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REACHING THE UNENGAGED: HOW MAMMOTH MOUNTAIN OPTIMIZED ITS
MARKETING CHANNELS TO REDUCE COST AND INCREASE REVENUE
DIGITAL SUMMIT DENVER 2017 CONFERENCE
WELCOME
MOLLY
HOLMES
MAMMOTH
DIRECT
MARKETING
MANAGER
SCOTT
BUELTER
ASCENT360
CEO
3
Ascent360 works with
Mammoth to integrate
their data and create
segmented lists to push
personalized, engaging
communications to
drive more revenue
from their marketing
efforts.
HOW IT WORKS: MAMMOTH +
ASCENT360
4
How to optimize your digital marketing to yield the highest
ROI & how Mammoth Mountain put this practice into place
TODAYS DISCUSSION: IN 3 PARTS
• Part 1: To whom you should market
• Part 2: Where you should market to these people
• Part 3: What your investment strategy should look like
Facebook Search
Email
Direct Mail
Digital Display
Mobile
5
CASE STUDY
“ABC Retailers” send a newsletter email on a monthly
basis to a full file of subscribed emails
JAN FEB MAR APR MAY JUN
95,000 95,000 95,000 95,000 95,000 95,000
THIS IS BOTH A WASTE OF MONEY AND LOSS OF REVENUE
6
PART 1:
TO WHOM YOU SHOULD MARKET
7
THE RIGHT PEOPLE
TARGETED MARKETING MASS MARKETING
VS
8
SPECTRUM OF THE TARGET
Known Intent & Identity
Interested & Similar Identity
Unknown (Hope?)
9
Those who have
shown a desire to
make a purchase
Market Via:
• Booking Anniversary
• In-Resort Messaging
KNOWN INTENT TO PURCHASE
10
BOOKING ANNIVERSARY
• Guests book
vacations the same
time every year
• Personalized content
for the season they
booked
• Drive sales by
reminding guests of
Mammoth
Why Does this Work?
ENGAGEMENT:
35%+ OPEN RATE
19%+ CTOR
RESULTS:
WEB BOUNCE
RATE 40%
11
IN-RESORT
• Capture audience at
the right time and
right place
• Personalized
content that is
relevant to reader
• Drive purchases to
our business units
Why Does this Work?
ENGAGEMENT:
30%+ OPEN RATE
34%+ CTOR
RESULTS:
AVG 400% ROI
ON EACH GIFT
REDEEMED
12
Individuals who have
been to one of your
product pages or who
have requested
information about your
product
Market Via:
• Lodging Retargeting
• Lift Ticket Retargeting
KNOWN INTEREST IN A PRODUCT
13
LODGING RETARGETING
• Use web behavior to
target guests
interested in lodging
but not booked
• User generated
content for social proof
to encourage booking
• No offer needed
Why Does this Work?
ENGAGEMENT:
48%+ OPEN RATE
16%+ CTOR
31% BOUNCE
RESULTS:
WEB BOUNCE
RATE 25%
14
• Use web behavior data
to target guests
interested in lift tickets
• Short and sweet
• 20% advanced
purchase offer
LIFT TICKET TARGETING
Why Does this Work?
ENGAGEMENT:
51%+ OPEN RATE
18%+ CTOR
RESULTS:
EXCEEDED WEB
REV GOAL BY 170%
15
Recent customers
are almost certainly
your LARGEST &
BEST option for
your next sale
Market Via:
• Thank You + Upgrade
• Comeback Campaign
KNOWN RECENT CUSTOMERS
16
• Purchase-driven email
thanking guests
• Relevant and timely
content
• Target loyal guests on
upsell messages who
are most likely to
purchase again
THANK YOU + UPGRADE
Why Does this Work?
ENGAGEMENT:
54% OPEN RATE
28% CTOR
RESULTS:
HIGH REVENUE
WITH NO LINK
TO PURCHASE
17
• Encourage previous
guests to make a second
trip via email and email
• Personalized offer based
on previous purchase
data
• The more often they
come, the more loyal
they are
COMEBACK
ENGAGEMENT:
31% OPEN RATE
18% CTOR
RESULTS:
HIGHEST RPC
OF ANY REV
CAMPAIGN
Why Does this Work?
18
RECENT CUSTOMERS RULE!
19
KNOWN PAST CUSTOMER
Known Loyal / Past
Customers
• These are people who have
purchased from you in the
past.
• Perhaps your best
opportunity for significant
revenue $$$
Market Via
• Win-back
• Passholder Program
WINBACK
• Target guests who made
a purchase in the past,
but not returned recently
• Use both email and direct
mail channels to optimize
performance
• Opportunity to “win” them
back from competition &
increase lifetime value
Why Does this Work?
