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KLM “cross channel collage” Emerce
Frank Pon
Emerce Amsterdam, April 14
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A] Background
• Goal• Results 10/11
B] Conversion optimization “cross channel collage”
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Steer customers via most (cost) effective e-acquisition channel
Meta Search E-mail DisplayAffiliation Search Social MediaMobile
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… but more importantly, approach/philosophy …
– Goal: sales, pure conversions
• Primarily tickets
– Central approach, central execution and budget
• Close cooperation with local establishments & marketing
• Optimisation across channels & countries
• ROI focus
• Cost guideline CPA <3%
• Revenue optimisation
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Promotions Team results 10/11: share & sales
66% of all KLM.com bookings over10/11 is attributable to one of the acquisition channels
Source: DART, KLM only, apr – feb 10/11, top 13 countries, fully de-duplicated on last click basis. NOTE: SEO not included
E-acquisition share bookings apr10-feb11
Direct (33.6% )
Affiliation (3.7% )
Metasearch (4.8% )
E-mail (11.9% )
Display (20.0% )
Search (25.9% )
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B] Conversion Optimization “Cross Channel Collage”
1.) Attribution model
2.) Campaigns, World Deals comparison & test
3.)Display, (re)targeting
4.)E-mail, Pre-travel (re)targeting bookers
5.) Search, Dedicated landing page test
6.) Meta Search, API
7.) Affiliation, Long Haul structure
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1.) Attribution model
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Search
DisplayDisplayDisplay
KLM web site visit
Clic
Re-weighting according to impact on conversion
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1.) Attribution model all Spend & Bookings whatever the Marketing Budget
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1.) Attribution model, all Budgets or Focusing on e-Commerce
All Marketing Central and Local Online Budget
E-Commerce Online Budget
Corporate & Local Display Budget vary dramatically
depending on the markets
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10.
Display_e-commerce contributionCountry Budget Booking
NL 54% 79%UK 46% 72%NO 29% 78%DE 29% 90%CH 65% 94%IT 23% 50%ES 25% 38%SE 4% 19%DK 9% 28%
Total 38% 77%
1.) Attribution model, the ‘True’ Cross Channel Booking Credit
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2.) Campaigns heat map WDW NL
event event share of clicks1 Flash promo 5.7%8+9+10+11 vakantiedeals 17.7%3+4+6 general promo list 42.9%5+7 conditions/ terms 22.8%
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2.) Campaigns heat map world deals ROW
event nr event value share of clicks Site to EBT1 Flash_Price 1.9% 45.5%2 Flash_button 7.8% 60.9%3 Dropdown_list 0.4% 42.1%4 Destination_text 15.8% 72.8%5 Destination_price 5.9% 74.3%6 Button_conditions 10.9% 50.1%7 Button_booknow 38.7% 85.7%8 Highlight_button 4.3% 66.4%9 Highlight_price 1.5% 52.0%10 DG_highlight_button 5.9% 58.8%11 Trigger 4.3% 36.8%12 Social_Media_link 2.5% 49.1%
Triggers event value share of clicks Site to EBT1 Car rental 16.2% 27.5%2 Looking for a hotel? 33.2% 33.9%3 Facebook 14.2% 27.4%4 Destination Guide 35.4% 47.9%
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event event Grand Total1+2 Flash promo 9.7%8+9 highlight promo 5.8%
4+5+7 general promo list 60.4%
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2.) Campaigns heat map world deals US
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Rules included on page
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2.) Campaigns NL vs ROW vs US
NL, high share 24.9% towards conditions with low conversion; 50%Large part dedicated to holiday deals; 19.4% share
US; no distractive links with low conversion rates (like conditions). High conversion on Highlight promo
Best World deals page!Highest Site=>EBT conv.
NL USROW
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2.) Campaigns but… Highest booking from NL concept
– Better conversion from the Dutch Werelddeal Weken than the World Deals thanks to Calendar tool.
