exact target sff20-marketers-from-mars

2 © 2013 ExactTarget

Dear Marketer,You’re different. As a marketer working on today’s digital, fragmented, and cross-channel frontier, you take risks. You live on the bleeding edge of technology. You brave the wilds of new social networks and mobile apps before you even know what they plan to do with your data. In short, you are not the average consumer. You are an explorer of brave, new worlds.

As an explorer, you also cannot stand to be left behind. You were probably one of the first among your friends to have a smartphone. You were also probably the first to tweet, check in, pin, and Instagram. You’re the only friend who pays as much attention to the advertising on Facebook as you do to the status updates. In marketing circles, this is normal. At family reunions, not so much.

For the past three years, our SUBSCRIBERS, FANS, & FOLLOWERS research series has taken an in-depth look at consumer preferences as they relate to email, mobile, and social channels. This time, however, we decided to turn the tables—to look in the mirror at our marketing peers. Are there channels that marketers use disproportionately more or less than consumers? Are we more permissive with technology in our own homes? Are we less concerned about the privacy implications of marketing today? Have all our years as early adopters—internet explorers, if you will—impeded our ability to relate to regular people?

In Marketers From Mars, the 20th report in our ongoing SUBSCRIBERS, FANS, & FOLLOWERS, we tackle these questions—and more—thanks to the results of our first-ever, side-by-side study of marketers and consumers. The pages that follow provide a unique opportunity to reflect on what it means to be a marketer today, as well as why it’s critical that marketers avoid focus groups of one.

Please feel free to share this report with colleagues. And, as always, we welcome your feedback at [email protected].

Sincerely,

Jeffrey K. Rohrs

METHODOLOGY: Marketers From Mars serves as the first SUBSCRIBERS, FANS, & FOLLOWERS research conducted concurrently about consumers and marketers, paralleling the process, methodology, and aim of prior reports.

The “Personal Internet and Mobile Usage Survey” was launched in September 2012 to benchmark online behaviors in consumers and marketers. A total of 1,201 consumers and 411 marketers responded to this survey. Consumer responses were weighted by age and gender according to the 2010 U.S. Census Bureau population estimates and Pew Internet Project’s online activity data to reflect the online US consumer population. Marketer responses were not weighted. Of the 411 marketers, 62 respondents were recruited from Twitter via industry leaders, and 349 respondents were recruited from marketing-specific email lists.


At this very moment, some 60 million miles from Earth, NASA’s robotic rover, Curiosity, is picking, poking, and analyzing a small patch of soil on the planet Mars. Its mission is one of pure discovery, and its every transmission back home holds the potential to forever change the way we view the Red Planet and, perhaps, the very nature of life itself. Curiosity is the ultimate explorer—focused, fearless, and relentless in its pursuit of knowledge. Curiosity is also now a permanent citizen of Mars, and it will never view the Earth the same way again.

Curiosity’s story is the story of all explorers. They (or their team back at NASA) gaze out upon the endless sea, the untamed wilderness, and the starry night wondering what’s out there. Unlike everyone else, however, explorers take steps—and unimaginable risks—to map and understand the great unknown. They emerge from the experience forever changed, and quite often, they become the first settlers of a brave, new world.

Modern marketing is full of such explorers. In fact, it wouldn’t be beyond the realm of reason to dub the past two decades as “The Golden Age of Marketing Exploration.” In that span, we’ve gone from a well-settled world of television, radio, and print to one connected by the internet, untethered by mobile devices, and empowered by social media. Marketers

venture into these new worlds of social networks, smartphones, tablets, and apps to understand, analyze, and tap the potential they each hold for our brands. In the process, however, we marketers have evolved. Our view of what’s “normal” behavior has been shaped by our emersion into digital, mobile, and social worlds.

In Marketers From Mars, we hope to help our fellow marketers understand how our exploration of new technologies and channels has made us different from the consumers we seek to serve. In so doing, we hope to provide you with the means to avoid personal device and channel biases in your planning efforts.

Introduction

In Marketers From Mars, you’ll discover:

• Thedifferencesbetweenmarketerandconsumer channel usage (email, Facebook, andTwitter).

• Thedifferencesbetweenmarketerandconsumer smartphone usage, digital purchase behaviors, and marketing priorities.

