Precision Marketing in a Sea of Opportunity

Norman Happ

Intuit/DemandforceVice President, Go-To-Market

#predict2014

Topics

• Intuit & Demandforce background• 3 stages of our targeting journey

Intuit Confidential and Proprietary3 Intuit Confidential and Proprietary3

45 Million customers

8000+ employees

Intuit Confidential and Proprietary4 Intuit Confidential and Proprietary4

Consumers Small Businesses Accounting Professionals

A Powerful Ecosystem

PaymentsPayrollSelf Employed Solutions

Intuit Confidential and Proprietary5 Intuit Confidential and Proprietary5

Fortune World’s Most Admired Companies 9 years in a row in the software industry

Top 10 Best Companies to Work for - #8 in 2013

Serving 5 million small businesses (1-50 employees) and 130,000 accountants

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Targeted at SMBs We may opportunistically pursue enterprise deals, but our product focus is squarely on SMBs

Marketing SolutionsOur solutions center on Communications, Reputation, and Syndication

Horizontal ProductWe have a vertical go-to-market but our value proposition is grounded on product solutions that apply horizontally

Connect with ConsumersWe help consumers and local businesses find each other

Demandforce Product Strategic Pillars

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Demandforce Solutions

Communication• Automated emails &

texts• Reminders &

confirmations• Targeted customizable

email campaigns

Reputation• Automated review

collection• Review syndication to

sites such as Google, Bing & Facebook

Intuit Local• Free local advertising• Exposure to

customers of non-competing businesses

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Demandforce Go-To-Market

Dental Auto LifestyleMedical Animal QuickBooks

Management Systems Partnerships

Marketing

Lead Development

Sales

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Stage 1: The Ideal Go-To-Market With a Partner

20,000 Leads

Product Demo

Critical Success Factors• Small target list• Current customers• Endorsed partnership

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Stage 2: Rinse & Repeat Partner Go-To-Market Strategy?

Challenges• Long BD cycle to secure

partners• Different list sharing

philosophy’s by vertical

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Stage 2: Filling The Top Of The Funnel

1M Leads

Ample Leads, Limited Qualification:• Assuming 30 “conversations/day”• 100 Lead Qual Reps could connect in

1.3 years

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1M Leads

Data Cleansing Phase 1:• Begin Applying D&B data, yet:

• Limited D&B data in SMB space• Didn’t help determine company health• Didn’t help with fit for “customer benefit”

Stage 2: Beginning To Use Data For Targeting

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1M LeadsData Cleansing Phase 2:• Hire external firm for “existence” validation

• Live phone number?• In business?• Business in one of 6 target vertical?• Management system in place?• We integrate with the practice management

system?• Uses practice mgmt system correctly

(scheduling & billing)

Stage 2: Rudimentary Qualification Techniques

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1m Leads

Stage 2: Profile Prospects Who Became Customers

• Regression analysis on closed/won• Identify data patterns• Leverage patterns to target marketing & sales Very Early Experiments

• Top 20% of our leads represented 60% of lead conversions

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5M Leads

Stage 3: Drowning In A Sea Of LeadsQuickBooks

6.6 Years to Qualify

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5M Leads

Stage 3: Results of Brut Force Method

Major Challenges• Trial retention < 60%• Billable retention < 75%• Net Promoter Score

indicating product/customer poor fit

QuickBooks

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5M Leads

Stage 3: Beginning Our Data Driven Methods

Dr. Mark HaleChief Data Scientist

Identify Key Model Attributes• Customers stored in QuickBooks?• Size of customer base• Number of customer transactions• Cloud sync frequency

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5M Leads

Stage 3: Lean Experiments With Model Levers

Dr. Mark HaleChief Data Scientist

Customer Base

Transactions

Cloud Sync Freq

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5M Leads

Product Demo

Stage 3:Lean Experiment Success

Dr. Mark HaleChief Data Scientist

+340% Conv.

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Summary

• Leads are out there– Without a data driven solutions, success may be delayed years

• Simply having data is not helpful• Data sources & models must match your target segment• Lean experimentation is required matching insights with

data