Why every brand needs a social media policy

Posted on February 6, 2013 by Ben Potter

Over the last 12 months, as to be expected, there has been further acceleration in the uptake of social media amongst retailers. This is a result of increasing usage amongst a wider demographic, new networks popping up (such as Pinterest), as well as the role social plays in wider search, content and customer experience strategies.

Regardless of the goals you have for your social presence (whether customer acquisition, retention, customer care, brand awareness, etc.) a key foundation for success is a comprehensive social media policy. This should include:

Branding, tone and vocabulary guidelines
Customer service guidelines
Negative interaction protocol
Respectful practice guidelines
Legal practice and copyright awareness

Remember one size doesn’t fit all – a social media policy should be tailored to the brand. Depending on the nature of your organisation, there may be unique factors you need to consider, so don’t be tempted to use a template for your social media policy.

Here are a few important roles a good policy can fulfil:

Branded communication
Use your social media policy to guide branding across channels. We all use social media in our free time; clearly stating key buzz words, brand values and vocabulary to avoid prepares your employees to interact as brand representatives, communicating your values and writing in the correct tone of voice.

Protection for yourself and your employees
Clearly stating procedures within a social policy will help to safeguard you and your employees from negative situations and mistakes. Outlining employee roles (for example, who leads customer service dialogue) reduces confusion around responsibility and optimises time and resource. Highlighting legal practice, platform rules and copyright awareness is vital to ensure you aren’t in breach of the CAP digital remit.

Deliver seamless customer service
A good social media policy will guide the customer service process, ensuring the employees responsible are aware of correct protocol for escalation and importantly, who to notify within the company if a volatile situation occurs. Negative comments are inevitable in every social space – it’s how you deal with them that will set you apart from competitors.

Avoid social faux pas:
We all know how much negative media attention the wrong tweet or post can generate. Remember Urban Outfitters’ ill-considered sales tweet amid the devastation of super storm Sandy in October 2012?

It’s tempting to think that if you have a small social team you’re unlikely to commit a social faux pas. The real time nature of social coupled with human nature can be a recipe for unintentional disaster. Neatly outlining the rules encourages employees to think twice before they tweet.

While it’s important to lay out the rules, make sure your policy isn’t too restrictive. Social media is a leisure space for consumers and interaction should be responsive and flexible; in most cases it should also be fun for all involved, both the brand and the consumer. Therefore, whilst social media policies are necessary don’t let them suffocate the spirit of social media.

What we learnt in 2012 and what we look forward to in 2013

Posted on January 10, 2013 by Ben Potter

At the end of each year, I encourage the Leapfrogg team to take some time out to review what they have learnt from the events of the last 12 months. It’s an opportunity to take a step back and think about what we have witnessed in digital marketing, retail and the luxury sector, as well as the strategies and tactics we have employed for an ever-growing portfolio of high-end retailers.

So here are a few of our main observations from another eventful year, with comments from members of the Leapfrogg team, along with what we look forward to (hopefully) seeing in 2013.

Panda’s and penguins changed the game…for the better

Google’s Panda and Penguin updates dominated the search landscape in 2012. Scores of websites found their search engine rankings negatively impacted by the updates. The techniques they had been using to unnaturally garner search rankings (or that agencies were adopting on their behalf, such as buying links) were hit hard by Google’s aggressive, and very public, attempts to clean up their search results.

As Ben Adam, Senior Natural Search Consultant, comments ‘it seems that Google has finally found a means of taking action against web spam; the kind of action that most search marketers have been asking for, for years.’

Website Optimisation Manager, Suzanne Taylor adds, ‘The search engines have got wiser and duly penalised sites that have been chasing rankings with ‘black hat’ tactics. For some businesses, this re-education has cost them time and money, however businesses that have focused, first and foremost, on creating a good experience for their customers have benefitted.’

These updates have had a significant (and in our view, positive) impact on the discipline of natural search (SEO). As Senior Content and Social Media Consultant, Emma-Jane comments, ‘the updates place greater emphasis and reward on traditional content based and PR-style marketing, making quick-win techniques, such as sharing keyword stuffed articles and mass-submitting to thousands of low quality directories, riskier than ever before. A PR-led approach to building a holistic and sustainable link profile has seen a welcome move towards creating editorially-led, consumer facing content. This not only benefits search, but becomes an important part of the customer journey.’

As natural search is now so closely entwined with other marketing activities, such as content planning and PR, Head of Search, Matt, expects to see search getting greater recognition as a strategic business operation in 2013, commenting ‘successful search engine optimisation requires a sophisticated approach to relationship building meaning companies need to work harder to engage with customers, suppliers, partners, press and commentators. This means that SEO should, for the most forward thinking companies, be at the heart of a business not on the fringes, which can only be a good thing.’

