Are you Maintaining or Innovating? Useful Tactics for ... · Innovating? 2020 Australian Consumer...

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1 Are you Maintaining or Innovating? 2020 Australian Consumer Insights & Useful Tactics for Marketers

Transcript of Are you Maintaining or Innovating? Useful Tactics for ... · Innovating? 2020 Australian Consumer...

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Are you Maintaining or Innovating?2020 Australian Consumer Insights & Useful Tactics for Marketers

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Shopper Behaviours and Insights

Consumer views on Privacy

The Power of Messaging

Loyalty is a Must

Study Topics

4,116Australian Consumers

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Shopper Behaviours and Insights

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Consumers are influenced by a number of factors when making purchases. Brands need to prioritise their positioning and value proposition as privacy and product relevance increase as key purchase considerations.

48% make purchase decisions based on best price or value for their spend.

13% want brands to behave responsibly and take that into consideration when pulling

out their wallet.

% make purchase decisions based on best

price or value

Australia Purchase Persuasion Factors

% want brands to behave responsibly and take

that into purchase consideration

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Australia Shoppers & Their Motivators

Shoppers in Australia are driven by a number of factors that your brand can control. Price, availability, even your corporate behavior are factors. Loyalty programs can bolster your chances of success on top of these known motivators.

Look for value when deciding to spend their

dollar.

Want products and services to fit their

lifestyle.

Want faster, better and easier shopping

experiences.

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The opportunity for brands and retailers is to personalise offers and orchestrate their messages across delivery channels (email, sms, in-app) to make purchasing easy.

45% have downloaded an app from a retail establishment.

38% have purchased on their mobile phone because of an email they received.

% that have downloaded an app from a retail

establishment.

Mobile Commerce In Australia

% that have purchased on their mobile phone because of an email

they received.

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Consumer views on Privacy

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How Comfortable Are Consumers Trading Data For Services?

Collecting zero-party data is crucial to a brand's ability to personalise marketing across owned and paid media channels. Getting it from consumer requires a value exchange. You have to give to get. This shows Australian consumers' willingness to share their personal data with brands in exchange for valuable goods or services.

Are willing to provide data in exchange for goods or services.

Are not yet willing to share data with brands for good or services.

Are unsure or had no opinion on the topic

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How Privacy Incidents Have Affected Consumer Interactions With Brands

Privacy incidents have certainly changed the way consumers think about their own data. But to what degree? We asked Australian consumers how their habits around the data have changed in regards to recent privacy issues.

I Limit The Number Of Brand I Provide Data To

I Do Not Trust Social Media Platforms To Treat My Personal Data With Respect

I Delete Cookies Regularly

I Use An Ad Blocker On My Computer And/Or Phone

I Read The Privacy And “Terms And Conditions” Thoroughly Now

I Manually Override The Data Sharing Abilities For Apple On My Phone

None Of The Above“One in three feel they are in control of their privacy, while just as many do not.”Source: Which-50 | The Office of the Australian Information Commissioner

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What Drives The Value Exchange Economy?

Offering consumers something valuable to them in exchange for their zero-party data is the new value exchange economy. Brands need that data but making sure your customers are receiving real value is paramount. We asked Australian consumers what interests them when considering revealing purchase intent and other psychographic data to brands.

How Consumers Score OfferingsFrom Brands

Discounts Or Coupons

Loyalty Points/Rewards

Early And/Or Exclusive Access To Offers

A Chance To Win Something

Unlocking Content

Community i.e. - I Want To Connect With Other People Who Like The Brand

Highly Valuable

Somewhat Valuable

Not Valuable

Not Applicable

“The great majority – 87% of people – are saying they want more control and choice over the collection and use of their personal information.”Source: Which-50 | The Office of the Australian Information Commissioner

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Value Exchange

Marketing to individuals requires a value exchange. Providing a value exchange in return for consumer data, engagement, and loyalty gives brands the edge

Marketer’s Challenge: Amid growing privacy concerns, how do you establish direct relationships with consumers?

For Engagement

Triggered Messaging

Real-Time Information

Cross-Sell & Up-Sell

personalised Campaigns

Journey Orchestration

For Loyalty

Loyalty Points

Real-Time Offers

personalised Experiences

Behavioral Rewards

Status Achievement

For Acquisition

VIP Treatment

personalised Content

Competitions

Surveys

Social Kudos

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What Data Will Consumers Offer Up?

When considering the new value exchange economy, the types of data brands need from consumers revolves around purchase intent, product feedback and other psychographic insights. This is zero-party data and can not be deduced by behaviour or technology. It's freely offered directly from the consumers themselves.

