nrf16 actionable insights on real time consumer behavior
TRANSCRIPT
1© 2015 SAP SE or an SAP affiliate company. All rights reserved.
NRF BIG SHOW 2016R E TA I L . D I G I TA L . I N F I N I T E O P P O R T U N I T Y.
J A N U A R Y 1 7 – 2 0 , 2 0 1 6 | N E W Y O R K C I T Y
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Evolution of consumer insight over decades
Press
1780s
Radio
1920s
TV
1950s
Focus groups, surveys, interviews
PC/Web
1990sCookies, tags, Web analytics
Mobile
Today
Call records, location
Ava
ila
ble
us
er
ba
se
fo
r in
sig
ht
Timeliness of Insight
Small
Large
Significant Lag Real Time
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Ad spend not aligned with channels where consumers spend timeBrands need to consider shift in consumer behavior toward mobile
Time spent on mobile increases as TV decreases
2010
TV: 40.9%
Mobile (non-voice): 3.7%
2014
TV: 36.5%
Mobile (non-voice): 23.3%
0 10 20 30 40 50
Mobile
Radio
Web
TV
Time Spent (%) Ad Spend (%)
U.S. Ad Spending vs. Consumer Time Spent by Media
Source:
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Market to an audience of oneThe many-one-many process
Segment of one data
Consumer-level data
Aggregated data
Aggregated data
Consumer-level data
Segment of one data
EX
PLIC
IT
IMP
LIC
IT
NORMALIZATION
RELEVANCE
ENGAGEMENT
LISTENING
• Sell-out (POS) data
• Social media and advertising data
• Mobile operators data
• Explicit data from known consumers
• Implicit data from known and unknown
consumers
• Application of look-alike models to build
larger audiences from smaller
audience segments to create reach
“Gain actionable insights on many, but market to an audience of one”
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“There’s an app for that” has yet to be the only answer for brandsMobile is more than smartphones and apps
Only 19% get more than 1,000
downloads
Only 1% of branded apps
get more than a million downloads
A staggering 80%
get fewer than 1,000 downloads
Source: http://digital-stats.blogspot.co.uk/2011/07/80-of-branded-mobile-apps-have-been.html
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It is about “clicks and bricks” How are consumers behaving in-store, online, and beyond?
Regularly Occasionally Almost Never
Price checking Reading info and reviews Calling/texting a friend
or family member
Source: http://www.shopify.com/blog/14513673-consumers-are-showrooming-and-webrooming-your-business-heres-what-that-means-and-what-you-can-do-about-it
What are consumers doing online while in a store?
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Can mobile Big Data provide new insights?Out-of-home
City Center Shopping District Store Proximity
Where are people?
Who are they (demographics)?
What are they doing (over time)?
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City or Town District Neighborhood
Can mobile Big Data provide new insights?In-home
Where do they live (zip code)?
What is their income level?
What are their interests?
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321
SAP Consumer Insight 365
SAP Consumer Insight 365 unlocks and enhances mobile dataDelivers ready-to-consume insights
SAP
HANA
Analytics
Data Enrichment & Predictive
Enhancement
Anonymized real-time
mobile subscriber data
available by different
countries/region from
mobile network operators
Data enriched with other
sources and enhanced with
predictive algorithms, offered
as a cloud-based service
Detailed reports available for
pre-defined use cases, ready for
consumption based on industry
workflows
SAP
IQHadoop
SAP Mobile Services
cloud
Maps POIDemo-
graphics
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These insights enable …
Competitive intelligenceAdvertising and marketing
effectiveness
Audience research loyalty Social media
Digital channel insights
Programmatic buying
Omnichannel marketing
The
Mobile Big Data
Potential
Media channel
planning and buying
Consumer digital journey
Consumer behavior, preferences,
and segmentation
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The challenge: Finding the balanceBetween business and consumer points of view
Business
Perspective
Consumer
Perspective
Willing to new approaches, insights
based on personal data, but trust is
crucial in that their data will not be
used to harm themEffectiveness of promotions,
advertisements still unclear
Need scale and specificity in executing
campaigns, promotions
Freshness and completeness of
consumer data is criticalAppreciate when advertisements are
timely, relevant, and non-intrusive
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Significant value potential for retailers from these insights
Impact advertising and marketing
strategy/execution
Contribution to advertisement attribution
Improved location planning
Real-time competitor (store/location) benchmarking
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Data Center: APJ
Data Center: USA
Ensuring the privacy of the individual consumer is the foundation of SAP Consumer Insight 365
MNO
Mediation
Zone
MNO
Mediation
Zone
MNO Data Center
Analytics & Data
Layer
Presentation Layer
SAP Consumer Insight 365 SAP Consumer Insight 365
Dashboard
Data Privacy Principles
No data that can directly identify individuals
Data that can directly identify an individual never leaves the mobile network operator
Individuals cannot be identified through the portal
No public or end-user access to raw data
Restricted raw data access for SAP staff and periodic security reviews
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Predicting the futureAudience discovery will precede targeting and verification
2. Customer Action
• Maximize revenue by delivering an easy,
engaging cross-channel shopping
experience based on customer and
consumer data
3. Marketing Measurement
Verify effectiveness of campaigns through footfall rates in and around places of interest (i.e., how effective were billboards, whether mobile ads were opened and what was the response, how did people respond to a circular ad)
1. Consumer Insight
Understand the audience of many, so you can segment to the audience of one
The New
Marketing
Cycle
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Thank you
Contact information:
Vaibhav Vohra, [email protected]
Rohit Tripathi, [email protected]