Your company’s customer-centricity profile reveals the capabilities
you need to succeed in digital media, as well as whether you are a
leader, scholar, pioneer, or novice in this critical marketing field.
strategy+businessONLINE DECEMBER 10, 2012BY MATTHEW EGOL, CHRISTOPHER VOLLMER,AND KLAUS HOELBLINGThe Four Types ofDigital MarketerYour company’s customer-centricity profile reveals the capabilitiesyou need to succeed in digital media, as well as whether you are aleader, scholar, pioneer, or novice in this critical marketing field.
I The Four Types of Digital Marketer Your company’s customer-centricity profile reveals the capabilities you need to succeed in digital media, as well as whether you are a leader, scholar, pioneer, or novice in this critical marketing field. by Matthew Egol, Christopher Vollmer, and Klaus Hoelbling1www.strategy-business.com f you are the chief marketing officer (CMO) of a online content. This integration needs to cut across the consumer-oriented business — for example, a food consumer experience, creating a seamless digital mar- manufacturer or a retail bank with a credit card keting link between sales in physical stores and sales offering — your long-established efforts to reach cus- through e-commerce. tomers may have come into question over the past few Nike Inc., for example, has invested heavily in both years. Digital media have changed the advertising and the media it creates and the media it shares with its con- marketing ecosystem; social networks, broadband infra- sumers. On Nike.com, consumers can find a continual- structure, and new forms of online and offline data col- ly evolving set of software and services generated by the lection have transformed the relationships among apparel and footwear manufacturer (including training companies and their customers. But only a few CMOs programs for use with interactive game machines such have fully caught up with these trends. Most companies as Microsoft’s Kinect), as well as the new “FuelBand,” do not yet have the kinds of capabilities in digital mar- worn on the wrist to track and analyze daily move- keting that they need in order to fully engage with cus- ments. Consumers can also access a growing body of tomers today. links to Facebook pages and Instagram pictures put up The term customer centricity is coming into broad by others in the Nike community. Everything on the use as a way to describe the new marketing orientation website is designed in harmony, so that the brand rein- made possible by digital media (including, but not lim- forces the idea that the company has the back of the ited to, social networks). Under this new orientation, amateur athletes who make up its core audience, and the primary unit of market engagement is no longer the they in turn are regularly drawn back to the experience product, the launch, the trade promotion, or the adver- of not just wearing the products, but using them togeth- tising campaign, but the end-to-end consumer experi- er. In the process of developing its digital media strate- ence. Consumers are engaged with the company and gy, Nike has dramatically lowered its spend on paid each other before, during, and after their purchase. media. And by focusing its spending on its own media This requires a high level of integration, the ability and socially shared media, the company has broadened to bring together multiple sources of content, data and deepened the impact of its brand. sources, capabilities, and product lines, and to continu- How far along this road is your company — and ally refine segmentation approaches, platforms, and what capabilities does it need to compete successfully?
Matthew Egol Christopher Vollmer Klaus Hoelbling The Digital Customer Centricity Profiler is free, pri-is a a partner in Booz & is a partner with Booz & is a Booz & Company partner vate (results are aggregatedCompany’s communications, Company, based in New York. based in Vienna. He leads the without identifying the individu-media, and technology prac- He leads the firm’s global firm’s business in Austria als), brief (it takes only abouttice. Based in New York, he media and entertainment and works with global 15 minutes), and designed tofocuses on marketing strategy practice. He is the author of telecommunications, media, let you know your company’sand capability development and high-tech companies. standing as a leader, scholar,related to digitization, social pioneer, or novice. To completemedia, and shopper marketing. of Consumer Control (McGraw- the profiler, go to: booz.com/ Hill, 2008). global/home/what_we_think/ digitization/toolkit/digital- customer-centricity-profiler. 2 • Novices are still coming up to speed in the prac- email@example.com firstname.lastname@example.org email@example.com Always On: Advertising, Marketing, and Media in an Era • Leaders are a small but growing group of com-Answering that question is the purpose of a self-guided, and therefore they do not engage consumers as well asWeb-based survey called the Digital Customer they might. • Scholars are skilled at consumer insights andCentricity Profiler, recently launched by Booz &Company. The profiler focuses on relationships with tices of digital marketing, and (in many cases) discover-consumers and potential consumers, and on companies’ ing which facets benefit them and which may not. move forward. +facility (or lack of facility) in engaging them online During its first month online, the profiler resultsalong their full path to purchase. The profiler (available have affirmed our preliminary view that although thereat booz.com/global/home/what_we_think/digitization/ is no single path to leadership, those that are digital • Pioneers have established a robust presence intoolkit/digital-customer-centricity-profiler) takes only leaders are investing in similar capabilities. They areabout 10 to 15 minutes to complete. It asks about your focused on building stronger direct-to-consumer rela-company’s current practices in social media, data analyt- tionships, developing content solutions to better engageics, and e-commerce, and helps you gauge the potential consumers in their categories, leveraging social media asof other practices, of which you may not have been a valuable platform for insights, and building out aaware. Then, on the basis of your answers and those of stronger multichannel experience. Depending on youryour peers (the answers themselves remain private), it company’s situation, your own digital marketing capa-classifies your company into one of four categories: bilities might include a distinctive way of changing your portfolio of products to address social media responses;panies, including Nike, Burberry, 3M, Apple, L.L. a highly effective form of segmentation based on theBean, and Coca-Cola, that have mastered the two main way consumers behave in the real world (for example,capabilities involved in maintaining an online presence: tracking how much time elapses between visits to yourinsights and analysis on the one hand, and platforms retail store); or an ability to create a compelling e-com-and activation on the other. merce platform that draws people to your products. A digital marketing plan aligned with your compa-analytics; some of them, for example, have developed ny’s strategy can be a game changer for your business. Itsophisticated forms of market segmentation based on can allow you to build stronger relationships with con-deep insights about the way people make purchases. But sumers that are based on offering them better value inthey have not yet converted these insights and analyses real time: more appropriate deals, more authentic offers,into profitable action. and more simplicity and clarity. But not on its own. You will need the right capabilities and the appropriatedigital media, with viable forms of electronic commerce, investment of time and attention. Through experience,their own media platforms, or other kinds of Web-, and through the kind of self-assessment that the profil-mobile-phone, or app-based services. But these activa- er brings forward, your company can gain a bettertion platforms are not sufficiently customer centric; they understanding of where you are now — and how toare not grounded in insights about their customer base,