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<ul><li>Ron Jacobs </li></ul><ul><li>President, Jacobs & Clevenger </li></ul><ul><li>Co-Author, Successful Direct Marketing Methods </li></ul><ul><li>Sponsor, Ron Jacobs & Bob Stone Multichannel Marketing Communications Certificate Program, DePaul University </li></ul>

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Ron Jacobs [email_address] Using Emerging Media Data to Drive Marketing Campaigns A Presentation for direct mail? data? search? Email? web? DM Days 2011

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Agenda <ul><li>How marketers are capturing and using behaviors of decision makers, influencers and buyers that digital & social media tools can produce </li></ul><ul><li>What can be learned from Social Media data mining </li></ul><ul><li>The role of content, curation and collaboration </li></ul><ul><li>Understanding the social graph </li></ul><ul><li>The importance of identifying influencers </li></ul>

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Is Social Media Marketing the New Direct Marketing? Or, is Social Media Marketing just stealing our soul??

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So, how is Social Media Marketing different than Direct Marketing? <ul><li>Multiple, individual voices that choose to engage </li></ul><ul><li>Conversational tone </li></ul><ul><ul><li>Not controlled by the brand </li></ul></ul><ul><li>Transparent & searchable </li></ul><ul><ul><li>Users choose touch points </li></ul></ul><ul><li>Unique to the personality of prospects & customers </li></ul><ul><li>Meets brand objectives </li></ul><ul><li>Partial customer engagement </li></ul><ul><li>Evaluate advocates, influentials </li></ul><ul><li>Customers and prospects are targeted </li></ul><ul><li>Communications & tone are controlled by the brand </li></ul><ul><li>Single, outbound voice </li></ul><ul><ul><li>Across all touch points </li></ul></ul><ul><li>Reflects the personality of the brand </li></ul><ul><li>Meets business objectives </li></ul><ul><li>Full customer engagement </li></ul><ul><li>Evaluate with analytics </li></ul>Direct Marketing Social Media Marketing

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New thinking, a new lexicon. Not campaigns… curation Not ads… dialogues. Not awareness & interest… behavior. Reputation Sentiment Experience Collaboration Engagement Relevance Authenticity Transparency Accountability Agility Behavior Like, Friend Curation Influence Emotion Brand Consumer

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Curation enables consumers to become collaborators

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Media Vs Channels It’s about effectiveness, not efficiency

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Channels work together, but play their own roles

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Paid Media

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Crispin Porter + Bogusky’s Social Home Page

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Owned Media … A Brand Channel

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Kogi BBQ… Twitter for traffic building and CRM

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Kogi BBQ… Twitter for traffic building and CRM

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Earned Media… Angie’s List

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Earned Media… Angie’s List

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Marketers (and Agencies) need to show accountability & effectiveness, not just measurement <ul><ul><li>Everything has a Key Performance Indicator (KPI), but cross-channel activity makes measurement and attribution harder </li></ul></ul><ul><ul><li>Relevance </li></ul></ul><ul><ul><ul><li>How marketing adds value to the business </li></ul></ul></ul><ul><ul><li>Alignment </li></ul></ul><ul><ul><ul><li>Proof that marketing is focused on the success of the business, not the size of its budget </li></ul></ul></ul><ul><ul><li>Rigor </li></ul></ul><ul><ul><ul><li>A fact-based, disciplined approach to strategy and execution </li></ul></ul></ul><ul><li>Without the above, Marketing gets The ROI Question </li></ul><ul><ul><li>This is Finance’s way of asking “Can Marketing be trusted to spend the company’s money wisely?” </li></ul></ul>

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Key Performance Indicators (KPIs) can help measure everything <ul><li>1. Business contribution: </li></ul><ul><li>Channel reach, revenue contribution (direct and indirect), Return On Investment (or ROMI), category penetration, costs and profitability. </li></ul><ul><li>2. Marketing outcomes: </li></ul><ul><li>Customers, leads, sales, service contacts, conversion, retention, winback and response efficiencies. Acquisition cost, Avg. order, Avg. profit, Lifetime Value. </li></ul><ul><li>3. Customer satisfaction: </li></ul><ul><li>Usability, performance/availability, recommendation behavior. Opinions, attitudes, reasons for defection, brand impact and churn. </li></ul><ul><li>4. Customer behavior : </li></ul><ul><li>Profiles, customer orientation (segmentation), usability, clickstream and site actions. Bounce rates, conversions, page views, depth, page & site duration, RFM and transaction behavior. </li></ul><ul><li>5. Channel promotion: </li></ul><ul><li>Attraction efficiency. Referrer efficiency, cost of acquisition and reach. CPM Vs CPC. Search engine visibility and link building. Unique visitors, frequency, e-mail marketing results. Channel integration. </li></ul><ul><li>6. Social media: </li></ul><ul><li>Engagement (e.g. # of comments); involvement (e.g. time spent); bounce rate; # of reads, comments, & posts; brand affection/aversion; conversions; mention of brand name; advocacy; viral activity; referrals; recommendations; multiple moving averages; etc. </li></ul>1. Business contribution 2. Marketing outcomes 3. Customer satisfaction 4. Customer behavior 5. Channel promotion 6. Social Media <ul><li>KPIs distill analytics data into relevant information </li></ul><ul><li>Exclusive to each business </li></ul><ul><li>Specific </li></ul><ul><li>Valuable </li></ul><ul><li>Actionable </li></ul><ul><li>Focus on the 3 – 5 most significant metrics </li></ul>

