Content is the Conversion Enginge for Everything

Author: Ulrike Schäfer | Freitag, 28. Juni 2024
Category: Content

Content Factory Concepts and AI Enable Efficiency Gains for Marketing and Sales and Strengthen the Customer Experience.

Content is king and leads the user through the sales funnel: But how can the increasing demand for content be met efficiently with marketing budgets that are not growing proportionally? Mathias Reinhardt, Managing Partner of PIA UDG, provides answers and solutions that PIA UDG is already successfully implementing.

In today's digital landscape, social media posts, landing pages and newsletters are just some of the many touchpoints where users and brands interact with each other. In the context of a car purchase alone, for example, there are over 900 different digital interactions that require corresponding content. This is an enormous challenge for companies: while the requirements for content for the various channels are increasing, budgets are stagnating or at least not growing at the same rate.

The Challenge: Growing Content Requirements with Stagnating Budgets

Content costs money - and efficiency in its creation is a critical factor. According to a study by management consultants McKinsey, many marketing departments spend up to ten percent of their working time searching and researching files alone before they can even start creating content.1 In addition, many results are not scalable: 43 percent of content is only created for a single channel. This inefficient use contradicts the need for sustainability and reusability in modern digital marketing.2

The Solution: Efficient Content Strategies through Content Factory Concepts

How can marketing processes from creation to distribution be industrialized in order to achieve greater efficiency and content diversity? One possible answer lies in the content factory, which integrates the concepts of the content hub and the content house.

Content Hub: Platform

The Content Hub acts as a central platform that bundles tools and software for efficient planning as well as production and distribution structures. This enables seamless coordination and optimization of content processes from idea generation to publication.

  • Efficient Planning: By using a central content hub, the different teams in the company can plan and distribute their resources better (concept of the "single source of truth"). This provides a uniform basis and reduces the time spent on administrative tasks such as searching for files.

  • Production and Distribution Structures: The content hub creates a coherent structure that enables content to be produced efficiently and distributed via various channels.

Content House: Organization

The Content House provides the organizational strategy for the entire content value chain, from planning and creation to production and distribution. Which internal players in the company and external partners operate according to which principles? How are markets and headquarters efficiently interlinked? How can a clear understanding of roles and a confident handling of conflicts of interest ensure greater effectiveness? Well thought-out processes and structures ensure the quality and effectiveness of content across all channels and touchpoints. For example

  1. Creation: Avoid over-regulated processes so as not to restrict creativity.

  2. Production: The production processes are designed in such a way that content can be created for different channels at the same time. This increases reusability.

  3. Distribution: Control distribution using well-understood efficiency levers. Ensure that the right content reaches the desired touchpoints at the right time and in the right format.

Basic Principles of the Content Factory

Three principles are essential for the successful implementation of the Content Factory:

  1. Breakdown into Content Atoms: Content must be able to be broken down into small, reusable units. This enables flexible and scalable use of the content across different channels.

  2. Measurability: Actions and processes must be measurable in order to be able to evaluate and optimize the effectiveness of the measures.

  3. Split Processes: Processes must be split into units that can be managed efficiently. This increases flexibility and enables better adaptation to different requirements.

These strategies can be combined with decoupling approaches in order to scale content efficiently and adapt it to different requirements.

Decoupling for More Efficiency

Decoupling, i.e. the separation of content production and rollout, follows the natural functioning of the human brain, which separates logical from creative tasks. This division of processes increases productivity, as specialized teams take on exactly the tasks for which they are best suited.

  1. Creative and Logical Separation: Creative teams focus on the development of ideas and concepts, while logical teams take on the implementation and distribution of content.

  2. Increased Efficiency: This separation allows creative ideas to be better implemented and at the same time distributed more efficiently. The aim is to actually implement innovative concepts and prevent them from failing due to implementation problems and not being able to realize their full potential.

Overcoming Silos: Cross-Channel Content

Today, content must be usable across channels and internationally. However, historically evolved IT structures and processes often hinder the efficient use of content. A content hub, used across teams, networks the different departments, trades and processes and makes it possible to plan and use content together. This creates synergy effects, costs can be reduced and user conversion can be increased.

  • Historical Challenges: Many companies have developed their content strategies gradually, which often leads to inefficient, silo-like structures.

