Survey: Personalization key to digital loyalty
Cambridge, Mass. – More than three-quarters of digital marketers say loyalty program success depends on how well they do personalization. According to “Refresh Your Approach to 1:1 Marketing,” a new survey of digital marketers from Forrester Consulting on behalf of ExactTarget Marketing Cloud, about half (48%) of digital marketers say they face challenges in personalizing individual consumer interactions.
In addition, the survey shows that 42% of digital marketers are challenged by analyzing customer interaction data. Other notable results include 86% of digital marketers saying they use broad segmentation and simple clustering for personalized marketing. Looking ahead, nearly 60% of digital marketers plan to increase site optimization spending, while slightly more than half say they will increase spending in real-time interaction management.
Fifty-one percent of digital marketers say they plan to increase spending in predictive algorithms and 51% will spend more on guided selling.
Study: Social media offers best online ad return
Sterling, Va. – Social media demonstrated the best cost-efficiency of all major online advertising channels in second quarter 2014, coming in at 70% below the industry average for cost and showing a 32% cost decrease quarter over quarter. According to the Q2 2014 Media Intelligence Report from Neustar Inc., social’s reach-efficiency was 286% better than the next channel, portals, and its ability to reach exclusive users (not seen in other channels) improved by 65% quarter over quarter.
Neustar analysis indicates the decrease in the cost of social stems in part from the growing use of efficient demand-side platforms to purchase social impressions.
In addition, the study indicates video is becoming a more common buy, no longer tied exclusively to specialized video networks. Driven by events like the FIFA World Cup, advertisers in the second quarter looked to major networks serving soccer-related content and bought more video impressions there. Networks continued to have solid upper funnel influence, providing strong awareness and leaving longer-lasting effects on users who are later re-messaged to.
While network costs rose 28% from the prior quarter, new and better video targeting and measurement tools give marketers the power to promote brand awareness, even as its costs increase
“By measuring customer and media activity in real-time, marketers can uncover incredibly valuable campaign insights, some of which may be surprising,” said Rob Gatto, senior VP, Neustar Media. “While many marketers still place emphasis on clicks for conversions, depending on their target audience they may find much greater growth opportunity in view-based conversions.”
Survey: Prepaid card users leading mobile payment users
Rockville, Md. – American prepaid card users are the leading users of mobile payments. According to Prepaid and Gift Cards in the U.S., 4th Edition, a recent report by market research publisher Packaged Facts, smartphone penetration is actually higher among groups underrepresented by traditional banking products and services.
Roughly 89% of consumers from underbanked households have a smartphone; and even two-thirds (64%) of consumers from unbanked households have one. In addition, younger adults (age 18-34) do more card shopping and have a wider variety of cards in their wallet. Based on survey results, Packaged Facts estimates that prepaid cardholders age 18-34 have an average of 2.3 prepaid cards in their wallets.
In addition, while direct deposit clearly influences cardholder retention, it is not enough to keep these cardholders engaged. Survey results indicate that mobile-forward platforms with Millennial-era options such as P2P and bill payment will invariably entice 18-34s to linger longer.
"Thanks to the evolution of online and mobile technology, it’s apparent that card loyalty is not garnered from the card itself, but from the features that increasingly surround it, meaning the widening ecosystem through which the cardholder can engage easily with financial services products, services and educational tools," said Packaged Facts research director David Sprinkle.