2013 DMA Post Conference Certification
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2013 DMA Post Conference Certification
- 1. The Answer is Always, “It Depends” – So Test It! Ryan Phelan Vice President, Strategy Acxiom
- 2. • Prior Industry Experience – – – • Thought Leadership – – – – – Ryan Phelan Vice President, Global Strategic Services Vice President, Strategy at BlueHornet Director, Email Marketing & Acquisition at Sears Holdings Responsible for East Coast Operations at Responsys DM News : Email Gets Personal (Cover Story) Keynote address – March 2012, EEC12 Ranked as one of the top 40 Digital Marketing Strategists in the country by OMI Co-Chair of the EEC Member of:
- 3. Join the Email Evolution Council for education, events, networking and resources!
- 4. “OMG Honey, look at that compelling subject line ….totally made me open it”
- 5. This is more like it…
- 6. Email Program Development Tier 3: Advanced Persona development, cluster analysis, next logical product, behavioral attitudinal segmentation, dynamic messaging, shopping cart abandonment, preference center phase 2, social messaging Testing & reporting Video in email, creative testing, promotional optimization, triggers, win-back, preference center, social media Tier 2: Medium Complex Testing & Reporting Tier 1: Welcome, transactional messaging, opt-down, acquisition, promotional, attrition Foundation programs Testing & Reporting Optimize programs based on easy changes (Low Hanging Fruit) Existing programs
- 7. 1,000 Consumers from across the United States
- 8. Nearly 49% of respondents have an email account for emails they rarely intend to open 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 Lesson: Ensure that when you ask for an email address, you make the reason very compelling
- 9. When an email is saved to be read 60% later, never read it 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 9 Lesson: Make your CTA immediate, urgent, laced with benefit and time sensitive in email
- 10. 40% of consumers sign up for email to receive discounts 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 10 Lesson: 21% to get updates and 13% because they love the brand
- 11. 36% of respondents check email, social media and texts before doing anything else after they wake up 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 Lesson: Think about your message and test the optimal time of the day to send your message. 11
- 12. 21% check their email before breakfast 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 12 Lesson: Test when you send and be wary of complex CTA in the morning.
- 13. Consumers have shifted their consumption and are active at the very start of the day 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 Lesson: Try testing in the evening or even Friday evening for retail based business.
- 14. Things are tiny in the morning… 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 14 Lesson: If you have to pinch it, you’re doing it wrong. Track mobile opens and design a template.
- 15. Phone calls, texts, browsing the internet and email are the top uses for smart phones 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 15 Lesson: Lesson: Track statistics for your consumers that are consuming email on a mobile device.
- 16. The shift in consumption is increasing based on consumer need for and ease of access 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 16 Lesson: Track statistics for your consumers that are consuming email on a mobile device.
- 17. Consumers don’t see silos, they see devices 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 17 Lesson: Consumers have adopted more devices and marketers have to be truly Omni-Channel
- 18. 91% of consumers check email on their mobile phones 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 18 Lesson: Capture and track the mobile opens of your subscribers and implement a template
- 19. Of those that use iPhone Passbook (33%), 22% use it for Movie Tickets… …25% of those that use iPhone Passbook used it to access coupons 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 19 Lesson: Try linking a coupon for a sale or event to the Passbook functionality and then track use
- 20. 72% of consumers read email when they are bored… 29% read email … while in the bathroom 2013 Acxiom Digital Impact Consumer Digital Behavior Study n=1,006 20 Lesson: Don’t make your email creative boring – inspire, delight and amaze
- 21. Nothing anyone says in marketing is right (except me of course)
- 22. It depends… (the strategists mantra)
- 23. DMA2013 | Email Testing in the Digital Age QUIZ: WHICH TEST WON?
- 24. Which Test Won? Up or Down Arrows
- 25. Which Test Won? Up or Down Arrows
- 26. Which Test Won
- 27. Which Test Won
- 28. Images Courtesy of: Which series won?
- 29. Images Courtesy of: Which series won?
