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The first half covered the fundamentals of Conversion Rate Optimization (CRO) and several case studies. The second half explores the cutting edge of CRO, which aims to optimize the entire customer journey to enhance brand engagement.
*Nexedge Dentsu Inc. became "Dentsu Digital Inc." effective July 1, 2016.
(左から)ネクステッジ電通の和田純一さん、データアーティスト代表の山本覚さん
(From left) Junichi Wada of Nextedge Dentsu Inc., Satoru Yamamoto, CEO of Data Artist
 

What does it mean to convert increased brand engagement into conversions?

──In content marketing, we discussed converting increased product engagement into conversions. How do you measure that?

Yamamoto: We evaluate what kind of keywords users are encountering in the content. For example, with diet foods, users might initially come in with a vague need like "wanting to look good before the wedding," using keywords like "wedding." After seeing the content, their motivation shifts, and they start coming in with more specific keywords like "diet" methods.

This shift in keywords reflects a change in their level of engagement with the brand. We measure this increase in brand engagement by categorizing the keywords users encounter and counting it as a conversion when they transition to content containing keywords closer to purchase intent.

Wada: In practical implementation, by configuring GA in detail, we can track user-based behavior and directly measure improvements in brand engagement.

Without user-based analysis, one might hastily conclude that "content not directly linked to sales has no value." However, evaluating changes in the keywords users encounter reveals how each piece of content gradually increases brand engagement, ultimately boosting sales. By tracking the path to conversion—like users encountering "diet" articles right before converting, preceded by "wedding" articles—we can see numerically that increasing exposure to "wedding" articles eventually increases exposure to "diet" articles, ultimately boosting the final conversion: sales. We're currently focusing our efforts on refining these metrics and data.

Yamamoto: At this stage, it goes beyond optimizing a single vertical landing page and approaches optimizing the entire customer journey. It's like moving from optimizing individual points to optimizing the entire line.

Wada: Optimizing landing pages alone involves a lot of work, so optimizing the entire customer journey makes things more complex and involves more people. However, I believe that larger initiatives—focusing on how to optimize not just the web but also elements like TV commercials toward a single major goal—better leverage the synergy between individual tactics and achieve higher effectiveness.

Designing scenarios that factor in gender, age, and behavior

──What does optimizing the customer journey entail?

Yamamoto: In the A/B testing example discussed earlier, we identified the most effective creative for the entire user base. From a customer journey optimization perspective, however, we optimize the process by which different users increase their brand engagement through different touchpoints. The most commonly used segments for defining different users are gender and age.

Wada: Let me explain using a specific client example. We tested various patterns for the key visual subject—young men and women, middle-aged men and women, etc. The results showed that while photos of young women elicited the strongest overall response, photos of women of the same age group converted better for older female users. Preferences often differ distinctly across user demographics like this.

Next, it's crucial to consider how users engage with information. Even for the same user, their interests can shift based on the information they encounter. For example, consider a user visiting for the second time after some time has passed since their first visit. What likely happened in the interim? They probably visited competitor sites or comparison sites. Therefore, on their second visit, you should present content that takes this into account. This is why it's important to design scenarios considering gender, age, and behavior.

ネクステッジ電通の和田純一さん
性別や年代、行動を加味してシナリオ設計することが重要です

 

Riding the Demand Potentially Created by Television

──It seems possible to accurately pinpoint user interests based on their online behavior.

Yamamoto: That's right. However, there's information that's quite difficult to obtain from web data alone. It's the atmosphere of the world that isn't yet manifesting as explicit behavior but is potentially ingrained in people's minds. For example, in late November, there's the release of Beaujolais Nouveau, so there's a certain atmosphere where people start thinking about wine.

Wada: Fundamentally, the atmosphere created by television often isn't reflected on websites. For instance, there's a hypothesis that if a product featured on a TV program is sold on an e-commerce site, reflecting that content on the web increases conversion rates.

At Dentsu Inc., we have a complete stockpile of TV program data, enabling us to create websites that ride the wave of the buzz and atmosphere generated by television.

