View
224
Download
0
Category
Preview:
DESCRIPTION
Â
Citation preview
A Guide to Measuring the Impact of Display
Advertising in B2B
METRICSTHAT MATTER:
METRICSTHAT MATTER:
The State of the B2B Buying ProcessFrom online targeting to marketing automation to the constantly evolving world
of social media, there’s no shortage of tactics and approaches to help today’s
B2B marketers. And while the marketing discipline has never been more exciting—
it’s also never been more challenging. Along with the growth of B2B-specific
technologies and related strategies come prospects who are increasingly savvy—
and particular—about the ways they choose to seek out solutions and services for
their businesses. Most B2B prospects do not pick up the phone or fill out online
forms to contact vendors directly. Instead, they’re doing their own online research,
seeking out reviews from their own social networks, and ultimately not engaging
with an actual salesperson until 90% of the B2B purchase process is already
over.1
And if this wasn’t enough, according to a recent survey done by Crain’s BtoB
Magazine2:
• 81% of B2B marketers say at least 2 people are typically responsible for the
buying decision
• 43% say their B2B buying processes have increased in length
• 36% of marketers admit that their current marketing mix is not meeting the
demands of the sales pipeline
With longer buying processes, maxed out marketing channels, and the need for
more precise online targeting than ever, what’s a B2B marketer to do?
According to Forrester Research, a B2B buyer’s journey is often ninety percent over before sales is contacted.
1 Lori Wizdo, “Buyer Behavior Helps B2B Marketers Guide the Buyer’s Journey,” Lori Wizdo’s Blog, October 4, 2012, http://blogs.forrester.com/lori_wizdo/12-10-04-buyer_behavior_helps_b2b_marketers_guide_the_buyers_journey.
2 “Priming the Pipeline: Driving Awareness, Conversions & Sales,” Crain’s B2B Magazine, 2013.
Forty-three percent of marketers surveyed by BtoB Magazine said their B2B buying processes have lengthened in the past three years.
Display Advertising - A Perfect Fit for B2BWith B2B marketing, there is no “one size fits all” approach. Depending on the
challenges being faced by marketers in a given time period, some may want to gain
more awareness for their brand in a certain market. At other times, lead generation
and nurturing may be their main focal points to drive more sales.
The beauty of display advertising is that it is uniquely capable to meet this entire
range of B2B marketing challenges. Undoubtedly, channels such as email marketing
and search marketing have made their mark as B2B marketing staples, but both
of these tactics only reach a limited amount of people. For example, you can only
email the prospects for which you have contact information; with search, you’re only
engaging with those who are actively looking for a solution to their business problem
at this very moment.
With display advertising, you can reach those in your target audience who may not
have even realized they need your product or service yet. At the same time, you
can use a different set of ad creative to nurture those that are in your buying cycle
and already engaged. Finally, you can use display advertising to “close the deal”
with a conversion—whether that conversion goal is a whitepaper download, a free
trial signup, or a demo request. Display advertising is a B2B marketer’s best friend
throughout the entire buying cycle or marketing funnel—an idea we’ll dive into deeper
a little later in this whitepaper.
Measuring Digital Marketing Success in B2BLong ago, marketing was often considered to be a cost center in the B2B organization.
Today, nothing could be farther from the truth—the majority of B2B marketers are
now data-driven and able to use supporting technologies to measure their success in
highly tangible ways. They can also prove marketing’s value as a solid contributor to
revenue and the bottom line.
Yet despite these massive leaps, many B2B marketers still struggle with
comprehensive program measurement and value attribution; in fact only 42% of
marketers said they attribute success across the entire marketing funnel. For this
reason, there is a tendency to over-invest in lower-funnel programs that are easiest to
track and measure, since they are closest to the sale conversion. As such, there is the
strong tendency in B2B marketing to apply metrics related to lead generation (leads,
cost per lead, etc.) to almost any sort of online marketing campaign. However, using
leads as the universal language for metrics can be problematic, especially when the
marketing objective is to increase brand awareness or drive engagement.
The Internet and the Evolution of Advertising MetricsLet’s go back to the “early” days of traditional advertising. Before the Internet,
television, print, and radio advertising ruled. Because massive spend was required to
even move the needle, advertising was also limited to the big brands and budgets that
could afford it. As for metrics, reach (the total number of people or households
exposed to an advertising message at least once within a certain period) and
frequency (the number of times people are exposed to an advertising message) were
used to measure the effectiveness of advertising.
