2. Overview
• ROI based promotions
– Brand preferences vs. brand awareness
• Typical Trade Shows
• Optimized Trade Show
– Much greater ROI (vs the typical loss)
• Concerns
• Recommendations
– New focus (leads, leads, leads, plus other)
– Active booth, versus passive
– Better lead qualification – new tool
– Incentives
– Better lead dissemination and follow-up
– Positive ROI – better budget investment
3. ROI Based Promotions
• It all starts with ROI Based Promotions
– Every promotional dollar is invested to generate a
positive ROI
• ROI is not just associated revenue
• Intangibles are also considered – but they are not primary
– All budgets are designed from the ground up based
on expected revenues
• Use existing or estimated ratios to roll the numbers
– Those with the least ROI are the most susceptible to
cuts
– Those with negative returns… fix or cut
4. Promotional PR
• Items
– Press Release – news wire services (each x $550 = $20k). ROI: The Press Releases
are required to help generate hits
Total Expected ROI
Announcement Activity # Releases Hits (25hits/Release) (Based on $2,500/Hit)
Product 5 125 312k
Alliance 10 250 614k
Sales Wins 20 500 1,250k
Leadership 2 50 125k
– Press Kits (1,000 x $4, Plus $5k x 3 Reprints) - $19k ROI: Cost. Materials required to
run PR campaigns
– The budget only accounts for the cost and ROI for each expense—which stands on its
own. However, the overall expense also has a long and short-term residual effect
since it helps ensure reviews, referencing, and Web hits.
5. Advertising
• Objective: We have 1 new product and 2 new major release. We expect to
generate new sales via the new product and releases, plus penetrate 6 new
vertical markets. Total expense is $416k, our ROI is 1.8 million.
– 6 different verticals, 1 ―best‖ pub per vertical, 6 placements each = 36
placements
– 4 different horizontal (security) pubs x 6 placements each = 24 placements.
– $6k each (with graphics/placement). Each launch campaign will run for 90 days.
Total # Expected # of Close Avg $ Rev
Activity Placements Leads (10/Pub) Ratio % Per Sale (15k + 5k Residual) Revenue $
Vertical Ad 60 600 15% 20k $1.8 Million
* We currently get 30 leads / ad. We are using 10 “qualified leads / ad. Avg sale price, according to current
configurations, is $15k, plus $5k residual (software maintenance, upgrades, future sales)
6. Events
• Objective: Generate leads, meet customers, reseller and press
meetings. Expense: $451. Return: NEGATIVE
– Our primary show is ASIS. Additional events include Trade Show 1, Show 2,
Show 3, Show 4.
– Our ROI is based on Trade Show 1 (where we have the most accurate
data) and the ratio is applied to all.
– The last show we generated 600 leads at Tradeshow 1. 75 were deemed
―quality‖. We cannot attribute a single sale to these leads.
– Assuming we put the tracking systems in place (current initiative outlined in
appendix), and assuming we use the same expected leads and close ratio
as the ad campaign (conservative), we have the following ROI:
Avg # Leads Avg Close Ratio Avg Sales Total Revenue Trade Show 1
Quality Revenue Expense
600 75 15% $20k $225k $280k
8. Branding Myth
• ―But it build’s brand awareness…‖ Right.
– Brand awareness
I know Ford exists…
• They know your brand exists but I prefer a Lexus
• They know your brand attributes
– Brand preference
• They prefer your brand
• They BUY your brand
– If they don’t prefer, and BUY, then your branding
campaign has no value!!
• Acid test: If it were YOUR $200k to invest…
9. Events Discussion
• Based on current data, should we do Trade Show 1?
• We’ve been at Trade Show 1 for 13 consecutive years. However, ROI ―kills‖ sacred cows
(sacred cows make the best burgers)
• Expected changes for Trade Show 1 2010, with refinements for 2011
– MUCH more aggressive at getting leads – show and daily goals
– Microphone stations to draw more attention to the demos
– Promotions to pull people to the booth (more traffic)
– Pre & Post Day team meetings with recognition for those that pull in the most leads
– A clear understanding of what we need to get out of the show (LEADS first, everything
else second)
– A new lead qualification form (A, B, C) with ―real‖ qualifying questions (# doors/readers,
# employees, time to decide, etc.)
– ―Everybody‖ works the booth to cut expense (no ½ days)
– New lead tracking process (template w/managerial information for follow-up) & internal
buy-in
– Incentive plan with Sr. MarCom Mgr based on ―leads‖
– Reduce costs – smaller size, consolidation
10. Typical Trade Show
• Expensive – typically negative ROI
– No sales goal based on ―recovering‖ funds
• Cost $400k, then need to get $400k back. Right?
• Wrong. At 20% margin, need to get $400 x 5 = $2 million
– How many sales will it take to get $2 million?
– How many leads will it take to get that many sales? That’s the goal!