• Howmarketerscanavoidpersonalbiastobetter communicate with consumers.

4 © 2013 ExactTarget4 © 2013 ExactTarget

For the purposes of this report we have

defined the terms of Subscribers, Fans,

& Followers as:

Online US consumers who receive at least one permission-based email per day on average.

Online US consumers with an active Facebook account who have become a fan (i.e., “liked”) at least one company or brand on Facebook.

Online US consumers with an active Twitter profile who “follow” at least one company or brand on Twitter.

Consumers

Marketers

% who areSUBSCrIBerS

% who areFanS

% who areFollowerS

98% 86% 61%

93% 58% 12%

Subscribers Fans Followers

Source: ExactTarget® 2013 Marketers from Mars, September 2012 • Marketers = 411, Consumers = 1201 US Online Population, age 18 and older

5© 2013 ExactTarget 5© 2013 ExactTarget

The View From EarthInteractive marketing isn’t for everyone. Today’s marketers are like modern space explorers whose story echoes explorers of the past: traveling great distances into the unknown, establishing frontier settlements, and returning home to share news of their discoveries. Today’s marketers boldly go where few consumers have gone before, setting up new accounts on uncharted networks, establishing a meaningful brand presence there, and then trying to develop a flourishing digital civilization. Marketers push right to the edge and come back, telling tales of what might be possible in the future on these other mobile and social “worlds.” Indeed, they can get so accustomed to life in these new environments, that they can lose touch with what life on Earth—the life of average consumers—is really like.

Over the past three years of presenting our research to marketing audiences, we’ve consistently heard marketers express astonishment at how the habits of consumers differ from their personal habits. With our new research findings, we’ve discovered instances where “The Golden Rule” is ignored: Do marketers treat others as they’d like to be treated? Well, yes and no. Our findings indicate that consumers do not feel the same pressure as marketers to stay current with the latest digital trends. As such, marketers tend to be more digitally permissive than the average consumer.

The challenge facing marketers is twofold: first, they must acknowledge the differences between their own online habits and those of the consumers they seek to reach. To put it another way, marketers must avoid being a focus group of one. At the same time, however, marketers need to continue taking risks and exploring new digital frontiers. Only with such exploration can brands fully understand whether the “next big thing” will be meaningful and embraced by their target consumers.

In the end, both marketers and consumers have finite time and energy, so they want to know that their investments will produce meaningful results. Even small adjustments based on these simple observations can lead to significant improvements in cross-channel marketing strategies.

Today’s marketers

boldly go where few

consumers have gone

before…


While marketers would never consider setting off without their trusty smartphone in tow, it’s important to remember that 49% of consumers still do not own a smartphone. This crucial fact can have a big impact on how, where, and when marketers attempt to engage consumers.

When it comes to online behaviors and preferences, consumers with smartphones behave a lot more like marketers than consumers without smartphones do. The

differences are striking—consumers with smartphones email more, use apps more, share more, check in more, review more, visit deal sites and redeem mobile coupons more, and generally purchase more online than consumers who don’t own smartphones. Smartphone ownership doesn’t necessarily cause consumers to use specific channels more, but it does make it easier and more likely that they will.

90% of marketers own smartphones, while only 51% of consumers do.

Smartphones: The Marketer’s Trusty Compass

Consumers without a

smartphone

Consumers with a

smartphone

Marketers

90% 51% 6%

96% 66% 17%

98% 86% 61%

% who areSUBSCrIBerS

% who areFanS

% who areFollowerS

Source: ExactTarget® 2013 Marketers from Mars, September 2012 • Consumers with a Smartphone = 675, Consumers without a Smartphone =526, Marketers = 411 US Online Population, age 18 and older


Marketers must keep in mind that they do just about everything online more than the average consumer, and they must be careful not to apply their professional behaviors to consumers as a whole. With the abundance of other channels and devices available to access content, it may be tempting to rush marketing efforts into the latest mobile technology and tools.

The fundamental question is: what percentage of your audience uses smartphones? For many brands, that percentage will be high—and it’s only increasing. For such brands, mobile apps and websites hold tremendous appeal. For some brands, however, their target consumers will continue to maintain a mix of smartphone and feature phone ownership that will require more creative use of text messaging to capture mobile consumer interest.

