Unleash the power of your data assets in a social sphere.
This time on the Insightful Media Series, we are going to look at CRM Retargeting, a marketing tactic that enables you to reach your customers with online display advertising by using your offline customer database.
What is it?
Customer Relationship Management Retargeting, also known as Data Onboarding is a tactic which helps advertisers engage customers that haven’t been active lately and motivate them. It also helps clients expand their current audiences by creating lookalike audiences similar to high performing customer segments in order to drive activation and new business.
Social CRM is a phrase used to describe the addition of a social element in traditional CRM processes. Social CRM builds upon CRM by leveraging a social element that enables a business to connect customer conversations and relationships from social networking sites in to the CRM process.
You can create a unique audience by accessing existing customers through their email or phone numbers and then targeting them via Facebook, known as custom audiences or via Twitter using tailored audiences. These unique audiences will then be subject to multiple strategies depending on the advertiser’s purpose in order to drive ROI.
How does it work?
Essentially, CRM works by gathering customer information that you get for example from a supermarket discount card. Once the customer has used it, whatever he/she has bought along with the consumer’s details are entered into a database that would give the business an accurate idea of which customers buy which products. The business therefore analyzes the collected information to understand customer or market requirements. By matching your list of customer details against login databases, advertisers can target display ads specifically to people on that list wherever they are browsing online. With this new information, you can then adjust your marketing campaigns accordingly to achieve the following objectives;
Reach: reach customers that aren’t opening your emails to drive conversions that never would have happened
Expansion: Create lookalike audiences of high performing customer segments to drive activation and new signups
Insight: understand through A/B testing the appropriate messaging strategy and copy. Get response results from customers just like your most important ones so you know what will resonate without your list.
How can you benefit from CRM?
There are many goals that businesses have when implementing CRM techniques. For instance, a business may want to improve customer service and ultimately improve customer satisfaction. The business may also want to maximize revenue by advertising the right products to the right clientele, which ultimately means that businesses need to know what people want. CRM provides the insights which can be relied on to enhance sales, customer support and success in business. CRM is typically used to deliver the following business advantages:
- A 360 degree view of business
- Organizational-level data sharing
- Reduction in cost on customer acquisition
- Centralized customer interaction
- Improved customer support
- Increased customer satisfaction
- Higher rates of customer retention
- Increased revenue at a low and competitive cost
CRM Retargeting Products:
Facebook’s Custom Audiences
If you want to reach your existing customers on Facebook you can do so by creating a custom audience, using previously acquired email addresses, phone numbers, Facebook user ids or app user ids. This approach lets you create ads that appeal directly to specific groups of people. For example, you can run an ad campaign to get more likes for your page by just targeting customers who have signed up for your website email newsletter but haven’t liked your page yet.
Many advertisers find custom audiences valuable, because they can use the feature to directly reach out to known segments of their customers. This will increase the likelihood that users will engage with the ads because the message is tailored to them. By targeting the right people with the right messages, advertisers on Facebook have seen as much as six times the return on their ad spend.
Another benefit is that custom audiences can be used to create lookalike audiences. Lookalike audiences consist of people we identify on Facebook with similar characteristics to the ones on your custom audience. This lets you reach a wider audience that is more likely to be interested in your business, which in turn can help you boost fan acquisition, site registration, off Facebook purchases, coupon redemptions and push brand awareness.
Twitter’s Tailored Audiences
Twitter has launched a very similar product, which offers advertisers access to targeting data from sources external to twitter. Marketers will be able to target Twitter users based not only on their location, gender or other information provided on the Twitter platform. In fact they can use insights from search engines, site visits and CRM data.
Twitter is pioneering on mobile retargeting also. Twitter being a platform that individuals access from multiple types of devices, it is in a unique position. Without cookies on mobiles, it is not possible to retarget, unless you tie the identity of a mobile user to what they do on the computer. This is known as a unified identity layer.
This product is available globally to all advertisers via a group of ad-tech start-up partners. Advertisers are able to target recent visitors to their websites with retargeted Promoted tweets and Promoted accounts. Twitter retargeted ads will make sure the ads displayed on each account are for products or services the user has expressed an interest in.
How Can We Help?
Insightful Media is using CRM retargeting where possible with its advertiser clients. We are seeing the benefits at first hand of using this tactic. It plays a special role right across the customer lifestage cycle from reactivating lapsed customers to upselling to a client’s best customers. It works because it builds on an existing and known data relationship.
To understand how we can put CRM retargeting to work for you, please call us on 01-7030406 or email us on firstname.lastname@example.org
We have finished this edition of the Insightful Media Series with a look at two case studies relating to the practice of CRM Retargeting.
Case Study 1
Client Industry: Sport Entertainment – Selling Tickets Online
Technique: CRM Retargeting
Background: Insightful Media were asked by a Sporting organisation to help them generate demand and sell tickets for a less popular fixture.
Solution: We imported a database of fans of the sporting organisation and created a sub segment of people we knew had not bought tickets for a particular upcoming game.
The data was encrypted so the information we used was not personally identifiable.
We ran ads in the Facebook Newsfeed targeting these particular people. We also placed pixels on the conversion page to allow us to measure and compare the results of this activity.
Results: By the end of the campaign, we compared our CRM retargeting tactic with interest based targeting (fans of the Sport) on Facebook. The ROI on the CRM Retargeting activity was 3 times greater than the return from the interest based targeting demonstrating that advertisers should look to their existing customer data assets first before committing spend on more general prospecting activity.
Case Study 2
Client Industry: Video Chatting and Instant Messaging
Technique: Social CRM Retargeting
Background: At ooVoo, they were interested in increasing their best audience by targeting lookalike consumers in order to create a bigger audience and generate more downloads. In addition, they wanted to decrease the cost per download and drive greater profits. To do this, the advertiser leveraged social CRM retargeting.
Solution: The first step, was to analyze ooVoo’s client database in order to segment their users using the advertisers CSV tool and then to create lookalike audiences for an App Install Campaign.
Results: By the end of the CRM retargeting process, ooVoo had decreased their cost per download by 28% and had increased overall downloads by 20%, resulting in thousands of Euro savings.