Do More with Less: Navigating Customer Acquisition Challenges for Today's Enterprises
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The document details the expertise of Tim Murphy and Susovan Ray in digital marketing, highlighting the strategic impact of their work at iquanti, a company known for its data-driven marketing solutions. It discusses the evolving digital landscape, consumer behavior trends, and the increasing challenges in acquiring high-value customers amidst strict privacy regulations. The document emphasizes the need for efficient acquisition strategies, innovative landing page experiences, and long-term measurement solutions to improve marketing effectiveness and ROI.
Do More with Less: Navigating Customer Acquisition Challenges for Today's Enterprises
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- 2. 2 TIM MURPHY • 16+ years of leadership experience in digital marketing with B2B and B2C enterprises. • Currently a Freelance Marketing Strategist & Consultant with Crum & Forster • Led marketing strategy, activation and measurement for Chubb’s B2B businesses • Led digital & media strategy, planning and activation for Pernod Ricard USA
- 3. 3 SUSOVAN RAY • 10+ years of growth and cross-channel marketing experience across industries in North America and APAC • Currently Director - Digital Solutions at iQuanti • Builds cross channel strategy & solutions for clients across industries • Key member of the Customer acquisition Consulting team for major clients
- 4. 4 About iQuanti iQuanti ignites powerful and predictable digital marketing performance for global brands with an approach rooted in data science and deep vertical knowledge. • iQuanti offers a unique blend of channel management services, strategic consulting expertise, and proprietary product offerings to empower brands to exceed their customer acquisition, engagement, and conversion goals. • Founded in 2008, iQuanti now has 600+ employees across New York, Chicago, Dallas, and San Francisco, as well as Bangalore, London, Singapore, Mexico City and Toronto. In 2022, iQuanti’s top performance marketing results were recognized on multiple global platforms including the Global Agency Awards, UK Search Awards, and International Performance Marketing Awards. iQuanti was named to the Inc.5000 list of fastest-growing private companies in the U.S. for the ninth time in 2023.
- 5. 5 We drive strong ROI across the spectrum of digital marketing solutions Digital Consulting Demand Generation Experience Optimization Data Science & Analytics Services Strategic roadmaps, benchmarking, targeting and cross-channel strategy to drive rapid revenue growth. Driving qualified traffic through the effective use of digital marketing channels and campaign optimization. Engaging visitors and converting them through website personalization and optimization, and mobile optimization. Providing a complete view into your marketing effectiveness through measurement solutions, and actionable audience insights. Proprietary Products & Solutions Digital Marketing Assessment & Benchmarking Data-driven performance and impact assessments for digital media investments SEO driven by Predictive Analytics Holistic Search Optimization Solutions Precision Targeting Solutions User Journey Analysis & Personalization CRO/Testing Design & Development Foundational Analytics and Measurement Advanced Analytics and Measurement Staff augmentation for banks
- 6. 6 What are we covering today? 1 Fast Evolving Digital Landscape & Consumer Behavior 2 Driving efficiency in acquisition 3 Working towards long-term success 4 Summing up with a Prioritization framework
- 7. 7 Evolving Digital Landscape & User Behavior
- 8. 8 Most sectors to increase Digital ad spending, with Retail & CPG leading the spending. Search to Display spend mix to be steady @42% Spends for Search Strong ad spend growth expected in 2024 Digital ad spending likely to go up for most sectors (13.6% YoY growth estimated) buoyed by strong consumer sentiment & encouraging growth numbers (YoY GDP growth of 3.3% in Q4 2023). Additionally, some sectors like BFS are planning to get back to normal course of spending after a subdued last couple of years amidst the fear of recession. The Search to Display ad spending mix will hold steady with Search @~42% of spends. Retail’s domination of Media Retail & CPG would account for about 44.6% of the Total Digital ad spending in 2024 & 49.1% of Social Media ad spending. Retail’s impact on the sell side (RMN) is growing quicker than retail’s ad spending growth on buy side. Amazon expected to get ~70% of the RMN revenues in 2024.
