•	 Cognizant Reportscognizant reports | May 2013Time for Consumer Goods Companiesto Rethink Digital MarketingConsumer good...
cognizant reports 2U.S. Media Subscriber BaseFigure 1* EstimatesSource: eMarketer, Nielsen, Newspaper Association of Ameri...
cognizant reports 3Consumers Reinvent MarketingDigital is the single most disruptive force inconsumer marketing since the ...
cognizant reports 4platforms every day.3Americans now spend anaverage 2.7 hours a day socializing via their mobiledevices....
cognizant reports 5consumer’s browsing and engagement behaviorsand location/context, they can and must offerincreasingly p...
cognizant reports 6data to derive both market insights and per-formance metrics. CG marketers can leveragethese granular c...
cognizant reports 7customer data they gather, thus losing theopportunity to monetize insights that could bederived from su...
cognizant reports 8promising experiments can be scaled quickly,particularly on a cloud-based enterprise digitalmarketing p...
cognizant reports 9tries with deep analytics capabilities, recruitingfrom universities with strong analytics programsand, ...
cognizant reports 10The biggest challenge is engaging marketersand agencies in the change. This is similar to thelevel of ...
cognizant reports 1115	“Marketing in the Digital Age; Winning with Data & Analytics,” DataXu, 2012, http://www.dataxu.com/...
About CognizantCognizant (NASDAQ: CTSH) is a leading provider of information technology, consulting, and business processo...
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Time for consumer goods companies to rethink digital marketing


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Consumer goods companies must reinvent their digital marketing capabilities to actively engage consumers and move them along the path to purchase by consistently delivering highly personalized, authentic and valuable brand experiences across marketing channels.

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Time for consumer goods companies to rethink digital marketing

  1. 1. • Cognizant Reportscognizant reports | May 2013Time for Consumer Goods Companiesto Rethink Digital MarketingConsumer goods companies must reinvent their digital marketingcapabilities to actively engage consumers and move them along the pathto purchase by consistently delivering highly personalized, authenticand valuable brand experiences across marketing channels.
  2. 2. cognizant reports 2U.S. Media Subscriber BaseFigure 1* EstimatesSource: eMarketer, Nielsen, Newspaper Association of America, Digital TV Research, Audit Bureau ofCirculations and Media-CMI60801001201401601802002016*2015*2014*2013*2012*201120102009200820072006200520042003MillionsofUsersSocial Media Smartphone TV NewspaperSocial media and smartphones outgrow TV and newspapers.Executive SummarySocial media tools and other digital techniquesare transforming approaches to marketingacross industries. Nowhere is this phenomenonmore pronounced than in consumer goods (CG),where digital marketing is reinventing brandrelationships by enabling a rich dialog betweenmanufacturers and consumers. By insertingthemselves into the digital conversation, CG mar-keters can engage consumers along the entirepath to purchase with economical and person-alized campaigns derived from vast amounts ofcustomer behavior data collected across numer-ous touchpoints. However, this approach requiresmarketers to acquire new capabilities.Many leading companies are embracing a new,enterprise-level marketing capability model.This model allows them to craft a holistic andadaptive digital marketing strategy to deal withever-shifting consumer behavior, influencedby traditional online and fast-growing mobiletechnologies. It aims to rewire conventionalmarketing structures to create a digital market-ing factory built for speed, scale and efficiencyin place of today’s fragmented agency-centricapproach. The approach also integrates dispa-rate sets of customer data as the foundationfor new consumer behavior insights. The modelrelies on an integrated digital asset managementfoundation that provides marketers with tools toeffectively manage marketing collateral andcreate a unified consumer experience, regardlessof channel or device.Criticaltothismodel’ssuccessisthedeploymentoftalent well-versed in digital marketing tools such aspredictive analytics. Also important is a cross-functional team within the organization to delivera consistent yet differentiated and valuableconsumer experience across channels. A commoncharacteristic among companies with advancedenterprise-level digital/social capabilities is a highdegree of collaboration between the CMO and CIO.Marketers of consumer-facing companies shouldbegin investing in understanding and masteringthe new enterprise-level digital marketing capa-bilities to enable the next level of relevant andauthentic interactions with consumers, anytimeand anywhere. To do this, CG marketers must tapinto the potential of social media, mobile, analyt-ics and cloud technologies (the SMAC StackTM)to shape consumer perception of their brandsand improve their market reach and reputation.Marketers who accurately anticipate and quicklyserve consumer needs will improve their chancesof elevating their brands in the increasingly con-nected and cluttered digital world, building last-ing customer engagements that influence shop-ping and retail buying behavior.Success will be defined by how well compa-nies manage and deliver relevant and engagingconsumer experiences. CG companies, there-fore, need effective digi-social strategies thatclearly differentiate them from their competitors.As consumers become increasingly digital, CGcompanies have only two choices: adapt orbecome irrelevant.
