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FOR: Customer             Understanding Tag Management Tools
Intelligence
Professionals             And Technology
                          by Joe stanhope, August 15, 2012


                          key TakeaWays

                          Marketers struggle With Complex digital Marketing and analytics
                          environments
                          Customer intelligence and interactive marketing professionals look to tag
                          management systems to help them execute and analyze digital marketing activities
                          in a challenging environment that continuously changes, requires a diverse array of
                          site instrumentation, and lacks rigorous internal processes.

                          Tag Management systems deliver on The promise of efficiency
                          Users expect a wide variety of benefits from tag management systems, but
                          ultimately, TMS systems deliver the greatest gains to process efficiencies, reducing
                          the effort, resources, and time required to add, edit, and remove tags from sites.

                          The early-stage TMs Market offers Many Vendor options
                          The young TMS market comprises a broad vendor landscape, giving buyers a wide
                          spectrum of price points, feature sets, and technical options to choose from and
                          match to their own requirements.




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                   Tel: +1 617.613.6000 | Fax: +1 617.613.5000 | www.forrester.com
For Customer Intelligence Professionals                                                                                             August 15, 2012



                     Understanding Tag Management Tools And
                     Technology
                      Users Benefit From A Rapidly Maturing Market And Proven Gains
                      by Joe Stanhope
                      with Dave Frankland and Michelle Dickson


Why Read This Report
Maintaining accurate and complete JavaScript tagging on websites is critical for ensuring the efficacy of
marketing and analytics efforts. But the highly dynamic pace and volume of tag management requirements
frequently overwhelm organizations’ resources and processes. To address this long-standing challenge,
customer intelligence professionals are looking to a new class of applications called tag management
systems (TMSes) to efficiently add, edit, and remove tags from websites. This report identifies the
benefits derived by TMS practitioners, the landscape of vendors in this young market, and key factors for
evaluating and differentiating solution options.


Table Of Contents                                                                Notes & Resources
2 Digital Complexity Drives Interest In Tag                                      Forrester surveyed 76 tag management
  Management Systems                                                             system users and interviewed 15 vendor
                                                                                 companies.
  Tag Management Systems Deliver Process
  Efficiencies First And Foremost
                                                                                 Related Research Documents
11 The Accelerating TMS Market Gives Buyers
   Many Options                                                                  Welcome To The Era Of Digital Intelligence
                                                                                 February 10, 2012
15 Look Beyond Basic Features And Hype To
   Differentiate Vendors                                                         How Tag Management Improves Web
                                                                                 Intelligence
  Technical Foundation                                                           December 22, 2010
  Application Features

  Extensibility

  recommendations
18 Offset Tag Management Immaturity With A
   Holistic Approach
19 Supplemental Material




                  © 2012, Forrester Research, Inc. All rights reserved. Unauthorized reproduction is strictly prohibited. Information is based on best available
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For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                      2




Digital complexity drives Interest in tag management systems
Interest in tag management systems has skyrocketed in the past year, and it’s easy to see why.1
Organizations are facing unrelenting pressure to keep pace as digital channels become the
centerpiece of customer experiences. But implementing and maintaining the data collection
instrumentation for modern analytics and marketing execution is time consuming and resource
intensive. TMS offerings promise to close the gap by consolidating tag execution and maintenance
to a single management application. Forrester recently surveyed 76 tag management system users
to learn about TMS adoption and practices. Adoption is soaring — fully 50% of survey respondents
have used their tag management solutions for a year or less (see Figure 1). Users are attracted to the
efficiency, flexibility, and page-load performance benefits of tag management systems to help them
cope with complex web environments that:

    ■	 Continuously change. Managing tags is a constant task as an organization’s digital
       presence evolves over time. Seventy-three percent of users edit existing tags, and 59% of
       users add new tags at least once a month (see Figure 2). Tag management activities take
       many forms as firms add or change vendors, add new sites and pages, and revise channel
       and campaign tracking requirements.

    ■	 Leverage tags for many purposes. Tag management needs are not limited to web analytics
      applications. Tagging is the deployment method of choice for a wide variety of marketing,
      analytics, and tracking systems (see Figure 3). The ubiquity of JavaScript tags imposes costs on
      firms in terms of the skills and resources required to develop and maintain tags, in addition to
      increased page weight that affects page-load performance.

    ■	 Lack rigorous processes. Few firms adhere to fully formalized tag management processes.
      Only 7% of users report that their firms’ tag management efforts follow highly formalized
      processes (see Figure 4). Ad hoc processes reduce organizations’ ability to keep pace with
      large numbers of tags that require regular additions and maintenance, putting marketing and
      analytics efficacy at risk.

    ■	 Resist external support. Managing tags relies heavily on internal resources: input from
       multiple internal stakeholders; specific knowledge about tag and application deployments; and
       access to core infrastructure such as the web content management system. Accordingly, 66%
       of firms regard tag management as an internal job, assigning ownership to tagging’s greatest
       beneficiaries: the marketing and web analytics teams (see Figure 5 and see Figure 6). Without
       third-party services or outsourcing, firms often struggle to make internal capabilities suffice.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                               3




Figure 1 Most Users Have Recently Adopted Their Tag Management Solutions

                       “How long have you had your current tag management solution?”

                      Less than six months                                       22%

         Six months to less than one year                                                   28%

           One year to less than two years                                                    29%

        Two years to less than three years                      13%

        Three years to less than four years       1%

          Four years to less than five years      1%

                        Five years or longer 0%

                                 Don’t know                5%

                                   Base: 76 tag management end users
                            (percentages do not total 100 because of rounding)
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                             Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                          August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                      4




Figure 2 Users Add And Edit Tags Frequently

     “On average, how often do you do the following activities using your tag management system?”

                                             1%
                     Several times per day 0%
                                           0%

                                                       3%
                                        Daily            4%
                                                         4%


              Less than daily but multiple                                 12%
                                                            5%                         Edit existing tags
                          times per week          1%                                   Add new tags
                                                                                       Deactivate or remove tags
                                                                            13%
                                     Weekly                        8%
                                                                 7%


                    Less than weekly but                                                     20%
                                                                                             20%
                multiple times per month                    5%


                                                                                                         24%
                                    Monthly                                                        22%
                                                                                       18%


          Less than monthly but multiple                              9%
                                                                           12%
                       times per quarter
                                                                                              21%

                                                           4%
                                   Quarterly                               12%
                                                                                       18%

                                                                      9%
                        Less than quarterly                                12%
                                                                                 14%

                                                  1%
                                       Other           3%
                                                        4%

                                                       3%
                                Don’t know               4%
                                                                 7%
                                 Base: 76 tag management end users
                          (percentages do not total 100 because of rounding)
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                  Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                       5




Figure 3 Firms Deploy Tags To Support Many Marketing And Analytics Capabilities

                     “What types of tags do you deploy via your tag management system?”

                                Web analytics                                                  88%

                            Search marketing                                        64%

                                    Ad serving                                     62%

                           Affiliate marketing                                     59%

                         Behavioral targeting                                50%

                                        Testing                              47%

                     Audience measurement                               42%

                                  Social media                         38%

                        Voice of the customer                    26%
                      (surveys and feedback)

                          Recommendations                  14%

                                         Other       5%

                                           Base: 76 tag management end users
                                              (multiple responses accepted)
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                     Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                              6




Figure 4 Few Firms Have Fully Formalized Processes For Tag Management

                         “To what degree does your firm adhere to a structured process
                                  when adding, revising, or removing tags?”
                                                 (Select one)

            Managing tags follows formalized processes                                               38%
                   for some tasks but is mostly ad hoc
         Managing tags follows formalized processes for                                  28%
                 most tasks, but some tasks are ad hoc

     Managing tags is predominantly an ad hoc process                                26%

     Managing tags follows a highly formalized process                   7%

                                                           Other   1%

                                           Base: 76 tag management end users
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                            Source: Forrester Research, Inc.




