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Scandic case – Improving ROI
• Cost for performance based marketing
- 50 %
• Profit from Paid Search
+ 31 %
CHANGING PERSPECTIVES
Masaccio 1401 – 1428
Changing the perspective
together with
Improving Campaign ROI
• By working with Marketing Channel Management, Scandic has been able to
reduce performance based costs with 50 % from:
Yellow Pages (saving of 540,000 SEK/year)
Partners
Affiliate networks (saving of 2,500,000 SEK/year)
• Paid Search is now optimized through an automated process and the profit
from PPC is up 31 %
• Last year 17 % of the bookings came from the Web. This year the share is
allready 20 %
Scandic works with a Continious Improvement Process
• Collects relevant data
• Easy-to-use reports
• People to analyse the data
• Act/optimize on your findings
Measure
Report
Analyse
Act/ Optimize
The Multi Channel Landscape
Affiliates Direct
Typed/Bookmarked
Social
Partners Email
Paid Search
Organic Search
Yellow Pages
What used to be the Goal
• Get as many users as possible to the site
• And then Lets Hope someone converts
The new objective
• Get the users that want to convert
Conversion
2D Conversion
Tracking
An example of a customer journey
Tags to track conversion
• All partners wants you to tag your site with their tag to measure the effect of
your online campaign
• Everything is based on Last Touch Attribution
• This only provides the possibillity of a 2D Converson Tracking
<script>
_________
________
_____
<script>
_________
________
_____
<script>
_________
________
_____
How the Vendors/Partners see it
Date Units Revenue
2012-05-06 1 120 €
Date Units Revenue
2012-05-06 1 120 €
Date Units Revenue
2012-05-06 1 120 €
How You use to see it
Date Units Revenue
2012-05-06 1 120 €
So the numbers don’t add up
Month Units Revenue
January 10 1,200 €
February 9 1,000 €
March 12 2,100 €
Vendor conversion figures Your conversion figures
Month Units Revenue
January 7 700 €
Ferbuary 6 650 €
March 9 1500 €
You don’t have the Same Picture
3D Conversion
Tracking
Single Source
How to use the Single Source
• You need to decide to use one source for your onsite conversion figures
with your vendors
− This is preferably your Web Analytics solution
− For Scandic this is Adobe SiteCatalyst
• Base your contracts on the decided source
• Other system can support parts of the process
− Use them as tools for optimization
− Compliment onsite figures with offsite information
− Facilitate commision based advertizing based on conversions
Track All Campaigns with tracking codes
• You must have correct data for
the 360 overview
• Use tracking codes
− Added to the landing page URL
− Use unique ID’s for your campaigns
− Have an inventory of your ID’s
• If campaigns are missing tracking
codes your data will not be
correct
• Impossible to fix retroactively
• Countquest have helped Scandic
to build a Tracking Code template
to administrate this
Tag management
• Scandic use Adobe Tag Manager
• A single tag calls a container hosting all scripts
• You can control tracking with rules/conditions
• Less involvement from IT
− The Scandic e-commerce team are now in charge of the Scripts
<script>
_________
________
_____
<script>
_________
________
_____
<script>
_________
________
_____
Tag Manager
Container
Example with Zanox Affiliate network
• An affiliate network solves a lot
of practicallities for the
Advertizer
− Acquisition of publishers
− Ad management
− Payments to publishers
• Everything works as usual in the Affiliate setup
• Except! Only run the conversion script when the SiteCatalyst campaign
cookie has the value ”Zanox”
• Then Zanox will close the loop by paying the Publisher
Scandic uses Tag Management to get the 3D effect
Cookie=Zanox?
Yes
<script>
_________
________
_____
Managing Paid Search
Scandic Paid Search charge out model
• Scandic works with a performance based approach to Paid Search even
though it is a Pay Per Click payment model
• PPC costs are allocated to the different hotels based on performance
• The different Hotels pays for conversions
• Countquest extracts the data in an Excel report, based on Adobe Report
Builder, to facilitate the Charge Out
Paid Search automated optimization
• Scandic uses Marin Software to find relevant unused keywords
• The system then optimize the bidding based on CPA (Cost Per Acquisition)
• SiteCatalyst feeds the result back to Marin
− Conversion from Paid Search by Hotel by Lead Time
• We have used Adobe DataWarehouse to automate the process
New way to look at the data
• Multi-Channel reports show the result of the channels your customers
interacted with during the 30 days before conversion or purchase
• Campaign and non-campaign channels (typed/bookmarked, referrals) are
combined in the reporting
• Split Channels in Branded vs Non Branded
So now you have a New Perspective
Typed/Bookmarked
And Loads of New Reporting
• See the first channel the user interacted with before a specific conversion
• See the last channel the user interacted with before a specific conversion
• Know which channels assisted the conversion
• Get conversion paths that illustrates the routes that your customers take
VS VS
Find synergies in your channels
• Scandic findings when using SiteCatalyst Marketing Channel
Social drives Direct
Generic Paid Search drives Branded Paid Search
Better informed decissions
• Compare values across
channels
− Including paid and organic search,
email, affiliate marketing, display
ads and more
• See how your marketing
channels work together
• What type of marketing mix
should we have
• Create budgets based on more
realistic values
Conclusion or Our Recommendation
To work with Marketing Channel Management in an efficient way
• You need to agree upon a single source approach
− Base your agreements on this
• Consider using a Tag Management system
− Many alternatives with different level of sofistication
• Make good use of Marketing Automation
− Supporting technology can help marketers perform the time-consuming
aspects of Digital Marketing
• Apply a multi touch approach to your analysis
− Find out how different channels work together
CountQuest is here through out the conference.
Come and see us at the exhibition area!