By Sridhar Ramaswamy, Senior Vice President of Ads & Commerce, Google
Digital advertising has played an important role in making the internet the free, open, vital place it is today. Many of the things we all enjoy — websites, blogs, social networks, apps and videos — are funded by ads. Advertising helps reduce the digital divide, empowers creative voices and spurs global economic opportunity.
With so much information and technology at their fingertips, today’s consumers expect to get things done quickly and have their questions answered in an instant. The same could be said for modern marketers — expectations for their technology stack are on the rise too.
By Laura Beaudin and Francine Gierak, Bain & Company
Time is running out on personalized marketing as a means of continually raising the return on investment of campaigns. The use of advanced data analytics to identify the right customers, while still valuable, is reaching a plateau. Proliferation of digital channels and options for customers raises the importance of another, still underappreciated, variable: message timing.
By communicating at the most opportune times based on insights into consumer behavior, companies can generate more business with fewer or more efficient ads, or expand their audience to find unexpected wins.
Timing comes into play through signals, sequence and speed. And the technology now exists for marketers to test with high confidence when to communicate and in what order — and to do so in near real time. How exactly are they doing that, and thereby realizing further gains in ROI? Bain & Company recently
Communicators and marketers can now adopt a personalized approach to their work, ideally one based on behavioral science. But the execution lags behind the science while the claims of some marketers as to what personality marketing can do far exceed it. Moreover, public controversies like the Facebook and Cambridge Analytica story threaten personality marketing’s potential before it has really matured.
It’s important not to judge a field by its worst actors. Marketers, communicators, and the public alike deserve a better understanding of personality marketing — what it is, how it works, and why it matters.
The personality targeting controversy
Beyond the allegations of misuse of personal information gleaned from unwitting participants in social media, the Cambridge Analytica controversy raised an aspect of marketing that few people knew much about: the targeting of people based on not only on their past behaviors and explicitly stated preferences, but
But from offices and trade show booths to retail environments and the products themselves, the true power of olfactory branding (also known as scent branding) is in its unique ability to form immediate, powerful, and differentiated emotional connections with customers, particularly within a category of functionally similar offerings. That’s because a unique scent can spark the memory of the associated products or events, even for an incident dating back to one’s childhood. And olfactory recall can extend to 10,000 different odors, if not more.
The employment of scent branding is a strategy that Hyatt Place has been
If you cannot remember the last time you had a glass of organic wine, you are hardly alone. Overall, less than 5% of the world’s vineyards are organic. In the United States, the world’s largest consumer of wine, only 1% of wine sold by volume was organic. The paltry market for organic wine around the world belies the fact that over the past half century, countless organic winegrowers and vintners have dedicated great effort to creating a larger market for the category, without much success. Meanwhile, plenty of other organic products, including vegetables, milk, and tea, have become widely consumed, at least by affluent, health-conscious city dwellers. Why the difference?
We set out to understand how and why the category of organic wine failed to emerge, even as demand for other organic goods soared. Through historical research and many interviews, we found several ways in which early stumbles
In the modern retail environment, it is becoming increasingly difficult to use packaging to stand out. The shelves of stores are packed with fantastic fonts, strategically designed color combinations, and unique product forms all competing to draw the attention of consumers.
But is it possible that attempting to stand out in a crowd is actually hurting your business? Our research shows that for products consumers find embarrassing to buy — for example, condoms, acne cream, hemorrhoid cream, and lice shampoo — having packaging that stands out may reduce consumers’ purchase intentions. While this may seem obvious, a quick trip to your local pharmacy aisle shows how often embarrassing products are packaged in ways designed to grab your attention, with loud fonts or bright colors. This is particularly pertinent given the decline of in-store sales for these items. Consumers are moving toward purchasing their embarrassing — and non-embarrassing — products
Every day, we interact with two kinds of goods. The first kind is acquired and shared instantly, is weightless, impervious to damage, easy to customize, and impossible to lose. Even a child can carry thousands of it at a time. The second kind requires travel to acquire or share, is difficult to alter, cumbersome, easily lost, and can be damaged in a myriad of ways. Only a few of its kind can be crammed into a single bag. Despite the many advantages of the first kind –– digital goods — companies find again and again that people value and are willing to pay considerably more for the latter –– their physical counterparts. Our research aims to explain this puzzling behavior.
