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5 Essential (But Non-Conventional) Audience KPIs Daniel L. Williams | Chief Executive Officer | Leap Media Solutions And why you should be tracking them to measure audience engagement and growth

Five Essential (but Non-Conventional) Audience KPIs

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Daniel Williams' web presentation for the Inland Press Association in May 2014.

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Page 1: Five Essential (but Non-Conventional) Audience KPIs

5 Essential (But Non-Conventional)

Audience KPIs

Daniel L. Williams | Chief Executive Officer | Leap Media Solutions

And why you should be tracking them to measure audience engagement and growth

Page 2: Five Essential (but Non-Conventional) Audience KPIs

Strategic Imperative

Active subscriber households

Fully-activated Members

Retention Lift

Inland Press Association | 5 Essential But Non-Conventional KPIs

Customer relationships have become highly contextualized

Shift from an address-based to a user-based business model

Consumer monetization is taking on increasing importance

New and evolving ways to monetize audience (directly and indirectly)

The “Information Age” has given way to the “Attention Age”

Loyal readers engage brands across multiple publishing platforms

Newsmedia is well-positioned to capitalize on this strategic advantage

Page 3: Five Essential (but Non-Conventional) Audience KPIs

DIGITAL BRAND ENGAGEMENT

#1: Total Registered Site Users

Page 4: Five Essential (but Non-Conventional) Audience KPIs

#1: Total registered site visitors

Registration is a mechanism to establish a customer relationship among

otherwise anonymous readers.

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 5: Five Essential (but Non-Conventional) Audience KPIs

Registration offers insight out of anonymous users

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 6: Five Essential (but Non-Conventional) Audience KPIs

Registration establishes a customer relationship

Active subscriber households

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

Registered Users of TheDay.com (Past 3 Years)

Registered Users

Registered users of TheDay.com have grown +500% since the September 2011 launch of its membership model

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 7: Five Essential (but Non-Conventional) Audience KPIs

Registered users become qualified prospects

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 8: Five Essential (but Non-Conventional) Audience KPIs

CUSTOMER LIFECYCLE MANAGEMENT

#2: Percent of Subscribers With Valid Email

Page 9: Five Essential (but Non-Conventional) Audience KPIs

#2: Percent of subscribers with valid email

Registration is a mechanism to establish a customer relationship among

otherwise anonymous readers.

Email is a cost-effective and (for most) the preferred method of

communication relating to content, renewal and loyalty marketing

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 10: Five Essential (but Non-Conventional) Audience KPIs

Subscribers with email are more apt to engage

Inland Press Association | 5 Essential But Non-Conventional KPIs

Valid, deliverable emails exist on 57% of active subscriptions at The Day Publishing Company

Page 11: Five Essential (but Non-Conventional) Audience KPIs

Sub emails enable proactive lifecycle management

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 12: Five Essential (but Non-Conventional) Audience KPIs

…which drives renewal conversions

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 13: Five Essential (but Non-Conventional) Audience KPIs

Subscribers with email retain at higher levels

0

10

20

30

40

50

60

70

80

90

100

Starts 4 wks 8 wks 13 wks 26 wks 39 wks 52 wks 65 wks 78 wks

Page 14: Five Essential (but Non-Conventional) Audience KPIs

TOTAL BRAND ENGAGEMENT

#3: Percent Fully-Activated Customers

Page 15: Five Essential (but Non-Conventional) Audience KPIs

Percent fully-activated customers

Registration is a mechanism to establish a customer relationship among

otherwise anonymous readers.

Email is a cost-effective and (for many) a preferred method of

communication

Progressive marketing opportunity (i.e. maximized relationship)

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 16: Five Essential (but Non-Conventional) Audience KPIs

Progressive activation drives customer intelligence

Inland Press Association | 5 Essential But Non-Conventional KPIs

Jim Smith is a daily subscriber who lives at 23 Day Hill Road in Lyme, CT

He registers on TheDay.com as [email protected]

He links his daily subscription to his online profile to activate all-access

He RSVPs and attends the Mohegan Sun Winefest VIP member-only event

He signs on for the Daily Headlines, Monday Business and Thursday Events e-newsletters

He purchases a discounted car detailing offer through Deal of The Day

Page 17: Five Essential (but Non-Conventional) Audience KPIs

Fully-activated customers engage brand in many ways

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 18: Five Essential (but Non-Conventional) Audience KPIs

RELEVANT AFFINITY MARKETING

#4: Email By Lifestyle Interests

Page 19: Five Essential (but Non-Conventional) Audience KPIs

Email by lifestyle interests

Registration is a mechanism to establish a customer relationship among

otherwise anonymous readers.

