1. Driving Customer Obsessed Agenda:
How to Make Your Customers Successful and Grow Revenue
Anastasia Pavlova
Sr. Director of Marketing,
Marketo
@digijinni
3. Driving Customer Obsessed
Agenda:
• How to Make Your Customers Successful and Grow Revenue
Acquiring a customer costs
5-10 times more than
retaining one1
A 5% increase in retention
yields profit increases of
25-95%2
1. eMarketer,
2. Bain and Company
5X-10X
25%-95%
4. STRATEGY: Design a winning customer DG strategy
PROGRAMS: Execute programs at scale
MEASUREMENT: Measure marketing impact
ALIGNMENT: Focus teams on the same goals
Agenda
Let’s make sure you’re in the right place
The topic of this presentation is …
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My name is Anastasia Pavlova, Sr. Director of Marketing at Marketo
I run Demand Gen teams that focus on the entire customer lifecycle from acquisition to retention and cross-sell
How many of you focus on Adoption, Retention or cross-sell programs?
Great, to you’re in the right place, so let’s dive in
In the new engagement economy, where everything and everyone is connected, marketers must focus on the entire customer lifecycle … from acquisition to adoption, cross-sell and advocacy
And if they don’t … they leave money on the table…
But many companies still focus primarily on acquisition
According to eMarketer, acquiring a customer costs 5-10 times more than retaining one
Based on data from Bain & Company, a 5% increase in retention yields between 25% - 95% increase in profits
The first step is to map customer journeys.
Document your customer journeys today, including all touchpoints
Recognize that depending on the size of the company, maturity, size of the team and budget and whether they are a first time buyer or switching from a competitive solution, their journey may be different.
Ask these questions:
How long does each stage take? (not always linear)
Who’s involved (both on the customer and your company’s’ sides
How do you accelerate customers from each stage to the next
What services and support are needed at each stage? What content is needed?
How do you measure success at each stage?
How do you do that? Typically you assemble a cross-functional task force and a project lead and you conduct both internal and customer interviews to gather this information, conduct online surveys and then assemble and analyze the data.
Onboarding: successful transition, matching expectations between what was promised to customer during the initial sale to the reality post-sale onboarding and enablement.
We’ve made org. changes at Marketo in that the same GM & head of Sales for the business oversees the entire customer lifecycle – from the initial sale through Growth stage; the new biz sales people work in collaboration with CSM to make sure customers have a good experience
KPIs: cust. Sat,
Adoption goals: drive up usage, platform adoption, grow customer maturity (both business and marketing maturity)KPIs here:
Growth: Optimizing experience, driving maturity and enabling growth through cross-sellOur goals are tied to cross-sell revenue, pipeline and opportunities
Advocacy: grow the influence of our advocates; special programs/rewards for the Champions and advocates – you should be familiar with Purple Select and our Revvy Award programs
I will focus in more detail on Adoption and Growth stages throughout the presentation
One of the key aspects of driving adoption for our platform is to determine a current level of customer’s Marketing Maturity and their desired future state so that we can match our programs to their specific needs.
Often this assessment takes place during the initial selling cycle, but it’s also important to conduct regular assessments during each stages on the customer lifecycle.
So, we ask customers to complete a Marketing Maturity assessment – this is a survey that we conduct online or live
Sample questions include topics such as ….
And we ask them to rank the importance of these and whether they practice any of them and how often.
Now for your business, the categories of questions will be different but the principles are the same
All this data from Maturity assessment is populated into a map like this, personalized for each account.
CSMs together with Services conduct Gap Analysis on a number of different dimensions:
Strategic value assessment (recognizing inefficiencies in current state, building momentum internally, measuring campaigns or revenue)
Marketing competency: moving from point in time single channel campaigns to lifelong relationships built across multiple channels)
Organizational / Business competency (short-terms v. multi-year goals, cross-functional or multiple BU/ global alignment, predictive insights)
From this gap analysis, a roadmap to desired future state can be developed with content delivery ranging from automated campaigns to high-touch personalized services by internal consultants or partners
We make sure that this data is available to CSM, Sales and Marketing and can be acted on.
