Download - #RampUp17: Lessons From Marketing Leaders
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VISION / STRATEGY ALIGNED WITH THE BUSINESS
MEASUREMENT – REACH & IMPACT, DATA, ANALYTICS, TECH AND TOOLS
OPERATING MODEL – TALENT, TEAMING, DECISION RIGHTS
CLEAR BRAND AND VALUE PROPOSITION
CULTURE OF EXPERIMENTATION / TEST & LEARN
Our POV: The fundamentals of marketing haven’t actually changed…
Customerinsights and
priorities“WHO”
Channelsand
conversations“WHERE”
Content and contact
strategy“WHAT” AND “WHEN”
Reach and
impact goals“WHY”
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…but the way in which marketing works couldn’t be more different
FROM TO
Real-time “newsroom” model
Rapid-fire, autonomous decision-making
Continuous experimentation culture
1:1 conversations
Long lead-times
Collaborative decisions
“Big bet” culture
Mass-market campaigns
Pay for performancePay for exposure
3 seconds30 seconds
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In this “brave new world”, we have identified what marketing leaders do differently
Market share
>10%>15%
Revenue
# Respondents
Laggards
Leaders
AND IDENTIFIED LEADERS BY INCREASED REVENUE AND SHARE
WE SURVEYED 487 COMPANIES ACROSS INDUSTRY VERTICALS…
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What leaders do is striking
Putcustomer
first
1
Test and
learn and test again
43
Work smart, fast
andtogether
5
Embrace mobile
2
Own digital
destiny
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Lesson 1: Put customer first
• Invest in customer insights
• Align marketing strategies to customer priorities
•Build journey maps
•Use predictive modeling to inform targeting
• Invest in priority customers
1
Putcustomer
first
more likely to align their marketing strategy with
customer priorities
more likely to have talent focused on customer feedback
and journey maps
2.8x
3.6xLEADERS ARE…
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Leaders are 1.5X more likely to map out the customer end-to-end experience
Bank CoCUSTOMER EPISODE REDESIGN
RESULTSAPPROACH
$30M savings
20% increase in NPS
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Existing analytics and customer feedback were used to prioritize journeys with high frequency and impact
Fre
quency o
f use
Emotional importance
Viewingbalance
(dashboard)
Viewingactivity
Downloadstatements
Onlinebill pay
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Each priority episode redesigned to increase customer delight and infuse digital capabilities
Across the journey portfolio – led by executive team
Catalogue journeys and understand how each impacts
NPS
Prioritize investments across journeys
Determine “must win battles” – where to differentiate
or close gaps
1 2 3
PORTFOLIO OF CUSTOMER JOURNEYS
PRIORITY PRIORITY PRIORITY PRIORITY
Within a prioritized journey – led by a dedicated “Journey Owner”
CustomersEmployees
Profit/cost
Reimagine journey and drive fast-cycle,
customer led iteration
Drive to outcomes through “metrics that matter”
journey analytics (cross-channel) Operational metrics journey NPS Etc.
Balance competing priorities
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Lesson 2: Embrace mobile
•Use “math” and “magic” to create compelling mobile campaigns
•Grow mobile spend in line with customer time spent
• Tie measurement to online and offline sales
• Integrate mobile into omnichannel strategy
2
Embrace mobile
Leaders are
2.5xMore likely to
prioritize mobile
today
…and they spend 2x
less on print and
promotional ads
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Mobile can deliver the right message to the right customer at the right moment
Casual Dining Co.MOBILE TARGETING TO DRIVE VISITS
Majority of web traffic from mobile
Most web visits are pre-dinner
More likely to visit if nearby
TARGETED OFFERS RESULTSCUSTOMER INSIGHTS
31%higher likelihood to visit a
restaurant on the day an ad was seen
Roll out ad during dinner
decision-making
timeframe
Target customers
within a 10 mile radius of a restaurant
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Lesson 3: Own your digital destiny
•Hire and train digital experts within marketing org
• Invest in tools and tech to fully unleash talent
•Quickly integrate new tools
•Employ digital prototypes, design and learning “hubs”
3
Own digital
destiny
2.7xmore likely to hire the right talent with digital expertise
3.0xmore likely to use
programmatic tools to optimize performance
2.4xmore likely to use new platforms and tools
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Lesson 4: Test and learn and test again
•Create culture of continuous improvement
•Use a suite of metrics, including CLV and ROI
•Use optimization technology
•Maintain budget for testing
4
2.7Xmore likely to use test and learn to
optimize campaigns
Test and learn
and test
again
Leaders are…
The test and learn cycle covers from objectives to design to roll-out:
Decide test objectives & attributes
Solicit input
Executetest
Validate results vs.
