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Setting The Context for High
Performance Joined-up Marketing

         Gerry Brown
           Analyst
        Bloor Research
What does Gerry do?

     Analyst




     Marketing lecturer




     Strategy advisor




2                        Marketing Elo[q]ution Lessons   19th April 2012
Agenda

    1. The Strategic Marketing context


    2. Marketing challenges and priorities


    3. Where Digital Marketing fits


    4. Readying for Digital Marketing



3                  Marketing Elo[q]ution Lessons   19th April 2012
Vision / Mission / Objectives / SLAs
        Aspirations                      Vision             In one’s mind




         Direction                                             In writing
                                    Mission Statement



     Inwards looking                                            SMARTish
                                       Corporate
    Financial indicators               Objectives


      Outwards looking                                           SMART
                                       Marketing
      Market indicators                Objectives



    Marketable statements                                       Perceptions
                                    Service Standards



4                           Marketing Elo[q]ution Lessons           19th April 2012
Where do Marketing Plans actually come from?
1.        Formal planning - a structured, sequential approach

2.        Logical incremental – resulting from one-off strategic goals

3.        Interpretive – from values, attitudes and ideas

4.        Political planning – from negotiation, marketing, conflict
          and confrontation

5.        Ecological – from environmental strategies

6.        Leadership – from the CEO’s vision
    Bailey & Johnson (2006)


5                             Marketing Elo[q]ution Lessons   19th April 2012
Barriers To Effective Marketing Planning

    1.   Confusion between marketing tactics and strategy
    2.   Isolating marketing function from operations
    3.   Confusing the marketing function with the marketing concept
    4.   Organisational: culture and organisational design
    5.   Lack of in-depth customer analysis
    6.   Confusion between the planning process and outputs
    7.   Lack of knowledge and skills – no systematic approach

    Malcolm McDonald


6                            Marketing Elo[q]ution Lessons   19th April 2012
Market Orientation

                             Customer orientation




                                 Long term
                                 profit focus



       Competitor orientation                     Inter-functional Co-ordination
Slater and Narver (1990)


7                              Marketing Elo[q]ution Lessons         19th April 2012
5 Steps to achieve a Market Orientation

     1.   Focus on the customer

     2.   Know what competitors are doing

     3.   Integrate marketing into the business

     4.   Create a long-term strategic vision

     5.   Set realistic expectations and focus on activities that
          provide customer value-add


8                        Marketing Elo[q]ution Lessons   19th April 2012
9   Marketing Elo[q]ution Lessons   19th April 2012
10   Marketing Elo[q]ution Lessons   19th April 2012
Alternative B2B Marketing Challenges
  “Significant challenges continue in e-commerce, the explosion of
 new media and new customer behaviors abetted by the Internet.
    Branding continues to become ever more essential to break
 through clutter and fight commoditization in business markets. So
 does the ability to innovate with channel partners and co-develop
                           with customers.

      Social, political and environmental conditions will continue to
            shift, creating new opportunities and obsolescing some
   established marketing practices. The very structure of corporate
  organizations deserves extra scrutiny. For example, what justifies
 continuing to separate sales, pricing and innovation functions from
 Oliva & Donath (2009)
                            marketing management?”

11                        Marketing Elo[q]ution Lessons   19th April 2012
Marketing Priorities

                                                                           29%
                                               43%          40%
          50%                49%


                                                                                       High priority
                                                                           38%
                                                                                       Medium priority

                             34%               44%          52%                        Low priority
          36%

                                                                           33%
          14%                17%               14%
                                                             8%
         Use of    Aligning sales            Measuring    Insight-led   Social media
        marketing and marketing               ROMI         decisions      strategy
      technologies
     Base: 108 B2B client-side respondents


12                                    Marketing Elo[q]ution Lessons                    19th April 2012
Core Digital Marketing Technologies
     1. Customer Management                            2. Web site analysis
 • Customer Relationship Management (CRM) • Search Engine Optimization (SEO)
 • Customer Experience Management (CEM)               • Pay Per Click (PPC)
 • Social media communities                           • A/B Testing and Multivariate testing
 • Internal – enterprise social networking            • Visitor segmentation / behavioral
                                                        targeting and personalisation
     3. Marketing Management                          4. Information from the Internet
     • Marketing campaign management                  • Market sentiment analysis

     • Sales lead scoring                             • ‘Voice of the customer’

     • Surveys / Polls / Market Research              • Competitor analysis tools

     • Marketing Resource Management                  • Social network marketing
                                       Analytics & Reporting
13                                    Marketing Elo[q]ution Lessons                 19th April 2012
Broader Strategic Considerations

                        CEM
                      Customer
                     Intelligence

                       Marketing
                      automation

                     Cross-Channel
                      Integration




                     eCommerce and
                      mCommerce




14            Marketing Elo[q]ution Lessons   19th April 2012
Digital Marketing is essential but adds more
                              work …

 Top 3 challenges: time; fragmentation and focus; clarity / clutter/ relevance


       “It's so easy to get distracted by all of the noise, new tools, etc. and spread
                                      yourself too thin”
     “Too many new options. So much change is happening so quick that businesses
                                         lose focus”
        “Customer scepticism - 'it's just marketers trying to get us to do/think/try
                                        something’”

 Other challenges: digital and data expertise / numeracy; channel proliferation,
     customers control sales processes, business boundaries, analysis and
     measurement

15                                Marketing Elo[q]ution Lessons          19th April 2012
Some have gone for a land grab . . .

