Steering marketing efforts are challenged by data limitations

KitchenAid has a history of innovation and has introduced several groundbreaking products over the years, such as the iconic stand mixer that is now a staple in many kitchens. Research data shows that the online demand for small kitchen appliances in Europe is shifting, growing from 39% in 2021 to 42% in 2022. Turning to e-commerce is clearly an effective way to grow sales for KitchenAid, but that is not a walk in the park. Not only is the e-commerce landscape for kitchen appliances highly competitive, but KitchenAid’s products are premium-priced, which makes it more difficult for KitchenAid to find their position in the e-commerce marketplace where price comparison and value shopping are common.

Consequently, it is our natural reflex to turn to research data to make informed decisions on how to operate efficiently. But there, we are faced with the limitations placed on cookie tracking. Consequently, measuring and attributing the success of campaigns becomes more difficult. Our upper-funnel or prospecting campaigns, which are often the first touchpoints with our brand, are undervalued. As a result, allocating budgets across channels and campaigns becomes more difficult. Additionally, conversion channels such as Google Ads are highly dependent on data for algorithm learning and performance. For KitchenAid, which sits low on conversion volume data due to the high price of their kitchen appliance, this impact is even more pronounced.

Ultimately, with this loss of data, the marketing team of KitchenAid was becoming more blind on how to navigate their marketing efforts efficiently. What we needed was a way to overcome this and get back into the cockpit.

My data is not perfect and I’m OK with that

The mission is clear. But, before we continue to tell you the story, we first need to get rid of a misconception. Data quality is undoubtedly a key part of any successful data-oriented decision. Shit in. Shit out. At Semetis, we are regularly asked to miraculously bridge the gap between data signals of one platform with another database. And because the data does not always match, it is eventually rejected as valid data. Not capturing some data points does not mean there’s no information you can get out your data. Generally in web analytics and digital advertising, the data you get is very accurate, unless you completely messed up with the implementation. If a proportion of the data is not collected for any reason, this is fine. The data you have is still very valuable. Web analytics tools are meant to measure trends, proportions, to connect networks and platforms. Web analytics tools are not cancer scanners, and approximative data is OK.

Data modelling to extend the power of the data you do have

KitchenAid understood that too. The limited data points we do have are workable to make binary decisions. So, how can we make our data work? We leveraged the technology SegmentStream, which is a Conversion Modeling Platform that uses machine learning algorithms to evaluate every website session and predict the user's likelihood to convert in the future. If the probability is high enough, the platform creates a Modeled Conversion that is immediately attributed to the traffic source and used for measurement and optimization. This Modeled Conversion solution can counterbalance the loss of data due to the disappearance of cookies.

With SegmentStream, multi-source data points could be collected. For KitchenAid, behavioral data from Google Analytics 360, and cost, clicks, and impressions data from various ad platforms such as Facebook Ads, Google Ads, and Awin (affiliation platform) were integrated. Next, the data set is used to train a machine learning model to output Modeled Conversions.

It is undisputable that search engines are the door to any e-commerce property. The numbers speak for themselves: 87% of shoppers begin their product searches online. Consumers who use search are 2.4 times more likely to buy. Getting our Google Ads campaigns right, across 11 countries with each different website, for KitchenAid's ecommerce is thus a no-brainer. Therefore, we connected the sales predictions done by SegmentStream based on the behavior of the users on the website with our Google Ads account. As such, we made sure Google’s smart bidding algorithm integrated the modeled conversions as data points, which, in turn, allows better-optimized campaigns towards ecommerce revenue.

Conducting A/B tests to validate the modeled conversions impact

To guarantee that the implementation of the modeled conversions was actually having a positive uplift on the total revenue, and more importantly on the ROAS, we conducted an A/B test in two rounds. First, on the Brand and Generic keyword campaigns, and second, on the Performance Max campaigns. And this was done for 11 European countries.

