big data meets social analytics - ibm connect 2012 (cn-cc13)

© 2012 IBM Corporation

INV307 - Big Data meets Social Analytics - Revolutionizing How Companies Address Customer NeedsAya Soffer | Director, Information Management & Analytics Research | IBMMark Heid | Program Director, Social Analytics | IBM

| © 2012 IBM Corporation2

Agenda■ Big Data – what is it, why now, why should I care?

■ Social Analytics – challenges and opportunities

■ Marketing in the era of Big Data and Social Analytics

■ Social Analytics innovation in IBM Research

■ IBM offerings and solutions


An Explosion of Data

1.3 Billion RFID tags in 200530 Billion RFID tags in 2010

Google processes > 24 Petabytes of data in a single day

Facebook processes 10 Terabytes of data every day

Hadron Collider at CERN generates 40 Terabytes of data / sec

For every session, NY Stock Exchange captures 1 Terabyte of trade information

Twitter processes 7 Terabytes of data every day

4.6 Billion mobile phones worldwide

2 Billion Internet users in 2011By 2013, annual internet traffic will reach 667 Exabytes


1 in 3Business leaders make decisions based on information they don’t trust, or don’t have

56%say they feel overwhelmed by the amount of data their company manages

60%say they need to do a better job capturing and understanding information rapidly

83%cited “BI & Analytics” as part of their visionary plans to enhance competitiveness

4

Information Overload… But Lacking Insight

2009800,000 petabytes

202035 zettabytes

as much Data and ContentOver Coming Decade

44x

20111.8 zettabytes


5

The “BIG Data” Challenge

Extracting insight from an immense volume, variety and velocity of data, in context, beyond what was previously possible.

Manage the complexity of multiple relational and non-relational data types and schemas

Variety

Streaming data and large volume data movementVelocity

Scale from terabytes to zettabytesVolume


6

IBM’s Big Data Solution

Analyzing a variety of data at enormous volumes

Insights on streaming data Large volume un-structured

data analysis

IBM Big Data Platform

Variety Velocity Volume

Identify criminals and threats

from disparate video, audio, and data feeds

Identify criminals and threats

from disparate video, audio, and data feeds

Make risk decisions based on real-time transactional dataMake risk decisions based on real-time transactional data

Predict weather patterns to plan optimal wind turbine usage, and optimize capital expenditure on asset placement

Predict weather patterns to plan optimal wind turbine usage, and optimize capital expenditure on asset placement

Detect life-threatening conditions at hospitals in time to intervene

Detect life-threatening conditions at hospitals in time to intervene

Multi-channel customer sentiment and experience analysis

Multi-channel customer sentiment and experience analysis

Bringing Together a Large Volume and Variety of Data to Find New Insights


7

Merging the Traditional and Big Data Approaches

IT

Structures the data to answer that question

IT

Delivers a platform to enable creative discovery

Business

Explores what questions could be asked

Business Users

Determine what question to ask

Monthly sales reportsProfitability analysisCustomer surveys

Brand sentimentProduct strategyMaximum asset utilization

Big Data ApproachIterative & Exploratory Analysis

Traditional ApproachStructured & Repeatable Analysis


The intersection of social media and big data


We have Many Challenges…and Opportunities

10

Channels proliferate…

Network of pages Network of people

The Internet evolves…

The consumer is in control…

The rate of change accelerates…

Clearly organizations must evolve…

Years to reach 50M users:

TV13 Yrs

TV13 Yrs

Internet4 Yrs

Internet4 Yrs

Facebook3 Yrs

Facebook3 Yrs

Tablet2 Yrs

Tablet2 Yrs

http://www.google.com/imgres?imgurl=http://www.nbu.ca/en/images/stories/email_icon.gif&imgrefurl=http://www.nbu.ca/en/&usg=__BFiMZBEphjjdq7-n0HtDfmUshoc=&h=299&w=299&sz=21&hl=en&start=6&sig2=oOctU6osBBK6jpGoGLwS8w&um=1&itbs=1&tbnid=CJgB3YGNksYbDM:&tbnh=116&tbnw=116&prev=/images?q=email+icon&um=1&hl=en&sa=N&rlz=1T4GGLL_en___US347&ndsp=21&tbs=isch:1&ei=FwvrS7j_O4r4sQOBpqSzDw

http://jmz.iki.fi/images/blog/06/ie7.jpg

http://www.iconarchive.com/category/application/pre-desktop-icons-by-icondesigner.net.html

http://www.iconarchive.com/show/business-icons-by-aha-soft/credit-cards-icon.html

