Learn exclusive insights about how the 2008 Barack Obama Presidential Campaign used transparent Cost-per-Lead advertising to build an engaged community.
2. Agenda
How the Online Advertising Market is Changing
How Online Advertising Strategies are Changing
Exclusive Insights from the 2008 Barack Obama Presidential Campaign
4. market dynamics
Performance Advertising Growing at Expense of CPM Models
Performance
“It’s no secret that CPM advertising “The Internet is more and more a
delivers poor returns” Performance-driven model”
- Sam Parry - Imran Khan
Director of Online Membership & Activism Managing Director, J.P. Morgan
Environmental Defense Fund
5. growth driven by CPC/CPL
But there have been Problems with Search
• Increasing Cost of Keywords: Difficult to generate ROI
• Lack of transparency: How do search algorithms work?
• Ability to monitor ROI: Tenuous link between clicks and
conversions/sales
“Google is potentially stretching for dollars …it has begun displaying more
ads for some keywords.”
-- John Aiken
Majestic Research
6. market dynamics
During the last slowdown, CPC grew; this Recession CPL growing
Y Y
T T
Y Y
G G
R R
O O
W W
T T
H H
CPM CPC CPC CPL
eMarketer 2000 – 2011 Search Advertising Spend
IAB PWC Internet Advertising Report
IMF
7. CPL is the next stage in performance marketing
Advantages of CPL “CPC pricing models are a placeholder for
CPL”
Pay only for qualified leads - Daniel Taylor
Senior Research Analyst
– No wasted clicks/impressions Yankee Group
– ROI 3- 8X more than search
“CPL advertising allows you to invest
Transparent money where you actually drive results”
- Kate Johnson
– 2008 breakthrough year Personal Care Consumer Relationship Marketing
Manager, Kimberly-Clark
– Better optimization
Greater ROI measurability “The movement to CPL is huge. With
CPL, we can be brand focused and
– Map lead directly to deliver ROI”
sale/conversion - Michael Wunsch
Director of Interactive Marketing
LeapFrog Interactive
10. instead it is all about engagement
Loyalty Programs
Email Newsletters
Direct Mail Lists
Community Sites/Twitter
11. the 2009 branding campaign
Three Stages
ACQUIRE ENGAGE BRAND
interested consumers with email in relevant ways
@
11
12. acquire interested consumers
Deploy mix of high ROI CPC/CPL advertising
CPL guidelines
– Generate marketing leads
• Basic information
• Unique to your brand
• Leads never resold
– Ensure complete transparency
– Contextual
• Capture lead in relevant environments
13. acquire interested consumers
Start with low hanging fruit
Collect basic information
– Name
– Email
– Zip
– Increase initial response rates
Collect additional information over time
14. engage with email
Long life time value: 3- 7 years
Returns per email address: $118
Favored by marketers
– Datran Media Survey
• 80.4% of executives chose e-mail as best ROI
• 63.2% placed customer acquisition as most important
Favored by consumers
– Epsilon survey
• 56% of recipients of permission-based email from retail
companies said they were more likely to make purchases
15. engage with email
Branding and ROI not a Darwinian relationship
Rather their relationship is symbiotic
Convergence of branding and ROI
– Email
“On the front-end CPL advertising allows us
to brand with better visuals than say, CPC “Our research shows that engaging
advertising. On the back-end we can consumers in a relevant way through email
communicate with consumers based on is far more effective for branding than a
their preferences and improve branding Run of site CPM buy.”
metrics.”
Michael Wunsch - Kate Johnson
Director of Interactive Marketing Personal Care Consumer Relationship Marketing
LeapFrog Interactive Manager, Kimberly-Clark
16. brand in a relevant way
Purchase
Intent
Research
16
18. barack obama online advertising campaign
Objectives
Enhance Obama brand
– Hope & Change
Drive guaranteed returns
– Generate guaranteed number of leads
– Time period – in an election, a little late is too late
Increase voter registrations
Increase donations
Build database to engage voters
Do all of the above cost-effectively
19. What the Obama Campaign did Right
Lessons For Brand Marketers
20. open minded
Able to spot new trends and adopt new approaches
We approached all political campaigns
– John McCain
– Hillary Clinton
– John Edwards
– Barack Obama
21. acquire
Used High ROI Strategy
Used high ROI vehicles
Bulk of investment against CPC/CPL
advertising
– Spent more with Pontiflex in six weeks
than on Washingtonpost.com in the entire
year
22. acquire
Used High ROI Tactics
Used CPL display banners
– Deployed Pontiflex AdUnit X banners
• User information captured within banner
• No landing page
Used co-registration creative
– Reputed publishers
Complete transparency
160 X 600
AdUnit X Banner
24. acquire
Kept Campaign Management Simple
Single point of connection
– Open: no restrictions on publishers
Publisher 1
• Automated mundane tasks
– IOs, traffic creative, etc.
– Focused resources on adding value
Publisher 2
Publisher 3
25. engage with email
Communicated with database through
regular email updates
Regular cadence of emails
Looked beyond the computer
– Mobile devices
– Text messages
– iPhone app (over 30,000 messages)
Continue to engage voters even after
election
– Change.gov
26. brand in a relevant way
Used email to direct users to a variety of venues
Social
Donations
Niche
sites
27. in summary
ACQUIRE ENGAGE BRAND
interested with email in relevant ways
consumers
@ Social
27
29. about pontiflex
About Pontiflex
Industry’s first open and transparent cost-per-lead (CPL) market
Progress
Explosive Revenue Growth; Major Clients: Obama Campaign, Kimberly Clark, eFax, Coldwater
Creek, leapfrog Interactive and many others.
Employees & Offices
22 employees; Brooklyn, New York & Pune, India
Executive Team
Involved in online advertising since its inception; Leadership roles at Amazon, IBM and Ogilvy
30. pontiflex
Open
– Work with any and all qualified publishers
– Import publishers for free to Pontiflex and manage
campaigns from a central point of connection
Transparent
– See where your offers are running
– Optimize campaigns by source
– Front end metrics
– Backend metrics (open rates, click rates, etc)
32. Pontiflex AdLeads
Single point of connection for campaign setup, management and
optimization
Makes CPL advertising as easy as search engine marketing
– Manage entire campaigns using intuitive drop-down menus
Using Pontiflex AdLeads is simple:
33. Pontiflex AdLeads
Get an account at http://www.pontiflex.com today and start transparent CPL
advertising in less than 15 minutes
34. Thank You!
Please feel free to call or email me:
Jeff Gottesman
jg@pontiflex.com
718.801.8491