Figure 5 Firms Prefer To Support Tag Management In-House

                       “What is your preferred method of supporting tag management?”
                                                 (Select one)

                           Manage entirely in-house                                         66%

                       Work with an external agency                      20%
                                     or consultancy
                Work with our vendor’s professional                11%
                                   services group

        Allow vendor to manage the entire process 1%

           Allow external agency or consultancy to 1%
                        manage the entire process

                                                  Other 1%

                                           Base: 76 tag management end users

Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                            Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                         August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                    7




Figure 6 Marketing And Analytics Own Tag Management

                      “What department in your firm is responsible for tag management?”

                                         Marketing                                               38%

                             Web analytics group                                   28%

                                                  IT                  13%

                                      eCommerce                      11%

              Business intelligence or corporate           4%
                                 analytics group

                                              Other             7%

                                         Base: 76 tag management end users
                                  (percentages do not total 100 because of rounding)
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                  Source: Forrester Research, Inc.




Tag Management Systems Deliver Process Efficiencies First And Foremost
TMS users have high expectations for tag management systems, seeking improvements in several
areas, including condensed cycle times for tag additions and changes, faster page-load performance,
and reducing the technical skills required to manage tags (see Figure 7). Reflecting the value of tag
management systems, users report a variety of gains, concentrated heavily on process efficiencies
(see Figure 8). The top three benefits reported by users ultimately yield reductions in the time
required to manage tags. And the results are dramatic — the capability to implement new or revised
tags within a single day leaps from 18% to 80% after users deploy a TMS (see Figure 9).




© 2012, Forrester Research, Inc. Reproduction Prohibited                                               August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                        8




Figure 7 Users Look To Tag Management To Resolve A Variety of Challenges

          “Which topics represent the three greatest challenges that you seek to resolve with your
                                        tag management system?”
                                             (Select up to three)

                 Duration of the process to implement new                                                 45%
                                             or revised tags

             Website development and code release cycles                                               42%

                                      Page-load performance                                      36%

                The technical skills required to manage tags                                 32%

                       The manual nature of managing tags                            22%

              Flexibility to evaluate and adopt new vendors                        20%

                                        Cost of managing tags                  17%

                                                    Data quality             13%

              Amount of time spent managing tags by staff                    13%

                Ensuring consistency across pages and sites                  12%

                 Number of staff and departments involved                11%
                                         in managing tags

                      Maintaining tags on a long-term basis             8%

                Removing old and/or decommissioned tags             7%
                                         from websites

          Enforcing standards and policies, such as privacy        4%

                                                           Other    7%

                                           Base: 76 tag management end users
                                              (multiple responses accepted)

Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                      Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                   August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                       9




Figure 8 Process Efficiencies Dominate TMS Benefits

          “What are the top three benefits your company has realized through tag management?”
                                             (Select up to three)

                  Ability to manage tags outside of website                                                  49%
                      development and code release cycles
                 Reduction in the duration of the process to                                          42%
                            implement new or revised tags

                   Managing tags requires less time by staff                                 33%

                         Improved flexibility to evaluate and                             28%
                                        adopt new vendors
                   Ability to manage tags without coding or                           26%
                                   advanced technical skills

                           Improved page-load performance                           22%

              Reduced cost associated with managing tags                       17%

          Improved tag consistency across pages and sites                     16%

        Tags are more accurate, resulting in improved data                   13%
         quality, measurement, and marketing attribution

                          Managing tags requires fewer staff             11%

                              Ability to manage tags through            9%
                                         automated processes
     Tags have complete coverage, resulting in improved            4%
    data quality, measurement, and marketing attribution
        Ability to remove old and/or decommissioned tags          3%
                                          from websites
                   Ability to enforce standards and policies, 0%
                                             such as privacy

                                                           Other 1%

                                                    No benefits    4%

                                  Base: 76 tag management end users
                                     (multiple responses accepted)
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                     Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                    10




Figure 9 Users See A Major Reduction In Tag Management Cycle Times

                    “How long does it take on average to implement a new or revised tag?”

                                                           8%
                                An hour or less
                                                                                             53%

                                                           7%
                                  Several hours
                                                                 14%

                                                     3%
                                          A day
                                                                 13%

                                                                   17%
                                   Several days
                                                            9%

                                                                 13%
                                         A week
                                                     3%

                                                                       22%
                                 Several weeks
                                                      4%

                                                                12%
                           One to two months
                                                   0%

                                                            9%
                         Two to three months                             Prior to using a tag
                                                   0%
                                                                         management system
                                                     3%                  Using a tag
                          Three to six months                            management system
                                                   0%

                                                    3%
                      Longer than six months
                                                   1%

                                                      4%
                                    Don’t know
                                                     3%

                                         Base: 76 tag management end users
                                  (percentages do not total 100 because of rounding)

Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                    Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                 August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                    11




The Accelerating TMS Market Gives Buyers Many options
Historically, tag management system options have been very limited — users were consigned
to developing home-grown solutions or working with niche vendors. Why is the market for tag
management accelerating today? The combination of widely available commercial-grade TMS
offerings and pent-up user demand creates a symbiotic relationship aimed at resolving long-standing,
day-to-day pain points. Specialist and enterprise vendors are piling into the market to meet user
demand, encouraging adoption with ever-improving solutions, and creating a healthy — or slightly
overweight — dose of marketing and evangelization (see Figure 10). Although the TMS market is still
in the early stages of development, vendors are already coalescing into several categories:

    ■	 Digital intelligence vendors. At first blush, TMS promises of flexibility and control make
      analytics vendors’ interest in tag management counterintuitive.2 But vendors such as Adobe
      and IBM have more to gain from effective tag management than most. TMS capabilities
      expand their product footprints, manage data collection for their own product suites, and
      improve the overall manageability and cohesiveness of solutions delivered to clients. These
      vendors are well established and will appeal to firms that are heavily committed to their
      respective product lines, but their TMS offerings lack independence and focus heavily on
      managing their own data collection, often at the expense of third parties.

    ■	 TMS pure plays. Most of the startups in the TMS market are pure plays. They are typically
      founded by former marketers, analysts, and consultants — many of whom have personally
      lived through the pain of tag management. Vendors such as BrightTag, Ensighten, Search
      Discovery, and Tealium are highly focused on tackling tag management head-on with the goal
      of delivering the most functional and easy-to-use TMS capabilities. These vendors are highly
      innovative and will appeal to analytics-led organizations, but as young companies, they are still
      developing their support infrastructures and credibility. These vendors are likely acquisition
      targets as the segment inevitably matures and consolidates.