expectations
Report on
insights
Roll out winningdesigns
Design test &
controls
Test & Learn
virtuous cycle
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To create culture of test & learn, leaders embed analytics talent in org…
Source: Bain Marketing Survey (N=487, Leaders n=75 and Laggards n=34)
20% OF LAGGARDS DON’T EMPLOY ANALYTICS TALENT
OR KEEP IT OUTSIDE OF MARKETING
64% OF LEADERS EMBED THEIR ANALYTICS TALENT
WITHIN MARKETINGLEADERS ARE
2.5XMORE LIKELY TO HAVE THE RIGHT TALENT FOR MARKETING ANALYTICS
AND TESTINGLEADERS PLAN TO INSOURCE
MARKETING ANALYTICS TALENT MORE OVER NEXT 3 YRS; LAGGARDS PLAN TO OUTSOURCE
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Source: Bain Marketing Survey (N=487, Leaders n=75 and Laggards n=34)
…and use a suite of short and long-term metrics to measure results
What metrics does your company use to determine how effective your company's marketing is?
LEADERS LAGGARDS
ROI
CTR
CAC
CLV
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Cable Co increased customer engagement and sales online by targeting & testing messages, offers, design
• Campaign click-through rates >5x greater than historicals
• 30-40% sales conversion improvement
• Generated $600M incremental revenue from tests
• Trained client team to develop Test & Learn Center of Excellence
Cable Co
Half of Cable Co customers visited website, but vast majority transacted in other channels
Cable Co did not have a thorough understanding of customer online behaviors, needs or preferences
Analyzed online & offline behaviors, experiences and demographics
Leveraged Test & Learn to identify best messages,
offers, merchandising, site design, etc. to drive online engagement and purchasing
Developed actionable targeting strategy by identifying customer
behaviors that are strongly correlated with upgrading online
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Lesson 5: Work smart, fast, and together
•Clearly define roles and decision-makers
• Empower employees to make decisions
• Streamline approvals
•Work across functions in agile sprints
•Communicate often inside & outside marketing
5
Work smart,
fast andtogether
Employees empowered
to make decisions
Budgets have built-in
flexibility to adjust to changes
Disciplined decision
processes in place
(3.3X) (2.5X) (1.9X)
Leaders are
2.5Xmore likely to have the right
talent in the right place and…
In MarketingIn another function
Insourc
ed
Outs
ourc
ed
CoreCapability
Talent placement
Tale
nt
mod
el
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Putting it all together –Leadership Marketing playbook
Put customer
first
1
Test and learn
and test again
43
Work smart, fast andtogether
5
Embrace mobile
2
Own digital
destiny
• Invest in customer insights
• Align marketing strategies to customer priorities
• Build journey maps
• Use predictive modeling to inform targeting
• Invest in priority customers
• Use “math” and “magic” to create compelling mobile campaigns
• Grow mobile spend in line with customer time spent
• Tie measurement to online and offline sales
• Create culture of continuous improvement
• Use a suite of metrics, including CLV to measure marketing results
• Use optimization technology
• Maintain budget for testing
• Hire and train digital experts within marketing org
• Invest in tools and tech to fully unleash talent
• Quickly integrate new tools
• Employ digital prototypes, design and learning “hubs”
• Clearly define roles and decision-makers
• Empower employees to make decisions
• Streamline approvals
• Work across functions in agile sprints
• Communicate often inside & outside marketing
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How you might get started…
Assemble cross-
functional, agile team
Capture learnings
and repeat
• Marketing Analytics, Digital, Creative, etc.
• New member contact strategy (vs. one-size fits all)
• Dynamic paths based on demos, first product purchased, interests, needs
• Digital display (program-matic)
• Mobile app
• Online conversion
• Cross-sell
• NPS
• “Champion” strategies
• Data gaps
• Capabilities needed
• Etc.
Measure impact and optimize
Engage through digital
channels
Leveraging data assets,
develop personalized contact paths
Align on customer target &
hypothesis for growth
Define hypothesis to test
Agree to take action and start the journey
Begin here
Go deep in areas of opportunity