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1. A Forrester Consulting Thought Leadership Paper Commissioned By ExactTarget
The New Campaign Management Mandate
How Interactive Marketers Should Rethink Traditional Approaches To Campaign Management
June 2011
3. Forrester Consulting
The New Campaign Management Mandate
Executive Summary
Consumers have access to a dizzying array of channels and tools as well as a social megaphone to reach brands.
This shift firmly places the consumer in the driver’s seat. Although this makes
customer interaction easier, it makes for a complicated life for interactive Interactive marketers face
numerous challenges with
marketers, who are already grappling with a host of challenges with managing customer data integration
digital campaigns and delivering a seamless experience across multiple touch and insight generation,
despite aggressively
points. testing emerging
channels.
In March 2011, ExactTarget commissioned Forrester Consulting to
understand how interactive marketers use customer data to drive communications, develop promotions, and
deliver consistent customer experiences. Forrester also analyzed how interactive marketers’ current
capabilities affect their emphasis on customers and examined how marketing technology is expected to alleviate
the challenges they experience.
Through in‐depth surveys with 158 US‐based senior interactive marketing professionals, Forrester found that
interactive marketers continue to struggle with customer data management issues, a challenge that is amplified
by new data streams from emerging channels. Although established channels such as email, website, display,
and search are actively measured by interactive marketers, leveraging collective customer insight across
channels remains a distant reality for many.
Key Findings
Forrester’s study yielded the following key findings:
The need for speed resonates loudly with interactive marketers. Real‐time customer insights and
engagement across all channels are the name of the game. Given the velocity and frequency of customer
interactions, interactive marketers are denied the luxury of time‐delayed analysis and response. Marketing
technology, listening across all channels — digital and social — and advanced data management
capabilities are foundational capabilities to address this need.
Integrated campaign management is a strategic imperative. Firms can ill afford to deliver an integrated
customer view because of the disconnected, suboptimal customer experiences it causes. Interactive
marketers look to technology to minimize their data‐related challenges. But the integration challenge goes
beyond technology and extends into the need for greater collaboration across interactive marketing teams.
“Marketing lacks direction and integration across the departmental, enterprise, and supplier ecosystem.
As a result, we recreate work, are slow to respond, and make our job harder than it needs to be.” Director
of marketing communications, large consumer brand
ROI continues to haunt interactive marketers. Historically, interactive marketers struggled to quantify
returns from interactive channels. This challenge persists today, especially in proving return from the
newer channels. More channels translate into more challenges for interactive marketers, who already
struggle with organizational and budgetary barriers that hinder progress toward a more customer‐centric
and dialogue‐focused approach to campaign management.
Page 2
4. Forrester Consulting
The New Campaign Management Mandate
“We do a great job measuring operational stuff. But Web analytics isn’t the answer. We need to deliver a
clear picture of our program contribution to revenue and margin. Attribution is a major gap in our
arsenal.” Senior director, interactive analytics, direct‐to‐consumer unit, large pharmaceutical
Unidirectional, channel‐focused messaging is passé. Despite frequent claims of customer‐centricity by
interactive marketers, their campaign management and measurement approaches say otherwise.
Marketers continue to execute and measure campaigns in isolation from each other without a full view into
customer activities across multiple channels. As a result, marketers still rely on using interactive channels
to push messages versus to encourage customer dialogue. Through our study, we identified four personas
of interactive marketers based on their emphasis on the customer and their interactive marketing
capabilities.
“The current haphazard method of tracking customer satisfaction is based specifically on the customer's
individual channel engagement. In most cases, the interaction is via a third‐party intermediary after
contact with one of our marketing channels. Hence, we have no understanding of how our marketing
successfully or unsuccessfully attracted the customer.” Director of business analytics
Cracking the fragmented data puzzle is half the battle. In the absence of a centralized view into customer
data, interactive marketers struggle to execute effective cross‐channel programs, fueled by real‐time,
actionable customer insight. Measurement and analytics capability is influenced by poor data collection,
lack of data integration, and disparate data sources.
