mark fiske - programmatic as a retention driver
TRANSCRIPT
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Programmatic as a Retention DriverMark Fiske, VP Channel Marketing, Ancestry
October 1, 2015
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About Ancestry• Ancestry is the world's largest online family history resource. We are dedicated to helping everyone discover, preserve and share their family history.
• 11 Brands and presence in 9 markets
• >2MM paying subscribers
• >16 Billion records
• >70 Million family trees containing >6 Billion profiles
• ~35 MM visits/month (Comscore)
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The Promise of Programmatic Realized
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Ad Sales: Simplified
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Tech Stack: Simplified
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Customer Insights: Advanced“User ID ABC123 clicked on page ID 376239, hovered mouse for 14 seconds over the headline, clicked “add to tree”, entered custom comment, hovered mouse for 6 seconds, clicked “share,” shared to six email addresses, clicked “submit,” clicked “home,” hovered mouse over pending suggestions for 10 seconds, clicked “review,” rejected pending suggestion ID 194829, hovered mouse for 4 seconds, rejected pending suggestion ID 128403, hovered mouse for 6 seconds, clicked “add to tree” to suggestion ID 983290, clicked “submit,” clicked “home,” hovered mouse over pending suggestions for 4 seconds, clicked “review,” rejected pending suggestion ID 194829, hovered mouse for 4 seconds, rejected pending suggestion ID 128403, hovered mouse for 6 seconds, clicked “add to tree” to suggestion ID 983290, clicked “home,” hovered mouse over pending suggestions for 9 seconds, clicked “review,” rejected pending suggestion ID 194829, hovered mouse for 4 seconds, rejected pending suggestion ID 128403, hovered mouse for 6 seconds, clicked “add to tree” to suggestion ID 983290, clicked “home,” hovered mouse over communications tab for 6seconds, clicked “review,” rejected pending suggestion ID 194829, hovered mouse for 4 seconds, rejected pending suggestion ID 128403, hovered mouse for 6 seconds, clicked “add to tree” to suggestion ID 983290, clicked “home,” hovered mouse over pending suggestions for 11 seconds, clicked “review,” rejected pending suggestion ID 194829, hovered mouse for 4 seconds, rejected pending suggestion ID 128403, hovered mouse for 6 seconds, clicked “pedigree view” on ID 983290 clicked “home,” hovered mouse over pending suggestions for 2 seconds, clicked “review,” rejected pending suggestion ID…”
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Customer Experience: Well…
Let me show you that product again… 37 times
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So, what has changed with technology?• Ways in which we can identify behaviors• Ability to communicate on a 1:1 basis like never before• Sheer quantity of channels in which we can communicate with customers• Ability to leverage media once only seen as “acquisition/branding”
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And yet… Show of hands…In my company, CRM is… Cumulative
Touches/weekEmail 1.5Email + On-Site Banner 7Above + Mobile Push 8Above + Off-Site Programmatic 32Above + AdWords RLSA 34Above + Facebook WCA 49Above + Direct Mail 50
97% of Opportunity
Missed
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Programmatic as CRM Driver
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Defining Channel<->Message Interaction• Test into target frequency by message
•Understand what is/is not profitable by channel• Apply Common Sense
• Define media channel mix per segment/message based on expected RPM “R” is important! Retention & frequency have value, know it!
Test & Control
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Testing: Profitability
• Target frequency of 16 per person before wasting impressions• Message-level LTR/1000 impressions = $1.37
Channel Channel Touches/week
Cost/1000
Email 1.5 $0.01
Email + On-Site Banner 5.5 $0.02
Above + Mobile Push 1 $0.03Above + Off-Site Banner 24 $1.00Above + AdWords RLSA 2 $1.30
Above + Facebook WCA 15 $1.40
Above + Direct Mail 2 $300
No further return on impressions
Unprofitable
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Sample Interaction Mapping
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Communication Segment Email Site Banner
Program.Banner
FacebookNewsfeed - Cust. Aud
FB Newsfeed- Pixel
Postal Mail Mobile Push
AdWordsBrandRLSA
“Hints” – Engagement/Retention
“Message Waiting” – Engagement/Retention
Recently Canceled – Timed Reactivation
Free Trialer - Education
Military Searcher – Cross-Sell
Global Interest - Upsell
Campaign – Free Access
Card Decline - Transactional
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Align Organizational Structure, Goals
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This Org Isn’t Bad…
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CMO
Channels
SEM
Display
FB
Etc
CRM
Campaigns
PR
Partnerships
Earned Outreach
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So Long as Shared Goals
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Team Old Goal New Goal
Channels X New Subscribers $X LTR
CRM Y ReactivationsZ New SubsN Churn Decrease
$Y LTR
PR P Pieces picked upZ Reach
$Z LTR*
This Org Isn’t Bad…
• Testing key to understand LTR impact of ‘contributor Events’ X decrease in churn
Per piece mailed
• Budget Accordingly: Stop thinking of retention as free
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Infrastructure
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Uniform Definition of Customer• Define who owns customer segment logic
• Create one source with mappings across all customers/prospects
• Open System: Consumers can feed data in / data out Flat File API Accessible to website services
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Reinventing Approach: Test, Rinse, Repeat• Your current marketing experience is likely the product of years of testing
• Start with obvious• Develop iterative testing process• Expect & encourage failure
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One of Dozens of Use Cases At Ancestry…
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Email On-Site Display
Off-Site Display
Social Mobile
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And it works!
