NONE: ONLINE-ADS>> AdTech Coverage: Angela Kapp, Estee Lauder / Rpt #5
ONLINE-ADS>> AdTech Coverage: Angela Kapp, Estee Lauder / Rpt #5
rhoy_at_o-a.com
Tue, 20 Jan 1998 06:42:00 -0600 (CST)
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AdTech: West Coverage - Session Synopsis: Angela Kapp/ Rpt #5
"Building Brand Equity on the Net"
January 20, 1998
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This is the fifth in a series of 10 reports from Richard Hoy, who
covered the AdTech: West conference in Los Angeles last week. You
will receive these reports in addition to your normal Online Ads
posts/digests.
These reports are archived at: http://www.o-a.com/adtech-archive.html
----------------------------------------------------------------------
This conference coverage is generously underwritten by:
Match.com
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we'll play matchmaker with your product and a half-million affluent
singles. Our subscribers are people that are open to new adventures
(like your site, for instance). They are people who are comfortable
with an online commerce environment. In fact 50,000 of them log on to
meet each other every day. That means better targetability for you. We
target your banner based on demographic data supplied to us by each of
our subscribers. That's how we deliver your ad to the individuals you
want to reach. That's how we can offer you exceptional reporting as
well. This Valentine's Day, Match.Com will be a leading online
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Angela Kapp, Estee Lauder Company
Building Brand Equity on the Net
Angela was quite blunt about the challenges she faced porting the
Clinique brand to the Web.
"You have the same challenges that you always have as a brand going
into new media, which are: no money, no resources, senior management
doesn't get it - you'll be lucky if they know how to turn on a
computer - and the marketing people don't necessarily want to
integrate whatever new media is into their existing budget."
Because of this, no clear goals were set out initially for the Web
site. However, once the site was up and running, four core goals
started to emerge:
1.) enhance the brand image
2.) gain new customers
3.) drive traffic to stores
4.) push the envelope
When they were planning the site back in 1995, only about 15% of women
were online. It became quickly apparent that if this site was going to
work, Estee Lauder needed to get more women online. They did so
through such means as:
-distributing Internet starter kits (with the default page in the
browser set to the Clinique site)
-Internet 101 workshops (hands-on training on how to get online)
-CyberCafes (in-store Internet terminals)
Angela points out that women have an insatiable appetite for
recommendations on which skin care products they should be using and
tips on how to apply those products. This forms the basis for the
Clinique site's content. The hook to getting visitors to register is
that the information is personalized.
The site has 200,000 registered users. 30% of those users were not
users of the Clinique product line prior to registration. This has
stayed consistent within 2% throughout the history of the site. From
this Estee Lauder concluded that people who are not users really like
this vehicle because they maybe are intimidated to go to the counter
for product information. They then take this information to the store
to buy the actual products.
But what about buying products online? A major concern Estee Lauder
had was cannibalizing sales from their existing channels. However, the
company took the plunge this past Christmas with an application called
"The Wish List." A woman could come to the site and fill out a list of
Clinique products she would like to receive at Christmas. She then
specified the email addresses of up to three "Santas," who were sent
the list and instructions on how to buy the items online.
"That was a phenomenally successful application," Angela said.
The success of "The Wish List" is a clear indicator of both the
viability of Web-based sales and of the trend towards personalization
of content. She sees the Internet as a platform that will enable you
to build a more intimate relationship with your customers. And it
enables you to personalize the information you can give to a customer
in ways that are impossible by any other means.
Clinique has about 15 million customers in the United States, and they
know zero about them. The 200,000 plus people registered through the
efforts of the Clinique Web site is the only consorted effort to
centralize this data. Angela said Estee Lauder plans to aggressively
expand and pursue the list of qualified registered users in the
future.
Angela is of the camp that believes banners are best for direct
response.
"You can't tell me who you show my ads to," she said. "You can only
tell me how many pages you show them on. Are all those pages going to
the same person? Are they going to different people? How's it
happening?"
Because you have to fight for dollars from the traditional ad budgets,
impressions just aren't the information one needs. The only way to win
larger budgets in the current corporate climate is to show evidence
that your efforts are paying off.
In one campaign, Estee Lauder bought ads based on Cost Per Lead. They
acquired 5,000 new registered users with banner ads leading to
subscription forms. The campaign also promoted a free gift with a
purchase. In a post campaign survey, they discovered 43% of those
5,000 people actually went to the stores to get their free gift. The
campaign showed that not only could a Cost Per Lead banner campaign
get them new registered users, it could actually drive traffic to the
stores.
An audience member asked how Estee Lauder measures return on
investment for the Clinique site. Angela outlined four ways:
-is traffic growing?
-how many qualified registered users are being acquired?
-are we communicating with those users?
-can we measure the traffic into our channels of distribution?
Despite all of the site's success, Angela admits that Estee Lauder
could be doing a much better job. Up until three months ago, the URL
wasn't even in the ads or on any packaging. Also, there is a real
problem with tracking the impact of the site on store traffic because
many of the store clerks are unaware Clinique has Web site.
"We still have a huge challenge," she said. "75% of our customers
online still don't know we have a Web site."
Related Links
-------------
Clinique opens on Web
Ad Age
http://adage.com/interactive/daily/archives/19960312/id19960312-4.html
Undaunted by Obstacles, Cosmetics Firms Step Into the Internet Fray
Web Week
http://www.webweek.com/96Feb/comm/cosmetics.html
This ends the fifth report of AdTech: West. Stay tuned for more
post-floor reports, and detailed session synopses in the days
immediately following the conference.
----------------------------------------------------------------------
----------------------------------------------------------------------
This conference coverage is generously underwritten by:
Match.com
Matchmaker, matchmaker, make me a match. Advertise on Match.Com and
we'll play matchmaker with your product and a half-million affluent
singles. Our subscribers are people that are open to new adventures
(like your site, for instance). They are people who are comfortable
with an online commerce environment. In fact 50,000 of them log on to
meet each other every day. That means better targetability for you. We
target your banner based on demographic data supplied to us by each of
our subscribers. That's how we deliver your ad to the individuals you
want to reach. That's how we can offer you exceptional reporting as
well. This Valentine's Day, Match.Com will be a leading online
destination for thousands of singles. We can make that true for your
site, too.
Try Match.Com now and we'll give you three months for the price of
two. To find out more, visit us at:
http://www.match.com/advertising/
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