“Analytics are a key driver to decision‐making, but we need automation to save manpower cost.”
Campaign management leader, large financial services firm
The Current State Of Interactive Marketing Management
Interactive marketing has evolved significantly over the past several years, and the pace of change continues to
accelerate as emerging challenges such as social and mobile gain traction. Simultaneously, campaign
management solutions evolved to provide improved ability to capture, store, and analyze digital data.
Forrester defines the term interactive marketing as:
The use of addressable channels like email, search, display advertising, social media, mobile, or online
video to sense and respond to customer need.
Originally, interactive marketing was a practice limited to paid media channels such as display advertising and
search engine marketing campaigns, but the discipline evolved over time to encompass all things digital —
including owned and earned media channels such as blogs, microsites, websites, and social media touchpoints.1
As a result of interactive marketing’s modern broad scope, organizations currently face multiple challenges.
Lack of accountability is a barrier to future investment. Quantifying the results of interactive marketing
programs is still a challenge for marketers and not limited just to proving the value of emerging channels.
Twenty percent of respondents in our study rank this as the biggest challenge they face in their
Page 3
5. Forrester Consulting
The New Campaign Management Mandate
organizations. As a result, return on investment ROI and budgetary concerns throttle the decision to
invest in new technologies and channels see Figure 1 .
Cross‐channel customer insight is absent. Interactive marketers are adept at planning and executing
campaigns across each individual interactive channel but continue to grapple with creating a unified view
of customer interactions across channels to extract insight. This is among the top three challenges that
interactive marketers face. As a result, marketers are unable to deliver optimized, relevant, and customized
digital experiences for customers.
“We work on different projects in silos. SEO works on SEO, PPC on PPC, banner on banner, print on print.
We rarely exchange knowledge. IT slows things down because it has different company priorities like
phone systems, corporate e‐mail, CRM management.” Interactive marketing manager, education
vertical
Emerging channels are underutilized for customer dialogue. While interactive marketers experiment fairly
aggressively in emerging channels, the potential of channels such as social and mobile to foster customer
dialogue is unrealized. Social, mobile, video, and other emerging media are viewed as channels for
communication and brand presence versus a medium of dialogue, co‐creation, and testing of new product
ideas. These capabilities rank lower in the overall interactive marketing capabilities, compared with using
interactive channels for pushing communications and managing campaigns see Figure 2 .
Page 4
6. Forrester Consulting
The New Campaign Management Mandate
Figure 1
Accountability, Cross-Channel Customer Insight, And Staffing Are Key Challenges
“What would you say are the greatest internal challenges facing your interactive marketing
organization today?”
1 2 3
Proving results to the executive team to garner support and budget 20% 11% 9%
Staffing marketing programs sufficiently 19% 15% 6%
Understanding customer interactions across channels (online,
mobile, social, offline)
14% 17% 17%
Managing campaigns across multiple marketing technologies
(email, ad serving, mobile marketing, social, etc.)
11% 14% 16%
Responding to customers in real time 10% 8% 11%
Controlling marketing project budgets that are dependent on IT
collaboration
8% 11% 9%
Maintaining customer data quality across campaigns 8% 11% 10%
Coordination with internal groups or external agencies 6% 8% 13%
1%
Automating repetitive marketing processes 5% 8%
Other 4%1% 1%
Base: 157 US business-to-consumer marketers
(three responses allowed on a scale of 1 [first-greatest challenge] to 3 [third-greatest challenge])
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
Note: Does not include those who answered “None; our marketing department is not facing any internal challenges”
Page 5
7. Forrester Consulting
The New Campaign Management Mandate
Figure 2
Current Interactive Marketing Capabilites Focus On Push Messaging
“Regarding your company's overall capabilities in interactive marketing, please indicate your level of
agreement with each of the following statements today.”