    ■	 TMS marketing platforms. TMS marketing platform vendors focus on developing tag
      management to support marketing capabilities. In addition to standalone TMS features,
      vendors such as DC Storm, Krux Digital, and TagMan see tag management as a foundational
      technology for attribution analysis, conversion tracking, and data management platforms.
      These vendors offer a broad marketing-oriented perspective that appeals to advertisers and
      publishers, but their marketing capabilities beyond core tag management are limited to specific
      use cases such as attribution analysis and data management platforms.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                     12




Figure 10 The Tag Management Systems Vendor Landscape

                                                                                  Tag
                                       Head-                                 Management
                                       quarters                                product      Pricing
Vendor name Website URL                location        Product name         available since model
Adobe       adobe.com                  San Jose,    Adobe TagManager             2011       Free to Adobe Digital
                                       Calif.                                               Marketing Suite
                                                                                            customers, or CPM uplift
                                                                                            to Adobe SiteCatalyst
                                                                                            customers
 BrightTag        brighttag.com        Chicago      BrightTag ONE                2010       Volume based on
                                                                                            page views

 Cara Europe tagUNITE.com              Munich,      tagUNITE                     2011       Free up to 20,000 page
                                       Germany                                              views per month, then
                                                                                            volume based on page
                                                                                            views
 Datalicious      supertag.            Sydney,      Supertag                     2012       Volume based on
                  datalicious.com      Australia                                            page views
 DC Storm         dc-storm.com         Brighton,    Storm Container Tag          2009       Flat monthly fee
                                       UK                                                   per site

 Ensighten        ensighten.com        Cupertino, Ensighten Manage               2009       Volume based on
                                       Calif.                                               page views
 IBM              ibm.com/             Armonk,      IBM Coremetrics              2011       Free to IBM
                  marketing-           N.Y.         Digital Data                            Coremetrics
                  solutions                         Exchange                                customers
 Krux             krux.com             San       Krux SuperTag                   2010       Volume based on
 Digital                               Francisco                                            page views

 QuBit            opentag.qubit        London       OpenTag                      2011       Volume based on
                  products.com                                                              page views
 Search           search               Atlanta      Satellite                    2010       Per product module
 Discovery        discovery.com                                                             per site

 SiteTagger       sitetagger.co.uk     Cardiff,     SiteTagger On                2009       Volume based on
                                       UK           Demand and                              page views, do-
                                                    SiteTagger Enterprise                   mains, and activity
 Tag       tag           Paris                      TagCommander                 2010       Volume based on
 Commander commander.com                                                                    page views



 TagMan           tagman.com           New York TagMan                           2007       Volume based on page
                                                                                            views per product
                                                                                            module
 Tealium          tealium.com          Del Mar,     Tealium IQ                   2010       Volume based on
                                       Calif.                                               visits
                                       New York                                             Volume based on
 UberTags         ubertags.com                      UberTags                     2010
                                                                                            page views
74123                                                                                     Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                    13




Figure 10 The Tag Management Systems Vendor Landscape (Cont.)

           Number of tag Number of
            management enterprise tag
           clients in live management                                                 Additional
Vendor name production       clients  Marquee clients                                 platform offerings
Adobe           167            125    Dominion Enterprises, Harrah’s                  Web analytics, site
                                      Resorts, Scripps Networks                       optimization, data
                                      Interactive, Vodafone                           management platform


BrightTag               100                60         Crate and Barrel, Gap,          Privacy management,
                                                      JetBlueAirways,                 application tagging
                                                      1-800-Flowers.com
Cara Europe             350                 5         Allianz, Premium Bettwasche,    None
                                                      Sixt Rent a Car, Star Kauf


Datalicious              30                 3         Amaysim, Aussie, Bupa,          Cross domain tracking,
                                                      Unicef                          data collection
DC Storm                100                40         EDF Energy, Low Cost            Attribution management,
                                                      Holidays, Play.com, uSwitch     data integration,
                                                                                      marketing reporting
Ensighten                60                47         Dell, Microsoft Stores, Sony    Privacy management,
                                                      Electronics, United Air Lines   application tagging
IBM                      0                  0         None                            Web analytics, campaign
                                                                                      management, interaction
                                                                                      analysis
Krux                     14                 3         BrainyQuote, NBCUniversal,      Data management
Digital                                               YouBeauty, Wikia                platform, web data
                                                                                      protection
QuBit                  1,000              12          BBC, Financial Times, Office,   Privacy management,
                                                      Research In Motion              attribution management
Search                   39                 6         Assurant, Chick-fil-A,          Privacy management
Discovery                                             J.P.Morgan, Ticketmaster

SiteTagger               74                 5         ASDA, AXA Bank, British Gas,    Privacy management
                                                      DSGi

Tag                      70                12         Bouygues Telecom,               Privacy management, data
Commander                                             La Redoute, Levi’s, Meetic      management, attribution
                                                                                      management, conversion
                                                                                      deduplication, application
                                                                                      tagging
TagMan                  252               153         J. Crew, Kellogg’s, Marriott,   Privacy management,
                                                      Travelocity                     attribution management

Tealium                 102                35         News International, NHL,        Privacy management,
                                                      Nokia, Volvo                    application tagging
UberTags                100                25         LexisNexis, Meredith, Sony      Privacy management
                                                      Electronics, The Limited
74123                                                                                    Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                 August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                    14




Figure 10 The Tag Management Systems Vendor Landscape (Cont.)

                                                                Native         API
                    Implementation           Deployment          TMS     Availability and      Prebuilt Tag
Vendor name         Method                     Options         Reporting  functionality        Integrations
 Adobe              Browser side         On demand                No            No             Adobe products




 BrightTag          Browser and          On demand                Yes           Yes      300 tag templates
                    server side                                          tag management,
                                                                            data export
 Cara Europe        Browser and          On demand                Yes           Yes      None
                    server side                                          tag management,
                                                                            tag delivery

 Datalicious        Browser side         On demand,               No            No             10 tag templates
                                         hybrid
 DC Storm           Browser side         On demand,               Yes           Yes            100 tag templates
                                         hybrid                              reporting

 Ensighten          Browser side         On demand,               Yes           Yes      75 tag templates
                                         hybrid, on premises              tag management
 IBM                Browser and          On demand                Yes           Yes      IBM Coremetrics
                    server side                                          tag management, products and four tag
                                                                             reporting   templates
 Krux               Browser side         On demand,               Yes           Yes      15 tag templates
 Digital                                 Hybrid                          tag management,
                                                                             reporting
 QuBit              Browser side         On demand                Yes           Yes      50 tag templates
                                                                          tag management
 Search             Browser side         On demand,               Yes           Yes      Two tag templates
 Discovery                               hybrid                          tag management,
                                                                            data export
 SiteTagger         Browser side         On demand,               Yes           No             300 tag templates
                                         On premises

 Tag                Browser side and On demand,                   Yes           No             100 tag templates
 Commander          server side      hybrid



 TagMan             Browser side         On demand                Yes           Yes            275 tag templates
                                                                            data export

 Tealium            Browser side         On demand,               Yes          Yes             300 tag templates
                                         On premises                       administration
 UberTags           Browser and          On demand,               Yes           No             None
                    server side          On premises
74123                                                                                    Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                 August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                     15




Look Beyond Basic Features and Hype To Differentiate Vendors
Tag management systems are a relatively new class of application, and users should anticipate a
dynamic vendor landscape populated by young companies and rapidly evolving solutions. Although
the precepts of TMS are well understood, standard pricing models, semantics, and solution
configurations still need to fully coalesce.3 Vendors are in a rush to build out their core products and
establish a foothold in the market, leading to a surge in marketing activity, lookalike solutions, and
conflicting claims. Users currently look at a wide variety of factors when selecting tag management
systems, with top attributes spanning ease of use and management, pricing and cost of ownership,
vendor service and technical capabilities, and tag support (see Figure 11). To differentiate vendors
and determine the best fit for your respective TMS requirements, evaluate vendor capabilities on
three dimensions: technical foundation, application features, and extensibility.