Next step, is to identify your ideal customer profile based on certain criteria (ARR, size of the company, how long they’ve been a customer, strategic considerations (brand), product fit, where they are in mktg. maturity, industry, territory, etc.
You can use your team’s internal knowledge and first hand data to define the ICPs or
engage a partner specializing in predictive modeling; keep in mind that different models apply do different stages, so you may have different models built for adoption, retention v. growth or advocacy
Next step, is to create account tiers;
Here’s a sample matrix that you could repurpose
You will be looking across a number of dimensions, including revenue, retention rate, adoption score (which is fueled by product usage), maturity level
Your goal is to prioritize the different tiers and align your internal resources and incentives
Going a level deeper, you need to look at individual accounts, ID what products are owned and where the white space is
Then, you’ll need to group accounts with similar characteristics, essentially creating account segments for adoption nurture and cross-sell/upsell
So based on this map, you know that Accounts A&B own products 2&3 and therefore you should be nurturing them on how to successfully use those products; whereas accounts B&C own products 1 and 5 and you’d be nurturing them on how to use those.
For Account C, you can market products 2,3,4 as cross-sell / upsell
use segmentations in Marketo to group accounts and contacts on those accounts with similar characteristics for your campaigns
Where do you get this data? In you CRM system, and because it syncs with Marketo, you can create these marketable segments in your engagement platform and market to either leads or contacts on the account (if you have lead management solution) or to groups of accounts (if you have marketo ABM )
At the individual account contact level, here’s a Sales view in CRM (SFDC); check boxes represent product ownership
ok, now let’s switch to something more fun …
create buyer personas for each product;
these may be similar to your prospect personas (which is a good starting point),
but there may be some differences.
For example, a user of Marketo’s advanced analytics product may have very different needs from a user of web personalization. And the needs of a user are different from those of an executive who is making purchase decisions.
their needs will also evolve as they go through each of the journey stages – from onboarding to adoption and growth
Content is the fuel for your marketing programs
Determine content needs for each persona and stage of the customer journey; content can take different forms – ebooks, training videos, cheat sheets, etc. Determine the best formats and delivery methods.
For example, executive’s needs will be very different from users’; and as we mentioned earlier, the needs at each stage are very different
For example, at the onboarding stage, we want to welcome customers to our product, introduce them to key CS team members and provide them with a road map to success
During the adoption stage, the exes. will need to develop strategy and know about how to leverage your product to drive business results; what’s important for execs is how to derive value from your product, how to justify the investment by showing impact on revenue and the bottom line;a user needs to learn how to use the product and its most important features to deliver the results (and revenue is what matters at the end of the day)
And once they master the basics, then you can start introducing other products for x-sell
Marketing can’t do it alone
It requires an integrated, cross-functional approach across services, EDU, Support, Customer Success, Community and Partner programs
Marketing is well positioned to be a steward of customer experience and lead other teams in delivering the best possible personalized and authentic experience for customers across multiple channels
Let’s look at some program examples and how we leverage Marketo to execute Adoption and retention programs at scale
Think multi-channel
CHANNEL-BASED SILOS ARE NOT EFFECTIVE IN AN AGE WHERE CUSTOMERS EASILY FLOW ACROSS CHANNELS
With Marketo, you can listen to customers and track their engagement across channels and respond accordinly
Customer nurture is the process of building personalized relationships with customers
Let’s look at how we approach customer nurture from adoption and growth standpoint
Segmentation is an important consideration
For adoption/retention you segment your customers by
prioritizing account tiers based on maturity level
Based on products they purchased
Based on product usage or adoption score
Where do you get this information?
We use Gainsight, CSM platform that measures specific feature usage in our platform;
This data is available in SFCD via integration and is also available to us in Marketo to trigger campaings
We also developed an adoption score for each critical feature and an overall adoption score for each account or group of accounts; I won’t go into too much details here, but if you have questions, we can talk afterwards
You also want to segment by role – executive v. user as these audiences have very different needs
For growth/cross-sell nurture
You segment or identify audiences that haven’t purchased your cross-sell products
You also track product interest based on engagement with your product related content and programs
Here’s an example of how we create a story arc for adoption nurture and what topics we communicate on a weekly basis
It’s a lot of work and it’s important to make sure that your story makes sense for the audience
Do you have the assets / content to use as a CTA?