Yes, smartphone ownership will continue to grow. But the hyper-adoption of mobile channels by marketers is unlikely to be matched by consumers anytime soon. In the near term, therefore, marketers should not let their own biases blind them to the importance of reaching out to the 49% of consumers who don’t own smartphones. Longer term, marketers will continually need to evaluate whether their investment priorities are rooted in these personal, mobile biases or mobile consumer preferences. One way to avoid being a focus group of one would be to survey and conduct focus groups with target audiences to determine customers’ actual device and channel preferences.

Marketers should not let their own biases

blind them to the importance of reaching

out to the 49% of consumers who don’t

own smartphones.


Interacting & Purchasing on a SmartphoneWhen it comes to interacting with brands online and making purchases, a side-by-side comparison shows that marketers and consumers with smartphones tend to have very different priorities:

which of the following do you use MoST often to connect with brands/companies you trust?

have you ever made a purchase as the direct result of a marketing message you received through the following channels?

Consumers with a smartphone

Consumers with a smartphone

Consumers without a smartphone

Consumers without a smartphone

Marketers Marketers

Email

93% 56% 42%

Facebook

41% 31% 12%

Twitter

25% 17% 2%

Deal Site

74% 44% 24%

Direct Mail

81% 51% 44%

Email

45% 36% 49%

Facebook

21% 31% 26%

Twitter

15% 4% 2%

Smartphone App

9% 8% 0%

Text

0% 7% 3%



Marketers and Consumers are Similar in…

But Marketers and Consumers Differ in…

Their digital mornings: both marketers (76%) and consumers (69%) favor email as their first online “check” of the day.

Their digital evenings: marketers (34%) are less likely than consumers (46%) to check their email at the end of the day.

Appreciating a good deal: 74% of marketers and 73% of consumers subscribe to receive coupons and discount codes in their inboxes.

Their purchasing rates: 93% of marketers have made a purchase from a company as a result of receiving an email, as opposed to only 49% of consumers.

Subscribing: 67% of marketers and 59% of consumers report being more selective about giving companies their email addresses over the course of the past year.

Marketers & Consumers: A World of Channel Differencesemail is a well-established online civilization where consumers and marketers have a stable relationship, valuing quality over quantity. Based on the differences between marketer and consumer email usage, there are several opportunities for streamlining and improving marketing email messaging and timing.

Considering that many more consumers than marketers check their email in the evening, marketers might strategically schedule certain messages for after sunset. Both consumers and marketers appreciate a good deal in their inboxes, but marketers are more likely than consumers to make a purchase. How would that affect future offers and messaging? And consumers without smartphones favor email significantly more than other channels for connecting with brands. Marketers should make sure to meet this receptive audience with what they want to receive.

76%

74%

67%

69%

73%

59%

93%

34% 46%

49%





Socializing: of active Facebook users, 81% of marketers and 66% of consumers use Facebook first and foremost to stay on top of their social lives.

How they share: when asked how they typically share things they like with friends and family, 59% of marketers (but only 34% of consumers) prefer Facebook.

Connecting with brands: both marketers (21%) and consumers (28%) say they prefer to interact with brands through Facebook, making it the second most common place both marketers and consumers look to connect with brands online.

What age children should be when they create a Facebook profile1: 26% of marketers believe that 13-year olds should be allowed to have a Facebook account compared to only 16% of consumers.

Looking for a deal: both marketers (7%) and consumers (12%) report turning to Facebook as the first place to look for getting information on ongoing deals.

Their purchasing rates: 41% of marketers (but only 21% of consumers) report making a purchase as a result of receiving a message on Facebook.

Facebook is a well-inhabited interactive settlement, but the rules and cultures are still developing. It’s a channel to experiment with, deliver playful and entertaining messages, and try out new strategies. Consumers spend a great deal of time on Facebook for socializing, so marketers should make sure messages match that tone. Because marketers overwhelmingly prefer Facebook for sharing with friends and family, they may overinflate consumers’ usage of Facebook for that purpose. Because Facebook was rated low (relative to other channels) for finding deals, it is an area marketers should continue to explore—but do so with caution. Here’s why:

66%

28%

12%

81%

21%

7%

34%

16%

21%

59%

26%

41%


1Facebook’s Statement of Rights and Responsibilities restricts usage to people aged 13 and older.