  3. 3. cognizant reports 3Consumers Reinvent MarketingDigital is the single most disruptive force inconsumer marketing since the launch oftelevision over 50 years ago. It has redefinedhow consumers learn, shop, buy, collect andshare their experiences. And the journey has onlyjust begun. By 2016, users of social media andsmartphones are projected to outnumber TV andnewspaper subscribers (see Figure 1, previouspage). Marketers are rushing to be where theircustomers are by increasing spending on digitalmedia and mobile marketing (see Figure 2).Embracing a “Digital Life”Today, there are more active wireless devicesthan American citizens.1Research from Pew Inter-net reveals that roughly 56% of U.S. cell phoneowners use their devices to access the Internet.2More than 60% of individual consumers with anInternet connection in the U.S. visit social mediaU.S. Advertiser SpendingFigure 2* EstimatesSources: eMarketer and BiaKelseyHigh growth estimated for online and mobile.0$10$20$30$40$50$60$70$802008 2009 2010 2011 2012* 2013* 2014* 2015* 2016*Spending(inbillions)TV Online Newspaper Mobile Social MediaConsumers Moving Toward a Digital Life• 75.6% of the U.S. population is online.• Two-thirds of Web users will use social networks.• 70.8% of Web users will watch online videos.• 88.1% of Web users over age 14 will browse or research products online.• 83.9% of these researchers will make at least one purchase.Average time spent per day with major media by U.S. adults (in minutes)2009 2010 2011 2012TV 267 264 274 278Online 146 155 167 173Radio 98 96 94 92Mobile (nonvoice) 22 34 54 82Print* 55 50 44 38• Newspapers 33 30 26 22• Magazines 22 20 18 16Other 44 47 45 36Total 632 646 678 699Note: Time spent does not include multitasking; for example, 60 minutes of multitasking online and with TV countsas 60 minutes for both TV and online.*Offline reading onlySource: Chief Marketing Officer Council and eMarketerFigure 3
  4. 4. cognizant reports 4platforms every day.3Americans now spend anaverage 2.7 hours a day socializing via their mobiledevices.4This will only increase with the exponen-tial growth in smartphone adoption, as additionalconsumers spend even more time online social-izing, playing games and researching and buyingproducts (see Figure 3, previous page).Growing Digital Spend by MarketersAccording to a 2013 Gartner report, “On aver-age, companies spent 10.4% of their annual 2012revenue on overall marketing activities,” and, “Digi-tal marketing budgets total 2.5% of revenue andwill increase 9% this year.”5Marketers are shiftingmore of their spending to Internet and mobile chan-nels, where consumers are spending more timethan with print, TV and radio (see Figure 4).This growth is occurring across all interactive chan-nels. Interactive Advertising Bureau (IAB) reportsthat digital advertising revenues in the U.S., acrossindustries, hit an historic high of $36.6 billion in2012, with 15.4% year-over-year growth and dou-ble-digit growth for the third consecutive year (seeFigure 5).6With 62% of shoppers using at least onedigital deal on over half of their shopping trips, itis no surprise that investments in traditional tradepromotion are being redeployed to higher-valuedigital and shopper marketing7investments (seeFigure 6, next page).8Digital Reinvents Brand RelationshipsDigital marketing differs from traditional massmarketing on two critical dimensions (see sidebar,next page). First, it enables a dialog betweenconsumers and the brand. However, such aconversation will only continue if the contentis relevant, timely and authentic. Marketersmust provide consumers with opportunities toengage with the brand rather than perpetu-ally “selling” the brand to them. It’s no longerabout features and benefits; rather, consumersare searching for relevant experiences. Second,because marketers are able to understand theFigure 4Source: Kleiner Perkins Caufield & ByersNote: Print includes newspapers and magazines. Internet (excluding mobile) advertising reached $30 billionin the U.S. in 2011 according to IAB, and mobile advertising reached $1.6 billion. The $20 billion opportunityassumes an equal share of Internet and mobile ad spend.Percent of time spent in media vs. percent of advertising spending (U.S., 2011)YOY decrease in spending between 2010 and 2011%oftotalmediaconsumptiontimeandadvertisingspendingTime Spent Ad SpendYOY increase in spending between 2010 and 2011Internet Advertising:$30BMobile Advertising:$1.6B7%15%43%26%10%25%11%42%22%1%0%10%20%30%40%50%Print Radio TV Internet Mobile~$20B+U.S.opportunityNot In Sync: Marketers’ Ad Spending vs. Consumers’ Time Spent onInternet and MobileNo change in YOY spending between 2010 and 2011Soaring U.S. Digital AdvertisingRevenues• Double-digit growth for three consecutive years:14.5% year-over-year in 2010, 22% year-over-year in 2011 and 15.4% year-over-year in 2012.• CG contributed 7% of revenues in 2012, up from6% in 2011.• Mobile advertising revenues registered 111%year-over-year growth, with 2012 revenuesof $3.4 billion.• Digital video, a component of display-relatedadvertising, grew 29% year-over-year in 2012,with revenues of $2.33 billion.• Search revenues grew by 14.5% year-over-year,with 2012 revenues of $16.9 billion.• Display-related advertising revenues grew9% year-over-year in 2012, with revenues of$12 billion.Source: Interactive Advertising BureauFigure 5
