digital marketing: a transformational approach for marketers
TRANSCRIPT
This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2011 Gartner, Inc. and/or its affiliates. All rights reserved.
Adam Sarner
Digital Marketing: A Transformational Approach for Marketers
@GARTNER_INC
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This presentation, including any supporting materials, is owned by Gartner, Inc. and/or its affiliates and is for the sole use of the intended Gartner audience or other authorized recipients. This presentation may contain information that is confidential, proprietary or otherwise legally protected, and it may not be further copied, distributed or publicly displayed without the express written permission of Gartner, Inc. or its affiliates. © 2012 Gartner, Inc. and/or its affiliates. All rights reserved.
Adam Sarner
Digital Marketing: A Transformational Approach for Marketers
Marketing Needs a New Approach
Key Issues
1. What are the drivers fueling growth in campaign management?
2. How will a digital marketing approach reinforce campaign management?
3. How will vendors develop to support online and offline campaign management orchestration?
Key Issues
1. What are the drivers fueling growth in campaign management?
2. How will a digital marketing approach reinforce campaign management?
3. How will vendors develop to support online and offline campaign management orchestration?
Marketers Must Move From Mass Blasting Tools to Complex Customer Orchestration
Campaign
Management
Grow
Retain
Acquire
Execution
Complexity
Strategy
Complexity
@
First Touch
Third Touch
DM CC
@
DM
CC
@ DM CC Second Touch
Skills, Roles, Processes
Orchestration
Marketing Technology Matrix
Persona Management
Voice of the Customer
Marketing Mix Optimization
Integrated Marketing Management
Campaign Management
SaaS
Product Recommendation
Engine
Social Media Metrics
Global, Integrated MRM
Pricing Optimization and Management
Marketing Performance
Management
MRM: Marketing
Fulfillment
Process Templates
Social CRM: Social
Marketing Social Analytics
MRM Analytics
Entity Resolution and Analysis
Loyalty Marketing
MRM SaaS
Multichannel Campaign Management
Predictive Campaign Analytics
Audio Mining/ Speech Analytics
Event - Triggered Marketing
Real - Time Decisioning
MRM: Planning and Financial Management
MDM of Customer
Data
Text Analytics
Customer Profitability Management
Brand Management
MRM: Creative Production
Management
Digital Marketing
Campaign Segmentation
Email Marketing
Lead Management
Marketing Service Providers
MRM: Marketing Asset Management
Web Analytics
Campaign Tracking and Measurement
Pro
du
cti
vit
y
Customer Experience
Productivity and Customer Experience Orchestration Driving MCCM
96%
72%
60%
58%
36%
33%
29%
16%
3%
11%
0% 20% 40% 60% 80% 100%
Web
Direct mail
Call center
Social
Search
SMS
Mobile
RSS
Other
n = 89
Which of the following channels does your organization currently use for campaign management?
Rank 1 to 10 in order of prevalence.
Digital Channels Driving Multichannel Campaign Management
Multichannel Campaign Management Heads for the Cloud
Which of the following deployment models does your organization use for the service provider's multichannel campaign management?
On-premises deployment of the
software 55%
Off-premises deployment of the
software 12%
Software-as-a-service deployment
29%
Other 4%
n = 89
Speed of Implementation and Ease of Use Drive SaaS Campaign Management
68%
54%
50%
46%
43%
39%
36%
32%
32%
21%
18%
11%
7%
4%
11%
0% 20% 40% 60% 80% 100%
Speed of implementation
Ease of use
Scalability
Best value for money
Integration with existing applications
Flexibility
Customer service levels
Lack of internal resources
Customizable
Vendor reputation
Existing relationship
Data security
Company policy
Lack of availability of other options
Other
n = 89 Multiple responses allowed
(From the multichannel campaign management Magic Quadrant reference survey, May 2011)
Why did your organization choose software as a service for campaign management?
Key Issues
1. What are the drivers fueling growth in campaign management?
2. How will a digital marketing approach reinforce campaign management?
3. How will vendors develop to support online and offline campaign management orchestration?
Defining Digital Marketing Digital marketing is an approach toward contextual marketing, addressable branding, community marketing and transactional marketing. Digital marketing extends marketing processes through channels such as the Web, email, video, mobile, social, kiosks, point-of-sale terminals, interactive television and gaming platforms.
What Campaign Management Needs
From Digital Marketing
Digital Marketing and Campaign Management Need Each Other
• Engagement
• Right-Brain Marketing
• Flexibility
• Customer View
• Online Channels
• Response Attribution Metrics
• Multiple Processes
• Left-Brain Marketing
• Integration
• Customer Record
• Offline Channels
• Orchestration
What Digital Marketing Needs From
Campaign Management
Digital Marketing: Key to Response Attribution
Web: Clickstream analysis: length and frequency, repeats
Social: Identifying influencers, sentiment, real-time changes to campaigns
Mobile: Context of location, stage of buying process
Personalization: Detecting preferences, determining real-time treatment
High Low
High
Aware
Addressable
Direct Mail Web, Mobile, Social, Email,
Gaming
Print Advertising TV Billboards
Interactive TV Store
Metric: Recipient behavior vs. nonrecipient
RFM model
Metric: Inferences to total sales
Metric: Campaign success definitions,
activity-based costing
Metric: Response rates to campaigns
We know you, but not sure how you responded.
