Do It Wrong Quickly GPSEG 2012 04-13

© 2012 Mike Moran Group LLC

Mike Moran

www.mikemoran.com

How the Web Changes the Old Marketing Rules

Mike Moran GPSEGApril, 2012

Mike Moran

© 2010 Mike Moran© 2012 Mike Moran Group LLC2

Isn’t digital marketing simple?

It’s dizzying

And it keeps changing

Faster and faster

How do you cope?

Mike Moran


The good old days in marketing

The best creative folks came up with agreat message for a mass market

We tested it against focus groups

We pushed it out there—over and over again

We hoped they’d buy, but weren’t sure they did

Can’t Beat the

Real Thing

Coke adds life

I'd like to buy the world a Coke

Coke is it!

It’s the real thing

Mike Moran


The good new days in Web marketing

You can target even the smallest group

You can measure the results of everything you do

You must change your message in response to what your customers:

Say (comments, blogs, product ratings)

Do (search, purchases, page views)

Mike Moran


The Web rewards pull over push

You don’t target markets with a message the same way on the Web

More often, markets have to find you, or your customer must give you permission:

Search

Opt-in e-mail

Subscribe to blogs

But even tiny markets can be reached

Mike Moran


Remember, it’s still marketing

1. You need to target your market

2. Understand what they care about

3. And connect with your message

If you do:

You improve your image

And you drive sales

Mike Moran


The difference is how you do it

Time was that marketing was risky

Your job was to remove as much of the risk as possible

But Web marketingrewards experimentsrather than deepplanning

Are you feeling stuck?

Mike Moran


Attract

Mike Moran


Both organic and paid search offer opportunities

With paid, you bid what you’ll pay for each click

Organic is the search engine’s best match

Paid Search

Organic Search

Mike Moran


Social media marketing is new wine in old bottles

Growing out of search marketing, and public relations before that

Social media marketing is any way you can get attention for your message using people connected to the Internet

People + message + Internet = social media marketing

Mike Moran


Content-based social media marketing

Focuses on the content to be posted and passed around: blogs, videos, photos, news stories, podcasts

Or bookmarks tothe content

Feeds viralmarketing

Content sites

Bookmarking sites

Mike Moran


Personality-based social media marketing

Consumer companies create character profiles, but may not be the best marketing for B2B companies

Consultants create professional profiles

Mike Moran


Interest-based social media marketing

Communities form around topics of interest, such as message boards and specialty search engines

Marketers must get into these conversations

Maybe social bookmarking sites fit into this category, too

Mike Moran


Remember that social media uses a community

Get to know the community

Give back to the community

Let the community spread your word

You can’t force itIt Takes a Village

Mike Moran


The Three Rs of Marketing 2.0

Real No more of the old marketing hype.Tell the truth. Admit your mistakes.

Relevant You can’t interrupt people anymore.You must have what they want.

Responsive Marketing is no longera monologue.You must answeryour customers.

Mike Moran


Marketers must give up message control

We don’t control the message

The message is changed, rebutted, and misconstrued by ouraudience

We must modify whatwe say in response

Mike Moran


Listen

Mike Moran


Web 2.0 now makes marketing a conversation

Readers comment on your blogs

They change your wikis

The create blogs of their own

They create “hate” sites if theydon’t like you

They produce mashups of your content and functions

Web 1.0 users were consumersWeb 2.0 users are participants

Mike Moran


How do today’s companies listen to customers?

Google Alerts are free and easy

Set up a searchand follow thee-mails or anRSS feed

Perfect for smallbusinesses andunique searchkeywords

Mike Moran

© 2010 Mike Moran© 2012 Mike Moran Group LLC

But other companies fail with search algorithms

“T-Mobile” will be found quite easily

“Sprint” not so much

“Verizon Wireless” is also not easy to isolate

20

Mike Moran


Google Alerts treats all mentions the same

21

Doesn’t aggregate volumes or show

competitors

Doesn’t differentiate by venue

Doesn’t separate positive from neutral

and negative

Mike Moran


Sentiment analysis shows opinions

Top Five Tech Pundits in Smart Phone Conversation

Blog URL Net Sentiment (toward Brand)

Rank Traffic

Engadget AVenue falls in the top 1% of highest

trafficked, most influential sites

GizmodoA

Venue falls in the top 1% of highest trafficked, most influential sites

ElectronistaB

Venue falls in the top 10% of high trafficked sites

UberGizmoB

Venue falls in the top 10% of high trafficked sites

SwitchedC

Venue falls in the bottom 90% of trafficked sites

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Mike Moran


Algorithmic sentiment analysis misses sarcasm

“Oh, the iPhone is a beautiful girl, no doubt.”

