This session will explore the world of referral and incentive marketing, and why it should be an integral part of your brand’s acquisition strategy, with CPAs still at the heart of the marketing measure. With reference to brand-led case study from O2, it will look at the development of omni-channel technology across desktop, mobile, social and instore in order to capitalise on customer advocacy, and how this has led to increased sales revenue whilst retaining CPA and ROI.
Citation preview
1. Network Compare Rewards LeadsThe Newest PM Channel?Referral
Marketingomgpm.com | Slide 1 All rights reserved 2014 OMG
2. Network Compare Rewards LeadsWord of Mouth | The oldest trick
in the book?omgpm.com | Slide 2 All rights reserved 2014 OMG 3. 0
10 20 30 40 50 60 70 80 90Network Compare Rewards LeadsWord of
Mouth Marketing is not newRecommendations from people I knowBranded
websitesConsumer Opinions posted onlineEditorial Content such as
NewspaperAds on TVBrand Sponsorships2007 2013Source: Nielsen Global
Trust in Advertising & Brand Messages Report 2013omgpm.com |
Slide 3 All rights reserved 2014 OMG 4. 31% 13% 25%Customers
Acquired via other channels Referred CustomersNetwork Compare
Rewards LeadsWord of Mouth Marketing drives
Value100806040200Contribution ofMarginRetention Rate ROISource:
Referral Programme & Customer Value Study, Schmitt,Skiera &
Van Den Bulte, 2010omgpm.com | Slide 4 All rights reserved 2014 OMG
5. .with more complex offers and incentivesNetwork Compare Rewards
LeadsMore Brands are harnessing the poweromgpm.com | Slide 5 All
rights reserved 2014 OMG 6. Earned advertising channels have
empowered consumersto advocate their favourite brands.Randall
Beard, Nielsen Global Head of Advertiser SolutionsCustomer
BehaviourFocus on retentionand LTVNetwork Compare Rewards LeadsBut
why now?Technical Innovationomgpm.com | Slide 6 All rights reserved
2014 OMG 7. Customer Behaviour | Proliferation of Social
MediaSOCIAL MEDIA USE BY AGE16-24 25-34 35-44 45 - 54 55 - 64
64+50%29%11%Ons.gov.uk, Internet Access : Households &
Individuals, 2013Network Compare Rewards LeadsAveragepersonspends25
hourspermonthon socialmediaNielsen.com : The Digital Consumer
Report, February 201493%84%67%omgpm.com | Slide 7 All rights
reserved 2014 OMG 8. SocialMediaCustomer Behaviour | Proliferation
of Social MediaMOBILE47% social media usersaccess daily
viaSmartphoneNetwork Compare Rewards
LeadssocialmediaotherDESKTOPOther64% of social mediausers access
daily viadesktop deviceNielsen.com : The Digital Consumer Report,
February 2014omgpm.com | Slide 8 All rights reserved 2014 OMG 9.
Customer Behaviour | Mobile Device Proliferation53% of UK
adultsaccess theInternet viamobile phonesNetwork Compare Rewards
Leadsomgpm.com | Slide 9 All rights reserved 2014 OMG 10. Customer
Behaviour | Mobile for research and reviewNetwork Compare Rewards
LeadsNielsen.com : The Digital Consumer Report, February
2014omgpm.com | Slide 10 All rights reserved 2014 OMG 11. WOM
marketing has a digital equivalent of a
conversationalstreamReferral marketing technology enables Brands to
makeconscious decisions to influence and amplify this
consumerbehaviour..Network Compare Rewards LeadsWOM Marketing has
found a Digital homeWith the prevalence of social media and usage
of mobiledevices, customers can advocate anytime anywhereAnd
measure the resultsomgpm.com | Slide 11 All rights reserved 2014
OMG 12. Network Compare Rewards LeadsO2 UK Refer a FriendRecommend
a Friend | The o2 Storyomgpm.com | Slide 12 All rights reserved
2014 OMG 13. Network Compare Rewards LeadsO2 UK Refer a Friend |
Referral User Journeyomgpm.com | Slide 13 All rights reserved 2014
OMG 14. O2 UK Refer a Friend | Referred Customer JourneyNetwork