http://www.iconarchive.com/show/business-icons-by-aha-soft/phone-icon.html


Social Analytics Has Extensive Potential

August 28, 2011 by R "Ray" Wang, Constallation Research


Dat

a So

urce

s

Organizational Maturity & Sophistication

Quantify & Operationalize

Integrate Transparently

Customer Maturity CurveMonitor & Engage

Mainstream Social Media

Monitor & EngageLightweight “Domain-

Specific” AnalyticsSaaS-Only

Identify & Track KPIs Qualitatively Improve

Marketing DecisionsOpen-up Social Media

Marketing Channel

Identify & Measure ROIOperationalize Insight

via Business ProcessesQuantitatively Improve

Marketing Decisions

Capa

bilit

ies

Bus

ines

s O

utco

mes Predict & Improve

Outcomes With Continuous Feedback

Quantitatively Optimize Decisions Across Functions

Limited Governance

Limited sentimentNetwork & influencer

analysisLimited back-end

process integrationSaaS & On Premise

Broad Public Social Media Sourcing (“Big Data”)

Enterprise CRM & Transactional Data

Full SentimentGeo-Spatial AnalysisPlatform Analysis Predictive ModelingSaaS & On Premise

Seamless Integration of Internal, Extranet & Public Social Media Analysis & Action

Systemic Governance

Predict & Integrate

Complete Back-End Sourcing: ERP, HR, etc

3rd-Party DatasetsOEM-Level Sourcing of

“Big Data”

Partner / Ecosystem Datasets

Embedded Social Analytics

“Targeted Crowd Sourcing”


Behavioral data- Orders- Transactions- Payment history- Usage history

Descriptive data- Attributes- Characteristics- Self-declared info- (Geo)demographics

Attitudinal data-Market Research-Social Media

Interaction data- E-Mail / chat transcripts- Call center notes - Web Click-streams- In person dialogues

“Traditional approach”

High-value, dynamic approach- source of competitive differentiation

Understanding the Customer and Answering: “Why”

Who?Who? What?What?

Why?Why?How?How?


Expanding marketing’s role, and contribution to the business

Agenda:

Understand the market and the customer

Build awareness and demand

Steward the company’s brand

Drive brand strategy and execution

Agenda: + Understand the customer in real time,

across the business+ Anticipate customer needs+ Drive consistent, compelling interactions

across all channels+ Steward the customer experience across

all touch points+ Monitor and harness customer evangelism+ Accountable for business outcomes and

return on investment

Traditional CMOTraditional CMO

Transformative CMOTransformative CMO++

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The vast majority of CMOs are underprepared to manage the impact of key changes in the marketing arena

50%71%

68%

65%

63%

59%

57%

56%

56%

56%

55%

54%

50%

UnderpreparednessPercent of CMOs reporting underpreparedness

Data explosion

Social media

Growth of channel and device choices

Shifting consumer demographics

Financial constraints

Decreasing brand loyalty

Growth market opportunities

ROI accountability

Customer collaboration and influence

Privacy considerations

Regulatory considerations

Source: Q8 How prepared are you to manage the impact of the top 5 market factors that will have the most impact on your marketing organization over the next 3 to 5 years? n=149 to 1141 (n = number of respondents who selected the factor as important)

Global outsourcing

Corporate transparency 47%

16


Customers are the New Intellectual Property

ProductLeadership

(Make the promise)

OperationalExcellence

(Deliver the promise)

CustomerIntimacy

(Keep the promise)

DecisionManagement

17


We are seeing unprecedented upheaval in the consumer buying process

* David C. Edelman, McKinsey, Dec 2010

In the past….there was a funnel

• Many Brands - Consumers start buying process with a large number of brands in mind

• Fewer Brands: These choices are narrowed down to a few

• Final Choice: A decision is made between the few

• Buy: A purchase is made…

• Post Purchase: Consumers’ relationship with the brand is focused on the use of the product or service

Today’s consumer buying process is far more dynamic and interactive…..

18


Increasingly, customer acquisition is more nuanced. Generating loyalty is the new marketing imperative

Strengthen brand preference

through advocacy

Accelerate re-purchase through propensity models

Gain insights and increase positive sentiment in social conversations

* David C. Edelman, McKinsey, Dec 2010

Social Analytics is the key to success in this new environment

19


Looking ahead – The future must be intelligent marketing that understands the interrelations of all channels and media

20

Customer

Owned media

e

PR

Google

Earned mediaAds

Google

Paid media

web site, microsites, blog, Facebook page,

etc

display ads, PPC, sponsored content,

etc.

what your customers share and say about you on twitter, Facebook

blogs and the internet


21

Create Relationships. Build Advocacy. Improve Loyalty.