Fast forward to today, and the
world of advertising is both
affordable and accessible to all
sizes of businesses. The Web has
made online advertising both
highly targeted and efficient, and
unlike before, companies only need
dollars—not thousands of dollars—
to take advantage of this online
marketing channel.
Thanks to the efficiencies of the Web, small organizations can now compete for the same ad inventory as large companies.
Metrics such as reach and frequency are still important, but the online world has
also given way to a variety of other ways to measure success, depending on where
marketers are looking to make an impact on their marketing funnel.
Display Advertising and the Full-Funnel Marketing ApproachThe notion of the “marketing funnel” provides a framework
for B2B marketers to both understand the various stages
a B2B prospect goes through (awareness, education,
evaluation, purchase, etc.) and how they need to design
programs to keep their brands, messages, and content in
front of their target audiences at every stage.
In today’s age of advanced marketing technologies and
rapidly evolving best practices and strategies, marketers
are in a strong position to cost-effectively reach their
target audiences at every stage of the funnel. But, they
must avoid the pitfall of under-investing in any one stage
of the funnel (e.g. neglecting top-funnel goals such as
branding and awareness can put downstream goals such
as conversions at risk).
The savviest online marketers are employing a diverse set of marketing programs
that impact the entire funnel. Full-funnel marketing is about understanding the
key objectives you need to hit at each stage of the funnel, pinning down the right
metrics to measure progress against those objectives, and then deploying the right
programs to achieve them. While B2B marketers are constantly employing a mix of
programs to achieve a wide variety of goals, display advertising is unique in its ability
to impact all stages as a powerful, full-funnel marketing channel.
For B2B marketers, the key to measuring a program starts with:
• Specifically defining the role a program or channel is intended to play in the
marketing mix. For example, your corporate website should be used to increase
engagement with your brand, not generate initial brand awareness—display adver-
tising is better suited for this.
TOP FUNNEL IMPACTTOP FUNNEL IMPACT(Brand Awareness)
MID FUNNEL IMPACTMID FUNNEL IMPACT(Content Engagement & Education)
BOTTOM FUNNEL IMPACTBOTTOM FUNNEL IMPACT(Lead Generation & Sales Conversions)
• Aligning metrics to each program based on its unique role and the goals it aims
to achieve. For instance, if you launch a display advertising campaign in order to
increase awareness of your products or brand among your target audiences, clicks
and click-through rate (CTR) don’t make sense as success metrics—but brand
recall or lift in targeted website traffic do.
A Closer Look at Full-Funnel Display AdvertisingSo what does full-funnel marketing look like exactly when we focus specifically on
display advertising? Here’s a breakdown of just a few of the different tactics and
metrics that are relevant to particular parts of the funnel.
TOP-FUNNEL DISPLAY ADVERTISING TACTICSThe top funnel is where you focus to increase awareness
and recall of your company and products, and to drive
more of the right traffic to your Website, corporate blog,
or landing pages. Top-funnel campaigns convey what
your company does, why your products are unique, and
why customers should care about your company. Here are
some effective top-funnel display tactics:
• Broad business demographic targeting. For the top funnel, marketers can
deploy a range of display advertising techniques including broad business
demographic targeting (e.g. targeting all business professionals). Starting out
broadly also enables you to cast the widest net for potential prospects and
optimize to top-performing segments as time goes on.
• Company targeting. Company targeting enables marketers to run display
campaigns against a specific target account list. This can be a useful tactic for
reaching multiple people within a single company that may be involved in the
buying process. However, to ensure the greatest success, company targeting
should be used in conjunction with business demographic targeting so that
you’re reaching the right people—not just the right accounts.
• Video Targeting. Video targeting is a great way to reach the broader audiences
you are targeting early on in the purchase process. More and more B2B
marketers are investing in video, as it’s an appealing and digestible format for
content. In fact, in a recent survey done by MarketingProfs and the Content
Marketing Institute, 58% of the B2B marketers surveyed said they found video
to be an effective tactic.3
3 “B2B Content Marketing: 2013 Benchmarks, Budgets, and Trends—North America,” Content Marketing Institute and MarketingProfs.
