search for it by name

Logarithmic Distribution of Keywords in Multi-Channel Conversion Paths Source: Kenshoo Social

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STAY COOL!Aaron.Goldman@Kenshoo.com

@AaronGoldman#OMSCHI