5 (completely agree) 4 3 2 1 (completely disagree) Don’t know
1%
We have a social media presence that allows us to participate in online
conversations about our company/products 34% 28% 16% 16% 5%
2%
We primarily push channel-specif ic messages out to our end customers 15% 47% 23% 10% 3%
1%
We build and maintain a history of our customers’ interactions with our brand
across multiple channels 28% 27% 17% 20% 8%
1%
We can track and recognize our customers across channels 22% 30% 23% 16% 7%
1%
We have the technology and analytics structure to deliver consistent
customer experiences across online, of f line, and social channels 17% 28% 34% 15% 5%
We consistently engage in two-way dialogues with our customers; we use 1%
interactive marketing technologies to listen to our customers and respond to 22% 23% 31% 21% 3%
their concerns
We have online communities or f an sites f or testing product and marketing
ideas 16% 22% 25% 20% 17% 1%
We co-create products and marketing messages with our end customers 11% 24% 20% 28% 15% 1%
0% 25% 50% 75% 100%
Base: 158 US business-to-consumer marketers
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
Customer Emphasis Is Foundational For Next-Generation Experiences
Today’s interactive marketing challenges and opportunities drive the evolution of interactive marketers, and a
new breed is emerging to take advantage of these opportunities. The following criteria define the characteristics
of these interactive marketers:
Focus on a dialogue rather than broadcasting messages. Interactive marketers who focus on pushing
messages to customers through various channels emphasize tracking and monitoring rather than truly
building customer knowledge. On the other hand, interactive marketers focused on customer dialogue
engage in conversations with customers and listen and respond in real time to their concerns. They have a
social media presence that allows for this participation and use online communities to share product and
marketing ideas.
Emphasize the customer rather than the channel. Customer‐centric interactive marketers typically
collaborate on interactive projects spanning email, search, social, etc. Customer focus is an executive
mandate that transforms how interactive marketing teams function across marketing, sales, or customer
Page 6
8. Forrester Consulting
The New Campaign Management Mandate
service. On the other hand, channel‐focused interactive marketers persist on achieving channel efficiency
and effectiveness and allocate budgets based on channel performance.
Based on the criteria listed above, interactive marketers we surveyed can be categorized into four segments see
Figure 3 :
Marketing enforcer. This type of interactive marketer focuses on campaign process efficiency and
effectiveness. The directive for this marketer is to ensure that campaigns are well executed and pushed
through multiple channels. Forty‐five percent of the respondents in our study fall into this segment.
Program innovator. This marketer reaps the benefits of channel‐focused messaging but is now focused on
ensuring that campaign performance is measured in terms of customer‐oriented behaviors such as
revenue. One‐fourth of the respondents in our study exhibit these collective behaviors.
Channel enabler. An enabler uses channels to foster dialogue but views emerging media such as social,
mobile, and video as channels instead of opportunities to influence customer experience. A little more
than one‐third of the respondents indicate these characteristics in our study.
“We're currently building a marketing department from the ground up in an organization that has never
marketed on a strategic level before. We need all the help we can get.” Chief marketing officer
Customer pioneer. A pioneer is the rare interactive marketer who obsesses about the customer and uses
interactive channels as a means to foster an improved relationship with the customer. One‐third of the
respondents in our study are pioneers.
“Customers are our reason for being. This comes from the top and isn’t optional.” VP of interactive
marketing, gaming
There is a constant transition of interactive marketers between the various interactive marketing segments. To
help map out this journey, new tools, technologies, and processes in campaign management need to evolve.
“Everyone wants fully integrated programs that manage everyday activities easier. It is also much more
convenient when you can access information yourself instead of going through a busy IT professional.”