Enhance Your Reputation

Improve Your customer experience

Grow Your Business

A Social Analytics Application: IBM Cognos Consumer Insight


Competitive analysis – Financial Services

Drilldowns quickly uncovered a very different sponsorship investment strategy between

Company sponsors many local event throughout the year, while competitor focuses one or two high visibility events


Product brand analysis – Consumer ProductsSophisticated analytics revealed which beverage attributes are being leveraged by the competition






■ Customer analytics – 360 profile and lead generation (SMARC)

■ Spatio-temporal analytics for demand prediction (Microcosm)

■ Social Medical Discovery (SMD)

■ Voice of the Employee (SaND)



Social-media Micro-segmentation and Real-time Correlation

Value Proposition─ Construct a comprehensive view of entities of

interest (e.g., people, companies, products)─ Identify actionable leads in real-time

From─ 10-100’s of TBs of social media data from sources

such as Twitter, blogs, and forums

Using─ Scalable “Data-at-Rest” and “Data-in-Motion”

analytics platform─ Advanced analytics technologies (unstructured

data analytics, real-time, and predictive analytics)

Continuously analyze social media data from a wide range of sources, to construct 360-degree profiles of entities and leverage them in timely decision-making

SMARC


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Prior Business Transactions

Customer ready to buy a DSLR camera today,

possibly at a nearby mall

Buying a DSLR today !

Thrza gr8 deal on ZX-550 @ the mall

Go for the best, DP-2000

Michael’s online friends offer lots of advice

Wifey’s birthday tomorrow, looking for a killer dslr

Sarcasm,Wishful Thinking

Maybe I should buy her that purple roadster, while I’m at it. ;-) lol

Text Analytics used to extract intent from Social Media Married, Male, Spouse

Birthdate, Gift Type, Intent to Purchase, Timeframe

Intent to Purchase,Gift Type?

PotentialLocations and

Activity

In NYC area this w/e, any good malls nearby?

Region & City Location, Timeframe, Intent to Shop

Resultant fact base contains billions of facts, and is incrementally updated Fact segmentation or clustering is rapid enough to drive a business decision

Sample Application – Real Time Lead Generation

Entity Extraction, Fact Discovery,

Intent & SentimentSocial Data

250M tweets/day Millions of tweets yield one company-specific fact

Influencers

Buying DSLR today!

Intent

SMARC


Lead Generation Dashboard

Micro-segmentation of consumers by hobbies

Micro-segmentation of product intents by occupation

Real-time product intents enriched with consumer

attributes

Real-time tracking by micro-segmentation

SMARC


How Do We Create a User Profile?SMARC


User Profiling Framework- Setting

logging targeting

Big Data Platform

SMARC


Going from Terms to Concepts

Wikipedia titles/categories

Integrated circuits

Electronics

Electronic music

Extract titles/Categories from Wikipedia pages

1. Circuit2. Radio3. Electron4. Detector5. Voltage6. Line7. Chip8. Capacitor9. Input10. Signal

Important terms

Electronics

Chosen concepts

Choose the most appropriate concepts

Retrieve the most relevant pages

Relevant Wikipedia

articles

Electronics

Circuits

SMARC


Spatio-temporal Analytics for Demand Prediction■ What if you could find out immediately what’s happening in

specific geographies or communities?

■ Updated information ‘from the field’ can support decisions like:─ Where should we send shipments? ─ What kind of promotions are needed? And where?─ Which promotions were successful, which were not, and why?

■ Although input is available for analysis from internal data sources like CRM, ERP, and more – it often involves delay

■ How can you better understand what’s going on now?

Microcosm


Recommended Actions

Annual Charity Event picking up very fast this year in Redwood city.Ship more beverages to the local supermarket

Cookies promotion very popular in Sarasota.Redirect shipment fromSt Petersburg to there.

Negative sentiment abouta Thai restaurant in LA.Propose new spices assortment.

Local Sentiment

Local Events

Location specific tweetsUpbeat Charity event 09/08/11 in Redwood city. Dance and donate to local charities

SylvieS Yes – I’m celebrating with dance and donate. Join us 09.08.11 in Redwood

BuyTheWaySuperMarket Sponsors for the street party in Redwood City. Beer and pizza 4 all. 09.08.11.

GoodHousekeeping Get $1 off Nestle cookies and milk with this coupon buy.x33/123/y8

Carl Nestle’s giving $1 off milk and cookies! Get the coupon now buy.x33/123/y8

Care4Kids $1 off Nestle cookies when you buy milk. HURRY buy.x33/123/y8

Local Promotion

RestAssured I just wasted an evening having tasteless Thai food – no spice or flavor @LAfoodies

Zoe This restaurant is pathetic. Do not eat here

** This place looks good but the food is terrible. I ordered the chef’s special and was disappointed.

ExamplesExamplesMicrocosm


■ Social medical discovery─ Analyzes medical and social relationships in the space of medical data

─ Searches over structured and unstructured information– Textual search

– Faceted search, by age, medication name, genetic variation

─ Ensures fast results, navigation, and exploration

■ Similar patients─ Discovers similar patients that share similar medical conditions

