Showing posts with label ROI. Show all posts
Showing posts with label ROI. Show all posts

Thursday, October 9, 2008

The Integration (and Growth) of the Online Channel

Although it's difficult to keep this perspective when you're immersed in the interactive world, the online channel really only represents a segment of the overall marketing mix, and thus, a percentage of total spend. The side-effect of this is that online often takes its direction from offline strategies, creative and messaging. The nature of this positioning has actual impact on the role of an Interactive Project Manager, which is what I'll discuss in this entry.

Is the web an afterthought?: Most online agencies are full of creative and ingenious people - people who provide incredible strategies and creative direction for online campaigns. Sadly, however, these people are also often handed direction by their clients' traditional agencies, posing a real limitation on original thinking. Although the web brings to life unique and deeper opportunities for consumer engagement, insight and extension of brand value. For a PM, this scenario means reigning in your team before any intensive ideation occurs, to ensure you have offline assets in-hand before going off in the wrong direction unknowingly.

Making friends with traditional partners: If your client works with offline agencies, the best thing you can do is position yourself in alignment with their efforts. Ask your client to share offline tactics with you. Always request to receive approved collateral- print pieces, television ads - anything produced for other media channels. All of these materials need to be reviewed and leveraged to create an online experience that delivers brand consistency and on-target messaging. You will also save your organization needless time and money spent strategizing concepts that may turn out to be off-brand.

Evangelize the difference!: As a Project Manager, you work very closely with clients and can influence their outlook. Always champion the unique benefits of the online channel. Don't fight the offline tactics - take them and push them further. The web is a reciprocal medium - a two way street that allows for the exchange of information with consumers. It is measurable and can also be refined based on metrics and analysis of performance - something that cannot happen as easily with traditional media.

Over time, the industry will see a shift in marketing dollars, where online receives an increased spend - in fact, it is already happening. Traditional marketing channels will not disappear, but the web will receive its due glory as clients scrutinize budgets and realize interactive media can better conclude ROI and also respond more quickly to change. The future is indeed bright for Interactive Project Management.

Sunday, January 27, 2008

Why A/B Split Email Testing Is Invaluable

If you are working as a Project Manager in the interactive space, it is likely that you have (or will) work on an email communication program as part of an overall client strategy. As consumer in-boxes become more and more cluttered with brand messages, it's important that clients learn to compete in this saturated arena. This entry will describe the concept of A/B split testing, and why this very simple tactic can produce big results at low costs.

What is it?: A/B split email testing involves deploying multiple versions of a single email message. In other words, a sample of the total deployment list is split it into two (or more) lists so that each recipient group receives a slightly different message. The variation can be achieved through different subject lines, alternative layouts, varying calls to action, and so on. It is important to isolate the change and link improved results to the variation, so it's best to change only one element at a time. Once the email messages are deployed, results from each variation are measured (fairly quickly, so that the message will remain timely) and the single best performing message is redeployed the remainder of the list. The concept is simple - let's see what generates the highest response rate and send that to the majority of the list to boost results.

Because this approach to A/B testing yields results on a per-message basis, this testing style must be executed with each deployment, if improved results are to be gained each time. The client may garner general insight that can guide future email tactics, but consumer behaviour is not always predictable, and numerous factors are at play with each message sent. It is not enough to conduct a single A/B test and assume learnings can be carried forward without additional testing. This methodology is low-fidelity (simple), and is intended to be a tactic used with each deployment.

Why our clients will appreciate it: A/B testing can represent a very cost-effective approach to generating improved response rates. Put simply, A/B testing has a high ROI (return on investment). It does not require creating two completely different email messages - it only requires making slight variations to a single message, which keeps work effort, time to produce, and overall costs low. More importantly, test results can help debunk myths that will further educate internal and client teams regarding consumer behaviour. Test results may be surprising.

As a Project Manager, you should be pushing for continuous improvement so that client initiatives are successful. Not only will program success lead to an overall pleasant client experience, it will help establish your organization as credible and capable subject matter experts. If you have not already done so, suggest A/B testing as a refinement tactic that can yield immediate results with low investment. A/B testing is a simple step towards gathering consumer insight and research, which are key pillars in achieving continued success in a rapidly shifting medium.

Friday, April 27, 2007

Print Publishers Moving Online

The popularity of the internet has posed both opportunities and challenges for traditional print publishers. The opportunities, like the challenges, are numerous, and all are worth discussing. This entry will highlight a few key issues - more may be explored in future posts.

By now, print publishers have realized the web can be leveraged as a means to generate incremental revenue from existing and new advertisers. Compounded by the fact that most consumers expect an online presence for any brands they interact with, the pressure to offer an online experience is high. Some publishers have rushed to create a web destination, only to realize the tremendous learning curve that exists. Many errors have been made by many publishers along the way. As a result, this industry continues to tweak and rebuild their websites in an effort to find a viable, feasible and effective online model.

It's not an easy task to increase readership while avoiding cannibalizing the existing print audience. If print readers begin to abandon the hard copy for the web version, sales will drop and advertisers will begin to notice. Publishers must leverage the web as an extension of print, offering exclusive, interactive and unique content online, so that they print and web versions are distinct, each boasting their own value propositions. Replicating the entire print publication online is a sure-fire way to decrease print sales, given how ubiquitous and accessible the web has become.

Any publication that has attempted to leverage the existing print sales team to push online ad sales will know what a challenge this can be. Print and web sales require a different lexicon, a different sales pitch, and a true recognition of the value of online advertising in order to execute sales for both entities effectively. In most cases, the print sales team will continue to only sell print ads, despite a different mandate - it is what they are good at and what they understand. Some publishers have determined that introducing a dedicated web sales force is a more effective approach. Again, the goal is to drive incremental sales - not to split existing sales between print and online. Remember, the sales team must continually reinforce the distinct value of the website. This means that ad space online can never be offered as a bonus for purchasing print ads - the website will require it's own rate card and product offering for advertisers.

It's only a matter of time until a print publication masters the online space - the opportunities for business growth and revenue are endless if you employ the right people and bring creativity and tenacity to the challenges presented. The secret lies in an iterative approach where a website is launched and monitored, and then optimized over time to maximize relevance and ROI.