Designing Growth Marketing is Not Only about Performance Marketing - Xavier Nunes, CMO, el Grocer
“Designing growth marketing is not only about Performance Marketing campaigns but the power of your brand in consumers’ minds” – Speaking exclusively to MarTech Vibe, Xavier Nunes opines about growth marketing strategies, loyalty, MarTech scope and challenges. There are so many definitions and variations of “growth” nowadays. How would you define it? What does growth […]
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“Designing growth marketing is not only about Performance Marketing campaigns but the power of your brand in consumers’ minds” – Speaking exclusively to MarTech Vibe, Xavier Nunes opines about growth marketing strategies, loyalty, MarTech scope and challenges.
There are so many definitions and variations of “growth” nowadays. How would you define it? What does growth mean to you?
Traditionally, growth has been associated with customer acquisition, but for us, growth is measured in terms of customer acquisition, loyalty, and repeat business.
The real growth, in our case, is when our customers order groceries several times a month from our app!
I love when consumers become fans of the brand and start advoking the services to their family members and friends!
Making innovative and unparalleled services available to customers is what triggers word of mouth, and when someone talks highly about your brand, it is more powerful than any CPA, CPO, or CPI campaign!
Tell us about your process in choosing your north star KPI, any tips in creating this KPI?
Loyalty! This is what I value the most and being able to nurture a new user to a point where they become super users is sheer gold in terms of reward and fulfilment!
When setting up “customer loyalty” as a KPI, a company should clearly define its meaning of loyal users for better tracking this metric.
Once the definition is clear, it is easy to measure it on a weekly or a monthly basis. For instance, if that percentage is increasing every month or week, it means that people love your brand more than before.
Also read: Socialbakers Reports on the State of Influencer Marketing Effects of COVID-19
What metrics are you currently tracking at El Grocer?
Everything! We deal with brands, retailers, and consumers, and therefore, we have a set of KPIs for all these three dimensions.
For brands, we have been working closely with agencies like Publicis to set up a ROAS, which makes it lucrative for brands to advertise on elGrocer’s platform.
For every 1$ they invest, they see the benefit of allocating their budgets for our platform since we have a large user base.
What advice would you give to marketers when choosing metrics for their growth marketing initiatives?
Well, it depends on multiple factors such as the current state of the business and what is required for it to grow.
In the case of elGrocer, we are working very closely with our teams to ensure we have a solid customer retention plan for this year.
Due to Covid-19, we had thousands of organic downloads between March and April. Our strategy now is to make sure we retain these customers with unmatched services.
Hence, retention is our focus area for the coming months, and all our spending and effort will be directed towards it.
Since communication and messaging play a pivotal role in driving growth, how should marketers approach this area?
Experiment! Get to know your audience well, and make sure you design messages that trigger some behaviour or response.
In other words, make it personal. For instance, messaging insights on consumer behaviour, talking about something that is happening in the areas they live, or highlighting their interaction with our business is likely to spark curiosity, compelling users to click or engage with the app and push them forward in the CX funnel!
Test different approaches and record all the learnings on the same day!
These tests can give insights that can help make informed decisions and identify areas of improvement.
For more insights, ask your wife, husband, colleagues for opinions because they are the real consumers out there and not “brain-washed” by the business you manage.
What should marketers keep in mind when designing growth marketing experiments?
Leverage your teams and partners on this journey. It’s not only about Performance Marketing campaigns but the power of your brand in consumers’ minds.
Embrace your teams and partners to support you during this journey and brainstorm ideas with them. The impact of this inclusive approach will positively impact the ROI of all the campaigns you do.
At elGrocer, we have a solid relationship with Henkel, which has been our partner for many years, or with Union Coop.
We’ve seen that leveraging this relationship creates a stronger elGrocer brand value and also impacts our campaigns’ outcomes by 2x or 3x.
Connect the dots between all partners and teams, and the impact of your efforts will be amplified.
How should marketers build a MarTech stack to develop a sustainable growth marketing framework?
Before creating a MarTech stack, it is important to evaluate your internal systems and then choose the technology that addresses your business needs and offers seamless integration with your systems.
At elGrocer, we use Google Analytics, AppsFlyer, CRM systems, and Firebase, which are tools that help us to monitor the transactions in our app for accurate reporting to our valuable partners.
Each system helps us create even better experiences for our existing users and attract new to our eco-system.
You can easily get overwhelmed by the amount of info you can find out there, but personally, I have been close to our tech team to make sure the info is robust and solid.
Also read: How to Create a Successful Youtube Ad Campaign
What books and courses/classes taught you the most about growth? How do you continuously develop your skill-sets?
Coming from an FMCG brand management background, I rely on a lot of the experiences of other people, including my team, agencies or partners.
I always keep an open mind. I’m critical about what I see and get exposed to, breaking down the information into areas that can contribute to brand building and areas that have an immediate impact on our business and numbers.
I also read blogs, tutorials, and attend webinars to keep myself updated.
ENDS
