january 28 • nyc 2014 - dmnews.commedia.dmnews.com/documents/65/mtps_2014_ebook_16180.pdf ·...

January 28 bull NYC 2014

Sponsored by

New technologies and rising customer expectations compel marketers and their tech-

nology colleagues to work hand-in-hand so itrsquos imperative that those teams align their

goals and create an ongoing partnership Whether in data e-commerce IT or Web devel-

opment these scientists and technologists can enhance marketing performance in ways

marketers cannot achieve alone

The Direct Marketing News MarketingampTech Partnership Summit was designed to foster

deeper collaboration between marketers and their technology colleagues improve mar-

keting performance and business results What follows are the stories told by and about

the presenters While they may have varied perspectives they all agree that collaboration

is essential Read on to learn how to achieve it in your organization


WHY MARKETING-TECH COLLABORATION

When marketers and technologists come together it

creates a united front that delivers better data and more

profitable results

2

4 DONrsquoT FIGHT HACKERS JOIN THEMIf you want to win the digital marketing wars of the future yoursquove got to start hacking says Mondelez Internationalrsquos VP of global media

5 DIGITAL ISNrsquoT AN ODDITY ITrsquoS A NECESSITYLike it or not today all brands are in the technology business says Aaron Shapiro CEO of Huge speaking at the MarketingampTech Partnership Summit in NYC

6 COLLABORATION MAY BE KEY TO IMPROVING CUSTOMER ACQUISITIONMarketing teams canrsquot do it alone Collaborating with tech teams is key in growing customer base

7 DATA GO BIG OR GO HOMEThe million dollar question posed at the 2014 MarketingampTech Partnership Summit What can marketers do to take best advantage of the Internet of Things

8 TURNER SPORTS USES BIG DATA TO ldquoFUTURE PROOFrdquo ITS MEDIAThe sports media company attempts to emulate Netflixrsquos model to provide a greater viewing experience

9 JHILBURNrsquoS CUSTOMER EXPERIENCE IS MADE TO ORDERSay what you will about direct selling for custom menrsquos luxury clothier JHilburn direct-to-consumer is the perfect fit

10 FOR AOL PAID SERVICES OPTIMIZATION IS THE NAME OF THE GAMEThe organization implemented a new marketing solution to target customers with more relevant offers

11 WHO REALLY ldquoOWNSrdquo CUSTOMER DATAWith Big Data comes big responsibility So between marketing IT and legal who exactly owns this data Winterberry Grouprsquos Bruce Biegel breaks down data own-ership once and for all

12 THE FUTURE IS IN PRESENT TENSE MARKETINGLifecycle campaigns need to be placed in the context of a customerrsquos daily activities

13 MARKETING CONVERSATION STARTERS20 opinions observations and recommendations that will get you thinking about how to approach marketing in 2014 and beyond

