CEMA

1. CEMA Dan Fannin: VP Business Process Excellence @ Regal Beloit Marketing & Measuring ROI

2. The Burning Question?How do we Measure Marketing Success? Objectives Strategy Fine-Tuning Marketing Strategy Strategy Deployment Success Metrics

3. Campaigns Marketing Product Price Target Market Place Promotion Advertising Trade Publications Trade Shows Sales Promotions Direct Marketing Digital Marketing Sales Literature Social Media Public Relations E-mail Marketing Direct Sales

4. Marketing Campaign Models Website Direct Mail PR/Media Relations Social Media/YouTube In Store/P.O.S. Digital Web Banner Ads Traditional Marketing Models Print Collateral eMail SMS/Mobile Print Advertising Event/Field Demonstrations Merchandising Trade Events Field Sales Three key customer touchpoints

5. Marketing Campaigns Designed for one thing – Lead Generation Tradeshow Leads eMail Blast Leads Trade Publication Leads Targeted Industry Research Other Leads Goal: Marketing campaigns are to convert leads to customers. This Photo by Unknown Author is licensed under CC BY-SA

6. Marketing Campaigns Designed for one thing – Lead Generation Tradeshow Leads eMail Blast Leads Trade Publication Leads Targeted Industry Research Other Leads Hand off to company Sales Professionals This Photo by Unknown Author is licensed under CC BY-NC

7. Marketing CampaignsLead Generation to Customer Sales Professional Role is convert Leads to Orders This Photo by Unknown Author is licensed under CC BY-NC-ND

8. 2017 Gleanster and Forrester Study • 25% of the leads you generate are totally unqualified; they won't ever buy. • 50% of the leads generated are qualified; but not ready to buy right now. • 25% leads are legitimate and should advance to sales. • Sales reps make 1.3 (average) call attempts before giving up on a lead. Research: Source: 2017 Gleanster Research and Forrester Research studies

9. Current State of Lead Generation Tradeshow Leads eMail Blast Leads Trade Publication Leads Targeted Industry Research Other Leads Research shows only 20% of sales leads are ever followed up. In other words, 80% are lost without trace simply due to lack of follow-up. https://www.marketingdonut.co.uk/sales/sales-techniques-and-negotiations/why-you-must-follow-up-leads This Photo by Unknown Author is licensed under CC BY-NC-ND

10. Lead Definitions • Lead: Opportunity Generation - The Science • Focuses on capturing contact information for follow-up. A lead has a known data profile and can be counted, scored and traced to specific financial outcomes. • Lead: Demand Generation - The Art • Focuses on shaping perception and creating interest in your product or service. The goal is to engage the largest portion of your audience as possible and make them want what you offer. • Opportunity Generation – primary objectives • Know and profile of your audience • Identify quality leads and prospects • Identify specific contact for sales follow-up • Provide qualified leads and pass to sales • Demand Generation – primary objectives • Generate interest and demand • Educate and provide insight • Drive brand awareness and perception • Increase audience ‘top of mind’ In-Tangible Tangible

11. Lead Definitions • Lead: Opportunity Generation - The Science • Focuses on capturing contact information for follow-up. A lead has a known data profile and can be counted, scored and traced to specific financial outcomes. • Lead: Demand Generation - The Art • Focuses on shaping perception and creating interest in your product or service. The goal is to engage the largest portion of your audience as possible and make them want what you offer. • Opportunity Generation – primary objectives • Know and profile of your audience • Identify quality leads and prospects • Identify specific contact for sales follow-up • Provide qualified leads and pass to sales • Demand Generation – primary objectives • Generate interest and demand • Educate and provide insight • Drive brand awareness and perception • Increase audience ‘top of mind’ In-Tangible Tangible

12. In-Tangible Metrics Web & SEO • Total Visits • First Time Visitor • Pages Visited • Return Visits • Traffic Source • Click Thru Rate • Time on Page • Content Download • Unique Visitors • Pg View /Session • Referral Traffic • Traffic Rate • New Content Map • Heat Map / Web Pg • Key Word Perform • SEO Traffic • No. Pageview /Pg • Content Backlog • New Content Views • Avg Time / Content • Top Post Viewed • Domain Authority • Link Building Metric • Page Load time • Mobil Ready • Organic Search • Registration • Use of Apps & Tools eMail Marketing Social Media • Twitter Tweets • Twitter Followers • Twitter Share • Facebook Likes • Facebook Views • Facebook Share • Facebook Comment • YouTube Likes • YouTube Views • YouTube Shares • Instagram • LinkedIn • Social Interactions • Follower KPI • Bad Email Address • Bounce Rate • Delivered Rate • Total Open Rate • Unique Open Rate • Click thru Rate • Unique Click Thru • Spam Capture Rate • Unengaged Rate • Forward Rate • List Growth Rate • Opt-out Rate • Subject/Open Rate • Complaint Rate

