Vala Afshar - The Power of Collaboration

Vala Afshar
2010
No Digital
Footprint
2011 2012 2013 2014

Vala Afshar
2010
No Digital
Footprint
2011
Joined
Twitter
2012 2013 2014

Vala Afshar
2010
No Digital
Footprint
2011
Joined
Twitter
2012
Co-
Authored
Book
2013 2014

Vala Afshar
2010
No Digital
Footprint
2011
Joined
Twitter
2012
Co-
Authored
Book
2013
Blogs/
Video
Series/SlideSh
are
2014

Top 10 people mentioned by
marketing executives.
The #1 Retweeted and Mentioned Person by Marketers

Vala Afshar
2010
No Digital
Footprint
2011
Joined
Twitter
2012
Co-
Authored
Book
2013
Blogs/
Video
Series/SlideSh
are
2014
Most
Mentioned in
Marketing

TOP 100 MOST SOCIAL CIOs on TWITTER
List Published: March 25, 2014

All Businesses Will Be
Digital Businesses

Digital Economy
Welcome to the New
User experience is shaped by technology trends
Digital economy is defined by mobile, apps, social, cloud, and big data
The network is a strategic business asset

Mobile-first, always connected, highly secure
Mobile
74% of viewers will leave a page if not loaded in 5 seconds
268B mobile apps will be downloaded in 2017
70% of mobile searches lead to action within 1 hour

Collaborative, open and connected
Social
65% of B2B companies have acquired a customer through social
94% of customers believe that c-level social involvement is important
82% of employees trust a company with social leaders

Hybrid, flexible and secure
Cloud
97% of workers are using cloud services
60% of all cloud deployments will be hybrid by 2016
77% of businesses saw rogue cloud deployments last year

Right app, right person, right time
Apps
70B apps will be downloaded by 2014 (286 billion by 2017)
84% of mobile traffic is related to apps
0% of businesses know what apps are running everywhere

Data to insight to rapid decision/action
Big Data
4300% increase in annual Big Data generation by 2020
0.5% of Big Data is being analyzed today
63% of businesses view analyzing Big Data as a competitive advantage

90% of Revenue Growth in the Next 10 Years
Will Come From the Third Platform - IDC
19

State of the CIO 2014
Digital strategist or traditional CIO?
 90% of CIO: role is increasingly challenging;
65% role is becoming more rewarding
 44% of CIOs report to the CEO. Tenure is six
years, while average pay is holding at $219,500
 CIOs spend significant time to focus with
business leaders - up to 25% of week
 Game-changers CIOs average salary $249,000.
(70% report to CEO) vs cost-center CIOs
($182,000 and 37% to CEO)
 48% of CIOs: IT groups is viewed as a cost
center or service provider
 61% CIOs have part of their compensation
tied to a specific corporate revenue or profit goal

2014 CIO Priorities
“Measurement is
fabulous. Unless
you’re busy
measuring what's
easy to measure
as opposed to
what's important.”
– Seth Godin

CMOs – 2014 and Beyond
How will CMOs and CIOs work together?

The Evolved CMO in 2014
CMOs Must Ramp Up Business and Technology Acumen
 62% CMOs surveyed globally believe the CIO
is a strategic partner in meeting corporate goals
 41% CMOs share common vision with CIO of
how marketing and IT teams should work
together
 Only 29% CMOs partner with their IT
counterpart when buying marketing technology
 31% CMOs use technologies to analyze and
respond to customer feedback
 40% CMOs claim they are hindered by the
quality of customer data in their organization

Gartner Digital Marketing Budgets Will Increase By 10% in 2014
 Gartner – April 29, 2014
 10.7% of 2013 annual
revenue on overall marketing
– digital marketing spend is
3.1% of revenue
 Digital marketing spend is
double-digit increase in 2013
and 2014
 285 respondents with
revenues > $500M

IDC 2014: Marketers Budgets Continue to Increase
Percentage of Companies Increasing Marketing Budgets
Source: IDC’s 2014 Tech Marketing Barometer Survey
63%
45%
78%
16%
25%
8%
21%
30%
14%
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
All IT Rev >$1B Rev <$1B
Increase
Stay the
Same
Decrease

The Marketing Function Will Undergo the
Greatest IT-Driven Business Transformation
0% 2% 4% 6% 8% 10% 12%
IT
Accounting / Finance / Billing
Human Resources & Training
Engineering, Architecture &…
Supply Chain Management
Other Horizontal
Sales
Customer Service
Risk and Security
Industry Specific Operations
Marketing
26
U.S. IT Spending by Line of Business 5 Year CAGR (2012-2017)
Excludes Government and Education
Source: IDC’s Line of Business Forecast. Preliminary Data. October, 2013

Digital Marketing Expertise is Now a ‘Must
Have’ for B2B Marketing Organizations
27
13%
19%
26%
29%
34%
39%
44%
50%+
0%
10%
20%
30%
40%
50%
60%
2009 2010 2011 2012 2013 2014 2015 2016
%ofTotalProgramSpend
Digital Marketing Program Spend
Source: IDC’s 2014 Tech Marketing Benchmarks Study

IDC’s Definition of Digital Marketing
Program Spend Mix: End of 2013
n=52
Source: IDC’s 2013 Tech Marketing Benchmarks Study
Advertising
9.6%
Digital
Marketing,
34.0%
Direct
Marketing
4.1%
Events
17.8%
Other Areas:
PR, MI, AR,
Marketing
Support and
Sales Tools,
Collateral
34.5%
Program Spend Allocations
(Digital Island View)
Excludes
Digital Events
Excludes Email
Marketing
Excludes
Display and
Search Ads
Digital Marketing – 39% of Program
Spend in 2014
Display Ads
22.0%
Search Ads,
20.2%
Mobile Ads
1.7%
Email
Marketing
13.3%
SMS/Text
Messages
0.7%
Digital
Events
3.7%
Company
Web Sites
13.3%
Search
Engine
Optimizatio
n 3.8%
Mobile Web
and
Applications
1.4%
Other Web
Site 0.1%
Social
Marketing
5.8%
Marketing
Automation
14.0%
39%
forecast
for 2014

