Thad Kahlow of BusinessOnline speaking at the 2014 Content Marketing Retreat, Langley, WA "Be an ROI Guy (or Gal)" Welcome to the alchemy of reporting returns, from dashboards and social signals, direct attribution and indirect attribution, bar graphs and pie charts to, yes, good ol' "did we make more money?" In this presentation, best practices in generating reports on content marketing activities will be share.

1. Be an ROI guy (gal)
Content + Data + Customer Relationships = ROI
@tkahlow
@BOLoptimized

2. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Why Big Data? Why now?
Pace of change…
+ Companies: Large and small…
+ Industries: Old & young
+ Customers: b2b, b2c, male or
female, rich or poor…
+ Change, big change…

3. Greatest Company Asset…
Customer Relationship
Enterprise Value Paradigm

4. Not
Product
Not
IP
Not
Brand

5. Age of the Customer
“Empowered buyers, disruptive digital
innovations…erase traditional competitive
advantages…the next wave will come from deep
customer knowledge, engagement tied to the
buyer's timing, and actions based on an obsessive
desire to deliver what your customers want before
your nearest competitor does.”

6. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
I’m Thad Kahlow @Tkahlow
+ CEO BusinessOnline
+ 14 years Digital Marketing
+ B2B/B2C High Consideration- lead to sale
+ B2B Magazine Interactive Agency year
+ Top Agency: 3 Consecutive years…
+ Thrilled to be here today!

7. Allow me to
Digress…

9. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
CEOs operate in a substantially more
“volatile, uncertain and
complex world”
-IBM Study, face-to-face conversations with more than 1,500 CEO’s worldwide.
CEO: New normal

10. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Re-Invent Customer Relationships:
+ Adopt new channels to engage & stay connected with
customers.
+ Draw more insight from data…make customer intimacy
priority #1
Solution
CEO
“CEOs believe #1 goal is to
get closer to customer”
-IBM Study, face-to-face conversations with more than 1,500 CEO’s worldwide.

11. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Deliver Value to Empower Customers
+ Digital revolution- forever changed
balance of power between individual &
institution
Foster Lasting Connections
+ Cultivate meaningful relationships…
throughout life cycle
Capture Value, Measure Results
+ Justify financial results
Solution
CMO

12. Simplify please…
Why Data?
Why now?

13. Because…
Customers
have control &
fundamentals
have
changed…
Barriers to
entry are
minimal,
competition
can enter and
win quickly…
Customer
Relationships
become our
largest asset
Data is
introduction,
enabler & insight
As Content Marketers…
Job to create useful content that builds relationship
Ultimately, measured to business outcomes

14. Win with
Data

15. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Programs &
Content that
efficiently and
effectively
generate leads/
conversions that
turn into sales…
Majority of
marketers do not
know which
programs &
content produce
leads/conversions
that turn into
sales.
The Primary
Marketing Challenge
yet

16. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Customer
Journey
Validated Score
Attribute
Personalize
Close the Loop
Close the
Loop
Attribute
Success
Drive
Business
Performance
More
Effective
Sales
Strategy Starts
Data Framework

17. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Map
Company Buying Journey (useful content)
+
+
Data

18. 18
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
SEO
Digital Marketing Activities
Align Customer Buying Journey
EXPLORE EVALUATE PURCHASE EXPERIENCECBJ
CUSTOMER
CONTENT
CONNECT
+
Video
Infographic
Blog/Text
CFO
VPM
Nurture to sale
Influence new
Key Decision Makers
CIO
Social
Marketing
Automation
Video
Infographic
Webinar
Blog/Text
VPM
DMM
Marketing
Automation
1-1 Engagement &
Nurturing
Align TL to
Differentiation
Remarketing
CRO
Amplify Customer WOM
Blog/Text
DMM
VPM
Social Proof Persuasion
Sharing
Marketing
Automation
Social
VideoVideo
Infographic
Webinar
Blog/Text
DMM
Thought Leadership (TL)
Builds Trust
SEO
PPC
Paid Social
Content
Marketing
Display
Precision Advertising-
Create Demand
Create USEFUL CONTENT to solve customers specific needs
Understand the needs of your CUSTOMERS throughout the CBJ
SEO
PPC
Display
CONNECT your customers with that content

19. “Great marketers focus on people… their
needs, behaviors, intentions, wants… Avoiding
the shiny temptations of marketing solely to
things – like devices, channels, technologies.
Never been more critical… Staying focused on
the people and motivations…marketers can
catch an incredible wave of opportunity.”

