Archive for the ‘Analytical Culture’ Category

Sherlock Holmes Problem

Friday, September 12th, 2008

I think this is probably the last Learning and Teaching issue in Online Marketing (series starts here) before attempting to evaluate and summarize the challenge.  I would like to receive comments from you on the Sherlock Holmes Problem.

“There are two types of minds — the mathematical and what might be called the intuitive. The former arrives at its views slowly, but they are firm and rigid; the latter is endowed with greater flexibility and applies itself simultaneously to the dive.”

Blaise Pascal

In his post How the Skills of a Night Auditor Translate into Web Analytics, Christopher Berry explores a notion we have wrestled with a lot while developing the WAA’s Certified Web Analyst Test – can you teach someone to be curious in a “business analytics” way?  Or are people just born with / socialized into this skill set?  How do you measure and test someone for “analytical curiosity”?

We have referred to these issues internally on the Education Committee as the “Sherlock Holmes” problem.  The issue is not the ability to read and interpret reports, or write up findings, or anything like that.  It’s the ability to see coincidences or oddities in the data, to conceptualize linkage or relationships others don’t see, to follow the data trail (or blaze it) right down to Root Cause.

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Repeating the Past

Monday, September 1st, 2008

I’ve been trying to get a few things straight in my head about the way people Learn Online Marketing.

Will you help me?

Here’s a Premise:

The Online Marketing world seems to repeat the same mistakes over and over; it’s almost like every new generation of technology is a clean slate and somehow people expect an approach that was flawed in a previous generation won’t be flawed this time.

Sure, technology changes, but the fundamentals of human behavior are much more difficult to change.  So you would expect there to be some constants, right?

For example, putting a high value on “quantity” of activity (remember Hits?) when every past generation has found that “quality” ends up as a more important metric.

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Consensus Learning Model

Thursday, August 28th, 2008

My question about whether you learned anything at SES or not didn’t get much reaction.  I suspect the answers were polarized, with half the people thinking “not really, I go there for other reasons” and the other half thinking “of course I did”.

Answers to that question might have been helpful, but…

What I’m really questioning is this: How do people in the web space learn what they learn?  Associated questions are:

1.  Has quantity eclipsed quality as a yardstick for the success?

2.  Implications for Teachers / Course Developers of the answer to #1

There are also some serious implications for “Web Marketing” adoption (in all forms) by the broader Marketing community buried in the above.  To me, this is not unlike the “CRM Problem”, where for years (and still) people confused the Technology solution with the Marketing potential, which set CRM back a decade.

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You Learn Anything at SES?

Sunday, August 24th, 2008

SES = Search Engine Strategies San Jose, for those not in the know.

And I mean the question literally.  Not did you have a good time, see lots of friends, do a lot of beneficial networking, talk to customers, build your reputation, create content for your blog, etc.

Did you Learn anything?

Looking at the stream of blog posts, video, Tweets and so forth – much of it incredibly repetitive by the way, which is a whole other issue for this type of Journalism – I have to wonder if anybody except those new to Search actually learned anything.  You know, walked away with new knowledge they could use to improve their efforts.

I have more than a passing curiosity about this issue from a macro perspective.  As you might know, I am a Co-Chair on the Web Analytics Association’s Education Committee, responsible for creating the WAA’s Core Curriculum and upcoming Certification Testing.  So I think a lot about Learning and Education, especially as it relates to the web.  And that thinking includes different “delivery models” like Conferences.

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Business Prevention Committee

Wednesday, August 6th, 2008

Do you have a BPC (Business Prevention Committee) where you work?

The BPC may not have a formal meeting schedule, so it can be difficult to tell who is actually on the Committee.  But you can often tell who is on the BPC by looking for these signs:

1.  Person has a narrow view of the company or customer, a “my silo” thinker.  For example, a Marketing person who doesn’t care about the negative impact of a marketing program on customer service.

2.  Person is generally averse to testing new ideas, a “this is the way it has always been done” kind of personality.  BPC’ers never admit to being wrong about an idea, especially ones that have to do with “change” of some kind.

3.  Talk of performance-based measurement and compensation makes BPC’ers very nervous.  Not fans of their own skin in the game, getting a little risk on the table.  Like many bloggers, they just repeat what they read.  No data, no conviction, and no responsibility.

4.  A fundamental lack of knowledge about how the business really works.  Worse, won’t take the time to find out what they don’t know because “that’s not my job”.

The best way to go about dismantling the BPC in your company is?

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Marketing Bands: the Numbers

Sunday, June 29th, 2008

(A post by post index of this Marketing Bands Series is here.)