– Price sensitive visitors are directly informed about the best price/travel dates combination.
– After the calendar tool is the visitor directed to the 3rd step in EBT.
NL USROW
Best EBT process!Highest Site=>EBT booking conv.
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3.) Display retargeting example
User searched in EBT, but did not finalize the booking…
…user will be retargeted with searched destination with actual fare from commercial feed and city image.
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3.) Display retargeting
Reguliere Retargeting Search retargeting Personalized retargeting (YD)CPA xx.xx xx.xx xx.xx xx.xxINDEX -38% 0% -65%CTR 0.10% 0.25% 0.15% 0.42%INDEX 150% 50% 320%
Better CTR and overall results the deeper in the booking processThe more personalized (on behavior) the better the cost
Kind of (re)targeting:• CPA retargeting, target group are all klm.com visitors no matter where they come from• CPA Search retargeting, traget group only search clickers
• Note: because of our attribution model sales contribution favors Search, stand alone for Display not profitable
• CPA personalized retargeting campaign to retarget customers who searched EBT for specific destinations
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4.) E-mail pre-travel
Pre-travel mail• Targeted mail @ bookers• Goal inform & sell
• Very effective to sell seating and baggage products•Decrease operational cost
Relevancy:Normal mail vs pre-travel mail • Open 25% vs 220%• Click 5% vs 133%
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5.) Search LP test, current KLM.com LP
Destination known → EBT pre-fill
Destination unknown → home pageN.B. The scope of this test will be limited to these types of keywords & ads
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5.) Search LP test, 3 themes known & unknown
Version/theme
Test focus Primary (persona)
Trust Trust in KLM.com booking process, trust in KLM as an airlineAvoid negative emotional aspects: security, reassurance, support, safety, guidance, sense of control
1. Marian Manning
Inspiration Inspiring the user about the destination and getting there with KLM, getting them in the mood to travel and book a ticketPositive, emotional aspects: excitement, anticipation, desire, fun & experience
1. Marian Manning2. Susan Richards
Functionality Functionality of KLM.com booking process, ease of bookingRational aspects: convenience, efficiency, ease, usefulness
1. Susan Richards2. Richard Johnson
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5.) Search LP test, personasPersona Highlights (relevance for test versions)
Marian Manning •Leisure traveler (once a year)•Looks forward to the destination but does not always like the flight•More legroom, good entertainment & helpful staff onboard can make a real difference•Control freak but not Internet savvy•Prefers to fly with airline with good reputation (brand she can trust)•Greatest fear is lost luggage•Travels with family•Likely to use SEA to get to KLM.com (Profile Monitor)
Susan Richards •Excited when going on holidays•Leisure, several city trips per year•Likes to make most of holiday•Books city trips, enjoys big city life (things to do, events)Interested in ancillary products•Likely to use SEA to get to KLM.com (Profile Monitor)
Richard Johnson •Mainly business traveler•Wants to save time, good schedule is important, price conscious•Likes efficiency, convenience, flexibility and wants to be recognised as a frequent flyer. Likes to maximise advantages of FB & BlueBiz memberships
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5.) Functional: destination unknown
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5.) Functional: destination known
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5.) Inspiration: destination unknown
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5.) Inspiration: destination known
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5.) Trust: destination unknown
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5.) Trust: destination known
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5.) SEA LP test result
Inspiration wins (slightly) on clickthrough!
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6.) Meta Search API
Propriety technology investment
• Drive volume and conversion
• Cost friendly and controlled distribution
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7.) Affiliation
Expensive channel in CPA and CPA%
• Introduction of a higher remuneration for Long Haul flights and a lower for Amsterdam and Medium Haul flights• Ambition to stimulate a higher average booking value and lower overall cost structure to keep affiliation cost competitive with the other channels
Results:
• Booking volume relatively stable in most markets • 28% drop in cost• Average CPA comparable to SEA• Re-balanced affiliation in the cross channel mix