Merchants around the world are realizing they cannot simply hope for top placement in organic search results, nor rely on product reviews to drive growth in online sales: marketing channels have become far too fragmented and competitive. To compete with the big players, small and medium-sized merchants need simple, powerful and automated tools that enable them to focus on running their businesses rather than managing the increasing complexity of search and social ad campaigns. The largest global retailers have long had the advantage of using sophisticated, algorithmic tools to drive demand and online sales. We’ll talk about how now, for the first time, even small merchants can take advantage of these enterprise-class tools.
From Event to Action: Accelerate Your Decision Making with Real-Time Automation
Automated online marketing: A game-changer for SMBs
1. AUTOMATED ONLINE MARKETING:
A GAME-CHANGER FOR MERCHANTS
October 13, 2011
Kenshoo: Proprietary & Confidential Information
2. Topics
Kenshoo Overview
Market Trends and Opportunity
What is a Demand Generation Solution?
Kenshoo X.commerce Extension
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3. KENSHOO OVERVIEW
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4. Corporate Profile
Global Leader in Digital Marketing Software
Founded in 2006
Backed by Sequoia Capital and Arts Alliance
10 global$15 billion annual online sales revenue
offices, 240 employees (+100 engineers)
directed through Kenshoo
650 million+ keywords managed through
Kenshoo
33 Billion+ social media ads delivered on
Facebook
Campaigns running in over 100 countries
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5. Kenshoo Customers
7 of the top 10 global retailers
6 of the top 10 global hotel groups
7 of the top 10 global telecoms
9 of the top 10 global agency networks
23 of the Fortune 50
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6. MARKET TRENDS AND OPPORTUNITY
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7. Retail sales becoming increasingly web-influenced
Source: Forrester Research Inc. “Forrester Forecast: Double Digit Growth for Online Retail in US and Western Europe,” March 2010
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8. Merchants of all sizes need to. . .
Acquire New Customers Gain Operational Efficiencies
Strengthen Value Integrate with internal systems
Proposition & other media channels
Drive Revenue Automate manual processes
Gain Market Share Streamline client interaction
Maximize Marketing Investment Stay on the Cutting Edge
Generate Qualified Capitalize on Trends
Traffic Offer Innovative Solutions
Avoid Cannibalization Track Point of Sale
Attribute Offline Sales
Minimize Churn
Launch Quickly
Stay within Budgets
Meet and Beat Goals
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9. WHAT IS A DEMAND GENERATION SOLUTION?
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10. Inventory-Driven Demand Generation
Top 500 Internet retailer drives 200% increase in ROI
ROI increased from average $2.94 to $6.41
2.6M keywords and 1.5M ads generated
(categories, brands, SKUs)
11. Converting Keyword Harvesting & Expansion
Automated Harvesting Manual Expansion Algorithms
1. User queries search engine triggering a
broad or phrase match keyword Integrated Options Available Algorithms
• Concatenation Dictionaries
• Automated Thesaurus
• Typo Generator
• Translator
• Downstream Website Traffic
• Competitive Databases
2. User Clicks on Ad and/or Converts • Industry Databases
• Google Suggest
3. Actual query automatically 4. New keywords added to campaigns
applied to expansion algorithms
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12. Keyword-Based Bid Optimization
Keyword Bid Optimizer
• Use data accumulated over the last 7-90 days
• Decisions consider position, min bid, current bid and number of clicks and conversions
• Apply daily or weekly
• Control over position, CTR, CPA or ROI
CPA Increase Profit Improve CTR
Maximize conversions for Increase profit while Influence bids to improve
a set cost per acquisition maintaining goal ROI position and CTR
Lowest Bid for Position Branding Policy
Considers target position and Raises bids for keywords that
maximum bid to ensure fall below a given position
efficient bids are in place
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13. Portfolio-based Bid Optimization
Portfolio Modeling
• Learn from several weeks of available data using smart historical weighting
• Considers the interactions among position, impressions, clicks, cost, conversions
• Bids optimized to reach business goals taking into account portfolio and KW level
constraints
Holistic management
Marginal ROI Optimization
Dynamic Clustering
Learning System
Flexible Configuration
Advanced Seasonality
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15. Flexible Attribution Models
Green T-Shirt Blue T-Shirt Red T-Shirt
Great Prices Great Prices XL Size Available
T-shirt.com T-shirt.com T-shirt.com
Keyword 1 Keyword 2 Keyword 3
(Last Click)
Attribution Models
Most Advertising Tracking Systems report and act on only the last click
Linear Ratio
prior to purchase
U Shaped
Distribute Evenly
Single Click Only (First or Last)
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17. Kenshoo Product Suite
All 3rd party logos represent companies with whom Kenshoo has completed data integration. Kenshoo Enterprise, Kenshoo Local, Kenshoo Search, Kenshoo Social, and
Kenshoo Universal Platform are trademarks (or pending trademarks) of Kenshoo, Inc. All other trademarks and copyrights are the property of their respective owners.
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19. Kenshoo & X.commerce Extension
Bringing enterprise-class demand
generation tools to retailers of all
sizes . . . in a simple to use and
intuitive interface.
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