This research paper by Deloitte is an excellent summary of important considerations firms should make when re-valuing their marketing team’s contributions. The gist of the article is that it’s incumbent upon firms to set up a marketing measurement scorecard that accounts for the systemic impact marketing expenditures have on the bottom line.
The paper argues that the measurement system needs to go beyond typical CRM-system level reporting (i.e., moving beyond just measuring ROI as the primary indicator of marketing performance) and align with overall company strategy, account for competitive influences on a product or service’s marketplace success or failure, eliminate silos between separate business units, and measure across product development and roll-out lifecycles.
Eric Peterson continues to provide great insight. He has an exclusive profile of the Microsoft Gatineau project. At first glance, the Gatineau project is quite impressive. What’s particularly pleasing is that it appears to have been designed for marketing personnel and business managers. The visual representation of the data clearly indicates relevant campaign success and failure metrics.
Nevertheless, there are some considerations: Will this service give an accurate, and full representation, of data across multiple universes, or is it just limited to the MSN universe? Can firms track their competitors with this program? And with respect to their demographic data, it seems to be self-reported data from MSN, rather than from a wider sample data set; thus, how representative is the demographic data in Gatineau?
Notes from my presentation on ROI at the recent Inman Real Estate Connect conference:
Issue: What are the first steps real estate firms should take to get a handle on their data to enhance near-term and long-term ROI on this data?
- Since 80%+ of all originating real estate transactions begin on the Internet, firms should consider utilizing proven Internet analytics engines;
- Firms should create an existing consumer data warehouse that accepts data from whatever format and whatever source, normalizes this data, hygiene this data, to net down to a single record per consumer data set;
- Firms then should segment this data, overlay this data (e.g., with demographic or lifestage data), score and profile this data, and then model this data; this gives firms insight into their existing consumer data;
- This data warehouse then is used to drive marketing decisions pertaining to existing and emerging or new consumers.
VisiStat is a program to understand broad as well as locally-specific Internet use traffic that real estate firms can employ to make more informed decisions about how to manage their Internet resources, agent base, franchise locations, etc. The same can be said for Google Analytics, HitWise, etc.
But if we’re really focused on ROI, the key is consumer-specific data and the analysis of such. Accordingly, if one only looks at Internet based, or Internet derived traffic, it’s largely like looking at the top crust of an apple pie…the filling is where the substance is. And in the case of ROI that substance is a carefully constructed marketing database and marketing data warehouse where each consumer data record has been individually segmented, scored, and overlaid with demographic, psychographic, and lifestage data.