How innovative marketers deliver results (an IBM Webinar)

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How innovative marketers deliver results (an IBM Webinar)

  1. 1. How Innovative MarketersDeliver ResultsThrough Optimized Marketing ProcessesJuly 12, 2012Mayer Becker, Motorola MobilityGregg Aamoth, Macy’s © 2012 IBM Corporation
  2. 2. www.ibmconnectedcustomer.comGeneration C : The Connected Customer #IBMMarketing Genera&on  C  is  not  a  demographic.       It’s  everyone.     They’re  connected  to  your  brand  24/7,   and  they’re  empowered....       The Connected Customer The Connected Marketer   Connected  consumers  engage  across   channels  and  want  marke&ng  so   relevant  and  personal,  it  feels  like  a   service.     Use  5  cri&cal  steps  to  become  a   connected  marketer  –  Collect,   Analyze,  Decide,  Deliver  and  Manage   2 © 2012 IBM Corporation
  3. 3. Webinar agenda§ Introduction to today’s speakers§ Opening thoughts from latest IBM marketing surveys§ Overview of how Motorola Mobility drives efficiency with IBM EMM§ Overview of how Macy’s delivers performance effectiveness with IBM EMM§ Q+A © 2012 IBM Corporation
  4. 4. Today’s speakers Mayer Becker, Sr Director Global Marketing Systems Motorola Mobility • Measuring and delivering internal marketing efficiency Gregg Aamoth, Former VP Customer Marketing Systems Macy’s • Measuring and understanding performance effectiveness 4 © 2012 IBM Corporation
  5. 5. Webinar agenda§ Introduction to today’s speakers§ Opening thoughts from latest IBM marketing surveys§ Overview of how Motorola Mobility drives efficiency with IBM EMM§ Overview of how Macy’s delivers performance effectiveness with IBM EMM§ Q+A © 2012 IBM Corporation
  6. 6. CMOs believe ROI on marketing spend will be thenumber one method for determining success by 2015 • More than 1700 CMOs were interviewed around the world! Seven most important measures to gauge marketing success Percent of CMOs selecting success measurements Marketing ROI 63% Customer experience 58% Measuring  and   Conversion rate/new customers 48% driving   marke/ng  ROI  is   Overall sales 45% a  key  benefit  of   Marke/ng   Marketing-influenced sales 42% Performance   Op/miza/on   Revenue per customer 42% Social media metrics 38% Source: IBM’s 2011 Global CMO Study6 © 2012 IBM Corporation
  7. 7. A key part of measuring marketing effectiveness is throughattribution… but there’s still work to be done Challenges in Accessing, Managing and Analyzing Data across Channels 27% Ability to measure Of marketers don’t 58% 27% 15% perform attribution. effectiveness Multiple systems & 58% 26% 16% data sources A significant challenge Managing complex 51% 29% 20% Neutral business rules Not a challenge Number of offersdistributed through channels 45% 32% 23% And 34% Manually analyze Software scalability 44% 30% 26% attribution through spreadsheets. Base: Total Sample (n=362) © 2012 IBM Corporation 7
  8. 8. Good marketing is like a good dialogue The five critical capabilities of a “connected marketer.” Analyze Decide marketing data to find on the best actionable insights marketing action Collect Deliver data that augments engaging messages each customer profile and capture reactions Manage marketing processes and measure results 8 © 2012 IBM Corporation
  9. 9. Our webinar will focus on connected customers within the MarketingPerformance Optimization solution USER  GROUP   NEED   EMM  SOLUTION   Turn  online  prospects     Digital   Digital   marketers   into  repeat  customers  and  loyal   Marke&ng   advocates   Op&miza&on   Customer   Engage  each  customer  and  prospect   Marke&ng   rela/onship   in  a  one-­‐to-­‐one  dialogue  across   Interac&on   marketers   communica/on  channels   Op&miza&on   Align  prices,  promo/ons  and   Price,  Promo&on,     Merchandising     &  sales  planners   product  offerings  to  increase   and  Product  Mix   customer  loyalty  and  profit   Op&miza&on   Improve  marke/ng   Marke&ng   Marke/ng  leaders     opera/ons  and  planning     Performance   &  planners   to  maximize  marke/ng  ROI   Op&miza&on   © 2012 IBM Corporation