13. In-Tangible Metrics Web & SEO • Total Visits • First Time Visitor • Pages Visited • Return Visits • Traffic Source • Click Thru Rate • Time on Page • Content Download • Unique Visitors • Pg View /Session • Referral Traffic • Traffic Rate • New Content Map • Heat Map / Web Pg • Key Word Perform • SEO Traffic • No. Pageview /Pg • Content Backlog • New Content Views • Avg Time / Content • Top Post Viewed • Domain Authority • Link Building Metric • Page Load time • Mobil Ready • Organic Search • Registration • Use of Apps & Tools In-Tangible eMail Marketing Social Media • Twitter Tweets • Twitter Followers • Twitter Share • Facebook Likes • Facebook Views • Facebook Share • Facebook Comment • YouTube Likes • YouTube Views • YouTube Shares • Instagram • LinkedIn • Social Interactions • Follower KPI • Bad Email Address • Bounce Rate • Delivered Rate • Total Open Rate • Unique Open Rate • Click thru Rate • Unique Click Thru • Spam Capture Rate • Unengaged Rate • Forward Rate • List Growth Rate • Opt-out Rate • Subject/Open Rate • Complaint Rate Unknown order conversion rate. Unknown order conversion rate. “Ratio to Sales” metrics can build ROI metrics to measure campaign effectiveness.

14. The Challenger Sale Compete and win in a customer-empowered world 2011 by Matthew Dixon & Brent Adamson Research from InsideSales.com shows that 35–50% of sales go to the vendor that responds first. https://www.gartner.com/en/sales-service/insights/challenger-sale

15. Lead Definitions • Lead: Opportunity Generation - The Science • Focuses on capturing contact information for follow-up. A lead has a known data profile and can be counted, scored and traced to specific financial outcomes. • Lead: Demand Generation - The Art • Focuses on shaping perception and creating interest in your product or service. The goal is to engage the largest portion of your audience as possible and make them want what you offer. • Opportunity Generation – primary objectives • Know and profile of your audience • Identify quality leads and prospects • Identify specific contact for sales follow-up • Provide qualified leads and pass to sales • Demand Generation – primary objectives • Generate interest and demand • Educate and provide insight • Drive brand awareness and perception • Increase audience ‘top of mind’ In-Tangible Tangible

16. The Burning Question?How do we Measure Marketing Success? • Historically: • Number of New Products Introduced! • Number of New Catalogs Produced • Number of New Trade Publications Ads / Articles • Number of Sales Promotions and People Trained • Number of Distributor Visits and Number Trained • Number of OEM Visits and Number Trained • Number of New Customers (Count) • Number of Sales Dollars Generated (about once every 3 years) But, when the market slowed, Marketing Budgets were the first to be reduced.

17. The Burning Question?How do we Measure Marketing Success? “ROI is the most important measurement for marketing.” The best way to measure marketing effectiveness is to calculate the return on investment using three factors: • What is the new Customer Lifetime Value? • What is the Cost to Acquire Customer? • What Call To Action converted them to a paying customer? Having these three pieces of data allows us to make smarter marketing decisions and where we should spend money.

18. What is the new Customer Lifetime Value? Customer Lifetime Value (CLV) Measure the amount of gross profit or sales that is generated from a customer over the entire time they do business with a company. Customer Lifetime Value – Marketing CampaignMarketing Campaign Or, measure annual volume of sales that is generated from a customer. Annual Sales – Marketing CampaignMarketing Campaign or Gross Profit – Marketing CampaignMarketing Campaign https://www.investopedia.com/articles/personal-finance/053015/how-calculate-roi-marketing-campaign.asp

19. What is the Cost to Acquire Customer? Cost to Acquire Customer (CAC) Cost of acquisition is a term used across business and accounting to describe the total costs incurred when signing a new customer. As a business sales term, cost of acquisition is tied to marketing and sales campaigns because the more streamlined those campaigns become, the lower the customer cost of acquisition will be. Sales Activity + Engineering Support + Marketing Campaign# New Customers Since these costs can be quite high, it is a standard rule of thumb in business that it costs more to sign a new client than to retain a current client. https://www.investopedia.com/terms/c/costofacquisition.asp

20. What is the Cost to Acquire Customer? An out of balance business model Cost to Acquire a Customer (CAC) Samples Cost Engineering Cost Monetization (LTV) Sales Cost Marketing Cost

21. What is the Cost to Acquire Customer? A well balanced business model Monetization (LTV) Cost to Acquire a Customer (CAC)

22. What Call To Action converts lead to customer? Call To Action (CTA) Call to Action is a campaign comparison model designed to maximizing spend. Customer Lifetime Value – Tradeshow Marketing Campaigns (All shows)Tradeshow Marketing Campaigns (All shows) VS. Customer Lifetime Value – Web Marketing Campaigns (All)Web Marketing Campaigns (All) VS. Customer Lifetime Value – Publication Marketing Campaigns (All)Publication Marketing Campaigns (All) https://www.investopedia.com/articles/personal-finance/053015/how-calculate-roi-marketing-campaign.asp

23. Summary Tangible • What is the new Customer Lifetime Value? • What is the Cost to Acquire Customer? • What Call To Action converted them to a paying customer? In-Tangible Use ‘Ratio to Sales’ metrics and build ROI metrics to measure campaign effectiveness. As you consider or expand your Marketing Metrics, Metrics should have Orders or Sales in the calculation!

24. Questions