Gain Quality Leads That Won’t Break Your Budget
Cost per lead (CPL) has long been considered the gold standard in marketing – it’s hardly surprising, as 63 percent of businesses cite generating traffic and leads as their biggest marketing challenge.
However, while CPL can be a reliable metric, it does have one rather large omission: it doesn’t consider the quality of the leads. A low CPL is desirable, but it shouldn’t come at the cost of high-quality leads – this will result in a low conversion rate, and fewer sales for the brand. No one wants that.
The good news is that a low CPL doesn’t have to mean low-quality leads. By harnessing the power of artificial intelligence (AI), marketers can find high-quality leads with a high conversion rate, and at the same time bring down the CPL.
Pick Out the High Performers: Identifying and Targeting Lookalike Audiences
An AI-enabled platform can identify which devices customers use, and build a behavior profile based on their cross-screen activities. Once you know who your highest performing audience groups are (i.e. those most likely to convert browsing into purchases) by demographics and interests, the platform can identify other users who share those attributes. This is called finding lookalike audiences.
Brands can, therefore, identify and buy access to the best audience for their campaigns, expanding their reach beyond the traditional domain.
Maybe your best audience is the one who viewed 10 products over the course of three days, as opposed to those that viewed five products in a single day, for example. The traditional marketing approach would be to target each of these groups in turn and hope for the best. However, AI removes the guesswork by allowing you to focus on those highest performing customers for maximum return.
Remarketing to reduce delays in sales
Artificial intelligence also helps with remarketing (reaching potential customers who have expressed interest in a product but not yet converted). By reaching the user on every screen they use, you will shorten the time between the initial visit and the actual purchase.
For example, if a user browses a product on his laptop and later on his smartphone, an advanced system can remarket to him via both platforms, through email for the laptop and by an app notification for the smartphone, say. This makes it much easier for the consumer to purchase, as it only involves a couple of clicks, rather than the switching devices and/or from an email program to a web browser.
A Person, Not a Device: The Importance of a Single Customer View
An AI-enabled platform lets you tailor recommendations and advertising creative to each user’s unique cross-screen behavior and browsing history (aka the Single Customer View). Because it recognizes these activities as those of an individual, and not just a device, it builds a picture of them as a person, with certain interests, behaviors, and habits. Not only does this increase the chances of a higher conversion rate, it also makes it easier to find lookalike audiences, because you know more specifically what you are looking for.
For instance, you are interested in the cross-screen web browsing history of a male consumer named A. Using traditional marketing techniques, you would only see that content being consumed on different screens is about sports, technology, finance, and travel. Multiple touchpoints make it hard to tell how many consumers are using these devices, and these topics are also too vague to really build a picture of what he is interested in.
By analyzing the cross-screen behaviors and the keywords within the online content A consumes, AI can link all the devices owned by him, and determine that he is searching for basketball with virtual reality, bitcoin, budget bed, and breakfasts while traveling, and so on. Immediately you have a much more vivid picture of who A is and where his interests lie, which enables you to tailor your marketing materials to him as an individual. Crucially, you can start a dialogue with A – and with those who share his interests – which will build a relationship between him and your brand.
Put a Limit on It: Frequency Capping and the Power of Saying No
Of course, with all this power at your fingertips, it’s tempting to bombard the consumer with marketing messages, but that risks overloading them, which will only serve to alienate them from your campaign. It will also cost you more.
Instead, smart AI algorithms employ frequency capping to ensure you don’t overwhelm your customers. It also means you spend your budget efficiently and limit wasted impressions. As it works across every screen your user owns, it knows they are the same person instead of assuming a new individual for each device. That way, you won’t send them mixed marketing messages.
Capping is available per day or per action during the life cycle of a campaign. AI can find the best rule depending on your preferences. You can also limit it to a total number of impressions or clicks.
Taking global beauty and skincare brand Estée Lauder as an example, it employed the above techniques to huge success. It used Appier’s CrossX Lookalike feature to identify new, high-value, young audiences from the profiles in the CrossX database with data collected from over 3,000 campaigns run by Appier. Estée Lauder increased its number of leads by 167 percent while reducing its CPL by 63 percent. It also shortened the time to conversion among valuable users who were interested in the brand by using CrossX’s remarketing and frequency capping tools.
AI is an immensely powerful tool for marketers looking to increase the quality of their leads while decreasing their cost per lead. It shows that when it comes to marketing leads, low cost can mean high quality.
WE ARE HERE TO HELP
YOU MIGHT ALSO LIKE
Marketers have more data than ever at their fingertips, but how to make sure you are using the data to its full potential? Big data analytics can unlock the power of data, and offer insights on customer habits, interests and trends, helping you predict their future actions and plan your marketing campaigns accordingly. What Is Big Data Analytics? Big data refers to not only the huge amounts of data, but also the varied and numerous different types of data sets. This data includes customer behaviors like spending habits and interests, consumer trends, as well as hidden patterns and correlations that can help illuminate current market fluctuations. Marketers can make sense of this data through the methodology of big data analytics, which is a form of advanced analytics, requiring high-performance analysis systems. For many companies, the investment can really pay off. What Are the Benefits of Big Data Analytics? Knowledge is power, as the old adage goes. Big data analytics can unlock an enormous amount of knowledge about what your customers want, do, fear and dislike on your channels, but also on external websites. It can also provide unique insights on seemingly unrelated aspects of your customers’ lives –
Companies in APAC are spending more on marketing than ever before: advertising spend in the region is set to grow 3.6 percent in 2020 compared to 2019. To make sure your marketing budget is being used wisely, you need to understand your customers’ needs, and you can’t do that without a grasp of consumer behavior – for instance, how they act during the purchasing journey, and what factors influence their behavior. What Is Consumer Behavior? Consumer behavior is the analysis of how consumers make decisions about what to buy, when to buy it, and how to do so. As well as purchasing behavior, it also involves how consumers think about various brands, how they choose between them, how they behave while deciding what to buy and how they are influenced by marketing campaigns, personal preferences, social and economic pressures and the wider culture. Understanding consumer buying behavior is vital for marketers, as it sheds light on why consumers make the decisions they do. In turn, this will help marketers to understand which of their campaigns are more effective, and to more highly target their marketing spend in the future, increasing return on investment. There are three types of human
Although global e-commerce is estimated to rise 20.7 percent in 2019 to US$3.535 trillion, it still only accounts for less than 15 percent of total retail sales worldwide. Most consumers would still want that in-store retail experience. While there are many digital tools to boost online sales these days, what about driving in-store traffic? The good news is, some of those same tools can bring people into your shop as well as help direct them to your website. The most potent of these is an email marketing campaign. According to eMarketer, 80 percent of retail professionals say email marketing drives customer acquisition and retention – that is more effective than both organic search and social media. In Asia Pacific, email sales are almost equal to those sold through a company’s website (14.4 percent compared to 14.8 percent, respectively), according to Deloitte. So, how can you harness the incredible power of the email marketing campaign to drive footfall into your bricks-and-mortar stores? No Limits: Why Email Campaigns Are Not Just for Online Sales Because of their digital nature and convenience for customers, email marketing campaigns are commonly used to drive online sales, such as using online discounts and vouchers, remarketing