measurement techniques v1.01 s

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Mr. Pawoot Pongvitayapanu (www.Pawoot.com) .com Member of TARAD Dot Com Group E- Education Seminar & Training Measurement Techniques tracking the effectiveness of digital marketing and determine the deliverable results by: Pawoot Pongvitayapanu (Pom) E-Mail : [email protected] URL : www.Pawoot.com Managing Director : TARAD Dot Com Vice President : Thai E-Commerce Association Consultant : Thailand Productivity Institute

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Page 1: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Measurement Techniquestracking the effectiveness of digital marketing

and determine the deliverable results

by: Pawoot Pongvitayapanu (Pom)

E-Mail : [email protected] : www.Pawoot.com

• Managing Director : TARAD Dot Com• Vice President : Thai E-Commerce Association • Consultant : Thailand Productivity Institute

Page 2: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

การศึ�กษา ปริ�ญญาโท Internet and E-commerce มหาวิ�ทยาลั�ย อั�สส�มชั�ญ (ABAC)

ปริ�ญญาโท (กำ�าลั�งศึ�กำษา) Executive MBA : ศึศึ�นทริ� จุ�ฬาลังกำริณ์� มหาวิ�ทยาลั�ย ปริ�ญญาตริ� สถาป!ตยกำริริมศึาสตริ� มหาวิ�ทยาลั�ยริ�งส�ตประสพการณ์�การทำ�างานป�จจ�บั�น (Future)

กำริริมกำาริผู้#$จุ�ดกำาริ บริ�ษ�ท TARAD DOT COM Co.,Ltd. (ThaiSecondhand.com, TARAD.com)

อัป�นายกำ สมาคมผู้#$ปริะกำอับพาณ์�ชัย�อั�เลั+กำทริอัน�กำส�ไทย ท�-ปริ�กำษา สมาคมผู้#$ด#แลัเวิ+บไทย (Thai Webmaster

Association)ท�-ปริ�กำษา สถาบ�นเพ�-มผู้ลัพลั�ตแห/งชัาต�, กำริมส/งเสริ�มอั�ตสาหกำริริม

(APEC IBIZ)น�กำเขี�ยน กำริ�งเทพธุ�ริกำ�จุ Biz Week, น�ตยสาริ E-Commerce

Magazineบริริณ์าธุ�กำาริ ส�าน�กำพ�มพ� TARADedu (หน�งส2อัด$าน E-

Marketing & E-Commerce)อัาจุาริย� สถาบ�น Net Design – วิ�ชัา E-Marketingอัาจุาริย�/วิ�ทยากำริ see all list at

http://www.pawoot.com/Myself /อดี�ต (Past)

Dec 02-Sep 05 เลัขีาธุ�กำาริ - สมาคมผู้#$ด#แลัเวิ+บไทย ThaiWebmaster Association

Apr – Sep 04 ท�-ปริ�กำษา - กำริมพ�ฒนาธุ�ริกำ�จุกำาริค$า กำริะทริวิงพาณ์�ชัย�Oct 01-Aug 03 Assistant Manager - HUTCH : Mobile OperatorSep 00-Oct 01 กำริริมกำาริ- สมาคมผู้#$ด#แลัเวิ+บไทย - ThaiWebmaster

AssociationJul 99 - Jan 00 Business Development/Webmaster - AD

Venture (Member of Shin Corporation) Jun 99-Nov 99 Web Design Company - Pantheon.co.ltd - Web

Creative

Pawoot PongvitayapanuPawoot Pongvitayapanuภาวุ�ธ พงษ�วุ�ทำยภาน� ภาวุ�ธ พงษ�วุ�ทำยภาน� ((ป!อมป!อม)) MS IEC, B. ARCHMS IEC, B. ARCH

Page 3: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Agenda• What is online measurement?• Why we have to measurement?• Metric of Measurement• What information we need to know!• How we can collection information• Tools & Application for measurement• Measurement Technique • Avoiding inaccurate measurement method• Q&A…!

Page 4: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Online Advertising Revenue• Year 2006 total $16.9B Growth 35% higher than 2005's

Source PriceWaterHouseCooper

Page 5: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Metric of measurement

Page 6: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

What information we need to know?

• User Profile

• Usage & Activity

• Transaction (Buy, Sell, Inquiry)

• Stickiness

• Behavior

Page 7: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Measurement Metric Model

Sale & Commerce Measurement

Awareness & Image Measurement

Page 8: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Charging Model

• Flat Rateค�ดเหมาจุ/ายเป5นริายอัาท�ตย�/เด2อัน/ป6• CPM กำาริค�ดค/าใชั$จุ/ายต/อักำาริแสดงโฆษณ์า 1,000 คริ�9ง

Cost per 1,000 impression

• PPC กำาริค�ดค/าใชั$จุ/ายเม2-อัม�กำาริคลั�กำโฆษณ์า Pay Per Click

• PPP กำาริค�ดค/าใชั$จุ/ายเม2-อั ม�กำาริได$ลั#กำค$าใหม/ หริ2อัท�างาน ส�าเริ+จุ Pay Per Performance

Page 9: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Awareness & Image Measurements

Page 10: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Acquisition Costs• should be calculated and monitored.

– the cost to acquire a click-through (click-through)– new e-mail address (potential customer) (subscription)– a new subscription (sign-up)– new customer (purchase)– Page View, Banner impressions – SMS sent out– No. of outbound calls to customers– Response from survey / quiz games

** Depend on campaigns goal

Page 11: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

For examplePromotional campaign cost $10,000 and it resulted in 100,000 click-throughs,

Customer Acquisition Cost = $10,000 100,000

Acquisition Cost = Advertising Cost

Number of Click-Throughs (Visits)

= $.10.

