How Digital Tactics Influence Purchase Decisions Augustine Fou

How Digital Tactics Influence
Purchase Decisions, By Industry
January 2015
Augustine Fou, PhD.
acfou @ mktsci .com
212. 203. 7239

Customer Journeys are Hard to
Measure and Act Upon

July 2015 / Page 2marketing.scienceconsulting group, inc.
Dr. Augustine Fou
‘Customer journey spaghetti’ is really hard to figure out
“Rather than guesstimating customers’ journeys, if we
systematically observe and address missing links, we help
more customers get to the purchase, more efficiently.”

But Missing Links™ Are
Observable and Addressable

Dr. Augustine Fou
A new way of thinking -- “missing links”
Missing links are the bits of info that users
need as they make their way through the
‘purchase journey.’
“If ANY link is missing or broken, the entire
chain is broken and the customer will not get
all the way to the purchase.”
-- Dr. Augustine Fou

Dr. Augustine Fou
Missing links are observable and addressable
What do they search for? What do they ask about?
“All the ‘big data’ is already there.... if only we’d use it.”
Google related search Amazon Q&A

Dr. Augustine Fou
There are missing links at every stage of the journey
awareness consideration choice purchase loyalty
digital camera
What’s in Amazon Top 10? Where’s the best price?
Any special deals? Do I show off?Epinions/User ReviewsFriend just bought one
motor oil What’s out there? Can I mix?
How/where to buy?
How do I show peers?
Which is best for me?I can choose an oil?
“As each missing link is completed, the user can move
to the next step and get closer to the purchase.”

Dr. Augustine Fou
Missing Links can also improve content
“storytelling” “answering missing links”
April 13, 2015 -- VIZIO, the #1 Smart TV company
in the U.S.1, announced today the rollout of its
second Ultra HD line-up, ... brand's leadership in
Ultra HD technology, ……. stunning picture
quality and access to several Ultra HD streaming
apps.
Last fall we disrupted the market with the VIZIO
50" P-Series Ultra HD Smart TV, now the #1
Selling UHD TV3, and this year, we're poised to
do it again with M-Series.
The VIZIO M-Series has been purposefully
crafted with an all-new design that distinguishes
it from the rest. Built using select materials, an
elegantly slim profile and ultra-thin bezel, the all-
new M-Series delivers an immersive, near
borderless entertainment experience …
What is LED backlighting?
Full-Array LED backlighting offers an even distribution of
light for superior uniformity as compared to Edge-Lit TVs,
ultra-high contrast, and deep black levels
Can I stream HD content directly?
[M-Series TVs are] equipped with ultra-fast 802.11ac dual-
band WiFi and VIZIO's V6 six-core processor. This translates
into a fast, easy-to-use experience for the consumer, with
access to Ultra HD content from Netflix, Amazon Instant
Video, etc.

Dr. Augustine Fou
Missing links can reveal ‘segments’ of customers
Where they are in the funnel/journey
Physician Nurse Patient
“orexin
receptor
agonist”
“dosage”
“sleep
drug”“how to
administer”
“lasik” “lasik recovery
time”
“lasik surgeon
10016”
Top of Funnel Consideration Ready to Act
Who they are

Dr. Augustine Fou
Missing links have a direct path to action
• Create content to address them
• Tailor content to segments
• Place content on-/off- domain
• Stimulate more action with ads
• Observe and optimize
• What are the missing links?
• What segments reveal themselves
• Where do they look for it?
• How do we get more action?
• Did it work for them?
What we can observe What we go do
“Based on what we observe, we can take specific actions
to address; that’s rational and straightforward ...”

The Right Mix for Where Your
Customers’ Missing Links Are

Dr. Augustine Fou
Left side “branding”; right side “performance”
awareness consideration choice purchase advocacy
branding performance
“Soup and Soda” “Cars and Computers”
TV DigitalPrint Radio
Out-of-Home
OtherDisplay Search
Video
Mobile
display search
Other
Lead Gen
• classifieds
• sponsorship
• rich media
broadcast cable

Dr. Augustine Fou
If it is a brand new product …
... you primarily need awareness

Dr. Augustine Fou
If it is a mature product …
... you need to support consideration/choice

Dr. Augustine Fou
If it is a simple versus a complex product …
branding performance
“Soup and Soda” (simple) “Cars and Computers” (complex)

Dr. Augustine Fou
Types of Measurements
(CPV) / (CPM)
(per thousand impressions)
(CPC)
(cost per click)
(CPL)
(cost per lead)
(CPA)
(cost per acquisition)
Viewership
(Nielsen)
Circulation
(Audit Bureau of Circ.)
Listenership
(Arbitron)
As far to the right as possible is best – i.e. measuring actions that users take is always
better than measuring the size of the audience to whom you showed your ad;
measuring leads or sales is always better than the number of impressions served.

January 2015 / Page 17marketing.scienceconsulting group, inc.
Dr. Augustine Fou
Arts & Entertainment
large
medium
small
Commentary
Large and medium
businesses use paid
display early in the
purchase journey,
followed by social.
Email appears to be
further down the
funnel for
reinforcement.
It is somewhat
surprising that
“direct” is the “last
interaction” for all
sizes of business.
Source: https://www.thinkwithgoogle.com/tools/customer-journey-to-online-purchase.html Jan 2015

Dr. Augustine Fou
Autos & Vehicles
large
medium
small
Commentary
For autos, medium
and small businesses
have already focused
on organic search.
Large businesses use
social and paid
display to generate
more awareness.
It appears that social
is useful to large
businesses to help
differentiate an
otherwise generic
message in TV ads.