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Marketing Dashboards. The visual display of metrics. <ul><li>Marketing Dashboards graphically display KPI’s in main categories </li></ul><ul><ul><li>Brand </li></ul></ul><ul><ul><li>Product </li></ul></ul><ul><ul><li>Customer </li></ul></ul><ul><ul><li>Channels </li></ul></ul><ul><ul><li>Efficiency </li></ul></ul><ul><ul><li>Organizational Development </li></ul></ul><ul><ul><li>Macro-economic Environment </li></ul></ul>

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Social Media It’s already being used by brands to optimize marketing

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Businesses are taking social marketing seriously <ul><ul><li>The number of photos archived on Flikr.com as of June 2009 </li></ul></ul><ul><ul><li>13.6 Billion </li></ul></ul><ul><li>The amount of content (Links, news, posts, notes, photos, etc. shared on FaceBook weekly </li></ul><ul><ul><li>3.5 Billion </li></ul></ul><ul><li>The number of minutes spent on FaceBook daily </li></ul><ul><ul><li>16 Billon </li></ul></ul><ul><li>If FaceBook were a country </li></ul><ul><ul><li>It would be the 3 rd most populated in the world, behind China & India </li></ul></ul><ul><ul><li>The number of Articles on Wikipedia </li></ul></ul><ul><ul><ul><li>16 Million </li></ul></ul></ul>

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Businesses are taking social marketing seriously <ul><ul><li>The amount of video uploaded to YouTube every minute </li></ul></ul><ul><ul><ul><li>24 hours </li></ul></ul></ul><ul><ul><li>The amount of time it would take to view every video on YouTube </li></ul></ul><ul><ul><ul><li>1,750 Years </li></ul></ul></ul><ul><ul><li>The number of YouTube videos viewed per day </li></ul></ul><ul><ul><ul><li>2 Billion </li></ul></ul></ul><ul><ul><li>The average number of tweets on Twitter.com every day </li></ul></ul><ul><ul><ul><li>65 Million </li></ul></ul></ul>

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The Social Graph… Conversations are occurring around every category, brand, and the entire buying process <ul><ul><li>Where are conversations taking place? </li></ul></ul><ul><ul><li>What is being talked about? (e.g. Themes, categories, main topics, etc.) </li></ul></ul><ul><ul><li>Is the Sentiment positive or negative? </li></ul></ul><ul><ul><li>Can we identify Keywords to be used in dialogues, topics, headlines and copy? </li></ul></ul><ul><ul><li>Who are the influencers driving them? </li></ul></ul>

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Online data begins to unlock the riddle of prospects & customers <ul><li>Social monitoring merges with Web analytics </li></ul><ul><ul><li>Alterian, Omniture, Coremetrics/IBM, Webtrends </li></ul></ul><ul><li>Technology like Hadoop makes it easy for companies to tap unlimited data </li></ul><ul><ul><li>E.g. New York Times making its archives public </li></ul></ul><ul><ul><li>Twitter archived by Library of Congress </li></ul></ul><ul><ul><li>Facebook Cassandra, Amazon Dynamo, Google BigTable </li></ul></ul><ul><li>Dashboards and data visualization tools make it easy to understand </li></ul><ul><li>Balancing privacy and personalization </li></ul>

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Some examples of social media data <ul><li>Simple data scans </li></ul><ul><ul><li>The number of followers on Twitter and friends on FaceBook </li></ul></ul><ul><ul><li>The number of links, groups, retweets and frequency of conversation to friends/followers </li></ul></ul><ul><ul><li>The number of re-tweets, FaceBook &quot;likes&quot;, comments and the number of views that a blog post generates </li></ul></ul><ul><ul><li>The themes, categories discussed in Tweets and FaceBook </li></ul></ul><ul><ul><li>Personal information e.g. Usernames, Twitter or LinkedIn Bios </li></ul></ul><ul><li>Listening platform analytics tools e.g. Radian6, Alterian SM2 </li></ul><ul><ul><li>Focus on domains, authors, influencers, etc. </li></ul></ul><ul><ul><li>Score each conversation </li></ul></ul><ul><ul><li>Identify top domains, authors and influencers </li></ul></ul><ul><ul><li>Create a data set of conversations, by author/domain for key time periods </li></ul></ul>