 ‘Relationships with everybody’. Consumers mostly want transactions


 Short-term carpet-bombing emails for 'share of in-tray’. ‘Emotional

     unsubscribes’ are common

 Low price customer acquisition vs. high prices for existing customers


 McKinsey: "Most companies have now essentially become publishers ...

     yet continue to behave like simple advertisers"



16                             Marketing Elo[q]ution Lessons   19th April 2012
Organising for Digital:

      Analytics & Loyalty: 22Bn rows of data / 18m
       customers / 6,000 segments
      Campaign Management: 4m emails and 1m direct mail
       pieces in 50 campaigns per week
      Organisation:
                                         Product                Campaign     Account
         Analysis    Planning
                                       development               delivery   management


      Focus: insight, metrics, agility, and customer-centric
      while delivering corporate objectives

17                              Marketing Elo[q]ution Lessons                19th April 2012
The future: deliver Marketing that the
                 customer perceives as a service
      Business-wide and stakeholder focus

      From sales funnel filling to managing end-to-end purchasing
       experiences and advocacy
      From push, to pull, to interact

      Enabling new technologies: event-based marketing and
       marketing attribution
      Think C2C – how digital marketing facilitates your customers to
       do your selling for you


18                               Marketing Elo[q]ution Lessons   19th April 2012
Conclusions

      Remember that marketing automation is a ‘means to an ends’

      Align your marketing goals with organisational goals and

       strategies

      Look for easy and quick wins, but sketch out the bigger picture

       in your internal business case

      Think about sustainable marketing improvement: processes /

       people / technology


19                           Marketing Elo[q]ution Lessons   19th April 2012
Thank you




Marketing Elo[q]ution Lessons
Questions?


     Gerry Brown
     Director
     MIS Associates Limited
     5 Kew Road, Richmond TW9 2PR
     Mobile: +44 (0)7855 525598
     Email: gerry.brown@misassocs.com
     Web: www.misassocs.com
     Twitter: @gerrybrown

     . . . optimise your marketing strategies
21                       Marketing Elo[q]ution Lessons   19th April 2012

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Eloqua breakfast briefing pres apr 2012