Technical Foundation
The technical foundation consists of the underlying design, operation, and delivery of the TMS
application.

    ■	 Infrastructure. As a predominantly on-demand solution, TMS infrastructure is critical
       for ensuring performance, uptime, and security. Users must evaluate vendor service-
       level agreements (SLAs) and technical factors such as data center or cloud service usage;
       disaster recovery and redundancy; and the use of content delivery networks or distributed
       infrastructure to support global deployments.

    ■	 Deployment method. Users have a choice of several TMS application deployment methods.
      The default option for all vendors is on-demand, but several vendors support on-premises and
      hybrid deployments — where the client selects the location of the script code file. On-premises
      and hybrid options may appeal to organizations from regulated industries with significant
      security concerns.

    ■	 Implementation method. TMS vendors offer a variety of implementation methodologies.
      Most vendors rely on client-side tag implementation, although a few emphasize server-side tag
      management. Both options require JavaScript tags, but the designation refers to where most
      tags are fired, either at the browser or server level.

    ■	 Support and services. Users require support from vendors in addition to technology. A
       mature TMS offering features full technical documentation and robust technical support,
       including access via multiple channels and an online knowledge base. Users should also
       consider how vendors deliver professional services to support implementation, training, and
       strategic advisory.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                   August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                     16




Application Features
Application features represent the key components beyond standard TMS functionality that drive
efficiency and the capacity for self-service utilization.

    ■	 Partner ecosystem. Cutting and pasting tag code into a TMS is the most basic tag
       management feature, but it’s not efficient. Advanced TMS vendors partner with key interactive
       marketing and analytics vendors to prebuild common tags and offer user-friendly tag
       management templates to add and edit tags without writing or accessing code.

    ■	 Workflow and user administration. Even with an efficient TMS environment, tag management
      will involve multiple stakeholders. Users should evaluate administration features to control
      user access to functionality and data. TMS workflow capabilities should be consistent with an
      organization’s own multistage processes for tag creation, quality assurance, and approvals.

    ■	 Usability. An effective TMS user experience features a modern application interface based on
       common and intuitive interaction principles. The user interface (UI) should reduce complexity
       for nontechnical users with logical layouts and guided task flows and should support power
       users with functionality for efficient, granular management of large numbers of tags, vendors,
       and domains.

    ■	 Native reporting. Many, but not all, TMS offerings feature native site and tag-level reporting
       to provide visibility to the tag management environment. Advanced reporting offerings
       include error reporting; attribution and conversion analysis; and page-load performance data,
       acting as a secondary audit point that complements existing analytics tools.


Extensibility
Extensibility provides the ability to leverage TMS features in multiple environments, from other
applications, and alongside additional marketing and analytics functionality.

    ■	 Environment support. Tag management users and vendors currently emphasize TMS support
       for fixed Internet websites. But as digital marketing increasingly moves beyond the website,
       users should consider TMS options that support instrumentation in multiple environments
       such as mobile websites, applications, and media platforms such as Flash.

    ■	 TMS platform extensions. Beyond standard tag management functionality, determine what
       additional features the TMS platform can deliver to support your organization’s marketing and
       analytics requirements. Most TMS vendors offer privacy management capabilities, but many
       also offer additional functionality for attribution and data syndication.

    ■	 Application programming interface. Application programming interface (API) usage in tag
      management is rare today but holds significant future promise. Not all vendors currently support
      APIs, but the feature is useful for bulk implementation of large numbers of tags, remote system
      management, developing custom user interfaces, and exporting data for advanced analysis.
© 2012, Forrester Research, Inc. Reproduction Prohibited                                  August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                        17




Figure 11 Users Avoid Complexity When Selecting Tag Management Systems

 “Which of the following are the five most important factors when selecting a tag management system?”
                                             (Select up to five)

                                                             Ease of use                                               62%
                                          Ease of implementation and
                                               ongoing management                                             50%

                                                           Pricing model                                39%

                       Vendor’s ability to service my business needs                               33%

                                Vendor’s infrastructure and scalability                           32%

                                                Total cost of ownership                          30%
                             Implementation method (i.e., client-side
                                        JavaScript, server-side, etc.)                           28%

                                             Breadth of tags supported                           28%
     Standard features and functionality (such as rules, templates,
         version management, administration and workflow, etc.)                            21%
            Vendor’s product support capabilities (live and online                    16%
                  support, knowledge base, documentation, etc.)
                            Strength of vendor’s reference customers                 14%

           Vendor’s reputation (e.g., known as a leader in this field)               13%
 Availability of advanced or proprietary features and functionality
        (such as API, privacy management, data syndication, etc.)                12%

                       Professional services and training capabilities           11%
                        Breadth of environments supported (such as
                                  website, mobile, applications, etc.)          9%

                                          Vendor’s thought leadership           8%

                             Availability of a service-level agreement      7%

                                             Experience in our industry     7%
               The tag management application is a module within
                   a larger suite of analytics and/or marketing tools      5%

                                             Vendor’s partner network      5%
                           Deployment model (such as on-premises,
                                   on-demand, or hybrid models)            5%

                                        Vendor’s geographic coverage 1%

                                                                  Other    3%
                                  Base: 76 tag management end users
                                     (multiple responses accepted)
Source: Q2 2012 Global Tag Management User Online Survey
74123                                                                                        Source: Forrester Research, Inc.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                                      August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                     18




R e c o m m e n d at i o n s
offset tag management immaturity with a holistic approach
Tags have never been as important and pervasive as they are today, but managing them is a
perpetual drag on resources and processes. The rapid acceleration of the TMS market over the past
couple of years from obscurity to “the new black” clearly shows users’ excitement at the possibility of
a better way to manage tags. But tag management is still immature. In a crowded, early-stage market,
customer intelligence professionals must understand their exposures to tagging issues, identify
which types of TMS vendor can support their needs, and conduct evaluations that go deeper than
basic tag management features.4 To make the right choice:

   ■	 Ensure comprehensive digital ecosystem coverage. Users must consider tag management
      solutions in the context of their own digital marketing and analytics requirements. To
      ensure a good fit, a TMS should support all internal and external users; the preferred tag
      management workflow; the full set of tags currently in use; and deployment to all web and
      application environments where an organization operates.

   ■	 Prepare for the implementation and ongoing usage. Selecting a TMS is only the start
      of the tag management journey. Ultimately a TMS is simply an enabling technology.
      Planning is the key to long-term TMS success. Users must audit their current sites; schedule
      the transition of tags to the new system; conduct rigorous quality assurance to ensure
      continuity; train users on the new TMS application; and update tag management processes
      for effective governance.

   ■	 Select a vendor for the long haul. TMS deployments are deeply embedded within
      organizations because of the implementation investment and centralization of data collection.
      Replatforming a TMS vendor is difficult, making selection of a vendor for the long term
      paramount. Beyond product and support capabilities, users must evaluate corporate health;
      the product mix; the management team and board of directors; funding; and the customer
      base to ensure that their vendors can provide support today as well as in the future.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                 August 15, 2012
For Customer Intelligence Professionals
Understanding Tag Management Tools And Technology                                                                19




Supplemental MATERIAL

Methodology
Forrester fielded its Q2 2012 Global Tag Management User Online Survey to 76 individuals who are
current users of tag management systems. For quality assurance, all respondents were required to
provide contact information and answer basic questions about their firms’ revenues, location, and
type of business.

