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experience. the difference.
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Getting Digital Marketing Right
Contents• Introduction
03• Mobile
05• Video
06• Programmatic
07• Personalisation
08• Data
09• Summary 10• TORI’s Key Pillars of Digital Marketing Success
11• About the Author
12• About TORI Global 13
2
Introduction
I increasingly hear that we should stop talking about digital because everything is digital, and how true that is, digital is now the norm for how brands interact with their customers and audience. By 2020, 30 billion devices will be wirelessly connected, supporting a global digital services market worth as much as the entire UK economy1! However with the pace of change in digital it can sometimes be easy to forget that the digital revolution is still in its early days.
What this does mean is that brands and advertisers alike must focus on that all important customer experience… sounds like I’m stating the obvious? BUT can you honestly not recall a bad experience online recently, or an experience where you were frustrated over how a brand you interact with regularly just didn’t seem to know you?
Just like in the noughties when brands started waking up to the importance and indeed value of customer service and started making efforts to improve it, it took quite some time, many years in fact and several shamings of major brands by the likes of Watchdog before major changes were actually achieved (and much of that was thanks to technology). We seem to be in the same place today with user experience (UX). For a good few years now brands have been increasingly focussed on UX but few if any have found that UX nirvana across the digital journey and not just at the individual touchpoints that too many still focus on.
With digital media consumption continually growing, and already representing nearly 50% of all media consumption in the UK, consumers now vote with their browser and 25% of us will switch to the next best choice in the blink of an eye2. Organisations will do well to recognise digital as a new basis of competition, and determine what the “perfect marriage” of online and traditional is for their customers.
31 Gartner, Forecast: The Internet of Things, Worldwide, 20132 Research by Thunderhead and Populus 2015
Introduction
And nowhere is this more pertinent than in the digital marketing strategy; how your brand is seen by your customers, your target audience and your coveted future customer. With >71% of UK consumers starting the path to purchase online1 and in financial services over 55% of consumers doing their research using digital channels2, never has it been truer that Getting Digital Right is the Chief MarketingOfficer’s single biggest business opportunity; Simply put, know how the consumer interacts anywhere and everywhere with your brand and develop a strategy to improve it.
But I still see stats like:• 53% of European businesses have no enterprise-wide digital
strategy3• 38% of organisations set digital marketing strategies in silos3• 41% of organisations have yet to centralize brand strategy
planning3And it goes on……Excellence in digital marketing, from search engine optimisation to using great design to achieve outstanding and memorable user experiences to personalisation, will reap the reward for those businesses selling products or services online and build brand loyalty.
41 GI Insight2 McKinsey consumer research 2016 3 Millward Brown Digital “Getting Digital Right” study
Mobile
In 2015 e-commerce transactions among digital retailers in the UK accounted for 45.6% of total ecommerce transactions1.
According to eMarketer predications, there will be 43.6 million smartphone users in 2017 with the UK ranking third highest globally for smartphone penetration at 81% and tablet penetration in the UK reaching nearly 70%.
According to Zenith Optimedia 71% of UK internet is now mobile.
Mobile shopping in the UK is big! In 2017 there will be more than 40 million mobile shoppers representing some 89% of all digital shoppers, with 29% saying they pay for things via a mobile device “a few times a week”, this will only continue to grow.
Data from Deloitte forecast that in 2016, mobile influenced $689bn in US in-store sales, up from just $158bn in 2012 – a compound annual growth rate of 45%.
More than 80% of agencies and advertisers expect to increase mobile marketing budgets in the next 12 months2 and over 72% of UK agencies and marketers surveyed said they already used location-based mobile marketing of some kind, and a further 21.3% planned to do so3.
51 Q4 2015 data from Criteo2 Publicitas Marketing Priorities 20163 Pinpoint research April 2016
Video
Video advertising platforms and technologies erupted in 2016 and will certainly continue at pace for the coming years. Advertisers are spending more on video advertising, more than $10m annually, representing 85% growth 2014 to 20161. This is faster growth than any other form of digital advertising so video should certainly not be overlooked.
