My Presentation from my Session at HeroConf 2019, in Philadelphia. This presentation is for anyone who wants to invoke data-decision making and business transformation learning: 1) How to convince your boss to spend more budget on advertising so it benefits your entire organization. 2) How to conquer the proper success metrics, "The Golden Metrics" linked to Customer Lifetime Value (CLV). 3) How to confidently use your data to transform your business to be more customer-centric.

1. Convincing Your Boss(es) to Confidently
Spend (more) on Advertising
Kevin Dieny | Digital Marketing Analyst

2. Presentation Takeaways
After this session, you can:
● Convince your boss how spending more on advertising will benefit your organization.
● Conquer the proper success metrics and their impact on your customer lifetime value.
● Confidently use your data to transform your organization to be more customer-centric.
2

3. What is the most absurd and unrealistic marketing goal
you’ve ever been given?
‘Make a viral video’
Responses Source: Reddit,
https://www.reddit.com/r/marketing/comments/aju30m/whats_the_most_absurd_and_unrealistic_marketing/
3

4. What is the most absurd and unrealistic marketing goal
you’ve ever been given?
‘Make this video go viral!’
4

5. What is the most absurd and unrealistic marketing goal
you’ve ever been given?
‘Get better results, with the same
budget, but don’t change anything.…’
5

6. 6
It’s difficult to ask your boss for money…
Gif Source: Parks & Recreation

7. 7
But… If you can align your goals with your organization’s

8. My Framework!
Gif Source: Futurama, Comedy Central

9. My Idea Adoption Framework:
9
 I know the maturity of my business with data-decision making.
 I know what levers I can influence in the customer journey.
 I know how my organization defines success (product vs. customer-centric).
 I have a customer-centric based strategy.
 I have selected my next project.

10. Know the Maturity
of Your Business.

11. “All companies benefit from customer
data integration strategies, but mature
firms are far more likely to enjoy the
benefits of their efforts.”
- Forrester, Customer Data Maturity, 2019
11

12. What is business maturity?
It’s using data to
make decisions.
12

13. Data can be scary, intimidating…
13
Gif Source: Star Trek

14. 14
“Data? I don’t have time to
figure out Excel - don’t
complicate this, just sell.”

15. How mature is my organization?
Difficulty
Maturity
Original Concept: “Analytics Maturity Curve” DAS42
The maturity curve spectrum:
15

16. Data
Silo
Data
Silo
Difficulty
Maturity
Historical
Original Concept: “Analytics Maturity Curve” DAS42
What happened?
16
• Our ROAS was 1.5X last month.
• This ad converted at 6% in March.
• Last year we made $330,000 more.
Examples:
Data
Silo
Data
Silo

17. Difficulty
Maturity
Historical
Original Concept: “Analytics Maturity Curve” DAS42
What happened?
17
• Our ROAS was 1.5X last month because we tested videos to success.
• This ad converted at 6% in March because it was existing clients.
• Last year we made $330,000 more because we churned less clients.
Optimization Why did it happen?
Examples:
Data
Silo
Data
Silo
Data
Silo
Data
Silo

18. Difficulty
Maturity
Historical
Original Concept: “Analytics Maturity Curve” DAS42
What happened?
18
• Our ROAS was 1.5X last month, spend is down so will be 1.6X next month.
• This ad converted at 6%, less clients to upsell so we think 3% in May.
• Last year we made $330k more, this year up 90k so $360k this year.
Optimization Why did it happen?
Forecasting What might happen?
Examples:
Data
Silo
Data
Silo
Data
Silo
Data
Silo

19. Difficulty
Maturity
Historical
Optimization
Forecasting
Orchestration
Original Concept: “Analytics Maturity Curve” DAS42
What happened?
Why did it happen?
What might happen?
What should happen?
19
• Every element of customer journey is a lever.
• 360° unified customer view across systems.

20. Knowing Which
Are Your Best
Levers To Pull

21. 21
 I know the maturity of my business with data-decision making.
 I know what levers I can influence in the customer journey.
 I know how my organization defines success (product vs. customer-centric).
 I have a customer-centric based strategy.
 I have selected my next project.
My Idea Adoption Framework:

22. The Customer Journey…
22
Start with a customer
journey map…

23. 23
Pre-Lead Lead Opportunity Client Nurture Development
First, it should include the steps or stages:

24. 24
High
Quality
Low
Quality
Second, you want an axiom of data quality for each activity (the levers).
Pre-Lead Lead Opportunity Client Nurture Development

25. 25
High
Quality
Low
Quality
Third, you want to plot each activity (the levers):
Pre-Lead Lead Opportunity Client Nurture Development
Ads
Social
Organic
Conv.
Validate
MQL
SQL
Close
Onboard
AE
Webinar
Meetups
Upsell

26. Do this with your team!
26
High
Quality
10
Low
Quality
1
Last you want to collect internal feedback and plot the range of their
answers for each activity (1 to 10):
Pre-Lead Lead Opportunity Client Nurture Development
A
d
s
S
o
c
i
a
l
O
r
g
a
n
i
c
C
o
n
v
E
n
r
i
c
h
M
Q
L
And so on…

27. Activities with High Quality data will be your best levers.
Original Concept: “Journey Maps” by EvergreenData
27

28. 28
It’s hard to prove budget increases from
a stage that is collecting poor quality
data.

