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31 facts on winning new business pitches for ad agencies 0

Posted on May 22, 2017 by Rob Petersen

winning new business pitches

Winning new business pitches is a key barometers of success for any ad agency.

On Google, if you search the phrase, how to win an ad agency pitch, you’ll find 11.7 million entries. That’s means a good number of people are looking for the answer to this question.

In the titles of these entries, you’ll find words such as “rules,” “playbook,” “guide,” “tips” and “tactics.” In other words, someone’s else opinion.

This article doesn’t pretend to have that wisdom. Instead, here are 31 facts on winning new business pitches broken out into categories so you know by the numbers;

  • What are chances for success
  • What works against you
  • What works.

WHAT ARE CHANCES FOR SUCCESS

  1. 96% of ad agencies have participated in a new business pitch. (Provoke Insights Study)
  2. 49% are general ad agencies and 23% are digital, 9% are brand consultancies and 8% are media. (Provoke Insights Study)
  3. Average closing rate in the U.S. is 43%. (Cubeyou)
  4. New business pitches cost ad agencies between $15,000 and $20,000 to prepare. (Cubeyou)
  5. The average amount of work that goes into each proposal is 150 hours. (Cubeyou)
  6. Small to mid-sized receive 10-12 requests for proposals (RFPs) a year. (Cubeyou)
  7. 299,000 Google results for “best advertising blogs.” (Peter Levitan)

WHAT WORKS AGAINST YOU

  1. 80% of agencies say the New Business Director lasted less than 2 years. (Smart Insights)
  2. 66% have no methodology or business development plan for winning new business pitches. (Smart Insights)
  3. 53% of clients investigated 6 or more agencies in addition to your agency for the preliminary review. (McKinsey)
  4. 48% of clients said their previous agency relationship lasted less than 2 years. (RSW/US)
  5. 47% of ad agency professionals are dissatisfied with their agency’s current approach to winning new business ptiches. Unrealistic timelines and long hours are the primary reasons. (Sanders Consulting Group)
  6. Average Client-Agency Relationship has shrunk from 7.2 to 2.8 years. (Media Post)
  7. Average CMO tenure has decreased from 48 month to 44 months. (Spencer Stuart)
  8. 33% of the CMO’s in the study are new to their job as of 2015, the largest percentage since 2004 (Spencer Stuart)
  9. Clients typically invite 3 agencies to pitch when there is a full-blown review. (RSW/US)
  10. Most clients take 2-3 months before a final appointment is made. (HubSpot)

WHAT WORKS

  1. The best marketing and advertising agencies in US close on average 85% of the pitches and participate in 6 times more than the other agencies. (Cubeyou)
  2. Creativity and Strategic planning represent more than half of the total cost. (Cubeyou)
  3. To improve strategic planning, agencies say important areas to apply resources are: 57% against the target audience, 53% for competitive intelligence, 53% for industry trends, 47% for industry intelligence and 42% for social listening. (Provoke Insights Study)
  4. 96% of executives said “chemistry” was the key factor. (Launch Engineering)
  5. 82% of executives select an agency who they believe “differentiated” themselves from other agencies. (Launch Engineering)
  6. 61% of executives said the agencies they’ve selected had a confident, articulate team. (Launch Engineering)
  7. If you close 60% of your new business pitches, your new business effort will be profitable. (Cubeyou)
  8. 50% of executives suggested agencies need to develop “a new business culture.” (Launch Engineering)
  9. Clients generally enjoy the process of looking for a new agency, with 41% of respondents saying they either “look forward to it” or “enjoy it.” (RSW/US)
  10. 41% are not happy with their current agency’s strategy and thinking; 40% cite lack of pro-activity; 39% are not happy with creative and 33% are looking for new ideas. (Holmes Report)
  11. 39% of executives said passion for the client’s business, demonstrated by a “seamless link between strategy & creative.” (Launch Engineering)
  12. Only 33% of executives said brilliant creative was enough to win the pitch by itself. (Launch Engineering)
  13. 23 of agency appointment now involve a procurement specialist, so don’t ignore them. (RSW/US)
  14. 22% of clients use a roster system, suggesting that most clients use other means to learn about the strength and value of agencies in consideration. (RSW/US)

Do this facts on winning new business pitches make sense to you? Do facts serve as a better guide than rules and playbooks? Do need help winning new business pitches or selecting the right agency for your business?