Their digital mornings: both marketers (5%) and consumers (1%) rated Twitter low on their list of digital morning checks.

Their digital evenings: Of active Twitter users, marketers (11%) were more likely than consumers (7%) to check Twitter as their last digital check of the day.

Motivations to follow: Of active Twitter followers, 58% of marketers and 46% of consumers rate receiving advanced notice or alerts about new products or future releases as a reason they follow brands online.

Purchasing rates: 25% of marketers (but only 9% of consumers) reported making a purchase as a result of a message on Twitter.

Boredom: 56% of marketers and 55% of consumers who actively use Twitter say they use it when they are bored.

Connecting with brands online: 15% of marketers (but only 3% of consumers) rated Twitter as the channel they use most for connecting with brands online.

Twitter is a much newer online settlement with much of its identity still in flux. Its developing stages are the perfect time for experimentation, and its fast pace means marketers can see results—both positive and negative—very quickly. While more and more people continue to adopt Twitter, using it is still far from mainstream. Many marketers may lose sight of the fact that they’re five times more likely (61%) to be followers than consumers (12%). And while there may not be as many Twitter users as other channels, many of the followers on Twitter are—or strive to be—influencers who wield power over popular opinions, producing online content outside of Twitter in the form of blogs and online ratings.

Consumers and marketers turn to Twitter as a source of current events and late-breaking information, to pass the time, and to be entertained—so marketers should keep this in mind when crafting messaging for Twitter. It’s important to remember that marketers use Twitter much more than the average consumer, so it’s not so much about “how many” as it is about “the who” when marketing on Twitter.

1%

46%

55%

5%

58%

56%

7%

9%

3%

11%

25%

15%



The Explorers’ ParadoxToday’s interactive marketers are the explorers of the online frontier. They come from a long line of brave voyagers who discovered unfamiliar lands and returned with the news to the old world. These explorers achieved fantastic feats that changed civilization forever.

Similarly, digital media is changing media. Like the early explorers Ferdinand Magellan or Juan Ponce de León, early marketers founded what are now the well-traveled online channels of search, email, and websites. Now, as Facebook and Twitter become increasingly familiar, some marketers are pushing forward even further—signing up social media platforms as they emerge, pushing further into mobile, testing the waters of augmented reality, and attempting to bring these worlds together through the integration of data across platforms.

While there are riches to be had, exploration has always come with risk. Just as Odysseus had to guard himself against the Sirens’ call, modern day marketers must remain vigilant against things that can easily lead them astray.

Privacy and the InternetThe majority of marketers and consumers are generally positive about the way the internet is evolving to benefit consumers. When it comes to issues of online privacy, over three quarters of both marketers and consumers agree that it’s a big concern.

However, research suggests that the root causes for privacy concerns differ between marketers and consumers. Marketers’ concerns tend to stem from their knowledge about the amount of data that’s available online. Consumers’ fears tend to originate from a lack of knowledge about how their data is being used—that disclosing information may leave them vulnerable to threats of both their identity and personal safety.

Because marketers rely on the internet for work, they tend to be less concerned with gross exploitations of consumer information and more with the storage and safe handling of sensitive consumer data. Overall, marketers feel that data collection is contributing to companies doing a better job of communicating with their customers. Consumers aren’t nearly as optimistic that providing personal information has resulted in more personal and relevant online experiences.

“out of This world” GrowthSince our first SFF report was published in 2010, there has been a steady increase in consumer usage of email, Facebook, and Twitter. The steady usage rate of email proves that it’s most certainly alive, well, and thriving—even as other channels continue to expand. At the same time, the significant increase in adoption by consumers of Facebook moves it squarely into the mainstream as a reliable channel. And the steady increase in adoption of Twitter proves it’s most definitely here to stay. As a result, we have seen a similar increase in the number of subscribers, fans, and followers.

Email is now the established civilization—trusted and stable. Facebook is a thriving settlement whose population and quality of life will continue to improve. And Twitter continues to grow and develop on the edge of the interactive frontier. Still, marketers will push on toward the newer channels that will bring even greater potential for connecting with consumers online.

