Andrew Double of Quantcast Australia, a sponsor company at the marcus evans CMO Summit 2017, discusses how CMOs can get a better understanding of digital media and why that is crucial for success.
Interview with: Andrew Double, Managing Director ANZ, Quantcast Australia
QUEENSLAND, Australia, Aug. 15, 2017 /PRNewswire/ -- "Chief Marketing Officers (CMOs) must re-evaluate digital media," advises Andrew Double, Managing Director ANZ, Quantcast Australia. "They need to understand how digital media contribute to total sales and not be absorbed by cost per acquisition, as that is not a true reflection of sales. It is about attribution and vendor assessment. There has not been enough testing of data, their validity and the technology. CMOs need to understand the incrementality of the vendors they work with, what causes they provide rather than correlation," he adds.
Quantcast Australia is a sponsor company at the marcus evans CMO Summit 2017, in the Gold Coast, Australia, 14 - 16 August.
Why must CMOs re-evaluate digital media?
The metrics set up for digital display right now are not aligned with marketing objectives. Vendors judge the role digital plays by looking at last ad last click. If you consider how digital started, that made sense. You would go to a search engine, type what you are interested in and click one of the ads at the top. Click as a proxy for search made absolute sense, but it does not make sense for digital. Most users do not actually click on ads. They will see the ad, ad recall and brand awareness will increase, but they will visit the website another day perhaps from another medium.
Marketers want to influence and get in front of the right customers at the right time. It should be irrelevant whether they click on an ad or just view it, but because of the metrics and rules applied to digital campaigns, everyone is not acting in the best interest of the client or trying to find new prospects.
Companies do not evaluate the role of digital as much as they should. How people search is very different from the way they navigate displays. Search is a very transactional part of the plan, whereas digital display is higher up in the funnel towards consideration. They are still through to purchase, but most of the credit goes to last ad last click, which is typically retargeting. That correlates but does not necessarily cause someone to go out and buy a product. Last ad last click is important, but we have to start looking at other proxies as well.
What does this mean for CMOs in terms of lost opportunities?
Viewability should be combined with attribution, not done in isolation. We have approached this by creating a split-funnel attribution platform, creating two proxies rather than just one. As long as the full tagging infrastructure is in place, when we run a campaign we can identify new users who have not visited the client's site in the last 30 days, the number of new potential customers we reached, how many of those visited the website and the propensity of those users to convert compared to the organic average. By split funnel we mean that we look at the last ads before site visits as another proxy and a way of balancing marketing dollars. Last ad last click is important, but CMOs have to start looking at other proxies as well.
What demographic and lifestyle insights do CMOs need into their audience?
They must go one step further and understand behaviours. What is different between one 25 year old male and another? The home page audience is different from the converting audience. Individuals 20 years outside the demographics of a luxury car manufacturer may be browsing the website. The aspiration audience is important, but if the goal is to shift more cars today, you will not be able to do that if you are driving the wrong people to the home page.
What value is hidden in data that CMOs have access to? How can they monetise on it?
The data is all within their walls. They might understand their audience really well, but not once they leave their website. Perhaps they had a bad experience. There is a massive potential for them if they look at the entire customer journey. By creating a better customer experience, they can retain and upsell to existing customers.
Author: Sarin Kouyoumdjian-Gurunlian, Press Manager, marcus evans, Summits Division
About the CMO Summit 2017
The eighth annual CMO Summit is the premium forum bringing elite buyers and sellers together. The Summit offers chief marketing executives and agencies and consultants an intimate environment for a focused discussion of the key new drivers shaping the marketing agenda. Taking place at the RACV Royal Pines Resort, Gold Coast, Queensland, Australia, 14 - 16 August 2017, the Summit includes presentations on capturing actionable insights from data analytics to create opportunities for personalisation and customer retention, resolving skills gaps, enhancing the customer journey, and combining traditional and digital platforms to heighten the customer experience and generate higher ROI.
For more information please send an email to SitiK@marcusevanskl.com or visit the event website at http://events.marcusevans-events.com/cmoanzsummit17/