Content marketing is nothing new

What was particularly interesting to witness in 2012, as a result of the Panda update in particular, was the sudden surge in interest for ‘content marketing’ services. I’ve been amazed at the number of agencies suddenly changing tact (and in some cases their straplines) to place content marketing at the core of their offering (as if creating genuinely engaging, useful content has always been their approach to search…when quite frankly, it wasn’t.).

‘Content is king’ they said again…and again…and again…

Content marketing, even in the online world, is not a new discipline. Neither is it one that should be getting any more, or less, attention just because Google has found a way to combat the poor quality content that for so long could be used to manipulate your way to the top of the rankings.

Managing Director, Rosie, comments ‘content is not king. Instead, the customer’ is king. Regardless of the marketing activity, whether on or offline, single or multichannel, you must put the customer at the heart of it. Good customer insight is the rocket fuel for your content and wider retail strategy…and always has been. Nothing has changed other than Google getting better at separating the wheat from the chaff.’

In 2013, we hope to see the (somewhat artificially inflated) industry furore around content marketing calm down. We’ll continue to apply a back to basics attitude where content is concerned, namely that strategies are driven by a genuine understanding of the customer, as Senior Content and Social Media Consultant, Emily, explains, ‘delving deeper into our clients’ consumer demographics with detailed customer surveys and audits of each touch point in their retail journey will further develop our customer-orientated focus in 2013, which continues to be at the heart of our approach to content strategy.’

Consumer expectations are moving faster than most retailers can keep up

Driven mainly by technology (the growth in smartphones and tablets, for example), there have been significant changes in consumer behaviour in recent years and, in turn, the expectations that consumers have of the retailers they choose to shop with.

As I noted in an Econsultancy article back in November, ‘what is a ‘nice to have’ now will be the expected norm in 2013. As consumers become conditioned to in-store consoles, delivery on their own terms and a more personalised shopping experience (to give just three examples), they will more readily question those retailers not offering the same. In short, consumers won’t put up with average when exceptional becomes the norm.’

As such, we will undoubtedly see more retail casualties in 2013. However, it would be too simplistic to blame economic factors alone for these failing businesses. Instead, there will be some retailers who simply cannot evolve their business models in line with customer expectations and, as such, will disappear from our high streets.

In 2013, the successful retailers will be those who place much greater emphasis on customer insight and ‘big data’ to drive marketing decisions. Gone are the days when retailers can afford to throw money at something on a whim. The customer needs to be at the heart of every decision. As such, we expect to see customer experience become more and more of a focus during 2013 to the extent it occupies board level discussions.

Social media is evolving to become a mind-set, not just a tactic

Alongside Google’s well publicised efforts to clean up their search results, 2012 also saw social media’s influence on search results increase. As Client Services Director, Greg, comments ‘Google+ started to show real signs of traction in 2012 – especially with regards to having an impact on natural search visibility within the search results’.

We still think the jury is out when it comes to the role Google+ plays in meeting wider customer engagement objectives (simply put it hasn’t reached critical mass) but, without question, Google is making a massive push for it to a part of our everyday lives. I just hope consumers, brands and agencies invest in the platform in 2013 because it adds genuine value to their retail strategies, not just because it is a necessary vehicle to improving Google search rankings.

Aside from Google+, in 2012 we saw a definite step change in how clients’ perceive social media and the role it plays at every stage of the customer journey. As Emily notes, ‘across our client portfolio, we’ve seen an increased interest in (and understanding of), the importance of social, both for accessing and expanding their consumer bases, as well as becoming an increasingly important factor in search.’

Greg continues ‘brands have been much more willing to at least ‘have a go’ in social media even if specific objectives and KPIs are unclear at the start.’

Measurement and attribution remains a challenge

Mobile and tablet use exploded during 2012 with Matt commenting ‘adoption of mobile devices was notable last year. Customers of premium brands are more likely to own a smartphone and tablet with some of our clients seeing up to 40% of their website traffic coming from mobile devices.’

As consumers move so freely between channels and devices whilst researching, considering and making their purchase, tracking this journey and attributing revenue to the appropriate channel presented a major challenge in 2012…and it will continue to do so in 2013.

Head of Search, Matt, sees part of the solution in social media. He comments, ‘Social media offers a solution to attribution issues created by multiple devices and cookie deletion. With a billion people on Facebook and other networks such as Twitter and Pinterest growing quickly, people logged in to social media platforms and email services, especially on their mobile devices, could be the solution to the attribution conundrum’.

Watch this space!