- 30. DMA2013 | Email Testing in the Digital Age CHALLENGES OF THE EMAIL MARKETER
- 31. The email marketer’s challenge • More subscribers • More data • More email • More targeting • More expectations • Poor attribution
- 32. What do we struggle with You’re not alone…everyone struggles with email
- 33. Chart 4.21 Email campaign element testing and optimization Which of the following email campaign elements do you routinely test to optimize performance? Please select all that apply. 86% Subject line 62% Call-to-action 58% Message (eg greeting, body, closing) Message (e.g. greeting, body, closing) 48% Days of the week sent 47% Layout and images 46% Time of day sent Landing page 44% Target audience 44% 42% Personalization 32% From line Layout and images specifically for mobile viewing 26% Other 2% None of the above 2% Source: ©2013 MarketingSherpa Email Marketing Benchmark Survey Methodology: Fielded December 2012, N=264
- 34. Why do we care? • Campaign on 10/17 – 166 individual email segments – 84 were tests Images Courtesy of:
- 35. Does this look bad??? The highlighting worked…for a while Images Courtesy of:
- 36. Testing Challenges We don’t (as an industry) know how to test
- 37. Types of Testing A|B Testing • Testing one element against a control Multi-Variant • Testing multiple elements against a control Local Control Groups • Isolation of a population on a campaign level to see % of lift Universal Control Groups • Isolation of a permanent population to see percentage of lift over time
- 38. A|B Testing Definition • 2 email creative that are identical but with one element changed in one version Pros • Simple testing that is built into most email platforms • Systems usually handle division of population • Results are easy to understand and act upon Cons • Populations must be equal • Time periods must be significant to judge results • Limited to one variable so extended testing can be long
- 39. Multivariate Testing Definition Using one region in multiple email creative with changes in each sent to equal populations to determine a better performing email Pros • Multiple elements can be tested at the same time Cons • Populations in each group must be equal • Most email populations do not have enough equal parts to be statistically relevant
- 40. Local Control Groups Definition Isolation of a small but significant population from an email campaign to see what happens with their behavior against those that received an email Pros • Can show the influence that and individual email has on a campaign level • Population must be reflective of the entire list Cons • Sometimes hard to manage from a population • Some people that are active/buyers will not get a message • Must involve pre-planning
- 41. Universal Control Group Definition Isolating a population over a longer period of time to see what their behavior is against those that receive email Pros • Gives email a true ROI number Cons • Isolation of a population means that some customers don’t get an email • Hard sell internally • Must educate various groups internally
- 42. DMA2013 | Email Testing in the Digital Age CONFIDENCE INTERVALS
- 43. Sample Size Determination There is no perfect answer in determining sample size. It is a trade-off between sample size and the difference between A and B it is important for us to detect. Acxiom presents a chart (as seen below) to help clients find their optimal balance. The smaller the difference we want to be able to detect, the greater the required sample size 43
- 44. Example Confidence Interval • We have some results from an A/B Test: o How much confidence do we have in these estimates? o Do we feel comfortable enough in the observed gain of .3% to switch to B? – It’s all about Sample Size when considering confidence in Response Rates. 44
- 45. Example Confidence Interval • • We observed B as 0.3% greater than A. • We can now use our confidence interval for the difference (B – A) to establish how tight that 0.3% difference is based on our sample sizes • 45 The 95% Confidence Interval indicates we are 95% certain the RANGE of the interval captures the True response rate The range includes A being .8% greater than B all the way to B being 1.4% greater than A. With this wide range of possibilities, taking action based on our estimates becomes very dangerous
- 46. Example Confidence Interval • Let’s say we have the same results, but instead of results based on samples of 1,000 each, they are now based samples of 50,000 each. • We now have more evidence, due to our greater sample size. This results in greater belief in our results (estimates), and hence tighter intervals • We still observe B as 0.3% greater than A, however now we can now conclude B is greater than A by between 0.1% and 0.5%. 46
- 47. DMA2013 | Email Testing in the Digital Age THE RULES OF TESTING
- 48. buck·shot mar·ket·ing n. Marketing without a plan, clue, intelligent design or path toward success
- 49. Rules for Testing 1. 2. 3. 4. What needs to be tested Get a plan Execute the test Report on the results
- 50. What needs to be tested • To develop a plan, take time to define what’s broken – – – – – – – – Mobile creative Subjects CTA Lifestyle images vs action images personalization Audience/Segment Landing page Discount type
- 51. Get a Plan 1. Develop a plan that lasts from 1-3 months 1. Set rules for populations 1. What determines a valid population 2. What is success in each test 1. 2. What is the KPI that will be judged Define from prior test/campaigns what the range of KPI success exists 3. Determine the right amount of time to build a significance to achieve the desired KPI 4. What are your exclusions 5. Get extra pairs of eyes – make it a team effort
- 52. One point to remember about the plan • Does the result really prove the point? – Always work to validate your testing – Sometimes thing “win” because they’re different • Recognize the “shiny objects” Images Courtesy of:
- 53. Execute the Test • Define equal populations • Define the optimal timeline for response and adhere to it • Monitor results • Verify that the test has been carried out
- 54. Report on the Results • Each test should have a post-mortem report – – – – – Reason Goal Creative Population Results • Should be one page per report and stored • How does the result inform the next test 1. Track results 1. 2. You must be able to track testing results Determine who’s on the strike team to examine results
- 55. DMA2013 | Email Testing in the Digital Age EXERCISES
- 56. YOU NOW ALL WORK FOR …AND GET PAID $1,000,000 A YEAR (SO DON’T SUCK)
- 57. • Come up with a testing plan for this creative Images Courtesy of:
- 58. Small Groups • Define what you could test (10 things over 3 months) – Cannot be subject line – Why are you testing it • Define how you would test it • Define the audience • Define the exclusions • • • • Assumptions Customer is a male 42 years old Lives in Half Moon Bay, CA • 20 miles south of SF Single Teams will present their testing plan to the group. Best one, wins something gooooooood.
