using analytics to make revenue more “real”

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© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. Using Analytics to Make Revenue More “Real” Justin Grover – Product Manager Analytics Platform

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Page 1: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Using Analytics to Make Revenue More “Real”Justin Grover – Product Manager Analytics Platform

Page 2: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Intro

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Page 3: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Intro

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Page 4: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Intro

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• APIs • Authenticatio

n Authorization

• Integration

Page 5: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

A Focus on Real RevenueRevenue – (Returns, Cancelations and Exchanges)

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© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 7

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© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 8

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© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 9

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© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential. 10

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© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

StrategiesMore accurate Revenue for your paid search campaigns

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Page 11: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

General Adjustment

1. Find out what your return/cancelation/exchange rate is for the company as a whole

2. Revenue – (returns + cancelations + exchange costs)/revenueeg. $100 – ($5 + $3 + $2)/ $100 = 90%

3. Multiply all revenue numbers by the resulting percentagee.g. $150 * .9 = $135 (Real Revenue)

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Pros• Make sure margins

aren’t negative

Page 12: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Record Marketing Channel in System of Record

1. Capture the marketing channel when visitors come to the site (usually a cookie)

2. When a user makes a purchase, record the marketing channel in the order management system

3. Export all orders with marketing channel

4. Analyze what the return/cancelation/exchange rate is for each marketing channel

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Pros• Make sure margins

aren’t negative• Can break out “Real”

revenue by channel

Page 13: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Upload Returns/Cancelations/Exchanges to Analytics

1. Make sure the order number/ID is being captured in the analytics tool (Transaction ID in SiteCatalyst)

2. Upload Return/Cancelation/Exchange amounts to the analytics

3. Establish a base line return/cancelation/exchange rate

4. Analyze marketing campaigns to for opportunities

a. Look for campaigns that bring in customers with higher than average return rates

b. Look for products/landing pages to higher than average

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Pros• Make sure margins

aren’t negative• Can break out “Real”

revenue by channel• Can find campaigns

that bring in expensive customers

• Can find products/landing pages that mismatch expectations

Page 14: Using Analytics to Make Revenue More “Real”

© 2012 Adobe Systems Incorporated. All Rights Reserved. Adobe Confidential.

Questions?

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