Why 11 Facebook Business case studies showed great results 0

Posted on May 15, 2017 by Rob Petersen

facebook business case studies

Millions of businesses, big and small, use the Facebook family of ad services and apps.

  • 4 million businesses advertise on Facebook
  • 75% of all brands on Facebook promote their posts
  • 50% growth in Facebook advertisers from 2015-2016 (source: DMR)

Facts show Facebook Business is big, fast growing and easy for businesses to access.

But, in a situation like this, there are always plenty of losers and winners.

Here are 11 Facebook Business case studies that showed great business results. What makes for success is each brand clearly established a business objective for their ad investment. See for yourself.

  1. ADDIDAS: Wanted to showcase its latest premium athletics Z.N.E Hoodie with a captivating video while also promoting related items. To advertise the collection, adidas uploaded its video creative and product catalog. The product images in the experience were automatically pulled from the product catalog. The ads also featured 4 complementary products beneath the video, such as sweatpants, shoes and accessories. Their campaign had a 43% decrease in cost per conversion and 5.3X return on ad spend.
  2. AIRBNB: Wanted to reach people with its “Live There” campaign—which pointed to Airbnb as an alternative to mass tourism. They developed a Facebook and Instagram campaign that would reach people where they spend a majority of their time: mobile News Feed. Ad creative highlighted the magical experiences that were made possible through Airbnb. For instance, one video showed people watching a sparkling Eiffel Tower from the balcony of their vacation rental, while ad text encouraged others to “Live Here.” Within four month, Airbnb had a: 1) 4-point lift in purchase intent in the UK and India, 2) 6-point lift in purchase intent in Germany and Australia and 3) 125 million people reached.
  3. BAKED NYC: Has one location in Brooklyn and one in Manhattan. The bakery is especially proud of its Oprah-endorsed brownies. Baked NYC wanted to broaden its customer base and encourage people to sign up for its email list. Baked NYC built videos around pre-ordering pies for Thanksgiving using only a $20 tripod, a $15 clamp lamp, a phone and a variety of apps to create stop-motion videos with animated text overlays. Baked NYC targeted baking fans to generate subscriptions to its email list. To reach people most likely to pre-order a pie, Baked NYC ran those ads to those living within a one-mile radius of both its locations.
    Baked NYC’s seasonal campaign, which began on November 9, 2016 and ran until Thanksgiving. It helped reach a local audience, drive qualified people to its website and increase sales of its Thanksgiving pies. It achieved: 1) 40% increase in pie sales, 2) 68% increase in leads and 3) 30% decrease in cost per lead
  4. GENERAL MOTORS ONSTAR: OnStar is a subsidiary of General Motors that provides subscription-based services for emergency, security, guidance, connectivity and vehicle management. The OnStar team wanted to increase sales of its 4G LTE Wi-Fi data plans among owners of General Motors vehicles that are OnStar-enabled. General Motors’ data to create a Custom Audience of people with OnStar-enabled vehicles and segmented them. OnStar also used a “Call Now” call-to-action button for the first time. It received hundreds of phone calls, further proving its ads resonated with GM owners. The advertising effort generated a 2.3% overall sales lift for OnStar’s 4G LTE Wi-Fi data plans and 7.2% sales lift among people who had never used a data plan.
  5. GOPUFF: Is an on-demand delivery service launched in Philadelphia in 2013. goPuff wanted to boost awareness of its app and increase downloads so that it could encourage more people to place an order through its on-demand service. goPuff examined its Audience Insights dashboard to determine the best audience to target with this campaign. The built a series of mobile app install ads, which direct people to the app store where they can immediately download the app. GoPuff drove more app downloads and sales, delivering a 35% increase in app installs, 30% decrease in cost per install and 35% decrease in cost per purchase after download.
  6. MICHAEL KORS: Is an American luxury fashion brand, known for its handbags, ready-to-wear and watches. The company has 780 locations worldwide. The fashion brand wanted to measure the impact that its Facebook ads had on its offline sales. Using link and carousel ads, the fashion brand drove traffic to its physical stores, and then used offline conversions to measure the impact its ads had there. The 4-day September 2016 campaign revealed:1) 33% increase in attributed return on ad spend, 2) 31% increase in attributed transactions and 3) 25% increase in attributed revenue.
  7. OREO’S: Used a business milestone to generate awareness and brand vitality. To celebrate its 100th birthday, Oreo produced 100 Facebook Posts in 100 days that turned trending news stories into “visual treats.”  Oreo garnered over 231 million media impressions from over 2,600 articles. They increased their Facebook fans by over a million and increased their Facebook engagement by 195%. They also increased their share rate by 280% with each post being shared an average of 1,472 times.
  8. PIXELBERRY STUDIOS: Is a gaming studio in Mountain View, California that develops socially-minded games for young people. Pixelberry Studios wanted to increase downloads of Choices among players around the world, particularly among people most likely to pay for additional features. Pixelberry Studios developed mobile app installed ads and optimized its ads for certain app events, including installs and purchases. Optimizing for app events ensures the ad is automatically targeted to the people most likely to take that action. They had a: 1) 2.2X increase in rate of acquiring payers with app event optimization (compared to traditional mobile app install ads), 2) 27% increase in return on ad spend with international targeting (compared to traditional single-country campaigns) and 3) 30% decrease in cost per paying player with international targeting (compared to traditional single-country campaigns).
  9. SHUTTERFLY: Is the market leader in digital personalized photo products and services. To increase sales at Shutterfly.com, the company wanted to provide a high-value offer—a free personalized white ceramic mug—to reach a specific demographic: moms with kids at home. Using Facebook Offers, Shutterfly could distribute a unique, single-use offer code to each person who clicked on its ad. The new Offers feature gave the company better control over how many people redeemed the offer. The 3-day campaign successfully reached Shutterfly’s target demographic and got them excited about the unique mug offer. The campaign also achieved over 16,000 offers saved, over 8,000 purchases and 11X return on ad spend.
  10. SMARTBUYGLASSES: Provides quality designer eyewear online. As an online-only retailer, SmartBuyGlasses continuously aims to grow its revenue. For this month-long campaign, it wanted to increase sales by at least 30%. SmartBuyGlasses decided to segment its ad placements after learning that product ads tended to be more successful in desktop News Feed, and that special offer images featuring people wearing its products were more effective on mobile. The campaign achieved 30% increase in sales, 2X increase in traffic and 35% increase in conversions, year over year.
  11. TREE HUT: Is a maker of hand-made watches, known for its one-of-a-kind, nature-inspired designs with personalized engravings, each handcrafted out of real wood. Tree Hut wanted to boost awareness of its handmade wooden watches and increase online sales by using the data available on its third-party ecommerce platform. Taking advantage of Facebook’s advanced targeting and measurement tools, the company used Shopify’s Facebook pixel integration to install the pixel on its website and advanced targeting to deliver personalized dynamic ads to the right audiences, increasing sales by 4.1X.

