Sticking to our New Year resolution…a summary of great client results in Q1

Doesn’t time fly when you’re having fun!  We’ve got to April already (how did that happen, exactly?!) and, in keeping with our New Year’s resolution for 2012, we thought we’d have a look back over the first quarter of the year, reflect on the impact of the work we have executed for some of our clients and, importantly, shout about it!  So below I’ve pulled out some edited highlights from three key clients operating in the premium / luxury space; Feather & Black, Bastyan and Cox & Kings.

Looking first at Feather & Black, the luxury bed and bedroom furniture specialist, we helped them attract almost 40% more natural traffic year-on-year.  Their paid search campaign continues to deliver greater revenue for less cost, and is evolving to support their multi-channel strategy to generate greater footfall in their UK showrooms.

Feather & Black continue to grab the headlines; this year they have also been shortlisted for the Best Multichannel Retailer award at the 2012 Paypal awards. We are expanding both natural and paid activity from April, working ever more closely with their in-house team to keep momentum going on all fronts and build on the success of last year…when we helped Feather & Black grow online sales by 46%.

Staying within the retail sector with Bastyan (part of Aurora Fashions), we significantly exceeded revenue targets and delivered a return on investment (ROI) of over 14:1 across paid search.  In parallel, we are working with them to refine their core site, and from May will be developing their content strategy and channel prioritisation for their marketing.

Our work with luxury travel specialist, Cox & Kings, in Q1 has really focused on improving conversion rates; these have increased across both natural search (four times greater than the set benchmark) and paid search (exceeding benchmarks by an average of 30% across all campaigns).

The call tracking solution we put in place (that integrates with our analytics and attribution technology) shows exactly how the digital activity is generating phone calls, enquiries and sales. This intelligence, where we can track the customer journey during a long and complex buying process, allows us to optimise channels accordingly, leading to greater efficiency and ROI.

Anecdotally, looking at all of our clients as a whole, we would also observe the following from Q1;

  •  Multi-channel activity, both in thought and execution, is growing in importance across ALL sectors
  •  There is confidence to invest in digital where the results are clear (and positive!)
  •  While the digital picture may look rosy, clients are still cautious overall about what the future looks like

Clients still want ‘brand prominence’, and happy consequence of remarketing activity, for example, is that it does just that – provides a sense of brand ‘scale’ to those people who have already engaged with the brand, over and above generating extra sales

At the end of Q2, I’ll provide a similar overview looking back at the first half of 2012, as well as some thoughts on how the second half of the year is shaping up.

Proudly sponsoring this week’s SheerB2B conference

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

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 ebookA 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

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!

Making sense of Facebook’s latest updates

Much has already been spoken about in the blogosphere about Facebook’s F8 conference last week, and the changes introduced, not least the Timeline feature.

We believe it is still far too early to draw definitive conclusions for what this means specifically for retail brands within Facebook, certainly in terms of how they organise and share their content and encourage people to do this on their behalf.

Why?  Well, to start with, an article on 16th Sept (before F8) by Paul Fabretti on Social Media Today suggests that while Facebook has generated huge followings (although he observes that in the top 20 ‘most followed’ within Facebook there are zero brands), engagement with these groups by ‘core fans’ is tiny.  The % of ‘core fans’ engaging with the top 20 is comparable to the % CTR one might expect from banner advertising…hardly a glowing endorsement of engagement.  Logic suggests therefore that the solution to poor engagement is ‘better’ content. This isn’t new news to anyone, and harder to deliver it seems.  Especially content that people want to share, to pass on.

Will the updates revealed at F8 make the delivery of ‘better’ content easier or more difficult, then?

Anecdotally at Leapfrogg International HQ(!), opinion is divided.  Some love the new layout and the freshness of Timeline, while others are concerned that if Facebook is starting to decide what constitutes a ‘top story’, rather than having posts fed through chronologically, it raises a question mark over posts that a user might previously have seen that now get missed.

Is there an element of information overload now – how many types of posts can anyone really look at, in different places on one page?  For brands, this seems a risk as well as an opportunity.

Ciaran Norris raises some interesting concerns in his article on Search Engine Land , as does Travis Pitman in Tnooz.  The launch of Gestures, offering the facility for people to share every song they listen to, every book they read or place they go to more easily than ever, could invite ‘stream fatigue’.  If Facebook’s new content structure means that brands are fighting for page real estate in the ticker section of the page with an increasing volume of information from friends, standing out from that ticker stream is going to be more and more difficult.  The thought that the ticker feed is simply ‘the current News Feed on steroids’ is valid.