The automated sentiment analysis failed to identify the

sarcasm and coded the entry as positive for iPhone, while failing to understand

the author was actually saying there was no value for the iPhone beneath its

flashy exterior

23

Mike Moran


Algorithmic sentiment analysis misses nuance

You know that these are negative, but there is no word to tell the algorithm

These would be marked neutral by most algorithms

24

“I waited on line for my entire lunch hour

at my Wells Fargo branch today.”

“State Farm never told me I had no flood coverage.” “Amazon wouldn’t

refund my money.”

Mike Moran


Algorithmic sentiment misses context

The same words mean different things

An “unpredictable” movie is good, but “unpredictable” food quality, not so much

We like “small” cell phones but not “small” hotel rooms

“Faded” jeans are good, butnot “faded” photos

“Frozen” computers arebad, but “frozen”margaritas are good

25

Mike Moran

© 2010 Mike Moran© 2012 Mike Moran

70% accuracy on relevance

70% accuracy on sentiment

70% times 70% = 49%

The problem: Algorithms alone fall short

26

“Oh, the iPhone is a beautiful girl, no doubt.”

The best algorithms seem to fail half the time

Mike Moran

© 2010 Mike Moran© 2012 Mike Moran

If you need the data to be right, you need people to check the machines

The machines collect the data andmake the easy calls, and theysuggest the answers for the toughones, but humans make the finaldecision

Human analysts can correct the algorithms

27

Mike Moran


Watch

Mike Moran


Imagine a catalog marketer who said to the boss…

I shipped February’s catalog on time

And under budget

Customers like it

And it looks beautiful

Wanna see it?

But that’s all we say about our Web sites—where are the metrics?

Mike Moran


How can you drive demand for your products?

Visitors 1000

Conversion Rate 1%

Conversions 10

Base

Mike Moran



Visitors 1000 1000

Conversion Rate 1% 2%

Conversions 10 20

Increase your conversion rate

Base

Mike Moran



Visitors 1000 1000 2000

Conversion Rate 1% 2% 1%

Conversions 10 20 20

Increase your conversion rate Increase your

traffic

Base

Mike Moran



Visitors 1000 1000 2000 2000

Conversion Rate 1% 2% 1% 2%

Conversions 10 20 20 40

Increase your conversion rate Increase your

traffic

Or both

Base

Mike Moran


What are your conversions?

Online sales

Find a store

Find a dealer

Find a partner

Phone call

Affiliate link

Download a white paper

Fill out a contact form

Mike Moran


How do you track offline conversions to the Web?

The easiest way is for you to contact the customer

If the customer switches channels, entice the customer to:

Print the product’s specifications to bring to the dealer

Print a coupon to present at the retailer

Call a special phone number

Mike Moran


Which metrics matter?

Impressions: Did they see it? E-mail opened? Ad displayed? Document shown? Blog entry read?

Selections: Did they choose it? Click throughs? Mouse over?

Conversions: Did they buy it? Download? Call?

Mike Moran


Should the shopping cart be on the left or right?

A/B testing decides

Mike Moran


Beyond A/B testing: multivariate testing

Yes, it’s free

Create differentversions of yourpages

Google tests them with live visitors and reports back on which variations did the best

Then you permanently change the page to the best version

Mike Moran


Without testing, you’ll never know what works

Which page had 116% higher conversion?

Mike Moran


Respond to your customers

Change your products

Change your content

Change your prices

Change your policies

Change your experience

Then, change them again

Customers vote with their mice

Learn

Buy

Shop

Use

Get

Which changes increase your conversions?

Mike Moran


Read all about it “The Bible of search marketing”

--Chris Sherman, Search Engine Land

Includes DVD with videos and presentations; text updated on each printing

www.mikemoran.com

The search

marketing best seller

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Named a “best business book” by Miami Herald for 2007 “Great book.”

--Robert Scoble, Scoblizer blog

“Act now andread it.” --Bryan Eisenberg, Author of #1 best seller Waiting for Your Cat to Bark?

Do It Wrong Quickly GPSEG 2012 04-13

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