Web Analytics for DM Matthew Tod CEO Logan Tod & Co

© IDM Academy 2008

Web Analytics for DM

Matthew Tod CEO

Logan Tod & Co

© IDM Academy 2008

Who are Logan Tod & Co?

• Twenty five Covent Garden based online optimisation consultants with over fifty years of web analytics experience across 12 major tools

• The team analyses site and campaign performance and helps clients implement actions to improve conversion rates & sales

© IDM Academy 2008

The issue

• The new online marketing techniques have eclipsed DM because:– They are more measurable, – They are more flexible– They are more effective

• So is DM in terminal decline?– Costs are rising– Response is declining– It is not seen as a relevant media choice

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But is this scenario really true?

The lack of real understanding of how consumers use the web to research, decide and buy products, coupled with basic tracking errors, are causing marketing departments to make incorrect investment decisions

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In the beginning it was so easy!

Email campaign DM Campaign

Banner campaignSingle Access %

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The impact of an offline campaign

ResponseDM campaign

Email campaign

Affiliate

PPC campaigns

Natural search

DM will drive sales through other channels – why? Because that is how we all behave now!

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How campaigns really interact

OfflineCampaign 2

GoogleCampaign 3

Initial visit

Shopping visit

1. “Gary Lineker” value attributed to this click. It was the last click, so

is credited with the goal

2. This campaign generated the initial engagement, but no value attributed to it.

3. Engagement here is of real value, but it is not counted as a

success

Checkout

A SALE!

Online Campaign 1

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So what is really happening?

• DM boosts online channels– Raises response and effectiveness of other channels

• Response is often far greater than is measured by traditional techniques– And results are often misallocated and double counted

• Consumers take more than one visit before deciding to make a purchase in many instances and this confuses reporting

• Site is often the weakest link in converting Interest into Action – it fails to convert interest into action

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A Hypothesis

Demand Generation

Persuading people that a product is of interest and is something to consider

Offline media does this really well

Demand Harvesting

Funnel people who are “in the market” to your site to research, decide and buy

Most online media is great at doing this

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What should you do to better understand the role & impact of DM?

• Match-back & de-duplicate to understand campaign respondents– We mailed you, and you responded

• Web analytics to analyse people who engaged but did not respond – We mailed you, and you looked but did not

respond directly

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Match-back the respondent to the original mailing

ResponseDM campaign

Email campaign

Affiliate

PPC campaigns

Natural search

If a respondent’s address matches the mailed

address then REGARDLESS of channel

the DM campaign probably played a role

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Match-back: Capture online source to derive further insight

Customers ProspectsMailed 10000 10000Phone 145 74Post 15 9Web Direct 32 12Web Email 24 2Web PPC 48 31Web Natural search 32 14Web Affiliate 15 12Total 311 154Response rate 3.1% 1.5%

To do this you have to capture online campaign codes with the response form and analyse matched-back data

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Web Analytics: Segmentation is the key to insight from web analytics

• First time visitors– Have never been seen on

the website before

• Returning visitors– Have previously visited

the site

• Existing Customers– Have taken an action that

leads you to believe they are customers

• Brand navigators– Use your brand name to

find the site

• Generic term searchers – Looking for something, but

necessarily you

• Specific product searchers– Looking for your product

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Segmented data allows more insight

Each segment has its own pattern, due to the different campaigns

being run online & offline

When you have the correct segments properly configured you can start to

correlate with offline activity

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Segmentation exposes behaviour

Enormous behaviour differences through out

the entire customer journey are apparent for the Prospect segment

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To summarise

• DM / Online analysis: It is messy, complex and not well understood

• There is a need for businesses to look afresh at how they report on campaigns

• Match-back with added web data is the best solution for respondents

• Detailed web analytics work can show the engagement generated by DM campaigns

© IDM Academy 2008

Call 020 7717 8447

Email matthew.tod@logantod.com

How can we help you?