Associate marketing manager
“Without a more comprehensive and integrated application suite, we know little about what is working
and how to best adjust our approach.” Senior acquisition manager
Page 7
9. Forrester Consulting
The New Campaign Management Mandate
Figure 3
Four Interactive Marketing Personas Determine Customer-Centricity And Interactive Marketing Capability
Dialogue
INTERACTIVE MARKETING CAPABILITY
ENABLER PIONEER
ENFORCER INNOVATOR
Push
Channel-focused Customer-focused
EMPHASIS ON CUSTOMERS
ENFORCER INNOVATOR ENABLER PIONEER
• Responding to
• Data quality • Delivering
customers in • Lack of
issues seamless customer
real time accountability
Challenges • Effective experiences
• Encouraging • Proving return from
campaign • Driving brand
customer emerging channels
execution affinity
dialogue
• High level of • Consistency in • Espouses
• Experiments with
channel messaging customer-centricity
emerging channels
Competencies efficiency • Customer- • Uses channels as
• Aggressive with
• Timely delivery focused relationship-
new technologies
of messages campaigns building tools
• ROI • Sales/revenue • Customer retention
• Campaign lift
• Share of wallet • Social mentions • Lifetime value
Metrics • Conversion rate
• Channel • Conversation • Customer
• Cost per lead
synergies sentiment satisfaction
• Delivery of
• On-time launch • Real-time • Early adopter of impactful customer
and delivery of generation and emerging experience
Desired focus
quality enabling technology enabled by
campaigns enforcers solutions integrated
approach
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
Page 8
10. Forrester Consulting
The New Campaign Management Mandate
The New Campaign Management Mandate
Interactive marketers look to marketing technology to solve key challenges such as the ability to prove results of
campaigns, enable real‐time customer responses, improve data quality, improve cross‐channel customer insight,
and right‐time delivery of marketing messages see Figure 4 . Budgetary concerns affect the marketing
technology adoption decision, but the lack of collaboration in testing new channels is even more challenging.
Thirty‐four percent of the respondents in the study indicated that collaborating to test emerging channels is
extremely or somewhat difficult. All of these challenges set the stage for new campaign management directives
in technology, people, and processes.
So what defines the new campaign management mandate?
Ensure greater accountability. In addition to established channels such as email, website, and display
advertising that are measured consistently today, interactive marketers expect the measurability of other
emerging channels to significantly improve in the next five years. Increased measurability drives an
increased need for accountability and performance‐based campaign management — a need that an
integrated application suite can fill.
“I think marketing needs a more comprehensive app suite so that our customer contact strategy is efficient.
We shouldn't contact the customer too much with the same or different message. It's overload. By having a
comprehensive look at what we market and say and who responds in which channels, we can improve our
contact strategy, conversion rates, budget allocation, and ROI.” Senior product manager, online travel
Enable real‐time management. Real‐time multichannel messaging, data analysis and retrieval, and
monitoring are all requirements in the new campaign management paradigm. The technology and
deployment choice plays a vital role to support a real‐time methodology in campaign management.
“Through technology, marketers will earn consumer trust by being relevant, timely, and respectful.
Marketing must be faster to market as emerging technologies are leveling out the playing field among big
and small companies alike. IT resources are increasingly at a premium, especially as we deploy more and
more new technologies, such as SaaS, which requires more research around IT security/training and
increases reliance on the vendor.” Director of email marketing, higher education
Enhance relevance and personalization. The new campaign management mandate paves the way for
greater content and message relevance for customers that takes precedence over optimizing channel
performance or time of delivery. Capturing data is not as much of an issue as customizing advertising
messages or delivering unique experiences to customers on the website or in a display ad. Interactive
marketers strive toward this goal with the help of marketing technology solutions such as web analytics
platforms, customer data hubs, and campaign management suites.
“Our marketing is spread out across smaller offices across the country. In order to effectively communicate
a seamless message, we need to have the same practices being implemented across all markets.” Campus
manager
Page 9
11. Forrester Consulting
The New Campaign Management Mandate
Improve data and process integration. Managing and understanding data in real time from new channels
for collective customer insight is crucial to realize the true benefits of cross‐channel campaign
management. This integration manifests itself as data‐sharing practices, commonality in metrics and
measurement, common processes, and key technologies. Survey respondents rank web analytics, social
management tools, and customer data hubs as key technology enablers to overcome marketing challenges
see Figure 5 .
