Alfred Dunhill, the mens luxury retailer identified that their online channel is increasingly important not just as a direct sales channel but also as way to create more engagement with its customers.

As part of their ongoing development of their site, Alfred Dunhill commissioned Foviance to undertake some independent research of its online audience to gather quantitative data on what visitors thought of the current customer experience. This would help them identify strengths and weaknesses of their main site and start to build a much richer idea of what their online audience wanted from an Alfred Dunhill site.

Methodology

Foviance developed an opt-in survey from the Alfred Dunhill homepage that recruited visitors with specific objectives for visiting the site. They then completed their journey and were asked a series of questions once they had completed their intended goal.

The survey was launched during the busy run-up to Christmas and was live throughout the festive period itself to capitalise on the increased traffic rates. In addition the exposure rate of the survey was controlled so that is was unlikely someone returning to the site that had declined to participate in the past would be shown the participation message again on the homepage.

Results

Over 200 responses were gained throughout the duration that the survey was live. Overall over 84% respondents said they would visit the site again and a net promoter score benchmark was captured. The survey captured user feedback on the look and feel of the site and allowed Alfred Dunhill to see if these were inline with its brand guidelines. In addition it highlighted several areas where the site could be improved. This has helped develop the business case for additional development work. Alfred Dunhill intend to use this methodology again at regular intervals to help measure site performance and get regular customer feedback as the site develops and grows.

JUMP 2010 will focus on how we can make our marketing more effective by having a joined up approach.

Foviance’s Paul Blunden will be presenting research findings on the Multi-channel user experience.

Thankfully, the industry has its very own Super Mario in Tom Watson, Labour MP for West Bromwich East. Watson, known for his advocacy of the local gaming industry, set up a Facebook group called Gamers’ Voice which attracted 15,000 members in it’s first two weeks. More recently, he has taken the PM at his word by tabling an Early Day Motion (EDM) calling on the Government to implement a tax break for game production in this year’s budget. In an interview with gamebiz.com, he describes how he gathered support from “Labour, the Lib Dems, the Tories and the SNP to support a motion calling on the Chancellor of the Exchequer to introduce tax relief for the video games industry”. Read the full interview at gamesbiz.

The pressure is on the Government to act, with an election looming and an electorate jaded with pretty words and empty promises. The Tory Shadow Arts minister, Ed Vaizey made similar noises at the National Endowment for Science, Technology and the Arts event ‘Playing the Game’, saying his party would “look seriously” at support for the industry should they get in this May. Typically though, this was tempered with warnings that nothing may be possible if they were to inherit an economic mess…which, sadly, seems fairly likely.

The UK currently leads the way in revenue from game sales (£3.3billion in 2009) despite a 20% dip during the recession. But other European countries such as Germany, Portugal, Sweden and The Netherlands weathered the recession far better with software sales staying fairly constant or even increasing, and the gap is narrowing. Clearly the Government relishes the revenue which the gaming industry brings in and are making all the right noises about support, but the economic crisis cut deep and all rational economic models say that the worst way to pay off a deficit is with tax cuts. So from where will the quid pro quo come? Is this simply a case of “You scratch my back, I’ll pat you on yours”? Or perhaps more accurately, “You scratch my back, and I’ll treat you like a cash cow and do nothing while you hemorrhage talent to Canada and the USA”.

Marketers claim to be reaping the benefits, as evidenced by the explosion of ads in Facebook recently, but is it to users’ benefit or their detriment? What are We getting out of the bargain? Is it enriching our lives or just making it easier to sell us stuff? Where social media succeeds over other media is by convincing its users to do the advertiser’s work for them. Every time we click a link or join a group, we might think we’re engaging in solidarity (support single sex marriage) or activism (RATM for Xmas No.1) or showing off our pop culture cred (Invader Zim), but what we are really doing is posting ads in our friends’ news feeds and sharing ads with them. As Facebook UK’s Commercial Director, Stephen Haines, puts it: [P]otential customers can directly engage with your business by clicking on the “Become a Fan” link or the “RSVP to this Event” link…this action automatically creates a story on the person’s profile page and possibly in their friends’ home page “Highlights”, generating free distribution for you.” Facebook “fan” pages are never going to replace a corporate presence on the web, but social media offers an interesting way for marketers to gather data on users’ opinions, behaviours and preferences by allowing them to consciously identify themselves with brands they like without ever feeling like a corporate stooge. And chances are they’re spending a flip of a lot more time on Facebook than they are on the corporate site. Marketers know this and they get it, but I’m not sure users do. The distinction for users is that they’re not part of a brand, they’re part of a community which identifies with that brand…but for all intents and purposes it’s an online focus group.

