Have you ever noticed when you visit a big site like Zappo’s or another e-commerce site, that you start seeing their ads on blogs, YouTube, and media sites right after. That is called Remarketing.
Remarketing is the process of showing ads only to people who visited your site recently or during a set time period like the last 90 days. This process increases your brand exposure, reminds the customer of your website, and increases sales.
The great thing is it is very cost effective and makes your program seem much larger than it may be.
Advertisers and customers will both think: “Gosh, this company is everywhere. I see it more than Groupon.”
So here is some information and how to get started.
A Short Video Overview of Remarketing
Here is a short 50 second video overview of Remarketing by our CEO Jimmy Hendricks, from a recent advertiser marketing seminar in San Diego. We are piloting short 90 min training seminars to teach small businesses about online marketing, offers, and coupons.
Why Should You Use Remarketing?
Remarketing allows your business to look bigger than you really are. Say you talk to an advertiser, and then they visit your website, and start seeing your ads on other websites—this will remind them of you and make you seem more powerful than you really are. The same thought happens with consumers.
Also, Remarketing is very cost effective. We ran banner ads in San Diego for two weeks, targeting an audience of 25,000 people, and the cost was under $200.
Examples of Remarketing Ads
The great thing about Remarketing is your ads will show up on local websites (when those sites have ad space left) for a fraction of the cost.
Here is a perfect example of our ads on the San Diego Union Tribune. One day we had all 3 spots on a page load and our total cost from that website was about $15.
How to Get Started
Step 1: Watch the Google Remarketing video. http://www.google.com/ads/innovations/remarketing.html or on the video to the right.
Step 2: Create a Google AdWords account
Step 3: Create an “Audience” within your Google AdWords account. The video explains how to do this.
Step 4: Create 4 common banner sizes for your program. You can start with less, but these are the four most popular sizes (File max size is 50kb and sizes need to be exact):
Step 5: Google will need to approve the ads which typically takes 3 business days. You can email them on the third day if not approved and this speeds up the process.
Step 6: If you have more questions check out this cheatsheet http://www.wordstream.com/blog/ws/2012/12/19/google-adwords-remarketing-cheatsheet
Here is a cool update from Global Deal Analytics compiled from their database of over 400,000 daily deals from 350 daily deal sites.
|The five highest grossing daily deals for the week beginning May 28 were:|
This blog post was originally posted on our Director of Strategic Partnerships, Kevin Beatty’s website: www.kevinbeatty.com.
Daily deals, local offers, coupons, gift certificates, check-in specials, and the list goes on for ages. Who would have thought that the discount landscape would look like it does today? In 2010 there was 3.3 billion traditional coupons clipped and redeemed. This doesn’t take into account for the multi-billion dollar daily deal industry that crept in like the Trojan horse. Obviously when the economy is turned upside down with financial instability it drives consumers to seek for ways to save. Or it is?
I know that with my direct network of friends, colleagues and business associates sometimes finding a great deal is more than just saving a few dollars. It’s almost a competition at times to see who is aware of the smoking hot deal from the best excursion in town. I’ve been immersed in the daily deal industry ever since I first heard about Woot back in 2004. It wasn’t until three years later that LivingSocial would start: cataloging people’s interests on Facebook. YES, that’s not made up – there was a time. They didn’t enter the deal space until Groupon entered in late 2008. Building Deal Current from the ground up has given me the distinct privilege of building a scalable technology platform that’s helped launch over 200 programs throughout North America. I was there from the first shovel in the dirt and boy as I look back I hardly recognize the space anymore. I’ve learned a lot about consumer trends, technology capabilities, merchant resources, UI flaws, and failure and success consistencies.
We all know that mobile phone adoption will continue to play a large part in our lives. My mom is now addicted to her iPhone 4S and actors are getting kicked off airplanes because they can’t put down Words with Friends. Estimates show that already 90 Million people in U.S. own smartphones. I’m assuming by now you think my prediction is that every daily deal program will have their own mobile application. That’s NOT entirely the case however. Although I do believe mobile will continue to play an important role in the local commerce space it needs to be done correctly here. Just to have an app to have an app is a naive move. Geo-targeting, LBS, and NFC will be a must if you want to actually have people use your apps. If you don’t know what LBS and NFC are – well, do some research and rethink your concept. LBS is location based services and NFC stands for near field communications. These technologies eliminate the need for users to turn on their phone, click the app, and hope to find a deal local. We’ll see more and more deals will be PUSHED directly to consumers. Foursquare’s recent launch of Radar is the first step in the this direction. Today it’s primary function is to automatically push notifications directly to users as they enter the vicinity of a location they previously marked off on their ‘To-Do List.’ With foursquare’s partnerships with Gilt, LivingSocial, Zozi, AT&T Interactive, and Scoutmob you can be assured that push notification deals will come about in the 2012. Aggregation apps like Yipit and 8Coupons will certainly implement push notifications for the deal programs they aggregate.