• Passive booth
– Sales people stand around
– Booth is not designed to ―show‖ and get leads
– Too many sales people go, then only work the booth part time (adds expenses)
– No ―show‖ in the trade show
– Poor promotions to draw walk-by traffic in to generate ―leads‖
• No leads
– Most prospects are not qualified
– Don’t collect enough ―pre-approach‖ information (to qualify and tailor)
• Scanning cards does not work – no qualifying info
• No follow-up
– Leads sit in piles and never make it to the sales people
– Names are not followed up on. Sales doesn’t want ―names‖ – they need qualified leads
– Poor system to enter and follow-up
– Sales management can’t see what happens
• Result? Nobody knows (hint: it is NOT good!!)
11. Nobody Wants to Kill It
• Tradition – we’ve been there for 10 years
• We’ll be missed if we are not there
• It’s part of our branding (awareness or
preference)
• Where do we meet our customers?
• But I make sales (how much? $2 million?)
• So… other promotions that generate good
returns get cut
• Don’t kill it—FIX it!
12. Recommendations
• Set a goal for the show. $400k = $2 million
• Determine the avg deal size per sale, close ratio
of leads to sales, determines # of leads
• Everything is designed to get LEADS
– Secondary benefits
• Meetings in booth (can use meeting rooms if no booth)
• Competitive research (can troll the floor without a booth)
• Market research (best not to be associated with the booth)
• Meet the press (can meet at lunch tables)
• Alliance meetings (meet at their booth)
13. Recommendations
• Booth is optimized to generate traffic & leads
– Not designed to SELL, but to generate leads (get
curiosity & interest, selling comes afterward)
• Like setting an appt – sell the appt, not the product (yet)
– Mic up demo stations to draw more attention
– ―Shows‖ to stop people, get them to sit (always want
to sit), and complete the lead form
• Promotions
– To get them to STOP at the booth (vs walk by)
– To qualify & complete a lead form (not scan card)
14. Recommendations
• Changes to sales
– Pre-show overview to explain new approach
– Reduction of people (to maximize ROI)
• No half days—everyone WORKS the booth
– Pre & Post show meeting to set daily goal and
recognize
– Sales promotions to generate qualified leads
• Spend $400k for event – why not $1k to focus on leads (and
get a return)
• Two awards per day for most leads (meet criteria)
– Ipods, Iphones, Portable DVD, whatever works (NO cash!!)
– Will deliver leads – MUST follow up to convert
15. Recommendations
• Lead Form
– Sales tells the top 4-5 questions they use to qualify an
account
• These questions go on the form
– Qualified leads: A, B, C
• A – HOT and followed up on within 48 hours
• B – Warm and followed up within 2 weeks
• C – Cold, will be followed up by marketing to warm them up
(these are NOT leads)
– If the prospect is a ―customer‖ then the person gets
escorted to their sales rep. They are not a lead.
• We find this out in the greet and qualifying process
17. Promotional Give Away Items
• Value
– Draws people to the booth
• Some are not qualified and just looking for stuff
– Our items are not really expensive, if they catch a fish 1 out of 5
times they are still worth it
• Some want the stuff, and then we find they are qualified
– Only need a few one sale to pay for these items for years
• Rules for give away items
– Not perishable
– Not heavy or it can’t be put in their bag (send it to me)
– Prefer something active, not passive
– AeroProps work the best—pull, light, cheap, fun
18. Aero Props WORK!!
• Cheap (apx. 50 cents)
• Light – can put in bag
• Will play with it at the show
• Fly into the air to draw traffic
• MUST require people to
complete lead form to get!
• Logo can go on propeller
• Apx. 2 week lead time
• Have ordered over 30,000
• Terrific response
19. Lead Follow Up
• Sent to the regions ASAP
• Entered into the CRM system for them by temp
• Complete system to follow up
– Managers will know the status
– Working on defining now
• Trade show manager responsible to ensure
completed ROI
23. Group Listing Screen
Group Listing
Screen
Select group name to view lead information
and update lead information screen.
24. Lead Details Screen
Lead Details
Screen
Select update lead tab
to edit the lead and
enter the call back
information.
25. Update Lead Screen
Update Lead
Screen
Enter the date that you first
contacted the customer.
Enter refer date that you actually
―delivered‖ the lead to a reseller.
Select the quality of the lead.
(see key below)
Enter the outcome of
the call and the BP
you referred the
customer to.
26. Submit First Contact
Submit Update
Select submit to completed the first
lead contact.
28. Summary
• ROI based promotions
– Brand preferences vs. brand awareness
• Typical Trade Shows
• Optimized Trade Show
– Much greater ROI (vs the typical loss)
• Concerns
• Recommendations
– New focus (leads, leads, leads, plus other)
– Active booth, versus semi-passive
– Better lead qualification – new tool
– Incentives
– Better lead dissemination and follow-up
– Positive ROI – better budget investment