Things get better with age

In December, we will be celebrating our tenth birthday. Quite frankly, I don’t know where the years have gone!

One thing I do know is that Leapfrogg is evolving all of the time. Each day, month and year we improve, never satisfied with our approach, processes and knowledge. For me, that is what makes a great agency; the constant desire to be better than you were yesterday.

Therefore, we look forward most to celebrating 10 years in business by continuing to work with some fantastic retail brands, constantly innovating to help them meet their commercial objectives.

Account Manager, Nick, sums this up best; ‘for me, what I’m most looking forward to in 2013 is pushing our fantastic clients to be bold, experimental and ultimately, successful. With the green shoots of an economic recovery beginning to show, 2013 will be the year when forward-thinking and innovative clients can really get the jump of their competitors. I’m looking forward to leading the way with Leapfrogg’s fully integrated approach and setting the standards.’

With that, we’d like to wish you a happy and prosperous New Year!

One simple question to ask yourself when assessing the validity of a search marketing tactic

Posted on October 11, 2012 by Ben Potter

Last week, my latest article was published on the Econsultancy website.

It explores SEO payment models that buyers need to seriously question before committing to (or in some cases avoid completely!).

The payment models under scrutiny are:

Fixed fee, quoted up-front
Pay-on-performance (based on rankings)
Pay-on-performance (based on sales without proper attribution)
Anything less than £200 per month

Head over to the Econsultancy blog to read why, in my view, these models just don’t work in the context of today’s search landscape.

At the end of the article I introduce a theme that I am going to briefly expand on below but which I’ll also be exploring in more detail next time.

The theme is ‘experience’. As I state in the article, here at Leapfrogg we believe it is ‘experience’ that, in time, will separate the winners from the losers. Those businesses that can deliver a superlative experience at every stage of the buying journey from awareness to advocacy will prosper. Those that don’t will fail.

For me, search marketing (and in particular the approach that is taken to natural search) can play an integral role in how a brand delivers a positive, engaging and memorable experience; the kind of experience that drives repeat business and brand advocacy. This is for a number of reasons, not least the fact that search engines remains the number one method by which prospects begin their discovery of a new product or brand. According to a report from Hitwise, on average, the UK is making an additional 93m visits per month to search engines compared with last year, representing an average year-on-year growth of 4.3%.

Therefore, the route a prospect will take in discovering your brand and products will more than likely involve a search engine. In turn, the first impression a prospect may have of your brand will come as a result of how you present yourself (or fail to present yourself) in search listings. With this in mind, search can either act as the starting point to delivering a superlative experience for the prospect OR the means by which you lose the game before they’ve even visited your website.

I’ll be exploring how specific naturals search techniques and tactics contribute to driving a positive experience (or not, as the case may be!) in my next article.

In the meantime, I’ll leave you with the same question I concluded my latest Econsultancy article with; a question that I believe all marketers should ask themselves when considering a natural search technique or tactic:

‘How will this approach or activity deliver a memorable & superior experience for my customers?’

By starting with this question it will allow you to take a more objective view to what you should be doing (and more importantly what you shouldn’t) when it comes to shaping and executing your natural search strategy.

This is what I’ll be exploring further next time around.

Until then…

The agency vs in-house conundrum…the impact of Google Panda on staff resourcing

Posted on June 14, 2012 by Ben Potter

The downturn of the last few years has inevitably led brands to scrutinise every pound spent on marketing. In some cases, brands have concluded that it is more cost effective and efficient to manage their search marketing activity in-house. Although I have always worked agency side, I have no problem with this and see it as inevitable for certain businesses as they scale up their operations.

However, recent Google updates, Panda for example, represent perhaps Google’s most aggressive attempt to clean up its search results and in turn, this is having a significant impact on the skill sets required to deliver an effective natural search strategy (also known as SEO if you prefer).

Essentially, Panda targets those websites creating and hosting poor quality content. In other words, content that is usually created purely for the purposes of gaming search engines. We’ve all seen this type of content; pretty pointless, keyword stuffed articles, for example, that too often find their way into prominent search engine positions impacting the quality and relevancy of search results.

Google has been hammering well known article sharing sites, as well as blog networks in recent months, which in turn has impacted search results for businesses overly reliant on links from these sites.

Continuing the animal theme, we’ve also seen the Penguin update, focused specifically on targeting web spam, as well as the introduction of ‘over-optimisation’ penalties.

What impact have these updates had on natural search?

The extent to which your natural search strategy needs to adapt as a result of these updates will very much depend on how you have historically approached the discipline.