  5. 5. cognizant reports 5consumer’s browsing and engagement behaviorsand location/context, they can and must offerincreasingly personalized, geo-location-relevantmessages and promotions.The intimacy available through digital reso-nates with consumers. Consider that for the CGindustry, mobile media outperforms online mediain its ability to drive brand favorability (up 85%)and purchase intent (up 170%), according toInsight-Express. Meanwhile, a Bain & Co. studyfound that consumers interacting with compa-nies over social media spent 20% to 40% morewith them compared with other customers.9Social media is also invaluable as a channel tofacilitate innovation (see Figure 7, next page).Combined with mobility, social media completesthe consumer feedback loop, allowing consumersto provide input on their experience and decision-making process in real-time.In a recent DataXu study, 82% of respondentssaid digital marketing provides superior insightson consumer behavior compared with othertypes of marketing. Also, more than 75% ofrespondents said consumer data generated bydigital marketing improves their commercialsuccess.10Digital also offers marketers the abilityQuick TakeSix Ways Marketers Can Benefit From Shifting To Digital1. Engage consumers by interacting with them along the entire path to purchase.2. Create consumer experiences that redefine brand relevance and value.3. Tailor campaigns cost-effectively to target niche markets and specific audiences with relevant messages.4. Aggressively test promotion concepts, tactics and values to determine which combination of factorsyields the best results.5. Leverage new technologies and advanced analytics to distill insights on consumer behavior,building a digital factory to quickly and efficiently reach consumers and new channels as they emerge(e.g., Pinterest), to reduce non working spend.6. Variabilize and save money on their marketing infrastructure.Expected Changes in CG Manufacturers’ Advertising and Promotion MixFigure 6Source: Grocery Manufacturers Association and Booz & Co.* Digital media is an average of mobile marketing, paid search, Internet brand advertising, social mediaand owned media.** Traditional media is an average of TV, print and other paid media.Note: The numbers do not add up to 100%, as nonrespondents are screened out, and those who responddo not necessarily indicate their options for all the choices included for a question.Response base: Includes the following:Shopper Survey n=~2,706.Industry Survey n = 34 (CPG manufacturers with +$200 billion in global sales, retailers and shoppermarketing agencies).Interviews = 28 (senior executives of CPG manufacturers, shopper marketing technology providersand agencies).Shopper marketing and digital media lead, while traditional media and trade promotions lag.Percent of respondentsTrade PromotionsTraditional Media**Consumer PromotionsDigital Media*Shopper Marketing93365510162840282418103713340% 20% 0% 20% 40% 60% 80% 100%Increase >5%Increase 0-5%Decrease 0-5%Decrease >5%Average annual increase or decreaseover the next three years:
  6. 6. cognizant reports 6data to derive both market insights and per-formance metrics. CG marketers can leveragethese granular consumer insights to enhancebrand awareness by engaging with customersat the right place and time. Forward-lookingcompanies use analytics to identify evolvingmarket niches and consumer needs and servethem with customized products. CG companiesshould also use analytics to identify inefficien-cies to improve operational performance. Getting to these insights is not easy. Thereare three essential capabilities required tosucceed. First, companies need to makesense of all the data sets required to supportinsights. This includes structured shipmentand POS data; semi-structured data such asshopper card data; and unstructured data suchas social media. They need to define how thisdata will be collected, sifted and stored. Second, companies need to determine whowill analyze the data and create new insights.While analysis is a common capability in CGcompanies, advanced analytics is not. A robustanalytics strategy is needed to avoid disjointedsilos, each with individual learning curves. Finally, companies need to define who willactivate the insights to generate value. Indus-tries such as life sciences and financial servicesare adopting new approaches to analytics,where third parties do the data and analyticsheavylifting, freeing the marketing and salesteams to act on the insights. Without robust analytical capabilities, market-ers will find it difficult to effectively use theHow Social Media Helps in the Entire Value ChainValue Chain Step Case / Example ImpactProduct development Procter & Gamble • R&D costs: -6% per yearMarketing Old Spice• Sales: +16%• Campaign costs: -80%Sales Ricardo.ch, Sellaround.net • Transactions: +18,000 per monthExternal communication McDonald’s • Stock price: +5%Human resourcesAllianz, Bertelsmann, Henkel,McKinsey & Co.