people iws dr phase 2 gaining shared vision on next steps november 11, 2008

people

IWS DR Phase 2 IWS DR Phase 2 Gaining shared vision on next steps

November 11, 2008

Intuit Proprietary & Confidential2

Meeting Agenda

• Results so far (projected per 1M customers)– Identify two key opportunities to change

• What does change get me–What is the incremental customers and revenue?

• Closer look at the two key areas– How would we approach change?

• Discuss best use of our time–What do we want to do now?

• Possible hypotheses we could test– Summary of learning plan

• Shared vision on what we do next.


Results so far

Area 1

Area 2


What do different changes get us?

Estimated effect of changing click and drop rates per 1M QuickBooks customers with email open rate of 21%

Change NoneDouble clicks 80% clicks

decrease drops by 13%




80% clicks & 50%<drops

Click/open 16,800 33,600 168,000 16,800 16,800 16,800 16,800 168,000

Drop % 14,952 29,904 149,520 13,008 11,962 10,466 7,476 74,760

Abandon % 840 1,680 8,400 1,744 2,226 2,913 4,289 42,890

Complete % 1,008 2,016 10,080 2,048 2,613 3,420 5,035 50,350

Incremental diff 0 1,008 8,064 1,040 1,605 2,412 4,027 49,342

Incremental $ 0 $ 60,480 $ 544,320 $ 62,373 $ 96,284 $ 144,729 $ 241,618 $2,960,496

Est. 1st year $ 60


How do we change the % of customers who click?

1. Focus messaging on overcoming barriers uncovered in research to customers without a website.

• Time was the paramount concern on several levels- Time required to research, evaluate the options, get it built, keep it maintained

• “No clue” where to start the research process, feeling overwhelmed with what would be involved

• Fear that it will be too hard, can’t do it on own, not creative or technical enough

• Sense that their business “isn’t ready”- Waiting for product line to develop, mergers to happen, other business priorities taking precedence

• Can’t afford/ concerns over expense

• Just starting business- $ is very tight

• Expectation that websites cost thousands to develop

• Concerns around finding and working with a web designer

• Where do I start? How do I know I’ve chosen the right one?

• Can’t afford

• Concerns that it won’t be professional or done right - Don’t want a fly-by-night supplier

• Reluctant to hire designer for fear of not having control/flexibility with site- Not wanting to be beholden

• Some assumed designer was the only choice- Unaware of DIY

Area 1


How do we double the % of customers who click? (cont)

2. Target switcher specific message to customers with a website already

– We can target this customer via the registration question “currently have a website = YES” (~50% of current QuickBooks customers)

– Would consider ~25% to be in play based off research

This is first website provider

65%Had another

providerpreviously

25%

Not sure10%

Base: Total respondents(n=500)

Base: (n=126)

Current Website ProviderFirst Provider Used?

Triggers to Switching Websites

• Wanting more control and flexibility by doing it on their own

– Want ability to make the changes they want, when they want vs. requiring help of web designer

– Wanting to customize site to their liking vs. relying on someone else’s interpretation

• Wanting to save money

• Wanting to save time

– Not having to spend time back and forth explaining what they want and reviewing output

• Frustrated with poor support experiences

– Delayed response, having to pay

Area 1


How do we decrease the % of customers who drop off during the shop/buy process?

Make the customer feel ‘ready’ to get started• Do not lead with FREE – it’s really a free trial

• Get Started - 30-day free trial then just $4.95/month after free trial

• Message there is NO risk - NO setup fee - NO long term contract.

• Finding the answers to frequently asked questions should be easy

• What do I do if I already have a domain name?

• What is the cost of the different services offered?

• How much time will it take to get running?

• Is my site going to look like my competitors?

• How do I get help if I need it?

• How often can I edit my site? Is there an additional fee for this?

• What if I want someone else to do my site for me?

• Option to have us do the website for them should be easily found so they can go directly to the full-service options.

• The landing page should not presume they are ready to buy

Area 2


How do we decrease the % of customers who drop off during the shop/buy process? (cont)

Keeping customers engaged with the process

• Utilize follow-up emails to re-engage the customers

• Customers who clicked on a link but did not complete the sign-up process inviting them to re-engage

• Customers who opened the email but did not click inviting them to get started with their research now

• Involvement of phone channel to answer any barriers

• Placement and messaging on landing page

• Follow-up emails

• Outbound efforts

• Test different types of shop/buy experiences to determine what works best

• Step-by-step process flow

• Navigational process flow

• All-in-one teaser approach (aka Rachel Ray)

Area 2


What do we want to spend our time learning?

Limited resources and time means we can not test all items at once. What will move the needle the most?

• If it is the email messaging, we can develop multiple emails playing off of the different barriers to getting started.

• Time to deliver – 4-6 weeks (Dec 8th – 22nd)

• Cost to deliver – $35K – $40K for 5-6 different emails

• If it is the shopping pages, we can develop multiple shopping experiences and test.

• Time to deliver – 8-12 weeks (Jan 5th – Feb 2nd)

• Cost to deliver – $60K – $80K for 3 test

• If it is a balance of both

• What is the priority?

• What would you test now vs. later given the trade-off of time and resources?

• If we changed the game

• What if we focused on getting clicks up to 80% and then worried about closing them after the fact?