TOP FUNNEL IMPACTTOP FUNNEL IMPACT(Brand Awareness)
MID FUNNEL IMPACTMID FUNNEL IMPACT(Content Engagement & Education)
BOTTOM FUNNEL IMPACTBOTTOM FUNNEL IMPACT(Lead Generation & Sales Conversions)
TOP-FUNNEL DISPLAY ADVERTISING METRICSTop-funnel measurement can be tricky, which is why many marketers take the easy
way out and simply attribute success to the strength of the last marketing campaign
that touched a deal before it closed. For example, if they have deployed a display
advertising program to fill or accelerate prospects through the funnel, and paid-
search or SEO programs to convert prospects lower in the funnel, they may jump to
the conclusion that search is driving all the new business, which may lead them to
increase their incremental spend on search alone.
Here’s the conundrum. If all credit is given to search, and spending on search is
subsequently increased, the shortage of budget in display is likely to adversely impact
the next quarter’s search results. Simply put, the lower-funnel activity will plateau if
you don’t invest in the upper funnel. We’ll discuss how to best approach attribution
later on in the guide.
Beyond proper attribution, there are several good-fit tangible metrics that you can
track to get a handle on the impact of your upper-funnel display advertising tactics. If
you’re reaching more of your target audience higher up in the funnel, you should see a
lift in:
• Brand recall. You can run an online brand study that compares increase in
awareness among a control group (i.e., people who didn’t see your display ad)
to an exposed group (i.e., people who saw your display ad).
• Branded search. You should see an increase in the number of people searching
for your company or products in their search engine of choice.
• Targeted traffic to your website. Your website analytics tools should show an
increase in the volume of targeted traffic to your Website.
• Form conversions. You should see an increase in the number of
the right people who are engaging with your website content and submitting
forms (e.g., contact forms, white paper downloads, or free trial signups).
MID-FUNNEL DISPLAY ADVERTISING TACTICSThe middle of the funnel is all about the important
nurturing work that needs to be done to more deeply
orient, educate, and influence a prospects after they
are aware of your brand, but before they are necessarily
ready to engage with a sales rep—or before they are even
TOP FUNNEL IMPACTTOP FUNNEL IMPACT(Brand Awareness)
MID FUNNEL IMPACTMID FUNNEL IMPACT(Content Engagement & Education)
BOTTOM FUNNEL IMPACTBOTTOM FUNNEL IMPACT(Lead Generation & Sales Conversions)
ready to share their personal information (e.g., via a Web form). In B2B, heightened
engagement generally translates to prospects engaging with your content.
When it comes to mid-funnel display advertising, more focused business demographic
targeting and social advertising are effective tactics for getting prospects to engage
more with your brand and your content. Because B2B prospects are active on
social networks, social advertising can be a great way to tap the value of your initial
branding display campaigns, ensuring that you are keeping your lower funnel filled
and growing. Here’s a closer look at these mid-funnel tactics:
• Business Demographic Targeting (e.g. Job Function, Seniority): Mid-funnel
display strategies include business demographic-targeted campaigns where
you put your ads in front of specific audiences you are looking to target by their
role and seniority in an organization, wherever they travel across the Web.
• LinkedIn Ads: Given the inherent nature of its business-focused network,
LinkedIn makes it easy for marketers to target its audience by key business
demographics including industry, job function, and title. You can also target
users according to discussion groups they belong to, such as “Digital Media” or
“IT Professionals.”
• Facebook Exchange: Facebook offers B2B marketers tremendous
opportunities to reach precise business audiences through the Facebook
Exchange (FBX), a real-time bidding system in which marketers can leverage
third-party data to reach their target audiences when they are on Facebook,
and retarget them with highly relevant ads. By partnering with advertising
platforms that enable access to third-party data on business professionals,
Facebook Exchange gives marketers the ability to specifically target users
according to job function, industry, and other business demographic data.
MID-FUNNEL DISPLAY ADVERTISING METRICSMid-funnel display metrics are all about gauging content engagement from those
exposed to your display advertising—whether it’s downloads, page views, or leads.
Here are a few of the most prevalent metrics for mid-funnel programs:
• New Visitors: Display advertising can result in new visitors to your website.
• Cost per New Visitor: To optimize the cost of acquiring a new prospect,
divide your total campaign cost by the number of new visitors introduced
by display advertising.
• Page view lift: As your branding efforts begin to drive more people to
your Website, mid-funnel display advertising takes the baton. If executed
effectively, your target prospects should be spending more time engaging
on your Website.
• Web form lift %: The middle of the funnel is where all that investment in
developing quality downloadable content (i.e., white papers and case studies)
begins to pay off. You can use website form lift as a key metric to gauge the
success of mid-funnel programs.
• Search lift: As people begin to recall and connect more to your brand,
you’re likely to see a lift in search metrics against both branded and keyword
search terms.
