Transcript Etela-Karjalan AMK

SECTION 4: E-Business examples
Personalisation and Online Marketing:
MYTHS AND THESES
Source: Tim Walters, 2005
The Bottom Line
• A hotel sales office will have substantially
different telephone conversations with a
business person looking for conference
facilities, a bride-to-be planning her
honeymoon, and a retired couple
returning to the area for the sixth time.
• The likelihood of converting the caller will
depend significantly on the ability to
recognize and respond to each caller’s
specific desires and dislikes.
• So why should web sites present the
same information to all site visitors?
MYTH 1
• We sell products and services
Fact: Online, All That Matters Is
Information
Thesis #1
• Popular conception: The Internet introduces
new ways of communicating that entirely
exceed the grasp of mankind as we know it.
• Reality: Successful online sales and
conversion depends on establishing „old
fashioned“personalized communication.
• The goal is to mimic personalised, in-store
experiences.
Most Companies Still Use the
Web to “Display”
• According to Jupiter research
study (2004), 76% of Web sites:
– Simply display information, delivering
the same content to all visitors
– Cannot address the needs, goals, and
characteristics of specific target
audiences
– Have few if any measurable success
criteria
Advantages of Online Marketing
• Why is the Web the ideal marketing channel?
• Targetable
– Reach global and niche markets
– Target content and experiences to specific segments
• Measurable
– Easily track and measure results
– Get immediate feedback
• Dynamic
– Quickly launch campaigns
– Change messages and offers on the fly
Online rule #1
• Customers know what they want. Your
job is to let them have it
• Every customer has unique needs +
they know what they want. Your job is:
 Personalised, targeted messages
for different visitor segments
Customer Demands
Source: Forrester (2005)
• More content!
• With increasing levels of context
(segment, device, location, role, time) .
• In order to drive more meaningful
interactions
• Meaningful means:
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Personalised
Individualized
Interactive
Dynamic
Content Is Royal, But Context Is
King
• Display different content based on:
• Conversion level
– Lookers
– Buyers
– Past customer
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Refering partner
Geography
CRM profile (explicit)
Site usage history (anonymous)
MYTH #2
• I can‘t do personalisation, because I
don‘t have a deep customer
database
• (Or: Because people won‘t register
on my site)
Incentives –Offer Value to
Receive Valuable Information
Other
Simple Profile Based Targeting
• From refering site (i.e. Brides.com)
• Based on site path analytics (If Suite +
WAP, then show business promos)
• From language selection
Adding Value as an Intermediary
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Widest choice (coverage, ratings, experience, etc)
Exceptional user experience (simple, design, etc)
Great technology (algorithm, search, etc)
Best prices & availability (benchmarking, guarantees,
etc)
Guest generated content (scores, reviews, etc)
Special offers (deals, promotion, emails, etc)
Supporting promotion (offline, online, emails, etc)
Offering alternate channels
Quality customer service processes
Loyal customers (right hotel/right price)
Customer Access and Products
• Consumers are looking for:􀂉
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Price
Value
Choice
Inspiration/Research
Convenience
…and expect Service and Trust!
• Online Consumers access via:
• General Search Engines
• Meta-Search Engines
• Full-Service Travel Sites
Change brings Opportunities
The change in consumer buying habits:
• Consumers are becoming more independent
• Consumers demand control, choice, flexibility, value
• Consumers expect to quickly find clear price/buy option in
real-time
• Consumers are increasingly buying online…..
• Creates more opportunities for the smart retailer
to:
• Increase customer base via access to range of products
with choice-value-flexibility
• Offer better price options with opaque pricing
• Provide suppliers with access to a huge e-customer base
and e-process savings
• Improve return in stand alone components under margin
pressure
• Deliver price, value, choice, convenience and service
through scale
E-Business examples (2)
Most Relevant Content to Hilton
Hotels Customers
What content is most relevant to your particular
customers?
• Images, Images, Images
• Descriptive Content –examples
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Leisure facilities
Blackout Curtains
Car Parking
Restaurant & Bar
Menus
Meeting & Conference Facilities
Destination Content
• Maps
• Driving Directions
• The Brand “feel”of the content
What content can you display on
your website that you can't
deliver through other channels?
• Global list of hotels
• Rates and availability by hotel, and by region,
• Images and descriptive text at the control of
the user
• Depth, Convenience, Richness & User
Experience
• Clickable maps
• Driving directions
• 360 degree tours
• Factsheets
Culturally Relevant eCommerce
Offerings
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How can you make your e-commerce
offerings culturally relevant for a global
marketplace?
Understand cultural relevance versus
Location, Price, Service, Brand,Products
Know your Markets. Titles –Nordic & Japan.
Branding
Understand & measure online customer
behaviour & conversion through accurate
web-metrics
Test sensitivity to marketing campaigns over
time
5. Develope survey capability in your websites
6. Understand your competitors –and your
customer’s views of them, in different
markets.
7. Ensure you have mechanisms in place to
gather, and act on local customer feedback
from all of your markets.
8. Clickstream & Referrer analysis
9. The challenge is to iteratively present your
products, and brand, in a way that is both
personal and relevant to your online
customer
Recommendation systems
• Recommondation systems help
customers make more informed decisions
in less time
• Recommendation systems allows to build
customized packages (e.g. masscustomization and personalization)
• The site asks users to indicate their needs
and constraints (e.g. preferences,
interests, budget,) by selecting the
options available under a list of questions
(Source: Electronic Commerce 2008)
Recommendation systems II
• The system then compares the user
inputs with attributes of a list of
available products and services in
the database
• By exploiting content-based
recommendation technology, it is
possible for company to achieve a
higher browser-to-buyer conversion
rate
Mobile Marketing
• Mobile marketing covering two key
areas of activity:
1. Mobile Customer Service
– Mobile customer services embraces a
whole host of activities designed to
improve or augment the customer service
provided by a brand or business to its
customersvia the mobile phone.
Mobile marketing
2. Mobile Sales Promotion
– In mobile sales promotion campaigns,
mobile is most often used as the response
mechanism to an offer publicised via other
media.
– In a ‘text & win’ campaign for example, a
brand may run a competition to win a car
on special packs of the brand in
supermarkets.
Mobile cases
• Car insurance company Solus Norwich
Union provides an SMS alert service to
inform customers of the progress of
repairs on their cars.
• DataServe UK enables its customers to
read their own gas and electricity meters
and text the reading in to the company,
resulting in savings which can be passed
back to customers.
Mobile Marketing: WHY DOES
SMS MAKE BUSINESS SENSE?
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Real time delivery: A SMS is typically delivered within
seconds and therefore valuable for time critical information
High reach: The number of people with a mobile device in
their hand, is growing at an exponential rate globally
High response rates: SMS enjoys a higher response rate
than email as it is targeted and personal, and is less invasive
than a telephone call
Cost effectiveness: SMS makes the most financial sense,
especially for SMEs wanting to communicate with an
audience on the move. Bulk buying lowers the cost even
more.
Automation: integration with your existing operational
software and systems is easy, and SMS sending can be
automated
Trackable ROI: reporting allows you to determine exactly
how effective you campaigns have been
Source: Clickatell, 2007