- 9. 9 Digital landscape is rapidly evolving, from AI driving workstreams to SGE transforming SERPs, Privacy regulations hampering targeting capabilities across platforms AI being mainstream, has made its adoption a norm across workstreams • Market Research • Content & Ad Creation • Targeting • Placements • Bidding • Landing Pages • Customer Service Stringent Privacy regulations affecting Marketers’ targeting capabilities due to data gaps • Apple iOS17 update removes user specific parameters in URLs in mail, messages apps & Safari’s private browsing • Cookie deprecation from Google Chrome in 2024 LLMs & AI have made SERP lot more conversational, visual, cited & more human like. Inclusion of first-person perspectives from Social media, review style content on SERP will make SERP lot more inclusive, diverse and extensive.
- 10. 10 Consumers’ online behavior also keeps evolving in.. How they consume content? • Video formats for content consumption have exploded in the recent times • Short form videos found takers on social media; long form videos boomed on OTT • Consumers prefer raw & authentic content, leading to rising micro & nano- influencers with small & loyal following What they expect from brands? • Users prefer seamless digital experiences on websites/ apps • Eight in ten GenZers would switch banks for a better online and/or mobile experience, more than the number that said they would switch for lower fees. • They also prefer human touch at last mile of conversion for an additional decision validation • This is particularly evident in high involvement categories like investments into emerging areas like Cryptos, Fine arts etc. How has the GenZ evolved? • There were likely to be more adult Gen-Zs than adolescents for the 1st time in 2023 - about half of millennial population • 85% of Gen Z respondents stated that social media influences their purchasing choices, indicating a significant impact on buying behavior • Gen-Z is attracted to brands with ESG and/or DEI initiatives that enhance their social reputations
- 11. 11 Tough Macros have made acquiring high value customers tough & expensive. Deep knowledge of new age tactics, platform capabilities critical for success Consumers have been more mindful of their discretionary spends compared to non- discretionary items This leads to higher competition among multiple discretionary categories to win wallet share of the cautious consumers Additionally, limited avenues for driving true bottom funnel outcomes ups CACs Limited targeting capabilities with privacy regulations getting stringent over time, leaves Marketers with less options outside of leveraging AI/ML (across platforms) to reach the right audiences. Thorough understanding of the evolving AI/ML capabilities on platforms has become critical for performance marketing success Limited resources with challenger firms to cope with the rapidly changing landscape & following the best practices to make the most of the evolution
- 12. 12 Proactively seeking efficiency opportunities & sowing the seeds for long term success is necessary to stay ahead of the pack Building efficiency in driving acquisitions • Optimizing for Value • Making the most off Paid Search • Building Custom & High converting Landing Pages & overall experiences Laying the foundation for long term success • Cracking measurement • Building 10X content • Delivering personalized experiences
- 13. 13 Driving Efficiency in Acquisition
- 14. 14 1. Maximizing the potential of Paid Search
- 15. 15 Maximizing the Potential of Branded Paid Search Are the investments on Branded Paid Search justified? Or are we spending money to get conversions we would’ve got even otherwise? What is the true incrementality from Branded Search? Key Questions Marketers usually have with Branded Paid Search There are multiple factors impacting incrementality of Branded Paid Search. One of the keyways to gauge effectiveness of Branded Paid Search is through Incrementality testing. Not all searches come with the same intent Searchers have varied intents: Comparison intent, review intent and purchase intent Not all product themes have the same competition Certain themes like cash back or BT cards have much aggressive competition vs. others Not all geos have the same impact Geos where regional firms have local presence may have a stronger pull than others