• Reach: +20%• Cost: -27%• Quality: +36%Internal applications Mountain Equipment Co-op • Efficiency gains: >90%Source: McKinseyFigure 7to precisely track and influence consumer behav-ior along the entire path to purchase.Digital Marketing’s New RequirementsPersonalization has profoundly changed thedigital marketing landscape. In fact, in thepre-digital era, marketers could not go beyondtargeting broad customer segments, while inthe digital era, they target individuals. Individu-als can include specialized groups with uniqueinterests or an entire emerging middle class(with the opening of global markets), each withunique preferences and needs. With the adventof advanced digital tools and social media, CGmanufacturers can either build or reestablishbrand relevance consumer-by-consumer, in waysthat uniquely appeal to each individual. To fullyexploit this opportunity, CG marketers mustrebuild (or in many cases, build) their capabilities.• Social media: CG marketers must use socialmedia to build customer communities, feedthem with relevant content and encourageusers to review products and share theirrecommendations with friends and peers.A case in point: Maker’s Mark promised torestore the original formula for its bourbonafter a weeklong social media backlash fromloyal customers resisting a minor change.11• Mobile: U.S. consumers increasingly useshopping apps on their smartphones.12CGcompanies can learn from retailers that usemobile ads and coupons, as well as customizede-mail alerts, to influence customers’ shoppingbehavior by pushing relevant offers and dis-counts via location-aware services and apps.• Analytics: Analytics plays an important rolein making sense of consumer and marketing
  7. 7. cognizant reports 7customer data they gather, thus losing theopportunity to monetize insights that could bederived from such data.• Cloud: When combined with social media,mobility and analytics, cloud can help CGcompanies become more agile, increasemarket share, accelerate innovation anddeepen customer relationships at much lowercosts. Companies can quickly and inexpen-sively deploy IT infrastructure and computingresources for marketing, set up direct-to-consumer storefronts, and provide interfaceswith retailers and suppliers to streamlinedemand and supply chains. As mentionedabove, we see cloud-based models and analyt-ics services providers emerging in other indus-tries. It’s simply a matter of time before this isadopted by CG companies of all sizes.An Emerging Marketing CapabilityA first step is often to assess the internalcapability landscape. A beverage company foundover 275 Web sites with duplicate capabilitiesacross brands. This baseline analysis can helpshape the business case for change. Needless tosay, the full support of top leadership is crucial foraccomplishing such a change in culture.Rewire the ‘Digital Marketing Factory’According to the CMO Council survey, only 9%of respondents had a highly evolved digitalmarketing model. Mean-while, 36% of respon-dents reported embracingmarketing point solutionsthat are not unified orwell integrated.13The avail-ability and use of multiplemarketing channels addsto the confusion. A recentsurvey by Aprimo sug-gests that more than 37%of CMOs believe that inte-grating and tracking mul-tiple marketing channelsis their biggest challenge;28% find it challengingto do more with less; and18% rank measurementand accountability as a topchallenge.14According to a recent report by DataXu, a sig-nificant number of respondents see the lack of asingle cross-channel digital marketing platform asa significant obstacle to their marketing efforts.15With agency-driven approaches limiting a brand’svision, companies will be better served by an inte-grated marketing platform that allows brand own-ers to see how shoppers and consumers interactwith individual brands and across the portfolio.These insights will help marketers understandwhat motivates that particular consumer, settingthe stage for more relevant future messages.CG marketers also stand to benefit from anend-to-end view of consumer behavior, allow-ing better segmentation and personalizationthrough greater access to consumer insight andintelligence, thus improving spend efficiencyand ROI on advanced analytics initiatives. Thegood news is that marketers can start small withhighly structured, hypothesis-based experimentsyielding precise outcomes metrics. Ideas thatfall short create new learning at low cost, andModelLeading CG companies are challenging conven-tional wisdom by embracing a new digi-socialoperating model. Core elements of this emergingmarketing capability model include:• Reinvent digital: Create a holistic digitalmarketing vision.