Here at Leapfrogg, we’ve always lived by the mantra ‘users first, search engines second’. In other words, we don’t subscribe to adopting any technique which is purely about garnering a search engine ranking. Instead, we ask the question; ‘will this benefit the target audience?’ As such, we have never bought links, subscribed to blog networks or ‘spun’ poor quality content because we deem these as techniques which offer no benefit to the target audience of a particular client. Therefore, we have seen very little, if any, of our clients negatively impacted by these updates.

But of course if you have subscribed to these techniques (and any others that go against Google’s published quality guidelines), then, in all likelihood, you are having to make significant changes to how your approach natural search and may even have found your website negatively impacted by these algorithm changes i.e. a drop in rankings and therefore traffic and sales.

Post Panda, today’s natural search strategies need to be underpinned by genuinely engaging and useful content and supported by social media and PR activity to deliver a sustainable and reputable search engine presence. As such, natural search, in the traditional sense, is not the stand-alone discipline it perhaps was once. The winners will ultimately be those that can join the dots between search, social media, content strategy and PR.

How have these updates impacted the skills required to deliver an effective natural search strategy?

In years gone by, it is fair to say you could probably hire one person to look after your natural search activity in-house. In all likelihood they probably came from a technical background and could do a pretty decent job in improving your search engine rankings.

However, in light of how search has evolved in the last couple of years, one person is no longer equipped to manage a highly effective search strategy on their own. Whilst there remains a technical aspect to search, there is now a multitude of other skill sets that have heightened in importance following the recent Google updates described above, for example:

•   Customer insight, analysis, segmentation and persona development
•   Online PR and brand building
•   Content strategy and execution
•   Social media

The freelance world might disagree with me but I simply cannot see how one person can be an expert in all of the above areas, not to mention those disciplines that haven’t been cited above such as conversion optimisation and data analysis. Quite simply, the complexity of today’s search engines, along with ever-increasing competition, requires a skillset which is beyond the ability of one person alone.

What does this mean for a brand considering managing their search strategy in-house?

It means you will need to build a team probably consisting of at least four or five people. Broadly speaking, this might include a website optimisation expert, covering everything from keyword strategy through to testing. It would require a content strategist covering content creation, optimisation and an ability to market that content effectively using online PR skills. A social media expert would be integral to the team, not just because of the ‘social search’ angle but also to develop a community around the brand and products, whilst using social tools to communicate with customers at every stage of their buying journey from promotions to customer service. I’d also argue an analyst would be needed who can interrogate tools such as Google Analytics to understand the buying journey of customers and make informed decisions on how to optimise marketing channels and drive efficiency.

It will also need one of those people, or somebody senior to them, to have the expertise and vision to develop the strategy and ensure it is working in unison with offline marketing and PR activity. Nothing can work in a silo.

Of course, the specific skills required will differ from business to business and will be dependent on the sector but the point I seek to make here is that both in terms of skill and man hours, it is simply impossible for one person to deliver an effective search strategy on their own.

Inevitably, this means that the cost of taking search in-house is much higher than might be initially anticipated. Hiring a team of four or five is a very different proposition to hiring one person, not just in terms of salary but also the many other costs associated with recruitment and the wellbeing of staff. More often than not, it simply does not make commercial sense to build an in-house team. At least the same level of expertise and experience can be bought in at a significantly lower rate by partnering with an agency.

Another issue to consider when it comes to resourcing is the availability of skilled staff. In Econsultancy’s recent SEO Buyers Guide one of the key industry issues cited by agencies was the shortage of skilled and experienced workers. In short, there are just not enough digital marketers to satisfy a growing agency market. Therefore, brands will often find themselves competing with agencies for staff. Yet agencies can offer something that many brands cannot; the opportunity to work across a wide variety of clients and campaigns which adds greatly to the experience an employee can gain. So whilst it is by no means impossible to attract the best talent to work client side, it is by no means easy and will require a competitive package to do so.

Conclusion

As the recession continues to bite, brands will rightly question the value they receive from agencies and whether costs can be cut and efficiency improved by managing their search strategy in-house.
But to do so, requires a greater investment than many brands may plan for. Natural search has evolved greatly in recent years to require a broad range of skills that, in turn, impact the resource required to deliver an effective strategy. This needs to be carefully considered before brands make the decision to manage search marketing in-house.

What a multichannel retailer should include in a search marketing brief

Posted on May 1, 2012 by Ben Potter

Back in November 2010, I wrote about the importance of, and what to include in a brief when looking to appoint a search agency. Whilst much of the advice remains the same, an awful lot has changed in the last couple of years, which in turn impacts how a retailer needs to brief prospective agencies.

Firstly, search has continued to evolve. It is far from the stand-alone discipline it perhaps once was. Social media, content strategy and online PR are now all critical components of a successful natural search strategy (also known as organic search or SEO).