Average Customer Acquisition Cost• Search $7 and $10• Yellow Pages $15 and $25• E-mail $40 to 80 • Direct mail $60 to 80

Source : http://www.mediapost.com/dtls_dsp_SearchInsider.cfm?fnl=050203

Page 12: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

• Ask yourself some useful accountability questions such as:

• How does that compare to other campaigns that you are running?

• How does that compare to last month?• Did we get the best bang for our buck when acquiring

these click-throughs?• How does this acquisition cost compare to the cost of

other methods of acquiring click-throughs.

Page 13: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Page 14: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Frequency

Estimate of how often a prospect or customer visits the site.

Duration

Time spent at your web site. Example

• Loyal customer segment = 5 minutes per visit• New customers segment = 2.30 minutes per visit

Frequency = No of Visitors Number of Unique Visitors

Duration = Total Minutes Viewing Pages Number of Visits During the

Month

Page 15: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Reach• Refers to the potential to gain the attention of your target audience.• Used as a standard in the television industry, • The number of unique users who visited the site during a particular

period divided by the total number of unique visitors your site has acquired over time

Reach = Number of Visitors during the month

Total Number of Visitors acquired by the site

Page 16: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Stickiness• Measure the effectiveness of your content • Consistently holding users' attention• Allowing them to complete their online tasks.

Stickiness = Frequency x Duration x Reach

Page 17: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Sale & Commerce Measurements

Page 18: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Sale & Commerce Measurements

• Should be calculated and monitored– Target leads– Number of order/sale – Sale revenue– Visitor-to-lead ratio– Cost average per new customer

Page 19: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Conversion Ratio• Average number of visitors who visit the site who

make a purchase or perform some sort of action. (register as a customer, etc).

• Conversion ratios vary by the type of traffic you are getting. More "Targetted" traffic typically means higher conversion rates.

Conversion Ratio = Number of Order Number of Visits

Page 20: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

• Cost per Sale Transaction

Conversion Cost = Advertising Costs Number of sales

(or purchases)

BestNormal

Page 21: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Best Performance

Page 22: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Measurement Technique

• Before/After measurement

• Survey customers : prove the result

• Use standard system (1 system : No standard yet)

Page 23: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Measurement Case Study• Digg.com : stat on July 2007

– Own server log 10.8 Million Unique U.S. Visitors

– ComScore 4.6 Million Unique U.S. Visitors

– Nielsen//NetRating 4.7 Million Unique U.S. Visitors

“The Problem is. There are no stadards” Mike Maser : VP Marketing Digg.com

Source : Fortune Mag Sep 2007

Page 24: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Avoiding inaccurate measurement method

• Discrepancy (not standard measurement)

• Outdated measurement methodologies

• Advertiser's confidence.

• New technology (RSS, AJAX, Widgets)

• Data is gathered, it is proprietary

• Fair & standard price

Page 25: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Who can tell you what is standard average rate?

• Viral marketing campaign? • Sponsorships impact to drive purchase intent?• How online sampling should drive sales?

Page 26: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Online Measurement Firm• ComScore, Inc

www.comscore.com

• Nielsen//NetRatingswww.nielsen-netratings.com

• Media Rating Council (MRC).www.mediaratingcouncil.org

• Interactive Advertising Bureau www.IAB.net

Page 27: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

ComScore, IncProvide a continuous, real-

time measurement• Marketing Solution• Media Matrix

Page 28: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

IAB.net (Interactive Advertising Bureau)

Useful information• Online Guideline Standard• Ad unit & campaign• E-Mail Guideline• Spider & Bot• Rich Media Guideline• Privacy Guideline• VDO Measurement Guideline

More……

Page 29: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Nielsen Unveils Video Measurement Tool : VideoCensus

– Allows to attach code to video platforms– The code allows NetRatings to collect a

census account of video views.

Supporting Type of Content– Cached content– Peer-to peer– Programs– Digital rights-managed (DRM) video streams.

Page 30: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Online Measurement Summary

• Keep the right log and information

• Use the right tools and application

• Analyze data in many aspect as you want

• Use the analyzed information to adjust your campaign for better performance

• Keep doing it…!

Page 31: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

หน�งส$อ Pocket Book แนะน�า

หาซื้29อัได$ตามริ$านหน�งส2อัท�-วิไปแลัะ

Page 32: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

หลากหล�กส'ตรส�มมนาดี(าน e-Marketing

• E-Marketing กลย�ทำธ�การตลาดีออนไลน�• Search Engine Optimization ปร�บัแต*งเวุ,บัให(

ดี�งส�ดีๆ• หารายไดี(จาก Google Adsense

• เทำคน�คการสร(างเวุ,บัไซต�ดี(วุยเวุ,บัไซต�ส�าเร,จร'ปขี$อัม#ลัเพ�-มเต�ม www.TARADedu.com หริ2อั โทริ 02 298-0999

Page 33: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Contact & Questionwww.Pawoot.com

• E-Commerce E-Marketing Content & knowledge

• E-Business Web Board • Books & Seminar• Useful Web Link

Page 34: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

Any Question?More information : www.Pawoot.com

Pawoot Pongvitayapanu (Pom)

E-Mail : [email protected] : www.Pawoot.comTel : 02 298-0999

Page 35: Measurement Techniques V1.01 S

Mr. Pawoot Pongvitayapanu (www.Pawoot.com)

.com

Member of TARAD Dot Com Group

E- Education Seminar & Training

ROI and eMarketing Campaigns

• One way accountability can be accomplished is through return on investment (ROI) calculations

• Before you run an emarketing campaign you should try to predict the ROI yield, monitor it during the campaign, and calculate post campaign.