IDC 2014: Website and Social Marketing
Program Investment is a Priority
* Marketing Support & Sales Tools
Source: IDC’s 2014 Tech Marketing Barometer Survey
-10%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Web Site Social
Marketing
Marketing
Tech
Branding
& Content
Direct
Marketing
Analyst
Relations
Public
Relations
Advertising Events Market
Intel
MS&ST*
All IT Companies >$1B Companies <$1B
Q. Please indicate if investment in the following Program Spend categories will increase, decrease, or stay the same in 2014 as
compared to 2013.

Digital Marketing Success Factors

Gartner: 2014 Technology Transit Map
Ad Technology
Analytics
Creative
Commerce
Emerging Technologies
Marketing Management
Mobile
Real-Time Data
Search
Social
Strategy
User Experience (UX)

IDC - 2014 Marketing Technology Map
Digital Transformation of Marketing

2014 Marketing Technology Landscape

Areas where CMOs become frustrated with CIOs
CIO understands marketing requirements
Marketing employees understand IT
IT employees understand marketing programs
Want to enable marketing employees to
operate data/content, without IT intervention
IT development process is slow and not
aligned to the speed of digital marketing
Strongly Disagree (%) Strongly Agree
2 9 38 38 13
3 13 38 36 10
5 18 32 34 11
6 13 36 33 12
9 14 38 28 11

Areas where CIOs become frustrated with CMOs
Software service needs careful planning
CMO understands company’s IT infrastructure
IT employees understand marketing programs
Marketing pulls in technologies without
consideration for IT standards
Marketing understands technology
Strongly Disagree (%) Strongly Agree
14 30 40 25
3 6 36 38 17
3 16 31 35 15
15 29 35 14
15 34 33 153
7

 Is CDO the next step for the aspiring
CIO-Plus?
 The CDO’s job is to turn the digital
cacophony into a symphony
 Roughly 20% of CIO’s in a Gartner survey
said they played the role of a CDO
 To build great digital capabilities you need
to link to your existing IT capabilities/people
 2011 – 75 CDOs. 2013 – 500 CDOs.
2014 – 1,000 CDOs.
Should Your CIO be the Chief Digital Officer?

 100 CDOs serve in large global organizations
in 2014, more than double that in 2012
 By 2015, 25% of large global organizations
will have appointed Chief Data Officers
 Over 25% of CDOs are women, almost twice
as high as for CIOs (13%)
 By 2014, more than 20% of government
organizations will have appointed a CDO
Chief Digital Officers

CIO, FCC
DAVID BRAY
Put culture first
Create a culture of "intrepreneurs"
Opt for agile adoption in phases

CIO, INTEL
KIM STEVENSON
No IT projects, only business projects
IT should help transform the business
Connect to new sources & influential people

CIO, SETON HILL
PHIL KOMARNY
Mobile-first is expected
Social media is a learning thing
You can’t be relevant without being social

CIO, DELL
ANDI KARABOUTIS
IT must proactively welcome ideas from outside of IT
CIOs must form an alliance with CMOs
Embrace disruptive technologies, like cloud

CIO, NETFLIX
MIKE KAIL
Focus on cloud wherever possible
IT's charter is to improve business efficiency
Partner with line-of-business

CIO, US GSA
CASEY COLEMAN
Go first and stay ahead
Focus on user experience
Technology for business sake

DAVID CHOU
Drive branding with social media
Unify missions of education, research, patient care
Keep organization ahead of the megatrends
CIO, University of Mississippi Medical Center

CIO, COLORADO
KRISTIN RUSSEL
Control is an illusion
Collaborate to co-create value
Innovation is closest to the frontline

CIO, HP
RAMON BAEZ
Never deploy something the business isn't ready for
Form close relationships with the business units
Extend innovation beyond IT

CIO, UNH
JOANNAYOUNG
Be open to innovation
Take a 460 degree view
Social accelerates contribution

MARC TOUITOU
Customer's business requirements are #1
Simplify. Accelerate.
Be the Chief Enthusiast Officer
CIO of San Francisco

CIOCaliforniaStateUniversityChannelIslands.
MICHAEL BERMAN
Marketing understands brand awareness
IT helps with analytics, mobile, social media
CIO can manage both IT and Marketing

CDO, HARVARD UNIVERSITY
PERRY HEWITT
Digital should be everyone's job
Think from the outside-in
Management needs to live digital

VP CONTENT, NE PATRIOTS
FRED KIRSCH
Know your customers
IT infrastructure is a business asset
Big Data rewards customer engagement

“The most powerful combination
is the CMO and CIO working
together with a shared goal to
grow the business.”

“CMOs must partner with the CIO
organization so that the IT strategy
and tactics for the marketing
function become shared and unified.”

 Understand the science behind marketing and sales
 Understand the markets your company servers
 Co-champion marketing and sales innovation
 Value design, emotion, and customer experience
 Connect with people outside of IT and company
WHAT CAN CIOs DO TO HELP CMOs

WHAT CAN CMOs DO TO HELP CIOs
 Trust IT expertise
 Promote IT innovation
 Increase your technology IQ
 Monitor emerging marketing tech trends
 Clearly communicate business objectives

Thank You
@ValaAfshar

Vala Afshar - The Power of Collaboration

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