“It’s not what you know, it’s who you know.”
When it comes to marketing, this oft-used adage refers to the consumer. While marketing tactics are malleable by design, forever shifting to match the evolution of technology and communication, certain strategic pillars remain. The most steadfast of these pillars may well be the need to deeply understand the consumer.
Consumer knowledge is an evolving science. Marketing teams might seek a deeper understanding through surveys and focus groups, social media listening and online reviews, interactive ads or person-to-person interviews. When consumers are truly understood by a company, marketing campaigns are more targeted and loyalty grows. Take a study by Bain, for example, which found that consumers who engage with a company over social media spend up to 40 percent more on that product in the long term, and also possess deeper emotional commitment and loyalty to the product. Much of this comes from the high levels of engagement, interaction and information exchange that social media allows.
Regardless of medium, the message is clear: obtaining deep levels of consumer knowledge can lead directly to high levels of loyalty and engagement.
We sat down with two San Francisco tech companies who believe that obtaining three-dimensional consumer knowledge is paramount to their success. Though they make markedly different products, they explained that by achieving a deep understanding of their consumers, their companies can zero in on the best way and the right time to engage, achieving maximum long-term impact.
Katie Shill, a senior director of marketing at Calm, knows that the success of her company’s product is tied directly to consumer knowledge. The marketing team at Calm, a global wellness brand with a popular app for sleep, relaxation and meditation, focuses on learning about consumers to unlock how to best serve them. This strategy has led to incredible growth and exposure at the most opportune and important times, she said.
What does effective marketing look like for your team specifically?
Effective marketing, at its simplest, is ROI. Are the investments you’re putting into your marketing activities (time, money) driving maximum impact for your business? At Calm, this means getting clear on our marketing objectives and understanding how they ladder up to our company-wide objectives. Effective marketing doesn’t live in a silo — so it’s important to ensure that the whole team is aware of how marketing KPIs drive broader business impact.
What is the key to making your marketing efforts more effective?
The key to effective marketing is ruthless, never-ending curiosity and the drive to deeply understand your consumers. No channel strategy or piece of content is the silver bullet. If you spend time understanding your consumers — who they are, what they care about, what their pain points are, what they’re seeking — then you’ll be able to effectively be in conversation with them and better understand how to position your product to fit their needs. Too many marketers focus on the tactics and then wonder why those tactics don’t drive impact. The key is to start with understanding your consumers, which can then unlock how your brand can uniquely play a role in their lives.
The key to effective marketing is to start with understanding your consumers, which can then unlock how your brand can uniquely play a role in their lives.”
Tell us about a recent campaign or marketing initiative that was particularly successful.
Back in November, Calm sponsored CNN’s coverage of the 2020 president election, running both TV commercials throughout the week and specifically sponsoring CNN’s famous “Key Race Alerts” that alert viewers when new numbers come in — a particularly stressful moment for every American, regardless of who you voted for. It was extremely successful — we saw brand awareness grow significantly amongst CNN viewers, it drove social virality, and we saw a big spike in organic growth that week. There are a few lessons to be learned from that activation. Firstly, we knew that the election night was going to be anxiety-inducing for all, no matter what side of the aisle you’re on. Our goal was to provide viewers a moment of calm, and a reminder to take a deep breath during a stressful night. It’s a simple lesson in meeting people with the right message at the right moment. At the end of the day, we’re a brand that supports people in easing their anxiety and giving them the tools to manage it. What better place than to meet people where they’re the most stressed — watching the news — and reminding them that we’re here, and we exist to support them during these moments?
For Shoji Ueki, head of marketing and analytics at Point, consumer knowledge is integral for understanding growth engines and customer touch points. As Point is a home finance product aligned with the homeowner, deeply knowing the consumer can assist with which growth channels to focus on and which touch points on the customer journey can be used to make a lasting connection.
First, what does effective marketing look like for your team specifically?
At the end of the day, marketing exists to help the company achieve an objective, so the starting point is clear alignment on goals and constraints. In our case, we’re trying to maximize the funding we provide to homeowners and do it within a specific return on ad spend constraint.
In order to make this happen, we need to build growth engines that can lead to scalable long-term growth. It’s really important that we focus on channels that are the right fit for our particular product and business model. To give an example, certain financial partnerships work well for us because these partners have an understanding of the customers’ financial situation that helps us determine whether our product may be a good fit. On the other hand, peer-to-peer referrals is a tougher channel due to the sensitive nature of discussing your financial situation with others.
What is the key to making your marketing efforts more effective?
One key is building our marketing strategy around the target audience. We’re dealing with real people who are potentially making a big financial decision. To be most effective, we need to develop an in-depth understanding of who they are as well as their motivations, anxieties and pain points. We also have to understand all touch points in the customer journey, because each is a unique opportunity to reach them.
Additionally, driving growth doesn’t stop at the marketing team. We have to optimize the full customer experience, which for us includes the product/website and a sales process. It’s critical that all parts of the customer experience are aligned and working in concert with each other.
To be most effective, we need to develop an in-depth understanding of who the consumers are as well as their motivations, anxieties and pain points.”
Tell us about a recent campaign or marketing initiative that was particularly successful.
Direct mail has developed into a critical channel for us. Our target customer is someone who both meets our eligibility requirements (e.g., has a specific credit profile) and has a need we can solve (e.g., pulling equity out of their home to fund home improvement). We leverage credit bureau data to hone in on the right target audience and then utilize direct mail to reach them. Our Home Equity Investment product is a very complex product in a new category, and direct mail enables us to explain its value in a more detailed and personalized way than, say, a billboard or display ad.