Similarly, market researchers are getting in on the action with Facebook Polling. Next time you click on one of those seemingly innoculous polls at your friend’s behest, thinking you’ll get to see how closely your opinion ranks against your cyber-buddies, you’ll effectively be clicking on a banner ad. You’ll also be giving the marketer who paid USD$50 to set it up the poll a candid view of your opinions, behaviours and preferences in context with the 99 other people who clicked it in your geographic region. Ray Pointer of Virtual Surveys told utalkmarketing.com: “These polls are clearly not going to replace U&A or ad-trackers, but they could spawn new ways of working. Traditionally, we have expected everything to be designed before the research begins, but often the basic assumptions were wrong.” Any one else reminded of the opening lines of HG Well’s War of the Worlds?

“No one would have believed in the last years of the nineteenth century that this world was being watched keenly and closely by intelligences greater than man’s and yet as mortal as his own; that as men busied themselves about their various concerns they were scrutinised and studied, perhaps almost as narrowly as a man with a microscope might scrutinise the transient creatures that swarm and multiply in a drop of water.”

I wouldn’t go so far as admit to the intelligectual superiority of our marketing bretheren, but they sure are some clever people.

 In the UK, Econsultancy has released their latest overview of the Web Analytics market and there are some interesting findings and trends that I’m sure are being replicated in other parts of the world. It also highlights though that in some areas that there is still a lot of progress to be made.

One of the findings that immediately caught my way was that “UK plc” is spending 12% more on web analytics in 2009 compared to 2008. So despite the trading conditions the market continues to grow and investment levels are rising. But of more interest was the way that that money is money spent. Accosting to Econsultancy’s research more companies are spending more of that money on internal staff than on the technology itself. At last! The figures showed that the proportion of the total investment in staff had gone from an average of 36% in 2008 to 42% in 2009 compared with a spend of 38% of the budget on the technology. Spend on consulting and other services remained steady at around 18% of the web analytics budget. OK, it’s still a long way from Avinash Kausisk’s famous 10/90 rule he proposed over 3 years ago. Kaushik argued that organisations are spending $10 on their technology, then they should be spending $90 in “intelligent resources and analysts”. I also thought it was a great point as often I’ve seen organisations implement expensive measurement technology without putting in any resources in terms of people to extract the value from the investment in that technology. The result is usually disappointment and dissatisfaction with the return the organisation is getting from their investment.

So from the investment perspective, things are looking up and this trend has undoubtedly been helped by the increased use of free measurement tools such as Google Analytics. Nearly a quarter of organisations in Econsultancy’s research claim to use Google Analytics and no other web analytics tool. The signs are also that people are using it more frequently but I do worry at times about the quality of the data that is being reported and as I wrote in my last column organisations need to ensure that they concentrate on getting good quality data to work with by following some simple processes. Just because the technology is free, it doesn’t mean that you don’t need to invest in it in terms of time and effort to get the right numbers right.

One of the more worrying statistics in the report was the fact that less than one in five companies claimed to have a measurement strategy that was tied to their business objectives. Admittedly 60% of organisations said they were working on it but the number actually claiming to have implemented a coherent measurement strategy is worryingly low. I’ve written before about a simple framework to creating a roadmap that links objectives to metrics. It’s interesting to note from this report though how many organisations still implement measurement technologies first and then worry about the business impact of what they want to measure second. In some ways I can understand this. Organisations know that they need to measure more effectively the effect of their marketing activities and therefore know they need measurement systems to do that. However, the tendency to implement the technology in the hope that it fixes the problems without thinking about the problems that need fixing can still be seen.

The other worrying statistic that came out of this report is the fact that only 23% of respondents said that their web analytics definitely provided actionable insights. Why is that I wonder? Is it because the right things aren’t being measured in the right way or is it because companies can action the insights that they get from the data? Having actionable insights requires both the right data and the ability to execute on the data.

So I think the results from the Econsultancy report on the state of web analytics in the UK are a bit of a mixed bag. There are some good signs in terms of the way money is being invested but the worrying aspect is that it still often done in isolation of the main business objectives. As my teachers used to say on my reports “Could do better”…

Foviance runs Google Analytics training, check here for our next training date.

I’m increasingly convinced that the issues that most businesses face around the successful deployment of analytics in their business are not to do with their technologies but to do with their businesses processes. That view was reinforced this week when I was running a workshop with a group of students studying on a Masters Programme in Internet Retailing.

As part of the session I asked the class what they thought some of the key ingredients were in executing successful internet optimisation. They started off by throwing out items like “good data”, and “technology”, and then moved on with things like “flexibility”, “willingness to fail”, “good hypotheses”, “risk culture” and “strong business model”. I then asked the class how many of them worked in organisations that had those characteristics. No hands went up.

Often organisations are happy to spend money on new campaigns or large scale product development on their site without thinking or being explicitly clear about how they are going to measure the effectiveness of the campaign or the new piece of functionality. So how do they know that they have done a good job? The measurement piece also needs to be built into the campaign or product development process as well. Here is a simple framework to use as part of that process.

