Personalization through Contextual Marketing

1. CUSTOMER Bernard Chung, Head of Product Marketing, Marketing Cloud SAP Customer Experience September 6, 2018 Personalization through Contextual Marketing

3. 3CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ 12% Marketers are satisfied with their personalization efforts Source: 2018 Trends in Personalization Survey Report, evergage 55% Marketers don’t have sufficient data and insights for effective personalization

4. 4CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ Customer data is spread across various silo systems On average 11 interaction channels and 15 customer management systems Wasted marketing spend Don’t know performance Don’t have visibility to marketing plan Marketing out of sync Broken brand experiences Customer data is not shared Don’t have the right customer data Irrelevant marketing Source: SAP-sponsored study by CMO Council Social Call center Email & Web Point of sale Mobile Commerce

5. 5CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ Personalization is not managed across interaction channels Every interaction system is optimized within its channels but not across the entire journey Last offer response E-mail Social “likes” Social Current promotions Store Cross-sell offer Web store Up-sell offer Call center App profile preferences Mobile apps Marketing priorities Search Sales Easiest product to sell ?

8. 8CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ Utilize real-time contexts to deliver the best customer experiences Individual-based personalization requires contextual insights The customer What they have done What they may do What they are doing now Explicit Implicit In-the-moment individualization Presentation of relevant content across all touch points BUY

9. 9CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ Key Capabilities for Contextual Marketing Get a single view of each first- party customer profile, and gain insight into your customer’s motivations and intent Use machine learning to centrally manage and deliver individualized experiences across channels and departments Deliver personalization through contextual marketing Build trusted, dynamic customer profiles Centrally manage personalization Proactively optimize marketing process Measure both online and offline in one view, and understand the incremental impact to optimize the marketing strategy

10. Takeaways: Personalization Best Practices

11. 11CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ ASICS | Building a dynamic customer profile Benefits Full view of the consumer across all touch points Personalized customer engagement Increase in click rates § Drive brand love to increase sales in the long term § Build a strong platform for the ASICS digitalization initiative Objective § Phased approach to include new processes and new countries § Supported by consulting organization of SAP Digital Business Services The project “Enable our consumers to better understand and enjoy our products, resulting in increased loyalty and advocacy and a boost in cross-sell and up-sell.” Thomas Wasser, ASICS CRM Manager

12. 12CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ Palladium Hotel Group | Delivering customer conveniences Benefits Rich customer behavior information 22% increase in e-mail open rates 55% faster campaign delivery § Convert customers into loyal fans who will be advocates § Deliver the most memorable customer experience and service § Provide persona-based experiences and services § Increase brand awareness and recognition Objective Increase in customer engagements “We can now invest our marketing dollars into the right place and time for the right people with the right message.” Inaky Bau, Director of Marketing, Palladium Hotel Group

13. 13CUSTOMER© 2018 SAP SE or an SAP affiliate company. All rights reserved. ǀ San Jose Sharks | Proactive fan engagements Benefits Providing an omnichannel customer experience across e-mail, Web site, and Facebook Responding to customer interactions in real time Integrating with the sales process for high-touch engagements § Enable digital transformation of the end-to-end marketing process § Create 360-degree “golden” customer profile across all touch points § Provide high-speed segmentation § Connect with customers across multiple channels Objective Creating an efficient marketing process and increasing ROMI San Jose Sharks

14. Personalized marketing done right doesn’t look like marketing… BUY NOW …it just feels like a great experience.

15. Thank you. Contact information: Bernard Chung Head of Product Marketing, Marketing Cloud, SAP bernard.chung@sap.com 650.320.3517