TABLE OF CONTENTS4

6

9

12

3

THE CLOCK IS TICKING ON MARKETERS

faster than it ever has according to Mon-

delez International VP of Global Media and

Consumer Engagement Bonin Bough ldquoIt

took TV 13 years to reach an audience of

50 million It took mobile only two years

to get thererdquo the man who handles brands

like Oreo and Ritz told attendees of the

Direct Marketing Newsrsquos Marketing amp Tech

Partnership Summit

ldquoItrsquos said that by 2020 all the products

in a grocery store will be connected to

the Web That means we might be one of

the biggest tech companies in the worldrdquo

Bough said Did he and Mondelez turn to

their global agency networks to help pre-

pare for this scary eventuality No they

turned to startups

ldquoThe best way to predict the futurerdquo said

Bough with a twist on a famous quote ldquois to

hack itrdquo It was hackers he said who created

the mobile industry and social media and

hackers who are now conquering the ldquoFinal

Frontierrdquo finding ways to monetize space

travel ldquoWhere some see dead ends hackers

see open doorsrdquo he remarked ldquoWe are liv-

ing in a time where therersquos an opportunity to

take advantage of this We can learn how to

create value by breaking thingsrdquo

Not long ago a couple of Mondelez

brand managers approached Bough with

an idea to take advantage of gaming apps

to expand the reach of their brands among

young targets He thought it was a promis-

ing idea until they said they wanted to go

to their agency partners to create the pro-

gram ldquoNordquo Bough protested ldquoGo to the

guys who build the mobile gamesrdquo

They wouldnrsquot listen Both launched

game apps with each gaining in excess

of 50000 dowloads Wanting to prove

them wrong Bough enlisted the Oreo

brand manager to hook up with a game

app maker called Pick Pock and create a

game called Twist Lick and Dunk Pre-

senting it as a competitive game app and

not a brand app even selling in-game ads

to non-Mondelez brands the Oreo game

scored 4 million downloads 250 million

daily users and was for a time the No1

game app in 12 countries

ldquoWe saw that there was an opportunity

to make money off our mediardquo Bough said

ldquoThe brands were worried that competitive

brands would advertise I said lsquoIf competi-

tive brands are stupid enough to advertise

on the Oreo app Irsquoll take their money all

day longrsquordquo

Hack your marketing channels said

Bough and you could learn to make your

media go farther or even turn them into rev-

enue-generating operations ldquoThink about

Angry Birds and Cut The Rope They have

800 million users I want that I want to lo-

cate people and target themrdquo he declared

ldquoThe mobile phone is the new CRM plat-

form itrsquos the new premier targeting toolrdquo

Television still commands some 80 of

CPG company budgets noted Bough and

so CPG companies that arenrsquot finding ways

to integrate their TV spend with social and

mobile components are truly missing the

boat ldquoWhen we run TV and mobile cam-

paigns for a brand at the same time we see

[two times the increase] in effectivenessrdquo

Bough said

Mondelezrsquos Trident gum brand did a

content-based program with the Fuse TV

network and Twitter that tracked tweets

about the music their young targets were

listening to That turned into real-time cov-

erage of the Trident-Twitter Heat Tracker

on Fuse and compounded results for Tri-

dentrsquos media dollars ldquoWith Fuse alone we

could reach 18 of our demordquo Bough said

ldquoBy adding Twitter we reached 50rdquo

To make what Bough calls the ldquoHackon-

omyrdquo part of Mondelezrsquos culture the com-

pany sponsored an open call for startups

to present them with campaign proposals

From 300 submissions nine startups were

chosen to pair with nine brands who worked

with agency media and retail partners to

construct programs There were three rules

participating brands had to guarantee an

investment they had to launch the program

in 90 days and brand leaders had to spend

one week working at the startups

ldquoIf yoursquore working in the hacker commu-

nity you have to work quicker We give a six-

month timeframe to a startup and they say

lsquoHey we donrsquot know if wersquoll be here in six

monthsrsquordquo Bough noted adding that there

was an even bigger risk tied to the concept

ldquoBrand managers came back and asked

me if they should leave and join startups

and I said lsquoNo no norsquordquo Bough recalled

IF YOU WANT TO WIN THE DIGITAL MARKETING WARS OF THE FUTURE YOUrsquoVE GOT TO START HACKING SAYS MONDELEZ INTERNATIONALrsquoS VP OF GLOBAL MEDIA BY AL URBANSKI

DONrsquoT FIGHT HACKERS JOIN THEM

Partnering with start ups is a great way to create an ldquointrapreneurialrdquo culture and drive Hackonomy says boughb DMNMktgTech

Mish Fletcher mishfletcher

WATCH THE FULL SESSION

4

BUSINESSES ARE TRANSFORMING

Actually a more accurate way to put it

would be that the world is transforming

and business needs to keep up

ldquoTherersquos been an organizational shift as

digital moves from the oddity that only a

few people in the company do to a main-

stay of American businessrdquo said Aaron

Shapiro CEO of Huge speaking at the Di-

rect Marketing News MarketingampTech Part-

nership Summit

Look at Pizza Hutmdasha company that lit-

erally started in a hut in Kansas hence the

name Today itrsquos the biggest seller of piz-

za in the world with about $55 billion in

revenue But even more noteworthy than

the notion that the worldrsquos citizens eat that

much pizza every year is the fact that $205

billion of that came from online sales

So what happens when the vast ma-

jority of your revenue is generated via

the Web Today storefronts ldquoare like bill-

boards to drive you to the Web to buy

through e-commercemdashthe business model

has flippedrdquo Shapiro said

In a way Pizza Hut is no different than

Amazon In a way no business today is all

that different from Amazon

ldquoLike it or not everyone in this room

is in the technology business no matter

what business you think yoursquore inrdquo Shapiro

said ldquoWhether you sell pizza or footballs

or whatever yoursquore a technology compa-

ny just like Amazon or Googlemdashand if you

donrsquot think that way yoursquore not set up to

be successful in the futurerdquo

But there is a nuance there Amazon was

built from the ground up as an Internet busi-

ness A brand like Pizza Hut started out in

the retail environment and has had to tran-

sition online That however is irrelevant in

the face of consumer expectation Digital is

the most viewed form of mediamdashit exceed-

ed TV for the first time in 2013 (516 versus

431 hours)mdashand the majority of the global

population (52) is post-digital meaning

they donrsquot remember a pre-Internet world

And itrsquos more than a trend itrsquos the

lens through which all brands now need

to view their marketing and technology

processes to have any chance of beating

out the competition When the members

of the millennial generation hit their late

20s and early 30s their buying power will

come into its lucrative maturity

ldquoThis is the demographic that every

brand that exists will be targetingrdquo Shapiro

said ldquoThis will be very destabilizing for how

a lot of us do marketing going forwardrdquo

Millennials are looking for instant gratifi-

cation which means the technology has to

keep up They also expect all the informa-

tion they need to be easily accessible online

So what can brands do to embrace the

new reality and deliver the kind of expe-

rience convenience and speed that dig-

ital-first consumers expect Shapiro got

down to brass tacks

1 Think about consumers as users

ldquoThe old-school business model is that the

consumer is king Consumers are import-

ant of course but I would argue that this

new environment is about a larger audi-

ence I would call users people using your

digital footprintrdquo

2 Have a relentless focus on meet-

ing user need ldquoGrow your user base and

customers will follow Consumers are real

people going to your website to accom-

plish real thingsrdquo

3 Have a lsquosoftware layerrsquo ldquoNo one

wants to talk to you or to get your bro-

chure To move toward a digital future

there should be a layer of software around

your businessmdashpeople are not picking

up the phone theyrsquore engaging with you

through your softwarerdquo

4 Implement user-centric manage-

ment ldquoManage with the user in mind The

path to profitability is the ability to bal-

ance three things user goals business

goals and technical feasibilityrdquo

5 Be a concentric organization ldquoRath-

er than thinking you need a whole orga-

nization of digitally savvy people realize

that you need a digital core in the business

to think about the internal process which

should be as simple as how Facebook en-

ables a broad swath of people with no In-

ternet expertise to communicate with the

world digitallyrdquo

6 Understand the concept of dispos-

able technology ldquoTechnology is not a

capital investment itrsquos an ongoing oper-

ational expense Companies that embrace

the Web ethos quickly iterate constantly

improve and throw away if necessary You

canrsquot just build something once and never

change it againrdquo

7 Develop higher-calling products

ldquoDigital commoditizes everything Blend

product and marketing together through

the notion of utility marketing Old-school

marketing is about telling you something

Because digital is about infinite choices

the new world is about providing utility so

that I proactively engage with the brand

Look at the Nike Fuel Band Is it a product

or is it marketing Itrsquos a product because

we buy it but itrsquos also a social objectrdquo

8 Provide bilateral customer service

ldquoCustomers have bought your product now

how do you keep them happy Millennials

donrsquot want to talk to anyone They want to

solve their problems themselves digitally

and fastmdashbut when theyrsquore confused they

want to talk to someone right away A lot of

people approach customer service thinking

of cost but building strong digital custom-

er service can keep costs down and provide

a better net experiencerdquo

LIKE IT OR NOT TODAY ALL BRANDS ARE IN THE TECHNOLOGY BUSINESS SAYS AARON SHAPIRO CEO OF HUGE SPEAKING AT THE MARKETINGampTECH PARTNERSHIP SUMMIT IN NYC BY ALLISON SCHIFF