Furthermore, retailers are operating in a complex multichannel environment where increasingly savvy customers expect a consistent and seamless experience as they move between different channels, such as desktop PC, mobile, store and catalogue.

The winners will ultimately be those who can effectively integrate their search, social media, content and online PR strategies, whilst also ensuring that their online and offline operations work in unison.

As such, when multichannel retailers are looking to source a search agency they need to provide access to information, which on the surface, may appear irrelevant. However, in the context of an evolving search landscape and multichannel environment, such information is integral to the delivery of an effective search strategy.

Why is a brief important?

Ultimately, developing a brief is to the benefit of both parties. The agency can build a strong understanding of the business, which leads to the most appropriate solution being presented. The retailer benefits for the very same reason; a solution is developed which is most appropriate to their objectives, internal resource and budget, whilst being aligned to other marketing channels.

What should be included in a search marketing brief?

With the above in mind, multichannel retailers should include the following information in a search marketing brief. Please note; it is not unusual for an NDA to be signed at pitch stage bearing in mind the sensitive nature of some of the information required

Company background

It is useful for the agency to understand the context of why you are looking to engage them. This starts with an understanding of where you’ve come from before we explore where you want to go. Therefore, this section should include a brief history of the business, recent market trends, how the company has performed and the challenges you are facing (both internal and external).

Products

There should be a particular emphasis on your most profitable and popular product lines. For the purposes of forecasting be open to sharing average order values and margins, as well as an overview of your product strategy i.e. innovations, new launches and so on.

Competition

The agency will be looking to assess potential keyword targets (based on the product lines you have cited above). This will involve identifying your competition in search results, as well as researching other marketing activity they are undertaking. It is worth noting that often your competition in search results is very different to your competition across other channels. A small retailer selling black dresses, for example, may find themselves competing in search results with major players, such as Marks & Spencer and John Lewis, which in turn may make related keyword targets unrealistic.

Target audience

Describe your target audience (sex, age, geography, for example), whilst also outlining what your insight is based on. For example, have you got an active database of customers where you have conducted surveys or focus groups? Ultimately, if an agency is going to help you acquire more customers they need to have an acute understanding of who you are trying to reach.

Also consider why this audience should listen to you. Why are you better than the competition? For example, do you position yourself on price, quality or service? Drawing out your USPs and key benefits will be critical to shaping a content-driven, search strategy to increase customer acquisition.

Your commercial objectives

I cannot stress enough the importance of sharing your overriding commercial objectives, ideally for the next 2 – 3 years. If an agency is to deliver an effective search strategy they need to understand the context of how it is expected to contribute to overall business goals.

At Leapfrogg, we work on the premise that objectives should be SMART (Specific, Measurable, Achievable, Realistic and Time-bound) and based on reliable market data.

At this stage, you should also explain your wider business and marketing plans. Reiterating the point that search does not operate in a silo, it is important that the agency understands what other marketing channels you will be investing in to meet your objectives and in turn, how search might support them, for example new store openings and your mobile strategy.

Current activity and performance

To develop a top line strategy and tactical plan at pitch stage, the agency need to understand the investment you have already made in the channels under discussion, as well as having access to data via tools such as Google Analytics.

Therefore, an overview of the tactics that you are currently employing or have employed in recent months, such as natural search, paid search, social media, content and so on, will be useful. This is a chance to outline other partners or agencies that you employ and that your search agency will be expected to work alongside, for example web developers and offline PR.

Understanding your in-house resource is also essential in the spirit of developing a collaborative partnership with an agency. You should not be looking to ‘outsource’ your search marketing in the traditional sense of the word. Instead, you should seek to partner with your agency, sharing roles and responsibilities where applicable. As such, the agency needs to understand the skill, experience and desire of in-house staff to work on certain aspects of the strategy and tactical execution.

Timescales and budget

All too often, time and resource is wasted during the pitch process (on both sides) because important matters such as timescales for moving ahead and budget are not discussed openly and honestly upfront. An agency will invest many hours, perhaps days, in putting together a proposal. Therefore, to avoid time being wasted, which also includes your time in sourcing and supplying information, it is helpful to know when you intend to start the project, whether you are in contract with an existing agency and any notice clauses.

When it comes to budgets, avoid a situation where you give no indication of what you have to play with. Have in mind a budget and be prepared to share it so that the agency can shape a solution that is appropriate. Essentially, ensure there is a correlation between your commercial objectives and the amount of budget you are prepared to invest in meeting them.

Finally, outline the stages you will be working through in making a decision; how many agencies are you inviting to pitch, who will be involved and who will make the ultimate decision, as well as any particular conditions an agency has to meet. This might include specific sector experience or preferred payment models, for example.