Types Of Data Consumers AreWilling To Share

My Product Feedback

Info On Products I May Buy In The Future

Info On Past Purchases

Demographics (Name, Age, Gender, Income, Etc.)

Info On How I Research And Products I Purchase

Info On Where, How And Why I Make Purchases

None Of The These Types Of Data

But what are Australian consumers willing to share with brands to get better products, offers and services?

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The Power of Messaging

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Email Is Stronger Than EverAustralian consumers rank email as the #1 channel for receiving offers, incentives and rewards from brands and retailers. Email is still a key driver for consumer action including sales.

Email is preferred 39% more than in-app, physical mail or SMS

messages.

Made a purchase from an email sent by brand or retailer in last 12 months.

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Email Crushes Display & Social

Emailvs.

Social Ads

236%Email

vs.Branded

Social Post

Email Outperforms Display Ads

131% 131%

When it comes to driving sales in Australia, email beats a banner ad used online or in-app by 236%.

Email also tops social media native ads by 131% and an organic branded social post by 131%.

Increasing the volume of known consumers in your database is key to driving meaningful action. Messaging (email, sms, in-app) are core channels that will drive sales and outperform more expensive paid media strategies.

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Elevate Your Messaging ImpactHaving a strong messaging strategy with well orchestrated offers needs to be rooted in both first- and zero-party data. Creating messaging opportunities based on transactional data is great, but using zero-party and psychographic data to personalise those messages will differentiate your brand from your competitors.

35% of consumers are more likely to engage with a message that is related

to a recent purchase (of those who are currently happy receiving

messages from brands they enjoy)

Additionally, 30% of respondents are also more likely to engage with offers

or content in messages that use personalisation.

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Post-Purchase Program

Shape the post-purchase customer experience through engaging messaging. Think beyond transactional messaging and speak to customers in a way that stimulates continued engagement with your brand.

Reviews & Feedback

Encourage customers to review or rate the product or

service

Channel Alert

Drive customers to your other channels to ensure you can reach them with

different types of content

Cross SellUp Sell

Recommend other products or

categories that a customer will be likely to buy into

Brand Education

An opportunity to educate customers on the benefits of

your brand and reaffirm they made a

good purchase

Thanks

An opportunity to thank your customer

for their business

Refer a Friend

Ask loyal customers to refer friends and

family with an incentive

Preferences

Ask customers what they prefer in order to gather data and

progressively profile them

Marketer’s Challenge: How do you encourage engagement after a recent purchase that is not just transactional?

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Tailored Help Messages designed to provide valuable assistance or support while using a limited number of data dimensions to balance consumer relevance against privacy concerns

Source: “Rethink Personalization for Maximum Impact” - Gartner | “Pivot to Person-First Personalization” - Forrester Report

I have information to help you

I can simplify things for you

I think you might need this

I care about you

“Prove You Know Me” “Help Me”

Marketer’s Challenge: How do you create and drive content that consumers find truly relevant and engaging?

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Repeat CustomersPost-purchase communication

Relevancy Before ReachPersonalised Messaging

To add your own screenshot:

Place your screenshot on the slide.

With your screenshot selected, open the “arrange” file tab >

“order” > “send to back”

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Send TimeMatters

When sending messages in Australia the time and day of delivery matters. Direct feedback from consumers shows that 5pm -10pm local time is the sweet spot for delivery to consumers. All other periods are less than half as effective as that key time slot.

When Consumers Are Most LikelyTo Engage With Brand Messaging

Early Morning(Before 7am)

Before Work(7am-9am)

At Work9am-5pm)

Evening (5pm-10pm)

Late Night(After 10pm)

Weekends

Anytime

N/A

Your messaging strategy needs a robust platform that empowers the right-time delivery of critical offers and content.

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Make sure your testing pool is big enough to be

significant

1 2 3 4

Define Your Objective

Choose Your Function &

Themes

Define Your Control Group Implement

5

Record Results

Testing PlanIf you do not have machine learning to determine the optimal send time for a particular customer, the best way is to have a well developed testing plan. In this way you can continually assess what works for your audience to drive optimal engagement and ROI.

Marketer’s Challenge: How do you ensure a customer is receiving a message at the right time in order to optimise performance

Review, Rework, RetestAct on the results and

make adjustments

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Loyalty is a Must

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Top Drivers Of Brand LoyaltyThe main drivers of brand loyalty in Australia involve having a great product or service and offering a robust loyalty program. Investments in these areas will ensure a long term return and differentiate you from your competitors.

Are loyal because of great products and services.

Are loyal because of a loyalty points or rewards program.