  • Centralized Platforms as Solutions: By using centralized platforms, content can be planned, created and distributed more efficiently. This promotes collaboration between different teams and departments.

Pioneering Technologies: AI in Content Marketing

Management consultancy McKinsey sees enormous growth potential for the global economy in generative AI. According to the McKinsey Global Institute 2023 study published in June 2023, generative AI technologies - such as ChatGPT or DALL-E - could theoretically increase productivity by 2.6 to 4.4 trillion US dollars per year. By integrating AI into word processing programs or chatbots, for example, a lot of working time could be saved and used for other tasks. 75 percent of these effects would affect the areas of customer service, sales and marketing. For marketing alone, McKinsey cites a 9 percent increase in productivity through generative AI.

AI tools help with the creation and editing of storyboards, the development of creative content and the adaptation of content to different channels.3 Administrative tasks can also be facilitated by AI - for greater efficiency in the value chain.

However, it is important to provide strategic support for the tools used. On the one hand, clear guidelines and workflows are also required here in order to exploit the full potential of the technology. On the other hand, copyright must always be kept in mind when using AI.

Use of AI

Support from AI: AI can support content creation and editing by automating repetitive tasks and providing valuable insights.

Create a secure framework: Formulating guidelines and standards is important. On the one hand, to proactively shape future strategies and communication and to critically scrutinize any paint points. On the other hand, tools, especially AI-driven tools, need a clear framework in order to use them effectively and minimize potential risks.

The Question to ask is: what content is not being presented to users today to drive conversion, increase sales, increase trust in the brand or facilitate a service? Just because it can't be organized? Just because there is no process? Because you can't calculate the cost to produce that content? What conversion potential will you lose if you don't get to grips with this?

Conclusion: Efficiency through Structure and Technology

"In difficult times, marketing is often the first area to be cut," criticizes McKinsey. "However, this approach often proves to be too short-sighted". According to the management consultancy, companies should see marketing as the key to long-term growth and invest accordingly.1

One thing is clear: productivity in content marketing has a direct impact on business success. A well-thought-out content strategy based on modern technologies and structured processes can significantly increase productivity and reduce costs at the same time. All of this leads to an improved customer experience, as content is provided in a more targeted and consistent manner across different channels.

Business Impact

The implementation of content factory concepts and AI technologies enables companies to create more content with fewer resources. This leads to a higher reach and conversion rate, as potential customers are better addressed through relevant and well-placed content - content drives conversion in the sales funnel, so to speak.4

Looking to the Future

In the constantly changing digital landscape, the importance of efficient content strategies will continue to increase. Companies that invest in structured processes and technologies such as AI at an early stage will have a competitive advantage in the medium term. The demand for personalized and high-quality content will also continue to rise, increasing the pressure on marketing departments. It is therefore crucial to set the course for efficient content processes now.

Get Off to an Efficient Start

Check the Status Quo: How can Companies get started with the Process?

  1. First of all, companies should take stock of their current content strategies and processes and identify the biggest bottlenecks and inefficient areas.

  2. The next step is to implement a central platform that facilitates the planning and distribution of content.

  3. Training and clear guidelines for the use of AI tools are also essential to fully exploit their potential.

Testing: Is the chosen Course the Right One?

It is important to constantly put content strategies to the test and implement processes that enable efficiency and scalability. Relevant questions include, for example:

  • Which content is currently not being used optimally?

  • Where is too much money being spent on ineffective processes?

  • What added value could structured, technology-supported content production offer?

Companies can then start implementing a central platform for content creation and distribution, take advantage of AI and take their content strategies to the next level - and further strengthen the customer experience.

1 Kai Vollhardt & Philipp Kluge & Jerome Königsfeld & Sascha Lehmann & Oliver Gediehn. In Krisenzeiten am Marketing sparen?! Wie Marketing einen wichtigen Beitrag zur Resilienz leisten kann. McKinsey & Company, 2023

2 Forrester Consulting. Poor Content Execution is Sinking Marketers' Grand CX And Brand Visions, 2021

3 Kai Vollhardt & Sascha Lehmann & Jerome Königsfeld & Oliver Gediehn. Generative KI kann zum Produktivitätsbooster werden. McKinsey & Company, 2023

4 Heiner Sieger. Amazon macht es vor: So hilft KI im Marketing bei der Customer Experience, 2021