Weitere ähnliche Inhalte Mehr von Encore Media Metrics (19) Kürzlich hochgeladen (20) Online Measurement and Attribution1. Online Measurement and Attribution !
The New Imperative for Interactive Marketing
Steve Latham
Encore Media Metrics
@SteveLatham
2. A long time ago…
There were two types of advertisers
Brand marketers (ATL)
Strategic
Direct Response (BTL)
Tactical
Brand marketers bought display
Metrics: reach, frequency and cost per impression
Measured by: Ad Server
Assumed premium inventory = more qualified reach
Display
View-through was interesting but not important
Direct marketers bought PPC and 3rd party email
Metrics: Leads / Sales, Cost Per Click, Cost Per Action
Measure by: Site Analytics (crediting source of last click)
Search
Everyone knew the rules and everyone was happy
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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3. Today…
Digital goes through the line
Strategic and tactical
Awareness
(Display, Email, Social,
Branding and DR are merging
Mobile, Fat Tail Search)
Social spans all channels
Consideration
Integrated campaigns target all stages ! (Display, Mid-Tail
Search, Social)
of the funnel
Can’t win by harvesting demand (search)
Preference
(Long-Tail
Must create demand (display, social, mobile)
Search, Social
Email)
Focus on ROI is greater than ever
Action
Each investment must stand on its own
(Social,
Search,
Email)
Yet… metrics and tools are not sufficient
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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4. Marketing Conversation #1
How is our online
advertising working?
Great Boss!
Wonderful! How do
the results look?
CTRs are up and CPCs are
down! Engagement is
increasing and conversion rates
are improving! We’re also
What the *#^@*! are you nominated for a Webby!
talking about?
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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5. Marketing Conversation #2
How is our online
advertising working?
Great Boss!
Wonderful! How do
the results look?
We’re generating $7 in sales for
every $1 spent while increasing
brand awareness by 75%.
Can you handle a bigger
budget?
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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6. The Unrealized Opportunity
Goal: Effective and Efficient Measurement and Reporting
The Reality:
Reports rarely meet client needs
How is our paid media performing?
How is our social media contributing?
What is the ROI?
What is working (and what is not)?
Few have integrated cross-channel view of results
Most view results in silos
Few can see beyond clicks, CTRs and last-click attribution
Very few can measure impact of social media
Media ops are complicated, challenging and expensive
Data planning, coding, trafficking, ad serving, reporting
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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7. Challenges
We now know…
Awareness matters
Clicks aren’t very important
8% of users contribute 80%
Ads are effective without clicks
Can’t give credit to the last click
Assists are just as important
Site analytics miss a lot
Cookie deletion & multiple devices
Tools are still lacking
Calculating offline sales is hard!
Yet… measuring impact and showing
ROI is critical
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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8. The Solution (?)
There is no silver bullet
Roadmap for success:
1. Define specific objectives
2. Define campaign actions and metrics
3. Measure the right results
4. Translate results into value
5. Communicate results in terms CXOs understand (ROI)
Here’s how to do it with digital media
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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9. 1. Define Specific Objectives
Objectives must be SMART
Specific: awareness, transactions and sales
Measureable actions: transactions and revenue
Attainable: 20% increase over last year
Relevant: tie directly to CXO’s objectives
Time-bound: will take place this month
Tips:
Think from CXO’s perspective
Document them
Communicate them
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Online Measurement and Media Attribution. © Encore Media Metrics 2010
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10. 2. Define Actions and Metrics
Campaign actions and metrics (e.g.)
Primary: registrations, sales
Secondary: goal pages,!
long visits, downloads, etc.
Online vs. Offline: coupons,!
survey results
Assign Value to Actions (e.g.)