  10. 10. Introducing the value of IBM Marketing Performance OptimizationStrategic  Effec&veness       •  Delivers fact-based strategic marketing mix planning •  More precisely measures campaign effectiveness •  Determines channel and program ROI Marke&ng   + Performance     Opera&onal  Efficiency   •  Promotes Best Practices •  Drives Productivity •  Delivers Accountability Marke&ng   •  Promotes organizational Alignment Opera&ons   10 © 2012 IBM Corporation
  11. 11. Webinar agenda§ Introduction to today’s speakers§ Opening thoughts from latest IBM marketing surveys§ Overview of how Motorola Mobility drives efficiency with IBM EMM§ Overview of how Macy’s delivers performance effectiveness with IBM EMM§ Q+A © 2012 IBM Corporation
  12. 12. Delivering marketing efficiency byAutomating Procure-to-Paywith IBM Unica © 2012 IBM Corporation
  13. 13. Motorola Mobility – a global OEM and industry leader inmobile phone manufacturing and distributionMotorola Mobility§  Originally part of Motorola, Inc. –  Spun out as Motorola Mobility Inc. 2011 –  Acquired by Google in 2012§  Multi-billion dollar, multi-line OEM§  Two major lines of business: –  Mobile phones and accessories –  Cable products§  30-40 phone product launches per year§  Global marketing organization –  Central services in Libertyville –  6 Regional organizations –  25+ countries DROID RAZR Maxx by Motorola DROID is a trademark of Lucas Films Inc, and used under license. 3/12/13 © 2012 IBM Corporation © 2012 Motorola Mobility, Inc. – All Rights Reserved
  14. 14. 14The Situation: a busy, global organization had to get things donewith stringent processes and few tools§ A hectic work schedule – 30 to 40 product launches in a year§ A dual, multi-step procure-to-pay process§ 4000-5000 legal documents per year with processing time of 10-15 days§ Limited automation –  Law department had a stand-alone workflow tool, email for all else –  Ariba for procurement management, but assumed Statements of Work were already approved and signed§ Multiple stakeholders – marketing, finance, procurement & legal – had to review/approve documents§ Limited number of individuals to sign agreements 3/12/13 © 2012 Motorola Mobility, Inc. – All Rights Reserved © 2012 IBM Corporation
  15. 15. 15The Result: an unacceptable violation of internal controls and aninefficient work environment§ Standard Operating Procedure clearly laid out how procure-to-pay had to operate§ Internal audit revealed 80% of US-based vendor work began before a Statement of Work was agreed and signed; a SOX issue§ Posed risk to the company & vendors§ Caused hours of unnecessary work: – Where’s my SOW? – Is there an Officer available today who can sign my SOW? – Does anyone have a copy of last year’s SOW? 3/12/13 © 2012 Motorola Mobility, Inc. – All Rights Reserved © 2012 IBM Corporation
  16. 16. 16The Solution: automate the procure-to-pay process using UnicaMarketing Operations§  Unica Marketing Operations (UMO) was already available, having been installed as part of an upgrade to our consumer marketing capabilities (E-CRM/ campaign management)§  Engaged consultants to configure UMO templates to handle routing and approval of legal documents§  Laid out adoption roadmap, training and change management program§  Integrated UMO with Ariba for seamless information flow§  Added additional signatories§  Proposed new procedures for exception handling and gained agreement with finance, procurement, legal and internal audit 3/12/13 © 2012 Motorola Mobility, Inc. – All Rights Reserved © 2012 IBM Corporation
  17. 17. 17The Outcome: compliance with internal controls and more timelyinformation for the marketing team§  Achieved 83% compliance in third quarter after deployment (up from low 20’s) and have maintained +80% since§  On-boarded 10 Administrators, 75 requesters and 20 approvers in the US, Canada and Mexico§  Handled 2500+ legal documents and reduced processing time to 3 days§  Integrated with Ariba for a nightly feed of purchase request status information, which populates the UMO Project Template§  Created a system of record for all marketing legal documents§  Delayed deployment to additional countries due to resource constraints; deployment restarting Q3 2012 3/12/13 © 2012 Motorola Mobility, Inc. – All Rights Reserved © 2012 IBM Corporation