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• Significant lift vs. controlgroups receiving messagingvia solely email channel
• As with all media, granular testingachieves best results
Control Exposed LiftRegistrants 0.0% 1.2% N/A
Current Free Trialers 16.2% 26.8% 65.4%Previous Trialers 0.0% 1.4% N/A
All Others 7.5% 8.3% 10.7%TOTAL 5.9% 9.4% 58.9%
Conversion Rate
Ancestry Current Previous AllRegistrant Free Trail Trialer Others Previous Subs Current Subs
Control 0.0% 16.2% 0.0% 7.5% 0.0% 76.0%Exposed 1.2% 26.8% 1.4% 8.3% 8.3% 79.9%
Generic 1.3% 21.1% 1.8% 10.4% 10.7% 82.1%Specific Hint counts 1.2% 27.5% 1.4% 8.0% 7.9% 79.6%1 0.5% 24.8% 0.7% 3.4% 4.2% 73.1%2 0.6% 27.1% 0.9% 5.1% 4.5% 72.9%3 0.7% 21.9% 0.4% 4.4% 4.4% 70.6%4 0.7% 23.9% 0.8% 4.1% 4.8% 72.1%5 0.7% 24.4% 0.8% 6.3% 3.8% 70.9%6 0.9% 26.2% 1.3% 4.7% 4.7% 72.5%7 1.3% 26.1% 0.9% 4.5% 4.6% 72.8%8 1.1% 32.9% 1.0% 4.9% 6.2% 72.2%9 1.1% 27.7% 0.9% 4.4% 6.3% 75.5%10 1.2% 29.1% 1.1% 7.0% 6.2% 75.1%11 1.6% 30.4% 1.3% 6.6% 6.8% 73.7%12 1.6% 31.3% 2.0% 6.0% 5.8% 73.8%13-23 1.5% 25.0% 1.1% 6.3% 5.9% 74.5%24-99 1.9% 29.0% 1.3% 7.3% 6.0% 78.2%100-199 2.7% 30.4% 2.0% 10.9% 7.7% 81.8%200+ 2.4% 27.8% 2.3% 12.3% 8.4% 81.5%1000+ 3.4% 31.5% 3.2% 18.7% 15.0% 86.7%
Registrants (Never Subscribed)
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Take-Aways• Thinking of programmatic as a retention driver can increase engagement opportunities 97%
• Aligning teams around LTR goals creates common language without significant organizational change
• Test into optimal frequency, channel by message to define interaction mapping
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Thank you, questionsMark Fiske@thefiske
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APPENDIX
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Technology Key
• Focus on ETL times, system of record Near-real-time key, hours not an option
• Tag Management System Sounds so 2010, but needed for conditional logic
• Data Management Platform Not just display any more
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Technology – Ancestry Past (24-48 hours)Data
FTPBIT
24 Hour Wait
Web Analytics
Tool
Web Analytics
Data Feed
Rest API
Marketing Segmentation Tool
Email Service Provider
Onsite Display Ad Server
Offsite Display Platform
Processing
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The RX for 1:1 multichannel success(in this order)• Focus on core customer value proposition
• Develop interaction mapping
• Align organizational structure & goals
• Optimize infrastructure
• Test, rinse, repeat
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Technology – Ancestry Present (<1 minute)
DataEmail Service
Provider
Onsite Display Ad Server
Offsite Display Platform
3rd PartyDMP
3rd PartyTag Mgr
AdWords RLSA
Facebook WCA
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Technology – Why Latency Matters
0-1 Hour 1-3 Hours 3-4 Hours 24+ Hours
60%
16%
8%5%
Incremental Abandon Cart Volume By Send Time
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Facebook• Website Custom Audience List
NOT just remarketing Recent audiences Tag Management tool for conditional fire
• “Traditional” Custom Audience List Campaigns Behaviors from 3+ mos ago Automate every x days
• Tie into Campaigns
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AdWords RLSA• Not display remarketing
• Can be used to enable specific messaging for brand searchers
• Use tag manager to define audiences based on meaningful criteria
• Focus on persistent categorizations
• Results: Relevant messaging – Members only offer Reduction in wasted brand SEM spend Improvement in upsell rate
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Testing: Target Frequency• For each messaging strategy & channel, test:
Lift by count of impressions: Do you even need channel x to exhaust a given messaging opportunity?
LTR per 1K impressions
• Many channels won’t make sense for some messages