Compare Rewards Leadsomgpm.com | Slide 14 All rights reserved 2014
OMG 15. DIGITAL ACQUISITIONSReferrals12% of totaldigital
salesNetwork Compare Rewards LeadsO2 UK Refer a Friend |
AcquisitionSimple integration post purchasepage timing is
keyEngagement through social createsability to scale reach
efficiently noadditional cost to brandImpacts Acquisition
positivelyHigh conversion rates compared toother
channelsDigitalomgpm.com | Slide 15 All rights reserved 2014 OMG
16. o2 Germany | Engagement & Lifetime Value64% think improved
customer experience will improve CLVEconsultancy Study Customer
Lifetime Value: Building Loyalty and Driving Revenue in the Digital
Age, Apr 2014Network Compare Rewards LeadsEffective engagement can
drive retentionAs LTV becomes increasingly important for brands50%
think more personalisation will improve CLVomgpm.com | Slide 16 All
rights reserved 2014 OMG 17. o2 Germany RaF| Engagement &
PersonalisationNetwork Compare Rewards Leadsomgpm.com | Slide 17
All rights reserved 2014 OMG 18. o2 Germany RaF | Engagement &
PersonalisationNetwork Compare Rewards Leadsomgpm.com | Slide 18
All rights reserved 2014 OMG 19. O2 Ireland | Acquires through
Affinity programmeNetwork Compare Rewards Leadsomgpm.com | Slide 19
All rights reserved 2014 OMG 20. o2 Ireland | Acquires through
Affinity programmeNetwork Compare Rewards Leadsomgpm.com | Slide 20
All rights reserved 2014 OMG 21. o2 Germany Refer a Friend |
Engagement drives loyaltyo2 DE is a sophisticated &
comprehensive implementationExtensive engagement throughout
referral journey andbeyondBut product, incentive value, timing of
offer and targetdemographic all have influenceNetwork Compare
Rewards LeadsBrands have options and triggers to pull re levels
ofengagementomgpm.com | Slide 21 All rights reserved 2014 OMG 22. %
REFERRALS 2013Mobile Email Social21%11%68%Network Compare Rewards
Leadso2 Refer a Friend Results | Engagement% REFERRALS 2009Mobile
Email Social1%99%omgpm.com | Slide 22 All rights reserved 2014 OMG
23. % REDEMPTIONOnline In Store Telesales Referred customers are75%
more satisfiedo2 DE Customer Satisfaction Survey2013Network Compare
Rewards Leadso2 Refer a Friend Results |
Engagement20%13%67%omgpm.com | Slide 23 All rights reserved 2014
OMG 24. ARPU+10%Referred OtherNON CONTRACTPRODUCTS-50%Referred
OtherNetwork Compare Rewards LeadsO2 Refer a Friend Results |
Value105100959085604020065% sales for 24mcontracts and highervalue
handsets for O2Irelandomgpm.com | Slide 24 All rights reserved 2014
OMG 25. Network Compare Rewards LeadsMeasurability and
TransparencyTracking and analytics technologydriving the ability
for ReferralMarketing to be measured in thesame way as Performance
channelsTracking of all touchpoints, eventsand conversion funnel:
Clicks Registrations Referrals Orders Order values Tariffs Handsets
Channelsomgpm.com | Slide 25 All rights reserved 2014 OMG 26.
Digital marketing technology has made WOM or Referral
marketingmeasurable and efficientEmpowers brands to capitalise on
customer behaviour and pro activelyinfluenceA CPA is at the heart
of the acquisition spend, and full transparency acrossactivity
measuring CPA, CR and ROIDemonstrating Referral marketing as a
powerful driver of Acquisitionvolume, Increased ROI and customer
value and retentionNetwork Compare Rewards LeadsReferral Marketing
| A Performance channel?omgpm.com | Slide 26 All rights reserved
2014 OMG 27. incentivising people to spread theword has arrived and
it is growingfast on the back of digitallyconnected customers
Network Compare Rewards LeadsSource: Referral Systems Speak
Volumes, Marketing Week Oct 2013omgpm.com | Slide 27 All rights
reserved 2014 OMG 28. Network Compare Rewards LeadsThank
Youomgpm.com | Slide 28 All rights reserved 2014 OMG