Just wanted to add a quick piece about the results of Optimizing the Bands (see Band Model) - this is the Marketing Productivity Blog after all!  Thanks Moe for the reminder

As we Optimized, there were changes in budget allocation by Band, and as a result there was an increase in Net Customer Value – the goal of the Optimization program in the first place.  For those of you not following the whole story, the budget remained constant, we simply allocated it to the highest and best use through testing.

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WAA Certified Web Analyst

Sunday, May 18th, 2008

The Education Committee of the Web Analytics Association is pleased to present the Knowledge Required for Certification document to the Web Analytics community for comment.  This document contains a detailed overview of what a candidate should know and be able to do to pass the Web Analytics Association Certification Test:

Knowledge Required for Certification Page

The document is available as a 37 page PDF or you can view it online as a series of web pages organized around core topics:

Site Optimization
Marketing Optimization
Analytical Business Culture

Feedback on this doc is welcomed on the WAA Blog post for the document; you do not have to be a WAA member to leave a comment.  An overview of the Certification Test project and projected timeline info are provided here.

We’re hoping to do a trial run of the Certification Test at the eMetrics Optimization Summit this fall in DC to uncover problems and issues, with actual testing to begin some time in 2009.

Many thanks to the more than 60 WAA member volunteers who worked on the various projects that have resulted in this document, including the development of the WAA / UBC Courses.  You don’t have to take the Courses to sit for the Certification Test, but all the Knowledge Required to pass the Certification Test is covered in the 4 WAA / UBC Courses.

Any comments or questions about the document itself (what is or is not included, for example) or the WAA Certification in general should be posted to the WAA blog rather than here.

Frankly, I’m relieved this document has finally been published!

eMetrics 08 (SF)

Sunday, May 11th, 2008

As opposed to eMetrics 08 Toronto, don’t you know…

A really big shew, for sure. 

With the tons of WAA EdCom stuff going on, and the tremendous opportunities to just run into people in the halls and have hour long spontaneous “shootouts” (thanks for your help with “The Cluelessness of Crowds), it can be difficult to get to all the sessions I want to see.  

Still, I always try to catch sessions outside of the mainstream that look interesting.  Often nobody comments on these overlooked sessions, so I like to bring them to the surface.

The presentation by Egan van Doorn of the Dutch Automobile Association (ANWB) called Connecting Web Analytics with Decades of Marketing Metrics was such a session. 

Here, the beauty was in the simplicity and purity of the approach.  Classic Database Marketing – the targeting, the pacing.  No breathless monthly or weekly blasting of the same message to every customer.  No, to each customer the right message at the right time.

ANWB works with the understanding the calendar doesn’t matter nearly as much as the customer’s individual behavior.  When the customer is ready, they say so.  It’s all about Pull – gently bringing them to you, not beating them over the head.  Context, relevance; what they want, when they want it, while they are interested in it.  Like Search, right?

Web analytics folks often view multi-channel ideas as too complicated, and they’re really not – if you are using the right methodology and if you have some discipline.  Apparently, ANWB has both.

From a Marketing perspective, ANWB pays close attention primarily to high value online events.  Forget page views, visits, etc.  What they want to know is this: what action was taken for which we have a related product?  They store these events in the customer record, and then play out the online / offline Marketing stream accordingly.  If they can reach them online, that’s obviously cheaper.  If they decide to go offline (in the mail) they have their timing issues down and they make it happen. 

Very efficient, highly productive.  Huge increases in response rates, even offline when using online behavior to trigger the Marketing event.  Classic Database Marketing.  And there’s a reason they are so good at this – they’ve been doing the same thing offline forever.

If you can make money doing this offline, you can make an absolute pile of money doing it online because the Marketing is so much cheaper.  The problem is, most online folks don’t have access to that Database Marketing background, the understanding of how to optimize remote relationships.  So instead of playing it as Database Marketing, they play it like Media (Push) Marketing.  And they get unremarkable results.

How simple is it to do multi-channel right? 

Here’s an example, courtesy of ANWB.  Customer comes to the web site.  Customer searches for and finds info for “bike and hike” trails.  When this happens, customer is shown banners offering a “Bike and Hike Trails of the Netherlands” book during the rest of the visit.  Customer maybe buys the book.

Or not.  If they don’t, and waiting a reasonable amount of time for the sale to occur online, ANWB goes in the mail with an offer on the book, and then later on, a modified offer in the mail if there is no response.  Customers buy scads of these books.  Enormous ROI, both online and offline. 

Then repeat this scenario with every product line – what is the trigger event, what is the timing?  Man, that’s a beautiful business they’ve got going there.  Just printing money.

