opticon 2015-early lessons in personalization strategy
TRANSCRIPT
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#opticon2015
8 Early Lessons in Personalization
Hudson Arnold Strategy Consultant Optimizely
@hudson_arnold
Catherine Pao Growth Product Manager Blue Apron
@capow
Mike Norland Senior Marketing Strategist AdRoll
@norland
Tyler Bullen Program Manager The Clymb
@tylerbullen
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Lesson 1: Personalization is not 1-1 (to start).
@hudson_arnold #opticon2015
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Yes, people are snowflakes...
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But we have important (actionable) things in common
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Audiences: A subset of your customers that share 1 or more attributes.
@hudson_arnold #opticon2015
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Demographic + Contextual + Behavioral
@hudson_arnold #opticon2015
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So it’s not 1-1 - how do we start?
@hudson_arnold #opticon2015
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Layer on actionable audiences...
has bought Slim 36 Jeans
@hudson_arnold #opticon2015
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In order of ‘actionability’...
has bought Slim 36 Jeans is in San Francisco
@hudson_arnold #opticon2015
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To develop an eventual picture...
has bought Slim 36 Jeans
On iPhone 6
is in San Francisco
@hudson_arnold #opticon2015
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of (something close to) a Single Person
has bought Slim 36 Jeans
On iPhone 6
is in San Francisco
is a Male
@hudson_arnold #opticon2015
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maybe a shiny-headed person
has bought Slim 36 Jeans
On iPhone 6
is in San Francisco
is a Male
@hudson_arnold #opticon2015
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1 Person, Multiple Audiences (It didn’t start 1-1)
● Promote Pants (Never shorts in SF)
● Prioritize size 36
(my size) ● Ask for a Pin
(iPhone behavior) ● Show male cross-sells
(I buy guy’s stuff)
@hudson_arnold #opticon2015
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Lesson 1: Personalization is not 1-1 (to start).
@hudson_arnold #opticon2015
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#opticon2015
Catherine Pao Growth Product Manager Blue Apron @capow
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Lesson 2: Not every organization is ready for personalization.
@capow #opticon2015
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Experimentation Process
1. Set up/ run experiment 2. Analyze Results 3. Make Decision
@capow #opticon2015
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Experimentation Process
1. Wait for development resources to free up. 2. Set up/ run experiment 3. Analyze Results 4. Make Decision
@capow #opticon2015
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Experimentation Process
1. Wait for development resources to free up. 2. Set up/ run experiment 3. Wait for analyst availability. 4. Analyze Results 5. Make Decision
@capow #opticon2015
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Experimentation Process
1. Wait for development resources to free up. 2. Set up/ run experiment 3. Wait for analyst availability. 4. Analyze Results 5. Find inconsistencies/ errors in the experiment setup. 6. Make Decision
@capow #opticon2015
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Experimentation Process
1. Wait for development resources to free up. 2. Set up/ run experiment 3. Wait for analyst availability. 4. Analyze Results 5. Find inconsistencies/ errors in the experiment setup. 6. Re-run the experiment. (Steps 1 & 2) 7. Make Decision
@capow #opticon2015
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Experimentation Process
1. Wait for development resources to free up. 2. Set up/ run experiment 3. Wait for analyst availability. 4. Analyze Results 5. Find inconsistencies/ errors in the experiment setup. 6. Re-run the experiment. (Steps 1 & 2) 7. Re-run the analysis. (Steps 3 & 4) 8. Make Decision
@capow #opticon2015
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You’ll run into similar struggles with personalization.
@capow #opticon2015
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Messaging vs. Layout Changes?
OR!
[Custom Message Here]!
@capow #opticon2015
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Bigger structural improvements?
OR!
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Lesson 2: Not every organization is ready for personalization.
@capow #opticon2015
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Lesson 3: Target beyond classic market segments.
@capow #opticon2015!
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Targeting everybody is targeting nobody.
Hipster Henry! Shopaholic Sue! Millennial Mark!Retired Richard!
Image Source: http://www.contentcurationmarketing.com/boost-your-content-strategy-with-buyer-personas/!
But what if you don’t have a full-blown segmentation?
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Take advantage of technical attributes.
@capow #opticon2015
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Logged In vs. Logged Out!Coupon Cookie Info!
Seen XYZ Page!Seen XYZ Modal!
Cookies
@capow #opticon2015
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!Paid Ad Channels!
Organic Ad Channels!Campaigns within Channels!Keywords within Campaigns!
Query Parameters/ Referral Sources
@capow #opticon2015!
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!IE/ Chrome/ Firefox/ Safari!
Mobile/ Tablet/ Web!Morning/ Afternoon/ Evening!
Weekdays/ Weekends!