Borrell Associates recently did a survey to small and mid-sized businesses and the results showed that they’llincrease their online ad spending by 29% this year, compared to 4.5% increase for their offline ad budgets. If SMB’s are going to increase online advertising where are they going to spend it. My prediction is that they’ll spend it with platforms that will yield the most positive results with quantifiable metrics that are easy to implement. If they need to think about how to use your service or how they’ll track it’s effectiveness, you’ve already lost them. Daily deal programs will need to place significant emphasis on consumer retention tools. How can you automatically connect a merchant with a customer who purchased a daily deal previously to their business? Additional marketing tools such as targeted online ads, follow up email campaigns, repeat offers and appointment management apps will all become necessary components of the landscape. Groupon announced their appointment scheduler today.
Last fall, the top 2 categories for daily deals were Spa & Beauty and Restaurants, which contributed a combined 53% of industry revenue. Not surprisingly a year later, the combined shared of these categories has fallen to 36%. This is actually despite the fact that revenue from these 2 categories increased by 549% over the same span of time. This is due to the trends we’re seeing that anyone with a product, service or widget can essentially use the daily deal concept as an additional promotion. We’ve already seen several new verticals open up in 2010. Groupon Getaways, Living Social Escapes, and Gilt’s Jetsetter really have paved the way for travel and tourism deals. In August 2011 alone Groupon Getaways generated $9.6 million of revenue and LivingSocial Escapes kicked out $6.7 million. My thoughts are that in 2012 we’ll begin to see Home & Auto, Nightlight & Entertainment and Concerts & Events really take off. The question is who will lead the way? Live Nation and TicketMaster have yet to really leverage the deals vertical (despite LiveNation’s existing partnership with Groupon).
Affiliates and ad networks play a critical role in all online advertising but the deals space haven’t seen it develop quite yet. Of the clients I’ve worked closely with we’ve established affiliates relationships that are driving close to 18% monthly revenue. Groupon and LivingSocial both have affiliate systems but they’ve never released the financials generated through those strategies. Daily deal aggregators will continue to build their email databases as the desire to only receive one email will continue to trend high. In markets like New York City, where there’s over 150 deal programs, how does one filter through all of the noise? Smart filter technologies will continue to show up on aggregator and affiliate sites – as personalization will reach an ultimate high in 2012. Distribution channel partnerships can change the game as well – so look out for affiliate marketing programs like Commission Junction signing key partnerships in the industry.
There once was a time where it was normal to purchase a physical gift certificate for someone. Maybe you would drive to their favorite restaurant and pick up a nice envelop with a worth $50 certificate inside. Again, those times are of the past. Regardless of how easy it may or may not be to redeem daily deal vouchers, I still believe that we’ll see simplified methods of redemption. From QR code capabilities to credit card automation – a faster universal system is upon us. All major credit cards will be required for this system to really take flight. You may or may not be aware of the partnerships that American Express has secured from their Facebook Link Like Love campaign to their foursquare sync program. Consumer purchasing behavior metrics will come out of this automation and can really fit well with the merchant marketing needs of the future.
In all of the data I have access to what we’re finding is that consumers are not entirely brand exclusive. CityPockets reports that 54% of daily deal buyers have bought 11 or more vouchers across multiple sites in their lifetime. Consumers are merchant loyal, but not brand loyal. The reason is there’s really no added benefit to purchase the same merchant deal from Gilt City vs KGB Deals. Groupon at one time tried to implement a badge system and they’re in the process of resurrecting that concept as well. In 2012 you will see more and more programs develop consumer loyalty programs, VIP programs, subscription services for higher discounted offers and more.
When you dive deep into this industry (as with any other) you’ll see that there’s many moving pieces. The most financially secure and foreword thinking groups will be first to implement the above mentioned predictions, but they will come true sooner than later. If you’re a consumer of deals you can expect to save more on services, products, concerts, and travel more than ever. If you’re a merchant you can expect to receive data on who really are your customers better than ever before. This will allow you to spend your online and offline marketing dollars wisely. And daily deal platform owners – well, it’s your job to satisfy both of those groups while trying to remain different so you don’t get swallowed up by the competition. I see their being clear and sunny skies ahead in the deal space….just wait.
