Q&A with Oded Onn, Global Head of Digital Marketing at Gett
#Topic: Performance Marketing — User Acquisition (UA) and Re-Marketing
Gett is one of the fastest growing ride sharing platform and transportation service network across the globe. Getting a geographical footprint and retaining users are keys to remain competitive in the ridesharing industry as demand and competition continues to grow.
User acquisition and retargeting has become one of the biggest goals of our department as more choices of different services and providers are given to users. Let me share what I have learned from experience.
- Paying for actual results and not the ad “real estate”
2. Cost Models include :
· CPM — Cost per Mille
· CPC — Cost per Click
· CPI — Cost per Impressions
· CPV — Cost per View
· CPA — Cost per Acquisition
3. Pros: Scale, Real — time, ROAS / ROI
Branding and User Acquisition :
– Raise Awareness to your product
– Buy Users, e.g. generate leads through networks like Facebook, Instagram
- Facebook and Google are the biggest network with billions of users, ability to target users and have microtargeting
1. Facebook, Instagra, FAN (Facebook Audience Network)
2. Google, Adwords, YouTube, UAC (Universal App Campaign)
3. Apple Search Ads (open in certain markets like the US, UK, Norway, etc.
4. Media buy — buying display ads or video ads within other apps or websites
DSPs — Demand Side Platform
Who? User segmentation, action based
When? Triggered, funnel based, in-app
What? Display, search, email, push
How? Facebook, Google, Remerge, Braze
Key Question 1
What kind of retargeting mix would you recommend for a website?
1. The first thing you need to do is to tag your website with Facebook and Google to ensure you have the ability to reach out to users. Since it’s online, it is relatively easy but it will depend on how you measure success based on your intentions. If you use Google, you can decide whether to use search campaign. For example, people looking for accommodation or summer accommodation, different terms related to the service, taking into account language and localization. You need to verify that the language in the search terms are in the right language which you can only do with Google.
2. Next is you need to decide how you want the “search” to show. Do you want the search to lead back to your site or a landing page? Then if you have the ability with your CRM and cookies to identify past visitors or users, you can say “welcome back, let us show you great options…”.
3. Another option would be to use display ads and you can use both Facebook and Google for this.
4. You may also want to attract users in different channels for a strong impact versus a single channel.
5. It’s also worth testing campaigns in low budget. See how they convert and if it works, you can scale it up.
Key Question 2
Will it be more beneficial to work with personalized retargeting companies like Criteo to work on retargeting our customers or is it better that we do the retargeting ourselves?
To be honest, Criteo is a wonderful partner. They are the leading retargeting platform after Google and Facebook. Their value offer is great. So my answer is definitely go with them and don’t try to do it yourself because it is very hard. Advertisers buy inventory across multiple publishers and what Criteo does is they give you the first impression. They get the first bid over any other advertisers. For example, when you visit a website, you don’t care about all the other banners that come after the first ad. The first ad has a higher potential to convert you. So, Criteo in that respect is great.
Key Question 3
What is your opinion on display ads? Does it create a good image of the company or does it damage it as some people think it might be a spam?
I think display ads are a trend. Web display ads are definitely everywhere now. At the end of the day, you need to think of the value that you‘re trying to communicate to the user. Does your ad communicate a compelling message that brings joy to your users? Does it solve their problems or reduce their pains? If your ads are able to do these then it will not be perceived as a spam. On the other hand, if your ads are clickbait or don’t deliver any value, then display ads can be very bad for your company’s image. So your ads need to communicate the value you’re trying to convey. There’s also other formats to consider, like video ads, the playable ads, and html files with Google like showing some sort of animation on display ads. I wouldn’t be concerned with display ads being perceived as spam as long as you’re able to provide value to your users, especially when you’re trying to re-engage users who have already shown interest in your service in the past.
Key Question 4
What is the ideal budget to spend for performance, like cost per acquisition in apps, if you’re just starting in the business to get traction?
Nowadays, cost per acquisition in apps are becoming very expensive in most western markets. We have millions of different apps so everybody is competing to acquire new users. What’s happening is that the inventory is not growing. Instead it’s growing linearly. However, demand is more than that so prices in Facebook, Google and other ad networks are constantly increasing. It will also depend on the app. Some apps have high value per user like gambling apps who can pay tons of money per paying users. As for the apps that have low margins and the value of potential users is around say, $30, it’s very hard to compete. It’s not enough to pay for the install to convert to an actual paying user so oftentimes the conversion rate is lower than 10%. How do you justify the value of the user? What will the revenue or rather the gross and net profit be? There’s no good solution unfortunately. Everybody’s competing on the same users.
So, here’s a decision that you need to do whether you are focusing first in maintaining and retaining those very good users. So you extract the most value out of them and do retargeting. Oftentimes the cost of retargeting is substantially lower than the cost of acquisition. Another option is to try to be very targeted on how you acquire users. Target a specific geography or demographic, the cost per install will not be reduced, however the conversion rate will be higher. This is the issue with performance marketing. So you will need to be very creative on how you attract users.
If you have to deal with more than one country, do you need local teams for that to focus on a particular country?
It depends on the people you have. Oftentimes, you need to localize your ads and understand the market in terms of what is the right message and mindset. You will need to work with someone local, hire a consultant. It doesn’t need to be full time, and then manage it globally.
Key Question 5
What platform can you recommend for audience segmentation which can also give an overview of all the different platforms that they use?
For B2B’s , Saleforce is the clear leader. For B2C’s, Segmentation and CRM tools. BRACE is also great especially for mobile. Leanplum is also a very good platform for managing your user segment. I’m sure there are many other great tools out there but for me, I will use the ones I’ve mentioned.
When you’re carrying out performance marketing campaigns, are they supported with public relations campaigns? If so, how does that work?
If you think of all the different channels or touch points that the user have, they’re all playing in harmony, right? If you think of performance solely, you can measure it but it will drive you organic users, those that are not paid. At least it doesn’t look like you paid for them. If you’re doing activity with PR, with TV ads, billboards, any sort of activity, they all support each other and they will increase the overall conversion. The issue that you’ll have is attribution. Because, while you’re having multiple channels and they all potentially helped the user convert, you can’t attribute which channel brought which user exactly. Even if the user clicks on a digital ad on the performance side, if they are exposed to your PR, they’re most likely to press it. We at Gett definitely do it all the time. We try to approach our users in multiple channels constantly to keep apps and branding top of the user’s mind. It maintains the branding image and the brand equity all the time.
What are the upcoming trends that you can share?
Overall in performance, a great move is programmatic advertising, then buying traffic automatically with auto filters. With universal campaign, video formats are engaging. Also other formats to consider are playable ads and animated formats versus the standard banners.