They do have one advantage – as a membership org, each customer has a unique ID, offline and online.  This was raised as an “unfair advantage” in terms of their success.  Disagree. 

Megan Burns of Forrester said as much in the 2nd half of the presentation.  The reason people don’t usually factorize to do this kind of stuff is they can’t project the ROI, they don’t know what they would do with a unified view of the customer to generate incremental profit.  So they can’t justify spending the money to make it happen.

This is really the same Push versus Pull issue I mentioned before - as long as you batch and blast, as long as you keep using the offline Push model, there’s no point in understanding any of this multi-channel stuff.  When you get ready to accept that the behavior of the customer is your key to relevance, and test through a couple of scenarios (as all offline DB Marketers have done), the ROI of the offline / online join becomes self-evident and justifies the spend to set up for it.

Wait a minute, you say - there’s no reason anyone would want to log into our web site.  Oh.  But now you are into Marketing Strategy.  Not the same issue.

Why won’t they log in?  Let’s say you don’t think you can get people to “log in” so you can create a database match.  Here’s the real question – have you conceived an experience for your web site that is worth a log in?  If the experience is worth it, people will log in, and you will have a database match.

That’s Marketing, my friends.  It’s not just about the “Push” MarCom stuff.  It’s the Strategy, the whole picture that creates the Pull that is so incredibly powerful. 

This is what makes interactive different.

Let’s assume you think I am wrong, that what I’m saying couldn’t possibly be true.  After all, how could so many people get interactive wrong?  Wisdom of Crowds, right?  After all, look at all the folks who got it so right in 2000 (not).  THAT was a Crowd.  This Jim Novo, he’s just pushing the ideas in his book.

OK, fair enough.  Here’s another voice that has been added to mine.  More on Akin’s book in the future – I’m only 1/2 through!

*** Ad Engagement & Silo Busting

Wednesday, April 30th, 2008

On the heels of the Desirability Series we have two related articles:

1.  This first piece is by Lester Wunderman, one of the “fathers” of Direct Marketing (so many fathers, so little time).  To me, it’s significant Mr. Wunderman would feel the need to come out and provide us with his definition of Engagement, at least as it relates to Advertising.  If he didn’t see Engagement as an important idea thrashing around looking for clarity, why bother?

His statements are necessarily broad I think, because he’s coming at it from the top level, the Strategic Layer, and in doing so has to cover a very wide range of industries and media.  Nonetheless, if you take the time to really read what he’s saying and think about it, he’s setting up a new kind of approach to Advertising similar to what I defined here.

Here’s the article link:
Engagement — A New Information-Based Form of Advertising

2.  In contrast, I’m not sure whether Roy Young is the “father” of anything but he is the President of MarketingProfs.com and coauthor of Marketing Champions: Practical Strategies for Improving Marketing’s Power, Influence and Business Impact – something I talk about a lot.

His topic?  Silo Busting, which is so critical to really driving a customer-centric Strategy.  Roy provides 5 solid tips on how to get started if you want to Take Action on Desirability.

Here’s the article link:
Five Tactics for Busting Silos in Your Company

Want Engagement? Get Desirability

Thursday, April 10th, 2008

Forrester’s Marketing Forum this year covered Engagement, but not the kind of Engagement so often discussed in web analytics. 

Nope, Engagement from a Marketing perspective, you know, surprise and delight leads to better customer experiences leads to better customer retention and higher profits.

The presentation came complete with some nifty offline Engagement examples, e.g. the more a patient is Engaged in their healthcare the better the result.  The improved results came from, get this, “improving doctor usability”.  And yes, there was a test on this business optimization effort with tangible results generated.

You can get a good feel for where this conversation is headed from Jeremiah Owyang’s blog by listening to the 2 Forrester keynotes, each about an hour long.  For those short on time, pick one, depending on your interest:

Strategic Level: platforms, frameworks, etc. from Brian Haven

Tactical Level: examples, “how to” etc. from Kerry Bodine

No time for a video? 

For a bulleted list of the key points you need to understand in order to optimize your Marketing model, see the “Five Fundamentals of Integrated Marketing” ClickZ article here.

I’ll have more to say on why these ideas are so important in the next couple of days.  For now, I will leave you with this:

If the customer is taking control, it’s only because you’re using the wrong Marketing model, maybe one like this one.  No customer wants to have to “take control” in the first place. 

The more Engaging you are, the less old-school “pray and spray” Marketing  – online or offline - you should have to do. 

That’s the whole point of Engagement.

Comments on the videos or article?  Anything ring a bell for you?