l watson how the era of big data is changing the practice of digital marketing 27-mar-13

© Copyright 2013 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

How the Big-Data Era is Changing Digital Marketing 27 March 2013

Lisa Watson

Regional Segment Development Manager, HP PPS GSB APJ

Chairman, Direct Marketing Association of Singapore

© Copyright 2013 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice. 2

My Remarks This Afternoon

Big Data Demystified

What Big Data Means for Consumers

How Big Data Changes the Marketer‘s World


So What’s Big Data All About?


What is Big Data?

2 billion hits (0.37 seconds)

Wikipedia

SAS Oracle IBM


Wikipedia Has a Great Definition


How Big is Big?


Big Data Makes Every Data Activity More Important

Collection Storage Use


… almost no interaction today, commercial or otherwise, is even thinkable without an exchange of information or data taking place

After All …

thinkable


Consumers Are Not Exactly Happy…

privacyinternational.org


A Terrible Story for a Teenager


15 January: Facebook News


15 January: 584 million hits


11 March: More Facebook News


19 March: Data News #1


The Story of the Pig Barn…


The Story of the Pig Barn…

If you’re not paying for it, you’re not the customer;

you’re the product being sold


What This Means for Marketers

The customer is integral to our business value


Big Data Makes Every Data Activity More Important

Collection Storage Use


This Sounds Great, BUT the Old Way of Marketing is Over…


Because the Customer’s World Has Changed

More POWER More choice

More information


This Happened on Facebook Jan 2013


We Want a Puppy

7 hours!


5 days


Marketers Must Move from VOLUME to VALUE

The RIGHT Customer The RIGHT Product The RIGHT Channel

The RIGHT Time The RIGHT Message

Mass Communication

VOLUME

Personalization & Customization

VALUE

Relevance


For Marketers, (Big) Data is Oxygen!

Customized

Personalized

Targeted

Accountable


Personalization Can Be Simple


My Favorite Example…

MY Name!


Personalization & Customization Work Together


Eric vs Erin: The Gifts are Personalized & Customized


Why Personalization & Customization Matter Response Rates Increase

Typical response rates, static and personalized campaigns

(Data source: Caslon analysis of PODi and DMA data)

0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% 8.0%

Direct sale

Lead generation

Lead nurture

Loyalty

Fundraising

Cam

paig

n o

bje

cti

ve

DMA (static) PODi (personalized)Copyright 2008 Caslon & Co.


A World-Class Example … with a

Twist!


Colruyt Group

http://www.colruyt.be/colruyt/static/1024/nl.shtml

http://www.colruyt.be/colruyt/static/1024/nl.shtml


Colruyt Stores – Belgium

Guaranteed lowest price in market

No advertising

They have specials every 2 weeks FOR MEMBERS ONLY

2.1 million members receive mailings twice a month


Colruyt Stores - Belgium

32 pages 4 pages Great Prices Selected for

You


Results – Part 1

On top of their lowest price guarantee for each product at every moment, they provide MORE:

– Efficiency: • Concentrating useful promotions in smaller document less time & effort to plan

• Make sure customers obtain maximal benefit especially over longer periods

– Sustainability: • Greener promotions: 1.600.000 * 16 pages * 26 leaflets =

665.600.000 pages saved

– Servicability:

• Helping customers choose & gain time by limiting the number of coupons

= Basics of Colruyt communication


Results – Part 2

More HH use coupons

More coupons used per HH

More € spent per HH


Linking Print & Pixels – The World of O2O (Offline to Online)

Definition

Offline 2 Online or

Online 2 Offline

Why

$$$$$$$$$

Impact

Bridges the Great Digital Divide

Scope

QR Codes

Security measures

Augmented Reality


So, the Key to Successful Marketing is Building Trust


When Trust is Lost, the Consequences can be Serious…


So, in Summary…

Big Data is both good & bad news for marketers – it means both opportunity & responsibility

Consumers have a love-hate relationship with Big Data – used well, result is Customer Delight!

In the end, to be successful Big Data needs Big Trust – which we,

as marketers must EARN!

© Copyright 2013 Hewlett-Packard Development Company, L.P. The information contained herein is subject to change without notice.

Thank you

Lisa Watson Regional Segment Development Manager, HP PPS GSB APJ Chairman, Direct Marketing Association of Singapore [email protected]

l watson how the era of big data is changing the practice of digital marketing 27-mar-13

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