Possible hypotheses to test

H1: It’s the message in the email that matters

• Time - Don’t have the time to get a web site going right now. (Need to get past this inertia, get them to just do it with the knowledge they can easily change it or remove it later);

• Easy – creating your own website is easy as 1,2,3

• Level of Service is high - they are not in the “create our company website” alone. We have a talented team on the phone ready to answer your questions to help you get your website to the finish line.

• Great value - cost vs. alternatives such as yellow pages

• Peer influence- your competition is doing it. Don’t stay behind anymore.

H2: Having an offer in the email builds a sense of urgency enough to get people to take action now.

We will take one of the emails done in H1 and add an offer with an expiration date to see if it gives people an additional reason to get the research process started now. Could lift clicks by 5%

H3: Targeting switchers with a switcher message works

We would create a specific switcher email and test it against one of the emails done in H1

H4: The type of shopping experience they have after clicking has a significant impact of the number of buys

Three different types of landing pages.

• Step-by-step approach

• Navigational approach

• All-in-one teaser approach (aka Rachael Ray)

people

AppendixAppendix


Email Results

High relevance creative outperformed all other cells in getting QuickBooks customers to the landing page (p value = 0.00) and well above average

The light relevance creative was the big loser in driving QuickBooks customers to the landing page (p value = 0.00)

No issues with customers unsubscribing across all cells (<.5%)

Campaign Delivered Uniq Opens Open Rate Uniq Clicks CT RateCTR % of Open Unsub Rate

No Relevance 11,485 2,659 23.15% 326 2.84% 12.26% 0.20%

Light Relevance 11,553 2,687 23.26% 195 1.69% 7.26% 0.16%

High Relevance 11,501 2,917 25.36% 638 5.55% 21.87% 0.16%

AD average 21.78% 3.31% 0.13%

SBD average 22.12% 1.67% 0.20%

As of 8/17/08


Conversions

version emailed Visitors % visit Abandons % abandon Completions % comp Drop off page % dropwhat if -

complete% comp

“what if”

High 11501 725 6.31% 29 4.00% 37 5.10% 659 91% 110 0.31%

Low 11553 219 1.90% 17 7.76% 20 9.13% 182 83% 61 0.17%

None 11485 344 2.99% 17 4.94% 18 5.23% 309 90% 54 0.15%

TOTAL 35274 1288 3.73% 63 4.89% 75 5.82% 1150 89%

High relevance and low relevancy conversions – unable to see a sig. difference with this low of a convert rate (p value = 0.06)

The high relevance version does complete at a significantly higher rate if I assume the % visited and % comp were to remain constant and project to the entire drop (what if),

(p value = 0.00)

What if = total emailed x % visit x % complete

We are seeing a high % visiting the sight, but the

lowest completion %

As of 8/4/08


Homestead Open & Click by list (1st email)

LIST LIST DESCRIPTION Dropped Opened Open % Clicked Clicked % click % of open

100 2008 QB Prem 11705 2987 25.52% 211 1.80% 7.06%

101 2007 QB Prem 30000 6114 20.38% 388 1.29% 6.35%

102 2006 QB Prem 22500 3786 16.83% 240 1.07% 6.34%

103 2008 QB Pro 39900 9374 23.49% 499 1.25% 5.32%

104 2007 QB Pro 110000 20512 18.65% 995 0.90% 4.85%

105 2006 QB Pro 92000 15302 16.63% 801 0.87% 5.23%

106 2008 QB Simple Start 10000 2542 25.42% 242 2.42% 9.52%

107 2007 QB Simple Start 21500 3509 16.32% 368 1.71% 10.49%

108 2006 QB Simple Start 10500 1411 13.44% 114 1.09% 8.08%

111 2008 Qkn H&B 21100 6810 32.27% 580 2.75% 8.52%

112 2007 Qkn H&B 40500 787 1.94% 54 0.13% 6.86%

113 2006 Qkn H&B 36100 587 1.63% 34 0.09% 5.79%

TOTAL 445805 7372116.54%

4526 1.02% 6.14%

No surprise that recent buys responded better.No surprise that recent buys responded better.The small company list, SS & Qkn H&B had better CTRThe small company list, SS & Qkn H&B had better CTR


Hypothesis tabled

• The following two hypothesis were table because they would mean a change in current business model in selling IWS.– Letting the customer go all the way up to publishing before asking for the

CC increases the number of paying customers.

• This would place the CC barrier as far back in the shopping process as possible

without giving it away for 30-days.

– Letting the customers have 30-days free before asking them for the CC

• This would allow the customer to own the website for 30-days before we force them

to give us a CC.

– Introducing a vanity page I the shopping process where the customers can

browse and play with the 2000 templates without obligation leads to more

customers.

• Maybe we could do a mirror of the current site? Need to get the web team at IWS

involved in how we could do this.


All in one teaser approach (concept)

Randall Huff

Add a data slide on what we would we do


Navigational approach pg 1 (Concept)


Step by step approach email (Concept)


Step by step approach pg 1 (Concept)

people iws dr phase 2 gaining shared vision on next steps november 11, 2008

Documents

customers customers

incremental customers

research process

current quickbooks customers

time learning

shopbuy process

levels time

different emails