Traditional vs. Interactive Marketing – Part II
Interactive Marketing
What is Interactive Marketing? The refined form of pull marketing that brings
consumers to brand through conversations, interactions and electronic word of mouth It gives the consumer the ability to craft and control the message Much more creative than traditional marketing It builds real relationships with consumers that provide the brand with insights and understanding of how a product is used We rely more on TECHNOGRAPHICS than demographics
Technographic Segmentation Traditionally market researchers focused on various demographic, psychographic, and lifestyle schemes to categorize and describe similar clusters of consumers as target markets As information and communication technologies emerged as a central focus and defining force in a wide range of occupations and lifestyles, market researchers realized the need for a segmentation scheme based on the role that technology plays in consumers' lives Technographic segmentation was developed to measure and categorize consumers based on their ownership, use patterns, and attitudes toward information, communication and entertainment technologies.
Conversations Start With People THERE IS STILL ONE TRUSTED MEDIUM LEFT IN THE WORLD
MY FRIENDS – THEIR FRIENDS – AND ALL THOSE WE COLLECTIVELY RESPECT
The New Way
The Truth About Interactive Marketing It’s not about you, it’s about your audience Strategy must be based on customer behavior The focal point needs to be consumer insight – How can you add value or create a more engaged audience? This is about building a REAL relationship with your customers; customers want credibility
The 4 P’s Have Evolved!
Permission enables marketers to begin the dialog with consumers as a true, voluntary relationship
Proximity is more about enabling big ideas that have scalability at the local level.
Perception – Understand the vantage point of the customer and understand our perception may not be 100% accurate
Participation – Embrace the idea that your customers and prospective customers are engaged in conversation that affects you.
Consumers Control The Message
Blog
PodCast
Video
Conversation
Collaboration
I have a problem I need to solve
I want to be better looking
I can save the environment I need to impress my boss
I want to be more efficient
I want to smile I need to know more
I want to laugh
I want to be entertained I want to be more popular I wish I could do more to help people I want to make my friends laugh
The New Rules of Engagement One‐way communication
Brand is dialogue
Brand recall is holy grail
Customers determine brand value
Group customers by demographics
Group customers by behavior
Content controlled by marketers
Enterprise + user‐generated content
Virality driven by flash
Virality based on content
Michelin Guide: expert reviews
Amazon: user reviews
Publishers control channels
Publishers build relationships
Top‐down strategy
Bottom‐up strategy
Information hierarchy
Information on demand
Emphasis on cost – CPM
Invest for growth – Measurable ROI
Leveraging Interactive Media In Marketing Brand Building Lead Generation Research and Development Product or Service Launch Customer Retention Partner and Channel Communications Thought Leadership Internal Communications Media Relations Crisis Management
What Do I Mean When I Say Interactive Marketing?
Online Communication Channels
21
Search Engine Marketing Paid Search Contextual Advertising Search Engine Optimization Display Advertising
Some facts: SEM is the fastest growing form of online marketing 89% of US Internet Users 63% of consumers first look to the internet 82% say search is the most commonly used tool 41% use geographic modifiers 82% of local searchers follow‐up with in‐store visits, phone calls or purchase
Search Engine Optimization Google Algorithm Google Instant Google Places Increased focus on SEO can begin to
decrease or eliminate the need for PPC
Search – Leveling the playing field
SEO +29% Higher Return
PPC
Display/Banner Advertising CPM (Cost per Thousand Impressions) CPC (Cost per Click) CPA (Cost per Action/Acquisition) CPL (Cost per Lead) Rich Media Mobile Behavioral Targeting
Social Networks
User Generated Content Blogs Social Network Sites Wikis Videos & Photos Review Sites Audio Sites Discussion Boards & Forums
Email Marketing
Fast & Easy Interactive Personalization Tracking Eliminated printing costs
Mobile  Mobile Websites SMS/Texting Smart Phones Tablets/iPad/Kindles Location Based Marketing
Centralize Analytics – Multichannel Optimization
The Changing Role of the Marketer
Changing Role of Marketers
It’s not about talking at customers and prospects
Changing Role of Marketers It’s about creating & engaging with communities
The Social Technographics Ladder
Creators
18% Critics
25%
Creators
Critics
Collectors
12%
Joiners
25%
Spectators
48%
Inactives
44%
Collectors
Joiners
Spectators
Inactives
Publish a blog Publish your own Web pages Upload video you created Upload audio/music you created Write articles or stories and post them Post ratings/reviews of products/services Comment on someone else’s blog Contribute to online forums Contribute to/edit articles in a wiki
Use RSS feeds Add “tags” to Web pages or photos “Vote” for Web sites online
Maintain profile on a social networking site Visit social networking sites Read blogs Watch video from other users Listen to podcasts Read online forums Read customer ratings/reviews
None of the above
Groups include people participating in at least one of the activities monthly.
Understand All The Objectives ADVOCACY
AWARENESS
By always adding value, your customers will become advocates of your brand
Find your target audience Make them aware of your products and services
They will pass the word and start the cycle over with others RETENTION By always adding value and more relevance to each individual, customers will come to you, not your competitors
ENGAGEMENT Now they know…but do they care? Entice the target’s desire to learn more
SEGMENTATION With new data, bucket customers into different groups Provide more targeted, relevant communications
ACQUISITION You’ve engaged your target, they’re willing to exchange data, make a purchase, etc.
Listening Learning from what your customers are saying
Talking Two‐way conversation, not just shouting
Energizing Helping your best customers to recruit others
Supporting Enabling your customers to support each other
Embracing Involving customers in your product development
Tools used to accomplish objectives Corporate function
Typical groundswell objective Listening — gaining insights
Appropriate social applications
Research from listening to customers
• Private communities • Brand monitoring
Talking — using conversations Marketing with customers to promote products or services
• Blogs • Communities • Social networking sites • Video or user-generated sites
Energizing — identifying • Brand ambassador programs Sales enthusiastic customers and using • Communities them to persuade others • Embeddable “widgets” Supporting — making it Support possible for customers to help each other Embracing — turning customers
Development into a resource for innovation
• Support forums • Wikis • Innovation communities • “Suggestion boxes”
Getting The Strategy Right
Manage Expectations
Make sure that your organization understands there are no overnight successes
Don’t be greedy
To become a viral brand requires a great idea, make sure that you have enough ideas to reject so that you get the great one Attempts to find superficial social success leads brands to create a presence that doesn’t fit brand personality or inappropriate campaigns in the hope that they go viral Just because you have thousands of followers or friends, doesn’t mean that they all have something valuable to say
Measure. Review. Revise.
Getting social media right requires regular review to gauge what works and what doesn’t Once you know what works, revise your social media strategy to achieve results long‐term
Why Do Brands Fail In Social Media? Individuals within the organization work independently
of others as what we call silos Organizations fail to do any research or planning to understand what social media is and how it operates Too many organizations believe that social media is about just listening to what others say, rather than being part of the discussion They fail to devise a message for the media making their social media experience seem like an one‐off experiment They don’t take the time to build the strategy to succeed assuring that they will fail