Let me give you an example
Roadmap to success
Onboarding Requirements and Recommendations
Drive Results Down the Funnel
3. Top-of-Funnel ,(MOFU) (BOFU) Activities
Reporting: Measure and
Prove ROI
Resources for Marketing Success
Benchmark report (how you compare to other marketo customers):
-Marketing Organization & Technology
Usage & Effectiveness
Multi-Channel
Lifecycle Marketing Section 5:
Metrics & ROI Section
Opportunities
One of the challenges for someone adopting marketo is
We recently tested a Topic of Interest stream as part of a multi channel nurture test.
Anyone who had previously downloaded a social asset fell into this stream
They were sent 5 emails with different social assets and were served the same assets on Facebook and Twitter while the emails were being served
We created custom audiences in Facebook and Twitter to then serve ads to these audiences in addition to Emails.
The CTRs on this TOI stream was 20% higher than the CTRs of most of the other nurture streams and the CTRs on social was 30-35% higher than other campaigns.
2 main approached - Program Based and Email Based Nurture
End goals will dictate which approach is best for your company
Program based allows more customizations
Email Based allows easy of reporting
In this example, we’re using our own web personalization product to drive web conversions; on the left hand side you’re seeing our default web site messaging;
On the right-hand side, we’re personalizing the sub head with messaging targeting SMB companies
When we A/B tested these programs, results show 148% higher conversions with personalized experience
Don’t underestimate the power of partners – they can amplify your programs and bring a lot of value to your customers
Check out the expo hall where you can see exhibit booths with our partners
We work with services and technology partners on different types of programs
Here’re some examples of joint events and webinars that we ran
Co-marketing with partners – in this example on the
Live Demo webinars are awesome for driving cross-sell pipeline
They are product specific as you can see and are considered late stage programs
Results are pretty good as you can see for 2016
How often do you track these? Depends on your business
You also need to measure changes in key indicators and trends over time
Keep your audience in mind
Your CEO/CFO or VP of Sales doesn’t care about clicks and opens; they care about revenue, so the only way to have a credible conversation with C-level folks is to be able to measure your program spend all they way to revenue.
Always measure against your own historical performance, not “industry benchmarks”. What works for one company in the industry may not necessarily work for your company.
Your measurement timeline depends on your company’s buying cycle and it will also be different
Align teams and hand off process around the customer needs
From first customer acquisition to successful enablement, hand off to CAM
From marketing driving leads to SDRs to Sales and CAM
Who engages with a customer and when
Different when we talk about cross-sell and retention; different teams are involved
SDRs and AE follow-up on customer leads
What’s the role of SDRs and CAMs?
Regardless of who follows up on leads, Sales need a way of prioritizing the volume. At Marketo we use our MSI tool (you see a screen shot here) that plugs in directly into SFDC to help with prioritization.
This is what it looks like to the SDR or Sales rep inside CRM
Interesting moments show the lead’s activity, so they can have a more relevant conversation
This is how we help focus the sales rep on the hottest leads AND enable them to be more effective when they do connect with a prospect or customer
Content: it exists in many places and groups within your organization; make sure you know who’s develoing what, audit and consolidate, categorize it and make it available for internal teams and your customers
Data: without good data your marketing programs will misfire; I can do a whole session on data; invest in data quality, enrichment; work with vendors on optimizing data quality and building predictive models
Training: train frequently your internal sales and customer success teams – on products, selling methodologies, provide playbooks including scripts, messaging tools, email templates, etc.
Very excited about our acquisition of ToutApp – it will help us with enable sales,CSM and SDR teams
Conduct joint account planning and roadmap development for your key strategic customers
Align Marketing, SCM and sales teams on the same goals with specific incentives and comp. goals