Marketo Secret Sauce - Jon Miller

Page 1 © 2014 Marketo, Inc. #MKTGNATION14

Marketo Secret Sauce: Modern Marketing Case StudyJon Miller

VP and Co-Founder, Marketo


What Is The Marketo Secret Sauce?• A detailed case study of how Marketo

drives our own business• Covers content marketing, lead generation,

marketing automation, analytics and more• Focuses on “lead generation” but also has

insights for consumer-oriented companies• Illustrates an example of one company

doing it right – meant to inspire and educate

• Not a commercial for Marketo!





INFORMATION SCARCITY

WE USED TO LIVE IN A WORLD OF


ABUNDANCEINFORMATION


Source: The Corporate Executive Board Company, “The Digital Evolution in B2B Marketing,” 2012.


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Marketo’s Revenue Cycle

TOFU MOFU

Opportunity CustomerLead

Sale

s Le

ad

Nurturing Database

BOFU


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Sale

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Nurturing Database

Exposed to us via content, brand, or word of mouth


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Nurturing Database

Feels a relationship and trust with us


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Nurturing Database

Names are just names.


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Sale

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Nurturing Database

Meaningful interaction with us


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Nurturing Database

Nurture until ready for next step

Qualified potential customer


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Nurturing Database

Marketing qualified lead (score > 100) – Sales Development Rep (SDR) reach-out


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Nurturing Database

Qualified as sales-ready by SDR


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Nurturing Database

Accepted and actively worked by sales:marketing quota attainment


Awareness and Top of Funnel



Blog, e-books, research data, funny videos, curated lists, infographics, webinars

NO

YES

MOSTLYNO

Thought leadership and enjoyable content to build brand, awareness, and desire

Tools that help buyers find you when they are looking for solutions

Company-specific information to help evaluate and reaffirm selection

Buying guides, RFP templates, ROI calculators, definitive guides, analyst reports

Pricing, demos, services information, 3rd party reviews, customer case studies

Gated?Early Stage

Middle Stage

Late Stage


Source: Marketo data, Marketo Revenue Cycle Analytics. Does not include all sources.





Inbound creates the best leads by far: high conversion, high velocity…



…but just creating more content won’t scale inbound – need to convert



For visitors in B2C industries



For companies using competitive solutions



But we also use a Portfolio of programs


JUNEDATE:


Middle of the Funnel


Sales doesn’t want

names – they want

“Win Ready” leads

@jonmiller


Sales Ready

Source: RainToday

25%

50%

25%

2%

Need More Nurturing

Disqualified



Average days to Opportunity: 327 days


Nurturing: Building durable relationships with prospects and customers

over time through engaging conversations


What isn’t an engaging conversation?

What Is

Engagement Marketing?• As individuals

• Based on what they do

• Continuously over time

• Wherever they are

• Directed towards a goal

• With measurable impact

• At speed of digital


A

B

C

D

1 23

Stages

1. BUYING STAGES• Early: Be a Better Marketer• Mid: Why Marketing Automation• Late: Why Marketo• Customer: Success

2. BUYING PROFILES• B2B Marketing• Consumer Marketing• Sales



Dynamic Content

Industry, Geography, Company Size, Customer

vs. Prospect, etc.


Behavioral Targeting for Maximum Relevance: Topic of Interest Triggers

• Attends event• Downloads content• Click email• Fills out form• Score is changed

Email

Social

Content

Technology


Standard Nurture Triggered Interests Lift

Open % 21.7% Open % 34.0% 57%

Click to Open % 23.4% Click to Open % 37.1% 59%

Click % 5.1% Click % 12.6% 147%


Scoring and Lead Management


Scoring Defined

Fit Interest Buying Stage

“Methodology for ranking leads and customers in order to determine their readiness to buy”

Nurture DisqualifyNurturePass to Sales Pass to Sales


Short (5)Conversion: 13.4%Cost per: $31.24

Medium (7)Conversion: 12.0%Cost per: $34.94

Long (9)Conversion: 10.0%Cost per: $41.90


• Early stage content +3• Attend webinar: +5• Visit any webpage /

blog : +1• Visit careers pages: -10• Decay inactivity:

-1, -5, -10

Latent Behaviors (Engagement)

• Pricing pages: +10 • Watch demos:

• +5 overview • +10 detailed

• Mid-stage content +8• Late-stage content +12• Searches for branded

keyword “Marketo” +8

Active Behaviors(Buying Intent)

Get The “Definitive Guide to Lead Scoring”http://marketo.com/DG2LS

http://marketo.com/DG2LN

http://marketo.com/DG2LN


Engagement & Intent

One Way to Identify Marketing Qualified Leads

A Lead Lead Lead

B Lead Lead

C Lead

D4 3 2 1

Fit


Stars and Flames show priority

Full list of Interesting Moments


No Lead Left Behind: Service Level Agreements

Day 0 Notification

Day 1 If untouched, reminder

Day 2 If untouched, reminder cc boss

Day 3 If untouched, alert executives

Day 7 If stale, reminder

Day 8 If stale, reminder cc boss

Day 9 If stale, alert executives


Customer Lifecycle


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Nurturing Database

Retain

Advocate

Enable Adopt

Drive customer success to keep and grow relationships


BUYEVALUATELEARNENGAGE

Different Goals for Different Stages

TRUSTENJOYBUY ADVOCATE

RENEWVALUEUSEOWN


Customer Nurture Streams


X-S Scoring Based on Product Interest (PIS)


Revenue Analytics




Why Measuring Return is Hard

• Multiple touches. Seven touches needed to convert a cold lead into a sale

• Multiple influencers. Typical buying committee has 5-21 people


Track All Touches Across People

Screenshot: Marketo Revenue Cycle Analytics


Track All Touches Across People



Example: Multi-Touch Attribution

A deal worth $100,000 recently closed. Three people were involved in the deal:

• Person A attended Seminar A and Trade Show B• Person B attended Trade Show B• Person C was sent Direct Mail C

$100,000 Revenue

$25,000 $25,000 $25,000 $25,000

Seminar A$25,000

Tradeshow B$50,000

Direct Mail C$25,000


Source: Marketo Revenue Cycle Analytics, Apr 2014* Percentage of all programs in channel that achieve MT Ratio > 5



Inbound + Nurture = 58% of (MT) PipelinePaid Programs = 42% of (MT) Pipeline



(MT) Ratio = Pipeline / Investment

>10 is Great and <5 is FailSponsored Email = 12.8, Tradeshow =

10.6, PPC = 13.0, Webinars = 25.4, Field Events = 6.6, Content

Syndication 7.7



% Programs with MT Ratio > 5e.g. Tradeshow has good average

but 49% programs “fail”


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TOFU MOFU


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Nurturing Database

BOFU


Revenue Cycle Modeler



Filter/Drill into data, e.g. by Program Type, Business Unit, Geography, etc.

Key topic areas:• Balance (Reach)• Flow• Conversion• Velocity Trends over time



Use Metrics to Set & Justify Budgets

New Targets

60,000

InventoryOf ActiveTargets

131,000

New MQLsScore>100

23,00015.3%

Inventory of Active MQLs

10.5% 20,000

New Opps*

1,000 6 Month Created Opp Inv.

2,000

270

*Opps is bigger than SQLs because includes outbound and partner referrals

SDR capacity driven

Inb

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/ P

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120,000(900K DB Total)

New Names

New SQLs

922

2.4%

1.9%

75%

Win

s35% win


Tweetable Takeaways

1.The way buyers buy has changed forever – the way we market and sell must change as well

2.Define the stages of the revenue cycle cycle, in alignment with sales

3.Most leads are not “sales ready” – nurture relationships over time, use online body language to score leads

4.Use analytics to turn marketing from a cost center into a revenue driver

5.Think big, start small, move quickly

#MKTGNATION14


Jon Miller@jonmiller

[email protected]