• Campaigns A used a Maximized Conversion Value bidding strategy and were optimized towards Website Purchase, collected via the Google Ads tag.
• Campaigns B used the same bidding strategy but were optimized towards SegmentStream Modeled Conversions.

In the first iteration of the test, the branded campaigns optimizing towards Modeled Conversions showed better ROAS, while the generic campaigns did not show a significant difference to make the test conclusive. A deep dive surfaced that the generic campaigns were too small, in terms of data points, to generate enough results.We then decided to roll out the test for the Performance Max campaigns (on shopping inventory). As Google does not offer the possibility to run an A/B test for Performance Max campaigns to compare

different optimization strategies, an experiment was conducted based on geolocation in Germany. The country was divided into two regions with similar behavior, and we applied the same logic for the set-up as described above.

The A/B tests ran over a period of two months to be able to make conclusive decisions.

Even with limited data, a 15% increase in ROAS is possible

The test results were remarkable. By using SegmentStream's Modelled Conversions in the B campaigns, we observed a 15% increase in ROAS, while keeping the same level of investment. Therefore, we decided to implement the Modelled Conversion optimization on a long-term basis for all the campaigns of Google Ads in the 11 countries. As a result, we are now 5% above our target.

Moreover, there is an extra bonus for our 11 countries globally.

• The volume of sales has improved by 7%
• The cost per click of our campaigns has decreased by 27%. This decrease in cost per click allowed us to target more qualitative search requests with the same budgets.

These improvements mean that KitchenAid is now attracting more website visitors with a high probability of making a purchase, which resulted in higher sales growth for the company.

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Starting 2022, Semetis had to fill in 18 open positions, but the lack of talent entering the market made this a daunting task. Semetis recruitment strategy is employing young graduates only. When even headhunters could not find the right candidates, it became very clear we were not well-positioned to win that war.

But why is that? Because, what makes it even more difficult is the perception problem that media agencies are facing. In short, GenZ tend to view careers in media in a very different way than older generations, and that is dissuading them from applying

A basic recruitment media strategy would not do the trick. We had to address the perception problem. And so, Semetis took on the mission to showcase GenZ that consulting doesn’t just focus on finance or management, but also extends to the world of marketing. The campaign objective was twofold:

1. Change the perception of the media industry as employer
2. Recruit business talent in fill in the 18 open positions at Semetis

Intertwining authentic experiences and digital communication

Gen Z is a generation born into a world completely surrounded by technology, that quickly became the most active generation on social media platforms like Instagram, TikTok, and SnapChat. However, research data revealed that Gen Z’s immersion in the digital world came with downsides. They seek out experiences that takes them beyond their digital lives. They look for opportunities to travel, volunteer, learn new skills, and try new things. There is more to life than what can be found on a screen.

Semetis saw the opportunity to bridge that craving for unique and authentic experiences to their brand as employer. To positively impact the target audience, we strategized to pull off a stunt, called Semetis Game, inspired by the Netflix series Squid Game. The game is designed to attract talent to the marketing industry. There are no injuries or deaths but whoever makes it to the finish line is within a sigh of signing a contract with Semetis. One of the most unique components of this campaign was the continuous intertwining of authentic experiences and digital communication channels.

So, how did we do it?

We started by being out there, being everywhere. On campus. We reached out to every marketing Professor teaching digital marketing around the country, to join our University-Business Knowledge Transfer project (KULeuven, VUB, UAntwerpen, ULB, Solvay, UGent, UCLouvain, UHasselt, ULiège, AMS, ICHEC, EMS & Odisee). A project in which Semetis provides a unique guest lecture, ensuring the academic world has easy access to the ever-evolving digital marketing learnings. To ensure wewould get noticed in the class room, we created opportunities. In the middle of the guest lecture, an army of Semetis masked actors, entirely in the style of Squid Game, the Profilers, would walk in and hand out cards with a mysterious invitation. To connect with the students we missed out on campus, we balanced it with paid media. In this first phase we reached 4.200 business students on campus and gathered 380.000 video views.