  18. 18. Webinar agenda§ Introduction to today’s speakers§ Opening thoughts from latest IBM marketing surveys§ Overview of how Motorola Mobility drives efficiency with IBM EMM§ Overview of how Macy’s delivers performance effectiveness with IBM EMM§ Q+A © 2012 IBM Corporation
  19. 19. Delivering performance effectiveness throughOmnichannel Marketingand Measurement 19 © 2012 IBM Corporation
  20. 20. The Company: national corporation with department store andluxury department store brands. Products   Content     Brands combined have ~1000 Over 2 billion digital and printed locations, with product segmented by marketing impressions each year - market and customer lifestyles. versioned and targeted to optimize a specific customer’s response and spend. Solu&on   •  IBM Unica used to drive nearly 5 years of multichannel purchase and promotion history for >40 million customers. •  Both brands use Coremetrics browser history matched to individuals and their in-store purchases. 20 © 2012 IBM Corporation
  21. 21. The Process: Omnichannel Marketing Lifecycle Marketing Strategy Offer and Content Creation Customer and Campaign Marketing Planning Print and Online Dashboards Production Reporting Model Targeting and and Customer Optimization Segmentation Analysis Campaign Execution 21 © 2012 IBM Corporation
  22. 22. An overview of the Marketing Data Ecosystem needed formeasurement§ Single, hierarchical view of the customer across brands and channels§ Consolidated, omnichannel view of: – Campaign definitions and contact history – Purchase and non-purchase history – Short and long-term customer segmentation – Customer & marketing KPIs and ROI analysis Quality Reliable Better Data Measures Decisions 22 © 2012 IBM Corporation
  23. 23. Tips on measuring effectiveness with Omnichannel Marketing§ One group responsible for reporting effectiveness of marketing across all media types and channels.§ Focus on standard terminology, definitions, and sources for measurement.§ All metrics are in Customer Centric terms and perspective, for example online purchases are tracked on the date the Customer clicked ‘buy’, not the date the product was shipped.§ Must educate executive stakeholders why reports that originate from different systems or are channel specific don’t “foot”. 23 © 2012 IBM Corporation
  24. 24. In Progress: statistically driven arbitration and attribution § Common campaign definitions $30 First Last $30 in ALL media and channel types. Ads   Ads   Time Window Time Window § Pre-defined “shelf-life” for every $10 $10 Average $10 exposure. Ads   § Response analysis based on Time Window the people and products promoted. Statistically Inferred $5.8 $15.3 $8.9 § Self-learning model determines appropriate attribution for each Ads   customer and media Time Window 24 © 2012 IBM Corporation
  25. 25. The Future: delivering Omnichannel Contact Strategy § Driven by Marketing ROI, Customer Profitability, and Customer Loyalty. § Includes opportunity for customer to control the frequency and type of contacts § Incorporates voice of the customer feedback and Marketing’s effect on Net Promoter Scores Goal: Aggressive migration of marketing spend toward targeted and measureable media – including enhanced targeting through traditional media. 25 © 2012 IBM Corporation
  26. 26. Webinar agenda§ Introduction to today’s speakers§ Opening thoughts from latest IBM marketing surveys§ Overview of how Motorola Mobility drives efficiency with IBM EMM§ Overview of how Macy’s delivers performance effectiveness with IBM EMM§ Q+A © 2012 IBM Corporation
  27. 27. Ques/ons?  Join the conversation. How do you connect with customers?#IBMMarketing to join the live Twitter conversation and see it here:http://www.ibmconnectedcustomer.comMayer Becker, Motorola Mobility Gregg Aamoth, formerly Macy’smayer.becker@motorola.com www.linkedin.com/pub/gregg-aamothwww.linkedin.com/in/mayerbecker 27 © 2012 IBM Corporation

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