With more and more consumers moving to video media consumption, 71% of UK users consume video content on four or more devices compared to 0.1% on a single device, there is no better way for brands to connect with their audience in a meaningful way, if done unobtrusively. For instance, in-article video ads drove purchase intent 27% higher than skippable preroll ads or video ads in social feeds!
But it is important to define the ROI objective for video campaign measure and, if viewable video impressions (viewability) are important, understand clearly what that means for your video tech provider, as it varies considerably! Last year view through rate (where viewers watch the entire ad) beat viewability, increasing from 53% in H1 to 62% in Q32. In the same period viewability became the main campaign objective for just 5% of campaigns2.
In 2016 mobile outperformed desktop for video ads in viewability with 73% compared to 64% respectively.
61 2016 IAB Video Ad Spend Survey2 Videology analyses
Source: 2016 IAB Video Ad Spend Survey
Programmatic
Programmatic has had a bad time of it and still leaves a bad taste for many marketers. Programmatic has a reputation for being just cheap unsold inventory, which is far from the case if done correctly. Think of programmatic as simply a bit of tech that enables an automated way of buying inventory, whether directly from the media owner or via auction. The technology has transformed the industry, makingmedia buying faster, more efficient and more effective.
With more than 73% of display advertising now transacted programmatically and expected to reach 82% by next year1, it is clear marketers are starting to get it, it’s all about audience over environment. Programmatic technology uses data driven algorithmic buying to find the audience, rather than just putting advertising on a specific media.
Think of it in these simple terms; a fashion brand knows their target audience is a female, aged 18-34, AB1, interested in Fashion and News and a prolific mobile user. The perfect media for the brands target might be ELLE or Vogue, which is great. But those same users probably visit 10’s if not 100’s of other sites. So, what if, instead of investing the budget with specific media, you were able to place your ad across 100’s of selected, brand safe sites looking for that specific audience, think of how that could improve your results!
In fact this data driven technology has proven so successful it is now being applied to other marketing methods such as TV, out of home and even print.
71 eMarketer Programmatic Ad Spending Forecast September 2016
Personalisation
Personalisation has proven its value to marketers across all digital marketing, and personalised email influenced 40.2% of UK internet users to click through for further information in 2016; it was the strongest single influence on the clickthrough rate (CTR), surpassing the design or timing of the mail, for example1.
Three-quarters of UK marketers polled by the Institute of Direct and Digital Marketing (IDM) in August 2016 agreed that personalisation led to higher email CTRs, and 82% reported a higher email open rate. More than half of respondents noted an increase in sales and customer satisfaction, as well. Only 1% of these marketers said they didn’t believe personalising emails brought any benefits. Moreover, just 4% said personalising emails was not effective.
Personalising email communications increases appeal to your audience and by doing so increases brand appeal for the advertising brand.
It is very likely that 2017 will see increased quality in email with increased level of personalisation as more brands recognise the value of personalisation, and mobile will be a preferred platform.
Good email marketing is critical to the overall marketing strategy to increase brand appeal and indeed conversions.
81 Mailjet study July 2016
Data
Data underpins much of what this paper talks about from customising the user journey to personalising marketing communications, to understanding that perfect marriage of online and traditional for the customer. How else can we deliver the right message to the right person at the right time?
Most companies think they already know their customer but I can’t count the number of clients that thought their customer was a certain demographic only to be astounded by the post campaign conversion data.
56% of US & UK marketers feel that bad data has had a negative impact on their organisation, led to loss of sales opportunities and increased inefficiency within the overall strategy1. This leads to a situation where, whilst organisations have come to rely on data driven decision making, is that decision making accurate or is it creating unwanted outcomes?
Most, in fact 70% of marketers believe the best tactic is to utilise outsourced resources to improve their data strategies and results1.
Whatever method you chose, getting your data strategy right is critical to overall effectiveness and ultimately success.