The danger of becoming too data driven you forget all those bitsbytes are actual ppl DMNMktgTech

Banafsheh Ghassemi banafshehg


DIGITAL ISNrsquoT AN ODDITY ITrsquoS A NECESSITY

5

IT TAKES MORE THAN THE MARKETING

arm to pull in new customers these days

ldquoKiller creative doesnrsquot get the job done

you have to combine marketing and tech-

nologyrdquo said Greg Grdodian CEO at Reach

Marketing at the Direct Marketing News

MarketingampTech Partnership Summit held

January 28 in New York City

After a month of such collaboration fi-

nance media outlet Source Media increased

subscriptions by about 1000 200 more

than what was expected when the compa-

ny partnered with Reach Marketing

Grdodian asserts that any company can

achieve similar results but not without col-

laborating with tech teams ldquoWe run into sit-

uations where marketers have great creative

and they just want to go immediatelyrdquo Grdo-

dian said ldquoOur approach is to plan togetherrdquo

At the same time data is largely useless

without the studied hand of marketing ldquoYou

can have all the tech in the world but you

have to implement itrdquo said Adam Reinebach

EVP of Marketing Solutions at Source Media

The key to Source Mediarsquos success and

potentially other businessesrsquo boils down to

proper execution of three phases discov-

ery blueprinting and execution

DISCOVERY ldquoYou have to start with accuracy Identify

active and inaccurate records and take ac-

tionrdquo Grdodian said

Every database has this dead data

Therersquos little to be gained from marketers

maintaining messaging with customers

that no longer interact with their brand

Therersquos even less to gain in engaging faulty

accounts founded on inaccurate informa-

tion in the first place ldquoYou want to ensure

the records are accurate in your database

and analyze potential traps in the data-

baserdquo Grdodian said This is nearly impos-

sible for marketers to get right on their

own so they must collaborate with tech

Marketers should also work with tech

to enhance the firmographic records in

their databases This is the key to gaining

and maintaining relevance according to

Grdodian The marketing world continues

to adopt personalization techniques Per-

sonalization is entirely predicated on rele-

vance ldquoRelevance is kingrdquo Grdodian said

ldquoYou canrsquot be relevant if you donrsquot under-

stand who your customer is You canrsquot per-

sonalize if yoursquore not relevantrdquo

BLUEPRINTINGAs with most things preplanning is abso-

lutely essential for the marriage of tech

and marketing to prove fruitful This is also

where the data curation during the discov-

ery phase proves its value

With help from tech marketers should

be able to create customer footprints from

all this data footprints that enable cloning

Cloning according to Grdodian enabled

them to identify unique individuals both

inside and outside of Source Mediarsquos cus-

tomer base

Additionally marketers should utilize

the blueprinting phase to test creative ldquoItrsquos

critical for marketers to test creativerdquo Gr-

dodian stressed ldquoA campaign can do well

now but what about in six monthsrdquo

EXECUTIONExecution is everything After so much plan-

ning and testing and analyzing itrsquos all for

naught if marketing and tech cannot execute

as a unit ldquoYou went through the effort and

generated clicks Donrsquot just throw it away

You have to finish that racerdquo Grdodian said

Grdodian and Source Mediarsquos Reinebach

posit that creative in this phase should be

cohesive consistent and concise Market-

ers should be sure the prose in their con-

tent is both original and SEO friendly Note

though the two are symbiotic ldquoThere are

a jillion ways to get SEOrdquo said Reinebach

ldquoIf you donrsquot have rich content your SEO

will be limited If you want SEO you have to

have original contentrdquo

In Source Mediarsquos case video was ex-

tremely effective but many businesses

mishandle video through unrealistic expec-

tations ldquoFrom a sales perspective itrsquos not a

numbers gamerdquo said Reinebach ldquoA video

about your CEO wonrsquot get two million views

But if hersquos talking about business you might

get 5000 from people that matterrdquo

Additionally this phase is where rele-

vance and personalization manifest their

critical nature but only when handled cor-

rectly ldquoPersonalization is not lsquoHi Greg Hi

Larryrsquordquo said Grdodian ldquoIt has to do with

who I am what I do and how you can help

me in my personal liferdquo

MARKETING TEAMS CANrsquoT DO IT ALONE COLLABORATING WITH TECH TEAMS IS KEY IN GROWING CUSTOMER BASE BY PERRY SIMPSON

COLLABORATION MAY BE KEY TO IMPROVING CUSTO-MER ACQUISITION


6

IN A WORLD WHERE YOUR REFRIGER-

ator will soon be able to alert you when

yoursquore running low on milk Big Data is

about to get even bigger Hence the million

dollar question posed at the Direct Market-

ing News 2014 MarketingampTech Partnership

Summit What can marketers do to take

best advantage of the Internet of Things

There are already 28 billion people

onlinemdasha number forecasted to grow by

roughly another billion by 2017 By the year

2020 there will be about 200 billion devic-

es connected to the Internet Wearables

the connected homemdashthese things are not

here in full force just yet but their time is

coming soon

ldquoWhen it comes to data no one can sit

on their laurels todayrdquo said Barton Gold-

enberg founder and president of custom-

er-centric strategy firm ISM ldquoWhat does

that whole new wave create A whole new

challenge for the marketing communityrdquo

Historically marketers have thought

of themselves as half-scientist half-art-

ist These days itrsquos becoming more about

what Todd Cullen global chief data officer

of OgilvyOne refers to as ldquothe geek versus

the creativerdquo in other words the need to

embrace both technology and creativity to

have any chance at marketing success in

the digital age

ldquoItrsquos about collaborationrdquo said Cullen a