Posted Originally on Dailydealmedia.com by Jimmy Hendricks, Co-Founder and CEO, Deal Current
Facebook did not make a full entrance into the industry. The reality was they were testing out aggregation, something that Yahoo, CitySearch, and what a dozen others are doing currently. Facebook was not sourcing their own deals. They were an affiliate partner of other companies like Zozi, Groupon, LivingSocial, and several others. Deal quality is what wins in this space. Facebook’s deals were not theirs, and the company was transparent with consumers that the deals they featured were not their own. As such they were not able to create a following. It would be as if you created your own Facebook page, but just had 10 other people comment and update your posts for you. Of course, it’s only a matter of time before people realize what’s happening and just ignore your posts altogether – or unsubscribe.
The other reason why it makes sense for Facebook to temporarily shut down their deal program is because of the old adage saying “local advertising is sold, not bought.” Groupon and media companies need an aggressive outbound sales teams calling or in market street sales team. This doesn’t fit Facebook’s model. They are a technology company, not a sales company. Facebook was planning for deals to be self-setup and the evolution of the market says this may not happen or it’s far off – there are many examples of this.
Yelp seems to have shut down their program for a different reason. Yelp realized that offering increasingly great deals is the only way to win in this game, not just more low quality deals. Also my guess is, one of their troubles is that their sales force is predominantly inside sales and merchants self-manage their ads (like Facebook, another example of a technology company trying to foray into the bloody red ocean where sales companies feed). Deal Current believes the key to success is having an outside sales team who meet in person with merchants.
The Bottom Line: This news is good for independent programs, media organizations with existing sales teams, and software providers because of the following reasons:
1) It shows that the companies that are going to win in this space are the ones with outside sales teams.
2) Not having Facebook and Yelp in the game is a positive thing. Deal sites still leverage social sharing in a big way and use Facebook’s superior ad targeting to drive sales. Now deal sites don’t have to worry about Facebook blocking 3rd party deal sites or being overly selective in approval.
Additional thoughts: Here are some things that we remind our partners on every day:
1) Deal Quality is everything – run good deals, if you don’t have a good deal, don’t run a deal, wait until you have a good deal. This builds your brand.
2) Focus on Deal Match – make sure your deals match your audience. You should have a target customer in mind (age, gender, income, location, interests, etc.), match your deals to them. This builds loyalty.
3) Focus on creating great deals, and promote the heck out of them (not just your program). This creates excitement.
Overall having major players bow out doesn’t mean the market is dying. I believe it proves it’s not as easy as people think and therefore not for everyone, which also makes the strong case that deal sites should partner with a technology provider to build their program.
Posted Originally on Dailydealmedia.com by Jimmy Hendricks, Co-Founder and CEO, Deal Current
We can all sit on the sidelines speculating, criticizing, and making assumptions.The reality though, is that these guys have deep pockets and they can’t be out-spent or out-marketed.
You can compete though, and here is how:
RECRUIT THEIR SALES TEAM AND PAY THEM WELL
Over the past year, Groupon and Living Social have both changed their outside sales reps compensation plans.They have moved a repeat sale in-house which means the sales reps who built the business are getting shortchanged. It’s the natural course of business for a company to change commission plans when they experience rapid growth, but this also creates turnover.
A 25 year old sales person shouldn’t make $30k a month signing up 10 restaurants to run a Groupon, which is why Groupon and Living Social are reworking their compensation plans. If you can offer these sales reps a better opportunity and maybe some stock options, then your company has an opportunity. It’s all about the dream of helping build a company and seeing it take off, and the early Groupon and Living Social sales reps made a killing. Use this to your advantage, just like a startup tech company does when getting started.
People will work for less when there is a vision and they have purpose. Now is your opportunity to recruit these sales people and bring them on to your team. The key is to pay them well and make them a part of your organization. A great sales person brings experience, training, and most importantly a rolodex. Have them teach you how to compete and if you are lucky, how to beat Groupon and Living Social in your local market.
In closing, here is the ad I would run on Craigslist:
WANTED: Groupon or Living Social Sales Reps
We are a local grown successful daily deal company and we want you to help us build our army to take down the big guys.
We are the David going after Goliath and here is what we can offer:
A better compensation plan
A management title
Stock options in our company
Then include the normal “Responsibilities, About Us, Contact Info”
Short URL: http://www.dailydealmedia.com/?p=12362