Modern life has been transformed by the widespread digitization of many consumer goods, from books, to magazines, newspapers, music, movies, airplane tickets, and calculators. Digital photographs, first
When you’re talking to investors about a Series B, Series C or later round, one of the questions that will inevitably come up is “What are your CACs?”. It sounds like a simple question, but from the question of what costs to include and the right way to account for organic traffic to the pandora box of multi-touch attribution, there are lots of devils in the details.
What's more, the real question is not "What are your CACs?" but "What will your CACs be if you invest $10-20 million in sales & marketing?". It’s hard enough to calculate historic CACs for different acquisition channels with a high degree of accuracy. It’s much harder to predict future CACs at bigger scale.
Clara Labs, creator of the Clara AI assistant, is announcing a $7 million Series A this morning led by Basis Set Ventures. Slack Fund also joined in the round alongside existing investors Sequoia and First Round. The startup will be looking to further differentiate within the crowded field of email-centric personal assistants by building in features and integrations to address the needs of… Read More
After years of research and development, Reach Robotics has closed a $7.5 million Series A, co-led by Korea Investment Partners (KiP) and IGlobe, to bring its augmented reality bots to market in a big way. The Bristol-based startup is looking to expand into the U.S. and the team is exploring opportunities for growth into other European and Asian markets. Reach Robotics first product,… Read More
EXCLUSIVE:ZenIQ, a company that applies AI to help companies with their account-based marketing practices, just raised $4.6 million in seed funding in a round led by Costanoa Ventures. Salesforce Ventures also participated in the round — which is interesting, considering that the company just started offering a similar service.
The company’s product is supposed to help by taking in signals about potential customers and providing marketers with the best next action to take in order to land business from a particular account. ZenIQ uses machine learning to help figure out what that action is by integrating data from multiple systems.
“Marketers [are in] dashboard hell right now,” ZenIQ CEO Srihari Kumar said. “They have to interpret the data from so many different [services] and try to figure out what to do next.”
Overall, the product is supposed to help businesses get the most out of account-based Continue reading "ZenIQ lands $4.6 million to help marketers escape ‘dashboard hell’ using AI"
Before 1999 “performance” had a simple, unidimensional definition for health care leaders and their boards: It was shorthand for the CFO’s financial report, summarizing operating margins. In the years since, “performance” has become more complex, now including dozens or even hundreds of quality measures. “Numbers that numb” has become an all-too-common description for performance reports in many organizations.
Now, however, a unifying theory has emerged for how to improve performance for all these dimensions — safety, quality, experience, and financial. What is that theory, what is that driver, and what evidence supports it?
First, a few words about where we came from and how we got here. Before 1999 the assumption was that quality in health care was basically pretty good — and in any case was difficult if not impossible to measure. The financial health of the organization was the most important metric for management and governance to follow.
For managers and marketers alike, the power to calculate what customers might be worth is alluring. That’s what makes customer lifetime value (CLV) so popular in so many industries. CLV brings both quantitative rigor and long-term perspective to customer acquisition and relationships.
“Rather than thinking about how you can acquire a lot of customers and how cheaply you can do so,” one marketing guide observes, “CLV helps you think about how to optimize your acquisition spending for maximum value rather than minimum cost.” By imposing economic discipline, ruthlessly prioritizing segmentation, retention, and monetization, the metric assures future customer profitability is top of mind.
For all its impressive strengths, however, CLV suffers from a crippling flaw that blurs its declared focus. The problem is far more insidious than those articulated in venture capitalist Bill Gurley’s thoughtful CLV vivisection. In fact, it subverts how customers
Aiden, a London-based startup building a machine learning-powered personal assistant to save mobile marketers time and money, closed a $750,000 seed round today from Kima Ventures and a number of angels, including Nicolas Pinto, Pierre Valade and Jonathan Wolf. The team first demoed the capabilities of its service on the stage of TechCrunch Disrupt as a Battlefield finalist. Read More
Marketers know they should keep their messages simple if they want to cut through the noise and reach customers. The key question is then: Of your product’s attributes, which one should you focus on? New research of ours suggests that companies may want to emphasize the same attribute that their rivals do.
Consider bottled water. Evian, one of the most durable brands in bottled water, has cultivated a strong association with purity. Danone, the company who owns Evian, has established this association by emphasizing the purity of its water source: the ageless, untouched glaciers covering the Alps. If you were entering the bottled water market alongside of Evian, following marketing principles might lead you to differentiate your brand on a dimension other than purity. Lifestyle would be a good point of differentiation, wouldn’t it? Not according to Nestle, arguably one of the world’s most successful marketers of consumer package goods.