93%

38%

5%

93%

58%

12%

online Consumer SFF Growth Since 2010

Source: ExactTarget® 2010 Digital Morning, March 2010 - N • 1506 US Online Population, age 15 and older Source: ExactTarget® 2013 Marketers from Mars, September 2012 • Marketers = 411, Consumers = 1201US Online Population, age 18 and older


So how Can you Meet Consumers’ needs for Privacy?It’s all about permission. If you plan to ask for any information beyond name, email, and zip code, explain why. For example, if you’re going to ask for their birthday, tell them it’s to send them a birthday coupon. Give consumers the chance to opt out of supplying detailed information about themselves so they never feel trapped.

Additionally, while single sign-on products such as Facebook logins may provide more customized user experiences, over-reliance on such tactics may lead consumers to feel their privacy is being invaded or that they are somehow being tricked into giving you access to unnecessary information. Instead of side-stepping privacy issues, take them head-on—clearly articulate the benefits consumers can expect in exchange for their personal information, and you’ll continue to build trust-based consumer relationships with your brand.

Do You Know where Your Customers are?When it comes to daily channel usage, some interesting trends and differences emerge between marketers and consumers. In many ways, usage rates follow similar trends of prior reports, with email, text, Facebook, and Twitter rounding out the top four.

What’s interesting to note is the higher rates of consumer usage in emerging channels such as Pinterest, Instagram, and Foursquare. While marketers use nearly every digital platform more frequently than their consumers, these platforms show different usage patterns. If consumers are there, should marketers be there too? Perhaps marketers underestimate the power of these channels where consumers have been exploring and setting up new online settlements. If audiences are beginning to congregate and interact in these newer channels, it’s worth examining whether your brand should invest more effort integrating them into a cross-channel marketing strategy.

Look at how your audiences are using channels, examine what kinds of content they’re posting and sharing, and then do as they do. Adjust accordingly—always with an eye toward prioritizing your efforts on the newly-settled regions of the online frontier that produce results for your brand.

Daily Usage

Email

Text

Facebook

Twitter

Pinterest

Instagram

Foursquare

Consumers

with a smartphone

Consumers

without a smartphone

Marketers

99%

84%

85%

74%

89%

38%

78%66%

50%

48%

17%

16%

11%

31%

25%

22%

20%

10%

8%

4%

4%


14 © 2013 ExactTarget14 © 2013 ExactTarget

Back on Earth: Where to Invest Marketing ResourcesIn this fragmented and disparate cross-channel marketplace, it’s important for marketing explorers to both bring back news from the farthest reaches of online space and to remember what civilized life back on Earth looks like. When marketers are considering all options for their cross-channel marketing strategies, they should not only be thinking ahead, but also maintaining a connection to how today’s consumers are behaving and reacting online.

We all know that marketers have pretty strong opinions about where their time and resources should be invested, but it turns out that consumers do too. The only problem is the two groups don’t always agree. Because marketers tend to be on the bleeding edge of adoption and innovation online, they often place a higher emphasis on emerging channels than consumers. When it comes to investing a brand’s marketing time and resources, newer isn’t always better.

when it comes to investing a brand’s marketing time and resources, newer isn’t always better.


where to Invest Your Marketing Time and resourcesWhen asked where their favorite companies should invest more of their marketing time and resources to improve customer loyalty, consumers and marketers had differing opinions.

Marketers

EmailContent about Products

Website

Content about Related Topics

Smartphone App

Facebook

Twitter

TextIn-Store Help

Call Center

Foursquare

Google+

Consumers

26%

33%

25%24%

23% 23%

21%

12%

8% 8%

5%4%

3%

14%

6%7%

22%

5%

7%

12%

5%

1%

4%

24%


16 © 2013 ExactTarget16

Making human ContactSimilar to marketers, consumers do value investments in website, Facebook, and call centers, but they differ greatly in how they value smartphone apps (23% marketers vs. 7% consumers) and (12% marketers vs. 5% consumers) as ways to make them more loyal customers.

Consumers, more so than marketers, emphasize the need for companies to invest their resources in interpersonal channels such as in-store help (12% consumers vs. 8% marketers) and email (33% consumers vs. 26% marketers).