“Yes, marketing would definitely benefit from a more comprehensive and integrated application suite, but
we have disparate needs and approaches that one suite could likely not address equally well. Then again,
we've stopped looking at full suites because the ones we've explored in the past have always had a few
modules that didn't live up to our needs. It would make sense to explore the applications and suites
currently available, but we just don't have the staffing or time resources to explore willy‐nilly.” Brand
manager
Foster collaboration. Although coordination with internal teams and agencies is not as much of a concern
as proving accountability, interactive marketers seek marketing technology solutions that enable
workflow management so that they can focus on more pressing objectives. Thirty‐two percent of
respondents in our study indicate that marketing planning, collaboration, and workflow tools will help
overcome their current marketing challenges.
“Marketing in my company is still functioning very manually across all channels. Hence we need
technology for improved workflow. Out IT department is notorious for overpromising and
underdelivering. Currently it is held to no work standards by upper management.” Director, sales
support
Page 10
12. Forrester Consulting
The New Campaign Management Mandate
Figure 4
Technology Helps Overcome Accountabilty, Data Quality, And Customer Reponse-Time Issues
25%
Proving results to the
executive team to
garner support and
budget
CHALLENGES THAT TECHNOLOGY WILL HELP
20%
Maintaining customer
data quality across
campaigns
Responding to 15%
customers in real time
OVERCOME
0% 5% 10% 15% 20% 25%
Automating repetitive Understanding
marketing processes 10% customer interactions
across channels
Controlling marketing
project budgets that are Managing campaigns
across multiple
dependent on IT Staffing marketing
collaboration marketing technologies
programs sufficiently
5%
Coordination with
internal groups or
external agencies
0%
CHALLENGES FACED BY INTERACTIVE MARKETING ORGANIZATIONS*
Base: 154 US business-to-consumer marketers
*Base: 157 US business-to-consumer marketers
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
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Figure 5
Web Analytics, Social Campaign Management, And Customer Data Hubs Are Key Marketing Technologies
“Regardless of current use, which of the following marketing technologies do you think can most
help you overcome your current marketing challenges?”
1 2 3
Web analytics 27% 11% 16%
Social campaign management tools 13% 7% 12%
Customer data hubs 12% 11% 11%
Campaign management 11% 10% 10%
Social engagement tools 8% 16% 8%
Mobile marketing technology 7% 14% 8%
Social listening tools 7% 10% 7%
Email delivery 5% 10% 7%
2%
Search bid management technologies 5% 3%
Lead management/nurturing 3% 8% 5%
1%
Display targeting solutions 2% 6%
1%
Demand-side platforms 3%
Base: 132 US business-to-consumer marketers
(three responses allowed on a scale of 1 [first-most helpful] to 3 [third-most helpful])
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
Note: Does not include those who answered “none of the above” or “don’t know”
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KEY RECOMMENDATIONS
The onus is on interactive marketers to determine the appropriate mix of smart technology choices, robust skill sets, and
intertwined processes that will improve overall campaign management capabilities. Organizations that want to embrace
the new campaign management mandate must prepare themselves in the following ways:
Develop multiskilled interactive marketers. The new breed of interactive marketers must be conversant in
their understanding of multiple channels to truly embrace real-time cross-channel marketing. They have to be
willing to break down silos and collaborate with each other if they are committed to the customer-centricity
vision.
Profile the interactive marketing persona. Regardless of whether the interactive marketer is an enforcer, an
innovator, an enabler, or a pioneer, map out the path toward building a customer-centric, channel-agnostic
practice. As innovators and pioneers focused on customer-centric interactive marketing, devise clear campaign
road maps and supporting marketing technology infrastructure to directly affect customer behavior and
customer experience.
Accentuate the marketing and IT relationship. Marketing technology buying decisions are no longer the
domain of only the IT organizations. But the reality in many organizations where IT manages vendor
evaluation, selection, and implementation is that marketing teams seek solutions that not only empower them
but also help in getting buy-in from the IT organization.
