ilja eisen - latest online marketing trends and challenges in the russian market
TRANSCRIPT
EDAYS INTERNATIONAL E-COMMERCE CONFERENCEM O S C O W , J U N E 4 - 5 , 2 0 1 5
The task for this presentation was to
describe our view on one of the «Latest
online marketing trends and challenges in
the Russian market »
- Personalization -
E D A Y S I N T E R N A T I O N A L E - C O M M E R C E C O N F E R E N C E – M O S C O W , J U N E 4 - 5 , 2 0 1 5 2
CURRENTLY FLOCKTORY IS THE LEADING REFERRAL
MARKETING AND PERSONALIZATION DRIVEN CONVERSIONS
PLATFORM IN RUSSIA, COVERING MORE THAN 60% THE
ENTERPRISE E-COMMERCE MARKET
Flocktory’s partners TODAY in different segments in Russia
Hypermarkets
Daily deals
Specialization
Banks
Travel
Electronics
Fashion
Possible KPI’s for Post-Checkout
Up to 24% increase in new sales1)
Up to 4x times more leads1)
Up to 8x increase in conversion1)
Current trend level in Russia
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DEPENDING ON THE COMPANIES GOALS YOU WILL FIND DIFFERENT PREACHING'S ON
PERSONALIZATION BUT THEY DON’T NECESSARY CONTRADICT EACH OTHER
Key Dimension to goals Example of Decision tree
Will the user buy
Get other valuable
action like Registration
Create a reward Feeling
Personalize activation via
content
Help him to earn his
purchase
Push for secondary KPI via motivation
Cross sell via Feedback
Show most marginal
Establish loyalty via Feedback
No Potential Yes
Returning customer New customer
Getting highest conversions
Selling with highest margins
Getting most out of traffic (incl. secondary KPI’s)
Reducing negative KPIs (overstock etc.)
Others
?What to
personalize too?
Low High
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PERSONALIZATION IS KEY ON EVERY STEP OF THE CONVERSION FUNNEL BUT OFTEN
LACKS A CONSOLIDATED APPROACH INTO “ONE STORY” AND IS NOT USING ALL
AVAILABLE DATA
Level of personalization Low High
VA – Valuable Action, The reason any of us brings traffic to the website
Pa
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• Most users come to a website as professional “lookers” but are a potential asset
• There is a clear list of things anybody needs to get from a user if not a purchase
• Personalizing can help not only with converting new traffic but also for cross + upsell etc.
• Due to the long value chain creation, personalization should be part of any step and preferably that of a “one story”
1
4 Retention Marketing (via all channels)
2 Website marketing
3
Post-purchase service / offering (incl. Feedback etc.)
5One story approach
Traffic acquisition
Registration as secondary VA
Comments as secondary VA
Shares/Likes as secondary VA
Purchase as main VA
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USING AVAILABLE DATA THERE IS A CLEAR PATH TO PERSONALIZE NOT ONLY
CONTENT BUT ON SITE BEHAVIOR
EXAMPLE
Offer appearance or personalized communication can be segmented using many parameters, including the following:
Any combinations of segmentation parameters
presented can be used
Purchase history• Client type: new (never bought) /
sleeping (have not bought recently) / regular (buys often); by day
• Frequency of purchases in this store
• Average order value• And much more
Main visitor characteristics• Age and gender• Geography• Social influence• Traffic source and UTM tags• Landing page• And many others
Behavior data• Current page• Depth and number of pages viewed• Items in the shopping cart• Time spent on site• Exit intention• And many others
Non exhaustive
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ALLOWING YOU TO ACHIEVE A VARIETY OF GOALS, INCLUDING HIGHER CONVERSION RATES, ADDITIONAL SALES AND MORE
Leads from non convertible traffic
Leads data enrichmentLearn more than name phone and e-mail to
increase the chance of conversion1)
Decrease bounce traffic Minimize cart abandonment
And much more
Increase AOV and numberof items in the shopping cart Get visitor’s recommendations
Increase conversion touseful actionsSuch as product reviews, subscriptions, fans and much more
Cross sale (upsell new shopping categories)
Customer experience personalizationFor example, formation of the landing page, products on it and menu for visitors preferences
Growth of certain geographies
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OF COURSE IT IS ONLY ABOUT A/B TESTING AND TRIAL/ERROR AS EVERYTHING HAS
TO BE CUSTOMIZED E.G. VISUALIZATIONS TO BE SHOWN MOTIVATING AND NOT IN AN
IRRITATING WAY AT THE RIGHT TIME AND PLACE
Examples of the communication visualization types
Engaging overlay
Ribbon
Banner / icon
Assistant pop-upEverything your heart desires
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THE REAL VALUE IN PERSONALIZATION OF APPROACHES TOWARDS SECONDARY KPI’SWE SAW FIRST USING SOCIAL REFERRALS
Original customer view
Before we started to work with personalizations we
dealt with referral marketing
After completing a checkout the customer sees a
popup window (or other visual elements)
The popup window offers your customers a special
bonus for their friends incl. a bonus for themselves
(only example, highly variable)
Doing something positive for friends adds meaning
which makes customers want to share the offer in
social networks and via other channels
If a customer’s friend uses the offer to buy, your
original customer gets rewarded too
But with time we saw that there was an enormous
effect in personalizing the offers depending on
factors like recency, check, SKU in basket etc which
allowed to go far beyond creating referral traffic into
cross/upsell, increase of frequency etc.
