2015 has been a very busy and interesting year. At the end of 2014 I had written down some predictions on how I see the digital world changing in 2015 – some of them turned into reality. For example, I heard Google give its paid Premium version away for free in quite a lot of pitches. They might never confirm that, but it was a part of a big bundle of Google services; including Premium for free in the package. Not a surprise, since they really do not need the revenue of this small business unit – and on the other hand delivers an enrichment of data for themselves.
Conversion calculation for e-commerce is easy – but what if you are not in e-commerce? In e-commerce those Key Performance Indicators would be:
- Average Order Value per Customer
- Average Order Value per Website Visitor
- Number of Orders
- Number of Returns
- Abandonment Rate during order process
- Filled but not-ordered baskets
E-commerce is easy
So, in e-commerce the conversion means ordering a product. If the price of a product is 100 Euro we know that conversion value is 100 Euro as well. Simple as that. This makes the life of an e-commerce Manager easy. For a Web Analyst or Product Manager or Digital Consultant in a non e-commerce company it’s a bit more difficult to achieve the same attention within management. This is because management only listens to financial information, economical benefits and ROI improvements and not to increases of Facebook-Likes or increase of duration or decrease of 404-pages. That is why they are in management.
The question then, naturally, is how to calculate the conversion value of a non e-commerce website. How to calculate the conversion value of a newsletter registration or a brochure-download? Now it is getting interesting.
Micro Conversions help
In other words, we need to look at the micro conversions.
Being a marketing expert in such a company requires reporting on the financial value of those micro conversions. If you tell your CEO you increased the number of newsletter registrations he will not listen to you. If you tell your CFO you increased the number of video streams of your Youtube channel she will not listen to you. I also wouldn´t.
Stop reporting on the wrong metrics – get heard by the top management through relevant data knowledge.
To give a (hypothetical) practical example:
You can not buy these boats online – still Analytics is important…
Image courtesy of impala ark on Flickr
Luxone Yachts offers very stylish but also expensive boats and yachts and – of course – do not offer an online shop of these dream products on their website or any other digital platform. You will not buy a yacht with a pricing above 250.000 Euro without doing a test ride, checking the quality of the interior, listening to the sound of the engine and checking if the dealer is trustworthy. This shopping behavior might change in the future but currently we still want to grab what we get (in this price ranges). There is no macro conversion (Buy a Boat), but instead smaller micro conversions (sign up for newsletter, download a brochure, find a distributor, arrange a meeting at a boat show etc.). Those micro conversions need financial value linked to their intention.
What is the value of a brochure download?
What if a website visitor does a brochure-download? How much money can you allocate to that? 10 Euro, 1.000 Euro, 15.000 Euro?
You need to find the amount of website visitors that download a brochure on a weekly level. This can easily be done with your analytics system, go ask the consultant of your vendor (hope you have someone to call here). Assuming it will be 100 visitors downloading a brochure, you would then need to check how many of those visitors show up at one of the listed distributors with those brochures. Assuming it will be 10 people visiting a distributor with a downloaded brochure:
If it is known (from research) that for every 100 people walking into a distributors there are, on average, 2 sales at € 300,000 each, then we could assume the average sales value of a person walking in to a distributors as € 6,000 each.
If we know that for every 100 brochure downloads this encourages 10 people to walk into a distributors to look at yachts, we might assume the average sales “value” of these people to be 10*6,000 = €60,000 and therefore the average sales value of a brochure download is €600 ( i.e. 60,000/100 ).
Breaking down the Macro Conversion (more revenue) into Micro Conversions help understand your business
(You can also find another example here: non-commerce reporting)
Report on Financial Value
Now you have the attention of your CEO if you have a plan how to increase the number of downloads. If you add this value in your system and combine it with the download report you will talk money instead of statistics.
The key takeaway is: if Analytics is not a high priority of the C-Level it might well be your fault (Start Yelling at your CEO).
Working as an Analyst for an e-commerce website is easy – working for a non-commerce website needs some more thinking. Go for it and convince your CEO.
[Manoj]: Tell us a about your Pipeline Builder product and how B2B organizations can leverage it?