When it comes to investing marketing resources, consider that marketers may be lured by a strong sense of obligation to “be there first,” believing that being on the cutting edge of technology and strategy is critical for brands’ success. This is not always the case. In the minds of consumers, investment in customer service would appear to be the highest priority.

At the end of the day, the message is clear: stay focused on the basics—email, website, Facebook, and strong face-to-face customer experiences—and use newer channels to augment what you’re already doing well.

26% of marketers and 33% of consumers think brands should invest more marketing time and resources in email.

21% of marketers and 22% of consumers think companies should invest more marketing time and resources in Facebook.

12% of marketers and 5% of consumers think that companies should invest more marketing time and resources into Twitter.

$ $

$

17© 2013 ExactTarget 17© 2013 ExactTarget

Staying GroundedDecades ago, marketers were not explorers. They dealt only in the well-settled lands of television, radio, and print. Their form of social media was a three-martini lunch.

Today, however, every marketer must have a streak of restlessness and willingness to embrace the new. The challenge is how to balance new technologies with those that consumers use. Indeed, the best marketers will be those who can keep one eye on the future while meeting the needs of today’s audiences, seizing the opportunities of today’s devices, and navigating the evolving rules of today’s channels.


how Do You Improve Facebook Performance?

“Update regularly once or twice a day. Include plenty of pictures and videos in posts. Make design interesting and easy to follow. Involve fans with questions, competitions, and prizes. Ask fans for feedback of services. Respond to comments. Offer updates in a number of languages for a wider audience around the world.” –David M., Melissa H., Natasha R.

Facebook is an excellent way to reach large potential audiences and enrich your already solid marketing foundation built on email, website, and customer service experiences. Facebook is first and foremost a source of connection, self-expression, and entertainment for consumers. Consumers expect you to lead conversations that are consistent with the overall Facebook environment by delivering a blend of content that is fun and informative, while staying true to your brand’s value proposition.

how Do You Improve Twitter Performance?

“[Include] discounts, free privilege cards, and a few more incentives along the way. Don’t send us spam every day, as I will ‘unfollow’ them.” –Darren R.

Investing in Twitter just to increase your follower numbers will not necessarily yield desired results. On Twitter, it’s not necessarily how many, but more importantly who, you’re interacting with. Should you decide to cultivate a loyal following on Twitter, make sure you continue to devote the majority of your resources to a strong foundation of email, website, and customer experience. Word travels fast online, so be sure to use newer social channels as enhancements for what you’re already doing well offline.

how Do You Improve email Marketing Performance?

“Make your site stand out from others on the net. Offer a site that is simple to navigate. Offer a 24-hour customer helpline service and also reply to all emails received within the hour. Don’t inundate your users with emails—one per week will do. Make your subject line eye-catching so the user will open and not delete. Have promotional offers going because it entices people’s interest.” –Claudia R.

Email, in combination with a strong website and customer experience, forms a stable foundation for interactive marketing. Remember that your audience is made up of both smartphone owners and non-smartphone owners, so make sure your strategy accommodates both segments. Rather than relying on single sign-on products to gather opt-ins, build your own consumer database by gaining consumers’ permission through your website. Email’s ability to deliver targeted and exclusive content continues to make it a sound investment of your brand’s marketing energy to reach your audiences where they anticipate hearing from you.

SohowdointrepidMarketersFromMarsremembertostayconnectedtotheirconsumersbackonEarth?Herearesomeconcretesuggestionsfornavigatingandimprovingcross-channelmarketingperformanceforemail,Facebook,andTwitter.


Exploration is not always about acquiring something physical, nor do you always discover what you set out looking for in the first place. In fact, Magellan completed the first circumnavigation of Earth, and Ponce de Leon discovered the coast of Florida while searching for the Fountain of Youth.

Remember: whether you’re creating a strategy based on the bleeding edge of innovation, building a new online settlement,

or optimizing an existing online civilization, it’s never too late to recalibrate your efforts. We are not only marketers, but explorers and brand builders too.

Our constant challenge will be to assess what potential the next brave new world of technology holds for our consumers and whether it allows us to communicate with and serve them better.

What New Frontiers Await?

exact target sff20-marketers-from-mars

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