• State the objectives
• Define the success indicators or KPIs
• Perform a gap analysis
• Create the measurement roadmap

State the objectives

Before you start, be very clear about what you are trying to achieve. State your objectives and make sure that they are not what I call “marshmallow objectives”. Marshmallow objectives are ones that are soft and squidgy. They are not firm and they don’t hold up to scrutiny. These objectives are difficult to measure. People often talk about making objectives “SMART Objectives”. SMART objectives are Specific, Measurable, Achievable, Realistic and Time bound. You should try and make your objectives as SMART as possible. If you come up with objectives like “to improve the user experience”, force yourself to be Smarter and ask yourself questions like: “why?”, “which users?”, “in what way?”, “by when?”

Define the success indicators or KPIs

Next define the measures of success or the Key Performance Indicators. These should relate directly back to the objectives. If the objectives are SMART then the definition of the success metrics should be relatively straight forward. Constantly ask yourself “What does good look like?”. If your are achieving your objectives, what will be happening in the business or on your site? Sometimes it can be difficult to measure objectives directly with significant cost (see below) then you may need to come up with other success metrics that are indirect measures of success.

Perform a gap analysis

Once you know what it is you want to measure, perform and analysis of what you can measure now versus what it is that you ideally want to measure. Where are the gaps? Do you have the right measurements systems in place already and are they configured the right way? For example, f you want to improve likelihood of someone booking a holiday once they have done the research on the site, you might set up a success metrics that is something about visitors propensity to book at a later date. You may need a survey in place to be able to measure one. So do you need to set up a survey from scratch or do you just need to ask a specific question on an existing Voice of the Customer programme?

Create the measurement roadmap

The final stage is to create the measurement roadmap. This is effectively the plan of how you are going to measure the things that you need to measure, or as I like to say, “Count the things that count”. A key part of this is prioritising the work that needs to be done, being clear which gaps you are going to plug in your measurement systems and then how that work is going to get done. This could range from just ensuring that there is a specific custom report developed through to the implementation of a new piece of software or the adoption of a new service.

The process I have outlined can take days to complete or it might just take a matter of minutes. It might be a very strategic piece of work looking at the business overall or it might be quite tactical, for example running an A/B test on a landing page. Whichever it is, it’s a way of putting measurement and analytics at the heart of your business processes. So anytime you’re planning to do something, ask yourself (or your colleagues): What does good look like? How will we know we’ve done a good job?

Global brands that are serious about establishing and maintaining a worldwide online presence, must undertake international customer experience research to ensure regional credibility. It’s that simple.

It’s all too easy, even for high-profile commercial brands, to assume that a website which has proven to be highly successful in their native country, will make a seamless transition to other regions. A common pitfall for many firms is to build a global template site and then simply translate languages, currency and legal notices to comply with local markets. Without practical insights into local market attitudes and buying behavior, firms can be left bewildered by a poor reception and response to a site that has prompted positive feedback and results back home.

Part of our role in international customer experience research, is to inform global redesign and help to communicate brands in ways that are better understood by specific local audiences. One of my first tasks in this field was to assist with a global review of Adidas.com, identifying usability issues and brand perception across disparate international audience segments. We conducted usability evaluations in the UK, US, Germany and China before combining the findings into a single report containing market specific insights, similarities and differences and recommendations. In this way we helped to shape the global Adidas online re-design strategy.

Research like this is the bedrock on which global brands should build their regional confidence and international reputations. Another client of ours, who is a global technology & computer manufacturer, operates ecommerce sites in a vast number of countries around world. I’ve personally been to China, Japan, India and numerous EU countries to help refine its customer experience in diverse regions. Like most global organisations, they created a global site in the US which it rolls out in other countries. But before it can do that, it knows that that it needs to understand that people have different ways of purchasing goods and engaging with content depending on where they live. China has a history of cash on delivery and business invoicing for technology purchases, for example, and so many accepted western transactional models simply wouldn’t translate into sales. The overall trend then is one of global branding with localised content and practices. We also helped this same client understand their business customers worldwide by creating a set of personas for each of their mature markets. These were informed by quantitative data in the form of online survey responses and web analytics data insights. This was then enriched with qualitative local on-the-ground research to examine the different job titles and roles within their business, which would help shape the content and functionality they would need from a technology & computer supplier.

Customer Experience research in these circumstances is best conducted as a one-to-one, end-to-end process that is task oriented, allowing time to understand offline habits in order to pinpoint the stage at which local customers choose to engage with your website. It’s important to witness how customers like to navigate, how they read, how they like their screens organised and copy arranged, what terminology they use that may be different from other regions, and more. The next stage is to use focus group discussions to talk through concepts, ensure imagery and icons mean what they are intended to mean, and then recommend an accepted look and feel. Ethnographic research reveals a real understanding of cross-channel interaction with websites, and discovers what drives potential customers online or even offline. Reasons can be as diverse as cultural landscape or attitudes to security, but they need to be identified.