Yamamoto: TV program features carry significant influence. While many people tune out commercials because they're messages from sellers, people tend to think items featured within the limited time of a TV program must be good. There's talk about TV's influence declining, but it's still the largest-scale media platform, right?

Wada: For example, while a DMP can identify health-conscious individuals, what interests them right now might be influenced by TV. Like heatstroke in summer or influenza in winter.

Yamamoto: Take a certain soft drink manufacturer. They had the surefire summer keyword "heatstroke" and increased sales because people get thirsty. But they struggled with winter sales. They focused on the "dry weather advisory" information, noting that in winter, it's not just the throat but the whole body that dries out. So, they launched a message targeting the dry winter body. Reportedly, their sales grew compared to competitors.

Listing ads are highly effective because "searching for that keyword = there's demand." Similarly, the timing when something is featured on TV coincides with a surge in demand, so capitalizing on that timing is extremely effective.

データアーティスト代表の山本覚さん
テレビに取り上げられるタイミングは、イコール需要が上がるタイミングなので、そこに乗っかることは非常に効果的です

 

Our strength lies in optimizing the total experience

──Please tell us about Nextedge Dentsu Inc.'s strengths and competitive advantages.

Wada: CRO isn't just about tweaking input forms or landing pages. It's crucial to comprehensively understand the client's marketing activities and design communication strategies accordingly. Dentsu Inc.'s strength lies not only in possessing TV data but in supporting clients across all marketing touchpoints. We can analyze budget allocation across channels, including TV, enabling us to optimize strategies holistically.

Yamamoto: If you look up "landing page optimization" on Wikipedia, the concept includes "optimizing the total experience." Actually, this is something we translated from an overseas site back in 2007. What was being discussed then is finally becoming achievable now.

Wada: Total marketing optimization is an area we're currently challenging ourselves in. CRO isn't something designers should handle alone; it requires understanding the core of the entire marketing strategy.

Earlier we discussed serving different content based on visit frequency. Indeed, repeat visitors often have higher conversion rates. Creating a customer journey using a concept diagram and determining which messages resonate is fundamental to scenario design.

We break things down at a high level by attributes, then examine finer granularity. For example, conversion rates for women in their 40s on their second visit.

Furthermore, there's the larger funnel of converting potential customers into actual customers. What can we do to increase the number of people doing branded searches among potential customers? How can we increase website visits beyond just TV commercials? Achieving both strategies—increasing potential customers and maximizing conversions—will have a significant impact.

Yamamoto: CRO is about optimizing the total user experience, which has been our goal. Thanks to technological advancements, we're finally starting to achieve it.

The competition going forward will be about optimizing not just landing page buttons and creatives, but entire scenarios and experiences. I believe few companies besides Nextedge Dentsu Inc. can achieve this level of capability. We aim to build successful case studies through various initiatives moving forward.

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Author

Junichi Wada

Junichi Wada

Dentsu Digital Inc.

As a Web Director at a major online advertising agency, I led project management for website construction and operation, as well as access analysis consulting utilizing tools like Google Analytics. In 2014, transferred to Nextedge Dentsu Inc., where I served as a CRO (Conversion Rate Optimization) consultant, leveraging web access analytics, LPO tools, DMP tools, and user testing. In 2016, joined the Advanced Creative Center from its inception, driving the planning of direct creative, its PDCA cycle, and the development of AI-powered creative solutions. Assumed current position in 2023.

Yamamoto Satoru

Yamamoto Satoru

Dentsu Digital Inc.

Studied artificial intelligence (AI) under Professor Yutaka Matsuo at the University of Tokyo. Founded Data Artist Inc. in 2013, which merged with and joined Dentsu Digital Inc. in 2023. Utilizes AI and big data to provide numerous digital marketing services, including automated ad generation, ad effectiveness prediction, CRO, and SEO. Frequently appears on media outlets such as TV programs and speaks at seminars for companies and universities. Major publications include "How to Create Selling Logic" (Sendenkaigi) and "AI × Big Data Marketing" (Mynavi Publishing).

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