self-proclaimed data geek with a creative

bent ldquoThere is a new role for data experts in

marketing as stewards we donrsquot often think

of ourselves from that point of view but we

probably shouldmdashitrsquos a noble and responsi-

ble calling to handle consumer datardquo

Data is becoming the ldquocommon lan-

guage we use to converse as people as an

industry and as colleaguesrdquo Cullen said

ldquoItrsquos no longer a strategic imperative to

master analytics itrsquos a givenmdashtoday itrsquos the

price of admissionrdquo

Itrsquoll take some time to adjust but when

marketing and tech work together the

results can be just what the consumer or-

dered what Goldenberg calls ldquoinsight-driv-

en management decision-makingrdquo

One salient example comes from Gilt

Groupe an e-commerce site that offers

members exclusive deals on high-fashion

brands through limited online offers But

the company noticed that while its flash

sales were driving healthy competition

among members vying for access to spe-

cific luxe brands they also caused frustra-

tion when consumers werenrsquot able to get in

on the action in time

Gilt conducted market research into

the issue including qualitative and ethno-

graphic studies and walked away with this

golden insight straight from the mouth of

the consumer ldquoIf Irsquod only known my brand

was on salerdquo That finding led directly to

the launch in August of Giltrsquos ldquoYour Person-

al Salerdquo functionality Included within the

mix of regular daily sales personal sales

are now generated by an algorithm and tai-

lored to each member based on past pur-

chase behavior demographics and sea-

sonal data Members are alerted by email

to ensure they donrsquot miss out

ldquoIt was a true collaboration between

technology marketing and merchandiz-

ing and it allows us to create a truly per-

sonalized customer experiencerdquo said Ta-

mara Gruzbarg senior director of analytics

and research at Gilt ldquoThere is no shortage

of data and frankly with as much as we

know about customers we donrsquot have an

excuse not to be personalizedrdquo

THE MILLION DOLLAR QUESTION POSED AT THE 2014 MARKETINGampTECH PARTNERSHIP SUMMIT WHAT CAN MARKETERS DO TO TAKE BEST ADVANTAGE OF THE INTERNET OF THINGS BY ALLISON SCHIFF

DATA GO BIG OR GO HOME

Data needs to impact storytelling in marketing says Tamara Gruzbarg from GiltGroupe DMNMktgTech

Allidura Allidura


7

So instead of trying to redefine its own

data model Turner Sports decided to em-

ulate the leader in the video-on-demand

(VOD) Big Data space Netflix

FOLLOW THE LEADERMore than 44 million users in more than

41 countries watch the Internet television

network for more than one billion hours a

month according to Netflixrsquos website And

the company knows what itrsquos customers

like to watch About 75 to 80 of the vid-

eos that users watch on Netflix are due to

its recommendations Scott told attend-

ees Once Netflix hooks its viewers it locks

them in According to an online survey

conducted by Harris Interactive on behalf

of Netflix 61 of US adults who stream

TV shows at least once a week binge watch

(ie watch between two to six episodes of

the same TV show at one time)

ldquoNetflix is kind of like a drugrdquo Mirman

said ldquoHow do you create the new drug

How do we create that same type of

model so we capture more of the view-

ing experiencerdquo

To model the VOD kingrsquos use of data

to drive personalization Turner Sports ac-

quired digital publishing platform Bleacher

Report in August 2012 Bleacher Report is

a ldquoone-stop shoprdquo for sports news that cu-

rates content from across the Web Before

the acquisition Bleacher Report launched

its app Team Stream in February 2011

Then in March 2012 Bleacher Report went

on to personalize its homepage with Team

Stream the company was acquired five

months later

Herersquos how it works Consumers can

download the Team Stream app and se-

lect which sports teams they want to fol-

low By enabling push notifications the

app can then send users real-time alerts

scores stories and streams about their

select teams Users can also share news

about their teams with friends via social

email or text Seeing what teams fans fol-

low and what content they click on gives

Turner Sports the data it needs to provide

more tailored experiences Scott said that

the company also uses AB testing to help

shape its content For example it might

run a story about the LA Lakers with two

different images then track which image

drives more clicks and adjust its imagery

and content accordingly

ldquoBleacher Report has been a great way

to leverage your thinkingrdquo Scott said

So far the acquisition has proven to

be a success According to Turner Sports

more than 263 million unique users visit-

ed Bleacher Reportrsquos online and mobile

platforms this past Octobermdasha 28 boost

since March 2013 Mobile unique users ac-

counted for 44 of the websitersquos content

consumption October 2013 according to

Turner SportsBleacherReportcom had

about 331 million page views and 128 mil-

lion visits in 2013

In addition to learning more about its

users through Bleacher Report Turner

Sports has also been able to learn more

about them through Facebook Login Face-

book Login allows consumers to sign in to

websites through their Facebook account

and allows marketers to access a ldquotreasure

troverdquo of data such as their likes interests

and profile information Scott said ldquoAll that

data associated with that user is yours to

keeprdquo he explained

However Mirman warned that social

networks are still in their early days So

marketers need to ldquoread between the

linesrdquo and understand that social networks

might not be disclosing all of their updates

clearly he said

And while Scott admitted that Turn-

er Sports isnrsquot at Netflixrsquos level in terms

of personalization he conveyed how fol-

lowing the greats can be an instrumental

learning experience ldquoFind the company in

your space thatrsquos showing their sales [and]