• Rewire: Craft a ”digital marketing factory”built for speed, scale and efficiency, as well asintegrating data.• Rebuild: Establish integrated digital assetmanagement processes for a unifiedconsumer experience.• Retool the team: Include analytics profession-als and tools to derive insights.• Rethink the organization: Restructureoperations to deliver consumer value vs.managing brands.Reinvent DigitalA holistic digital strategy is essential for CGcompanies to leverage the full strategic ben-efit of new channels for innovation, enablecross-brand promotions and merchandising,and measure corporate reputation health. CGcompanies, therefore, need to quickly formu-late and then deploy an integrated approach forcontending with continuously shifting consumerbehavior and the onslaught of digital tools andchannels. To succeed, companies must closelyalign their enterprise strategy with key businessobjectives.With agency-drivenapproaches limitinga brand’s vision,companies willbe better servedby an integratedmarketing platformthat allows brandowners to seehow shoppers andconsumers interactwith individualbrands and acrossthe portfolio.
  8. 8. cognizant reports 8promising experiments can be scaled quickly,particularly on a cloud-based enterprise digitalmarketing platform.Rebuild the Foundation with Integrated DigitalAsset ManagementAs CG companies and marketers deal with thecontinuing digitization of the consumer experi-ence, they will benefit from robust digital assetmanagement (DAM) (see sidebar). Without solidDAM capabilities in place, marketers will find itchallenging to prevent unnecessary duplication,ensure quality of content, improve interactionswith consumers and control production costs.DAM also helps marketers manage all assets cen-trally, thus addressing the collateral fragmentationthat is rife at many CG companies. DAM platformshave advanced to a level where it is possible topublish content on social channels directly.One CG company we worked with leveraged aDAM solution to support ”brand books” to ensureits creative, content and marketing functions allhave the same look and feel across traditionaland digital agencies, production companies, socialmedia outlets and other myriad partners. Simi-larly, a large sales organization that we advisedreplaced its three-inch binders of printed salesmaterials with a tablet-based, DAM-enabled solu-tion that allows marketing to tailor messages bycustomer and geography. The sales team appreci-ated having the latest content at their fingertips.The changing digital marketing landscape hashad a significant impact on agencies. A recentCMO Council survey reveals that a majority oftraditional advertising agencies have failed toevolve their capabilities to service the digitalmarketing needs of their clients. Marketers must,therefore, rethink their approach to media buyingto find partners suited for designing, building anddistributing customized content.Retool Team TalentVery few companies understand how to harnessthe power of digital marketing, largely due tothe significant shortage of talent16well-versedwith digital marketing (see Figure 8). Similarimplications exist for analytical capabilities.DataXu reports that more than half of the respon-dents (300-plus) it surveyed said their companiesstruggle to analyze the large amounts of datagenerated from their digital marketing initiatives.It further identifies the lack of analytic skills andappropriate software/technology as top factorsaffecting respondents’ abilities to develop andact on insights informed by marketing data inreal-time.17Companies that build the right talent and analyticscapabilities will find it easier to pull ahead of thecompetition. CG companies are looking to indus-The Top 10 Most Difficult MarketingPositions to Recruit1. Executive Creative Director2. Partner / CEO / Managing Director3. Chief Technology Officer4. Strategist / Planner5. Director of Technology6. User Experience Designer7. Mobile Developer8. Creative Director9. Account Director10. Chief Sales / Marketing OfficerSource: Society of Digital AgenciesFigure 8Quick TakeBenefits of Digital Asset Management• Agility: Helps CG companies achieve faster time-to-market schedules by sharing and usingmarketing material across appropriate markets.• Efficiency: Enables consistency in marketing-related activities; improves the speed of execution andefficiency.• Measurability: Makes it easier to track usage of assets across channels and provides data thatenables marketers to understand the effectiveness of the assets.• Cost savings: Marketing materials can be rapidly vetted and approved for campaigns and quickly andcost-effectively pushed into the market.