Conclusion

Without establishing a brief you run the risk of making a potentially costly decision when it comes to your search strategy. The briefing process should involve intense questioning by the agency and a willingness on the part of the retailer to share required information.

Anything less than this and you are likely to fall into the trap of buying an off-the-shelf, packaged solution…the polar opposite of a search strategy that is aligned to your business objectives and in tune with your wider retail strategy. The latter can only be achieved with a properly defined brief.

Yes, the process takes time but in the long-run will ultimately deliver far greater returns.

Proudly sponsoring this week’s SheerB2B conference

Posted on April 17, 2012 by Ben Potter

We are proud to be headline sponsor at this week’s SheerB2B conference. Now in its sixth year, the conference brings together experts from the world of retail, along with some fantastic brands from the premium and luxury sectors for two days of learning, discussion and networking…and a drink or two in the evening.

Sponsoring for the third year running, Leapfrogg will be speaking on both the Thursday and the Friday.

On Thursday, Commercial Director, Ben Potter, will be helping delegates understand what SEO strategy actually entails in 2012. In light of Google’s recent Panda updates and the launch of Google+, the need has never been greater to put useful, relevant and timely content at the heart of a natural search strategy, supported by an active social media program. Ben will be providing top line strategic advice to help attendees make more informed decisions when it comes to shaping their search strategy and engaging with agencies.

On Friday, Head of Social Media and Content, Lucy Freeborn, will be presenting the results of our latest survey exploring the habits and behaviours of consumers purchasing premium products and services. In January of this year, we surveyed 1000 ‘premium shoppers’ with an emphasis on questioning how their shopping habits were likely to change in 2012 compared to 2011. The insight will prove useful to delegates looking to understand more about their target audience.

We very much look forward to another great event!

You can view the full agenda here.

Stick, twist or bust: Thoughts for digital marketing investment in 2012

Posted on February 6, 2012 by Ben Potter

After the recent news that Britain could be sliding back into recession , it might appear a strange time to argue for increased investment in digital marketing channels, such as search. Inevitably, battening down the hatches and hoping for the best will be the default strategy for many retailers.

However, burying your head in the sand is likely to see you lose market share in an increasingly complex online and multichannel environment, or worse, not survive what is expected to be another tough year for trading. For that reason, I argue that retailers should ignore much of the doom and gloom they are exposed to through the mainstream media and instead base investment decisions by taking other external factors into account, namely:

Basic economic theory, specifically the shape of the economic recovery
The continued growth in online sales
Sector specific trends

Let’s look at each of them in turn.

The shape of the economic recovery

I know what you’re thinking; ‘this is a digital marketing blog, why the lesson in economics?’ With that in mind, I’ll keep this as brief as I can. However, it is important to appreciate economic trends so you can time your investments and take maximum advantage of the upturn, which, despite recent news, will come. The uncertainty, even for the experts, is just how long it will take.

I’ve been fortunate enough in recent weeks to hear a couple of different perspectives from some rather knowledgeable people. On Tuesday 24th January, I attended a dinner for Mervyn King at the Grand Hotel, Brighton. Whilst it would be fair to say that Mr King didn’t give a huge amount away, he did state that he expects the road to recovery to be “long, arduous and uneven”. On the face of it, not particularly positive news.

I’ve also spent some time with Shirlaws, a highly respected group of business coaches. I’ve been studying their free ebook ‘A guide for every business owner to thrive, not just survive through the biggest depression in 100 years’, which I recommend all business owners and senior decision makers to read.

Now I don’t pretend to be an expert in economics (grade D at ‘A’ Level if I remember correctly!) but what I have gleaned from my time with Shirlaws is greater context around where we are in terms of the economic cycle and therefore, in their view, where we are heading. So, if you will entertain my attempts at explaining economic theory for one moment, here goes…

In short, economists talk of three main types of economic recovery. The first is the common V-shaped. The economy goes steadily down over time and then steadily back up again.

The more dramatic but fortunately rare, L-shaped recovery involves a sharp plummet followed by a flat line. Not good.

The third, W-shaped, historically occurs every 30 – 40 years. If output should fall again between January and March, as many expect, the UK will officially be back in recession. As such, we will be well on the way to a W-shaped recovery or ‘double-dip’. In this instance, the economy climbs after the initial recession then flattens out for a period before dipping for a second time. Only after the second dip do we then see a full recovery, as demonstrated below:

Why does this brief lesson in economics matter to you? Because as Shirlaws make the point in their ebook, most business owners implement strategies in response to a change in the economy as opposed to taking a more proactive approach based on well documented economic cycles. During recession, businesses tend to wait until there are clear signs of economic recovery before investing in new markets, products, marketing, staff and so on. Considering the return on such investments can take many months, perhaps years to fully materialise, businesses taking this approach fail to maximise sales at the point the economy actually turns. By the time they do so, it is too late to ‘catch the first wave’, as Shirlaws put it.