marketing prowess in how theyrsquore being

more effective in the marketplacerdquo

CONSUMERS HAVE REDEFINED THE TV

viewing experience Sixty-one percent of

all cable subscribers used video on-de-

mand last year according to ldquoOn-Demand

TV 2013 A Nationwide Study on VOD and

DVRsrdquo by Leichtman Research Group And

on-demand viewers are tuning in for longer

periods of time When showed a 30-min-

ute program VOD viewers watched the

program for 28 minutes compared to 23

minutes for digital video recorder (DVR)

viewers and 20 minutes for live TV viewers

according to The Nielsen Company

But keeping up with consumers ldquoon-de-

mandrdquo desires isnrsquot easy for media provid-

ers So Pete Scott VP of emerging me-

dia for Turner Sportsmdashthe televised and

online sports programming division for

Turner Broadcasting System Incmdashis forced

to ldquofuture proofrdquo the company by using

Big Data to analyze consumersrsquo viewing

habits However like many brands Turner

Sports isnrsquot a Big Data aficionado In the

past Turner Sports ldquotook data for grant-

edrdquo Scott said during the Direct Marketing

News 2014 MarketingampTech Partnership

Summit and the company is just starting

to educate the sales and senior manage-

ment teams on Big Datarsquos big role But ed-

ucating executives on the importance of

Big Data is difficult when many marketers

donrsquot understand it themselves

ldquoI feel like nobody knows how to use itmdash

including usrdquo Jeff Mirman VP of marketing

for Turner Sports told the audience at the

Summit ldquoI feel like I have a canoe full of data

and therersquos a cruise ship right next to me full

of data that I donrsquot know how to userdquo

THE SPORTS MEDIA COMPANY ATTEMPTS TO EMULATE NETFLIXrsquoS MODEL TO PROVIDE A GREATER VIEWING EXPERIENCE BY ELYSE DUPRE

TURNER SPORTS USES BIG DATA TO ldquoFUTURE PROOFrdquo ITS MEDIA


8

DIRECT SELLINGmdashITrsquoS BECOME SOME-

thing of a ldquonastyrdquo term in the minds of

some but for custom menrsquos luxury cloth-

ier JHilburn direct selling is the perfect fit

In fact only 2 of its customers transact

on the company website JHilburn stylists

who provide a truly direct-to-customer ex-

periencemdashthey meet clients in-person to

take their measurements and consult on

fashion needsmdashgenerate a whopping 98

of the business

Actually J Hilburn has little interest in

becoming an e-commerce-based compa-

ny the personal touch is its differentiatormdash

but the Web is still a massive opportunity

and Veeral Rathod CEO and cofounder of

JHilburn is looking to capitalize on it JHil-

burn wants its online experience to be just

as slick and personalized as what it pro-

vides offline The question is how

Rathod turned to the audience at the Di-

rect Marketing News 2014 MarketingampTech

Partnership Summit to hash out some ideas

mdashmdashmdashmdashmdashmdashmdashmdashmdashmdashmdashmdashmdash mdashmdashmdashmdashmdash mdashmdashmdashmdashmdashmdashmdashmdashmdashndashndashndashndashndashmdashmdashmdashmdashmdashmdash

Marketing problem Brand storytelling

can be a bit of an issue for JHilburn when

it comes to online If a potential customer

visits the JHilburn site after seeing an ad

in say The Wall Street Journal he might be

confused by the notion that he has to make

an in-person appointment with a stylist be-

fore being able to make an online purchase

ldquoThey might think lsquoWhatrsquos the deal with

the stylistrsquordquo Rathod noted ldquoWe do a bad

job with storytelling we have 10 or 15 sec-

onds to tell our story and when someone

goes to our site for the first time and canrsquot

do anything there they might just bouncerdquo

Audience suggestion Why not replicate

a version of the experience previously pro-

vided by gotryiton (the company was ac-

quired by Rent the Runway back in June

2013) The Go Try It On app gave users the

ability to share photos of themselves inter-

act with style gurus and get fashion advice

online Visitors to the JHilburn site could

communicate with stylists online before

meeting them in person

Rathod ldquoOur stylists are independent

consultants and they like that they work flex

time so if we did something like that wersquod

need stylists manning the contact centerrdquo

Audience suggestion Have a call center

take the initial call at the corporate office

and jot down the customerrsquos information

Then give that customerrsquos infomdashor sell itmdash

as a qualified lead to a local stylist located

in that zip code for follow-up


Marketing problem ldquoWe donrsquot want our

website to just be an online catalogrdquo Ra-

thod said ldquoWe want visitors to literally be

able to walk into their closet online and re-

order based on their preferences and past

purchasesmdashthat sort of simple sellingrdquo

Audience suggestion Use a variety of

body types rather than just the slim-cut

good-looking model so that visitors can

see how the clothes will really fit and look

in different sizes

Rathod ldquoBefore and after shots can feel

a little infomercial-like but itrsquos truemdashwhat

wersquore noticing in general is that women want

to see aspirational looks and men will simply

say lsquoWill it look like that on me or notrsquo We

recently AB tested the same email mes-

sage with two photos one with a young

edgy guy and a second with a guy also

great looking who was a silver fox wearing

conservative clothingmdashthe open rate for the

older guy was two times as highrdquo


Marketing problem How can JHilburn

use the Web for new customer acquisition

other than by purchasing generic key-

words like ldquocustom shirtsrdquo that lumps it in

with other unrelated companies (The first

hit on Google for ldquocustom shirtsrdquo is T-shirt

and gift site Zazzlecom)