─ Creates social communities of similar patients

■ Evidence-based medical recommendations

─ Recommends medication for symptoms

─ Recommends alternative treatments

Social Medical Discovery

Patient

Patient

Patient

Patient

Physician

Social Medical


Example Use Case - Hemophilia

Find Related patients

Hemophilia

Treated byHas

disorder

Has disorder

Consumes

Consumes

Drug interaction

“Hemophila”

Consumes

Treated by

Has symptom

Hematuria

Genetic variation

Has genetic variation

Find medications

Find communities

Discover Lineage

Find adverse drugs

Find physicians

Social Medical


Voice of the Employee

■ 9 out of every 10 businesses using Web 2.0 technology are seeing measurable business benefits from its use (McKinsey).

■ 41 percent of respondents indicated that they have already implemented an enterprise social software solution (IDC)

■ Use Cases─ Recommending relevant content

and people─ Locating experts, influencers, and

central individuals─ Tracking trends and sentiment─ Revealing information flow with

customers and partners

■ IBM as a leading example─ Over 400K employee profiles─ Over 1M bookmarks with

over 3M tags─ Over 250K members in over

30K communities─ Over 100K shared files and

100K blog posts─ New event every 5 seconds

in the activity streamMcKinsey Quarterly, "How companies are benefiting from Web 2.0: McKinsey Global Survey Results" 2009

. IDC White Paper Sponsored by IBM, Becoming a Social Business: The IBM Story, Doc.#226706, January 2011.

SaND


Example Use Case: Social Analytics for the Sales force

■ Deliver accurate and highly relevant recommendations to help the sales organization most effectively close an opportunity:

─ Find experts – who is top seller, who knows key people from customer ─ Identify similar opportunities – sales opportunities, previous

engagements with customer─ Locating valuable assets that will maximize their chances of success─ Business Intelligence - Trends regarding a given industry, competitive

products─ Example:

Top 25 peoplerelated to largecar manufacturer

SaND


SaND Streams – Sales Force Examples

SaND





■ Social Analytics innovation activities in IBM Research



39

IBM’s Big Data Platform

Big Data AcceleratorsText

Image/Video

Financial

Times Series

Statistics

Mining

Geospatial

Mathematical

Client and Partner Solutions

IBM Big Data Solutions

Acoustic

Big Data Enterprise Engines

InfoSphere BigInsights

InfoSphere Streams

Data Growth Management

InfoSphere Optim

Database

DB2

Data WarehouseInfoSphere Warehouse

Master Data Management

InfoSphere MDM

Warehouse Appliance

IBM Netezza

Marketing

IBM Unica

Content Analytics

ECM

Business Analytics

Cognos & SPSS

Productivity Tools and OptimizationConsumability and Management Tools

Workload Management and Optimization

ApplicationsConnectors Blueprints

Eclipse Oozie Hadoop HBase Pig Lucene Jaql

Open Source Foundation Components

Info

rSph

ere I

nfor

mat

ion

Serv

er


Product Capabilities

IBM Cognos Consumer Insight

BLOGS

DISCUSSION FORUMS

TWITTER

NEWSGROUPS

FACEBOOK

Source Areas

Dimensional Analysis Filtering Voice

Keyword Search Dimensional

Navigation Drill Through to

Content

Relevant Topics Associated Themes Ranking and Volume

Relationship Tables Relationship Matrix Relationship Graph

COMPREHENSIVE ANALYSIS

SENTIMENT

EVOLVING TOPICSAFFINITY ANALYTICS

Business DriversCustomer CareCorporate Reputation

Campaign Effectiveness

Competitive Analysis

Product Insight

MULTILINGUAL


Home pageSee what's happening across your social network

BlogsPresent your own ideas, and learn from others

CommunitiesWork with people who share common roles and expertise

FilesPost, share, and discover documents, presentations, images, and more

Micro-bloggingReach out for help your social network

ProfilesFind the people you need

WikisCreate web content together

Social AnalyticsDiscover who and what you don’t know via recommendations

ActivitiesOrganize your work and tap your professional network

BookmarksSave, share, and discover bookmarks

ForumsExchange ideas with, and benefit from the expertise of others

IBM Connections


Questions?

??????

Mark HeidEmail: [email protected]: @mheidLinkedIn: Mark Heid

Aya SofferEmail: [email protected]: @asofferLinkedIn: Aya Soffer


Additional Information

Cognos Consumer Insight http://www-01.ibm.com/software/analytics/cognos/analytic-applications/consumer-insight/

Social Analytics – Overview Interview on YouTubehttp://www.youtube.com/watch?v=hjlwcXJaCWI

http://www-01.ibm.com/software/analytics/cognos/analytic-applications/consumer-insight/


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big data meets social analytics - ibm connect 2012 (cn-cc13)

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