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Customer lifetime value, or CLV, represents the value of a single customer. This can be increased by tweaking 3 components. -Average order value: increasing this by, for example, cross-selling -Purchase frequency: Targeting on the season, or communicating sale periods of products of the customers interest. -The customer lifespan: maintaining a sustainable CR is profitable, because getting a customer in the first place is most constly. So creates the largest ROI.
posted by: Vincent
Typical email marketing consists of only 3 steps mentioned above. But believe it or not, these seemingly easy tasks are a nightmare for many digital marketers. This is because they keep making the same mistakes over and over again and don’t even know they are making them.
Common mistakes in email marketing:
1. Buying or renting a email list 2. Mailing too much 3. Having a lame subject line 4. No call to action 5. Not targeting the email list
Posted by: Michelle Meijerink
The Customer Relationship Management strategy turns customers into friends, and friends into advocates of a business. These models are often used to give businesses guidance on how to perform a simple CRM strategy. #CRMSTRATEGY Written by; Mauricio Paz Hurtado, 500692087
In order to maintain a good customer relationship steps need to be taken through the whole company. Customer relationship management can be done through e-mail, phone, fax, and surveys. All departments need to work together to create the best result.
Posted by: Caroline Prakke 500727551
Customer understanding
Customers can be seen as the most important stakeholders in a business. Without customers purchasing goods or services, most businesses would have a revenue stream. Therefore a strong relationship with the customer is important. This relationship can be strong by meeting or even exceeding their needs. This is why Customer Relationship Management is important to implement. When you satisfy and interact with your customers this will lead to loyalty and loyalty will always be beneficial for everyone!
Written by: David Said, 1IbS12, 500727575
Case & Chapter questions chapter 16
Case Questions
1. Which elements of Zando’s email marketing constitute best practice?
There are multiple elements which made the campaign successful. They have an intriguing design; they only sent emails to existing customers, in this way they prevented themselves to being seen as spam; an effective feature that asks the customer to also enter friends information in the system; and they have a strong call to action.
2. What role did the database play in this example? Why was it so important?
The database’s role is to create the foundation of the campaign. The database gives the company the opportunity to collect and analyze data from the campaign. This is important because it created the opportunity to target customers with the segment: actively use, share and getting friends join the campaign. Without the database, the campaign would be useless.
3. Explain how viral sharing played a role in the success of this campaign. The viral sharing have given the campaign another dimension, it made it more creative and the company now reached many more people/customers. Email marketing reaches just the signed in customers, and the customers aren’t able to share the campaign with their friends. Viral sharing made this possible.
Writen by Demi
Chapter Questions
1. What is meant by ‘mass customisation’, and why is this so beneficial?
The technology of email marketing allows for mass customisation – it is one-to one marketing on a macro scale. By creating valuable content, establishing the correct frequency and testing the email for display and deliverability, an email marketer should be able to ensure an excellent delivery rate. Permission-based email marketing can give the highest return on investment of any marketing activities. Technology allows mass customisation, allowing personalisation across a large list of subscribers.
2. What are the key differences between direct marketing by email and direct marketing by post?
When used to foster relationships with a customer base, email marketing can go a long way to increasing the lifetime value of that customer. Furthermore, email marketing is highly measurable, and databases are able to be easily and thoroughly segmented. However, it does not take much for email to be marked as spam, and it can be difficult to recover from being branded as a spammer by the ISPs.
3. Why is it important for permission to be gained before marketing by email to a prospect?
If the recipient has given permission to be sent marketing messages by email, then it is not spam. Users give permission when they tick a box that says: “Yes, please send me offers from your company by email”. The email address can be provided to another company only if the user ticks a box that says: “Yes, please send me offers by email from third parties selected by you”. Permission must be explicitly given to the company. Trying to gain permission in a sneaky way is illegal.
4. Emails that are expected and recognised are more likely to be read. How can a marketer use this knowledge to increase the readership of emails?
Cluttered inboxes and busy subscribers mean an email that’s lengthy and difficult to get through probably won’t be read. Help the subscribers by structuring the email content into segments, making use of borders or colour blocks to accentuate and divide content. It’s important to balance image and text in the emails. Make a point of placing images next to the relevant text.
Writen by Jason
Case & Chapter questions chapter 8
CASE QUESTIONS
1. What type of CRM solution did Fuji Xerox implement?
Fuji Xerox used a Sage CRM solution, this meant that they found a way to restructures all their data, and centralize it in a storage place, this new system however had to also be well integrated with their old system so that they also could use their old data.
2. Which pitfalls and problems did the new CRM system solve?
The company did not have to use Excel anymore to record date, which leads to human error in recording this date and it being stored in different places. But this was solved with the new CRM system.