Audience suggestion Try and address

the potential customerrsquos significant other

with creative search terms SEM for some-

thing like ldquomy husbandrsquos clothes donrsquot fitrdquo

might do the trick


Founded in 2007 JHilburn is still in the

process of developing and evolving its online

strategy but the young company clearly al-

ready has a core base of truly loyal customers

SAY WHAT YOU WILL ABOUT DIRECT SELLING FOR CUSTOM MENrsquoS LUXURY CLOTHIER JHILBURN DIRECT-TO-CONSUMER IS THE PERFECT FIT BY ALLISON SCHIFF

J HILBURNrsquoS CUS-TOMER EXPERIENCE IS MADE TO ORDER


RT customeralchemy Marketers have to get email right itrsquos often the 1st impression customers get of a companyrsquos comms

Hallmark BusinessHallmarkBiz

9

IN MARKETING AS IN LIFE PERFECTION

is unlikely Brands can always strive for more

optimization personalization and segmen-

tation to deliver messages that feel like tai-

lored experiences instead of sales pitches

ldquoYou want to be able to customize as

many pieces of the experience as possiblerdquo

Tom Wyland program director for AOL

Paid Services said at the Direct Marketing


Summit ldquoYou want to let the data drive you

to the best experiencerdquo

To help its customers receive offers that

are relevant to them AOL Paid Services de-

cided to implement the CRM solution Infor

Epiphany Interaction Advisor (IA) across

its online call center and e-mail channels

The solution would leverage customer data

across channels in real time to deliver tar-

geted offers Wyland explained AOL Paid

Services decided to test the technology by

running a pilot But if this pilot was going

to be successful the organization would

have to overcome siloed data So the pilot

turned into an all-hands-on-deck compa-

ny-wide effort

ldquoAll organizations within the company

have to work on thisrdquo Wyland said ldquoYou have

to think big when you do an implementationrdquo

And before AOL could think big it would

have to start small So the company had to

define its user types evaluate what data the

organization had determine how the different

data points would work together and consid-

er how the different channels would align

ldquoIf I send an email to you and you didnrsquot

open the email yet but you called our sup-

port [team] four timesrdquo Wyland explained

ldquoby the time you open that email itrsquos going

to know that you called the support center

four timesrdquo

Herersquos how the solution works When

a customer goes to a Web page such as

the ldquoMy Accountrdquo page the page initiates

a load Before the page completes loading

a request for an offer is sent to the IA solu-

tion IA then takes what it knows about the

customerrsquos current state such as what de-

vice the customer is using and pairs that

insight with additional customer data such

as the customerrsquos browsing preferences

history or past purchase transactions IA

then chooses the best offer for that user

and retrieves the best offer before the

page finishes loading

ldquoEverything needs to happen in real

timerdquo Wyland said

To ensure that all of the different data

points work in tandem AOL started to

build a more robust customer API around

the same time it piloted IA Wyland said

that it was important for AOL to develop

an API that the entire company could use

Like with IA AOL decided to roll out

the development of the API in phases First

AOL had to enable users to pass data to IA

This capability only worked where they had

access to data which provided a limited

scope AOL also had to make sure that the

API was ldquoextendiblerdquo For instance if AOL

has eight demographic elements now and

receives 23 elements later it can integrate

the new data points Wyland explained

Fortunately for AOL once the company put

IA in place the solution was able to handle

data from both places of development

But was the strain worth the gain Since

implementing IA and the API AOL has

been able to integrate the best custom-

er offers into its call center website and

email Wyland said He also noted that the

customer data API has turned into a prod-

uct of its own In addition AOL has expe-

rienced increases in click-through rates as

well as lifts from smart targeting In fact

Wyland said that AOL has achieved a 30

to 40 lift from targeting the right peo-

ple The development also enables AOL to

test and segment simultaneouslymdashsuch as

by seeing what offers people click on the

mostmdashso that it can continue to optimize

And so the never-ending test-and-learn

journey continues

THE ORGANIZATION IMPLEMENTED A NEW MARKETING SOLUTION TO TARGET CUSTOMERS WITH MORE RELEVANT OFFERS BY ELYSE DUPRE

FOR AOL PAID SERVICES OPTIMI-ZATION IS THE NAME OF THE GAME


Pre-headers in a an email message is essential in an email marketing campaign also a link in the preheader as well dmnmktgtech

