#rltm

What do Ted Rubin, Pac-Man and Real Time Marketing Labs have in Common?

Tool fatigue was mentioned quite a few times at the #RLTM conference in New York today. It was a great day hosted by social superstar Ted Rubin. As you would expect from such a social media conference, there were many marketing tools full of sexy dashboards, being pitched alongside some impressive stats...

"In God we trust. All others must bring data". W. Edwards Deming

But there's a big problem with statistics. You can make them mean pretty much anything you like. The chart above is obviously meant as a bit of fun, but it reminds me too much of some of the charts I see brands use on a daily basis. You know the kind... those impressive 50 page analytics reports, presenting every metric you can imagine, bound into a lovely document that no-one will read (and few understand). 

"The only statistics you can trust are the ones you falsified yourself". Winston Churchill

But this isn't a dig at any software vendors or marketers, because the highlight of the day for me was Ted Rubin talking about his obsession with #RonR (Return on Relationship). I wanted to write this quick post because it's a term that people throw around as an alternative to ROI, without understanding its context. There is nothing fluffy about #RonR and Ted isn't suggesting that marketers should chose between ROI or ROR. Building a relationship and measuring the value of that relationship should go hand in hand.

I got myself into trouble at #SMWLDN recently for taking issue with the strategist of a global brand who quoted Ted and said Social ROI is impossible to measure and marketers should concentrate instead on #ROR. Of course we can measure ROI in social - if you don't believe me just ask Adobe Social or Olivier Blanchard. Running around saying "Whats the ROI of your mom"* (because you don't know how to measure it properly) won't cut it anymore.

Pac-Man???

Ted totally believes in ROI as the foundation for most marketing activity ~ which brings us to our Pac-Man graph. So if you imagine the graph representing the amount of time you should spend doing stuff, then the bit that looks like Pacman should be spent being OBSESSED with your customers, reaching out to them and telling stories (75%-90% of your time).

But first, you need to concentrate on the bit that doesn't look like Pac-Man. This piece, representing 10%-25% of your time, should be spent putting measurement, strategies and KPI's in place, to make sure you are spending your time and resources in the right place. For most brands, their main KPI will be ROI as they want to sell stuff and make some $$$. For others it may be moving the needle on brand perception or NPS (net promoter score).

This is important because too many brands spend ALL their time creating content, building dashboards and reporting - leaving in-sufficient time to engage with the people that matter most to them. Their customers.

So... which ever metrics matter the most to you, I encourage you become as obsessed with your customers as you are with your technology. 

#justsayin 

Gary Vaynerchuk making a similar argument

Tasty little 6 minute interview with Ted Rubin

* Sorry Gary - but you can put a financial value on a (commercial) relationship.

** Pac-Man is 34 years old this month. Makes me feel old.