One solution for brands may be to invest in sponsored areas of the pages; it cannot be a coincidence that within the refreshed content structure, the areas where Facebook generate revenue from brands remain larger, colourful and more impactful than the ticker feed.

At the same time, it seems more important than ever that brands and businesses ensure they have Facebook’s presence embedded within their own sites, to ensure it is as easy as possible for people visiting their sites can broadcast information back to Facebook as easily as possible.

In short, for brands and Facebook, it’s not ‘why?’, but ‘how?’  Our reason for this is simple; not only are more people (800m+ globally) registered, but recent data shows they spend more time there than on any other social media property;

 


Image source: Citi Investment Research and Analysis

Our new website goes live!

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.

The value of a positive review gathers pace

The importance of reviews within the online consideration and buying process has grown in importance in recent times.

A recent industry report suggests this importance is going to keep on growing – and quickly.

The next step is for customers to be asked for their feedback not just on the product(s) they bought, but also the service they received while buying.

This can cover customer service, delivery and whether they’d recommend the retailer from whom they had just made a purchase.  The report suggests just under 60% of consumers will search for online reviews before buying from a retailer they don’t know.  The report also suggests people who read service reviews are more likely to buy.

This approach will help retailers switch customer focus from trying to compete on price to being able to differentiate themselves on customer service.

Those retailers who can grasp this quickest will be best placed to succeed.

A review of the SheerB2B Conference – content is king!

Thursday 7th July started bright and early for myself and my  colleagues (Ben and Lucy) as we headed up to London for the bi-annual SheerB2B eCommerce conference.  As mentioned already in Lucy’s post (6th July), SheerB2B is an online community that brings together a delightful mix of luxury and premium brands, as well as a directory of recommended suppliers and agencies.

Their conferences are really valuable, especially as the world of e-tailing continues to grow and expand at an impressive pace, meaning competition is on the increase.  Shoppers now have a huge amount of choice available to them, so standing out from the crowd and differentiating oneself from the competition has never been as important as now for all those many thousands of e-commerce retailers out there.   It’s not enough just to create a shopping environment that conveys your brand values – fickle shoppers are now looking for engagement and more of an experience online.  And the key to creating this engagement is with content.

Content was therefore the theme of the day at the eCommerce conference.  We listened to a number of very well qualified and experienced experts working in the world of premium retail, including our very own Head of Social Media and Content, Lucy Freeborn; More 2’s Kevin Spadden; Google’s Kerem Atasoy, and Fiona McIntosh from my-wardrobe.com.

The keynote was given by Neil Saunders from Verdict Intelligence who kicked off by talking us through the current marketplace and what’s to come for retailers.  On a plus, we’re set to see overall growth from the retail sector from 1.6% – 3% by 2015, however the % growth varies according to which retail sector you’re in.  Food, Beauty and Clothing are set to see the biggest increase, with Furniture, Homewares, DIY and Electricals lagging behind the average.
Online is (unsurprisingly) set to take a much bigger bite out of the retail spend pie over the next few years.  From 8% in 2010 (equating £23.1bn) to just over 20% by 2020 (£63.2bn).  That’s a lot of potential revenue up for grabs….providing you get it right in such a competitive marketplace.

According to Kerem Atasoy (Google) there will be over 5B users of the Internet by 2020 (as opposed to 1.8B currently); mobile subscribers are set to grow from 4.6B to 10B users; and the amount of digital information set to be sent by 2020 is predicted at around 53 zettabytes (picture that if you will!).  New behaviours are accelerating the demand for new experiences and this is all driven by content.  Kerram went on to highlight some great examples of how Premium and Luxury brands are responding to these changing behaviours by driving richer content experiences and engagement, such as Burberry’s Art of the Trench and Acoustic campaign;  French Connection’s You Tique channel on You Tube and Vera Wang’s Live From the Runway.

We put content at the heart of everything we do here at Leapfrogg, as we firmly believe that relevant and original content is the key driver to any successful ongoing online marketing strategy.  We live in a world where it’s important to connect emotionally with your customers – on whatever platform they choose – be it through imagery, text or video.  We need to understand our customers’ lifestyles, interests and passions in order to serve up engaging content that will not only lead them to your site in the first place, but will keep them coming back and become advocates of your brand to their friends and family.   This insight into your target customers will then help drive the type of content to serve up, be it through Blogs, Interviews, Video How-To’s, Advice Guides; Behind the Scenes Footage; Meet the Team, Gift Guides….the opportunities are almost endless!