Ramon Rayramonray

10

MARKETERS HAVE AN ADVANTAGE IN

the wealth of data available to them No

piece of customer information is far from

a marketerrsquos reach these days But one am-

biguous aspect of customer data is who

should ldquoownrdquo it Whorsquos responsible for its

integration and availability What about its

security Is it marketing the team that con-

verts all this data to actual insight Is it IT

the group that develops and maintains the

databases Is it legal the people who han-

dle the fallout when issues arise with data

usage or procurement

ldquoThey all own it but wersquove got to get

everybody to cooperaterdquo Bruce Biegel

senior managing director at Winterberry

Group told attendees at the Direct Mar-

keting News 2014 MarketingampTech Part-

nership Summit ldquoThis is about partner-

ship This is about cooperation This is not

about ownershiprdquo

According to Biegel data governance

and security is an enterprise issue that

transcends individual silos However ldquothese

responsibilities are often at odds with mar-

ketersrdquo he said

Consider the ramifications of a security

breach similar in magnitude to the recent

Target debacle Generally speaking that

would qualify as an IT problem However

when legal clamps down and institutes

company-wide policy regarding customer

data those policies often have marketing

ramifications

So what should marketers do They

should understand data ownership but

they should also respect and understand

the data process and the differences be-

tween different data sets ldquoThere are two

types of data like there are two types of

winerdquo Biegel explained ldquoWine you like and

wine you donrsquot like PII data and anonymous

datardquo Marketers know exactly who the tar-

get customer is with PII (personally identifi-

able information) while anonymous data is

well anonymous However even leveraging

anonymous data incorrectly can place mar-

keters in precarious positions that could

cost their company millions of dollars

Marketers only have one real option

collaboration ldquoThe problem is these silosrdquo

Biegel said Not only should marketers fos-

ter and nurture a collaborative relationship

with IT but they also should include legal

as early in the process as possible ldquoTheyrsquore

the ones who understand whatrsquos going on

in Washington and on the regulatory land-

scaperdquo Biegel said

Working with instead of against legal

gives marketers something of a prophylac-

tic advantage in when it comes to ethical

and effective data usage Before any type

of security or privacy issues arise collab-

oration should ensure that marketers are

educated enough about the legal nuanc-

es of customer data collection and use to

clearly identify what data can be used for

what Biegel cites as the four key customer

data use cases attribution insight optimi-

zation and targeting

Armed with this knowledge and with

legal in their corner marketers can more

effectively collaborate with IT to find ac-

tionable data to inform their strategies

and campaigns The temptation to simply

bypass IT entirely and use cloud-based

marketing automation to do this is strong

However marketers who do will not find

success according to Biegel ldquoAt some

point that marketing technology needs to

plug back in to the data sourcesrdquo he said

ldquoIT is the best partner for thisrdquo

WITH BIG DATA COMES BIG RESPONSIBILITY SO BETWEEN MARKETING IT AND LEGAL WHO EXACTLY OWNS THIS DATA WINTERBERRY GROUPrsquoS BRUCE BIEGEL BREAKS DOWN DATA OWNERSHIP ONCE AND FOR ALLBY PERRY SIMPSON

WHO REALLY ldquoOWNSrdquo CUSTOMER DATA

We must all be stewards of the data So true Collaborate with IT and others to ensure responsible use not just protection dmnmktgtech

Stephanie Miller StephanieSAM


11

CUSTOMER LIFECYCLE CAMPAIGNING IS

one of the hot trends among direct market-

ers but for it to be effective a customerrsquos

life stage has to be weighed along with the

context of the particular buying opportu-

nity And thatrsquos not easy StrongView VP of

Marketing Services Katrina Conn told the

Direct Marketing News 2014 Marketing amp

Tech Partnership Summit attendees

ldquoThe customer journey is not linear Life

stage has to be combined with the context

of an interactionrdquo Conn said ldquoSay you have

a customer who went to your site seven

times in the past 90 days on an iPad and

only opened emails for BOGOs Itrsquos all about

how you stitch together things like operat-

ing systems purchase types and demosrdquo

Conn used an example of bad lifecy-

clecontextual targeting from her own ex-

perience of remodeling her kitchen She

conducted 50 of the research on styles

materials and appliances on a particular

retailerrsquos website downloaded its app

and set up appointments to talk with ex-

perts at the store When she appeared

they had no idea that she had been on

their site and weeks later after she pur-

chased cabinets she got an email offer

from the retailer for 20 off a cabinet

purchase ldquoI had engaged with them on

at least five touchpoints and they had no

ideardquo she said ldquoAll they needed to do to

create a loyal customer was to stitch to-

gether addressable interactions

But thatrsquos easier said than done ldquoPres-

ent Tense marketersrdquo the practitioners

who can market in reaction to a custom-

errsquos actual state at a given time are few

and far between if they exist at all accord-

ing to Conn The data is available to en-

able marketers to react contextually they

just canrsquot get their hands on it she said

Conn put direct marketers in five

classes the mythical ldquoPresent Tenserdquo

set ldquoLeadersrdquo who field successful

cross-channel real-time campaigns ldquoFol-

lowersrdquo who dabble in lifecycle and use

some automation and triggered response

ldquoNovicesrdquo using basic segmentation and

personalization and ldquoBeginnersrdquo using no

personalization She said that nearly half

of marketers play at the Novice and Fol-

lower levels

Those who aspire to live in the present

in Connrsquos view must master personaliza-

tion be responsive to the customer at all

touchpoints deliver a consistent messag-

es across channels and understand inte-

gration at scale

ldquoItrsquos the old Peppers amp Rogers one-to-

one marketing coming full circlerdquo Conn

says ldquoTechnology is enabling us to do itrdquo

LIFECYCLE CAMPAIGNS NEED TO BE PLACED IN THE CONTEXT OF A CUSTOMERrsquoS DAILY ACTIVITIES BY AL URBANSKI

THE FUTURE IS IN PRESENT TENSE MARKETING

Good contextual marketing is the end of the traditional marketing but enabling helping them solve prob by Katrina StrongView dmnmktgtech

Supak susanjpak


12

ldquoEveryone is the technology business and if yoursquore not acting that way yoursquore not set up to succeedrdquo ndash

Aaron Shapiro CEO HUGE Inc

20 OPINIONS OBSERVATIONS AND RECOMMENDATIONS THAT WILL GET YOU THINKING ABOUT HOW TO APPROACH MARKETING IN 2014 AND BEYOND BY GINGER CONLONMARKETING

CONVERSATION STARTERS

ldquoIf you donrsquot have original content on your site our SEO will be limitedrdquo ndashAdam Reinebach EVP of marketing solutions at Source Media

ldquoThe interplay of mobile with other channels is

where the opportunities lie for customer engagement Mobile with TV is twice as

effective as TV alonerdquo ndashBonin Bough VP of global media and consumer

engagement Mondelēz International

ldquoWersquove transformed from a company that took data

for granted to one thatrsquos focused on harnessing itrdquo ndashJeff Mirman VP of