Of course, the skill is in timing investments to catch that first wave. For many business owners and managers that is where the uncertainty lies. But let’s take a guess that ‘the turn’ is 12-18 months away. If you are looking to take maximum advantage of the increase in real earnings (as inflations falls) and increased consumer confidence, you should be reassessing your investment in digital marketing opportunities now. Natural search (or SEO), for example, is one example of an online marketing investment that takes time to mature. With this in mind, waiting until the recovery actually arrives to invest in a natural search strategy will essentially mean you miss maximising sales during the early, buoyant stages increased consumer confidence and spending.

Those businesses that carefully consider and time their online marketing investments during the downturn by increasing resource in existing, profitable channels, whilst investing in emerging ones, will be best positioned to overtake more cautious competitors and therefore take full advantage of increasing demand as the economy turns for the better.

Growth in online and mobile sales

In 2008, UK online retail expenditure accounted for an 8% share of total retail expenditure. By the end of 2012, it is estimated to be over 14% (Verdict Retail).

And according to CBI figures, ecommerce was the only part of the UK retail market to report growth in the first two weeks of January 2012.

Whereas the specific figures may vary, industry bodies, research groups and trade organisations all report significant year-on-year increases in Internet sales. All expect these trends to continue upwards.

Simply put, the ease and convenience of the web, combined with technology (mobile for example) is fundamentally changing how we research and purchase goods and services. As such, your business model might already be outdated if it does not account for these seismic shifts in consumer behaviour. We have experienced this first hand with a number of our clients; store sales are down, online and mobile sales significantly up. They’ve invested at the right time and at the right level to account for changes in their customers’ buying behaviour.

Therefore, regardless of the economic situation, businesses need to be investing in online operations simply on the basis that this is where your consumers are and therefore expect you to be. ‘Fish where the fish are’ as they say.

So whilst the high street is faltering and the mainstream media focusing on the negativity surrounding a potential double-dip, online continues to flourish. Look beyond the doom and gloom to plan and execute online marketing initiatives that follow changing consumer habits. Consumers are still buying; they are just doing it in different ways.

Sector specific trends

If you operate in the luxury sector, for example, I’d strongly advise avoiding mainstream media altogether! According to the UK Luxury Benchmark Report, the British luxury goods market is expected to grow by 57% in the next five years. In essence, the demand for high quality goods and services has completely defied the recession, in part driven by consumers choosing to trade up to purchase fewer but better quality items and also of course, demand from the Far East, particularly China.

These trends are prevalent on the high street. Consider the winners and losers over the Christmas period; John Lewis, Waitrose and Sainsbury’s reporting strong trading figures, Tesco and Argos the opposite.

In this instance, a recovering economy, combined with increasing demand for premium and luxury products, means retailers and brands catering to the affluent consumer are presented with a once in a lifetime opportunity to increase customer acquisition with carefully considered investments in their online retail and wider multichannel strategies. The common misconception is that customers remain unwilling to purchase high ticket items online. For some, this may be the case. However, the internet has a significant role to play in the sales journey, from research through to the opinions of friends and peers, even if it isn’t where the customer actually converts.

Therefore, research the trends associated with your sector. And remember downward trends should not necessarily mean reduced investment in marketing. If anything, you need to be working even harder and smarter to attract and retain a smaller pool of customers.

Conclusion

During challenging times, it is all too easy to get caught up in the negativity thrust upon us by mainstream media. What I hope I have demonstrated however is that news of a double dip might not be quite as grim as it appears on the surface. When you take other external factors into account, such as economic trends and changes in consumer behaviour, you will build a more robust business case for investment in your online retail marketing strategy.

One thing is clear; being available where your customers expect you to be, and presenting a consistent and seamless experience for those customers as they move between channels, will separate the winners from the losers in the next few years.

So what’s your next move? Stick, twist…or bust?

‘W shaped recovery’ image courtesy of Shirlaws

New clients bringing Christmas cheer to Leapfrogg

Posted on December 19, 2011 by Ben Potter

By our own admission, we don’t shout nearly enough about the great work we do for our clients (a new year’s resolution for 2012 perhaps!?). In the last few weeks, we’ve been successful in winning a number of fantastic new clients so thought we’d take the opportunity to tell you all about them.