- 16. 16 Branded Paid Search incrementality varies largely based on keyword themes: Case study Organic KWs able to capture major chunk of conversions, rendering poor Branded Search ads incrementality (<10%) Here’s where ads can be paused & budgets can be redeployed elsewhere Unlike the previous case, Paid Search ads get 30% Incremental conversions over Organic KWs, making it essential to run them. Continue running Branded Search ads here owing to high incremental value. Keep improving SEO & CRO to deliver efficiencies Incrementality Test Results Findings Action Before pause After pause SEM Approvals SEO Approvals True Incremental value of SEM ads High Intent KWs (like ‘apply’ themes) Feature Related KWs (like Brand + feature themes) +30% Before pause After pause True Incremental value of SEM ads <10%
- 17. 17 For certain highly competitive product themes (with heavy conquesting), deploying a Brand Protection campaign can be a highly effective strategy (repurpose savings from other themes) Illustrative Example You can push the competitors down from the top fold by having a high- visibility listing Up to Incremental CVR on Branded PS due to Brand Protection Halo Effect 20% Incremental Conversions from the joint bidding program PLUS 10% Based on testing across a few brands Results delivered from iQuanti’s Brand Protection program Sponsored www.capitalone.com/ Capital One Bank Account – Created for Small Business Right Partner. Right Time. Choose Capital One for Wherever Your Small Business Is Headed. We understand the unique challenges small businesses face, and that's why we offer tailored business banking solutions. Checking • Savings • Merchant Services • Lines of Credit Sponsored www.chase.com/ Chase Business Banking - Earn $300 - Open Online or In Branch Receive Same Day Deposits & Accept Payments From Your Phone with Built-in Card Acceptance. Offer for New Customers Only, with Qualifying Activities. Member FDIC. Compare Acct Features Side By Side. Find The Best Checking Acct For You. Remember to Redeem Your Business Checking Offer Before It Expires. Compare Checking Accounts • Earn $300 Sponsored www.bankofamerica.com/ Bank of America® Business - Small Business Banking Open A Business Checking Account To Get Access to Digital Tools, Secure Banking & More. Convenient Access to Your Small Business Checking Account w/ 24/7 Mobile Banking. Small Business Banking • Merchant Services • Business Checking Options • Set Up Banking capital one small business banking Brand Ad Competitor 1 Ad Competitor 2 Ad Brand KW Sponsored www. capitalone.com/ Capital One Bank Account – Created for Small Business Right Partner. Right Time. Choose Capital One for Wherever Your Small Business Is Headed. We understand the unique challenges small businesses face, and that's why we offer tailored business banking solutions. Checking • Merchant Services • Lines of Credit Sponsored www.credello.com/capitalone-businessbanking Capital One Bank Account - Boost Your Business Finances Streamline your finances with our easy-to-use digital tools. Manage accounts, pay bills, and focus on what you do best. Sponsored www. chase.com/ Chase Business Banking - Earn $300 - Open Online or In Branch Receive Same Day Deposits & Accept Payments From Your Phone with Built-in Card Acceptance. Offer for New Customers Only, with Qualifying Activities. Member FDIC. Compare Acct Features Side By Side. Find The Best Checking Acct For You. Remember to Redeem Your Business Checking Offer Before It Expires. Compare Checking Accounts • Earn $300 capital one small business banking Competitor 1 Ad Brand Ad Brand Partner Ad Brand KW