Marketing Turner Sports

ldquoCompeting on analytics is table stakes in marketing

todayrdquo ndashTodd Cullen chief data officer

OgilvyOne

ldquoEvery marketing email needs an IOU generate

Interest provide an Offer and have a sense of Urgencyrdquo ndashGreg Grdodian

CEO Reach MarketingldquoItrsquos scary and exciting to be a marketer todayrdquo ndashPete

Scott VP of emerging media Turner Sports

ldquoYou have to get email right the first time Itrsquos often the first impression customers have of a companyrsquos communicawtions so it sets customersrsquo expectations of future communicationsrdquo ndashGreg Grdodian CEO Reach Marketing

ldquoPeople ask how we were able to react so quickly

with the Oreo tweet lsquoYou can still dunk in the darkrsquo The 100 days of the Oreo Daily Twist developed the muscle memory we needed

to react in real timerdquo ndashBonin Bough VP of global media and

consumer engagement Mondelēz International

ldquoNinety-three percent of marketers [we polled] plan to increase their

marketing budget in 2014 52 plan to increase spending on email marketing 34 expect to

spend more on lifecycle programs and 38 will spend more on automated or triggered cam-

paignsrdquo ndashKatrina Conn VP of marketing services StrongView

ldquoTechnology strategy is often the

biggest inhibitor of organi-zational success Marketers should approach their tech-

nology with a Web ethos that allows for iteration [not a CapEx approach]rdquo ndashAaron

Shapiro CEO HUGE Inc

ldquoItrsquos great to have data but what does it mean What story does it tell Itrsquos that insight thatrsquos

valuablerdquo ndashTamara Gruzbarg senior director of analytics and research Gilt Groupe

ldquoToday therersquos no excuse not to be personal-ized with your marketingrdquo ndashTamara Gruzbarg senior

director of analytics and research Gilt

GroupeldquoThe four key use

cases for customer data are attribution insight

optimization and target-ingmdashand they all required

a different approachrdquo Bruce Biegel senior man-aging partner Winterber-

ry Group

ldquoMillennials expect a digital orientation Theyrsquore 52 of the populationhellipand expect instant access If yoursquore oriented to provide that you wonrsquot succeed long termrdquo

ndashAaron Shapiro CEO HUGE Inc

ldquoThe biggest of-fense marketers make is not to

treat customers and prospects dif-ferentlyrdquo ndashKatrina Conn VP of mar-keting services

StrongView

ldquoMarketers should think of themselves as anthropologists when using data to [better understand customers]rdquo ndashTodd Cullen chief data

officer OgilvyOne

ldquoMarketers are stew-ards of customer

data Itrsquos a noble and responsible calling

to handle customersrsquo datardquo ndashTodd Cullen

chief data officer OgilvyOne

Insights abounded at the Direct Marketing News 2014 MarketingampTech Partnership Summit earlier this week Here 20 opinions observations and recommendations from the Summitrsquos speakers that will get you thinking about how to approach marketing in 2014 and beyond

ldquoTechnology is the strongest foun-dation for customer experiencerdquo

ndashBanafsheh Ghassemi VP market-ing customer experience and CRM

American Red Cross

ldquoThe emphasis should be 20 on technology 30 on process and 50 on people to succeed with any marketing-technology initia-tiverdquo ndashBarton Goldenberg

president and founder ISM Inc

13

New technologies and rising customer expectations compel marketers and their tech-

nology colleagues to work hand-in-hand so itrsquos imperative that those teams align their

goals and create an ongoing partnership Whether in data e-commerce IT or Web devel-

opment these scientists and technologists can enhance marketing performance in ways

marketers cannot achieve alone

The Direct Marketing News MarketingampTech Partnership Summit was designed to foster

deeper collaboration between marketers and their technology colleagues improve mar-

keting performance and business results What follows are the stories told by and about

the presenters While they may have varied perspectives they all agree that collaboration

is essential Read on to learn how to achieve it in your organization


WHY MARKETING-TECH COLLABORATION

When marketers and technologists come together it

creates a united front that delivers better data and more

profitable results

2











TABLE OF CONTENTS4

6

9

12

3










Partnership Summit








turned to startups








































day longrsquordquo


















Bough said





































4











nership Summit

























































down to brass tacks





































































5


































































tomer base








































6
















coming soon















the digital age























































Allidura Allidura


7
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13











TABLE OF CONTENTS4

6

9

12

3










Partnership Summit








turned to startups








































day longrsquordquo


















Bough said





































4











nership Summit

























































down to brass tacks





































































5


































































tomer base








































6
















coming soon















the digital age























































Allidura Allidura


7
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13










Partnership Summit








turned to startups








































day longrsquordquo


















Bough said





































4











nership Summit

























































down to brass tacks





































































5


































































tomer base








































6
















coming soon















the digital age























































Allidura Allidura


7
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13











nership Summit

























































down to brass tacks





































































5


































































tomer base








































6
















coming soon















the digital age























































Allidura Allidura


7
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13


































































tomer base








































6
















coming soon















the digital age























































Allidura Allidura


7
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13
















coming soon















the digital age























































Allidura Allidura


7
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13
























ing experiencerdquo












months later































lion visits in 2013

















clearly he said


















































8











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13











of the business



























































in different sizes
























might do the trick











9


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13


























ny-wide effort















four timesrdquo




















































journey continues





Ramon Rayramonray

10


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13


























ketersrdquo he said








ramifications






















































11





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13





















































lower levels






gration at scale







Supak susanjpak


12















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13















OgilvyOne


























ry Group





StrongView


officer OgilvyOne








American Red Cross



13

january 28 • nyc 2014 - dmnews.commedia.dmnews.com/documents/65/mtps_2014_ebook_16180.pdf ·...

Documents