91 Research by Loudhouse published by Experian Data July 2016 2 Ascend2 survey November 2015
Summary
This paper just touches on the main elements of digital marketing with each having so many more layers. There are also many other options and martech available with new tech appearing almost daily, this document could go on forever, or at the very least a very, very long time. So if you’d like to learn more please contact the author.
A successful digital marketing strategy will encompass perhaps all of those discussed here, or perhaps some of them, or it will include these and many others. The important thing is the digital marketing strategy is not set in a silo, there needs to be information sharing and planning across marketing teams to create an effective, cohesive and connected marketing strategy across all customer touchpoints in the path to purchase.
Basic marketing principles remain; developing a cohesive & effective strategy and understanding the customer, these are not new, but achieving them in the ever evolving world that is digital adds new challenges for todays marketer.
Getting Digital Right is the Chief Marketing Officer’s single biggest business opportunity. In fact I could argue that the single best opportunity to grow great brands is getting digital right.
Where the audience goes marketers must will follow;Don’t get caught by The Innovator's Dilemma!
10
Happy customers &
positive ROIExecute the
customer acquisition &
retention strategy
Define the customer Journey and achieve outstanding customer
experience
Understand the customer, what is the target audience, understand the customers
requirement
Key pillars
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TechnologyMarketers continue to face challenges when it comes to using marketing technology. Yet technology underpins digital success. TORI can help de-mystify the adtech helping you set a strategy that utilises the most useful and relevant tech for your organisation
PerformanceGetting a marketing strategy right can increase ROI by as much as 49% and should drive real measurable results. TORI can guide you through all the steps to achieve maximum performance from your digital marketing spend
DataData is the key component to ensure your strategy reaches the right audience, at the right time with the right message. Execution of the data strategy can be the difference between success & failure in your customer centric marketing strategy
Media planning & selectionAppropriate media is essential to the digital strategy and we have unsurpassed global media experience to ensure campaigns are matched to the correctly with every campaign targeted to your desired audience
InnovationEngaging and immersing your audience in your marketing can increase brand appeal & purchase intent by as much as 88%! People are time pressured in today’s digital world, and as attention spans decline, marketers have less time to influence
Customer experienceAt TORI we know customer experience is at the heart of digital and we start all digital activity with the customer journey, creating interactive & engaging campaigns, relevant to your audience that drive real ROI
Simply put, know how the consumer interacts anywhere and everywhere with your brand and develop a strategy to improve it
About the author
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Dominic is a consultant in TORI’s digital practice and heads up the Digital Marketing Advisory.
A technology and digital native with more than 25 years’ experience in business and the application of digital technology to support business strategy, Dominic has helped deliver digital products, e-business solutions and digital marketing strategies for a number of household brands including Debenhams, Sainsburys, The NHS, Toys R Us, Robert Dyas and Blockbuster as well as launching many successful start-ups, including pureplay internet retailer 247 Electrical, Vendari Ltd, the basis of global voucher and coupon portals such as mycouponcomparison.com and vouchercomparison.com, and Purify Digital, a leading global performance mobile & digital marketing business with an impressive and prestigious client and digital product portfolio.
As Head of Digital EMEA for Publicitas, the world’s leading international media and advertising services companies, Dominic drove and led the complete global change of Publicitas to a dynamic and responsive digital media consultancy, creating innovative digital solutions, constantly developing and innovating the Publicitas digital roadmap to stay ahead of the evolving digital landscape.
Dominic Yacoubian
Contact:[email protected]
About the author
13
It takes courage to embrace change and transform your business.
We know. We’ve been there.
That’s why we set up TORI Global.
To be a credible alternative to the ‘big four’ within Financial Services – by putting real industry experience at the heart of consultancy. So you get the best independent advice, global expertise and smart technology for the success you deserve.
TORI Global was formed in 2002 by C-Level executives and is dedicated to the proposition that delivering successful outcomes for our customers relies on building successful partnerships and successful partnerships are founded upon the values of Trust, Openness, Respect and Integrity.
TORI has no external investors and we believe this brings increased integrity and personal commitment to our client engagements.
experience. the difference.
