Right service. Right product. Right platform. Right person. Right time. Right place. That’s the next generation of cross-channel and it encompasses every aspect of our existence. Call it contextual marketing.
Rebecca Lieb, long-time digital media journalist and now an analyst, author and strategic advisor, released research last week based on her interviews with 17 marketers who are practicing contextual marketing.
Among the best practices recommendations Lieb culled from those interviews:
To make this all work requires an open and sharing business environment that encourages and rewards cross-pollination, Lieb notes. Pilots can start anywhere in the organization — email, customer service, social or mobile — then spread throughout. If things stay in a silo, the promise can’t be met.
In terms of spending, Lieb elicited some specifics from Gunjan Bhow, svp, direct to consumer at The Walt Disney Co., where contextual marketing is the fastest-growing part of the budget. Disney spent an estimated $1 billion to roll out the MagicBand park pass, a multi-sensor wristband that uses real-time data to enhance the overall park experience — including reducing the time spent standing in line. Disney has a multi-million dollar budget for platform build-outs with Apple, Amazon, Walmart and other partners. It’s all in the name of providing service.
MGM Resorts has more than doubled its contextual investment from 30% last year to 64% of budget this year, taking the money from traditional media spend.
And how does this sound? Marantz’s connected audio speakers give the manufacturer so much insight into its customers that “we absolutely, 100% have evidence that these targeted campaigns have a 5 to 7% purchase rate on all the emails we send,” said Scott Strickland, D+M Group’s global chief information officer. “The email is so targeted that our open rates are 40 to 42%.”
Lieb offers the complete results of her research for all to use and you can download it here.