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Grow your Revenue through
Integrated eMarketing
Campaigns How to Increase Campaign Response and Decrease Acquisition Cost by Integrating Web, Mobile and Email Marketing Strategies John Ginsberg Marketing Director March 2008 http://www.ensight.co.uk
"By working to improve response rates, marketers can drive more business from existing online marketing campaigns without increasing the overall campaign budget."Grow Your Revenue Through Integrated eMarketing Campaigns
Table of Contents Abstract ....................................................................... 3 The Problem.................................................................. 3 The Solution .................................................................. 4 1. Create an acquisition email campaign.............................. 5 2. Engage with customers across additional channels............... 5 3. Encourage word of mouth ............................................ 6 4. Gather further information via surveys............................ 7 5. Integrating customer data with everything........................ 7 Conclusion .................................................................... 8 About Ensight................................................................. 9
Page 2 of 9 Copyright © 2008, Ensight. All rights reserved. Grow Your Revenue Through Integrated eMarketing Campaigns
Abstract 1The online advertising industry is a billion-pound industry , with hundreds of millions spent on online acquisition campaigns alone; from Pay-Per-Click (PPC) advertising on search engines like Google and Yahoo!, to banner ads, email campaigns, organic search, blogging and web PR. While the majority of investment is made at the initial point of contact with a prospect, a well known fact in marketing is that it takes numerous contacts with a prospective customer before they convert to a paying client. So how does a marketer increase the frequency of engagement with a prospect while keeping acquisition costs down? By working to improve response rates, marketers can drive more business from existing online marketing campaigns without increasing the overall campaign budget, thereby driving down the total cost of acquisition per customer and increasing the revenue generated per campaign. The Problem If you are investing in a PPC marketing campaign, you most likely measure the click-through ratio (CTR) for various search phrases and display adverts in order to determine which adverts, and which phrases are working in your favour. Adverts that do well likely get an increasing share of the available budget, while those that under-perform get removed from circulation. Similarly, if you are using email marketing to drive acquisition, you will likely measure the success of a particular campaign by analysing your open and click rates. The higher the open and click rate, the better your campaign performed, and the more likely you are to try the same tactic again. It stands to reason that the higher the response rate, the lower the cost per acquisition becomes. Quite simply, if a campaign costs £1,000 and you achieve 20 conversions, the cost per conversion is £50. If it were possible to increase the number of conversions from 20 to, say, 50, the cost per conversion would drop to £20 each, thereby driving more revenue and lowering costs. {Cost Per Acquisition} = {Campaign Cost} ÷ {Number of Responses} So how does a marketer go about increasing the response rate from a campaign in order to benefit from the saving in cost, while at the same time driving more revenue? 1 IAB Online Adspend Study, H1 2007 - Internet Advertising worth over £1.3 billion. http://www.iabuk.net/media/images/Onlineadspendfactsheet_H12007_1898.pdf
Page 3 of 9 Copyright © 2008, Ensight. All rights reserved. Grow Your Revenue Through Integrated eMarketing Campaigns
The Solution The first step towards a solution is to determine the business goals from online advertising. Most businesses will have a defined set of measurements to determine if a particular campaign is successful. In a retail environment, the goal is more than likely sales, while in a business-to-business environment, the goal is typically lead generation. Some organisations may have a goal of raising brand awareness - a task that is often difficult to... [download for more]
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