• Leads: As your target audience gets drawn into your content, they will be more
willing to share their personal info (fill out your Web forms) to get at it. Look for
more leads from your effective mid-funnel programs.
Remember, the goal of mid-funnel display advertising is to increase the velocity
by which prospects move through the funnel. Using display advertising to nurture
and further your prospects’ engagement with your brand will prime the pump for
lower-funnel tactics such as search and email marketing to get their jobs done, and
accelerate conversations in the field.
BOTTOM-FUNNEL DISPLAY ADVERTISING TACTICSWith the awareness-building and nurturing work you
have done higher up in the funnel, you should now have a
healthy, growing pool of target prospects that are ready
to share information, check out your free trial, and
possibly engage with your sales team. Bottom-funnel
display advertising strategies including retargeting and
keyword targeting, which can both help move these
prospects from consideration to conversion:
• Website retargeting. Through website retargeting, you can retarget display ads
to people that visit your website, blog, or landing pages that you set up in your
marketing automation system.
• CRM retargeting. You’ve already invested significant marketing dollars in
capturing leads and contacts in your internal database. CRM retargeting
enables you to target ads to these valuable prospects, giving you a powerful
new way to reach them beyond their inbox.
TOP FUNNEL IMPACTTOP FUNNEL IMPACT(Brand Awareness)
MID FUNNEL IMPACTMID FUNNEL IMPACT(Content Engagement & Education)
BOTTOM FUNNEL IMPACTBOTTOM FUNNEL IMPACT(Lead Generation & Sales Conversions)
• Keyword targeting. Keyword targeting allows you to combine search with
display to reach audiences with display ads after they’ve performed a search
using specific key terms. Using this tactic, you can catch your target audiences
while they’re thinking about relevant topics to make a timely impression.
BOTTOM-FUNNEL DISPLAY ADVERTISING METRICSHere are a few of the most prevalent metrics for bottom-funnel display advertising
programs:
• Leads (total, cost per lead): Based on the trust you have built higher in the
funnel and the content that prospects consume lower in the funnel, your target
audience is now primed to share their personal info with you by filling out your
Web forms.
• Overall website form conversion lift percentage: You should see a continued
spike in Web form conversions as you deploy your bottom-funnel display
tactics. In particular, measure lift in your “Contact Form” conversion rates to
gauge success.
• Opportunity contribution: Since lower-funnel display advertising touches
prospects close to the point of conversion, you can readily tie and attribute
their influence to opportunities that make it into your sales pipeline.
• Revenue contribution: Similar to pipeline contribution, you can also tie lower-
funnel programs more easily to revenue contribution, as you track opportunities
to closed business.
Display Advertising Metrics in Action | Case Study
Zuora, a SaaS company that offers solutions for decision makers
in sales, marketing, and finance alike, uses display advertising to
make a full-funnel impact: increasing brand awareness; driving
targeted audiences to the Zuora website; and building sales pipeline. Here’s
a snapshot of the results they achieved:
• 21% lift in brand recall
• 182% increase in page views
• More than 1,000 conversions from precisely targeted business audiences
Attribution and Display AdvertisingIn a Crain’s BtoB survey, more than one-third (36 percent) of respondents reported
their biggest online marketing challenge is accurately measuring and attributing online
conversions to the correct marketing channels. And less than half (42 percent) of
marketers say they attribute success across the entire marketing funnel.4
WHY DO MANY B2B MARKETERS FIND ATTRIBUTION SO DIFFICULT?Most B2B prospects interact with a brand through multiple marketing touchpoints
(display, email, search, etc.) before making a purchase. However, as we touched upon
earlier, many B2B marketers are accustomed to taking a “last touch” approach when it
comes to marketing attribution, essentially giving ALL the credit to the program that
was last to touch a lead before it became an opportunity.
In the example below, you’ll see a sample marketing touch sequence that depicts
a typical buying process in which the prospect was introduced to a product via
a display ad, continued to engage through the paid search channel, and was last
touched by an email before making the actual purchase. Despite the contributions of
multiple channels, all credit is given to email and the work done by display and search
is ignored. This approach overstates the value of lower-funnel contributions, and
undervalues the programs that created awareness and nurtured higher in the funnel.
As you can see, relying on a single source of attribution for a lead or opportunity
can be misleading, as more often than not, prospects are touched by more than
one marketing channel in their journey toward a purchase. As we’ve been discussing
throughout this guide, display is a unique marketing channel in that its impact can
be felt over time and seen across the entire marketing mix. As such, it is particularly
In this marketing touch sequence, all credit is given to email, which is an ineffective way to measure the value of your marketing programs.
