Innovative Marketing and ROI

Antonio Lucio, Visa
Antonio Lucio, Visa

A marketer’s work is never done. This is especially true at Visa, a company that’s not new, by any means, but has a full agenda ahead of it, especially when it comes to engaging with its customers. I recently spoke to the company’s Global Chief Brand Officer, Antonio Lucio, who walked me through Visa’s innovative marketing strategies, how it measures ROI and the future of its social communications.  (By the way, Antonio was a recent winner at The CMO Awards hosted by our friends at The CMO Club.)

Drew: A CMO has a lot of choices in terms of where they invest their time.  What have been your top priorities in the last couple of years?

Given the increasingly complex media landscape, deepening Visa’s focus and commitment to digital and social communications is a constant priority for my leadership team and me. The imperative has never been greater for us to better communicate the strengths, values and mission of Visa to our full range of stakeholders in an integrated way. This meant that some structural changes needed to be made to set us up for success. We have made significant progress on this front, but it is a constantly evolving ecosystem so our work is never done.

Drew: Have there been any big surprises in terms of what’s worked really well and what hasn’t?

It’s not really a surprise, but what I’ve learned is that showing vs. telling is the way to go. Whether it’s addressing a question from our management by showing results and data, or teaching the organization how to do social by putting a team in place to show them what a best-in-class social effort looks like (i.e., our recent #goinsix social media campaign). Showing has a much bigger impact that just teaching alone.

Drew: How do you stay close to your customers when you operate in so many markets and have so many different types of customers?  

Social media is a great equalizer in so many ways. It enables global brands like Visa – and myself personally – to stay close to customers in markets around the world, understand what is important to them, what they are talking about and what they care about, all while providing the ability to engage them directly.

Drew: How do you evaluate/measure the success of your marketing?  Are there some channels that work a lot better for you than others?

At Visa the ultimate measure of success for our marketing is ROI – our ability to drive the business.  We break that down to three components: 1) reach (how many people can recall our campaigns); 2) short-term impact (the short-term usage lift of consumers); and 3) long-term impact (lift in our brand equity and our ability to influence consumer behavior longer-term).

Drew: Marketing seems to be getting increasingly complex in terms of ways to spend and ways to monitor. Has it gotten more complex for you and if so, how are you dealing with that complexity?

While the media ecosystem is definitely becoming more complex, our approach of putting the consumers at the center has not changed. We strive to understand how our consumers are using different devices, where they are spending their time and what they want to hear from us. And then we adjust our media mix and messaging accordingly. We want to ensure we are delivering unique and relevant experiences across all these screens by using the unique capabilities of the technology or platform the consumer is engaged with and delivering them a message that will interest them. Through technology we are better able to measure engagement with our brand and understand the impact of the experiences we are delivering to our customers.

Drew: How does new product development work at Visa? Does it report in to you? If not, how do you make sure you have the right “news” to market? 

While product development is led by our global product teams, our marketing and communications teams have strong partnerships with these teams – often sitting on their leadership teams. A collaborative work environment is essential to product development that registers as being innovative and relevant among clients and customers. As a team, we bring our respective areas of expertise across product, marketing and communications to ensure that we are bringing new products to market that will truly resonate with consumers.

Drew: Your “Go World” cheer campaign during the 2012 Olympics was one of the most successful examples of traditional and online marketing integration to date. What strategy did you use to integrate the various channels and what were some of the biggest lessons learned from that campaign?

We used our “Audience First” approach to develop a global campaign framework that directly engaged consumers through a global social platform that allowed fans to connect with the Go World marketing campaign by “Cheering” on athletes. London 2012 was heralded as the most social games ever and our Olympic Games marketing campaign was the most successful in our history – a true “game changer” in the way we drove engagement. We’re still applying the lessons learned from London, such as the benefits derived from engaging in social with concise, snackable content which inspired our #goinsix campaign.

Drew: Have you been able to link your innovative marketing activities to the kinds of business metrics favored by CEOs?

Our key performance metrics evolve to address changing dynamics in the industry.  For example, we recently added metrics to address social marketing, which enable brands to build direct relationships with consumers. We added social KPI goals that are part of a select few KPIs known to drive the business.  We closely track our progress, and have timely and transparent accountability across leadership towards delivering against these business driving KPIs.

Drew: Visa has made a big push to integrate social media into their overall marketing efforts over the past few years. Can you comment on your current strategy and where you plan on taking the program in the future?