  • 1. Setting The Context for High Performance Joined-up Marketing Gerry Brown Analyst Bloor Research
  • 2. What does Gerry do?  Analyst  Marketing lecturer  Strategy advisor 2 Marketing Elo[q]ution Lessons 19th April 2012
  • 3. Agenda 1. The Strategic Marketing context 2. Marketing challenges and priorities 3. Where Digital Marketing fits 4. Readying for Digital Marketing 3 Marketing Elo[q]ution Lessons 19th April 2012
  • 4. Vision / Mission / Objectives / SLAs Aspirations Vision In one’s mind Direction In writing Mission Statement Inwards looking SMARTish Corporate Financial indicators Objectives Outwards looking SMART Marketing Market indicators Objectives Marketable statements Perceptions Service Standards 4 Marketing Elo[q]ution Lessons 19th April 2012
  • 5. Where do Marketing Plans actually come from? 1. Formal planning - a structured, sequential approach 2. Logical incremental – resulting from one-off strategic goals 3. Interpretive – from values, attitudes and ideas 4. Political planning – from negotiation, marketing, conflict and confrontation 5. Ecological – from environmental strategies 6. Leadership – from the CEO’s vision Bailey & Johnson (2006) 5 Marketing Elo[q]ution Lessons 19th April 2012
  • 6. Barriers To Effective Marketing Planning 1. Confusion between marketing tactics and strategy 2. Isolating marketing function from operations 3. Confusing the marketing function with the marketing concept 4. Organisational: culture and organisational design 5. Lack of in-depth customer analysis 6. Confusion between the planning process and outputs 7. Lack of knowledge and skills – no systematic approach Malcolm McDonald 6 Marketing Elo[q]ution Lessons 19th April 2012
  • 7. Market Orientation Customer orientation Long term profit focus Competitor orientation Inter-functional Co-ordination Slater and Narver (1990) 7 Marketing Elo[q]ution Lessons 19th April 2012
  • 8. 5 Steps to achieve a Market Orientation 1. Focus on the customer 2. Know what competitors are doing 3. Integrate marketing into the business 4. Create a long-term strategic vision 5. Set realistic expectations and focus on activities that provide customer value-add 8 Marketing Elo[q]ution Lessons 19th April 2012
  • 9. 9 Marketing Elo[q]ution Lessons 19th April 2012
  • 10. 10 Marketing Elo[q]ution Lessons 19th April 2012
  • 11. Alternative B2B Marketing Challenges “Significant challenges continue in e-commerce, the explosion of new media and new customer behaviors abetted by the Internet. Branding continues to become ever more essential to break through clutter and fight commoditization in business markets. So does the ability to innovate with channel partners and co-develop with customers. Social, political and environmental conditions will continue to shift, creating new opportunities and obsolescing some established marketing practices. The very structure of corporate organizations deserves extra scrutiny. For example, what justifies continuing to separate sales, pricing and innovation functions from Oliva & Donath (2009) marketing management?” 11 Marketing Elo[q]ution Lessons 19th April 2012
  • 12. Marketing Priorities 29% 43% 40% 50% 49% High priority 38% Medium priority 34% 44% 52% Low priority 36% 33% 14% 17% 14% 8% Use of Aligning sales Measuring Insight-led Social media marketing and marketing ROMI decisions strategy technologies Base: 108 B2B client-side respondents 12 Marketing Elo[q]ution Lessons 19th April 2012
  • 13. Core Digital Marketing Technologies 1. Customer Management 2. Web site analysis • Customer Relationship Management (CRM) • Search Engine Optimization (SEO) • Customer Experience Management (CEM) • Pay Per Click (PPC) • Social media communities • A/B Testing and Multivariate testing • Internal – enterprise social networking • Visitor segmentation / behavioral targeting and personalisation 3. Marketing Management 4. Information from the Internet • Marketing campaign management • Market sentiment analysis • Sales lead scoring • ‘Voice of the customer’ • Surveys / Polls / Market Research • Competitor analysis tools • Marketing Resource Management • Social network marketing Analytics & Reporting 13 Marketing Elo[q]ution Lessons 19th April 2012
  • 14. Broader Strategic Considerations CEM Customer Intelligence Marketing automation Cross-Channel Integration eCommerce and mCommerce 14 Marketing Elo[q]ution Lessons 19th April 2012
  • 15. Digital Marketing is essential but adds more work …  Top 3 challenges: time; fragmentation and focus; clarity / clutter/ relevance “It's so easy to get distracted by all of the noise, new tools, etc. and spread yourself too thin” “Too many new options. So much change is happening so quick that businesses lose focus” “Customer scepticism - 'it's just marketers trying to get us to do/think/try something’”  Other challenges: digital and data expertise / numeracy; channel proliferation, customers control sales processes, business boundaries, analysis and measurement 15 Marketing Elo[q]ution Lessons 19th April 2012
  • 16. Some have gone for a land grab . . .  ‘Relationships with everybody’. Consumers mostly want transactions  Short-term carpet-bombing emails for 'share of in-tray’. ‘Emotional unsubscribes’ are common  Low price customer acquisition vs. high prices for existing customers  McKinsey: "Most companies have now essentially become publishers ... yet continue to behave like simple advertisers" 16 Marketing Elo[q]ution Lessons 19th April 2012
  • 17. Organising for Digital:  Analytics & Loyalty: 22Bn rows of data / 18m customers / 6,000 segments  Campaign Management: 4m emails and 1m direct mail pieces in 50 campaigns per week  Organisation: Product Campaign Account Analysis Planning development delivery management  Focus: insight, metrics, agility, and customer-centric while delivering corporate objectives 17 Marketing Elo[q]ution Lessons 19th April 2012
  • 18. The future: deliver Marketing that the customer perceives as a service  Business-wide and stakeholder focus  From sales funnel filling to managing end-to-end purchasing experiences and advocacy  From push, to pull, to interact  Enabling new technologies: event-based marketing and marketing attribution  Think C2C – how digital marketing facilitates your customers to do your selling for you 18 Marketing Elo[q]ution Lessons 19th April 2012
  • 19. Conclusions  Remember that marketing automation is a ‘means to an ends’  Align your marketing goals with organisational goals and strategies  Look for easy and quick wins, but sketch out the bigger picture in your internal business case  Think about sustainable marketing improvement: processes / people / technology 19 Marketing Elo[q]ution Lessons 19th April 2012
  • 21. Questions? Gerry Brown Director MIS Associates Limited 5 Kew Road, Richmond TW9 2PR Mobile: +44 (0)7855 525598 Email: gerry.brown@misassocs.com Web: www.misassocs.com Twitter: @gerrybrown . . . optimise your marketing strategies 21 Marketing Elo[q]ution Lessons 19th April 2012