Do these Facebook Business case studies help you see how to to use Facebook advertising effectively? Do you need a partner to help your business on Facebook?

52 ecommerce stats every business should know to grow 0

Posted on May 08, 2017 by Rob Petersen

ecommerce stats

Ecommerce stats show we buy more online from more devices in more places and at more times of the day than ever before. And this migration is going to continue.

But ecommerce consumers are savvier. They have high expectations and demands that, if not met, cause them to go elsewhere and not likely to return.

To help your business get the most from this movement, here are 52 ecommerce stats every marketer should know to grow.

WHO BUYS? AND HOW MUCH?

  1. $394.9 billion are ecommerce sales for 2016, an increase of 15.1 percent from 2015. (U.S Department of Commerce)
  2. 191.1 million U.S. online buyers. (Statista)
  3. 98.9 million online buyers who have purchased at least once via a mobile device (Statista)
  4. $1,800 in the U.S. and $1,600 in the U.K. is how much the average eCommerce consumer spend per customer over the course of the year  (Statista)
  5. 80% of the US population has made an online purchase; 50% have made more than one. (Business Insider)
  6. 67% of Millennials and 56% of Gen Xers prefer to shop on online rather than in-store. (Big Commerce)
  7. 54% of online purchases are made by Millennials. (USA Today)
  8. E-commerce sales in 2016 accounted for 8.1% of total sales compared to 7.3% of total sales in 2015. (U.S Department of Commerce)

WHAT ARE BUYING BEHAVIORS?

