cmo council & vince ferraro trends, directions and insights

Welcome to Response Expo 2013

Presented by

April 2-4, 2013 Hilton San Diego Bayfront

Educational Session Sponsor

CMO Council & Vince FerraroTrends, Directions and InsightsTrends, Directions and Insights

Vince FerraroFormer VP of Corporate and Consumer Marketing,

Eastman Kodak CompanyCMO Council Board Advisor


Why Am I Here?

• Share my marketing thoughts, insights, and experiences

• As a marketing practitioner that procures all elements of the marketing mix


elements of the marketing mix• As a direct response customer, providing a

different perspective on the role of creating and managing a successful marketing mix

What Is Direct Marketing?

Direct marketing is a an interactive system of marketing designed to effect

a measurable response and/or


a measurable response and/or transaction at any location using one or

more communication or advertising media.

And Herein Lies the Challenge

Almost every thing we are doing in customer interfaced marketing and communications can fit that definition.


communications can fit that definition.

… But more on that later

What I Will Cover

• Research from the CMO Council that will highlight C-level executives’ sentiments on the trends in the marketing mix

• The role of direct response in a integrated


• The role of direct response in a integrated marketing campaign

• Thoughts on how the direct response community can get a greater share of our marketing budgets

We Are After the Same Thing!


Source: http://www.4webmarketing.biz/sitemap.htm

New customers, conversion, sales

And Response Marketing is Evolving


How Many Marketers View Direct Response


The CMO Council

6,500+Senior Corporate Marketing

Leaders

$350 billion$350 billionin annual marketing spend

controlled by CMO Council

Members

SevenInfluential regional chapters

led by Advisory Boards of

brand leaders

RESEARCH


RESEARCHState of Marketing 2012

CMO Council

THE MULTI-CHANNEL CUSTOMERCUSTOMER

144.8 billion emails sent worldwide…per day

8.6 trillion SMS messages sent

228 billion MMS

554 million pieces of USPS mail processed per day

228 billion MMS messages sent

5.5 trillion App messages sent

Channel Reality: Email

• Email click thru drops to 4.4% in Q2 of 2012. Open rates drop to 25.6%

• Email volume is dropping – down nearly 30% year over year in 2012nearly 30% year over year in 2012

• 40% of BtoB marketers still believe leads from emails still high quality

(Source: Epsilon)

Channel Reality: Social

What do they like?• 67% of consumers want to be

eligible for exclusive offers• 60% want the opportunity to • 60% want the opportunity to

interact with other customers• 65% want to gain access to

games and contests

(Source: CMO Council “Variance in Social Brand Experience)

Channel Reality: Digital & Mobile

• 90% of online searches result in an offline purchase

• 61% of mobile searches result in a phone call phone call

• 70% of mobile searchers will act within an hour

• 30% of PC searchers will act within that same time period.

Customer Reality: Over It

What’s the reaction?• 41% would consider halting all

business and no longer purchase from a company that continues to send impersonal, irrelevant clutter

Customer Reality: Over It

Why did they disconnect or opt-out?• 46% because communications

were not relevant to themwere not relevant to them• 73% were irked over receiving

a promotion on a product they already bought

• 39% ignore messages because they are flooded (in their mailbox and inbox)

THE MULTI-CHANNEL MARKETERMARKETER

by 2017 the CMO will spend more on IT than on IT than the CIO

- Gartner, January 2012

36% of marketers admit digital strategy is made of is made of random point solutions

- CMO CouncilIntegrate to Accelerate Digital Marketing

Performance

Where Have You Seen Digital Success?

Where Will You Invest In The Next 12 Months?

traditiona l digital

How Has Social Impacted Marketing?

① Improved customer listening & engagement

② Opened new avenues to gather insightsinsights

③ Increased the complexity of planning

Blatantly web-jacked from Brian Solis www.briansolis.com

Blatantly web-jacked from Luma Partners: http://www.lumapartners.com/lumascapes/social-lumascape/

What Concerns You About Social Investments?

① Requires resources we don’t have

② Can’t quantify ROI or impact on brandon brand

③ Requires new competencies we don’t have

④ I can’t control what’s said about my brand online

What Concerns You About Social Investments?

① Requires resources we don’t have

② I can’t quantify ROI or impact on brandbrand

③ Requires new competencies we don’t have

④ I can’t control what’s said about my brand online

2013 MARKETING SPEND INTENTIONSINTENTIONS

Marketing’s Mandate

① Lower costs & improve go-to-market efficiencies

② Grow & retain market share③ Drive top-line growth③ Drive top-line growth④ Maintain high quality sales

pipeline⑤ Improve customer insights

Budget as % of Revenue

Operational Allocations

Program Spend

Value of Vendors & Partners

Why So Down?

IN SEARCH OFTHE KINGTHE KING

where are the digital

hero's?hero's?9% enjoy highly evolved digital programs

4% feel they are leading their category

7% are extremely advanced in leading with data

What Are the Leaders Doing?

• They have high levels of approval and strategic support at the LOB & CEO level

• Formed task forces with IT and • Formed task forces with IT and partner with CIO

• Turning to customers – not internal teams – to identify valued technologies and channels

What Are the Leaders Doing?

• In the next year they will add:Marketing resource managementCampaign & workflow management

• 72% focused on the delivery of • 72% focused on the delivery of timely, relevant and targeted communications

• Measure success through:Conversion ratesUp-sell & cross-sell opportunitiesResponse and engagement rates

Change Management in C-Suite

• Big Data• Customer Experiences• Customer Engagement• Customer Engagement

…


To do all of this heavy lifting, marketing needs be viewed as a center of excellence and take on dual roles as functional and business leader

Where Marketing Needs Help


Source: The Economist Intelligence Unit Limited 2012

How can you help us?

It is All About Integration


Source:www.jamalaplanit.com

All of Marketing Is Content


Integrated Marketing Requires Content to Be

ActionableContent in action


http://www.interleado.com/images/call%20to%20action.jpg

And Actionable Marketing Requires a Call to Action


Move Towards Integration and Personalization


Conclusions


Conclusions

WHERE YOU CANGO WITH YOUR CUSTOMERSGO WITH YOUR CUSTOMERS

beDISRUPTIVE!

Customer Evolution = Customer Revolution

Social, Social, Social

Have LOTS of BFF ’s

Encourage Disruption..Then Make A Commotion!

Finding the Rosetta Stone

Social Customer Engagement

Help Us Solve This Problem


Direct ResponseBranding

Lead GenerationImage and Reputation

SweetSpot

Partnering for the Future

• Embrace the collision of direct response, branding and social media

• Realize that just about everything we do in marketing has some call to action

• Help us reach and engage our customers in new and


• Help us reach and engage our customers in new and innovative ways

• Participate more fully in marketing integration programs and tactics

• Position direct response as a strategy not a tactic• Partner with us and other agencies that compliment your

strengths

THANKS!

Vince FerraroFormer Vice President of Corporate and Consumer Marketing Eastman Kodak Company

@vincelferraro

[email protected]

www.cmocouncil.org

www.VincentFerraro.com

Questions


cmo council & vince ferraro trends, directions and insights

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