beyond amazon: effective integrated marketing · beyond amazon: effective integrated marketing july...
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Beyond Amazon:
Effective Integrated Marketing July 17, 2012
Thomas P. Gale
Publisher President Modern Distribution Management Industrial Market Information www.mdm.com www.imidata.com
Resource for today
• Download presentation and additinoal resources:
• www.mdm.com/edr2012
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My e-journey
• Quality content = products • Saas/cloud • Content marketing = 6-year growth • Passions: Segmentation & online marketing • Core challenges:
– CMS and e-com platforms – Keeping up with technology change
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• Hour 1: State of the Industry Competitive landscape E-commerce & content platforms
• Hour 2: Best Practice Integrated marketing best practice: Web, email, CRM, mobile, social, print, tele-*
• Hour 3: Roundtable discussions - Generating web traffic - Building email file - Growing social audience - Integrating the tools
Our morning
• State of the Industry Competitive landscape overview E-commerce & content platforms
Hour 1
Listening to customers
• “Customers want to pay less for faster, better service.”
– MDM survey May 2012
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THIS BOOK
Tells just what your storekeeper at home pays for everything he buys and will prevent him from overcharging you on anything you buy from him.
MDM top 40 distributors
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Industrial distribution by the numbers
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Industrial distribution by the numbers • Total market = $227B
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E-retailing by the numbers
• 2011 total retail = $2.9 trillion (+5.6%) • 2011 total e-commerce = $194B (+16%) • Share of total retail = 6.7% • Growth in share = 10%
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SKU wars
SKUs Avg. order • Fastenal 1 million+ $200 • W.W. Grainger 900,000+ $280 • MSC Industrial 600,000+ $350 • McMaster-Carr 500,000+ • AmazonSupply.com 500,000+ • Lawson Products 250,000+
Amazon by the numbers
• 2011 online sales = $48 Billion • 2011 web sales growth = 41% • Monthly visits = 330 million • Monthly unique visitors = 81 million • Conversion rate = 4% • Average ticket = $220 • Goal = dominate the world
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Flagship Amazon.com AmazonSupply.com Not built for professionals Targeted at MRO buyers Limited product detail Robust technical detail No cust. service support Service center 8:30am-7pm EST No corporate credit Corporate lines of credit No outside sales force No outside sales force No print catalog No print catalog No value-added services No inventory mgmt. services 60%-70% 3rd-party fulfill Most items in stock and shipped Limited same-day service Limited same-day service No tech. product certification No tech. product certification
Amazon’s MRO strategy evolution
AmazonSupply beyond the hype
• Slow build-out: smallparts.com in 2005 • Not multi-channel service • Targeted segment of spot buys • No technical expertise • Evolving supplier relationships
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Source: Grainger, Modern Distribution Management estimates
The “old” Grainger
“When you can understand what customers are trying to do, how they’re trying to do that, and create solutions that fit together with that knowledge and create a culture of innovation where you’re going to be trying stuff and improving upon what you’ve done, that’s where you see the kind of growth we’ve been seeing…”
– Paul Miller
Grainger Vice President of eCommerce
Grainger online by the numbers
• 2011 online sales = $2.2B (total sales $8.1B) • 2011 web sales growth = 21.5% • Monthly visits = 7.2 million • Monthly unique visitors = 2.6 million • Conversion rate = 8.7% • Average ticket = $280 • Goal = web sales 40%+ of total sales
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Grainger online by the numbers
• 2011 search engine traffic = 47% • 2011 new shoppers = 53% • 2011 return shoppers = 47% • URLs:
– grainger.com – lss.com – zorotools.com
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Key takeaway: Playing field is leveling
• It’s not about: – Big data – Email carpet bombing – Biggest wallet wins
• It’s about: – Individual user data, smart data – Leveraging the tools – Being strategic about your brand/relationships – Be true to core strengths – Listen closely to customers
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• Best Practice Integrated marketing best practice: Web, email, CRM, mobile, social, print, tele-*
Hour 2
Disruptive technology shift
• Transaction > engagement • Systems of record > systems of engagement • Silo marketing > integrated marketing
– Coordinate marketing, communications, sales, service, product management, etc.
• Engagement = activate the consumer • Success = Very different roles for everyone
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Every company is a publisher today
• Grow & manage increasingly rich content • Feed your customers • Manage customer content • Content is king and always will be!
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Marketing ROI: 5 questions to ask
• What influences our customers today? • How well informed (really) is our marketing
judgment? • How are we managing financial risk in our
marketing plans? • How are we coping with added complexity in
marketing? • What metrics should we track given our
(imperfect) options? ROI?
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Define goals and strategy
• Sell products online • Sell products offline • Generate leads • Build a marketing database • Improve brand awareness • Improve customer service
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Best practice tips
• Break the functional silo/push mentality • Create a content strategy • Appoint a content champion • Re-visit marketing budget…often • Understand and optimize the channels
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Platforms & tools: Integration
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Content Commerce Community
Taxonomy (metadata) How they say keywords: customers, prospects, competitors
ERP CRM
Analytics
Web email social landing pages links e-newsletters seo sem print telemarketing inside/outside sales training counter delivery
CMS Marketing automation Business intelligence
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Source: www.punchout2go.com
Punchout catalog process
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Lead management vendors
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Offer > download > response
Subject lines & landing pages
• Segment • Nurture the relationship • Offer value • Call to action • Convert • Test, test, test, test
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Google tools
• Adwords
• Keyword tool: View competitor terms/phrases
• https://adwords.google.com/select/KeywordToolExternal
• Google Optimizer
• https://optimizely.com
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A/B test your top conversion pages
• Google Optimizer
• https://optimizely.com
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GA most popular pages
• Monitor most popular pages
• Call to action! On each page
• Content > Site Content > Landing Pages
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Visibility 1
Leverage 2
Service & Knowledge 3
Four differentiating skills for the future
4 Process Discipline
… to match new ways customer defines value
Lean as a sales tool New revenue streams Outsource capabilities
Online tools & skills Deeper relationships Mine POS data
Upgrade high-value skills Make tough choices on focus Create stronger differentiators
Reposition to new value Train & create new skill sets Sell value outside product box
Best practice integrated marketing
• Seamless • Frictionless • Engage • Conversations • Multi-channel • Integrated • Customer-focused
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Listen, reflect the change
• Consumption is shifting from push to pull • Rethink customer development strategy to
include more pull approaches and conversation/dialogue
• Create deeper relationships – track what resonates
• Develop more relevance with content, commerce, community building
• Create a seamless platform
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“There is nothing more difficult to take in hand, more perilous to conduct, or more uncertain in
its success, than to take the lead in the introduction of a new order of things.”
Niccolo Machiavelli
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• Action Items
Prospecting & Customer Service Roundtables:
- Generating web traffic - Building email file - Growing social audience - Integrating the platforms
Hour 3
Roundtable topics
• How to generate web site traffic • How to nurture leads • How to build email file and clean • How to grow social audience
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