- 18. 18 Illustrative Case Study on Cross-Channel synergies: Dynamic spend allocation based on headroom & incremental dollar return Media Optimizer Model to enable agile media allocation by geos, channels & campaigns, by providing real-time action triggers & insights on campaign optimizations & bridge the gap to goal Actions • Increase or decrease budget signals which are specific to each market, channel and campaign to meet month end goals. • Actionable insights are based on channel and campaign specific variables to scale up and cost impact due to external factors. Month end projected actuals predicted based on performance pacing signals and CPC changes based on competitive activity Key signal to trigger spend allocation update among campaigns to minimize this gap by month end Deciding factor to allocate next media $ among different campaigns to minimize gap to goals Recommended action on daily campaign budget pacing to meet the goals City Channel Campaign Qualified Leads (Feb 2023) Actuals (Feb 1-20) Projected Actuals (By Feb 28) Projected Gap Spend Actuals CPA Actuals Recommended Actions on daily campaign budget Estimated Actuals (By Feb 28) New York Organic Search Organic Search 65 77 88 New York Paid Search Brand Campaign 52 62 3360 65 25% 91 New York Paid Search Competitor - BOA 39 46 5040 129 40% 78 New York Facebook Broad Campaign 39 46 7560 194 50% 75 New York Facebook Interest Campaign 33 39 5600 172 30% 59 Philadelphia Organic Search Organic Search 78 111 0 0 106 Philadelphia Paid Search Brand Campaign 52 73 3640 70 20% 62 Philadelphia Paid Search Competitor - BOA 49 69 5775 118 Pause 49 Philadelphia Facebook Broad Campaign 39 55 6930 178 Pause 39 Philadelphia Facebook Interest Campaign 39 55 7350 s Pause 39 294 71 390 -120 Media Optimizer Tool
- 19. 19 2. Transition from volume-based optimization to value-based optimization
- 20. The Challenge Unable to scale Non-brand Paid Search efficiently due to high cost of acquisition Unable to deliver business KPIs due lower quality of accounts The Solution Value Based Optimization in Paid Search helps drive better quality accounts, deliver on business KPIs, and scale campaigns
- 21. 21 Cost of acquisition of higher revenue accounts is same as cost of acquisition of lower revenue accounts *Note: Representative data Paid Search Campaign Performance for Credit Cards* Decile (Revenue) Avg. Revenue / Account Avg. CPA ROAS 1 $ 1,500 $ 350 4.86 2 $ 500 $ 320 1.56 3 $ 300 $ 310 0.97 4 $ 150 $ 380 0.38 5 $ 100 $ 330 0.30 6 $ 50 $ 340 0.15 7 $ 25 $ 330 0.08 8 $ 10 $ 310 0.03 9 $ 0 $ 320 0.00 10 ($ 200) $ 380 -0.52 TOTAL $ 254 $ 337 0.75
- 22. 22 By maximizing share of higher revenue accounts, we can drive scale in acquisition campaigns while delivering business KPIs Paid Search Campaign Performance for Credit Cards* Decile (Revenue) Avg. Revenue / Account Avg. CPA ROAS 1 $ 1,500 $ 350 4.86 2 $ 500 $ 320 1.56 3 $ 300 $ 310 0.97 4 $ 150 $ 380 0.38 5 $ 100 $ 330 0.30 6 $ 50 $ 340 0.15 7 $ 25 $ 330 0.08 8 $ 10 $ 310 0.03 9 $ 0 $ 320 0.00 10 ($ 200) $ 380 -0.52 TOTAL $ 254 $ 337 0.75 While moving towards high- revenue from low revenue accounts, we can deliver significant ROAS improvement & ability to scale cost effectively *Note: Representative data
- 23. 23 Conversion value-based bidding shows promising results when configured with correct signals for consumer banking products Up to 279% ROAS lift Observed for BFS accounts’ Non-Brand Search campaigns on tROAS vs. simultaneously running tCPA campaigns. Both were operating at similar CPA levels Loan amount, repayment & delinquency behavior for various segments
- 24. 24 3. Building custom and high-converting landing page experiences
- 25. 25 4 Organic & Direct Traffic Paid Media Website Application Landing Pages Landing pages are a key lever in optimizing digital experiences Optimizing media Optimizing experiences
- 26. 26 Typical challenges with Landing Pages iQuanti Relevance Score Decision Criteria Scannability / Readability Driving Action Technical Performance Accessibility iQuanti UX Score End-to-end experience is broken UX is not optimized to maximize conversions (leveraging site page) *Insights based on iQuanti’s AI-led Page Scoring model Brand 1 Brand 1 Brand 2 Brand 2
- 27. 27 Conduct Campaign / theme level analysis to understand & fix gaps in alignment of KW / intent / audience with ad copy, landing page Mortgage Refinance Mortgage Refinance Rates Cashout Refinance QS: 4 LP Experience: Average Refinance Your Mortgage | See Your Rates in 2 Mins Refinance Your Way to a Better Mortgage and Save Without Hassle. Making Mortgage Refinancing as Easy as Possible. Typically, upper funnel / consideration stage Rate driven prospects (reduce rate, monthly payment) Specific underlying financial need First fold Campaign Theme Ad Copy Landing Page 2 reasons for poor performance: • Same Landing page for varied user intents • Not testing enough with different LP variations