3. What other potential improvements could the CRM system make in the long term?
It could improve on making sure that they retain their customers, and make sure that the data that they gather gets used in the way it should be. So, in that way making sure that their sales grow and that they find out why customers leave their webpage. And then to improve the problems.
Writen by Tom
CHAPTER QUESTIONS
How do you think CRM changed or evolved as social media rose to popularity?
Most traditional CRM systems are used to capture data for sales, support and marketing purposes. On top of simply creating a central repository for data access, these systems and their related databases also offer basic analytics. The actual range of data collected within the traditional CRM system is dictated by the CRM objectives. Nowadays, companies are using CRM for social media. Widespread social media usage means that CRM has to be conducted in this forum in order to deliver an all-round experience for the customer. Not only should social media be integrated into any existing CRM strategy and looked at from a touch point and channel perspective, but social media can also be used to drive CRM. Brands have realised that they need to leverage this in their CRM strategies and now understand that communication is not one way (from brand to consumer), or even two way (between consumer and brand) but multi-directional (brand to consumer, consumer to brand, consumer to consumer).
Why do customers respond so positively to personalised communication?
Because they want to trust their peers, are connected via the web and mobile devices to those peers as much of a day as they would like. They expect information to be available to them on demand … They require transparency and authenticity from their peers and the companies they choose to deal with they gain this with personal communication.
What ethical problems do you think customers might raise with regards to behavioural tracking?
Social customers are increasingly turning to social media channels for support. With the immediate accessibility offered through mobile devices, they see this as a convenient channel to communicate with brands. This means that brands need to respond quickly and transparently to consumers’ questions, gripes and even compliments. A support query going unanswered on Twitter, for instance, is likely to cause frustration for the consumer, and prompt them to take a situation that is already visible to other consumers even further, potentially causing a brand crisis.
Write by Lobke
optimization and Conversion Funnel
A conversion funnel, is the proces of visitor on a website, and the drop rate at specific events. These numbers can be analyzed and changes can be tested with A/B testing. Accordingly, the best alteration can be implemented. The ultimate goal is achieving the highest rate of conversion.
Posted by: Vincent
Track Analyse Optimise
The ability to track user behavior on the Internet allows you to analyze every level of a digital campaign, which should lead to improved results over time
In order to make the gathered data of any use, there needs to be something done with the data. To do this trends and changes over time need to be analyzed to understand the performance of your brand. Three different approaches can be made for a web analysis:
- Analyzing behavior
When tracking the behavior of web users, a lot of information will be gathered. Not only external search is needed but also internal. External search is the use of search engines to reach the website in question. Internal search is exposing weaknesses in site navigation, determining how effectively a website is delivering solutions to visitors, and finding gaps in inventory on which a website can capitalize.
- Analyzing outcomes
By analyzing goals and KPIs an indication can be made to see where improvements can be made to increase the visits to the website.
- Analyzing user experience
In order to determine the factors that influence user experience, you must test and determine the patterns of user behavior.
Posted by: Caroline Prakke
A or B? Or A and B?
A/B testing
Are you considering what the best is? Do you want to know what works the most efficient for you? Than the “A/B testing” is the most convenient method in this case. When you work for a company and you want to register everything in a good way that will give you the most conversion, than you need to have a system that runs smoothly. But how do you know whether it is the best system or not? Than do the A/B testing, with this testing you have an original version and an alternative, so two different versions.
In this case decisions can be made quicker and with a lot more certainty than when you work with a system that you just “hope” that will work out. When conducting A/B testing, you should only change one element at a time so that you can easily isolate which factors have an impact on your conversion rate. When you see that one works better than the other, you can make the decision to implement in this case the most convenient system for your website.
Do you want to avoid uncertainty? Do you want to go for the higher conversion? Do you want to be comfortable with the work, than try A/B testing!
Written by: David Said, 1IBS12, 500727575
Do you want a cookie?
You probably recognize this kind of situation: for example, you look for a pair of sneakers online and suddenly you see the same sneakers on almost every site you go, as an add. Many companies track your steps when visiting websites. They do this by cookie-based tracking. Here is how it works:
1. The analyst adds a page tag to every piece of the website. 2. You access the page using your browser. 3. When the browser loads the page, it runs the page tag code. 4. This tag sends an array of information to a third-party server, a service that stores and collates the data. 5. The analyst accesses this data by logging in to the third-party server. 6. The analyst can look into your browsing patterns.
The data gathered this way can capture a lot of factors about each visitor, from their device, operating system and screen resolution, to their long-term behaviour on your website. Often this technique is used to track buying patterns or preferences from customers.
