To Keep Customers at the Heart of Your Business, Think Full Funnel

The importance of having a full-funnel programmatic strategy

A recent report estimates that Brazilian advertisers will spend over 11 billion reais in digital advertising this year, a 15 percent increase from 2016. With this much investment, it’s surprising that few e-commerce companies have a consistent cross-channel and cross-device strategy that puts the customer at the center.

Why is this the case? It’s not uncommon for an online retailer to work with multiple ad technology providers, often times having several providers serving the same channel. Their media mix may include SEM, display, social, affiliate, or programmatic media, with each campaign catering to customers at different points in the purchase funnel. However, the customer journey is not separated, and understanding the full online shopping experience across all stages — from awareness to interest to purchase to loyalty — is so important.

That’s why savvy marketers partner with a trusted provider in order to drive ROI throughout the whole purchase funnel, whether it’s trying to reach new users, re-engage with dormant shoppers, or build loyalty amongst existing customers. It’s easy to lose sight of your customers’ needs if you are working with different technology providers for different stages in the funnel — let’s take a look at two negative outcomes that could arise as a result of not having a unified, full-funnel strategy with the same technology partner.

Overexposure

While customers appreciate personalized ads that are specifically tailored to their interests, there is a threshold to how many times someone can see the same promotional messaging or product recommendation before becoming frustrated or losing interest. The right technology provider can implement a frequency cap on the amount of banners that an individual sees from an advertiser. However, if you are working with multiple providers, their individual frequency caps become insignificant.

Let’s assume that an advertiser is running retargeting campaigns with two technology providers. If each channel has a frequency cap of three ads per day, and a bid limit of two ad placements per page, this has potential to create not only a poor user experience, but also makes it impossible to control how many times an average user will see the same creative in any given day or to know how many vendors will bid for ad placements on each page via real-time bidding.

Misalignment in Messaging

When working with different providers, each provider places different tags on their own banners, and monitors conversion information separately. If a customer clicks a banner and goes on to purchase an item, in theory they should be shown different messaging from that same advertiser, for example a discount on another item that would complement their first purchase. However, if various providers are showing banners without having updated information on a shopper’s purchases, then the individual may continue to receive ads promoting the same product — something we have probably all experienced and found frustrating.

Adopting a Full-Funnel Strategy

To implement a full-funnel strategy that values your customers, first consider your company’s business objectives as well as the channels that you would like to use to reach your target audiences. Working with the same technology provider across all stages of the customer journey can help strengthen your narrative with your consumers; for example, by continuously applying learnings across campaigns, you can update customer segments in real-time as each user moves through the purchase funnel. This ultimately creates a stronger shopping experience for the customer, helping build brand affinity and driving loyalty.

Don’t fall into the trap of banner overexposure and misaligned messaging when trying to deliver personalized advertising to your core audiences. Work with one trusted technology provider to create a road map that continues to delight and benefit individuals at all stages of the customer journey, no matter where or how they shop.

Moritz Wolff is the Managing Director for Sociomantic Latin America.