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Online store increases conversion to orders from low converting source
Online shop is trying to avoid cart abandonment using exit intent technology
Online shop stimulates sales of stale goods
E-commerce retailer increases the amount of recommendations and attracts new customers through existing ones
Online store struggles with cart abandonment of returning visitors
Cinema stimulates ticket reservation through the website
Some cases of using Floctory Pre-Checkout on SIMPLE personalization rules
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Problem:
Trigger:
Solution:
Some traffic sources have ahigh Bounce Rate2)
Source and not known client
Engaging overlay while entering thesite from a low converting source for
Unregistered users
Brandawareness
Newleads
Higher conversion
rates
Loyalty increase
New customers
KPI1)
• Coming from a low converting source the user is encouraged to recommend the shop to his/her friends and get a discount, which gives:
• Deserved discount’ feeling which increases chances that it will be used
• Lead (user will have to leave an email address to get the discount)
• Expansion of the referral marketing funnel
CASE STUDY #1:ONLINE STORE INCREASES CONVERSION TO ORDERS FROM A LOW CONVERTING
TRAFFIC SOURCE
1) Key Performance Indicators2) Bounce rate
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CASE STUDY #2:ONLINE SHOP IS TRYING TO AVOID CART ABANDONMENT USING EXIT INTENT
TECHNOLOGY
Customer stays in the
cycle
Additionalorders
Loyalty incense
Prevent cartabandonment
• Banner pops up when the visitor is ready to leave the site and automatically adds the city of delivery which motivates the visitor to return to the checkout
Problem:
Trigger:
Solution:
At the checkout stage 32% of customers leave the site not completing the order
Exit intent + geography used to personalizethe message
Engaging overlay while the user is trying toLeave which includes a motivating offer
KPI
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CASE STUDY #3:ONLINE SHOP STIMULATES SALES OF STALE GOODS
Higher conversion
chances
Additionalorders
• On a certain product page a motivating message will be shown. Additional information could be placed in this container, such as review, delivery conditions, promotions, discounts and so on
Problem:
Trigger:
Solution:
Some of items couldn't be sold for a long time
Landing on the certain product page
Visual element in 6 seconds after being landed on the product page
KPI
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CASE STUDY #4:E-COMMERCE RETAILER INCREASES THE AMOUNT OF RECOMMENDATIONS
AND ATTRACTS NEW CUSTOMERS THROUGH EXISTING ONES
Getting a recommendation from existingcustomers is complicating
Click on a banner on certain page,frequency of purchases
Banner in client’s dashboard motivatingto recommend the store to friends
• Banner varies depending on the user. That’s why we use another trigger – the frequency of purchases.
• For the fulfillment of conditions a loyal customers will be offered a $5 discount, rarely returning customers with $10 coupon, etc.
Brandawareness
Newleads
Additionalorders
Loyalty incensement
Problem:
Trigger:
Solution:
KPI
E D A Y S I N T E R N A T I O N A L E - C O M M E R C E C O N F E R E N C E – M O S C O W , J U N E 4 - 5 , 2 0 1 5 14
CASE STUDY #5:ONLINE STORE STRUGGLES WITH CART ABANDONMENT OF RETURNING VISITORS
• Once the user returns to the site with an existing abandoned shopping cart he/she will get a personalized offer to complete the order right now on “exclusive” terms, which motivate him to checkout essentially reducing the average amount of abandoned shopping carts
Additionalorders
Loyalty incensement
1) A message bar on top of the website
Visitor abandoned his shopping cartat previous visit
Revisit, presence of items in the shopping cart
Getting maximum of available information on visitor and personalizing the offer via a
Ribbon1), motivating to complete the order
Problem:
Trigger:
Solution:
KPI
E D A Y S I N T E R N A T I O N A L E - C O M M E R C E C O N F E R E N C E – M O S C O W , J U N E 4 - 5 , 2 0 1 5 15
CASE STUDY #6:ONLINE STORE STRUGGLES WITH CART ABANDONMENT OF RETURNING VISITORS
1) Pop-up window similar to the online consultant
Motivation tomake an order
Higher conversion
rates
Small quantity of ticket bookings through the website
User lands on a popular page
Tracking the number of visitors inclined to place an order and informing them via an Assistant
pop-up1) of tickets availability or limited reservation options
Problem:
Trigger:
Solution:
KPI