Next, we had to make sure a virtual invitation to subscribe to the game followed. But this was not just an invitation. The mysterious invitation directed students to Semetissians.com, a website they could only enter after solving a code-breaking logical puzzle game. Leveraging video-view remarketing of the first phase, supercharged by our first party data, we made sure students were receiving their invitation. 5.650 unique users successfully cracked the code. The approach did not leave students unmoved: 300 students subscribed for Semetis Game. Marking an impressive conversion rate of 5,3%.

We were not satisfied just yet. It was not enough. We had to create a tremendous in-person experience. If we want these students to actually live that unique experience they are craving for, you need to communicate with them in-person. But while respecting their rules. And that means, no e-mailing, no calling, but Whatsapping. We leveraged Whatsapp Business technology to guide the 300 students to their next expected move in the game, so we could choose the 20 lucky candidates to play the Semetis Game. For real.

Becoming 7 times more attractive as employer

While only one person could win, the game had a significant impact on our recruitment efforts. We received seven times more job applications than the previous years, thank to the game’s success in boosting Semetis’ attractiveness to students. All of these efforts resulted in Semetis hiring 22 new talents, leading to a 17% increase in its employee count. We have now reached to a point where we no longer rely on recruitment agencies.

Those are impressive results. But is it from a budget perspective? The average cost of recruiting a young-graduate, placed by a headhunter, in Belgium is €7,500, meaning that we would need to allocate a frightening amount of €135.000 to hire the 18 candidates we were looking for. The total cost of Semetis Game was €108.000, which not only had a short-term impact but also a long-term one.
Due to its success, Semetis Game is returning for a second season on the 11th of May 2023, with an increased number of career fairs, invitations from seven more professors, and a higher media budget. The campaign is currently running, with 6.000 more users having cracked the code and 790 students registered to play the sequel. Semetis Game is an unprecedented business game among Belgian media agencies.

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Vanden Borre is a leading consumer electronics and home appliances retailer that made sustainability a top priority in 2022 by introducing its new Contrat de Confiance. At the heart of this initiative lies Vanden Borre Life. Vanden Borre Life is designed to extend the lifespan of TV and other major electronic appliances and provide an unparalleled repair guarantee of up to 15 years, even if they weren't purchased from Vanden Borre. However, introducing such an innovative service to the market poses its own set of challenges. Generating demand for a new and unfamiliar service requires a thoughtful and strategic approach to marketing and communication.

In this case study, we'll showcase the digital media strategy developed to successfully raise awareness and drive demand for Vanden Borre Life, using a blue-ocean approach that identified a unique target audience, utilized innovative targeting techniques, and selected the right media channels to reach them.

A blue ocean strategy to create uncontested market space

Vanden Borre Life is a brand-new service that exemplifies a blue ocean offering - a unique service that has no direct competition in the market, with tremendous potential for growth and profitability. Creating new market space means looking for gaps, unmet needs, under-served segments, and emerging trends. Semetis supported Vanden Borre in studying competition and looking for gaps in the market. The strategy was to define the target audience, the creative approach, and media selection.

Defining the Target Audience

Blue ocean meant we couldn't rely solely on Vanden Borre's existing customer base, as not all of these customers are sensitive to the sustainability aspect of the service. Therefore, extensive research and analysis were carried out to understand the audience. The core audience consisted of people between 30 and 55 years old with a medium to high income, who were family-oriented and looking for easy ways to make more ecologically sound decisions. They valued peace of mind and were averse to the stress and time needed to potentially fix their failing product. Through this analysis, we were able to create a detailed profile of our target customer.