Forrester fielded the survey in May and June 2012. Respondent incentives included receiving a copy
of the published research.

Exact sample sizes are provided in this report on a question-by-question basis. This data is not
guaranteed to be representative of the population. Unless otherwise noted, statistical data is
intended to be used for descriptive and not inferential purposes. While nonrandom, the survey is
still a valuable tool for understanding where users are today and where the industry is headed.


Endnotes
1	
     We determine interest in this context in two ways. First, Forrester is experiencing a significant and
     sustained volume of analyst inquiries on the topic of tag management. Second, data gathered during
     the research process shows that the majority of vendors in this report are experiencing substantial new
     customer growth.
2	
     A tag management system supports any number of tags from multiple applications and applies those tags
     to any page. This increases the flexibility of firms to run tags on specific pages, add or remove vendors and
     agencies, and run proof-of-concept projects. A big payoff: reduced switching costs and reliance on any
     single supplier. See the December 22, 2010, “How Tag Management Improves Web Intelligence” report.
3	
      The most viable option for maintaining tags falls to an emerging class of applications called tag
      management systems. These solutions replace individual on-site tags with a single master tag and aggregate
      tag execution and maintenance to a consolidated management application. See the December 22, 2010,
     “How Tag Management Improves Web Intelligence” report.
4	
     Tag management success starts with a comprehensive audit to identify how tags currently integrate with
     your website. What does the website tag audit entail? CI professionals must apply a framework to assess key
     website measurement, performance, and management characteristics to evaluate the common drivers of tag
     management issues. See the December 22, 2010, “How Tag Management Improves Web Intelligence” report.




© 2012, Forrester Research, Inc. Reproduction Prohibited                                             August 15, 2012
About Forrester
                                                 Global marketing and strategy leaders turn to Forrester to help
                                                 them make the tough decisions necessary to capitalize on shifts
                                                 in marketing, technology, and consumer behavior. We ensure your
                                                 success by providing:
                                                 n	Data-driven insight to understand the impact of changing
                                                   consumer behavior.
                                                 n	Forward-looking research and analysis to guide your decisions.
                                                 n	Objective advice on tools and technologies to connect you with
                                                   customers.
                                                 n	Best practices for marketing and cross-channel strategy.


                                                 for more information
                                                 To find out how Forrester Research can help you be successful every day, please
                                                 contact the office nearest you, or visit us at www.forrester.com. For a complete list
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                                                 at +1 866.367.7378, +1 617.613.5730, or clientsupport@forrester.com. We offer
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                                                 Forrester Focuses On
                                                 Customer Intelligence Professionals
                                                 In addition to integrating and managing complex data from initiatives
                                                 such as customer segmentation, loyalty programs, and Web and mobile
                                                 analytics, you must deliver multidimensional customer insights that
                                                 power every marketing decision. Forrester’s subject-matter expertise
                                                 and deep understanding of your role will help you create forward-
                                                 thinking strategies; weigh opportunity against risk; justify decisions; and
                                                 optimize your individual, team, and corporate performance.
                                             «   CHARLES IBRAHIM, client persona representing Customer Intelligence Professionals



Forrester Research, Inc. (Nasdaq: FORR) is an independent research company that provides pragmatic and forward-thinking advice to
global leaders in business and technology. Forrester works with professionals in 17 key roles at major companies providing proprietary
research, customer insight, consulting, events, and peer-to-peer executive programs. For more than 29 years, Forrester has been making
IT, marketing, and technology industry leaders successful every day. For more information, visit www.forrester.com.	            74123

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Forrester: Understanding tag management Dec 2012