INTRODUCE
DisplayImpression
INFLUENCE
SEM
CLOSE
123Total
Conversion Actions
123Total
Conversion Actions
4 “Priming the Pipeline: Driving Awareness, Conversions & Sales,” Crain’s BtoB Magazine, 2013.
important to avoid using the click or click-through rate as an indicator of success.
Instead, set up an attribution model that gives credit to more than the last touch
that occurs.
Basic Attribution Modeling—Simple Value Attribution Gets You 80% of the BenefitWhile there are various attribution models available that vary in complexity, even the
simplest attribution model can drastically improve the accuracy of your marketing ROI
measurements. If you’re just getting started with attribution modeling, start with even
attribution (shown below). In this model, credit is evenly distributed among all the
channels involved. While fairly basic, this model will provide you with a more accurate
depiction of which channels are driving the most value for your marketing dollar.
Remember, if you’re doing a good job at the top of the funnel, then you’ll have more
of the right prospects in your sights to educate, and a greater percentage of that
“nurture pool” will in turn be ready to take the next step when you touch them with
your bottom-funnel programs.
ConclusionThe marketing funnel is alive and well, and can offer B2B marketers a great framework
for developing a diverse set of marketing programs that will ensure they reach their
target audience early, often, and throughout the buying process. But remember—
it’s less important to dabble in every single marketing tactic available to you, and
more important to make sure that for the tactics you do choose to employ, you’re
using the success metrics that align best with the goals you’ve set for yourself and
your company. »
INTRODUCE
DisplayImpression
41 Actions41 Actions 41 Actions41 Actions 41 Actions41 Actions
INFLUENCE
SEM
CLOSE
123Total
ConversionActions
By using even attribution, marketers can move beyond the “last touch” and achieve greater accuracy in their ROI metrics.
Glossary of Display Advertising Metrics » Brand Awareness Impact: Total number of new people that would be aware of
your brand.
» Brand Recall: Percentage increase in your target audience’s familiarity with your
brand and understanding of its value.
» Branded Search Lift: Percentage increase in the number of website visitors who
search specifically for your brand name in search engines.
» Clicks: Total number of times display ads are clicked in a certain time period.
» Click-through Rate (CTR): A percentage, calculated by dividing total clicks by total
number of impressions delivered, multiplied by 100.
» Conversion Lift: Lift in total number of conversions through the corporate website,
landing pages, etc.
» Conversion Rate: Percentage of visitors that complete a specified action (e.g.
filling out a contact form).
» Cost per Action: Total campaign cost divided by the number of completed actions
or conversions.
» Cost per Click: Total campaign cost divided by total number of clicks.
» Cost per Lead: Total campaign cost divided by total leads converted.
» Cost per New Visitor: Total campaign cost divided by new visitors introduced by
display advertising.
» Cost per Page View: Total campaign cost divided by display advertising-driven
page views.
» Cost per Visit: Total marketing cost divided by total number of visits; total display
advertising campaign cost divided by campaign-driven visits.
» Impression: The serving of one display ad online.
» Impressions Delivered against Target Audience: Total number of display ads
served (or displayed) to a defined target audience.
» Leads: Individuals that a company views as potential customers.
» Lead Quality: An indicator of how likely a lead is to become a customer.
» Lift in Page Views per Visit: Increase in the amount of Web content consumed by
visitors on each unique visit.
» New Visitors: Visitors who have not previously visited your website.
» Opportunity Contribution: In display advertising, the direct effect of advertising on
the creation of new business opportunities.
» Page Views/Visits: Total number of pages viewed in a defined time period.
» Revenue Contribution: In display advertising, advertising’s direct contribution to
new revenue generated.
» Share of Voice: A brand’s exposure to a specific audience relative to other
advertisers who are bidding on the same audience.
» Targeted Reach: Total number of unique individuals in a specific target audience
that you have access to via display advertising.
» Target Audience Time on Site Lift: Increase in time spent on the website by
specific target audiences.
» Target Audience Website Traffic Lift: Increase in website traffic from specific
target audiences.
» Total Visits: Total number of website visits from both new and returning visitors.
» Website Content Engagement Lift: A lift in website activity which can be shown
by an increase in several metrics including Target Audience Time on Site Lift, Page
Views/Visits, Conversion Lift, and more.
866.497.5505 | www.bizo.com | Follow us on Twitter: @bizo
Recommended