Kristoffer Ewald, CIO, NetBooster Group, presents 'Changes in Performance Marketing: Customer Lifetime Value' at Digital Day 2016 in Cologne, Germany.

1. NetBooster
Köln, 13th September 2016
Changes in performance marketing:
Customer Lifetime Value

2. 2 | Copyright NetBooster Group
Kristoffer Ewald, Group CIO
Innovating Performance Marketing
Strong Data and Analysis focus
Innovation by
NetBooster

3. NB
1. Challenge
2. Response
3. Future
Tweet your thoughts:
#dida16 - @kewald
Agenda – 15 min

4. NB
What’s Kris talking about?

5. NB
Top 3 flaws in Attribution
Lot’s of brand
exposure is
missing
What
happened in
the past?
What does the
“conversion”
actually
represent?

6. NB
Top 3 flaws in Attribution
Lot’s of brand
exposure is
missing
What
happened in
the past?
What does the
“conversion”
actually
represent?

7. NB
Top 3 flaws in Attribution
Lot’s of brand
exposure is
missing
What
happened in
the past?
What’s better?

8. NB
Loyalty drives business
Consistently know the consumer and maintain a relevant dialogue with
her hugely increase your business performance
An integrated approach will unify data and consumer information across
all digital touch points and keep it natively owned over long periods
across products, markets and brands.
In essence it’s the Brands DNA to know it’s consumers well
It’s not (first) a tech discipline – First of all it’s a business strategy and
needs to be executed via agile tactics. Then the concept of Customer
Lifetime Value needs to be reconsidered
CLV is hugely flawed: it’s not including context, velocity and future
1. Challenge

9. NB
Our success in redefining focus…
+2,5 Terabyte / month
+20 large projects
5 Hubs of specialists
Siginificant growth

10. NB10
The Rise of Mobile

11. NB11
Mobile Apps are key…

12. NB12
Looking back at the
past to calculate a
basic (flawed) metric
Crunch the data,
and predict
CLV as a metric is flawed
Old school
The
new deal

13. NB13
2. Our Vision
Customer Lifetime Value
is flawed, big time ;)
• No Context
• No Velocity
• No Future

14. NB14
The new approach
5 New (suggested) KPIs:
• Annual Opportunity
• Predicted future total value
• User Velocity
• Core consumer fit score
• Loyalty propensity
• Suggest yours: #dida16
This is the key
takeaway
;)

15. NB15
USER DATA
is the core of your success !
USER DATAUSER DATA

16. DATA AT THE CORE
Display Advertising
Mobile Marketing Affiliate Marketing
PPC CRM
Social Media
Integrated
Digital
Marketing
Planning
Consumer
Insights
Consultancy
SEO
16
Offline PoS
AND CUSTOMER-CENTRIC

17. NB
The Google Stack is a Platform

18. NB
Consumer knowledge & its
data at the heart of our
thoughts & our actions
Consistent Data-driven strategy

19. NB19
Three-dimensional Strategic approach
19
1D Performance
• Max. Share of Voice
• ROI as campaign target
2D
Interaction
1D
Performance
2D Interaction
• Campaign development
• Increase in qualified traffic
3D Brand building
• Focus on New Customers
• Strategic reach
Costs
qualified
traffic
++
--
3D
Brand building

20. NB
De-duplication
Reachability
Memory
From multiple silos…
CRM Mobile Social Paid …

21. NB
Many interactions, 4 visits, any channel
à 1 unique person
To a unified customer vision
CRM Mobile Social Paid
Data
Combination
Segmentation
Assumptions
Targeting
Revenue
Synchronisedd and unifed data
…

22. NB
Many interactions, 4 visits, any channel
à 1 unique person
To a unified customer vision
CRM Mobile Social Paid
Data
Combination
Segmentation
Assumptions
Targeting
Revenue
Synchronisedd and unifed data
…
Future?
Predict the value
of the interactions

23. Curing one (huge) flaw with the new metrics:
Who and what to do with Dynamic Targeting
23 | Copyright NetBooster Group
§ Fully integrated data set, allowing us to crunch the data and
calculate a weighted CLV
§ Paid
§ Earned
§ Owned
§ On-/Off-line
§ Live serving of dynamic creatives, dynamic pricing
Respecting the need for relevance in the dialogue

25. NB
3. Future
Collect, Synchronise and crunch to
Build the new stronger Metrics which will put
you ahead of your competition by live use
across all the touches over actual lifetimes
Media CRM On Site eCommerce Social Offline

26. Your Digital Performance Architects
@NetBoosterGroup @kewald #dida16