ENGAGEMENT:
20% OPEN RATE
16% CTOR
RESULTS:
148% ROI
18% RTN RATE
(VS 4-5%)
21
• Audiences based on
previous purchase history
(REN, LAP, ACQ)
• High likelihood to
purchase a pass
• Once in program, highly
likely to purchase more
products
PASSHOLDER PROGRAM
Why Does this Work?
ENGAGEMENT:
20-50% OPEN RATE
6-32% CTOR
RESULTS:
EXCEED BOTH
REVENUE AND
UNIT SALES GOAL
22
RECENT, FREQUENT, HIGH SPENDERS
ARE BETTER!!!
RFM Score Sent Revenue
Revenue
Per Sent ROI
555 20,557 $191,662.40 $9.32 65.50%
554 9,814 $68,750.18 $7.01 56.57%
553 3,247 $14,048.56 $4.33 38.01%
545 2,195 $10,145.35 $4.62 40.81%
544 6,003 $19,348.03 $3.22 24.77%
543 10,275 $38,783.57 $3.77 32.03%
455 14,728 $52,015.99 $3.53 29.01%
454 8,006 $19,627.79 $2.45 11.56%
453 2,675 $4,871.28 $1.82 -3.24%
445 2,967 $3,814.49 $1.29 -20.37%
444 7,869 $11,541.32 $1.47 -13.98%
443 6,097 $5,911.44 $0.97 -33.43%
23
Also called “Hand-
Raisers”
• Correctly managed, can
be very high ROI target
• Hand-raisers are telling
you – “I am in market for
your product”.
• Give them the
information they need
and a reason to buy
Market Via:
• Welcome Series
KNOWN RECENT PROSPECTS
24
• Capture audience when
first interested (email
sign-up)
• If no purchase, provide
engaging content to get
them excited
• Give them an offer to
drive purchase
WELCOME SERIES
2
3
ENGAGEMENT:
30-50% OPEN RATE
12-45%+ CTOR
RESULTS:
143% INC IN WEB
REV IN 3 MOS.
1Why Does this Work?
25
It costs 6 to 7 times more to acquire
new customers than it does to keep
current ones.
WHY THIS MATTERS
SOURCE: WHITE HOUSE OFFICE OF
CONSUMER AFFAIRS
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
$7.00
Retained Customer New Customer
Acquisition Costs Vs
Retention Costs
72%
17%
6%
4%
1%
80% OF YOUR COMPANY’S FUTURE
REVENUE WILL COME FROM JUST 20%
OF YOUR EXISTING CUSTOMERS.
SOURCE: GARTNER
26
LIFETIME VALUE
On average, loyal customers are worth up to 10 times as much as their first
purchase.
27
Wider Targets
• Unknown but interested
• Known Lapsed Prospect
• The massive - unknown
WIDER – HARDER TARGETS
28
PART 2:
WHERE YOU SHOULD MARKET TO THESE PEOPLE
29
• Which of these channels should you spend your time
and effort?
• Talk To Customers Where They Spend Their Time
BETTER TARGETING
FACEBOOK GOOGLE EMAIL
DIRECT
MAIL
DIGITAL
DISPLAY
CPC:
ROI:
$4.54
56%
$.24
76%
$.54
56%
$.08
354%
$1.24
15%
30
CASE STUDY
THE AUDIENCE ANALYSIS
160,000
HAVE AN EMAIL
125,000
ARE SUBSCRIBED
75,000
HAVE
OPENED AN
EMAIL 6
MONTHS
95,000
280,000INDIVIDUALS IN DATABASE
Direct mail Facebook AdWords EmailDigital displaySearch
210,000 190,000 165,000 185,000
31
• Response rate
drastically increases
with multiple
channels (by 3-10%
points)
• Only up to 70% are
emailable or direct
mailable
• Able to reach more
people through
lookalike audiences
PASSHOLDER PROGRAM
Why Does this Work?