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Grab Your Slice Of The Loyalty Audience

Australian consumers are loyal, but also opportunists. Brands should leave nothing to chance and develop a loyalty strategy that keeps customers thinking about you first in decisive moments.

Will remain loyal to a brand by paying more or waiting longer to purchase a

brand.

Feel they are loyal to certain brands but will take advantage of a cheaper

offer if made by a competitor.

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Emotional loyalty has three components

Affinity Attachment Trust

Marketer’s Challenge: Create a strategy that moves customers from transactional loyalty to emotional loyalty?

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Loyalty is not new to your customersConsumers are participating in loyalty programs, even if you are not offering one. Only 5% of Australia’s consumers do not participate in a formal loyalty program with a brand today.

Participate in 1- 3 brand loyalty programs.

Participate in 4- 10 brand loyalty programs.

Participate in more than 10 brand loyalty programs.

Australian consumers have come to expect a loyalty offering from brands. The question is if your brand is ready to deliver one.

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Successful Loyalty Programs Are Anchored In The Consumers Wants, Not The BrandsHaving a successful loyalty program needs to be based on the value of the items and their relevance to the customer. Too frequently brands fill programs with items that don't align with their customers' desires.

% Of Consumers That StopEngaging With Loyalty Brands

The Rewards Offered Are Not Valuable To Me

The Rewards Aren’t Relevant To Me

I Don’t Qualify For What I Like

Too Much Spam In The Program

Program Is Not Easy To Use

Lack Of New Rewards ItemsGreat loyalty programs match zero-party data insights on customers to offer relevant and personalised perks. Unifying your data to orchestrate the right offer to the right people, at scale, is paramount to loyalty success.

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Loyalty Principles

Step back from your loyalty program and evaluate whether it is meeting some key principles. In order for the program to be successful and engaging it should meet the fundamental loyalty principles.

Surprise & Delights

The program surprises with

unexpected and personalised experiences

Emotional

The program gives the member a sense of

belonging & exclusivity

Valuable

The program delivers tangible perceived value to engaged

members

Developing

The program evolves to achieve

ever-increasing member engagement

Simple

The program is simple to join, understand and engage with

Differentiates

The program positively contrasts

the business against competitors

Source: Australian Loyalty Association

Marketer’s Challenge: Become a top of mind loyalty program with your target audience through consistent engagement and perceived value.

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Key Findings

of Australian consumers are willing to share their product

feedback with brands

When it comes to driving sales, email beats banner ads, social media native apps and organic

posts by up to 236%.

Consumers are loyal by nature, with 55% prepared to pay more or wait

longer to purchase from a preferred brand.

Data Consumers Will Offer Up Email Drives Sales Loyal & Opportunists

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Key Considerations for Australian Marketers

● Define the list of data you are looking to collect.

● Identify what value your customer might be willing to exchange data for.

● Consider how the newly collected data would be used to meet business objectives.

Collect Data Drive Engagement Emotional Loyalty

● Get the right marketing channel mix to stimulate engagement & drive revenue.

● Strive for authentic engagement from customers.

● Avoid sending communication that is only transactional, especially post purchase.

● Enhance your content strategy to be more personal.

● Ensure your loyalty program is successfully solving for a business challenge.

● Assess customer perception in terms of the value of your rewards or program.

● Develop a long-term strategy to move customer from transactional loyalty to emotional loyalty.

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Power direct to consumer relationships With a clear value exchange from acquisition to loyalty

Grow YourDatabase

Turn marketing and advertising efforts into a consumer database using engaging experiences to convert the unknown to known

Build ConsumerProfiles

Gather zero party data such as purchase intent and psychographic data at point of ingest to profile consumers

Cheetah Experiences

1 2

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Unknown Consumer

Unify YourDatasets

Bring POS, ERP and other first party data into a single, unified platform for real-time insights and activation

Segment &Analyse

Engagement Data Platform

Discover opportunity, build audience segments and orchestrate data with real-time interaction management

3 4

Known Customer

Cross-ChannelEngagement

Activate your first and zero party data to deliver personalised messaging and journey orchestration delivering higher engagement

PersonalisationAt Scale

Cheetah Messaging

Deliver content and offers via email, sms and mobile wallet at scale with deep analytics and optimization via machine learning

5 6

Retained Customer

FosterAdvocacy

Cheetah Loyalty

Engage, reward and incentivize customers to drive more revenue and interaction while optimizing your offers and building customer lifetime value

A seamless consumer journey that rewards behaviour as well as transactions fosters emotional loyalty to the brand

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Reward Loyalty

Loyalty Member