Email is a cost-effective and (for many) a preferred method of

communication

Progressive marketing opportunity (i.e. maximized relationship)

Monetize audiences through sponsored content and other channels

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 20: Five Essential (but Non-Conventional) Audience KPIs

Customers can share interest data several ways

EMAIL DATABASE

SUBS

(Subscribers)

DIGITAL

(Registrations)

WEB FORMS

(Signups/Updates)

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 21: Five Essential (but Non-Conventional) Audience KPIs

Matching email to address provides useful insight

An email associated to a physical address provides insight on household demographic characteristics and lifestyle interests that become useful for affinity

content marketing and relevant, targeted advertising services.

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 22: Five Essential (but Non-Conventional) Audience KPIs

User-defined email preferences allows segmentation

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 23: Five Essential (but Non-Conventional) Audience KPIs

User-defined segmentation enables relevant marketing

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 24: Five Essential (but Non-Conventional) Audience KPIs

Affinity content generates revenue & brand loyalty

Affinity content e-newsletters average 23% open rates and 15% click-return rates. Sponsored ad positions are being sold for $10-12/M on 13-week flights.

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 25: Five Essential (but Non-Conventional) Audience KPIs

CONSUMER PROFIT OPTIMIZATION

#5: Revenue Per Digital Customer Record

Page 26: Five Essential (but Non-Conventional) Audience KPIs

Total revenue per digital customer record (DCR)

Registration is a mechanism to establish a customer relationship among

otherwise anonymous readers.

Email is a cost-effective and (for many) a preferred method of

communication

Progressive marketing opportunity (i.e. maximized relationship)

Monetize audiences through sponsored content and other channels

Holistic view toward consumer monetization, accounting for digital

advertising, content, deals, contests, newsletters and advertising services

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 27: Five Essential (but Non-Conventional) Audience KPIs

Digital consumer revenues come in many forms

CATEGORY 2010 2011 2012 2013

Digital Advertising Revenue 1,500,000 1,600,000 1,725,000 1,850,000

Digital Content Revenue - 30,000 125,000 160,000

Contest Marketing Revenue 10,000 95,000 115,000 87,500

Daily Deals Revenue 35,000 87,500 112,500 82,500

E-Newsletters Revenue - 33,000 98,000 255,000

Ad Campaign Services Revenue - 45,000 55,000 225,000

Total Annual Digital Revenues 1,545,000 1,890,500 2,230,500 2,660,000

Unique Digital Consumer Records (DCR) 12,132 32,249 48,975 58,642

Total Average Revenue/DCR $127.35 $58.62 $45.54 $45.36

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 28: Five Essential (but Non-Conventional) Audience KPIs

Incremental revenue per DCR is substantial

CATEGORY 2010 (Baseline) 2011 2012 2013

Digital Advertising Revenue 1,500,000 +100,000 +125,000 +125,000

Digital Content Revenue - +30,000 +95,000 +35,000

Contest Marketing Revenue 10,000 +85,000 +20,000 (27,500)

Daily Deals Revenue 35,000 +52,500 +25,000 (30,000)

E-Newsletters Revenue - +33,000 +65,000 +157,000

Ad Campaign Services Revenue - +45,000 +10,000 +170,000

Incremental Digital Revenue Growth 1,545,000 +345,500 +340,000 +429,500

Incremental DCR Growth - +20,117 +16,726 +9,667

Incremental Revenue per DCR - +$17.17 +$20.32 +$44.43

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 29: Five Essential (but Non-Conventional) Audience KPIs

A consumer monetization hierarchy…

Site Visitor Qualified Prospect Engaged Reader

Anonymous

Registered

Fully-Activated

Monetization:

• Page views

• Single copy

Monetization:

• Page views

• Subscription

• Deals

• Contests

• Metering

Monetization:

• Page views

• Subscription

• Deals

• Contests

• Metering

• Membership

• Clubs

• eNewsletters

• Affinity Content

• Brokered services

• Content Marketing

• Others…

Inland Press Association | 5 Essential But Non-Conventional KPIs

Page 30: Five Essential (but Non-Conventional) Audience KPIs

5 essential (but non-conventional) audience KPIs

Inland Press Association | 5 Essential But Non-Conventional KPIs

1. Total registered site users Registration is a mechanism to establish a customer relationship among otherwise anonymous readers

2. Percent of subscribers with valid email Email is a cost-effective and (for many) a preferred method of communication

3. Percent of “fully-activated” customers Progressive marketing opportunity (i.e. maximizing the customer relationship)

4. Email by lifestyle interests Monetize audiences through sponsored content and other channels

5. Revenue per digital customer record (DCR) Holistic view toward consumer monetization, accounting for digital advertising, content, deals, contests, newsletters and advertising services

Page 31: Five Essential (but Non-Conventional) Audience KPIs

Thank You

Dan Williams, Chief Executive Officer Leap Media Solutions, LLC

860.710.5323 | 860.710.5942 [email protected]

www.leapmediasolutions.com