How does Philips exploit opportunities on social platforms?
For its personal care business group, the answer lies in installing a real-time centre in the marketing team and “the continuous improvement of the programme.” In conversation with CMO.com after the Adobe Digital Marketing Symposium in Amsterdam late last year, Lenze Boonstra, Philips’s head of global marketing, personal care and consumer lifestyle, explained what this meant on a day-to-day basis (Adobe is CMO.com’s parent company).
“You need to narrow-target the right target group with the right messaging, and you improve that every single day,” he said. “So you optimise the targeting, and you spend money. If it’s not working well, you look for a slightly different target group.” Creative is also optimised almost every day.
For this approach to work, it means having the strategy, creative production, media buying, and analytics teams working seamlessly together. This still leaves questions for the business on how to scale its real-time approach and take it into its many markets worldwide.
Philips has used its U.S. campaign featuring “homeless barber” Mark Bustos as its starting point, continually optimising both targeting and creative. “The key objective is to drive down the cost per lead,” explained Boonstra. Taking the cost per lead in traditional banner campaigns as its benchmark, he added: “We can improve the ROI by 50% by doing this.”
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