Of course operating a bespoke web presence in each country can cost businesses a lot of money, so customer experience research needs to be as efficient as possible. Foviance took the decision five years ago not to open offices around the world. We have in place a global network of local trusted usability consultancy partners with the same standards and values as Foviance, who are skilled at recruiting local representative demographic line-ups. This provides us with increased flexibility to deliver research in the locations most appropriate to our clients and their target markets. Moderation is always conducted in local language and translated real time for the client in attendance. We also deliver an English dubbed video of all the sessions for the stakeholders who could not make the travel and can even provide web streaming of the sessions around the globe – anything that they feel helps them deliver against their globalisation and localisation strategies.

Due to our years of experience and knowledge in conducting this type of research, our clients generally rely on us to manage the entire research programme using one of three main methods:

• Foviance Consultants can deliver the research in each individual location (if timelines allow) using our partners’ facilities. We employ French, German and Portuguese consultants.
• We manage the research remotely, carefully briefing our international partners who deliver the research and complete the analysis and reporting. This is then consolidated by us into a single overall report.
• Finally, with a Foviance Consultant attending the research sessions, we manage the research remotely, carefully, completing the analysis and preparing the report.

In essence we can conduct customer experience research anywhere; I have yet to be tasked with a location we could not reach. Equally importantly our business focused approach to customer experience research ensures that our global clients receive the insight they require into local markets as easily as if they conducted the research in the US or UK.

• Reciprocity – you have to offer up first, but if you do something for someone they will do something for you
• Scarcity – increases the value of something
• Authority – people are convinced more easily by authority figures.
• Consistency – if someone commits to something publicly, they are more likely to stick with that idea
• Consensus – People are more likely to be influenced by the similar actions of a group of their peers
• Liking – people are more easily influenced if they like you

We heard in depth about scarcity, authority and consensus. Authority was really interesting and the use of the word “but” was revealed as crucial for establishing trust. Most people when trying to get their point of view across, front end the benefits and then, to establish that they are honest, throw in a couple of weaknesses at the end. For example I might say that “Foviance is a world leader in customer experience consulting ‘but’ we don’t do website graphic design.”

Cialdini argues that people will only hear and retain the information after the ‘but’ and that all we have to do is switch the order of what we say to fix the problem. So, what I should say is “Foviance doesn’t do website graphic design, ‘but’ we are world leaders in customer experience consulting.” In order for you to be more likely to believe what I say, I can have a colleague introduce me and say a little about my credentials.

Cialdini is quick to observe however that his techniques only work where there are real, truthful arguments and benefits, ‘but’ you can’t have everything can you.

The other area of our business that we have been working hard to develop and really took off in 2008 is product testing. Since we started the business in 2001, we have carried out product research but it has come to us rather than us seek it out. We took Microsoft’s tablet PC all over the world in 2001 and since have tested everything from printer control panels to laptops and beyond. It seems to me the change we have seen is driven by two factors.

The first is the global market place that has developed, and many brands are now routinely leveraging our Asian, US and European connections to test their products in multiple markets. The second is the convergence in mobile and small portable devices between software and hardware from a user experience standpoint.

It seems to me that this year the willingness to adapt the hardware in order to maximise the user experience in the software has increased substantially. It is easy to credit the Apple iphone with this evolution but I believe it is the general increase in comfort and understanding of technology that has facilitated this. In my opinion, more is to come.

Looking back on 2008, I think businesses were just starting to ‘get’ cross-channel customer experience.
I use the past tense because I think for many, the credit crisis will (if it has not already) send them backwards. This is a mistake. I have met many businesses this year that had started to think about the customer experience they want to deliver across all their channels in the same way they think about the brand holistically. A planned and well executed customer experience means that when a customer goes online, visits the store or calls the call centre, they receive a consistently good experience. If they do they are more likely to convert, remain loyal and become advocates. The trouble is, being organised is more expensive upfront which is why I think we will see the progress made this year eroded.

We ended the year with the acquisition of Applied Insights which I was, and remain absolutely delighted about. “When the going gets tough, the tough get measuring” I am told and that certainly seems to be the case. Since Neil Mason joined us we have hardly seen him or the team, such is the demand from organisations that want to understand what is going on in their businesses.

So, not a bad year, we achieved many of our goals and I feel we are well equipped to cope with whatever the market throws at us next year. There is uncertainty from our clients about their businesses and markets but I think that can only help us, and our industry deliver more value and create new and exciting ways to do so. The year ahead will be tough for a lot of businesses, but I am optimistic that customer experience research will continue to play a vital role in the success of businesses in every sector.