Search results matching tag 'consumer behaviour'

Is the rush to embrace digital eclipsing the traditional?

2652554 — Mon, 28 Sep 2009 13:25:00 GMT

Digital digital digital – isn’t it wonderful?! With its power to engage, its speed, the huge choice and access it offers consumers and, not least, the vast opportunity it provides for marketers to get under the skin of prospects and customers like never before.

Well, a resounding ‘yes’ to all of the above and more. As marketers we must all learn to adopt and adapt to all things digital if we are to maintain currency, credibility and capability. Traditional DM agencies can no more afford not to have some kind of digital skills now than their above the line colleagues and, in the heady world of data in particular, digital’s role is rapidly moving from peripheral to central.

The richness and depth of the data that can be captured, analysed and manipulated takes us closer to real-time customer insight and understanding than ever before. Clickstream and web analytics are just a couple of the many tools now at our disposal to track consumer behaviour and preferences in minute detail. There seems to be daily coverage on some clever new way of using web, e mail and mobile data to better effect, eclipsing other channels in a frenzy of new technology-itis.

And at this point we need to sound a cautionary ‘But’. Yes, the speed of technological change in the digital channel is exponential and very, very exciting – of course, this brings its own challenges with almost instant obsolescence of the latest gadgets – but let’s not lose sight of the bigger picture. Data to drive consumer insight comes in all shapes and sizes – at campaign level, at channel level (including digital) and at customer and household level. Clever tools such as web analytics are excellent when well-used at campaign and channel level. The problem is that they only give a part of the picture, so whilst the digital channel and the data-rich benefits it brings are growing rapidly in importance, a little perspective can go a long way.

High streets may have suffered in the last few years but we still see millions of people browsing and shopping in-store every day of every week. Direct mail volumes may be dropping but there’s still plenty piled up waiting for us when we get back from holiday. Call centres are also still seeing a brisk trade for both sales and service, and for more complex, big ticket products (especially such as pensions and mortgages in the financial services market) many consumers still prefer the reassurance of dealing with someone face to face.

So digital, although growing very rapidly, is still only part of the whole channel mix. What’s more, most consumers will often use a mix of channels - sometimes over a sustained period of time – to make their purchase. Using data from all relevant channels and bringing it together at the customer level is where we get the real insight for improving communications and targeting.

So the value to be gained from data sourced from digital activity is enormous, but let’s not lose sight of the basic (and still valid) principles of what makes great direct marketing. By looking at the picture from the customer perspective the whole really does become greater than the sum of the parts.

Universal Wi-Fi should be like street lighting.

1319935 — Thu, 22 Jan 2009 12:58:00 GMT

First day at the new office, pop to Starbucks to write a speech. No plugs for the laptop. Grr. That’s why Starbucks is so annoying. You think you’re going to get decent coffee, but it’s a bit random. You think you can work wirelessly, but unless you have an account with T-Mobile, it’s expensive. Roll on local authority funded wireless networks, like they have in Islington. Or free wi-fi, like they have in most of the cafés in Stoke Newington and Valparaiso. Come on Starbucks. Catch up with the modern ‘knowledge-working’ habits please, and provide more than one plug for the low battery life mac users, and free wi-fi with the skinny caps. Loved the John Coltrane backgroud music though. Credit where credit's due in educating the world that A Love Supreme is not an ice cream at McDonalds.

Flash report from the imedia brand summit

1319935 — Fri, 14 Nov 2008 11:59:00 GMT

Intel, the BBC, Dell, Coca-Cola, Samsung and Cadbury’s et al presented experiences of interactive capacity and competency in their companies.
I was asked to moderate a panel of experts from the newspaper industry, the BBC, the online travel world and the global advertiser on the state of the nation of the impact digital technique has in the world of communication. A very high quality panel discussed a range of issues, including how businesses are organising themselves for effectiveness in the digital world, and what some of the challenges have been in getting them there.

Peter Ward from WAYN (the travel social network) spoke well about how his business has pushed the limits of technique from the beginning. As with many other social networking sites, WAYN enables its users to create a profile and upload photos. Users can then search for others, and link them to their profiles as friends. If you register it is possible to send and receive messages using email, discussion forums, eCards, SMS and instant messaging. Matt from the BBC spoke about how stakeholder management remains a skillset we need to excel at since the need to get so many interest groups focused on a single strategy around the consumer is as critical in the BBC's world as it is in the world of brand communication.

Simon Shipley from Intel was firm in his belief that delivering digital work required a commitment to learning new skills. Intel has undertaken a serious programme of training internally to digital knowledge. And the ability to develop communities of interest amongst target audiences has been one area of growing effectiveness. Intel runs a programme aimed at IT Managers, a critical audience (in both meanings of the word) called the IT Manager Game. It’s proving to be more and more effective as time spent and quality of content consumed through the game play increases. It’s a completely ‘non-traditional’ activity, which makes it harder to measure in terms of media metrics, but easy to measure in terms of effectiveness of shifting perception and commitment to the Intel brand.

Anne Foster from the Newspaper Marketing Agency reflected on how the demands of advertisers had changed to reflect the audiences, and the mood in the media industry was definitely a focus on sales and ROI rather than brand. Also there were different levels of media need by category. We had talked offline about an increased interest in emotional factors influencing decision making, which, and how we are in danger of too much focus on the short term. It’s inevitable, though, in current forecast market conditions. Anne also presented a strong grip on the statistics of consumer behaviour, how they consume media and what this means.

Measurement remained a big issue for everyone. I put the question to the floor “is anyone happy with their measurement?” and the universal response (although in such an environment it’s natural for people not to give too much away) was “not really.” There are new dynamics of measuring digital media, and dashboarding gives us a view, but there is a shortage of common currency, both in planning and measurement. For example, the current pressure on ROI and direct response means refocusing on click through, but as consumer behaviour online has adapted to the range of content and browsing behaviour, click through just isn’t enough.

So what’s the answer to that? Again, opinions varied, and the room was divided on what we’re trying to measure. My take is that if we accept the job of the marketer is to be gaining or defending ‘share’, or launching new products, services and variants, then we need to have people with the broad view as well as the detailed ability to pick targets off one by one. Share, of course, is only one aspect. Profitability is another, and sustaining profitable share is the job of everyone, not just the marketer. There is universal need to learn, however, how ‘being part of the conversation’ can be measured in these terms.