Average sale = $1,500
Conversions = $150 (assuming 10% of conversions close)
Visitors = $3.00 (assuming 2% of visitors “engage”)
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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11. 3. Measure the Right Results
Direct KPIs
Attributable results
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Online Measurement and Media Attribution. © Encore Media Metrics 2010
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12. Direct KPIs
Basic Metrics
Engagement metrics
Impressions
Pages viewed per visit
Clicks
Time on site
Visits
Goal Pages
Page views
Registrations
Transactions
Social Media Metrics
Follows / Fans
Likes / Comments
Mentions
Viewing content
Sharing / Posting
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Online Measurement and Media Attribution. © Encore Media Metrics 2010
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13. Sample Report: Campaign Summary
Look at:
1. Campaign KPIs by Vendor and Source
2. Graphical overview of visits and conversions by source
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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14. Day-Parting
Look at:
1. Performance by day
2. Performance by time of day
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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15. Sample Report: Paid Search
Look at:
1. Comparative performance each search engine
2. KPIs: clicks, impressions, spend, CTR, CPC, actions, CPA
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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16. Sample Report: Keyword Performance
Look at:
1. Comparative performance for top 20 keywords
2. Traditional KPIs: clicks, spend, impressions, CTR,
CPC
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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17. Sample Reports: Display Metrics
Look at:
1. Comparative stats for each vendor & creative
2. KPIs: spend, impressions, clicks, CTRsAds
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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18. Social Media KPIs
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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20. Attributing Credit: The New Imperative
Decision cycles are not linear
Only 20% of post-impression !
conversions follow clicks (see chart)
Conversions follow numerous!
interactions, e.g.:
• 5-7 impressions precede a visit
• 2-3 visits precede an action
Credit is usually attributed to last click
Rewards Search
Punishes Display, Email and Social
The Goal:
Identify all interactions that precede!
each conversion
Attribute value to those touch points (“Attribution Analysis”)
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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21. Sample Engagement Path
What we can measure via ad server and site analytics:
Impression Impression Impression Impression Visit Visit Visit / Action
Display Display E-Mail Display Paid Organic Direct Nav
Vendor #1 Vendor #2 3rd party Vendor #3 Search Search
Category term Brand / Geo
Day: 0
15
30
The “direct nav” lead was preceded by 4 ads and 2 searches
Without these insights, you can’t make informed media decisions
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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22. Attribution Methodologies
There are two primary methodologies for attribution:
Algorithmic modeling: analyzing log files and other data
to correlate impact)
Typically done after the fact in batches
Operational Attribution: analyzing all interactive touch
points that precede a visit or conversion
Requires synching of ad server and site analytics data
We like to look at Attribution for Visitors as well as Conversions
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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23. Attribution via Visitor Records
Step 1 - Recast Actions* by Source (*actions = visit, conversion etc.)
Quantify the number of touches that preceded each action
Assign value to each touch point (e.g. 7 impressions = 1 click)
Recast the number of touches and assign credit proportionally
See a more accurate picture of Display’s impact on results
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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24. Attributing Cost Per Action (CPA)
Step 2 – Based on Recast Actions, calculate revised Cost Per
Action for each Source
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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25. Attribution for Visitors
Takeaways
• Direct and Natural get lift from Display
advertising
• Key Insight: 12% of Organic visitors
influenced by Ads
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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26. Attribution for Conversions
Takeaways:
• Direct and Natural get lift from Display
• Key Insight: 6.5% of Organic conversions
exposed to Ads (6.4 touchpoints)
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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27. Sample Report: Attribution by Vendor
Key Takeaways
• Some vendors were more effective in creating
demand than last-click CPA would indicate
• More accurate comparison of the impact of
each display media buy
• Some “dogs” were actually top performers
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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28. Attribution Recency
Takeaways:
• 60% of visits occurred within 1 day
• Took 9 days to reach same % of Conversions
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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30. Advertising Equivalency Value (AEV)
Borrowing from playbook of PR firms…
Estimates value of by comparing to cost of an ad
Size of the mention
Reach of the post
CPM grossed up for “editorial value”
Has some shortcomings:
It’s hard to gauge true reach
All mentions are not equal
• Sentiment / Tone
• Length / depth
• Credibility of the writer
When to use it:
When client is already used to this approach
When you have no other means
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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31. Market Testing
To isolate the impact of social media, conduct a test
Define strategy for a test campaign:
Geographic market
Specific product, service or offer
Define the test and the control groups
Execute campaign and measure relative lift:
Site traffic: visitor geos, site sections, specific pages
Conversions, leads, sales, etc.
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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32. Use Surveys
Ask customers if they have:
Been to your web site?
Been to your Facebook page?
Followed you on Twitter?
Compare results to control group
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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33. How We Should Measure Social ROI
In a perfect world, we would:
Connect the dots between results and social interactions
Within Twitter stream and on Facebook pages
Blog and related social mentions
ReTweets, Mentions, Likes, Favorites, Shared Content
Integrate social engagements into !
campaign reports
Attribute credit for social assists
Assign economic value
Calculate ROI
Many have tried.
