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1 CMP Technology Steve Weitzner, President and CEO, CMP Technology Tony Uphoff, President, Business Technology Group United Business Media Investor Day September 27, 2007

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Page 1: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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CMP Technology

Steve Weitzner, President and CEO, CMP TechnologyTony Uphoff, President, Business Technology Group

United Business Media Investor DaySeptember 27, 2007

Page 2: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Agenda

• Internet reshapes media landscape• Outstanding acquisition performance• Restructuring eliminates $20 million in costs• Business Technology Group –transformation case study

– Quality acquisitions and the redefinition of print– Development of online network– Integrated marketing– People and culture

Page 3: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Internet reshapesthe tech B2B media landscape

• Delivers measurable ROI on marketing spend• Provides users control of information • Creates new media options and competitors, reallocating

marketing budgets

Results:• Revitalization of live events• Re-invention of processes and products at traditional media

companies• Role of internet and relationship to other media still evolving

Page 4: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Migration of media mix(% media bought at CMP Technology–1H04 to 1H07)

01020304050607080

1H04 1H05 1H06 1H07

PrintEventsOnline

Page 5: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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What does a Media 2.0 company look like?

1. Focused on the customer– Leverage all media options to help audiences do their job successfully– Build marketing programs that start with the vendor marketing needs

2. Market-leading brands – Deliver the greatest access, flexibility and influence– Ability to deliver influence and integrated programs with market-leading

brands online, face to face and in print

3. More than media – Services to create and manage compelling marketing programs– Research, education and custom content development– Measurable results

Page 6: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Different tasks, different media channels

B2B Websites Trade Shows

B2B Magazines

Help you become aware of new products or services. 65% 81% 73%

Provide information that you can trust. 59% 67% 70%

Provide objective information. 54% NA 65%

Make you feel like you are part of a broader community. 39% 67% 48%

Are sources of information you turn to first. 52% NA 47%

Keep you ahead of the competition. 28% 35% 35%

Help you find the best companies to buy from. 38% 50% 33%

Help you grow your business. 24% 42% 32%

Enable you to do comparison shopping. 54% 58% NA

Top strength of each media type ImmediacyIncrease product

awarenessTrust

Percent who made/recommended a purchase due to seeing a product in this media 49% 70% 57%

Percent of respondents who use each media source to:

Source: Harris Interactive Inc. Business Media Study, prepared for ABM, May 2006

Page 7: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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CMP has leading brandsfor every technology segment

Creators and Developers

Integrators and Sellers

BusinessTechnology

Page 8: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Integrated marketing increases awareness, preference and consideration

“Please indicate your level of agreement with the following statements”

85%Our firm gets more qualified buyers when we integrate industry-specific B2B media like print and events with online media like Web ads and sponsored links

90%Prospects get more information about our company or brands when they see messages in more than one industry-specific business-to-business medium

91%Buyers and customers are more likely to consider our company’s products or services when they see messages for our company in more than one industry-specific B2B medium

91%Our company or brands become(s) more top of mind when buyers see our messages in more than one industry-specific B2B medium

93%Integrating our marketing messages and advertising across multiple industry-specific business-to-business media allows us to reach buyers that we might not have engaged using one medium alone.

Agree B2B Marketers

Source: Forrester ABM Research Study 2007

Q14 Decision Makers survey: Please rate your level of agreement with the following statementsQ9: Marketers survey: Please indicate your level of agreement with the following statements

91%It is easier for me to recognize or remember a company’s brand or products/services when I see messages about it in multiple media such as magazines, online, or at events

AgreeB2B Decision Makers

Base: 878 Business decision makers

Base: 816 B2B marketers

Page 9: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Creators and Developers

Integrators and Sellers

BusinessTechnology

Events TradeShows Print Research/

ConsultingBusiness

Information

Media Solutions

CMP delivers all media solutions and beyond to all technology segments

Online

Page 10: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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A competitive advantage

Online Events Trade Shows Print Research/

ConsultingBusiness

Information

CMP

Traditional Competitors

IDG -- --

Ziff Davis Enterprise -- -- --

Online-centric Competitors

TechTarget -- -- --

CNET -- -- -- -- --

Knowledge Storm -- -- -- -- --

Jupiter Media -- -- -- -- --

Consulting/Analyst Firms

Gartner -- --

Search Engines

Google -- -- -- -- --

Page 11: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Two years of transformation

• Diversify product mix through acquisition and internal development to provide marketers broader set of options

• Drive profitability of online business• Go beyond media:

– Offer customers marketing services including lead generation, research, consulting, etc.

– Offer audience new web experience, information services, education

• Realign cost base to new business realities

Page 12: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Outstanding acquisition performance

• Invested $170+ million to acquire face-to-face, workflow & online brands

Page 13: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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2005/06 acquisition performance

0102030405060708090

2006 Full year 2007 1st half

Revenue Contribution

• Exceeded 8% cost of capital

• Contribution for first half 2007 exceeds full year 2006

Includes: TechOnline, LightReading, BlackHat, DotNetJunkies, Medialive, Shorecliff, Cable Digital Network

Page 14: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Recent activitiesAcquisition/ Partnership/

Launch

Type Business Unit Price Date Comments

eXalt System Configurator= Partnership

Web app:Workflow tool

Channel $2 m March • 25% stake• Right to increase

holding

Second Life 2.0 Summits = Launch

Virtual events Developers Launch April • 2 events• Consulting practice

How Machines Work= Acquisition

Custom 3Dwebsites/environments

Electronics $1.2 m July • Temple of Sun• Mechatropolis• IGen

Semiconductor Insights= Acquisition

Technical analysis,research,consulting

Electronics $ 26 m July • IP event for Electronics Industry – April 2008

bMighty

= Launch

Small MediumEnterprise website

Business Technology

Launch August • SMB resource • SMB advocate

Page 15: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Building profitable brands online and face-to-face