  • 1. FOR: Customer Understanding Tag Management Tools Intelligence Professionals And Technology by Joe stanhope, August 15, 2012 key TakeaWays Marketers struggle With Complex digital Marketing and analytics environments Customer intelligence and interactive marketing professionals look to tag management systems to help them execute and analyze digital marketing activities in a challenging environment that continuously changes, requires a diverse array of site instrumentation, and lacks rigorous internal processes. Tag Management systems deliver on The promise of efficiency Users expect a wide variety of benefits from tag management systems, but ultimately, TMS systems deliver the greatest gains to process efficiencies, reducing the effort, resources, and time required to add, edit, and remove tags from sites. The early-stage TMs Market offers Many Vendor options The young TMS market comprises a broad vendor landscape, giving buyers a wide spectrum of price points, feature sets, and technical options to choose from and match to their own requirements. Forrester Research, Inc., 60 Acorn Park Drive, Cambridge, mA 02140 UsA Tel: +1 617.613.6000 | Fax: +1 617.613.5000 | www.forrester.com
  • 2. For Customer Intelligence Professionals August 15, 2012 Understanding Tag Management Tools And Technology Users Benefit From A Rapidly Maturing Market And Proven Gains by Joe Stanhope with Dave Frankland and Michelle Dickson Why Read This Report Maintaining accurate and complete JavaScript tagging on websites is critical for ensuring the efficacy of marketing and analytics efforts. But the highly dynamic pace and volume of tag management requirements frequently overwhelm organizations’ resources and processes. To address this long-standing challenge, customer intelligence professionals are looking to a new class of applications called tag management systems (TMSes) to efficiently add, edit, and remove tags from websites. This report identifies the benefits derived by TMS practitioners, the landscape of vendors in this young market, and key factors for evaluating and differentiating solution options. Table Of Contents Notes & Resources 2 Digital Complexity Drives Interest In Tag Forrester surveyed 76 tag management Management Systems system users and interviewed 15 vendor companies. Tag Management Systems Deliver Process Efficiencies First And Foremost Related Research Documents 11 The Accelerating TMS Market Gives Buyers Many Options Welcome To The Era Of Digital Intelligence February 10, 2012 15 Look Beyond Basic Features And Hype To Differentiate Vendors How Tag Management Improves Web Intelligence Technical Foundation December 22, 2010 Application Features Extensibility recommendations 18 Offset Tag Management Immaturity With A Holistic Approach 19 Supplemental Material © 2012, Forrester Research, Inc. All rights reserved. Unauthorized reproduction is strictly prohibited. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change. Forrester®, Technographics®, Forrester Wave, RoleView, TechRadar, and Total Economic Impact are trademarks of Forrester Research, Inc. All other trademarks are the property of their respective companies. To purchase reprints of this document, please email clientsupport@forrester.com. For additional information, go to www.forrester.com.
  • 3. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 2 Digital complexity drives Interest in tag management systems Interest in tag management systems has skyrocketed in the past year, and it’s easy to see why.1 Organizations are facing unrelenting pressure to keep pace as digital channels become the centerpiece of customer experiences. But implementing and maintaining the data collection instrumentation for modern analytics and marketing execution is time consuming and resource intensive. TMS offerings promise to close the gap by consolidating tag execution and maintenance to a single management application. Forrester recently surveyed 76 tag management system users to learn about TMS adoption and practices. Adoption is soaring — fully 50% of survey respondents have used their tag management solutions for a year or less (see Figure 1). Users are attracted to the efficiency, flexibility, and page-load performance benefits of tag management systems to help them cope with complex web environments that: ■ Continuously change. Managing tags is a constant task as an organization’s digital presence evolves over time. Seventy-three percent of users edit existing tags, and 59% of users add new tags at least once a month (see Figure 2). Tag management activities take many forms as firms add or change vendors, add new sites and pages, and revise channel and campaign tracking requirements. ■ Leverage tags for many purposes. Tag management needs are not limited to web analytics applications. Tagging is the deployment method of choice for a wide variety of marketing, analytics, and tracking systems (see Figure 3). The ubiquity of JavaScript tags imposes costs on firms in terms of the skills and resources required to develop and maintain tags, in addition to increased page weight that affects page-load performance. ■ Lack rigorous processes. Few firms adhere to fully formalized tag management processes. Only 7% of users report that their firms’ tag management efforts follow highly formalized processes (see Figure 4). Ad hoc processes reduce organizations’ ability to keep pace with large numbers of tags that require regular additions and maintenance, putting marketing and analytics efficacy at risk. ■ Resist external support. Managing tags relies heavily on internal resources: input from multiple internal stakeholders; specific knowledge about tag and application deployments; and access to core infrastructure such as the web content management system. Accordingly, 66% of firms regard tag management as an internal job, assigning ownership to tagging’s greatest beneficiaries: the marketing and web analytics teams (see Figure 5 and see Figure 6). Without third-party services or outsourcing, firms often struggle to make internal capabilities suffice. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 4. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 3 Figure 1 Most Users Have Recently Adopted Their Tag Management Solutions “How long have you had your current tag management solution?” Less than six months 22% Six months to less than one year 28% One year to less than two years 29% Two years to less than three years 13% Three years to less than four years 1% Four years to less than five years 1% Five years or longer 0% Don’t know 5% Base: 76 tag management end users (percentages do not total 100 because of rounding) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 5. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 4 Figure 2 Users Add And Edit Tags Frequently “On average, how often do you do the following activities using your tag management system?” 1% Several times per day 0% 0% 3% Daily 4% 4% Less than daily but multiple 12% 5% Edit existing tags times per week 1% Add new tags Deactivate or remove tags 13% Weekly 8% 7% Less than weekly but 20% 20% multiple times per month 5% 24% Monthly 22% 18% Less than monthly but multiple 9% 12% times per quarter 21% 4% Quarterly 12% 18% 9% Less than quarterly 12% 14% 1% Other 3% 4% 3% Don’t know 4% 7% Base: 76 tag management end users (percentages do not total 100 because of rounding) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 6. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 5 Figure 3 Firms Deploy Tags To Support Many Marketing And Analytics Capabilities “What types of tags do you deploy via your tag management system?” Web analytics 88% Search marketing 64% Ad serving 62% Affiliate marketing 59% Behavioral targeting 50% Testing 47% Audience measurement 42% Social media 38% Voice of the customer 26% (surveys and feedback) Recommendations 14% Other 5% Base: 76 tag management end users (multiple responses accepted) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 7. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 6 Figure 4 Few Firms Have Fully Formalized Processes For Tag Management “To what degree does your firm adhere to a structured process when adding, revising, or removing tags?” (Select one) Managing tags follows formalized processes 38% for some tasks but is mostly ad hoc Managing tags follows formalized processes for 28% most tasks, but some tasks are ad hoc Managing tags is predominantly an ad hoc process 26% Managing tags follows a highly formalized process 7% Other 1% Base: 76 tag management end users Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. Figure 5 Firms Prefer To Support Tag Management In-House “What is your preferred method of supporting tag management?” (Select one) Manage entirely in-house 66% Work with an external agency 20% or consultancy Work with our vendor’s professional 11% services group Allow vendor to manage the entire process 1% Allow external agency or consultancy to 1% manage the entire process Other 1% Base: 76 tag management end users Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 8. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 7 Figure 6 Marketing And Analytics Own Tag Management “What department in your firm is responsible for tag management?” Marketing 38% Web analytics group 28% IT 13% eCommerce 11% Business intelligence or corporate 4% analytics group Other 7% Base: 76 tag management end users (percentages do not total 100 because of rounding) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. Tag Management Systems Deliver Process Efficiencies First And Foremost TMS users have high expectations for tag management systems, seeking improvements in several areas, including condensed cycle times for tag additions and changes, faster page-load performance, and reducing the technical skills required to manage tags (see Figure 7). Reflecting the value of tag management systems, users report a variety of gains, concentrated heavily on process efficiencies (see Figure 8). The top three benefits reported by users ultimately yield reductions in the time required to manage tags. And the results are dramatic — the capability to implement new or revised tags within a single day leaps from 18% to 80% after users deploy a TMS (see Figure 9). © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 9. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 8 Figure 7 Users Look To Tag Management To Resolve A Variety of Challenges “Which topics represent the three greatest challenges that you seek to resolve with your tag management system?” (Select up to three) Duration of the process to implement new 45% or revised tags Website development and code release cycles 42% Page-load performance 36% The technical skills required to manage tags 32% The manual nature of managing tags 22% Flexibility to evaluate and adopt new vendors 20% Cost of managing tags 17% Data quality 13% Amount of time spent managing tags by staff 13% Ensuring consistency across pages and sites 12% Number of staff and departments involved 11% in managing tags Maintaining tags on a long-term basis 8% Removing old and/or decommissioned tags 7% from websites Enforcing standards and policies, such as privacy 4% Other 7% Base: 76 tag management end users (multiple responses accepted) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 10. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 9 Figure 8 Process Efficiencies Dominate TMS Benefits “What are the top three benefits your company has realized through tag management?” (Select up to three) Ability to manage tags outside of website 49% development and code release cycles Reduction in the duration of the process to 42% implement new or revised tags Managing tags requires less time by staff 33% Improved flexibility to evaluate and 28% adopt new vendors Ability to manage tags without coding or 26% advanced technical skills Improved page-load performance 22% Reduced cost associated with managing tags 17% Improved tag consistency across pages and sites 16% Tags are more accurate, resulting in improved data 13% quality, measurement, and marketing attribution Managing tags requires fewer staff 11% Ability to manage tags through 9% automated processes Tags have complete coverage, resulting in improved 4% data quality, measurement, and marketing attribution Ability to remove old and/or decommissioned tags 3% from websites Ability to enforce standards and policies, 0% such as privacy Other 1% No benefits 4% Base: 76 tag management end users (multiple responses accepted) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 11. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 10 Figure 9 Users See A Major Reduction In Tag Management Cycle Times “How long does it take on average to implement a new or revised tag?” 8% An hour or less 53% 7% Several hours 14% 3% A day 13% 17% Several days 9% 13% A week 3% 22% Several weeks 4% 12% One to two months 0% 9% Two to three months Prior to using a tag 0% management system 3% Using a tag Three to six months management system 0% 3% Longer than six months 1% 4% Don’t know 3% Base: 76 tag management end users (percentages do not total 100 because of rounding) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 12. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 11 The Accelerating TMS Market Gives Buyers Many options Historically, tag management system options have been very limited — users were consigned to developing home-grown solutions or working with niche vendors. Why is the market for tag management accelerating today? The combination of widely available commercial-grade TMS offerings and pent-up user demand creates a symbiotic relationship aimed at resolving long-standing, day-to-day pain points. Specialist and enterprise vendors are piling into the market to meet user demand, encouraging adoption with ever-improving solutions, and creating a healthy — or slightly overweight — dose of marketing and evangelization (see Figure 10). Although the TMS market is still in the early stages of development, vendors are already coalescing into several categories: ■ Digital intelligence vendors. At first blush, TMS promises of flexibility and control make analytics vendors’ interest in tag management counterintuitive.2 But vendors such as Adobe and IBM have more to gain from effective tag management than most. TMS capabilities expand their product footprints, manage data collection for their own product suites, and improve the overall manageability and cohesiveness of solutions delivered to clients. These vendors are well established and will appeal to firms that are heavily committed to their respective product lines, but their TMS offerings lack independence and focus heavily on managing their own data collection, often at the expense of third parties. ■ TMS pure plays. Most of the startups in the TMS market are pure plays. They are typically founded by former marketers, analysts, and consultants — many of whom have personally lived through the pain of tag management. Vendors such as BrightTag, Ensighten, Search Discovery, and Tealium are highly focused on tackling tag management head-on with the goal of delivering the most functional and easy-to-use TMS capabilities. These vendors are highly innovative and will appeal to analytics-led organizations, but as young companies, they are still developing their support infrastructures and credibility. These vendors are likely acquisition targets as the segment inevitably matures and consolidates. ■ TMS marketing platforms. TMS marketing platform vendors focus on developing tag management to support marketing capabilities. In addition to standalone TMS features, vendors such as DC Storm, Krux Digital, and TagMan see tag management as a foundational technology for attribution analysis, conversion tracking, and data management platforms. These vendors offer a broad marketing-oriented perspective that appeals to advertisers and publishers, but their marketing capabilities beyond core tag management are limited to specific use cases such as attribution analysis and data management platforms. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 13. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 12 Figure 10 The Tag Management Systems Vendor Landscape Tag Head- Management quarters product Pricing Vendor name Website URL location Product name available since model Adobe adobe.com San Jose, Adobe TagManager 2011 Free to Adobe Digital Calif. Marketing Suite customers, or CPM uplift to Adobe SiteCatalyst customers BrightTag brighttag.com Chicago BrightTag ONE 2010 Volume based on page views Cara Europe tagUNITE.com Munich, tagUNITE 2011 Free up to 20,000 page Germany views per month, then volume based on page views Datalicious supertag. Sydney, Supertag 2012 Volume based on datalicious.com Australia page views DC Storm dc-storm.com Brighton, Storm Container Tag 2009 Flat monthly fee UK per site Ensighten ensighten.com Cupertino, Ensighten Manage 2009 Volume based on Calif. page views IBM ibm.com/ Armonk, IBM Coremetrics 2011 Free to IBM marketing- N.Y. Digital Data Coremetrics solutions Exchange customers Krux krux.com San Krux SuperTag 2010 Volume based on Digital Francisco page views QuBit opentag.qubit London OpenTag 2011 Volume based on products.com page views Search search Atlanta Satellite 2010 Per product module Discovery discovery.com per site SiteTagger sitetagger.co.uk Cardiff, SiteTagger On 2009 Volume based on UK Demand and page views, do- SiteTagger Enterprise mains, and activity Tag tag Paris TagCommander 2010 Volume based on Commander commander.com page views TagMan tagman.com New York TagMan 2007 Volume based on page views per product module Tealium tealium.com Del Mar, Tealium IQ 2010 Volume based on Calif. visits New York Volume based on UberTags ubertags.com UberTags 2010 page views 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 14. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 13 Figure 10 The Tag Management Systems Vendor Landscape (Cont.) Number of tag Number of management enterprise tag clients in live management Additional Vendor name production clients Marquee clients platform offerings Adobe 167 125 Dominion Enterprises, Harrah’s Web analytics, site Resorts, Scripps Networks optimization, data Interactive, Vodafone management platform BrightTag 100 60 Crate and Barrel, Gap, Privacy management, JetBlueAirways, application tagging 1-800-Flowers.com Cara Europe 350 5 Allianz, Premium Bettwasche, None Sixt Rent a Car, Star Kauf Datalicious 30 3 Amaysim, Aussie, Bupa, Cross domain tracking, Unicef data collection DC Storm 100 40 EDF Energy, Low Cost Attribution management, Holidays, Play.com, uSwitch data integration, marketing reporting Ensighten 60 47 Dell, Microsoft Stores, Sony Privacy management, Electronics, United Air Lines application tagging IBM 0 0 None Web analytics, campaign management, interaction analysis Krux 14 3 BrainyQuote, NBCUniversal, Data management Digital YouBeauty, Wikia platform, web data protection QuBit 1,000 12 BBC, Financial Times, Office, Privacy management, Research In Motion attribution management Search 39 6 Assurant, Chick-fil-A, Privacy management Discovery J.P.Morgan, Ticketmaster SiteTagger 74 5 ASDA, AXA Bank, British Gas, Privacy management DSGi Tag 70 12 Bouygues Telecom, Privacy management, data Commander La Redoute, Levi’s, Meetic management, attribution management, conversion deduplication, application tagging TagMan 252 153 J. Crew, Kellogg’s, Marriott, Privacy management, Travelocity attribution management Tealium 102 35 News International, NHL, Privacy management, Nokia, Volvo application tagging UberTags 100 25 LexisNexis, Meredith, Sony Privacy management Electronics, The Limited 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 15. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 14 Figure 10 The Tag Management Systems Vendor Landscape (Cont.) Native API Implementation Deployment TMS Availability and Prebuilt Tag Vendor name Method Options Reporting functionality Integrations Adobe Browser side On demand No No Adobe products BrightTag Browser and On demand Yes Yes 300 tag templates server side tag management, data export Cara Europe Browser and On demand Yes Yes None server side tag management, tag delivery Datalicious Browser side On demand, No No 10 tag templates hybrid DC Storm Browser side On demand, Yes Yes 100 tag templates hybrid reporting Ensighten Browser side On demand, Yes Yes 75 tag templates hybrid, on premises tag management IBM Browser and On demand Yes Yes IBM Coremetrics server side tag management, products and four tag reporting templates Krux Browser side On demand, Yes Yes 15 tag templates Digital Hybrid tag management, reporting QuBit Browser side On demand Yes Yes 50 tag templates tag management Search Browser side On demand, Yes Yes Two tag templates Discovery hybrid tag management, data export SiteTagger Browser side On demand, Yes No 300 tag templates On premises Tag Browser side and On demand, Yes No 100 tag templates Commander server side hybrid TagMan Browser side On demand Yes Yes 275 tag templates data export Tealium Browser side On demand, Yes Yes 300 tag templates On premises administration UberTags Browser and On demand, Yes No None server side On premises 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 16. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 15 Look Beyond Basic Features and Hype To Differentiate Vendors Tag management systems are a relatively new class of application, and users should anticipate a dynamic vendor landscape populated by young companies and rapidly evolving solutions. Although the precepts of TMS are well understood, standard pricing models, semantics, and solution configurations still need to fully coalesce.3 Vendors are in a rush to build out their core products and establish a foothold in the market, leading to a surge in marketing activity, lookalike solutions, and conflicting claims. Users currently look at a wide variety of factors when selecting tag management systems, with top attributes spanning ease of use and management, pricing and cost of ownership, vendor service and technical capabilities, and tag support (see Figure 11). To differentiate vendors and determine the best fit for your respective TMS requirements, evaluate vendor capabilities on three dimensions: technical foundation, application features, and extensibility. Technical Foundation The technical foundation consists of the underlying design, operation, and delivery of the TMS application. ■ Infrastructure. As a predominantly on-demand solution, TMS infrastructure is critical for ensuring performance, uptime, and security. Users must evaluate vendor service- level agreements (SLAs) and technical factors such as data center or cloud service usage; disaster recovery and redundancy; and the use of content delivery networks or distributed infrastructure to support global deployments. ■ Deployment method. Users have a choice of several TMS application deployment methods. The default option for all vendors is on-demand, but several vendors support on-premises and hybrid deployments — where the client selects the location of the script code file. On-premises and hybrid options may appeal to organizations from regulated industries with significant security concerns. ■ Implementation method. TMS vendors offer a variety of implementation methodologies. Most vendors rely on client-side tag implementation, although a few emphasize server-side tag management. Both options require JavaScript tags, but the designation refers to where most tags are fired, either at the browser or server level. ■ Support and services. Users require support from vendors in addition to technology. A mature TMS offering features full technical documentation and robust technical support, including access via multiple channels and an online knowledge base. Users should also consider how vendors deliver professional services to support implementation, training, and strategic advisory. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 17. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 16 Application Features Application features represent the key components beyond standard TMS functionality that drive efficiency and the capacity for self-service utilization. ■ Partner ecosystem. Cutting and pasting tag code into a TMS is the most basic tag management feature, but it’s not efficient. Advanced TMS vendors partner with key interactive marketing and analytics vendors to prebuild common tags and offer user-friendly tag management templates to add and edit tags without writing or accessing code. ■ Workflow and user administration. Even with an efficient TMS environment, tag management will involve multiple stakeholders. Users should evaluate administration features to control user access to functionality and data. TMS workflow capabilities should be consistent with an organization’s own multistage processes for tag creation, quality assurance, and approvals. ■ Usability. An effective TMS user experience features a modern application interface based on common and intuitive interaction principles. The user interface (UI) should reduce complexity for nontechnical users with logical layouts and guided task flows and should support power users with functionality for efficient, granular management of large numbers of tags, vendors, and domains. ■ Native reporting. Many, but not all, TMS offerings feature native site and tag-level reporting to provide visibility to the tag management environment. Advanced reporting offerings include error reporting; attribution and conversion analysis; and page-load performance data, acting as a secondary audit point that complements existing analytics tools. Extensibility Extensibility provides the ability to leverage TMS features in multiple environments, from other applications, and alongside additional marketing and analytics functionality. ■ Environment support. Tag management users and vendors currently emphasize TMS support for fixed Internet websites. But as digital marketing increasingly moves beyond the website, users should consider TMS options that support instrumentation in multiple environments such as mobile websites, applications, and media platforms such as Flash. ■ TMS platform extensions. Beyond standard tag management functionality, determine what additional features the TMS platform can deliver to support your organization’s marketing and analytics requirements. Most TMS vendors offer privacy management capabilities, but many also offer additional functionality for attribution and data syndication. ■ Application programming interface. Application programming interface (API) usage in tag management is rare today but holds significant future promise. Not all vendors currently support APIs, but the feature is useful for bulk implementation of large numbers of tags, remote system management, developing custom user interfaces, and exporting data for advanced analysis. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 18. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 17 Figure 11 Users Avoid Complexity When Selecting Tag Management Systems “Which of the following are the five most important factors when selecting a tag management system?” (Select up to five) Ease of use 62% Ease of implementation and ongoing management 50% Pricing model 39% Vendor’s ability to service my business needs 33% Vendor’s infrastructure and scalability 32% Total cost of ownership 30% Implementation method (i.e., client-side JavaScript, server-side, etc.) 28% Breadth of tags supported 28% Standard features and functionality (such as rules, templates, version management, administration and workflow, etc.) 21% Vendor’s product support capabilities (live and online 16% support, knowledge base, documentation, etc.) Strength of vendor’s reference customers 14% Vendor’s reputation (e.g., known as a leader in this field) 13% Availability of advanced or proprietary features and functionality (such as API, privacy management, data syndication, etc.) 12% Professional services and training capabilities 11% Breadth of environments supported (such as website, mobile, applications, etc.) 9% Vendor’s thought leadership 8% Availability of a service-level agreement 7% Experience in our industry 7% The tag management application is a module within a larger suite of analytics and/or marketing tools 5% Vendor’s partner network 5% Deployment model (such as on-premises, on-demand, or hybrid models) 5% Vendor’s geographic coverage 1% Other 3% Base: 76 tag management end users (multiple responses accepted) Source: Q2 2012 Global Tag Management User Online Survey 74123 Source: Forrester Research, Inc. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 19. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 18 R e c o m m e n d at i o n s offset tag management immaturity with a holistic approach Tags have never been as important and pervasive as they are today, but managing them is a perpetual drag on resources and processes. The rapid acceleration of the TMS market over the past couple of years from obscurity to “the new black” clearly shows users’ excitement at the possibility of a better way to manage tags. But tag management is still immature. In a crowded, early-stage market, customer intelligence professionals must understand their exposures to tagging issues, identify which types of TMS vendor can support their needs, and conduct evaluations that go deeper than basic tag management features.4 To make the right choice: ■ Ensure comprehensive digital ecosystem coverage. Users must consider tag management solutions in the context of their own digital marketing and analytics requirements. To ensure a good fit, a TMS should support all internal and external users; the preferred tag management workflow; the full set of tags currently in use; and deployment to all web and application environments where an organization operates. ■ Prepare for the implementation and ongoing usage. Selecting a TMS is only the start of the tag management journey. Ultimately a TMS is simply an enabling technology. Planning is the key to long-term TMS success. Users must audit their current sites; schedule the transition of tags to the new system; conduct rigorous quality assurance to ensure continuity; train users on the new TMS application; and update tag management processes for effective governance. ■ Select a vendor for the long haul. TMS deployments are deeply embedded within organizations because of the implementation investment and centralization of data collection. Replatforming a TMS vendor is difficult, making selection of a vendor for the long term paramount. Beyond product and support capabilities, users must evaluate corporate health; the product mix; the management team and board of directors; funding; and the customer base to ensure that their vendors can provide support today as well as in the future. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
  • 20. For Customer Intelligence Professionals Understanding Tag Management Tools And Technology 19 Supplemental MATERIAL Methodology Forrester fielded its Q2 2012 Global Tag Management User Online Survey to 76 individuals who are current users of tag management systems. For quality assurance, all respondents were required to provide contact information and answer basic questions about their firms’ revenues, location, and type of business. Forrester fielded the survey in May and June 2012. Respondent incentives included receiving a copy of the published research. Exact sample sizes are provided in this report on a question-by-question basis. This data is not guaranteed to be representative of the population. Unless otherwise noted, statistical data is intended to be used for descriptive and not inferential purposes. While nonrandom, the survey is still a valuable tool for understanding where users are today and where the industry is headed. Endnotes 1 We determine interest in this context in two ways. First, Forrester is experiencing a significant and sustained volume of analyst inquiries on the topic of tag management. Second, data gathered during the research process shows that the majority of vendors in this report are experiencing substantial new customer growth. 2 A tag management system supports any number of tags from multiple applications and applies those tags to any page. This increases the flexibility of firms to run tags on specific pages, add or remove vendors and agencies, and run proof-of-concept projects. A big payoff: reduced switching costs and reliance on any single supplier. See the December 22, 2010, “How Tag Management Improves Web Intelligence” report. 3 The most viable option for maintaining tags falls to an emerging class of applications called tag management systems. These solutions replace individual on-site tags with a single master tag and aggregate tag execution and maintenance to a consolidated management application. See the December 22, 2010, “How Tag Management Improves Web Intelligence” report. 4 Tag management success starts with a comprehensive audit to identify how tags currently integrate with your website. What does the website tag audit entail? CI professionals must apply a framework to assess key website measurement, performance, and management characteristics to evaluate the common drivers of tag management issues. See the December 22, 2010, “How Tag Management Improves Web Intelligence” report. © 2012, Forrester Research, Inc. Reproduction Prohibited August 15, 2012
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