Newsletter – April 2017

One of the most important lessons I have learned in my experience in Online is to “fail fast” (whatis.com), or as others have described it – “test before invest” (thank you Vistaprint).

While there is some controversy on the topic, I feel many of the opposers are missing the point. This is not about ‘Silicon Valley Hype‘ (Forbes) or even ‘Celebrating Failure‘ (entrepreneur.com).
This is about “Risk vs. Reward” and managing your company’s resources efficiently.
When someone sells you a project – internal or vendor – you must ask yourself: “How long will it take to get to a measurable result?” and “What are the resource and opportunity costs of doing this?” In other words, what else can my team NOT do while our resources are bound by this project?
(A great reason to A/B test before throwing all of your valuable resources at a new project…)

In theory, Omnichannel (Cloudtags) is a great concept: you create a great, seamless experience for your customers no matter the channel they come from or how they switch between channels, online and offline. You track performance and manage marketing budgets equally seamlessly across channels.
It ends up dangerous, however, when it becomes a purpose in itself, diverting your focus from nailing the individual channels. “We cannot do X in channel Y, as we first have to get our Omnichannel strategy right. We expect this to happen in quarter Z.” (See topic above…)Australia was the Ominchannel retail champion in 2015 (PWC) particularly in Consumer Electronics – surely no problems with Amazon landing soon then!
Rather than thinking Omnichannel, change your perspective: Think User Experience and Performance Tracking for every single channel that matters for your business:

  • Do you still treat Brand and non-Brand traffic SEM keyword traffic as one ‘SEM’ channel? Add brand keyword traffic, SEO and SEM to your Direct URL type-in traffic as “Total Brand”. Then, look at SEO and SEM non-brand performance, volume and CPA. It is eye-opening!
  • Can you accurately compare the performance of different online channels based on the same metrics?
  • Can you accurately compare the performance and ROI of online vs ATL marketing and optimise budgets based on the same metrics?
  • Can you determine the average life-time value of a customer by channel?

Once you’ve nailed every single channel, you don’t have to worry about “Omnichannel” anymore.

A thought to leave you with…
77% of shop visitors use their mobile phone in-store – 45% of these people don’t use it for shopping…(emarketer). What is your Omnichannel strategy for users that do use their phones for shopping in your store? Block competitor sites? Bid higher on AdWords & Banners for users in your store? (Oh – not possible right now!).