We know how, why, when and what you're
responding to.
We don't know who you are or whether you
responded.
We can identify you when you respond.
Digital Marketing Functionality: Four Types
• Digital advertising
• Digital video
• Digital signage
• Digital branding
• In-game
advertising
• Podcasts
• Social analytics
• Ideation mgmt.
• Social campaigns
• Forums
• Word of mouth
• Social event
networking
• Reputation mgmt.
• Digital branding
• Search marketing
SEO, SEM
• Mobile marketing
• Digital recommendation
engines
• Web/digital analytics
• Event-triggered/inbound
• Augmented reality
marketing
• Email marketing
• Lead management
• Digital campaigns
• E-commerce
• Product reviews
• Gift registry
• Cross-selling, upselling
• Loyalty marketing
Addressable Advertising
Social Marketing
Transactional Marketing
Contextual Marketing
Vail Resorts: Addressable Advertising
Contextual Marketing: Mobile
Increasing automation, behavioral knowledge,
social awareness
and analysis
Number/richness of information sources
Social Marketing: Miracle Whip
Scotts Lawn Care: Transactional Marketing
Source: Scott's Lawn Care
• Problem: Need to be more relevant to an individual's circumstances and have an efficient way to account for all the different variations.
• Objective: Generate a highly personalized form of communication beyond e-mail blasting.
• Approach: Use Scotts' information on lawn care, combined with profiles based on ZIP Code, grass type, gardening preferences and changing conditions, such as insect and weed infestations.
• Results: Thousands of recommendations from a single email template. Significantly increased open rates, fewer spam complaints. Reduced costs 30%.
Key Issues
1. What are the drivers fueling growth in campaign management?
2. How will a digital marketing approach reinforce campaign management?
3. How will vendors develop to support online and offline campaign management orchestration?
Campaign Management Functionality Building Blocks
Channel
Foundation
Campaign
Analytics
Campaign
Workflow
Goals
Executing
Campaigns
Dialogue Management Event Triggering
Campaign Management Workflow
UI, Planning, Roles and Approvals Tracking, Measurement, Multistep,
Multiwave Process Workflow
Data Cleansing and Matching, Data Modeling, Lists Data Warehouse/Data Mart/Source Data
Acquisition, Growth, Retention Campaigns
Loyalty Management
Lead Management
Segmentation
Personalization/Persona Management
Predictive Analytics
Web Analytics
Social Marketing
Content Management
Offer Management
Campaign Optimization
Search Marketing
Customer Profitability Analysis/Attribution Metrics
Call Center
Direct Mail
Partners/Distributors
ITV
Mobile
Web
Social
Store/Office
Gaming
Magic Quadrant for CRM Multichannel Campaign Management
(From "Magic Quadrant for CRM Multichannel Campaign Management,"
22 May 2012)
challengers leaders
niche players visionaries
completeness of vision
ab
ility
to
exe
cu
te
As of May 2012
IBM-Unica
SAS Teradata-Aprimo
Oracle Siebel
Responsys Adobe Systems
Neolane
Sitecore
Eloqua
Marketo
SDL Alterian PB Software ClickSquared
Oracle RightNow
SAP
Infor
Campaign Management Needs Better Digital Marketing Functionality
6.17 6.08 6.00 5.99 5.95 5.87 5.81 5.78 5.77
5.55 5.47
5.14 5.09 5.06
4.40 3.50
6.12
1 2 3 4 5 6 7
Multistep multiwave campaign creation Attribution metrics
Real-time offers/recommendations Email marketing
Event-triggered marketing Lead management
Campaign optimization Segmentation and/or data mining
Content management Inbound marketing Predictive analytics
Web analytics Mobile marketing Social marketing
Search engine marketing (paid) Search engine optimization (organic)
Other
From 1 to 7, how well do you think the provider is fulfilling your needs for each of the following?
n = 89
Campaign Management
No Digital Marketing Suite, but Expect Consolidation Toward Campaign Management
Search Marketing Web Analytics
Email Marketing
E-Commerce
Digital Agencies
Advertising Networks
Marketing Service Providers
Social Marketing
Recommendation Engines
Web Content Management
Offline
Online
Service Technology
Advertising Agencies
Mobile Marketing
Stop:
- Spamming the customer
- Using nonaware, nonaddressable communication
- Doing something because its "social"
- Doing something because its "mobile"
Start:
- Focus on customer access, participation and mutual value developing from digital marketing trends.
- Connect accurate and timely response/capture metrics to digital marketing channels.
- Develop a social marketing strategy around product development and social campaigns for measurable benefits.
- Consider mobile applications that bring context of time and place, and help customers walk through a problem or buying process, while recommending solutions. Consider partnering.
Action Plan for Marketing Leaders
Recommended Gartner Research
"Magic Quadrant for CRM Multichannel
Campaign Management"
Adam Sarner (G00213005)
"Marketing Needs to Start Developing New Skills to
Engage the Digital Customer"
Adam Sarner (G00226619)
"Balance Customer Experience With Marketing
Productivity in Marketing Automation Initiatives"
Adam Sarner, Jim Davies (G00216115)
"Digital Marketing: The Critical Trek for Multichannel
Campaign Management"
Adam Sarner (G00210964)
For more information, stop by Gartner Solution Central or e-mail us at [email protected].
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