- 59. Go…now…be smart
- 60. Conclusion • • • • Think about your testing plan Find equal populations Test things that move the needle Stop testing only subject lines
- 61. Questions?
- 62. Thank you! Ryan Phelan Vice President, Strategic Services ryan.phelan@acxiom.com 402-630-5836 Keep the learning going. Follow me on twitter @ryanpphelan @acxiom © 2013 Acxiom Corporation. All Rights Reserved.
- 63. APPENDIX
- 64. Example Confidence Interval How did we get the confidence intervals? Confidence Interval for one proportion: Test A = 0.015 +/Test B = 0.018 +/- 1.96*SqRt ( (0.015 x 0.985) / 1,000 ) = 0.015 +/- 0.008 = (0.7%, 2.3%) 1.96*SqRt ( (0.018 x 0.982) / 1,000 ) = 0.018 +/- 0.008 = (1.0%, 2.6%) Confidence Interval for difference between two proportions: Test (B – A) = 0.003 +/- 1.96*SqRt ( ((0.015 x 0.985) / 1,000 ) + ((0.018 x 0.982) / 1,000) ) Test (B – A) = 0.003 +/- 0.011 = Test (B – A) = (-0.8%, 1.4%) 64
Hinweis der Redaktion
- ADDRESS VALIDATION AND ACQUISITION ASKConsumers have up to 3 email addresses. The first being their primary email address. The second being a “junk” account for emails they never intend to open and the third is generally an old email address that they have moved to another account but check rarely to see if anyone emailed them.It’s because of this that the marketer really has to work at making sure that during email acquisition, they provide a very compelling and real reason as to why the consumer should supply their address. If you ask for nothing, you generally will get nothing.LESSON FOR CLIENTS: Ensure that their acquisition page gives benefits (not reasons) to sign up and shows clear value. Show samples of creative, ideas of how many times they will get email a week and make sure it reflects brand positioning.
- CTA/DESIGN:How many times do we get an offer in an email that we “intend” to take advantage of? “Oh, that’s a great email, I will read it later when I have time” and that time never comes. We are an instant gratification society and as such, we need to create a sense of urgency about the emails that we send. Don’t send a memo or a webpage…send an email with a strong and compelling call to action.Lesson for Clients: Test different CTA’s like Learn More instead of Buy Now. You may find that if you change this call to action, you have an increase in CTR and other associated KPI’s. Also, make sure that your message is clear. Can you tell in 3 seconds what you should be doing? If not, look to simplify your message from the end-users perspective….not yours. You are not your own customer. Remember that.
- WHY CONSUMERS LOVE EMAIL: Many believe that discounts are the only value to email marketing. That every email has to have a discount or incentive. Based on our study and other studies using Big Data, that’s wrong. Some consumers don’t care about price. When we need something, sometimes, we just get it. Also, consumers are researching more before big purchases. How are we serving that need? Aren’t we diminishing the value of our brand by tying it to a promotional offer? Work with allocating some of the space in email to value statements. Customer reviews, tips & tricks and advice from your leadership in a vertical can resonate with the consumer. Help your consumer fall in love with your brand. If you just focus on the discount, you’re only as good as your last offer.LESSON: Don’t just rely on offers to generate business. Try content, tips & tricks and customer reviews.