Not many have succeeded.
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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34. Measuring Social Media’s Impact
351 (9.4%) of visits
previously interacted on
social media sites
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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35. The Goal: Cross-Channel Attribution
Social
The Holy Grail: Measure Attribution of
Paid, Owned and Earned Media
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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36. 4. Translate Results Into Value
To measure ROI, you first have to calculate the value
Determine how Actions Intent (offline purchase)
Action
Value
Site Visits
Indicates awareness
Goal Page Views
Indicates consideration
Long Visits
Indicates consideration
Conversions
Indicates preference
Forecast how Intent $$$
Some % of those who show Intent will buy
Do the math and apply across each set of actions
Use common sense to normalize results
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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37. Engagement ROI Methodology
Project Normalize Divide by
Define Assign
Value for (average) Cost or
Metrics
Close Rates
each action
Values
investment
Such as:
Forecast:
Project Values:
Strengthen by:
Net it out:
• Impressions
For each Metric:
For each Metric:
• Eliminate • Return on
outliers
Spend (ROS)
• Visits
• What % will buy?
• Revenue
• Return on
• Returning Visitors
• What % will • Margin
Investment
influence a (ROI)
• Goal Page Views
purchase?
• NPV
• Conversions
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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38. Engagement Funnel / ROI Model
AWARENESS
(Visits)
CONSIDERATION
(Long Visits, Goal pages)
PREFERENCE
(Register)
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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39. 5. Communicate Results
Effective Communication is a Must
Communicate results that matter
Communicate them in a way CXOs will understand
Use terms they use
Leads, Opportunities, Sales, Customers, Margin
ROS, ROI, NPV
Use Charts and Dashboards
But have supporting data
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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40. Case Studies
B2C Regional Furniture Retailer
Integrated media campaign (15 million impressions and 145,000 visits per month)
Display attribution resulted in 98% lift vs. last-click analysis (46% drop in CPA)
PPC attribution resulted in 14% lift (16% drop in CPA)
B2B Service Provider
Integrated media campaign (*10 million impressions and 15,000 visits per month)
Display attribution resulted in 88% lift over last-click reporting (47% drop in CPA)
PPC attribution resulted in 6% lift over last-click report (6% drop in CPA)
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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41. More Case Studies
Client: Local Community College
8-week display media campaign
Display Attribution produced in 280% lift in Actions vs. last-click reporting
Cost per conversion fell from $95 (last-click) to $18 (attributed)
Client: Provider of Regional Energy Services
10-week campaign using display and 3rd party email
Display Media cost per conversion fell from $147 (Last-click) to $28 (attributed)
Email cost per conversion fell from $50 (last-click) to $33 (attributed)
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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42. In Closing…
The bar is being raised… we have to do better.
If you do it right, you’ll see much higher ROI
Employ this 5-step approach and your budgets will grow!
Let’s stay in touch!
Facebook.com/slatham
Twitter @spurinteractive
LinkedIn.com/in/stevelatham
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Online Measurement and Media Attribution. © Encore Media Metrics 2010
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43. About the Presenter
A thought leader in digital media, Steve Latham is the founder of Encore Media
Metrics which provides advanced measurement, attribution and reporting of
online media as a service.
Prior to launching Encore, Steve founded Spur Interactive, a digital marketing
agency that specialized in strategic planning and execution of integrated media
campaigns. In this role, Steve planned and executed successful campaigns for
leading brands, including FedEx Office, Continental Airlines, ConocoPhillips and
The Scooter Store.
Steve is an accomplished industry lecturer and thought leader. Steve speaks
frequently at industry events including Search Engine Strategies, Online Marketing
Summit, Integrated Marketing Summit and Interactive Strategies. Steve’s articles
have been published by MediaPost, Online Media Daily, iMedia Connection,
Marketing News and Bizjournals.com. Steve has been quoted in B2B Magazine,
PR Week, Fortune and CNN.com.
Steve received an MBA from Harvard Business School and a BBA from the
University of Oklahoma. You can read Steve’s articles at blog.spurinteractive.com
and at OnlineMarketingConnect.com.
http://facebook.com/slatham http://twitter.com/stevelatham
www.linkedin.com/in/stevelatham
Online Measurement and Media Attribution. © Encore Media Metrics 2010
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