Visa believes we are in a social era that extends beyond any platform or community; social is a mindset that empowers consumers and connects communities. We are incorporating social in the very heart of our marketing, not merely during the execution phase. We strive to develop social-at-the-core campaigns by designing for share-ability and planning for conversations. We invite consumers to drive the conversation while structuring our ecosystem to make sharing frictionless.

Drew: Do you agree with that notion that “marketing is everything and everything is marketing” and if so how have you extended the boundaries of your job beyond the normal purview of the CMO?  

Everything is marketing when it comes to the customer experience because whether you are designing a product or a marketing campaign it is about designing it to be a more consumer centric, intelligent and seamless experience.

Members Project Submissions Due 8/19

Both VISA and American Express have been on the leading edge when it comes to leveraging social networks. I covered VISA’s recent programs with Facebook rather extensively in my article for iMediaConnection. So here’s a quick update on one of the more interesting efforts by American Express called the Members Project including this overview from MediaPost’s Marketing Daily:

For its second year, American Express has expanded the scope of its social responsibility, “Members Project,” making it easier for people to help shape projects that fit their interests, beefing up its online presence, and devoting more money to more projects.

“We’re putting more focus in how we leverage online,” says Belinda Lang, vice president of consumer marketing strategy at American Express. “We’re trying to make it that much easier for people to engage with us.”

To help get the word out about the Members Project and the individual ideas, American Express has developed a vast array of online tools, from Facebook and MySpace presences to widgets and online badges people can use to promote their projects. The initial phase of the Members Project–where people create and hone ideas for good works– will also be advertised heavily online, Lang tells Marketing Daily. “This is an online experience–our goal is to take advantage of what’s going on with that space,” she says.

A quick visit to the Members Project site and you can see this is a well thought through program and one that they expect to grow over time. With $2.5 million in “seed money” to support 25 projects that can “make a difference” locally, nationally or globally, AmEx is hoping to empower card holders to take charge instead of just charging (some more stuff). It is hard to imagine a more fulfilling “service” for AmEx to provide than one that helps their customers change the world for the better. And oh by the way, if saving the world is your thing, submissions are due 8/19!

Update:

One of the five finalists offered this video appeal:

VISA Faces Small Business and Scores Big

Maybe I had too much coffee this morning BUT I’m positively bursting with enthusiasm about the concept of Marketing as Service as both a timely and powerful way to cut through.On the timeliness front, consider Gordon Gould’s commentary today on MediaPost called “A Recommendation Economy.” This well constructed piece first confronts the challenge Social Networks are having converting their ever growing user bases into revenue streams. And then goes on to point out why these networks represent such untapped potential:

  • According to a 2007 McKinsey study, fully 27% of all personal conversations in the U.S. involve some serious discussion of products or services.
  • An eMarketer report on social shopping by Jeffrey Grau recently reported that the most credible source of product information came from “people like me” with a full 60% of users saying this is the best way to learn about an item.

Which leads me to the recently launched VISA Business Network on Facebook that I believe could be massively successful AND become the new poster child for Marketing as Service. I strongly encourage you to visit this site and watch the videos that explain the program with real life examples of how small businesses can tap into the power of Facebook. VISA is bringing real utility to Small Business through this $2 million partnership with Facebook including a $100 credit that 20,000 small businesses can use to engage customers and prospects via Facebook ads.The formula here is reasonably simple: create a service that customers and prospects can use, make it easy for them to share this service with their friends and use advertising to jump start initial interest in the program. Nonetheless, the VISA Business Network on Facebook is ground breaking in my mind given the scale, quality and perspicacity. VISA is not just dipping their toes into this, they are diving head first. According to an article on B2B, “Visa also partnered with AllBusiness, Entrepreneur, Forbes.com, Google, Inc., Microsoft Corp. and The Wall Street Journal to provide small businesses with news, commentary and tool kits to help them manage their businesses.”Perspicacity? You bet. Watching the nicely produced videos, you will see like I did that the customers of many small businesses are indeed on Facebook. They are shopping every day for eyeglasses, cheese or what not at small establishments and then telling their friends about the experience. By helping these businesses connect with their customers online, VISA is providing a truly valuable service that should help the cash registers ring all the way around. We can certainly expect MasterCard and American Express to be watching this social networking experiment very carefully and serve up their own iteration any time now. Undoubtedly, they won’t be giving credit where credit is due!