ONLINE MARKETING INTRO

Anke Audenaert Intro to Online Marketing

Introductions

Anke Audenaert

Anke.audenaert@anderson.ucla.edu AnkeAudenaert

More about you

Anke Audenaert

Intro to Online Marketing

Online Marketing and Analytics: Overview

4/07: 4/14: 4/21: 4/28: 5/05: 5/12: 5/19: 5/26: 6/02: 6/09:

Internet (R)evolution Digital Advertising Search and Search Engine Marketing Search and Search Engine Marketing Intro to Web Analytics Web analytics applied Data Based Advertising Social Marketing Digital Marketing in Practice Google Challenge Presentations
Intro to Online Marketing

Anke Audenaert

A few rules of engagement

Attendance is expected:

You can miss 1 class Missing 2 classes requires permission

Use of social media in class is permitted, but has to be related to class Assignments for each session (task or reading)

Group work is required, peer evaluation will be used

Anke Audenaert

Intro to Online Marketing

Class Info

Class Website:

http://www.webmarketingandanalytics.com Password protected All class info can be found here

Virtual Office Visits:

Appointment through website contact form/ e-mail

Skype Mikogo.com

Class on Twitter: eMarketingUCLA (following mandatory)

Anke Audenaert

Intro to Online Marketing

Grading, Homework and Final

Grades combination of:

Class contribution (including presentation) (20%) Individual work (30%) Google Challenge (50%)

No final, but last class: group presentations for Google Challenge

Anke Audenaert

Intro to Online Marketing

Google Online Marketing Challenge

Create an online marketing campaign using Adwords and Google + (optional) Challenge is officially organized and sponsored by Google Group task (5 to 6 students) Updates during every class, last session: presentation of results Social part of the campaign is optional
Intro to Online Marketing

Anke Audenaert

Google Challenge
Timeline

Week 1 (by 04/14) guidelines Week 2 (by 04/21) Week 3 (by 04/28) 'Letter to

Form teams and nominate team captains, read the

Identify Website and Register Confirm that selected Business/Organization has read
business' (in Student Guide) Secure Google Analytics access for the team if possible Meet with Business to identify goals Upload Pre-Campaign Strategy to Google (and to UCLA dropbox for professor) Set up basics for Adwords account Start campaign (runs for 3 consecutive weeks) Monitor campaign Monitor campaign Monitor campaign Upload Post-campaign summary to Google (and to UCLA dropbox for professor) Class Presentation
Intro to Online Marketing

Week 4 (by 05/05)

Week 5 (by 05/12) Week 6 (by 05/19) Week 7 (by 05/26) Week 8 (by 06/02) Week 9 (by 06/09)

Anke Audenaert

THE INTERNET (R)EVOLUTION

Anke Audenaert Intro to Online Marketing

The rise of the internet

Now, 2011, over 357 million websites

Source: Miguel Angel Todaro, 2008

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Intro to Online Marketing

Influences are broad

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Intro to Online Marketing

Internet Users by market

Source: McCann Ericson, 2008

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Intro to Online Marketing

Growing internationally

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Intro to Online Marketing

The little banner that could

Commercialize the internet

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Intro to Online Marketing

Online advertising: a multi billion $ market

Online advertising expected to grow Still relatively small percent of total ad spend

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Intro to Online Marketing

Online advertising: a multi billion $ market

Bulk of the money goes to search, but display is catching up again

Video projected to grow fastest
Anke Audenaert Intro to Online Marketing

Evolution from Web 1.0 to 2.0 and

Web 2.0 in just under five minutes: The Web is Us/ing Us by Michael Wesch

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Intro to Online Marketing

Web 2.0 and the Long Tail

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Intro to Online Marketing

Search as the enabler

Google teaches consumers that anything can be found

The long tail would remain dark without search

Landscape shifts from portal/brand dominated to search dominated

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Evolution from Web 1.0 to 2.0 and

WEB 1.0 WEB 2.0 WEB 3.0

(Yahoo!)
Consumer Portals as 1-stop shops Advertising Banner Ads Endemic Reach Technology Proprietary

(Google)
Consumer Search enabled Social networks drive engagement UGC & Video Advertising Search Ads Video Ads start Reach + some targeting Technology Low cost

(Facebook)
Consumer Individual (local) & social world Advertising Data-driven Video, Search & Display Ads Integrated RTB Social Marketing Technology Open & multi- platform Cloud

Brands Brand Economy

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Disaggregated Search Economy

Intro to Online Marketing

Individual & Social Data-Driven Economy

Digital Media goes mainstream

Source: Carat, 2008

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Intro to Online Marketing

Print Suffers (first)

Source: Martin Langeveld at Nieman Journalism Lab; data from NAA, TVB, IAB, McCann

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Digital Media Convergence

Print first medium to convert Television Movies Music

Print

Music followed

Television is increasingly converting

Movies will follow

Primary content consumed online

Primary content not consumed online

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Essential Change in Media Consumption