- 28. 28 Deliver custom experiences across channels Brand + Specific card KW Specific card detail page Specific card detail page Specific card details Specific card details Specific card details Specific card details Specific card details Brand website Partner Affiliate website Specific card details Other details Brand Specific Card
- 29. 29 Always Be Testing: 3 Tactics to maximize impact of your tests Objective prioritization Our PIEE (Potential, Impact, Evidence, Effort) framework removes much subjectivity from the prioritization exercise Data-backed and clearly defined hypotheses We follow ‘If – Then – Because’ approach to building Hypotheses Effective learning management We leverage enterprise learning management system for centralized documentation on test learnings and insights
- 30. 30 Working Towards Long-Term Success
- 31. 31 Investments into advanced measurement capabilities help gauge true impact of various Marketing activations & rightly act on them Media Mix Modelling Multi Touch Attribution Incrementality Testing Modelling based tactic to gauge the macro impact of channels (online or offline) & external factors to drive sales. Needs input data over a long period. Deterministic tactic to credit a fraction of every sale to all influencing channels & touchpoints in the users’ journey to sale. Uses near real-time granular data. AI advancements have opened much faster approaches to MMM, that can now be tapped on Amidst increasingly stringent privacy regulations & impending cookie departure from Chrome, invest in Data Clean Rooms to keep MTA effective Continuously keep testing to identify pockets of performance gains within channels or identify newer channels to drive efficient growth How to approach these further? Key Use Cases A type of experiment to gauge incremental value of a variable by identify 2 similar clusters, with & without the variable & measuring the lift.
- 32. 32 Investing into Content embedded with rich media (10x content) can deliver great performance gains across SEO & Paid Search This helps elevate what Google is chasing - more helpful, visual & human like user experience 10X Content to enhance user engagement and improve rankings Infographic Placements Video Placements Greater focus on full funnel connection Hyper-relevant, conversational content based on intent That elevates the brands expertise with strong CTA’s Structured and optimized to appear in SGE plus top 3 of SERP Content in shareworthy formats (Text, Video, Infographics) Integrate & amplify and advertiser can promote across email and social channels and strategically link within product pages and across LOB's Others want to link to or promote via 3rd party partnerships Cross LOB linking
- 33. 33 Build a personalization strategy and roadmap, and start building the infrastructure (multi-year journey) Personalized Experiences
- 34. 34 Prioritize initiatives based on your current state and short- and long-term priorities Building efficiency in driving acquisitions • Optimizing for Value – P0 • Building Custom & High converting Landing Pages & overall experiences – P0 • Maximizing the Potential of Paid Search – P1 Laying the foundation for long term success • Cracking measurement – P0 • Building 10X content – P1 • Delivering personalized experiences – P1 Our generalized take on prioritization of discussed tactics based on observed impact and effort across clients
- 35. 35 QUICK POLL: Of all the tactics demonstrated today, which one you need assistance/consultation with? a. Branded Paid Search Incrementality b. Landing Experience Accelerator Program (LEAP) c. Value-based Optimization d. Personalization Strategy Drop in an email to [email protected] OR [email protected] to get consultation on any of the above areas.
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- 37. 37 Bangalore Singapore London Toronto New York Chicago San Francisco Mexico City iQuanti.com Thank You!