gabc 2012 - a race to the bottom
DESCRIPTION
Bruno Dillen (These Days) shares insights and tips in how to overcome pitfalls on data accuracy, KPI settings and putting the right targets.TRANSCRIPT
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THE BRANDINTERACTION
COMPANY
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04/13/2023 © THESE DAYS – The Brand Interaction Company
A RACE TO THE BOTTOMTHESE DAYS > ONLINE CONVERSION MANAGER > BRUNO DILLEN
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DATA PITFALLS
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EXAMPLE 1: HIGH VOLUME, LOW CONVERSION
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04/13/2023 © THESE DAYS – The Brand Interaction Company
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CONVERSIONS
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Visitors 1 000 000
Conversions 10 0,001%
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TIP 1
While it may seem obvious that there is a big difference between qualified and non-qualified traffic, we see –time and time again- campaigns and websites being judged mainly on total visit volume.
Make sure you’re not blinded by a single metric! It could make your results show more rosy than they actually are.
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KPI PITFALLS
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EXAMPLE 2: ADWORDS KPI’S
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Cost/conv target €25
Yearly growth target 5%
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€10 cost/conv €50 cost/conv
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€10 cost/conv €50 cost/conv
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# conversions Total cost Cost per conversion
Lada 60 €600 €10
Ferrari 36 €1800 €50
totaal 96 €2400 €25
# conversions Total cost Cost per conversionLada 65 €650 €10
Ferrari 36 €1872 €52
totaal 101 €2400 €25
Y0
Y1
# conversions Total cost Cost per conversion
Lada 83 €996 €12
Ferrari 36 €1980 €55
totaal 119 €2976 €25
Y2
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€50 cost/conv
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TIP 2
Everything can be measured with AdWords, so make sure you measure everything. All KPI’s should be monitored on a level as deep as possible (matched search query) in order to analyse and optimise. Add other data (such as multi-channel funnels) to the equation as well.
At each monthly or quarterly review, don’t forget to re-evaluate all parameters.
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EXAMPLE 3: FACEBOOK FAN VALUATION
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10$ per fan
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TIP 3
Don’t ever be impressed by any data or results you are shown. Keep asking, keep digging for anything that might be relevant.
Otherwise you might have been sold “12 000$” worth of Facebook fans which were bought for 5$. This goes for other services (eg. linkbuilding, viral video’s) as well.
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TARGET PITFALLS
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EXAMPLE 4: THE GOOD OR THE BAD
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When times are bad, we react rather than act. Run faster, waste more energy.
When times are good, we stop, sit back and relax from all the running.
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When times are bad, we should relax and give ourselves the time to think.
When times are good, we should turn the volume up to 11. Scale what’s great.
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TIP 4
Management by numbers can lead to being a reactionary rather than “actionary” organisation. Set goals but don’t write them in stone. Dare to exceed (and sometimes miss) targets.
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KEY TAKEAWAYS
1. Always distrust data you see and especially data you are presented with.2. Understand the full process behind every single one of your metrics. Build targets bottom-up to reach company-wide goals.3. Decide on a few KPI’s which you monitor on a day-to-day basis and re-evaluate these at least quarterly.4. Don’t manage by numbers because people will actually do anything to reach the goals you’ve set.
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THE BRANDINTERACTION
COMPANY
THE BRANDINTERACTION
COMPANY