value of an interaction

What is the Value of an Interaction?

John Gibs, VP, Data Science and Analytics at Huge discussed “What is the value of an interaction rather than an impression?” “There is a need to move products from a digital space to real world.” People who feel close to brand feel they have a relationship, but it is the people who are not close to the brand who want the immersive experience (82%). Campaigns are about impressions, which is different from experience, which is about interactions. Brands need to be “user-centric.”  User Value Exchange is the value of an interaction as opposed to impressions, which are passive and defined by platform.

John provided examples of cases when brands have moved away from impressions to experiences:

  • Video on design and development of an interactive store. Not just a visual experience for the consumer.
  • Wearable technology allows consumers to interact with the retail space. Wearables allow marketers to collect info (ie: Nike Fuel). Fuel Points and Fuel Box respond to a different and deeper relationship between brand and consumers.

How to measure campaigns considering the above insights? The value of a campaign is now in terms of interactions not impressions.  However, interactions don’t scale well.

In order to achieve the goal of bringing impressions and interaction closer together, there is a need to move to the next stage, which is “anticipatory marketing.” Anticipatory marketing allows brands to interact with consumers.

Brands need to help users overcome:

  • Cognitive overload
  • Paradox of choice
  • Always on
  • Tech anxiety
  • Needy technology
  • FOMO (fear of missing out)

3 solutions:

  • Need to simplify interaction
  • Choice editing
  • Eliminating need for consumer to make a decision

The purchase funnel is not valid; it is not the way the users want to interact.  Brands will begin to anticipate what consumers want (and the consumers will be happy with this arrangement). “The journey is the experience, not a funnel.”

John’s advice for the future:

  • Need new ROI measures that focus on interactions.
  • Measurement not dependent on the purchase funnel; need a broader ecosystem.
  • We all need to become data systems literate-it is how we interact with consumers.
  • Make something you love.

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