  1. 51% of Americans prefer to shop online. (Big Commerce)
  2. 58% of consumers say their least favorite part of shopping online is paying for shipping. (Small Biz Trends)
  3. 55% of consumers would rather interact with technology in store than a sales associate. (Forbes)
  4. 49% of parents say they cannot live without online shopping. (Big Commerce)
  5. 46% of online shoppers read social media reviews and blogs before purchasing online. (Selz)
  6. 46% feel online review help make them feel confident about their purchase and 45% feel they make companies be accountable to their customers. (Pew Research)
  7. 39% of Americans have shared their experiences or feelings about a commercial transaction on social media platforms. (Pew Research)
  8. 30% of all products ordered online are returned as compared to 8.89 percent in brick-and-mortar stores. (Small Biz Trends)
  9. 25% of online shoppers are age 54 or older. (IBM)
  10. 23% of shoppers are influenced by social media recommendations/reviews. (Big Commerce)

WHERE ARE WHEN DO THEY BUY?

  1. 85% of customers start a purchase on one device and finish it on another. (Google)
  2. 82% of Americans consult online ratings and reviews when buying something for the first time. (Pew Research)
  3. 72% of Millennials research and shop their options online before going to a store or the mall. (Forbes)
  4. 65% of Americans indicate that when they need to make purchases they typically compare the price they can get in stores with the price they can get online and choose whichever option is cheapest. (Pew Research)
  5. 62% of smartphone users have made a purchase online using their mobile device in the last 6 months. (Outer Box)
  6. 44% of retail internet minutes were spent using a smartphone device, while 11% were spent using a tablet, as compared to just 45% spent using a desktop. (IBM)
  7. 43% of online shoppers have made a purchase while in bed. (Big Commerce)
  8. 43% of e-commerce traffic comes from Google search (organic) and 26%  comes from Google Adwords. (Wolfgang Digital)
  9. 40% of Americans (and roughly half of those under the age of 50) indicate that they nearly always turn to online reviews when buying something new. (Pew Research)
  10. 23% of online shoppers have made an online purchase at the office. (Big Commerce)
  11. 20% of American online shoppers have purchased from the bathroom. (Big Commerce)
  12. Only 11% of users access the Internet via desktop only – almost all users are using multiple devices. (comScore)
  13. 22% of consumers spend more as a result of using digital; just over half of these shoppers report spending at least 25% more than they had intended. (CMO)

WHAT ARE EXPECTATIONS?

  1. 92% of U.S. customers would consider delivery within 2 days to be ‘fast delivery’, but only 18% would consider delivery within 5-7 days as fast. (Criteo)
  2. Over 90% of people buying on Amazon wouldn’t purchase an item with less than three stars. (Feedvisor)
  3. 75% of reviews on eCommerce sites give the full 5 stars. (YOTPO)
  4. 71% of shoppers believe they will get a better deal online than in stores. (Selz)
  5. 69% of online shoppers want more reviews from ecommerce sites. (Big Commerce)
  6. 66% of online shoppers have decided not to buy an item because of shipping costs. (Big Commerce)
  7. 44% will abandon their shopping card if the shipping cost is too high or if there are unexpected additional charges. (Receiptful)
  8. 40% of customers are fine interacting with chatbots. (Forbes)

WHAT CAN YOUR BUSINESS DO TO BENEFIT?

  1. Using product videos on eCommerce sites can increase product purchases by 144%. (Small Biz Trends)
  2. 88% of shoppers characterize detailed product content as being extremely important. (Forbes)
  3. 74%of small business websites have no eCommerce. (Small Biz Trends)
  4. 60% of shoppers actually read your return policy before completing a sale, and the return policy ultimately influences 80% of the sale. (Small Biz Trends)
  5. 60% of consumers have completed a “buy online” to “pickup in-store” purchase via mobile. (Forbes)
  6. 50% of mobile coupons that are redeemed are captured from a retailer’s site by the consumer. (Neilsen)
  7. 58% of the Top 1000 US online retailers send welcome emails. (Internet Retailer)
  8. 39% of smartphone users have redeemed at least one digital coupon in the past year. (Neilsen)
  9. 30% of mobile shoppers abandon a transaction if the experience is not optimized for mobile. (Marketing Profs)
  10. 30% of mobile coupons are obtained from specialty sites like Groupon and Living Social. (Neilsen)
  11. 20% of grocery store sales are expected to come from online by 2025. (CNBC)
  12. At least 15% of retailers will offer a price match guarantee. (Biz Journals).
  13. Online sales in the United States are expected to reach $523 billion, up 56% from $335 billion in 2015. (Forrester)

To know what’s next in ecommerce, here is an infographic from the Villanova School of Business.