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Disintegrated Media Consumption

Bundled Content Piecemeal Content

Print

Music

Television

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THREE DOMINATING TRENDS

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Mobile internet will surpass desktop use soon

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Intro to Online Marketing

1. Mobile becomes mainstream

Results in new consumption patterns and marketing opportunities

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Intro to Online Marketing

New consumption patterns

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Increased use

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Mobile Advertising Starting to take off

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2. Social: a connected world

Users in the driver seat: Changes discovery & communication

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Intro to Online Marketing

Communication changes

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The internet through the social lens

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Social Recommendations

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3. e-Commerce gets a lift

Influenced by Mobile and Social

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New Growth in eCommerce

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Influenced by mobile

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Social and Local

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Intro to Online Marketing

So what to expect for advertising?

Outlook is good

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Intro to Online Marketing

Online advertising still has room to grow

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Intro to Online Marketing

ENABLED BY DATA

Online Data where do they come from

All online behavior is logged Web Server Log Files collect info on:

ISP IP Address Connection Type Speeds Browser name

Date and Time of logins

Clicks Pages Visited Entry & Exit Pages Length of interaction with ad Ads served Cookie based action

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Intro to Online Marketing

The Pyramid Model of Web Measurement Data

Unique Visitors
Visits Page Views
Known visitors Mostly anonymous visitors Totally anonymous visitors

Hits
Volume of available data
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Referrers

Source: WebSite Measurement Hacks, Eric T. Peterso

The social/shared data

Social networks have given rise to a whole additional set of data online

Data that users share about themselves (as opposed to inferred from the hit data)

Directly (e.g. age, gender, kids, interests, lost phone, etc) Indirectly (e.g. sharing articles, liking content)

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Intro to Online Marketing

Data influence on online marketing effectiveness

Data and measurability

Understanding Performance Understanding ROI Adjusting Marketing Mix

Data and targeting

Different targeting capabilities based on understanding of the user Different levels of detail provide a rich spectrum of targeting capabilities for the marketer

A whole new frontier

Anke Audenaert Intro to Online Marketing

Another important source of data: panels

Collecting browsing behavior data at the user level

Panels of users who agree to be tracked

Main purpose: providing competitive assessment of:

Audience size (reach) Repeat visitation (frequency) Engagement (time spent)

Biggest players: Nielsen Online, Comscore Newer players: Compete, Quantcast

Intro to Online Marketing

Anke Audenaert

Online Data Evolution

Increased technical capabilities and massive increases in storage and computing power have given rise to increasingly sophisticated use of data

- Basic hits data - Panel ratings data

-increased focus on site centric conversion data

- Monitoring of behavioral data - User experience data

- Increasingly sophisticated behavioral data - Real Time data

- Data exchanges - Social Data - Real Time Click data

Anke Audenaert

Intro to Online Marketing

Every two days now we create as much information as we did from the dawn of civilization up until 2003. Thats something like five exabytes of data -Eric Schmidt, CEO Google

ONLINE MARKETING: COVERING 3 MAIN AREAS

Online Marketing Defined

Using the World Wide Web to market products or services

Making, Keeping, Cultivating and rekindling relationships ~ Lorrie Thomas, Online Marketing, 2011

5 key components to effective marketing:

Awareness Communication/ Information distribution Connection (know, like, trust) Service (serving before selling) Sales

From one-to-many to one-to-few or one-to-one

Intro to Online Marketing

Anke Audenaert

Interactive Marketing Spent predicted to grow

3 main groups: -Display advertising -Search advertising -Social advertising (mobile cuts across)

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Intro to Online Marketing

Brand vs. Direct Response Campaigns

Brand Advertising: Focuses on awareness, information distribution and connection Direct Response Advertising: Focused on connection, service, sales

The internet is an effective medium for both brand and DR advertising, but different approaches are used

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Intro to Online Marketing

Display Advertising

Oldest form of online advertising Has come a long way:

From static to dynamic to video From RON to Targeting From traditional direct sales models to online marketplaces From Head content only to including the Tail

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Intro to Online Marketing

Search Engine Marketing

paid search: targeted to specific search keywords

Revolutionized the search and the web, originally started by GoTo.com (Overture)
Horizontal or vertical search Most Common Pricing Model

PPC: Pay Per Click

Keywords sold through auction

Intro to Online Marketing

Anke Audenaert

Social Marketing
Centered around content marketing Wide variety of sites, but Facebook and Twitter dominate Requires an involved, ongoing social marketing strategy (goes beyond placing an ad) Complex, harder to control and measure, and absolutely essential

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Intro to Online Marketing

Class Focus: The Digital Marketing Eco System

Display Advertising

Search Marketing

Social Marketing

On multiple platforms (mobile and non-mobile)

Powered by Data

Anke Audenaert

Intro to Online Marketing