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The Makings of the Modern Marketer

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The Makings of the Modern Marketer April 3, 2014 Charlene Li, Founder and Analyst Andrew Jones, Analyst


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This was once the scale of a customer relationship


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Today it’s not so easy. How do we build one-to-one relationships at scale?


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In 2014, the customer journey will continue to fragment, making it harder than ever for brands to track and engage with customers


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Marketing Sales Customer Service HR Innovation etc. The Dynamic Customer Journey


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“A friend of mine gets Christian Mingle ads, even though he’s Jewish and married. That shouldn’t happen. His religion and marital status are available on Facebook.” -Bill Piwonka, VP Marketing Janrain


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90% Of companies are committed to delivering an integrated customer experience Source: Econsultancy & CACI


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20% Have a well developed strategy Source: Econsultancy & CACI


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The Modern Marketer Aims to: Provide consistent, exceptional, personal experiences By leveraging the right customer data Delivering the right message, at the right time, in the right channel


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The Modern Marketer Aims to: Provide consistent, exceptional, personal experiences By leveraging the right customer data Delivering the right message, at the right time, in the right channel


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Brands prioritize customer experience, change their perspective Inside out ? Outside in What is the customer’s experience? How can it be improved? Image source: Betsy Weber, Flickr, used under Creative Commons


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40% of $1billion+ enterprises have a Chief Customer Officer Source: CCO Council


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Personalized messaging is more effective Research shows that personalization can deliver five to eight times the ROI on marketing spend, and lift sales 10% or more. - McKinsey, HRB blog, 2012


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It’s about relationships


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$$$ $ $$$$ $$ Location Demographics Transaction history Socialgraphics Etc. Each customer is unique Browsing history


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The Modern Marketer Aims to: Provide consistent, exceptional, personal experiences By leveraging the right customer data Delivering the right message, at the right time, in the right channel


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Little Data trumps Big Data


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When is it valuable to know more about customers? What data matters? Lead scoring Prevent Churn Conquesting Sampling Reward loyalty Promote advocates Reactivation Product personalization Identify influencers Lookalike Audiences Anticipate support


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SEM Website content Ads: display, retargeting, affiliate Email SMS Case Study: Universal Music Group uses social data to better target customers Profile Friends Reviews Comments Location Shares Views Likes


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Universal Music Group uses social data to better understand customer interests 1. Match social profiles to email through social login Social scores Append to email database 2. Capture social signals Facebook Likes Twitter Follows Spotify Listens Youtube Views


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Non-Targeted Email Unique Open Rate: “Batch & Blast” Content Heavy, 20+ Promoted Items UMG’s Interscope Records customer email 7%


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Targeted Twitter Followers of Will.i.am Britney Spears Lil Wayne Diddy Interscope sees lift in open rates by targeting with social signals Semi-targeted Email Unique Open Rate: 16%


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Targeted by: “The XX” Social Scores* Great Gatsby Social Scores Combining social scores for even greater relevance, open rates increase 10x Targeted Email Unique Open Rate: *Note: for those unfamiliar, “The XX” is a band 66.7%


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The Modern Marketer Aims to: Provide consistent, exceptional, personal experiences By leveraging the right customer data Delivering the right message, at the right time, in the right channel


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Retargeting is effective—but closing the loop is hard


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Tools have potential to scale relationships Customer action (e.g. download whitepaper, Watch product video) Update lead score, send relevant message


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Customer data is in silos Service Sales Loyalty Social Marketing


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Consolidation of technology components is inevitable: data + engagement Social Monitoring Social Media Management Marketing Automation/ Email Marketing Content Marketing Data and CRM DMP/Third party data Data Engage Social Network Oracle Social Network Collaborate


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The Modern Marketer Aims to: Provide consistent, exceptional, personal experiences By leveraging the right customer data Delivering the right message, at the right time, in the right channel Through an organization of Modern Marketers


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What does a modern marketer look like? Today, everyone is contributing to a dynamic customer journey


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Digital Leadership Framework Personal Organizational Internal External


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Assessment and Recommendations


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Self-assessment: On a scale of 1-5, how do you rate yourself? Data about customers Ability to create content & experiences Ability to deliver those experiences Organizational integration


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The Modern Marketer Will: Leverage the right customer data to provide consistent, exceptional, personal experiences by delivering the right message, at the right time, in the right channel through an organization of Modern Marketers


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So customer relationships can feel like this again


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Thank You Charlene Li charlene@altimetergroup.com charleneli.com @charleneli Disclaimer: Although the information and data used in this report have been produced and processed from sources believed to be reliable, no warranty expressed or implied is made regarding the completeness, accuracy, adequacy or use of the information. The authors and contributors of the information and data shall have no liability for errors or omissions contained herein or for interpretations thereof. Reference herein to any specific product or vendor by trade name, trademark or otherwise does not constitute or imply its endorsement, recommendation or favoring by the authors or contributors and shall not be used for advertising or product endorsement purposes. The opinions expressed herein are subject to change without notice. For Slides, send an email to slides@altimetergroup.com Altimeter Group provides research and advisory for companies challenged by business disruptions, enabling them to pursue new opportunities and business models. Andrew Jones andrew@altimetergroup.com Altimetergroup.com/blog @andrewjns


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