Do these ecommerce stats you see how your business can benefit. Do you need building an ecommerce plan for your business?

ecommerce stats

4 best practices for building a referral network (Infographic) 0

Posted on May 01, 2017 by Garret Norris

Referral Network

Referral network refers to a group of business owners and professionals who try to promote each other to gain more leads and sales. It’s a highly effective strategy for building business because it’s based on trust. Here’s why it works:

  • 92% of people in business trust referrals from people they know
  • 87% of front line sales reps, 82% of sales leaders and 78% of marketers agree that referrals are the best leads you can get
  • 86% of companies with a formalized referral program have increased revenues over the past 2 years (Source: Digital Intelligence Today)

What’s the best way to create one? Here are 4 best practices for building a referral network with an infographic.

  1. CONNECT WITH PEOPLE RELATED TO YOUR INDUSTRY: The first step to building a referral network is to dedicate time to meeting people in and outside your industry. To determine who this should be, ask yourself: What sort of products or services would your customers benefit from the most? Who are the best people to provide those products or services? Who are the best local providers for such products or services? What value can you provide for their customers?
  2. SEGMENT YOUR REFERRAL NETWORK: Evaluate connections and divide them into three segments: 1) Those most likely to need what you offer, 2) Related businesses in the same industry or who have the same Buyer Persona and 3) Totally unrelated businesses but important to your customers.
  3. HAVE A CHECKLIST FOR GIVING REFERRAL: When you give a referral to your one of your customers, base it on the following considerations: 1) RELEVANCE: Make sure a referral you give is relevant to their situation, 2) QUALITY: Refer only those who deliver on what they promise and 3) AUTHENTICITY: Avoid overrating a referral and keep your customer’s need the priority.
  4. MAXIMIZE VALUE OF YOUR REFERRAL NETWORK: Building the referral network is half the work.  You need to learn how to use the network so you and your connections can mutually benefit from the gains of each other. Consider: 1) Collaborating with people in your network on an assignment, 2) Use their products or services and 3) Offer them an incentive to use you on one of their assignment.

If most sales and marketing professional rate a referral network as their most effecting business building asset, why wouldn’t you have one?

Below is the infographic from Business Coaches Sydney on building a referral network for your business.

Do these best practices help you in creating one?

Referral Network

About the Author, Garret Norris: For over 15 years Garret has been one of Australia’s leading Corporate Sales, Management Training and Coaching organisations. Garret has been improving the performances of business Managers, Leaders and Sales Teams. Garret simply gets results!

50 compelling facts how online video boosts business 0

Posted on April 24, 2017 by Rob Petersen

online video

Online video now accounts for nearly 70% of consumer internet traffic.

With its rise, the conversation about online video has evolved from ways to create video content to how to get the most out of it?

To help answer this question, here are 50 compelling facts how online video boosts business.