29. Know How
Success is Defined

30. 30
 I know the maturity of my business with data-decision making.
 I know what levers I can influence in the customer journey.
 I know how my organization defines success (product vs. customer-centric).
 I have a customer-centric based strategy.
 I have selected my next project.
My Idea Adoption Framework:

31. 31
Vs.
- Treating each of your customers the same with effort and spend.
- Treating valuable customers differently with effort and spend.

32. ‘We do UX and personalization,
so we are Customer-Centric.’
32

33. ‘We do demographic personas, so
we are Customer-Centric.’
33

34. 34
0%
5%
10%
15%
20%
25%
30%
Grocery Store
Diapers Beer Bread Ice Cream

35. ‘The customers that spend more with us
are more likely to buy diapers and beer,
but each of them don’t just buy diapers
and beer, therefore we should FIND more
customers who spend more.’
35

36.  Their preferences.
 Their access and store availability.
 Their loyalty to your store.
36

37. Rule of Thumb…
‘if it aggregates customers into a blob it’s usually product-centric.’
37
Gif Source: The Blob

38. Your Customer-Centric
Acquisition Strategy

39. 39
 I know the maturity of my business with data-decision making.
 I know what levers I can influence in the customer journey.
 I know how my organization defines success (product vs. customer-centric).
 I have a customer-centric based strategy.
 I have selected my next project.
My Idea Adoption Framework:

40. STEP 1
You must know WHO your high-value
customers are in terms of customer
lifetime value (CLV).
40

41. STEP 2
You must acquire higher value customers
to begin with because you can’t make
every customer into a high-value
customer even with the best levers.
41

42. You must buy media where you have
the greatest likelihood of finding your
high-value customers.
STEP 3
42

43. STEP 1
You must know WHO your high-value
customers are in terms of customer
lifetime value (CLV).

44. 44
What in the world is CLV? ELI-5
CLV – Customer Lifetime Value, the
total amount a customer will ever be
worth to your business.
CLV = (Net Cash Flow in Period x Retention Rate) ÷ (1 + discount rate)period

45. 45
20%80%
# of Customers
20%80%
$ CLV Value from Customers
The Pareto Phenomenon, “80% of the value comes from 20% of customers.”
High-Value Customers Low-Value Customers
That 20%

46. 46
Lets get nerdy for a minute…
Gif Source: Geek & Sundry

47. CLV from all customers over time:
Look at that
overall
growth!!!
Source: A sampled simulation of eCLV for customer segments.
47
CustomerLifetimeValue
Resource

48. 48
OR DID THEY!
Gif Source: Sleeping Beauty

49. Separate the high and low value customers into segments:
Gif Source: @VisualizingMath
49
High-Value PotentialLow-Value Potential

50. CLV by unique customer segments over time:
High-Value
Segment
Low-Value
Segment
50
Source: A sampled simulation of eCLV for customer segments.

51. CLV by unique customer segments over time:
High-Value
Segment
Low-Value
Segment
51
Growth always slows.
Source: A sampled simulation of eCLV for customer segments.

52. Consequences of treating your customers the same…
52
Growth always slows (entropy).
The New Customer
Growth-Addiction

53. If you aren’t targeting high-value
customers specifically you can’t
expect to acquire them at high
frequency!
53

54. STEP 2
You must acquire those higher value
customers to begin with because you
can’t make every customer into a high-
value customer even with the best levers.

55. You CANNOT transform every customer into a high-value customer.
55
Gif Source: Bug’s Life

56. Customer-Centric
Recency
Frequency
Monetary Value
Product-Centric
Volume
Cost
What metrics matter the most when acquiring high-value customers?
VS
56
TIP: Think in terms of relationships, ask which is better?
Resource

57. Product-Centric
Volume
Cost
57
• Impressions
• Clicks
• Conversions
• MQLs
• Spend
• Budget
• CPA
• CPC
Metrics
In Terms of a
Relationship
• # of Dates
• Avg Dates/week
• # of Bad Dates
• # of Relationships
• Avg $$ per Date
• Time in Relationship
• Time not in Relation.
• # of Phone Numbers

58. Customer-Centric
Recency
Frequency
Monetary Value
58
• New / Existing
• Client / Cancelled
• Engagements
• Retention / Churn
• Seasonality
• Loyalty
• Net Income
• Market Valuation
• CLV
Metrics
In Terms of a
Relationship
• If you ‘click’
• Serious vs Friends
• # of Quality Convos
• # of Dates to ‘know’
• Valentines Day
• Exclusivity
• ‘Giver’ vs ‘Taker’
• Family Approves
• Makes you happy

59. You must buy media where you have
the greatest likelihood of finding your
high-value customers.
STEP 3

60. Find the best channels… don’t afraid to be unscalable.
Broad
(Scalable)
Unscalable
(~Costly)
Targeted
(Scalable)
• Lead Gen
• Mass Mailing
• Cold Emails
• Lookalikes
• Influencers
• Direct Marketing
• Referrals, Events
• Phone Calls
• In-Person
• Live Chats
• Inbound
60
Targeted + UnscalableBroad + Unscalable

61. 61
We can influence the future value of a
customer by interacting with them.
Under interacting and over interacting
can be equally bad so find the right mix.