20. Close the Loop
Step 1

21. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Awareness
Engagement
Conversion
SALE
Awareness:
PPC , SEO, Display, Social, Email…
Usage Engagement: Bounce,
Page Views, Visits, Frequency
Content Engagement:
Newsletters, Blogs, Videos,
Webcasts, product pages
Conversion:
Request a quote, contact, dealer locator,
initiated lead, completed lead, registration,
#800
Measured in isolation:
- Single Channel to Lead : CPL
- Silo Engagement: Avg page views
Common
Approach to Measurement

22. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
“Visitorize”
w/ Connected Common Key
Web
Analy+cs
+
Marke+ng
Automa+on
+
CRM

23. 23
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Across Channels, Campaigns & all Content
Connected Data
Web
Analy+cs
Business
Systems
Channel
Data
Customer
Intelligence
+ Customer Insights drive Business Performance:
+ Connect + collect data at the individual level, unearth customer insights
+ Performance attribution: channels, content, distributor, offer, etc… to a sale.
+ Cut what’s not working, reinvest in what is- improve ROI.
+ Grow scale, efficiency and effectiveness

24. 24
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Greater Business Outcomes @ Scale
Data = Customer Intelligence
Personalize: > Engagement & Conversions
+ Website, Landing Pages, email, SMS
+ CMS & Marketing Automation
CMS
Self Learning Algorithm
+ > Sales,> Data…
+ > Outcomes w/Scale
+ Customer Intelligence (DB)
+ Connect + Collect individual data
+ Connected Marketing Systems
Sales Insights & Incentives
+ Focus: “Likely to Buy”
+ Alerts: Sales Prioritization
Effective Advertising: > Marketing ROI
+ Cut = not producing sales
+ Reinvest in = sales

25. 25
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
FROM:
+ Targeted Impressions: ~9M
+ CTR 1%–2.5%
+ CPC: Avg $1.20
+ Qualified Visitors: 100ks
+ Lead Conversion: Avg ~7%
+ Cost Per Lead: $20 CPL
Digital & Business Key Metrics
Example
A mature digital presence with Closed Loop Insights…
To:
+ Lead to Qualified Lead: 10%
+ Lead to Sale: ~4%
+ Cost Per Sale: $600/p
+ AOV: $25,000
+ Sales: $20M on $1M Cost
+ Marketing ROI: 2,000+%
What content produced Sales?

26. “…companies are seeing an average
15-18% Lift in Revenue…
As result of implementing
closed-loop & Optimizing”
- Tina Moffett, Attribution Analysts Forrester Research

27. Attribute Success
Step 2

28. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Type
Approach
Single Touch
Assigns 100%
credit to the last
or first exposure
ü First/Last Touch
100%
Rules-Based
Assigns credit to each
interaction based on
specific business rules
ü Even Weights
ü Custom Weights
ü Time Decay
ü Positioned Based
Display
E-­‐Mail Search
33%
33%
33%
Statistically Driven
Assigns credit to each
interaction based on a
data driven model
ü Regression Model
ü Probabilistic Model
ü “Validated
Engagement Factors”
Display
E-­‐Mail Search
27%
49%
24%
Basic
Advanced
Primary
Attribution Model Types

29. Validated Engagement Factors
(Statistically modeled)

30. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
VEF
“Historical review of past behavior…
to improve future outcomes”
Validated Engagement Factor
10
-­‐
100’s
Successful
Outcomes
Validated
Engagement
Model
x
=
+
Data
Collected
&
Connected

31. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Five Steps
Validated Engagement Factors
3. Aggregate past (50+) clients- create statistically
significant = validated
Path to Success2. Determine path to success: what did
prospects do before they became clients?
1. Close the Loop: Data house in order: web
activity + marketing automation + CRM (sale)
in Data Warehouse
Closed Loop
Skip?

32. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
4. Normalize Connected Data:
+ Time: Analyze engagement activity over time (12mos)
+ Normalize: Create a Normalized engagement score across all
customers = 100 (mean)
+ Analyze for Statistically Relevant Insights: Lead engagement
scores > 100 Score =
+ “demonstrating higher likelihood to buy”
5. Turn Insights into Business Opportunities
+ Content personalization
+ Remarket
+ Click to chat
+ Sales alerts/out reach
Validated Engagement Factors
Five Steps (Cont) Skip?

33. Company Attribution

34. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
+ Typically measured @ individual level
-YET-
+ KNOW B2B has multiple influencers in buying journey
+ For Every known lead, we can have 10+ unknown visitors
+ Measure, analyze and optimize opportunities at the
company level
Company Attribution
Skip?

35. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
7 vs. 173 =
+24x More successful
Example
Individual vs. Company
Skip?

36. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
0
200
400
600
800
1000
1200
1400
1600
1800
Month
1 Mo.
2 Mo.
3 Mo.
4 Mo.
5 Mo.
6
Analysts
Marketing
IT
Team
C-­‐Level
Engagement
Score
Most of these stakeholders were anonymous
B2B Sales Funnel
Stakeholders in Buying Process
Skip?

37. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
General experience Personal experience Convert Increase sales
SALE
+ Someone in your role
+ In your industry
+ At this stage of buying journey
+ Looking for to solve this specific problem
+ Has found this piece of information valuable
+ All based on past success events
Personalize to role/need
Amazon for B2B/ B2C High Consideration
Skip?

38. Drive Business Performance
Step 3

39. 39
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
FROM:
+ Targeted Impressions: ~9M
+ CTR 1%–2.5%
+ CPC: Avg $1.20
+ Qualified Visitors: 100ks
+ Lead Conversion: Avg ~7%
+ Cost Per Lead: $20 CPL
Digital & Business Key Metrics
Example
A mature digital presence with Closed Loop Insights…
To:
+ Lead to Qualified Lead: 10%
+ Lead to Sale: ~4%
+ Cost Per Sale: $600/p
+ AOV: $25,000
+ Sales: $20M on $1M Cost
+ Marketing ROI: 2,000+%

40. ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Effectiveness
Sales
+ Give sales the right
information to close
more business in less
time
+ Sales alerts
+ Predict who will buy
in the future
+ validated
engagement
scoring +
Establishes predictable, efficient sales path that takes less time
SALE
////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////

41. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Future…
Predictive Modeling

43. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Thank You
Data Education
+ Data Maturity Model
+ White Paper: Closed Loop Marketing Attribution
+ Webinar: Close the Sales & Marketing Loop
@tkahlow
@BOLOptimized
thad.kahlow@businessol.com

44. @BOLoptimized

45. Our Formula
User Centered & Data Driven

46. 46
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Framework
Strategic
Model
Financial
Success
Closed
Loop
Data
Solu+on
Company
Buying
Journey
Strategy
&
Plan
Digital
Marke+ng
Execu+on
&
Op+miza+on

47. 47
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Improved Business Performance
Model Financial Success
+ < $7,000 Cost/ SAL
+ >51 SAL/Mo
+ $7M Enterprise Sales/Mo
+ Prove and Improve ROI

48. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Customer
Journey
Validated Score
Attribute
Customize
Close the Loop
Close the
Loop
Attribute
Success
Drive
Business
Performance
Greater
Sales
Data Solution
Framework

49. /////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Map & Plan
Company Buying Journey
+
+
Data

50. ////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
50
Digital Marketing Campaigns & Activities
Align

51. 51
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Improved Business Performance
Model Financial Success (Example)
+ Cost per SAL < $7K
+ 12 Closed Won (AOV $650k)
+ Sale = $90M/yr, Costs = $12M/yr

52. Closed Loop Data Solution
Pillar #2

53. 53
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
We Extract Insights from Data
Data Solution
+ We identify insights from multiple data
sources to clearly communicate
performance at the channel, campaign,
and content level
+ We let your team focus on business
decisions instead of wading through
low-level marketing analytics data
+ Focus on customer activities that sell
and clearly demonstrate the impact of
marketing to the bottom line

54. 54
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Deep Customer Insights
Connected Data
Web
Analy+cs
Business
Systems
Channel
Data
Customer
Intelligence
+ Customer Insights drive Business Performance:
+ Connect + collect data at the individual level, unearth customer insights
+ Performance attribution: channels, content, distributor, offer, etc… to a sale.
+ Cut what’s not working, reinvest in what is- improve ROI.
+ Grow scale, efficiency and effectiveness

55. 55
/////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////////
Greater Business Outcomes @ Scale
Validated Engagement Factors
Effective Advertising: > Marketing ROI
+ Cut = not producing sales
+ Reinvest in = sales
Personalize: > Engagement & Conversions
+ Website, Landing Pages, email, SMS
+ CMS & Marketing Automation
CMS
Self Learning Algorithm
+ > Sales,> Data…
+ > Outcomes w/Scale
+ Customer Intelligence (DB)
+ Connect + Collect individual data
+ Connected Marketing Systems
Sales Insights & Incentives
+ Focus: “Likely to Buy”
+ Alerts: Sales Prioritization