EMAIL
DIRECT MAIL
FACEBOOK
32
CUSTOMER ENGAGEMENT JOURNEY
Drive better experiences through one-to-one communication, build customer loyalty,
and increase visitation & the lifetime value of every guest and potential guest
33
CUSTOMER ENGAGEMENT JOURNEY
34
PART 3:
WHAT YOUR INVESTMENT STRATEGY
SHOULD LOOK LIKE
35
Unknown
Known intent to purchase
Known interest in product
Known recent customer
Known loyal customer
Known past customer
Known recent prospect
Unknown but interested
Known lapsed prospect
ROI BASED INVESTMENT STRATEGYROI
MARKET SIZE
36

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Scott Buelter & Molly Holmes - Reaching the Unegaged: How to Stop Wasting Money on Channels that Aren’t Performing

  • 1. 1 REACHING THE UNENGAGED: HOW MAMMOTH MOUNTAIN OPTIMIZED ITS MARKETING CHANNELS TO REDUCE COST AND INCREASE REVENUE DIGITAL SUMMIT DENVER 2017 CONFERENCE
  • 3. 3 Ascent360 works with Mammoth to integrate their data and create segmented lists to push personalized, engaging communications to drive more revenue from their marketing efforts. HOW IT WORKS: MAMMOTH + ASCENT360
  • 4. 4 How to optimize your digital marketing to yield the highest ROI & how Mammoth Mountain put this practice into place TODAYS DISCUSSION: IN 3 PARTS • Part 1: To whom you should market • Part 2: Where you should market to these people • Part 3: What your investment strategy should look like Facebook Search Email Direct Mail Digital Display Mobile
  • 5. 5 CASE STUDY “ABC Retailers” send a newsletter email on a monthly basis to a full file of subscribed emails JAN FEB MAR APR MAY JUN 95,000 95,000 95,000 95,000 95,000 95,000 THIS IS BOTH A WASTE OF MONEY AND LOSS OF REVENUE
  • 6. 6 PART 1: TO WHOM YOU SHOULD MARKET
  • 7. 7 THE RIGHT PEOPLE TARGETED MARKETING MASS MARKETING VS
  • 8. 8 SPECTRUM OF THE TARGET Known Intent & Identity Interested & Similar Identity Unknown (Hope?)
  • 9. 9 Those who have shown a desire to make a purchase Market Via: • Booking Anniversary • In-Resort Messaging KNOWN INTENT TO PURCHASE
  • 10. 10 BOOKING ANNIVERSARY • Guests book vacations the same time every year • Personalized content for the season they booked • Drive sales by reminding guests of Mammoth Why Does this Work? ENGAGEMENT: 35%+ OPEN RATE 19%+ CTOR RESULTS: WEB BOUNCE RATE 40%
  • 11. 11 IN-RESORT • Capture audience at the right time and right place • Personalized content that is relevant to reader • Drive purchases to our business units Why Does this Work? ENGAGEMENT: 30%+ OPEN RATE 34%+ CTOR RESULTS: AVG 400% ROI ON EACH GIFT REDEEMED
  • 12. 12 Individuals who have been to one of your product pages or who have requested information about your product Market Via: • Lodging Retargeting • Lift Ticket Retargeting KNOWN INTEREST IN A PRODUCT
  • 13. 13 LODGING RETARGETING • Use web behavior to target guests interested in lodging but not booked • User generated content for social proof to encourage booking • No offer needed Why Does this Work? ENGAGEMENT: 48%+ OPEN RATE 16%+ CTOR 31% BOUNCE RESULTS: WEB BOUNCE RATE 25%
  • 14. 14 • Use web behavior data to target guests interested in lift tickets • Short and sweet • 20% advanced purchase offer LIFT TICKET TARGETING Why Does this Work? ENGAGEMENT: 51%+ OPEN RATE 18%+ CTOR RESULTS: EXCEEDED WEB REV GOAL BY 170%
  • 15. 15 Recent customers are almost certainly your LARGEST & BEST option for your next sale Market Via: • Thank You + Upgrade • Comeback Campaign KNOWN RECENT CUSTOMERS
  • 16. 16 • Purchase-driven email thanking guests • Relevant and timely content • Target loyal guests on upsell messages who are most likely to purchase again THANK YOU + UPGRADE Why Does this Work? ENGAGEMENT: 54% OPEN RATE 28% CTOR RESULTS: HIGH REVENUE WITH NO LINK TO PURCHASE
  • 17. 17 • Encourage previous guests to make a second trip via email and email • Personalized offer based on previous purchase data • The more often they come, the more loyal they are COMEBACK ENGAGEMENT: 31% OPEN RATE 18% CTOR RESULTS: HIGHEST RPC OF ANY REV CAMPAIGN Why Does this Work?