Posted by: Michelle Meijerink
19.11 Chapter Questions
1. Describe a situation where an A/B test would be more suited as a data-gathering method than a multivariate test.
When you are testing something specific, so when you have decided that you have two best options and you want to know which of those two will preform the best. By Ton
2.What is a conversion rate, and why is it so important to marketers?
Is the rate of customers who visit a site and then how many of these customers actually buy thing from the website. This is important to marketers, because when they have a very low conversion rate they have to maybe change something on the website or on their marketing strategy. By Ton
3. What can you test on an eCommerce product page? List three examples.
On EImages: images of different sizes, or entirely different image content, could make a big difference.
Call to Action: “Add to cart” or “Buy now” may affect shopper behaviour.
Shipping information: test to see whether displaying shipping costs before actual checkout affects the volume of customers starting the checkout process, as well as its effect on completing the purchase. By Tom
19.10 Case Study Questions
1. Why can an image make such a difference to someone’s online experience? A well-placed picture or a splash of colour could be the difference between someone clicking on through the site, or leaving without a second thought. A/B testing allows us determine which images would have the best results. By Lobke
2. Why was testing important in this case? Conversion optimisation applies to just about every part of your digital marketing strategy. Almost any tactic can be tweaked, tested and improved – in fact, this is best practice and highly recommended. The pages with the DMMA logo received a 3.69% conversion rate, compared with a 1.29% conversion rate for pages with the image of the student. Without testing the Quirk education would not know about this. By Lobke
3. Discuss why the one image led to more conversions than the other. The pages with the DMMA logo received a 3.69% conversion rate, compared with a 1.29% conversion rate for pages with the image of the student. Of course, the results don’t indicate why the visitors who were served the DMMA logo were more inclined to convert. One can infer that the logo of a well-known digital marketing body lent an additional level of credibility to the Quirk Education offering. By Lobke
18.12 Case Study Questions
1. What is a conversion funnel?
A conversion funnel analyses each step in the process towards the website’s ultimate goal, for example: a hotel website its ultimate goal is that visitors to the site make a booking on the website with a credit card. The funnel analyses each of these steps towards the payment. How much customers do drop out at what point and how many make it till the payment? The funnel shows the conversion rates. By Demi
2. Describe what was done here to ensure that more site visitors did what Motoreasy wanted them to do.
Motoreasy’s ultimate goal was that customers who make it to the website purchase the service by filling out quotation forms. However, many visitors dropped-out during this forms. It was very formal and unattractive, so Motoreasy had to change its website. For example, they reworked the design so that the marketing message is consistently communicated. They placed the most imported information in the top-right corner of the webpage, according to research that is the spot where most visitor’s attention is focused. The benefits were clearly laid out in the form, and terms and conditions were placed at the bottom of the webpage. If customers had become frustrated during the process, the company’s phone number is clearly placed at the top of the page, so they could call the company any time. By Demi
3. How did language play a role in this case study?
The forms were written in a too formal way, which is not attractive to read. This is way many customers dropped out of the website, because they didn’t feel like filling in the forms, the forms demotivated the customers. By Demi
18.13 Chapter Questions
1. Why is it so important to use data to inform business decisions? Understanding how it works and how to think about data on this scale provides some valuable lessons for all analysts. • Measure trends, not absolute figures. The more data you have, the more meaningful it is to look at how things change over time. • Focus on patterns. With enough data, patterns over time should become apparent – consider looking at weekly, monthly or even seasonal flows. • Investigate anomalies. If your expected pattern suddenly changes, try to find out why – and use this information to inform your actions going forward. By Jason
2. What would you learn from a single-page heat map? A heat map can show you exactly where users click on a web page, regardless of whether they are clicking on links or not. It produces information that helps you to know which areas of a website are clickable, but attract few or no clicks, and which areas are not clickable but have users attempting to click there. This can show you what visual clues on your web page influence where your visitors click, and this can be used to optimise the click path of your visitors. By Jason
3. What is the difference between a goal and a KPI? A goal states for the defined action that visitors should perform on a website, or the purpose of the website. The goal of a website or campaign in web analytics refers to an action that a user takes on a website or a type of user behaviour. Goals answer the question, “What do we need users to do in order to achieve our objective?” Key performance indicators or KPIs are metrics that are used to indicate whether objectives are being met. KPI answer the question, “What data do we need to look at to see if goals are being completed?” By Jason
Boy, that escalated quickly! (note: did not crash)
https://www.tnooz.com/article/qantas-a380-incident-a-lesson-in-social-media-and-web-pr/
posted by: Vincent
How to use Twitter for Marketing Strategies!! #Twitter #Marketing