Plan for change management processes. The complexity in building a real-time and integrated interactive
marketing engine requires significant change management. The nuts and bolts of choosing an appropriate
integrated suite and driving the changes associated with implementation and adoption is something that
interactive marketers need to plan for versus making a technology choice.
Focus on process automation. With the pace at which consumers interact and expect marketers to respond
to them, manual time-intensive processes don’t cut it anymore. The only way to scale marketing processes
efficiently is to invest in marketing automation tools and technologies.
Build a culture with customer knowledge at the core. The vision of integrated campaign management is
realized only through the consistent use of analytics and measurement practices that support interactive
marketing at each step. Tackling different types of data and aggregating for collective insight is an essential
characteristic of any campaign management system and pioneering interactive marketer.
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Appendix A: Methodology
For this study, Forrester conducted an online survey of 158 mid‐ to senior‐level interactive marketers in the US
to evaluate how interactive marketers use customer data to drive communications and offers and deliver
consistent customer experiences. Survey participants included decision‐makers in brand marketing, interactive
marketing, campaign management, customer relationship marketing, and social/emerging campaign
management. Questions provided to the participants asked about their challenges and current capabilities, the
impact of marketing technology, and their overall opinions about metrics and measurement. The study began in
March 2011 and was completed in May 2011.
Appendix B: Supplemental Material
Related Forrester Research
“How The Online Marketing Suite Affects The Marketing Technology Playbook,” Forrester Research, Inc., March
23, 2011
“The Road To The Online Marketing Suite,” Forrester Research, Inc., March 4, 2011
“Revisiting The Online Marketing Suite,” Forrester Research, Inc., February 7, 2011
“Marketing Technology Adoption,” Forrester Research, Inc., February 28, 2011
“Trends in Cross‐Channel Campaign Management,” Forrester Research, Inc., April 14, 2010
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Appendix C: Demographics
Figure 6
Respondent Demographics
“In which country are you based?" “Which industry vertical are you from?"
Financial services 22%
Consumer packages goods 20%
Retail 13%
Travel and hospitality 11%
Media and publishing 6%
Services 6%
Technology and
6%
manufacturing
Other 16%
US, 100%
Base: 158 US business-to-consumer marketers
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
Note: Other industries include telecommunications, education, entertainment, nonprofit, and real estate.
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Figure 7
Respondent Demographics
“To whom does your company sell primarily?" “Which of the following most closely
describes the department you work in?"
Consumers
and
businesses
roughly
equal, 22%
Exclusively
consumers,
29%
Mostly
consumers,
but some
business,
49%
Marketing,
100%
Base: 158 US business-to-consumer marketers
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
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Figure 8
Respondent Demographics
“Which of the following best describes your “In which of the following areas of marketing are you most
position at your company?" closely involved during the decision-making process?"
Brand marketing (e.g., customer
segmentation strategy, brand
activation, brand portfolio 41%
management, brand architecture)
Interactive marketing (e.g., digital
Vice media planning/display, SEM/SEO, 22%
president/ email, web analytics)
director (in
Manager
charge of
(manage a Campaign management (e.g.,
one/sever
team of inbound and outbound channel
al large 18%
functional planning, contact optimization, offer
departmen
practitione management)
ts), 45%
rs), 55%
Customer relationship
management/data (e.g., data
mining, data analysis, digital media 11%
measurement)
Social/emerging media campaigns
(e.g., community management,
social engagement planning and 8%
execution, mobile strategy)
Base: 158 US business-to-consumer marketers
Source: A commissioned study conducted by Forrester Consulting on behalf of ExactTarget, May 2011
Appendix D: Endnotes
1 Many interactive marketers are discovering that they need to reorganize their teams because the old
marketing model built around traditional channels is insufficient for the digital world. Today, interactive
marketers handle not only marketing tasks but also, in many cases, PR, media planning, eCommerce, CRM, and
analytics. Source: “No Media Should Stand Alone,” Forrester Research, Inc., December 16, 2009.
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