Using the internet to build and enhance marketing relationships

Kurt Karlenzigchemistri

Today, I will attempt to answer these questions:

• What do companies want from relationships?• What do consumers want from relationships?• What is loyalty?• How do you use the internet effectively

enhance relationships?• Is bigger better?• What about cheese?

Introduction

Kurt Karlenzig• Leo Burnett - 10 years

– Working in interactive marketing for since 1995

co-founded chemistri in 2000

Clients

Relationship is a complicated word

Re-la-tion-shipNoun, circa 17441: the state of being related or interrelated2: the relation connecting participants in a

relationship: as a: KINSHIP b: a specific instance or type of kinship

3a: a state of affairs existing between those having relations or dealings <had a good relationship with his family> b: a romantic or passionate attachment

Marketers want relationships because:

• They want to learn more• Identify purchasing habits

– Develop methods to increase frequency

• Focus on most profitable customers– Build “loyalty”

For many the ultimate goal is to control the relationship

“Profit in business comes from repeat customers that boast about your product or service, and that bring friends with them.”

- W. Edwards Deming

The internet puts consumers in control

• “I don’t want a relationship with an aspirin brand I just want my headache to go away”– Consumers don’t think about relationships and brand

loyalty the way companies do

• Choice & control empower consumers– Able to filter messages

• Numerous ways to interact with brands– Detailed product information available 24/7– Comparison shopping giving near perfect information– 3rd party and community forums rate your product or

service• People love to share their opinions

Connection

Building blocks of a relationship

Understanding

Mutual Benefit

Trust

Building internet relationships also requires:

• Convenience• User and brand experience• Utility or application

The chemistri processeverything is designed to elicit a response

Role of onlinein a communications plan

Role of online in a communications plan

Guiding principals for success

• Develop and create content mapped to consumers insights – Content should also be appropriate to the context in

which it is delivered• Integrate with the brand’s “Zen”• Leverage the real power of the Internet

– Interactivity, personalization– A richer, engaging experience– Multiple channels of connectivity

• Build a relationship that ‘pulls through’ to purchase • Optimize throughout the process

Case StudyUS Army- goarmy.com

www.goarmy.com

Mission

Increase Army Recruitment via…– Addressing common mis-perceptions and

barriers– Re-casting Army image to increase relevance– Drive and automate lead generation process

Finding the right audience

• Segmentation study to determine best prospects

• Identified six key segments representing 20% of target universe

Address common barriers

• Not for people like me• Better Career Options• Misperceptions of Army Experience• Fear of Unknown

Recast image to increase relevance

• Soldier Profiles• Highlight competitive realities from

career/growth perspective• Bolster heroic image• Customize messages to specific targets

Drive lead generation

• Off-line stories drive viewers on-line• Enhanced paper based system with more

relevant leads• Re-tooled goarmy.com to provide more

segmented experience– Webisodes, profiles, MOS (job finder),

customized messages and content

Results

– First time in 3 years exceeded recruitment goals

• Completed ’01 goals 30 days ahead of schedule

• Leads up over 30%

– Increase goarmy.com site traffic by 150%– Longer site visits & more page views – Internet is now the # 1 source of qualified

leads at the lowest cost per lead

Keys to success

• Knowledge of the segments (audience)helped to identify proper media & messaging

• Integration between off/on-line efforts• Delivering on expected messages pivotal

to conversion (enlistment)• Right messages delivered at the right time

in the right place• Ability to further engage the audience with

brand helps to pre-qualify leads

Is bigger better?Compare and contrast - Airline programs

American AirlinesJet Blue

American Airlines offers a lot on it’s website…

The first (and largest) loyalty program

Jet Blue keeps it simple

The brand’s personality is very consistent

Other Examples

AmazonMiniKraft

Amazon constantly builds on relationships

“Not everything that can be counted counts, and not everything that counts can be counted.”

- Albert Einstein

But sometimes… it’s data is not in sync

Let’s put those middle fingers away

Mini splash

Home

Gallery

Build your own

Motor on

Mission mini - promotion

Keys to success

• Complete integration of the brand character in all messaging

• Motor on is more than a tagline -it’s a lifestyle– Gives a reason for consumers to stay

connected• Website has all the expected consumer wants

and some unexpected elements– all delivered in a fresh and intuitive manner

• Promotion (Mission mini) is not about price - It’s about exploring the brand

But what about cheese?

Recipes are Kraft’s connection to consumers

Consumer participation adds to the experience

Keys to success

• True to brand• The right elements for consumer

expectations– Recipes– Promotions– Product information

• Audience (community) participation creates a forum that is more valuable than a pure company site

“You’ve got to very careful if you don’t where you’re going, because you might not get there.”

- Yogi Berra

Summary

• Know your brand– Stay true to the “Zen”

• Know your audience– Know what they want from you

• Be consistent• Offer something unique

Summary

• Successful companies get the customer (consumer) involved– Over-reliance on data alone can lead to flawed

communications with consumers• Expect to continually enhance online offerings based on

audience response• Set realistic success goals

– Relationships take time

Thank you

Kurt Karlenzigk.karlenzig @ attbi.com

kurt @ chemistri.com