  9. 9. cognizant reports 9tries with deep analytics capabilities, recruitingfrom universities with strong analytics programsand, in some cases, partnering with a third partyto deliver analytics and insights as a service.Rethink the OrganizationCompanies must enable partnerships amongcross-functional teams to ensure consistent yetdifferentiable and valuable digital experiencesfor consumers across channels. However, manycompanies lack the necessary talent. Companiesneed to build talent well-versed in digital, eitherthrough training or acquisition.As technology becomesthe key enabler of asuccessful marketingstrategy, the case forsymbiotic collaborationbetween marketing andIT is emerging morestrongly. The IT functionshould be repositioned as astrategic partner to adviseon and deploy key mar-keting technology compo-nents (see Figure 9).This collaboration startswith improved CIO/CMO collaboration. CIOs needto expand their role from a focus on IT costs orprocess enablement to being a thought leader onAs consumers increasingly embrace a “digitallife,” they will continue to seek more convenient,interactive, personalized and value-addedexperiences from digital channels. It is impera-tive, therefore, for consumer-facing companiesto invest in new digital marketing capabilities,talent and tools to build nimble, fast andefficient marketing organizations to deliver suchbrand experiences to their customers.The goal of digital marketing is to create consis-tently relevant and authentic interactions withconsumers, regardless of time and place. Theemerging marketing capability model is designedto provide consumers with a seamless experi-ence across marketing channels, through retail-ers, in-store and online. In our experience, thefirst challenge is to understand current digital/social activity, investment and metrics across thebusiness. This can be difficult because spendingdata is often held by third-party agencies, anddetail is difficult to achieve. However, conductingthis baseline will provide a fact-based view intoTwo Budgets For Marketing TechnologyTotal enterprise spendMarketing budgets(split between marketingand IT department)Marketingbudget*PrintDirect mail, brandingand advertisingITbudget*TotalenterprisespendAcquisition driversDisplay, e-mail marketing,online ads, search, affiliationDigital channelsSocial media, mobile marketing,Web site designDigital platformsCRM, collaboration software,sales force automationE-commerce8% of IT budget allocatedto marketing applications*** Forrester estimates that IT and marketing budgets are approximately 5% of total enterprise spend.** Forrester estimateFigure 9Source: Forrester ResearchAs technologybecomes thekey enabler ofa successfulmarketingstrategy, the casefor symbioticcollaborationbetween marketingand IT is emergingmore strongly.using social, mobile, analytics, cloud and big datato drive top-line sales. As a first step, CIOs couldconduct an assessment of the CMO’s digital mar-keting landscape, identify areas for scale econo-mies to reduce nonworking costs and improvespeed to market.The Goal: Reinvent the Consumer’sBrand Experiences
  10. 10. cognizant reports 10The biggest challenge is engaging marketersand agencies in the change. This is similar to thelevel of change experienced when media buyingwas pulled from agencies and consolidated intobuying services. That move provided brand own-ers with reduced nonworking costs and improvedflexibility. The most difficult part of the digitalmarketing transformation is getting started.nonworking spend – something that will likely getthe CMO’s attention.The second challenge is to develop the rightdigital/social target capability architecture andstrategy. A wide range of options exists, frombuilding an on-presence platform, to engaging athird-party cloud services provider. Each approachpresents pros and cons. Creating a strategy