  • 19. 19 KNOWN PAST CUSTOMER Known Loyal / Past Customers • These are people who have purchased from you in the past. • Perhaps your best opportunity for significant revenue $$$ Market Via • Win-back • Passholder Program
  • 20. WINBACK • Target guests who made a purchase in the past, but not returned recently • Use both email and direct mail channels to optimize performance • Opportunity to “win” them back from competition & increase lifetime value Why Does this Work? ENGAGEMENT: 20% OPEN RATE 16% CTOR RESULTS: 148% ROI 18% RTN RATE (VS 4-5%)
  • 21. 21 • Audiences based on previous purchase history (REN, LAP, ACQ) • High likelihood to purchase a pass • Once in program, highly likely to purchase more products PASSHOLDER PROGRAM Why Does this Work? ENGAGEMENT: 20-50% OPEN RATE 6-32% CTOR RESULTS: EXCEED BOTH REVENUE AND UNIT SALES GOAL
  • 22. 22 RECENT, FREQUENT, HIGH SPENDERS ARE BETTER!!! RFM Score Sent Revenue Revenue Per Sent ROI 555 20,557 $191,662.40 $9.32 65.50% 554 9,814 $68,750.18 $7.01 56.57% 553 3,247 $14,048.56 $4.33 38.01% 545 2,195 $10,145.35 $4.62 40.81% 544 6,003 $19,348.03 $3.22 24.77% 543 10,275 $38,783.57 $3.77 32.03% 455 14,728 $52,015.99 $3.53 29.01% 454 8,006 $19,627.79 $2.45 11.56% 453 2,675 $4,871.28 $1.82 -3.24% 445 2,967 $3,814.49 $1.29 -20.37% 444 7,869 $11,541.32 $1.47 -13.98% 443 6,097 $5,911.44 $0.97 -33.43%
  • 23. 23 Also called “Hand- Raisers” • Correctly managed, can be very high ROI target • Hand-raisers are telling you – “I am in market for your product”. • Give them the information they need and a reason to buy Market Via: • Welcome Series KNOWN RECENT PROSPECTS
  • 24. 24 • Capture audience when first interested (email sign-up) • If no purchase, provide engaging content to get them excited • Give them an offer to drive purchase WELCOME SERIES 2 3 ENGAGEMENT: 30-50% OPEN RATE 12-45%+ CTOR RESULTS: 143% INC IN WEB REV IN 3 MOS. 1Why Does this Work?
  • 25. 25 It costs 6 to 7 times more to acquire new customers than it does to keep current ones. WHY THIS MATTERS SOURCE: WHITE HOUSE OFFICE OF CONSUMER AFFAIRS $0.00 $1.00 $2.00 $3.00 $4.00 $5.00 $6.00 $7.00 Retained Customer New Customer Acquisition Costs Vs Retention Costs 72% 17% 6% 4% 1% 80% OF YOUR COMPANY’S FUTURE REVENUE WILL COME FROM JUST 20% OF YOUR EXISTING CUSTOMERS. SOURCE: GARTNER
  • 26. 26 LIFETIME VALUE On average, loyal customers are worth up to 10 times as much as their first purchase.
  • 27. 27 Wider Targets • Unknown but interested • Known Lapsed Prospect • The massive - unknown WIDER – HARDER TARGETS
  • 28. 28 PART 2: WHERE YOU SHOULD MARKET TO THESE PEOPLE
  • 29. 29 • Which of these channels should you spend your time and effort? • Talk To Customers Where They Spend Their Time BETTER TARGETING FACEBOOK GOOGLE EMAIL DIRECT MAIL DIGITAL DISPLAY CPC: ROI: $4.54 56% $.24 76% $.54 56% $.08 354% $1.24 15%
  • 30. 30 CASE STUDY THE AUDIENCE ANALYSIS 160,000 HAVE AN EMAIL 125,000 ARE SUBSCRIBED 75,000 HAVE OPENED AN EMAIL 6 MONTHS 95,000 280,000INDIVIDUALS IN DATABASE Direct mail Facebook AdWords EmailDigital displaySearch 210,000 190,000 165,000 185,000
  • 31. 31 • Response rate drastically increases with multiple channels (by 3-10% points) • Only up to 70% are emailable or direct mailable • Able to reach more people through lookalike audiences PASSHOLDER PROGRAM Why Does this Work? EMAIL DIRECT MAIL FACEBOOK
  • 32. 32 CUSTOMER ENGAGEMENT JOURNEY Drive better experiences through one-to-one communication, build customer loyalty, and increase visitation & the lifetime value of every guest and potential guest
  • 34. 34 PART 3: WHAT YOUR INVESTMENT STRATEGY SHOULD LOOK LIKE
  • 35. 35 Unknown Known intent to purchase Known interest in product Known recent customer Known loyal customer Known past customer Known recent prospect Unknown but interested Known lapsed prospect ROI BASED INVESTMENT STRATEGYROI MARKET SIZE
  • 36. 36