Innovative Targeting Techniques

Next, we had to translate these potential customers into targetable audiences on media channels. For that, we delved deep into the audience's behavior and consumption patterns. We discovered that our target audience was already utilizing a variety of services to simplify their daily lives, including Frichti, Yuka, Too Good To Go, Vinted, 2dehands/2ème main, and Tribu News. Using these insights, we strategically selected interest audiences and targeted users of these apps in our demographic segments to efficiently reach the right people for a lower price due to the lower competition in this niche audience.

Selecting a media mix that can explain the unique value proposition

We carefully selected our media channels based on our audience's channel propensity and consumption behavior. Our priority was to ensure that the media and formats we used clearly conveyed the sustainability aspect of the Vanden Borre Life service and were visible to users seeking peace of mind and sustainable solutions. We employed a multi-channel media plan that included digital TV and radio, display ads on HLN, social media channels such as YouTube, Pinterest & Facebook, and used a mix of ad formats, including video, radio, display, carousel, and search ads.

Digital TV was a key channel for us as it allowed us to reach our core audience (aged 30-55) in a space where they are spending time and create a sense of trust and credibility for our new service. We selected popular channels such as VTM Go, GoPlay & Auvio that are more likely to be watched by our target audience. To maintain brand awareness, we also ran targeted ads on digital radio stations. We shifted budgets to channels like podcasts, which our audience are heavy listeners of, to create a sense of connection with Vanden Borre Life.

Monitor the shades of blue

Continuously testing and refining our media approach based on feedback and data is essential when launching a Blue Ocean strategy. We monitored our progress daily, tracking media metrics such as engagement, reach, and subscriptions, to measure the effectiveness. Since we were still in a stage of explaining our new value proposition, video and audio formats proved to be the most effective ads. At the end of the funnel, we aimed to convert people into Vanden Borre Life members. Initially, we optimized our campaigns towards subscriptions but realized we were too optimistic about how quickly we could convince people. Consequently, we changed our settings to the micro-conversion "subscription intent" (clicking on the "more information" button), which positively impacted our performance.

The first campaign of 2022 delivered an extraordinary 700% increase in organic sessions on the Vanden Borre website's service page, along with a staggering 23% increase in new subscriptions. Building on this remarkable triumph, our second campaign sustained the momentum, delivering a breathtaking 522% increase in organic sessions on the service page of the website, and a further 9% increase in new subscriptions. The impact of our media strategy, combined with the unmatched benefits of Vanden Borre Life, sparked an awe-inspiring response from our target audience, surpassing even our most ambitious goals.

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Performance marketing is all about seizing the opportunities when they present themselves

Research indicates that a surprising 44% of advertisers are not utilizing their existing data to enhance business outcomes, while a staggering 80% are not tapping into the full potential of their data. Despite possessing a vast amount of data, advertisers often struggle to implement the proper processes to capitalize on all available business opportunities. This is exactly the challenge Ardennes-étape and Semetis were able to successfully overcome.
Looking for an unforgettable getaway in the Ardennes? Ardennes-étape is THE go-to website for curating a unique stay at a holiday home in the Ardennes. Whether you're seeking adventure or relaxation, it is Ardennes-Etapes’ mission to connect people with the best of what the Ardennes has to offer. They do this by uniting houses of local homeowners with vacationers.

However, these houses are not solely limited to the Ardennes-étape website, as they are also available through competitors such as booking.com, airbnb.com, belvilla.be, etc. that also have a contract with the owners. Therefore, when a property is booked on a rival website, there are two direct ramifications: first, an opportunity was lost because the booking was not made with Ardennes-étape, and second, the house is no longer available for booking at that time on the Ardennes-étape website. Therefore, it is essential to seize chances as soon as they present themselves.