isstraightforward; implementing it is not.Footnotes1 “Mid-Year 2012 CTIA Wireless Industry Indices Report Now Available,” CTIA, November 2012,http://blog.ctia.org/2012/11/15/mid-year-2012-ctia-wireless-industry-indices-report-available/.2 “Cell Phone Activities 2012,” Pew Internet, November 2012, http://pewinternet.org/Reports/2012/Cell-Activities/Additional-Demographic-Analysis.aspx?view=all.3 Chris Barry, Rob Markey, Eric Almquist and Chris Brahm, “Putting Social Media to Work,” Bain & Co.,September 2011, http://www.bain.com/publications/articles/putting-social-media-to-work.aspx.4 Elliott Lemenager, “Tapping into Social Gaming,” Microsoft Corp., September 2011, http://tag.microsoft.com/community/blog/t/tapping_into_social_gaming.aspx.5 The report is based on a survey of 253 marketers from U.S.-based companies. “Key Findings FromU.S. Digital Marketing Spending Survey, 2013,” Gartner, Inc., March 2013, http://www.gartner.com/technology/research/digital-marketing/digital-marketing-spend-report.jsp.6 “Internet Ad Revenues Again Hit Record-Breaking Double-Digit Annual Growth, Reaching Nearly$37 Billion, a 15% Increase Over 2011’s Landmark Numbers,” Internet Advertising Bureau, April 2013,http://www.iab.net/about_the_iab/recent_press_releases/press_release_archive/press_release/pr-041613.7 Shopper marketing provides actionable insights into how target consumers behave as shoppers indifferent formats and channels all along their path to purchase.8 “Shopper Marketing 4.0: Building Scalable Playbooks That Drive Results,” GMA and Booz & Co., 2010,http://www.gmaonline.org/downloads/research-and-reports/Shopper_Marketing_4.0.pdf.9 Chris Barry, Rob Markey, Eric Almquist and Chris Brahm, “Putting Social Media to Work,” Bain & Co.,September 2011, http://www.bain.com/publications/articles/putting-social-media-to-work.aspx.10 “Marketing in the Digital Age; Winning with Data & Analytics,” DataXu, 2012, http://www.dataxu.com/marketing-in-the-digital-age-the-analytics-advantage-2/.11 “Breaking Bourbon News: The Public Spoke, Makers Mark Listened - Returning To Original Formula,”Forbes, February 2013, http://www.forbes.com/sites/larryolmsted/2013/02/17/breaking-bourbon-news-the-public-spoke-makers-mark-listened-returning-to-original-formula/.12 “Which Smartphone Apps Do Savvy Shoppers Use Most?” Nielsen, August, 2012, http://blog.nielsen.com/nielsenwire/online_mobile/top-mobile-shopping-apps/.13 “Integrate to Accelerate Digital Marketing Value,” CMO Council, 2012, http://www.cmocouncil.org/images/uploads/245.pdf.14 “New Survey Reveals Biggest Challenges Facing CMOs Today,” Aprimo, May 2010, http://www.aprimo.com/WorkArea/DownloadAsset.aspx?id=603.
  11. 11. cognizant reports 1115 “Marketing in the Digital Age; Winning with Data & Analytics,” DataXu, 2012, http://www.dataxu.com/marketing-in-the-digital-age-the-analytics-advantage-2/.16 “Big Data: The Next Frontier for Innovation, Competition, and Productivity,” McKinsey Global Institute,May 2011, http://www.mckinsey.com/Insights/MGI/Research/Technology_and_Innovation/Big_data_The_next_frontier_for_innovation.17 “Marketing in the Digital Age; Winning with Data & Analytics,” DataXu, 2012, http://www.dataxu.com/marketing-in-the-digital-age-the-analytics-advantage-2/.References• Roxane Divol, David Edelman and Hugo Sarrazin, “Demystifying Social Media,” McKinsey & Co.,April, 2012, http://www.mckinseyquarterly.com/Demystifying_social_media_2958.• “Marketing Optimization in the Digital Age,” ThinkVine Corporation, February 2012, http://www.marketingpower.com/ResourceLibrary/Documents/Whitepapers/ThinkVine%20Whitepaper.pdf.• Katharine Sayre, Vaishali Rastogi, Paul Zwillenberg, Jody Visser and Alannah Sheerin, “MarketingCapabilities for the Digital Age,” BCG Perspectives, January 2012, https://www.bcgperspectives.com/content/articles/marketing_branding_communication_marketing_capabilities_for_digital_age/.