Lucy Freeborn, our Head of Social Media and Content, explained how important it is to maximise this content in her presentation, Strategic Success Using Online PR. It’s great having great content, but if you don’t do anything with it then it’s wasted. She went on to give a very engaging talk around how PR supports your wider digital strategy (including SEO, Social Media and, of course, your own website) by building better quality links back to your site.  Our theory around the Evolution of Link Building illustrates this perfectly – there’s nothing particularly wrong with older school tactics such as Article Sharing, Competitions and Advertorials, but the better quality links will come from more advanced techniques such as Blogger Relationships; Badge Schemes; Hot Spotting and News Hijacking.  She summarised by suggesting 5 key things to action, which I would suggest any retailer out there should consider:

1) Have another look at your digital marketing strategy – are you approaching it holistically?

2) Put a date for your content workshop in the diary – get your creative juices flowing & pull together a solid content plan

3) Remind yourself what you “want to be famous for” – what search terms are relevant?

4) Put financial targets against your site – have a solid understanding of what you want your site to achieve and time lines

5) Are you tracking effectively? – do you have set KPI’s that are delivering against your targets?

We’re firm believers at Leapfrogg that taking a strategic and holistic approach to digital marketing is the key to a successful website.  Content certainly is king, but it has to be seen in context alongside your other online marketing activities and ultimately what it is you actually want to achieve in the long run.

Overall, the conference was a great success with lots of networking and exchanging of ideas going on throughout the day and into the evening (a nod of appreciation here to the ladies at Sheerluxe for putting on the free wine & beer after the event!).  I’ll certainly be attending their next conference in September which focuses on Social Media, and if you’re a premium or luxury retailer reading this, I suggest you come along too!

Customer data the gold dust of digital

It’s been a busy start to 2011 in digital with many brands pushing online and particularly social as the UK’s economic hangover lingers on. Brands looking to increase their presence in the digital space are coming under increased threat from fraudsters and scrutiny from consumers.

As I explored back in February, some brands are faring well in the brave, wild social space, whilst others are leaving their customer data high and dry, for all to see.

March’s story of Tesco selling their shoppers’ Clubcard data for research and analysis should surprise few who have given the commercial purpose of the Clubcard much thought. However, the national coverage of the behind the scenes workings of the nation’s favourite loyalty scheme brings to the fore the less public, even hidden, machine that powers the perfectly pitched promos and ‘BOGOFs’ at your local Tesco store.

In the grand scheme that all that Tesco now provides, the Daily Mail article is a speed bump along a path with which the brand can overcome. However, the lesson to be learnt for the rest of us is that, whatever your size, customers and their privacy, if entrusted to you, must be protected and never exploited. You are the guardian of their habits, preferences and indulgences: your discretion will ensure a trusted, long-term relationship.

Take heed, the value of your customer data is something to be treasured. It seems that 2011 is the year of monthly retail horror stories, do not become part of the neverending Scream franchise.

Digital marketing benchmarking report for premium food and drink retailers

Last year, we conducted a survey of premium home and garden retailers, seeking to understand their use of, and attitudes towards digital marketing.

This year, we have looked at the food and drink sector, focusing on retailers selling premium/luxury products online. The basic premise remained the same as the previous home and garden study; to better understand the marketing tactics being employed by retailers, what they felt was working (or not, as the case may be) and plans for 2011.

This research was conducted over a series of one-to-one qualitative interviews.  Out of a target list of 80 companies, a quarter were kind enough to take part in almost 40 hours of discussions.

Top level findings

In summary, we found that a lack of understanding, lack of resource and inaccurate reporting are key factors hampering online success in the premium food and drink sector. The research revealed many companies are seemingly hamstrung by a failure to map digital marketing activity back to their overall business and financial objectives. Indeed, fewer than 20% of respondents know the return on investment (ROI) they are seeing from digital marketing and only a quarter of our interview sample is measuring the lifetime value of a customer.

However, companies are seemingly willing to continue increasing investment in certain activities without setting clear objectives and having the tools in place to measure the impact. Social media, which includes social networking, forums and communities and blogging, is shown to be an activity that many of the respondents do not fully understand and, historically, have been unable to measure results with any degree of accuracy. However, almost half of respondents plan on dedicating greater resource to this activity in 2011.

You can download for full report for free. It also includes a number of key questions (page 6) that we believe premium food and drink retailers need to be asking of themselves if they are to achieve the following:

  • Link digital marketing activity to overall commercial and financial objectives
  • Invest, what is often limited resources (time and money), in the right areas
  • Measure the impact of activity back to the bottom line
  • Keep abreast of the new developments and shifts in consumer behaviour

If you would like to discuss any aspect of the report findings, please get in touch with Ben Potter.