- SEND TIME OPTIMIZATION: How many of us wake up and reach for our cell phone or tablet? LOTS OF US! We’re a sick people that we’re obsessed with our devices. I know when I wake up I am easily annoyed, so doesn’t it make sense to think about what messages I should see? We know that consumers triage their email (delete emails that appear to be irrelevant en masse). According to a recent BlueHornet.com study, 20% of consumers always triage while 55% say they sometimes triage. So, let’s think about when we send these emails of ours. For example, for a credit card company. Does it make sense to send a credit card offer for morning arrival? Am I going to apply for said card when I wake up? Possibly not. BUT, I may be really excited on a Saturday morning about the sale at Macy’s. LESSON FOR CLIENTS: Think about your message and test the optimal time of the day to send your message. Try testing in the evening or even Friday evening for retail based business.
- SEND TIME OPTIMIZATION: Just like the 36% of consumers who check their email before they get out of bed, there’s another group that checks email before breakfast. The same rules and trains of thoughts apply to early morning messages. Think about what you want the consumer to do and if it really fits within a morning context.LESSON: Test when you send and be wary of complex CTA in the morning.
- SEND TIME OPTIMIZATION: How many of us wake up and reach for our cell phone or tablet? LOTS OF US! We’re a sick people that we’re obsessed with our devices. I know when I wake up I am easily annoyed, so doesn’t it make sense to think about what messages I should see? We know that consumers triage their email (delete emails that appear to be irrelevant en masse). According to a recent BlueHornet.com study, 20% of consumers always triage while 55% say they sometimes triage. So, let’s think about when we send these emails of ours. For example, for a credit card company. Does it make sense to send a credit card offer for morning arrival? Am I going to apply for said card when I wake up? Possibly not. BUT, I may be really excited on a Saturday morning about the sale at Macy’s. LESSON FOR CLIENTS: Think about your message and test the optimal time of the day to send your message. Try testing in the evening or even Friday evening for retail based business.
- DEVICE USAGE: Consumers are getting more portable. With this portability of information, we are seeing a fundamental shift in how consumers access information that is central to their lives. Email, websites, apps and information is now at our fingertips. We have to be conscious of the fact that when email’s are read on a smartphone, it’s tiny. In the morning, we want to make sure that we don’t annoy our customers or make it too hard to read. Responsive design is a must have in the emails that we send. Make sure that your message does not get lost cause “it’s too tiny”.LESSON: Implement a standard responsive design template. That will help in product timelines and readability by the consumer.
- EMAIL IS DOMINANT: Along with the expanded use of mobile devices, we see that email continues to be a core functionality that consumers use on a daily basis. While these statistics do change based on demographic, we can reasonably assure marketers that email is still alive and imperative to any communications channel.LESSON: Track statistics for your consumers that are consuming email on a mobile device.
- EMAIL CONSUMPTION: As previously stated, email is a core function of mobile devices. With 91% of consumers checking email on their mobile phones, why would any company want it to look bad? “If you have to pinch it, you’re doing it wrong” is a phrase that adequately captures the belief that email should represent brand. We should not ask our consumers to do work for us just because we as marketers are too lazy to do a responsive design. Would you design an email that looks bad? Well, every time you don’t put an email in a responsive format, your designing and sending a bad email.LESSON: Capture and track the mobile opens of your subscribers and implement a standard mobile friendly design.
- PASSBOOK: iPhone users have a bunch of options with not only functionality but with apps. According to ZDNet “In the US app store, there are currently only around two dozen apps optimized for Passbook, including Starbucks, LivingSocial, Amtrak, Walgreens, Office Depot and Sephora To Go.” There is a large opportunity here for delivering content. It could be coupons, passes, tickets or more. Links from email to passbook functionality can be key to stickiness. Payment options are also an option, like in the Starbucks card.LESSON: Try to link coupons to passbook and look at adoption and redemption. For annual sales or specials, test out the functionality.
- GET EXCITED: One of the shifts we continue to see is that consumers consume information at different times. Think about the last time you were in the elevator. Instead of looking at the floor indicator, many will grab their phones. Idle time is phone time….and email time. Use this effectively by having a strong and actionable CTA and test different times for sending. Don’t get hung up on “Mary reads her emails at this time everyday” but rather optimize your message to be taken advantage of anytime AND test into the optimal time that works. Don’t just follow the crowd and send at 6AM. Establish your own benchmark.LESSON: Develop strong and actionable CTA’s in your email.
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