The document discusses the paradox of empowered consumers who enjoy vast choices and information but threaten brand loyalty and margins, emphasizing the necessity for brands to harness big data for customer insights. Key imperatives include activating insights, protecting data rights, and building trust with consumers through transparency. It highlights the transformative shift to an 'unbound world' where companies must adapt to continuously evolving customer interactions and leverage advanced data management platforms like Argus to enhance targeting and marketing effectiveness.

1. The Paradox of the
Empowered Consumer…
Imperatives & Opportunities
Tim Suther
Chief Marketing & Strategy Officer,
Acxiom
Charlie Swift
Vice President of Marketing Analysis & Operations,
Hearst Magazines

2. The Paradox of the
Empowered Consumer
Empowered consumers have unlimited choice & information
• New opportunities for engagement
• But, disruptive to loyalty & margins
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3. The Paradox of Big Data
The world’s most valuable firms use “big data” to drive value
• But, most value has come at the expense of brands
• Brands need to develop & control customer insight
…or be prepared to be the highest bidder for it
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4. Imperative:
Your Multidimensional Insight
• No one signal consistently describes or predicts consumer behavior
• Activate & evaluate these signals at scale, with speed
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5. Imperative:
Inside Out
• Invest proportional to customer value
• Then, find those who think, look, or act like your best customers
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6. Imperative:
Outside In
• Digital data is reaching a fraction of its potential
• CRM & traditional media need digital insights
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7. Imperative:
Intersection of Insights
• Brand customer insight + media contextual insight = maximum value
• Identify & protect your data rights
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8. Imperative:
Trust
• Sensitive data is the most valuable
• Provide clear value exchange, transparency & choice
…or risk the wrath of consumers, regulators, litigators & activists
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9. 3 Opportunities
• Improve marketing ROI: + 15–30%
• Improve customer profitability: + 10–15%
• Improve pricing power: + 5–7%
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10. Introducing Charlie Swift
Vice President of Marketing Analysis & Operations, Hearst Magazines
Unbound Data
Management
at
Hearst Magazines
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11. We Used to Live in a
BOUND World
• Our content existed only as a paper product
• Our brands’ revenues were driven by newsstand and advertisers
• Our advertisers were heavily vested in print placement
• Our readers were engaged with us once a month with each issue
But that world no longer exists and we are now in a world of
constant change
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12. Our Future Is UNBOUND
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13. Life in an UNBOUND World
• Our content is becoming liquid across platforms
• Our brands are crossing new business models
• Our advertisers have greater choice of placement
• Our readers are engaging in more places and ways…
…and are increasingly harder to recognize and serve accordingly
Our Challenge:
• To identify and treat customers consistently…
…as they de-identify and act inconsistently…
in order to maintain a profitable relationship with our customers
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14. ARGUS
The Platform Built to Enable Our
Identification and Decisioning Processes
• ARGUS: The Titan of 1,000 eyes
• ARGUS: The platform we launched in 2008, recognizing the need
to create and manage a unified view of our customers
– Customer- not title-centric
– Relational marketing not operational batch approach
– Behavior- not channel-focused
– First consolidation of online and offline data
• ARGUS: The foundation of all our customer marketing operations
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15. 4 Initial Platform Goals
1. Comprehensive 360-degree view of customer activity, performance
and relationship status at the magazine and Hearst level
2. Improve profitability of current direct mail programs
3. Protect revenue streams as customers go online to subscribe
4. Drive revenue through ad targeting via online and data variable
printing
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16. Example: Online Interaction
Engage Customers with Smarter Offers
Pay Bill Renew Subscription
Current Customer
Goes Online
Cross Sell
Show Digital Ad Targeted Magazines
New Intro
Subscription
Offer
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17. Business Impact
Targeting Drove Fantastic Results
Response Rate Review
Database
Rolled Out
25%+ Gain
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18. Customer Targeting Today
Focused on Selling Print Subscriptions
Data Marketing
Sources Channels
Web Data
Targeting Models &
Web
Segmentation
eMail Data
Sub Data
ARGUS eMail
Demo Print
Data
160MM
100MM
60MM 100MM
1B
Individuals Monthly
Offer Scores
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19. Customer Data and
Interaction Is Exploding
Well Beyond the Traditional Print World
• Digital editions are taking off
– Apple – Zinio
– Barnes & Noble - Amazon
– Google …and more to come
• Production lines are growing
– Hachette Acquisition, Marie Claire @ Work, Cosmo Latina (more print)
– Jumpstart, Real Beauty, Delish (more digital)
– The Bazaar (more commerce)
• Targeting is increasing by customer
– Variable magazine printing
– Variable pricing & billing
– Customize Web & email display
• Keeping on top of, linking and leveraging our data is critical to
our ability to win in the market and transform successfully
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20. Customer Targeting Tomorrow
ARGUS 2.0 – Focused on Selling
Value Everywhere
Data Marketing
Sources Prospect DBs Channels
Partner Web Data Onboarded
Targeting Models &
Data Web Data
Segmentation
Commerce eMail Data Private
eMail
Data ARGUS Exchanges
Network App
Data Sub Data 2.0 Print Stores
Dig App Demo Digital
Data Data Inserts TV
200MM 5+B Social ?
Individuals Monthly
+ Prospects Offer Scores
Mobile
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21. Our Future Truly Is UNBOUND
Thanks to Partners Like Acxiom
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22. Thank You. Questions?
@timsuther Discover more at:
www.acxiom.com/dma12
tim.suther@acxiom.com
cswift@hearst.com