[Jeff Kostermans]: It’s essentially advanced Caller ID for the website, so it reveals who is checking out your website – before they fill out a form. You can instantly correlate anonymous website visitors to the contacts in your CRM or the prospect database that can be managed within Pipeline Builder. You can also add new contacts with lookups into list partners that include Jigsaw, Hoovers, ZoomInfo and soon LinkedIn. With the integrated email engine and the Outlook Plug-in, both marketing and sales can also send tracked emails that cookie the recipient, to reveal even more information when valuable prospects visit the website. Sales teams apply their own criteria to trigger instant sales alerts on truly interested prospects. This enables them to exponentially improve their connection rates, and very efficiently put more opportunities in the funnel. Plus marketing departments can now recoup their lost investment on anonymous PPC campaigns, correlate website visitors to the pipeline, and record a more complete view of hand-raising activity that can synch with the CRM or trigger instant alerts.
[Manoj]: How does Pipeline Builder fit into an organization’s sales process?
[Jeff Kostermans]: With complex B2B sales, the company with the most responsive and efficient sales team wins the deal 9 out 10 times…not the one with the best or least expensive product. Since B2B sales cycles can be quite long, the objective is to accelerate sales cycles of truly interested prospects and enable the sales team to be laser focused on the best prospects. Leveraging the Pipeline Builder, sales teams can define and adjust their criteria for receiving hand raising alerts. Prospects conducting early stage research on your website can be contacted and qualified much more efficiently. Prospects considering the competition will most likely visit your website as part of their due diligence, and if the alert criteria is met, the appropriate sales team member can get an instant alert and intercept the buyer. After all, in sales, timing is key.
[Manoj]: How accurate are the prospect details from databases such as Jigsaw, Hoover, LinkedIn and ZoomInfo?
[Jeff Kostermans]: While we do bundle in discounted subscriptions to these sources, in our experience, you’ll generally want to select contacts that have been validated within the last six months. LeadGenesys has unique arrangements with these sources enabling you to be credited on any disputed contact info.
[Manoj]: What types of software/services does Pipeline Builder integrate with?
[Jeff Kostermans]: LeadGenesys can integrate with all the major CRM providers as well as Microsoft Outlook. Although the sales team gets complete information within each instant alert, the benefit to integration is that all the hand raising activity recorded in Pipeline Builder gets appended to the contact record in your CRM. Bi-directional synching also enables you keep the Pipeline Builder up to date with your CRM data.
[Manoj]: Please describe the implementation process and when you can start seeing leads?
It’s as simple as pasting a line of code into your website pages. You instantly see who is checking out your website as soon as the code it there. The free, no obligation trial begins with a set of “starter rules” for triggering instant sales alerts that are based on best practices – but those can easily be tailored on the fly to your own triggering criteria.
[Manoj]: What separates Pipeline Builder from its competitors?
Unlike other solutions, Pipeline Builder triggers INSTANT sales alerts. A delayed alert or report of visitors means the sales team still has to cold call vs warm call. Plus it’s a hassle to manage those reports for the whole team.
Pipeline Builder does not just record anonymous visitors. It also correlates visitors your prospect base – and enables both marketing and sales teams to send tracked emails that build a more complete picture of true prospect interest.
The solution is able to custom grade prospects, which can factor into your rules for triggered alerts.
The solution is a subset of the LeadGenesys Platform and Lite Platform, so B2B firms seeking to do more than blend website tracking and emailing can seamlessly grow into those solutions that include automated lead nurturing, intelligent landing pages, and other marketing automation features. Why have a separate disjointed tool to track visitors when you can do so much more with single application ?
[Manoj]: What is the cost of Pipeline Builder?
[Jeff Kostermans]: Depending on the number of users, the cost will range between just $3 and $4 per user per day.
Earlier this month I had the opportunity to test drive a product called VisitorTrack – developed by NetFactor. VisitorTrack is a lead management tool geared towards sales/marketing professionals. Once installed on your website, VisitorTrack has the ability to track visitors on your website and correlate them back to their organization (flagging visitors from fortune 4000 companies), address, phone, referring search engine/keyword and the number of pages they viewed. Furthermore VisitorTrack integrates with Jigsaw data so you can pinpoint executives from the companies who visited your website. VisitorTrack is very useful for B2B companies who are looking for more qualified leads in their sales process.
VisitorTrack comes with a Free 10 Day Trial, so I recommend trying it out for yourself. Below is a sample of VisitorTrack’s interface (click image for full view):
Here are some additional features of VisitorTrack:
HotLeads – Pinpoint those companies most interested
Instant eMail Alerts – Automatically receive eMails on those Visitors meeting your criteria
User Defined Alerts – Customize alerts for Customers, Prospects, Competitors, and more
Affordable – Most clients see a low cost-per-lead measured in pennies to a few dollars
CRM Integration – Export the data you need in a report format, or for CRM integration