Building a customized automated decision tree to make sure we are not missing out

These market dynamics require swift action which was not always possible in the past. To better understand why opportunities were missed, we dove into historical data of the digital performance campaigns. It became evident that missed opportunities resulted from a lack of flexibility in those moments. Identification of such moments brought forth several roadblocks, namely :

1. Budget constraints. Fixed budgets allocated on a weekly or monthly basis led to overinvestment during calm periods and underinvestment during peak moments.
2. Ambiguity regarding max/target CPA. In the absence of a clearly defined maximum cost per acquisition (CPA), it is impossible to determine the level of investment that can be undertaken without compromising profitability.
3. Inadequate insight into critical factors influencing business, such as stock levels, competition, and demand, which directly impact the available opportunities and influence the desired course of action.

To overcome these roadblocks, it required a solution that could provide increased flexibility to manage the digital advertising campaigns in a direct response to opportunities when they present themselves. However, it could not come at the expense of increased workload. We want to achieve this it without micro-managing budgets. Thus, the ultimate objectives were set to reduce missed opportunities by 15% while reducing the amount of interferences needed to take these day-to-day decisions by 12%. This challenge was tackled by the development of a tool named “the decision tree”. An important requirement to make this successful is an advertiser to know and fully leverage business results. Luckily, Ardennes-étape was on top of things and the CEO, CFO and CMO were involved in the process to make sure all information was available.

This decision tree consists of various scenarios that we could encounter during the day to day management of digital campaigns. These scenarios are based on essential business components such as:

1. Objectives: Every scenario starts with the question whether we have attained the objectives that were put or not.
2. Demand: Although there exists a minimum level of seasonality in demand for vacation rental houses in the Ardennes, for instance during school holidays, Christmas, and summer. However the precise moment of booking can fluctuate considerably. Thus, it is imperativeto closely monitor demand to evaluate potential opportunities in the market.
3. Target CPA: Defining the target CPA is crucial to define the action that needs to be taken. Target CPA and thus the required action can be adapted according to demand, available budget, etc..
4. Competition & Market Share: As previously stated, the competition is intense and exerts a dual effect on Ardennes-étape's performance. When competition is strong additional measures are necessary to ensure competitiveness and capitalize on as many opportunities as possible through our digital advertising campaigns.
5. Stock levels: In case stock levels for the coming periods are limited we should be careful about overinvesting given that we expect less bookings to be possible in this period. When on the other hand we notice a lot of houses are available in the coming period, we can afford to push advertising budgets stronger trying to capture all opportunities.

These insights are not readily available in our advertising platforms. It is clear, we needed to pull and combine data from various data sources to build the decision tree. Data was gathered from the following sources:

1. CRM: In order to assure accuracy of our KPI, bookings are reported directly from the CRM. The data is made available via a PowerBI dashboard.
2. Website: From the website we can have a direct view on the stock levels. How many houses are still available, for which period and which type of houses.
3. Advertising Platforms: It is clear advertising platforms play a key role and are closely monitored to pull auction insights to map the competitor landscape. Next to that they give us a first indication on the level of demand in the market.
4. Semrush: In order to complete the mapping of competitors Semrush is used to provide additional information on competitors such as their website traffic, paid advertising efforts, etc.
5. Google Trends: Finally, Google Trends is used to create a more holistic view on dynamics in the market.

Next, the decision tree tells you in an automated way, exactly what action to be taken.

We utilise this decision tree on a daily basis to evaluate its performance and determine the appropriate course of action based on the identified scenario. The frequency of actions taken based on this decision tree ranges from once a month to as many as 5-6 times per month, depending on the circumstances. This decision tree has become a crucial element in achieving business goals. Therefore, a thorough assessment and update of the decision tree is being done every 6 months.

Reacting swiftly and accurate resulted in +21% bookings

By implementing the decision tree, Ardennes-étape succeeded to leverage their business data to the full potential. This had a direct impact on business results. The decision tree did not only facilitate daily management of digital advertising campaigns, it also improved performances significantly. By allowing for more flexibility, gathering data from all relevant data sources and defining clear and immediate actions, performances of the digital campaigns improved significantly as the bookings increased by 21%. In addition, significantly less interactions were needed to take swift actions.

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