  1. 98% of millennials watch videos on smartphones, compared to 56 percent on computers. (Animoto)
  2. Viewers retain 95% of a message when they watch it in a video compared to 10% when reading it in text. (Insivia)
  3. 93% of Twitter videos are watched on mobile. (Twitter)
  4. 92% of mobile viewers share online videos. (Animoto)
  5. 90% of information transmitted to the brain is visual, and visuals are processed 60,000X faster in the brain than text. (3M Corporation and Zabisco)
  6. 87% of online marketers use video content (Outbrain)
  7. 85% of Facebook video is watched without sound, (Digiday)
  8. 82% of Twitter users watch online video content on Twitter. (Bloomberg)
  9.  Including video in a landing page can increase conversion by 80% (EyeView).
  10. 80% Of Millennials use online videos when researching a purchasing decision. (Animoto)
  11. 80% of internet users who recall watching a video ad on a website they visited in the past 30 days. Of that 80%, 46% took some action after viewing the ad. In fact:
    • 26% looked for more information about the subject of the video
    • 22% visited the website named in the ad
    • 15% visited the company represented in the video ad
    • 12% purchased the specific product featured in the ad (Online Publishers Association)
  12. 77% of professional marketers and SMB owners are seeing results with video marketing. (Animoto)
  13. 75% of smartphone viewers watch a video to completion, while only 25% watch videos on desktop to completion. (Animoto)
  14. 75% of executives watch work-related videos on business websites at least once a week. (Forbes)
  15. 73% of B2B marketers say that video positively impacts marketing ROI. (Tubular Insights)
  16. 70% of marketers have found video produces more conversions than any other type of content. (Small Biz Trends)
  17. 65% of people who watch the first three seconds of a Facebook video will watch for at least 10 seconds, and 45% will watch for 30 seconds (Facebook)
  18. Video of a live event increases brand favorability by 63% (Twitter)
  19. 61% of young executive say they will rely more heavily on online video in the next 5-10 years (Cisco)
  20. 60% of marketers use videos in their social media marketing. (Social Media Examiner)
  21. 60% YouTube subscribers would follow advice on what to buy from their favorite creator over their favorite TV or movie personality (Google)
  22. 59% of executives agree that if both text and video are available on the same topic, they are more likely to choose video. (MWP)
  23. 55% of people consume videos thoroughly — the highest amount all types of content (HubSpot)
  24.  52% of marketing professionals worldwide name video as the type of content with the best ROI. (Syndacast)
  25. 52 percent of mobile traffic is a search for video. (Animoto)
  26. 54% of senior executives share work related videos with colleagues weekly (TubularInsights).
  27. More than 50% of videos are watched on mobile. (Ooyala)
  28. Almost 50% of internet users look for videos related to a product or service before visiting a store (ThinkWithGoogle).
  29. Marketers who use video grow revenue 49% faster than non-video users (VidYard).
  30. 48% of marketers plan to add YouTube to their content strategy in the next year (HubSpot).
  31. 48% of millennials view video solely on their mobile device. (Business of Apps)
  32. Almost half (46%) of viewers say they’ve actually made a purchase as a result of watching a branded video on social media and a third (32%) say they’ve considered making a purchase as a result of watching a video. (Animoto)
  33. 45% of internet users view at least one online video every month. (comScore)
  34. 45% of people watch more than an hour of Facebook or YouTube videos a week. (Wordstream)
  35. 43% of marketers said they’d create more video content if there were no obstacles like time, resources, and budget (Buffer).
  36. 43% of people want to see more video content from marketers in the future (HubSpot)
  37. Companies which use videos in their marketing enjoy 27% higher CTR and 34% higher web conversion rates than those which don’t. (Aberdeen Group)
  38. Using the word ‘video’ in an email subject line boosts the open rates by 19%. (Syndacast)
  39. U.S. online video ad spend projected to teach $17 billion by 2020. (eMarketer)
  40. Snapchatters watch 10 billion videos a day. (AdWeek)
  41. Periscope users have created more than 200 million broadcasts (Periscope)
  42. 1.8 million words. That’s the value of one minute of video, according to Dr. James McQuivey of Forrester Research.
  43. 50x easier to achieve a page 1 ranking on Google with a video (Forrester)
  44. More video content is uploaded in 30 days than the major U.S. television networks have created in 30 years. (Wordstream)
  45. Native videos on Facebook have 1oX higher reach compared to YouTube links. (Social Bakers)
  46. Videos are 6X more likely to be re-tweeted than photos and 3X more likely than GIFs (Twitter)
  47. 4x as many customer would rather watch a video about a product than read about it (Animoto).
  48. Blog posts incorporating video attract 3x as many inbound links as blog posts without video. (Moz)
  49. People spend on average 2.6x more time on pages with video than without (Wistia).
  50. Online shoppers who view demo videos are 1.81x more likely to purchase than non-viewers (DMB Adobe).

Hubspot created the infographic below to give you more guidance on online video and your business strategy.

To these facts help you see how online video can boost your business? Does your business need help with online video marketing?

online video

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    BarnRaisers builds brands with proven relationship principles and ROI. We are a full service digital marketing agency. Our expertise is strategy, search and data-driven results.



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