Page 16: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Increasing online revenues and profits

• Consolidated websites; shutdown unprofitable products

• Streamlined operations by putting online at the center

• Profit picture continues to improve

31.233.7

4.6

-1.3

Revenue ($ millions) Profit ($ millions)

1H06 1H07

Page 17: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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International development through brand extensions

Page 18: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Transformation through structural change

• People– Staff reduction of 200 in June 2007– $20 million in cost savings

• Portfolio– Realigned product offerings around market-leading brands– Positioned online networks at core of operations– Unified sales and marketing resources in each major market– Restructured content, audience marketing, production and product

development resources• Property

– Establish new HQ in NYC in 1Q08– Implement open plan at NYC, Long Island, San Francisco, Boston; more

energy, collaboration– Generating at least $5 million in annual property cost reduction in 2008

Page 19: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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2007 Profit Mix

30%

60%

10%

Transforming to media 2.0Shifting the revenue mix to focus on more profitable businesses

Print

Online

Events

Pro Forma 1H07 Revenue = $182m

37%

44%

19%

2004 Profit Mix

71%

24%

5%Pro Forma 1H04 Revenue = $145m

72%

17%

11% Print

Online

Events

Page 20: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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CMP’s Business Technology Group:A closer look at transformation

Tony Uphoff, President, Business Technology Group

Integrators and Sellers

Creators and Developers

BusinessTechnology

Page 21: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Business Technology Group: The transformation imperative

Print Online Events

Pro Forma 1H04 Revenue = $57.3m

80%

7%14%

2004 Profit Mix 2%

88%

10%

Pro Forma 1H07 Revenue = $78.7m

34%

46%

20%2007 Profit Mix

21%

62%

17%

• Print heavy; 80% of the revenues in 2004

• Limited scale to event business

• Online profitability low

• Rebalance revenue mix: nearly 80% of profit from online and live events

• Redefine InformationWeekwith “One Brand” strategy

• Focus on leading brands: InformationWeek, TechWeb and Interop

Page 22: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Transforming the culture and the customer offerings

Challenge Solution

Tentative culture Re-establish an aggressive sales driven culture

Sales approach fragmented and overlapping Reorganized, integrated and regionally-focused sales teams

Limited marketing, brand positioning Strengthen product, customer marketing group and process

Platform silos Overhauling organization and processes to integrate assets and services

Limited ability in custom live and online events Infuse customized solutions into sales and operational process

Page 23: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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The face-to-face growth engine

+16%

+18%

+64%

Number of Exhibitors/ Sponsors06 to 07

---

21%

10%

Paid Delegates

Growth06 to 07

+11.3%+16.1%

+2%

+16.5%

ConferenceRevenue Growth06 to 07

+34%

+28.5%

Exhibitor RevenueGrowth06 to 07

Event

Page 24: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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The new Business Technology Group

5 M I L L I O N B U S I N E S S T E C H N O L O G Y D E C I S I O N – M A K E R S

Short Lists andEvaluation Criteria

Technology /Vendor Analysis

EVENTSFace-to-Face Interaction Conferences Forums Roundtables WebCasts

Defines and FramesBusiness Technology Objectives

Unlock Value of Business Technology 440,000 Qualified IT Buyers

Recommendations in theContext of Business

Real World IT Analysts

TechWeb.com

Financial Technology Group

News, Analysis, Expertise

In-Depth PerspectiveImmersion and Education

Page 25: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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InformationWeek: Strengthening a leading brand

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

1H04 1H05 1H06 1H07 July-Aug 07

InformationWeek (CMP)

ComputerWorld (IDG)

InfoWorld(IDG)

E-Week (ZDE)

InformationWeek vs Direct Competitors(% share of pages)

NWC and Optimize shutdown

NWC and Optimize shutdown

Info-WorldshutdownInfo-Worldshutdown

0

500

1000

1500

2000

2500

3000

3500

1H04 1H05 1H06 1H07

Total Pages (titles above)

Page 26: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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Sales

CONSULT

RESULTS:ROI & VALUE

• Deepen relationships• Customer retention• Brand affinity• New customers or

partners• Advanced purchase

consideration• Sales

Marketing

ClientGoals

Market Assessment

Audience Analysis

Media Preference

Content/Message Development

Communications Platform

>>>>

>>

>>

Customer Goals

Customer Goals

Project ManagementContent Experts

MANAGE

INTEGRATE

Creating integrated solutions

Page 27: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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BusinessTechnology

BTG 2008 and beyond

• Continue to build on “The One Brand” strategy to drive growth

• Continue to drive live events growth• Grow online revenues through enhanced lead generation

capabilities • Focus on customized integrated solutions across the

portfolio• Build out branded, custom and online events programs

Page 28: UBM Investor Day Presentation by CMP Tech Executivesfiles.investis.com/ubm/downloads/investor_cmp.pdfVirtual events Developers Launch April • 2 events • Consulting practice How

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CMP Technology – What’s next?

• Most business units will crossover in terms of the revenue gains from online and events surpassing the decline in print

• Maintain profitability of online business, re-ignite revenue growth

• More acquisitions: fill in capabilities

• Evolve culture and infrastructure beyond print roots