• Peter ONeill, “The Emergence Of The Digital Marketing Service Provider,” Forrester Research, Inc.,January 2012, http://www.forrester.com/The+Emergence+Of+The+Digital+Marketing+Service+Provider/fulltext/-/E-RES61168.• Bertil Chappius, Ewan Duncan, Brendan Gaffey and Kevin Roche, “The Next Stage: Six Ways the DigitalConsumer is Changing,” McKinsey & Co., 2012, http://csi.mckinsey.com/Home/Knowledge_by_region/Americas/Six_digital_trends.aspx.• “The 2012 Digital Marketer: Benchmark and Trend Report,” Experian, 2012, http://go.experian.com/forms/experian-digital-marketer-2012.• Pat Conroy, Chris Weitz, Anupam Narula and Alan Langhals, “Rethinking the Role of IT for CPGCompanies,” Deloitte, 2012, http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Content/Articles/Consumer%20Business/Consumer%20Products/us_cp_rethinkingtheroleofIT_042512.pdf.• “How You Can Meet Your Top Marketing Priorities with Digital Asset Management,” Widen, 2012,http://www.widen.com/wp-content/uploads/2012/07/Marketing-Priorities-2012-WhitePaper.pdf.• “A Marketer’s Guide to Analytics,” SAS, 2012, http://www.sas.com/resources/whitepaper/wp_21118.pdf.• Marketing Analytics, IBM, 2012, http://www.ibm.com/smarterplanet/us/en/smarter_marketing/article/marketing_analytics.html.• “The SoDA Report 2012,” The Global Society for Digital Marketing Innovators, 2012, http://www.slideshare.net/sodaspeaks/the-soda-report-11690932.• Matthew Egol, Andrew Clyde, Kasturi Rangan and Richard Sanderson, “The New ConsumerFrugality: Adapting to the Enduring Shift in U.S. Consumer Spending and Behavior,” Booz & Co., 2010,http://www.booz.com/media/uploads/The_New_Consumer_Frugality.pdf.• “CMO Council State of Marketing 2010,” CMO Council, 2010, http://www.deloitte.com/assets/Dcom-UnitedStates/Local%20Assets/Documents/us_consulting_CMOCouncil_050510.pdf.
  12. 12. About CognizantCognizant (NASDAQ: CTSH) is a leading provider of information technology, consulting, and business processoutsourcing services, dedicated to helping the world’s leading companies build stronger businesses. Headquarteredin Teaneck, New Jersey (U.S.), Cognizant combines a passion for client satisfaction, technology innovation, deepindustry and business process expertise, and a global, collaborative workforce that embodies the future of work.With over 50 delivery centers worldwide and approximately 162,700 employees as of March 31, 2013, Cognizant is amember of the NASDAQ-100, the S&P 500, the Forbes Global 2000, and the Fortune 500 and is ranked among thetop performing and fastest growing companies in the world.Visit us online at www.cognizant.com for more information.World Headquarters500 Frank W. Burr Blvd.Teaneck, NJ 07666 USAPhone: +1 201 801 0233Fax: +1 201 801 0243Toll Free: +1 888 937 3277Email: inquiry@cognizant.comEuropean Headquarters1 Kingdom StreetPaddington CentralLondon W2 6BDPhone: +44 (0) 207 297 7600Fax: +44 (0) 207 121 0102Email: infouk@cognizant.comIndia Operations Headquarters#5/535, Old Mahabalipuram RoadOkkiyam Pettai, ThoraipakkamChennai, 600 096 IndiaPhone: +91 (0) 44 4209 6000Fax: +91 (0) 44 4209 6060Email: inquiryindia@cognizant.com­­© Copyright 2013, Cognizant. All rights reserved. No part of this document may be reproduced, stored in a retrieval system, transmitted in any form or by anymeans, electronic, mechanical, photocopying, recording, or otherwise, without the express written permission from Cognizant. The information contained herein issubject to change without notice. All other trademarks mentioned herein are the property of their respective owners.CreditsAuthor and AnalystAala Santhosh Reddy, Senior Research Associate, Cognizant Research CenterSubject Matter ExpertJohan Sauer, Assistant Vice-President, Cognizant Business Consulting, Consumer Goods PracticeDesignHarleen Bhatia, Design Team LeadSuresh Sambandhan, Designer