Browser/ Platform/ Time/ Day
@capow #opticon2015
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Experiment: Downloading a Recipe PDF
BEFORE @capow #opticon2015
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Experiment: Downloading a Recipe PDF
AFTER @capow #opticon2015
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Experiment: Downloading a PDF Recipe
• Cookie Targeting Check if a user is logged out Check if a user has inputted an email already for any modal
• Results
~30% users entering their email address
@capow #opticon2015
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Experiment: Branded Google SEM Traffic
BEFORE @capow #opticon2015
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AFTER
Experiment: Branded Google SEM Traffic
@capow #opticon2015
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Experiment: Branded Google SEM Traffic
• Query Parameter Targeting utm_camapign -> “brand”
• Cookie Targeting Check if a user is logged out
• Results
~20%+ conversion rate increase
@capow #opticon2015
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Lesson 3: Target beyond classic market segments.
@capow #opticon2015
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#opticon2015
Mike Norland Senior Marketing Strategist AdRoll @norland
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Lesson 4: Prioritize your personalization.
@norland #opticon2015
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Get all of your ideas out
Real brainstorm output.
@norland #opticon2015
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Prioritize high impact / low complexity
@norland #opticon2015
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Prioritize high impact / low complexity
@norland #opticon2015
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Example: Pre sale / post sale
PRE-SALE
POST-SALE
@norland #opticon2015
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The hard part of prioritization is actually
deprioritizing.
@norland #opticon2015
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Lesson 4: Prioritize your personalization.
@norland #opticon2015
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Lesson 5: Don’t talk about the weather.
@norland #opticon2015
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Key customer differences: enterprise
SMALL BUSINESS
Preference: Free Trial
ENTERPRISE
Preference: Product demo @norland #opticon2015
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Safe, always appropriate…but never particularly interesting.
Talking about the weather.
@norland #opticon2015
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Example: enterprise personalization
SMALL BUSINESSES ENTERPRISE
@norland #opticon2015
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Within each personalization, you are testing a hypothesis.
@norland #opticon2015
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Lesson 5: Don’t talk about the weather.
@norland #opticon2015
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#opticon2015
Tyler Bullen Program Manager The Clymb @tylerbullen
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The Right Product The Right Person The Right Way
@tylerbullen #opticon2015
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Lesson 6: The right product…
@tylerbullen #opticon2015
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The Right Product
• 10-15 sales per day
• Highly varied
• Must show relevant content
@tylerbullen #opticon2015
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The Right Product
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The Right Product
• Loyal following
• Respected brand
• High margin
@tylerbullen #opticon2015
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Lesson 6: The right product is worth your effort.
@tylerbullen #opticon2015
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Lesson 7: The right person...
@tylerbullen #opticon2015
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Demographic + Contextual + Behavioral
@tylerbullen #opticon2015
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The Right Person
Female Age: 30 HHI: $75k Non- Purchaser
@tylerbullen #opticon2015
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The Right Person
Female!Age: 30!
~HHI: $75k!
@tylerbullen #opticon2015
Dude Age: 20 HHI: $0-10k Purchaser
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The Right Person
Female!Age: 30!
~HHI: $75k!
Dude Age: 20 HHI: $0-10k Purchaser
@tylerbullen #opticon2015
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Retarget past purchasers
@tylerbullen #opticon2015
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The Right Person
@tylerbullen #opticon2015
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Browsed twice? Now entice!
@tylerbullen #opticon2015
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Audience Building Made Easy
• Purchasers from our database
• Browsers from their on-site pixel
• Pushes to multiple channels
Lytics’ Audience Builder!
@tylerbullen #opticon2015
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Lesson 7: The right person demonstrates good behavior.
@tylerbullen #opticon2015
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Lesson 8: The right way…
@tylerbullen #opticon2015
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E-mail is (still) most effective
• Cheapest
• Arrives at the right time
• Is easily measured
@tylerbullen #opticon2015
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Social: effective but expensive
• Gets those that e-mail can’t
• Easy to measure
• Hard to control
@tylerbullen #opticon2015
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Onsite: Optimizely made it easy
@tylerbullen #opticon2015
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Personalized Variation Gives ~10% Lift
• E-commerce retailer
• Members only
• Closeout w/ tight margins
@tylerbullen #opticon2015
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Lesson 8: The right way unifies the experience.
@tylerbullen #opticon2015
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Wrapping Up
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One Person, Multiple Policies
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Billions of Potential Combinations
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Competitive edges are not free. Come prepared.
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#opticon2015
8 Early Lessons in Personalization
Hudson Arnold Strategy Consultant Optimizely
@hudson_arnold
Catherine Pao Growth Product Manager Blue Apron
@capow
Mike Norland Senior Marketing Strategist AdRoll
@norland
Tyler Bullen Program Manager The Clymb
@tylerbullen