First and foremost, we are delighted to have been appointed by Filofax. A brand steeped in history, Filofax dates back as far as the First World War when an Englishman working in the USA, came across an American organising system consisting largely of technical leaves for engineers and scientists. More than 90 years later, the Filofax personal organiser continues to be a valuable and practical asset to people in all walks of life. Initially tasked with looking after natural search, we will also be working with the client to develop a wider online retail strategy in 2012.

In the fashion sector, we have recently been working with one of the UK’s leading nightwear and loungewear specialists, Hush. We were tasked with helping the Hush team put in place greater structure and process around the creation, optimisation and marketing of content. This has included running a number of workshops with the client’s in-house writers to come up with creative themes and ideas that support product sales, whilst also helping to build a lifestyle brand. We have helped the client put in place a highly detailed week-by-week, structured plan outlining the content to be created and the channels by which that content is to be marketed. Alongside this, we have delivered training and put in places processes to ensure the value of that content better supports natural search and social media activity.

Sticking with fashion, we are delighted to have been appointed by Bastyan to manage their paid and natural search campaigns. Started by Tonia Bastyan (and part of Aurora Fashions), Bastyan is a collection aimed at the 35+ market giving design solutions to women searching for both quality and design from the upper middle market. Tasked to drive sales during the pre and post-Christmas sale period, we set up a Google Adwords campaign, which exceeded the clients sales targets for the entire trading period within the first two weeks!

Longer term, we are developing a natural search strategy aimed at increasing customer acquisition, whilst supporting on- and offline PR initiatives.

In the world of high-end travel, we start work with Simpson Travel in January. We’ll be developing and executing a natural search strategy aimed at increasing bookings to Simpson’s luxury villas, apartments, boutique & family hotels in Corsica, Greece, Majorca and Turkey. Our work will combine on-page optimisation, user-experience, content strategy and online PR.

And last but by no means least, Insight Guides, publishers of the world’s largest series of visual travel guidebooks and maps, has appointed Leapfrogg to provide support in the upcoming launch of their new website. We’ll be delivering a bespoke program of SEO training to the Insight Guides team of editors, empowering staff to optimise site content as it is being created. Following that, we hope to be working with the client to put in place an ongoing search strategy aimed at increasing traffic and e-book sales.

So there you go…some fantastic new clients that we look forward to working with in 2012. We’re showing off a little bit but having seen growth of more than 20% this year, in a difficult market, we’re feeling just a little bit pleased with ourselves! Expect to hear much more about our clients next year as we support them in meeting and exceeding their commercial objectives.

Have a fantastic Christmas and New Year!

Our new website goes live!

Posted on August 18, 2011 by Ben Potter

We are delighted to have launched our new website, which not only represents a shiny new look and feel but also our official launch into the premium retail space.

Last year, we underwent an overhaul of the Leapfrogg brand. At the time, we gave our old website a quick makeover whilst we decided how to best bring the new brand to life online.

Fitting perfectly with our creative and results driven approach, the origami theme has been developed further, particularly with the scrolling imagery on the homepage. Origami requires patience and attention to detail (we should know, we tried our hand at it a couple of weeks ago….with er…interesting results!). However, the effort is rewarded with a beautiful creation. It sounds a little corny I know, but the same is true of planning and executing highly effective digital campaigns, particularly in the competitive and complex world of retail.

The new website also represents the final stage in our repositioning exercise, which has been taking place over the last 18 months or so. We made a strategic decision at the beginning of 2010 to build a division focused specifically on servicing brands and retailers in the premium retail space. Since then we’ve been building on the experience and expertise we already possessed in this market with tons of reading, research, surveys, round tables, attending the right events, meeting the right people, reviewing our service offering and reorganising the internal structure of the business; all to deliver the very best in digital marketing expertise and service premium and luxury retailers.

Importantly, we’ve invested a lot of time not just in understanding the online retail environment but also the increasingly complex multichannel space that digital operates within. We are therefore focused on delivering online strategies that perfectly align with our clients’ offline marketing and PR to help deliver consistent and seamless customer experiences. Nothing works in a silo…we totally get that and our bigger picture thinking is reflected in our approach to working with retailers.

With all of the excitement around the new website and retail specialism division, it would be easy to forget where we have come from. But rest assured that won’t be happening. We’ll continue to deliver exceptional digital marketing expertise for our existing clients in other sectors, running alongside the new retail teams.

A massive thank you to all those involved with the website project, not least our friends at Make Media for willingly going the extra mile for us, Josh for his creative input and the Leapfrogg team for their thoughts and ideas.

Do let us know what you think of the new website.

Leapfrogg

The digital marketing agency for premium brands and retailers

Author Archives: Ben Potter