62. Selecting the Right
Project

63. 63
 I know the maturity of my business with data-decision making.
 I know what levers I can influence in the customer journey.
 I know how my organization defines success (product vs. customer-centric).
 I have a customer-centric based strategy.
 I have selected my next project.
My Idea Adoption Framework:

64. Think in terms of projects to get
any idea accepted.
64
Gif Source: @CronanDark

65. You cannot win every project
by being right.
65
Gif Source: Galaxy Quest

66. Your boss(es) do not make decisions
in a vacuum - decisions are made
amongst alternatives (projects).
66
Gif Source: Giphy

67. Projects are iterative
approaches towards
business transformation and
must align with how mature
your organization is.
67
Gif Source: New Girl

68. The key is finding the right budget increasing project that aligns w/organization:
● Product-centric
● Few levers
● Low maturity
● Low data quality
● Possibly CC
● Few+ levers
● Moderate maturity
● Low data quality
● Customer-centric
● Lots of levers
● High maturity
● Quality data
IF…
THEN…
Optimization-Project Process-Project CLV-Project
68

69. Optimization-Project
● Experimentation
● A/B Testing
A project that will test specific communications in order to prove
the value of data and data collection so it can be used to convince
your boss that data will help us be more effective with advertising.
“You don’t have generic problems,
you have specific problems.”
- Peep Laja, CXL
69

70. Process-Project
● Operational
● Tasks/Activities
A project that will test specific processes in order to prove
higher quality data collection methods will also improve your
ability to target and acquire higher value customers.
“We don’t know, what we
don’t know.”
- Donald Rumsfeld, US Secretary of Defense
70

71. CLV-Project
● Segmentations
● Customer Journey
A project that will test specific customer value-segments in order to
prove strategies that increase customer lifetime value make it so we
can spend more to acquire each customer.
“He or she who can afford to
spend the most to acquire a new
customer, WINS.”
- Ryan Deiss, DigitalMarketer
71

72. You can only move as fast as
your organization is mature.
72

73. How to communicate to
my boss the value of my
budget increasing project?

74. SWAGGER
● Controlled, rehearsed body language.
● Confidence in my answers (and objections).
● The project is not my baby.
● Speak in absolutes.
● No assumptions.
Gif Source: Reaction Gifs
74

75. Persuasive Swagger Contextual Data
The goal of communicating value is to
eliminate your dependence on persuasive
swagger so you can be consistent at
winning projects.
75

76. You cannot convince someone with data if they don’t understand the context.
Acumens = Business or Technical knowledge and expertise.
Higher Friction = A greater need for you to compensate and acknowledge them in that acumen.
76
Matrix of Value
Reception
Low Business
Understanding
High Business
Understanding
Low Technology
Expertise
Low Reception, High
Stakeholder Friction
Moderate Reception,
Moderate Tech Friction
High
Technology
Expertise
Moderate Reception,
Moderate Business Friction
High Reception, Low
Stakeholder Friction

77. 2 Options Minimum Rule
● Low Actionable + High Stakeholder(s) Friction
● High Actionable + High Stakeholder(s) Friction
● Low Actionable + Low Stakeholder(s) Friction
● High Actionable + Low Stakeholder(s) Friction
Less Ideal
More Ideal
77

78. Putting it All
Together, Getting
Your Budget

79. 79
 I know the maturity of my business with data-decision making.
 I know what levers I can influence in the customer journey.
 I know how my organization defines success (product vs. customer-centric).
 I have a customer-centric based strategy.
 I have selected my next project.
My Idea Adoption Framework:

80. Come find me, tell me what project is next for your business?
Optimization-Project
Process-Project
CLV-Project
OR
OR
80

81. Let’s commiserate - Who do you have to convince?
Your Boss’
Boss
Boss
Colleague
Boss
Colleague
Your Boss
You
Decision Maker
High Biz, Low Tech
Sponsor
Mod Biz, Mod Tech
End User
Influencer
Mod Biz, Low Tech
Evaluator
Mod Biz, Low Tech
81

82. ● Be able to be completed cost effectively.
● Help build trust in you and elevate your career.
● Test, experiment, change, or move the organization
forward towards customer-centricity.
Every project should…
82

83. Tell me about your next project.
/kevicaveman
firmfixedideas.com
https://www.callsource.com/blog/author/kdieny
83