Dr. Augustine Fou
Beauty & Fitness
large
medium
small
Commentary
It appears that for
large and medium
businesses,
customers discover
products via social,
and also organic
search.
Paid display is earlier
for large businesses
while it is near the
end of the purchase
journey for small
businesses.

Dr. Augustine Fou
Books & Literature
large
medium
small
Commentary
paid display; medium
businesses use
generic paid search,
and small businesses
use organic search.
Small businesses
seem to hardly use
any paid digital
tactics.

Dr. Augustine Fou
Business & Industrial
large
medium
small
Commentary
Businesses of all sizes
appear to use paid
display ads.
It appears that for
large and medium
businesses, many of
the tactics are earlier
in the purchase
journey; this might
reflect the long lead
times for the
purchases.Source: https://www.thinkwithgoogle.com/tools/customer-journey-to-online-purchase.html Jan 2015

Dr. Augustine Fou
Computers & Electronics
large
medium
small
Commentary
In this category, most
consumers are online
researching, so
businesses have
already followed by
focusing on organic
search and social.
Some paid display is
used and some paid
search as well.
This category
appears similarly
mature in digital as
travel.

Dr. Augustine Fou
Finance
large
medium
small
Commentary
Large and medium
businesses use a lot
of paid display, while
small businesses use
organic.
Display clicks as
nearly “last
interaction” may
imply it is of the
retargeting kind.
Organic and paid
search also figure
prominently for
finance as users do
more research
online.

Dr. Augustine Fou
Food & Drink
large
medium
small
Commentary
For the food
category, social and
search are most
important in the
early stages of the
purchase journey –
likely due to the
“discovery” aspect.
For small businesses
brand paid search is
near the purchase
because users may
be searching for
specific brands right
before purchase.

Dr. Augustine Fou
Games
large
medium
small
Commentary
Large businesses still
need paid display
and social – probably
around launching of
new titles.
Medium and small
businesses rely on
some paid search,
but also benefit from
referrals and organic
search.

Dr. Augustine Fou
Hobbies & Leisure
large
medium
small
Commentary
In this category it
appears that the
purchase journeys go
through very
different paths,
depending on the
size of the business.
Notice that display
clicks for small
businesses are very
close to the
purchase; this may
imply an aspect of
impulse.

Dr. Augustine Fou
Home & Garden
large
medium
small
Commentary
Large businesses
start with social and
supplement with
display.
Medium and small
businesses rely on
organic and paid
search.
For small businesses,
display clicks appear
right before the
purchase, again
implying possible
impulse purchases.

Dr. Augustine Fou
Internet & Telecom
large
medium
small
Commentary
This category seems
to be a mature digital
category. Tactics
appear to be more
evenly spread across
the purchase
journey.
Social and organic
search appear early
in the journey
implying users
actively look for
things they need
(rather than discover
it via ads).

Dr. Augustine Fou
Jobs & Education
large
medium
small
Commentary
Search of all types
figure prominently
near the front of the
journeys, again
implying that users
initiate.
Social and paid
display aid in
discovery for large
businesses.
Brand paid search
works well for small
businesses right
before the purchase.

Dr. Augustine Fou
Law & Government
large
medium
small
Commentary
For this category, it
appears that users
initiate the search so
organic and paid
search feature more
prominently than
paid tactics like
display.
Referrals also play a
role (e.g. sites linking
in to specific things
users need).Source: https://www.thinkwithgoogle.com/tools/customer-journey-to-online-purchase.html Jan 2015

Dr. Augustine Fou
People & Society
large
medium
small
Commentary
It appears that
different tactics work
for each of the sizes
of businesses.
Many digital tactics
are arrayed in the
middle of the
journey.
“Direct” is the last
interaction across
the board.Source: https://www.thinkwithgoogle.com/tools/customer-journey-to-online-purchase.html Jan 2015

Dr. Augustine Fou
Pets & Animals
large
medium
small
Commentary
This appears to be a
mature digital
category where
social and organic
search dominate
early in the purchase
journey.
Other tactics are
sprinkled throughout
the middle part of
the journey.

Dr. Augustine Fou
Shopping
large
medium
small
Commentary
social and paid
media like display
ads to generate
awareness.
Other digital tactics
assist further down
the funnel.
“Direct” is usually
the last step across
all sized businesses.
Small and medium
businesses focus on
organic search near
top of funnel.

Dr. Augustine Fou
Sports
large
medium
small
Commentary
For large businesses
it seems social
discovery plays a key
role early in the
purchase funnel.
Large and medium
businesses
supplement this with
display ads and other
paid digital tactics.
Small businesses still
focus on organic
search and content
due to limited
budgets.

Dr. Augustine Fou
Travel
large
medium
small
Commentary
Large businesses still
use paid media like
display ads.
Medium and small
businesses have
already focused on
content and organic
search.
For medium
businesses social
discovery and paid
search is also used.
For all three types of
businesses,
customers go
“direct” just before
the purchase.

Dr. Augustine Fou
Dr. Augustine Fou – Digital Consigliere
“I advise clients on improving their
digital strategy and marketing by
leveraging two frameworks I developed
– Missing Link Marketing and Unified
Marketing.”
FORMER CHIEF DIGITAL OFFICER, HCG (OMNICOM)
MCKINSEY CONSULTANT
CLIENT SIDE / AGENCY SIDE EXPERIENCE
PROFESSOR AND COLUMNIST
ENTREPRENEUR / SMALL BUSINESS OWNER
PHD MATERIALS SCIENCE (MIT '95) AT AGE 23
ClickZ Articles: http://bit.ly/augustine-fou-clickz
Slideshares: http://bit.ly/augustine-fou-slideshares
LinkedIn: https://www.linkedin.com/today/author/84444-augustinefou
212. 203. 7239 | acfou @ mktsci. com

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