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Who is an Influencer? @sujamthe @davepeck

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Combining social/online data and offline data is a key to micro-targeting <ul><li>Social Data </li></ul><ul><li>Social Site Affiliation </li></ul><ul><li>Interests and brand affinities </li></ul><ul><li>Occupation </li></ul><ul><li>Education </li></ul><ul><li>Location </li></ul><ul><li>Reviews </li></ul><ul><li>Social Graph </li></ul><ul><li>Targeting friends </li></ul><ul><li>Extending reach </li></ul><ul><li>Social Affinity </li></ul><ul><li>Offline Data </li></ul><ul><li>Income </li></ul><ul><li>Presence of children </li></ul><ul><li>Home Ownership </li></ul><ul><li>Purchase Behavior </li></ul><ul><li>Lifestyles </li></ul><ul><li>Much more </li></ul><ul><li>Micro-Targeting </li></ul><ul><li>Targeted lists of people for postal and/or email programs </li></ul><ul><li>Serve display media to only people you want </li></ul><ul><li>Use customer insight to tailor messaging and media plan </li></ul>

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Facebook is creating and capturing large amounts of data Facebook has 500 million active users 50% of active users log on every day Average user creates 90 pieces of content monthly 550,000 Facebook applications 70% of users engage with apps

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Google’s data mining benefits their advertisers 79 million US Gmail Accounts Google has 145 million unique US visitors 1 billion searches daily Google data mines all search and Gmail as a resource for advertisers 96% of Googles profit is the result of ad revenue

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Rapleaf, data mining the social space <ul><li>Rapleaf Data Mines </li></ul><ul><li>Who – demographics </li></ul><ul><li>Where – footprint online </li></ul><ul><li>What – affinities, interests </li></ul><ul><li>With Whom – friend connections </li></ul>Rapleaf Process <ul><li>Quick Facts </li></ul><ul><li>Data on 900+ million records </li></ul><ul><li>400+ million consumers </li></ul><ul><ul><li>60+ billion friend connections </li></ul></ul>

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YOUR AD HERE YOUR AD HERE Marketers can target ads based on social data today Target: -Existing fans/followers -Friends of current fans/followers -Existing & prospective customers -Friends of prospects -Fans/followers of competitors -Custom created segments -Leverage metadata to facilitate sharing

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Bringing Social Media Marketing to life Alterian Buzz Bowl

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Alterian’s Social Engagement Index 2011 Super Bowl TV Ads www.alterian-social-media.com/

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Alterian’s Social Sentiment Engagement Index 2011 Super Bowl TV Ads www.alterian-social-media.com/

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How much is a tweet, a fan or a follower worth? Cost Per Social Impression Best: Groupon $0.03 Average: $0.36 per Worst: CarMax $1.94 Alterian's Cost Per Social Impression (CPSI)

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Ads effect Mobile as well, which is growing faster than predicted <ul><li>Mobile searches related to Chrysler, a Super Bowl advertiser, were 102 times higher after the ad was televised </li></ul><ul><ul><li>Desktop searches for Chrysler increased only 48 times </li></ul></ul><ul><li>For GoDaddy.com, another Super Bowl advertiser, mobile searches for the brand were 315 times higher than usual </li></ul><ul><ul><li>Desktop searches were only 38 times higher </li></ul></ul><ul><li>There are 200 million plus YouTube mobile playbacks per day </li></ul><ul><li>78% of smartphone users shop on their device </li></ul><ul><li>Apps Market… Apple leads with 82.7% share in 2010 (Forrester) </li></ul><ul><ul><li>Avg. cost of paid apps -- $2.43 </li></ul></ul><ul><ul><li>$1.7 billion globally in 2010 </li></ul></ul><ul><ul><li>$38 billion globally by 2015 </li></ul></ul>Source: Google

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Conclusions <ul><li>Social Media Marketing is creating even more marketing data, but you must data that has value to your brand </li></ul><ul><li>To prove marketing effectiveness, use a few KPI’s aligned with organizational goals, which have indisputable rigor </li></ul><ul><li>Customer engagement is attributable to customer experience </li></ul><ul><ul><li>Relevancy is both earned and bought </li></ul></ul><ul><ul><li>It’s not Push or Pull… It’s Push and Pull!!! </li></ul></ul><ul><li>“ If you don’t like change, you’re going to like irrelevance even less.” </li></ul>

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Questions & Answers Questions?

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Thank You! [email_address]