RSS FeedArchive for the ‘Analysts’ Category

Accenture Interactive: Change Management The Greatest Barrier To Merging Tech And Media

HartmanAccenture is banking that the future of digital media and marketing depends on how organizations embrace change management.

In December, the consultancy consolidated its digital divisions into Accenture Digital, an arm that includes its CMO advisory Accenture Interactive and mobility and analytics services. This move followed the acquisitions of design and creative agency Fjord and ecommerce services company Acquity Group.

As Joanna O’Connell, research director at AdExchanger, illustrated in her study, “organizations face myriad challenges in moving to a data-driven model of customer-centric marketing, not the least of which is cultural – and, as often follows, organizational change.”

While a CMO Insights study by Accenture Interactive estimated that digital will account for 75% of CMO marketing budget in the next five years, 79% of those surveyed do not believe their company is properly equipped to handle this shift.

Glen Hartman, Accenture Interactive’s global managing director of digital transformation, spoke with AdExchanger.


Metrics Causing Pain? Could Be A People Problem

broken-analyticsThis is the third in a series on what's broken in the analytics space. Part one addressed data ownership, part two focused on technology and this story is about people and processes.

Part two of this series looked at startups that are trying to unify disparate marketing metrics, but technology can only go so far in solving for analytics fragmentation.

Both on the client side and agency side, marketers need to get better at streamlining their processes and personnel to accommodate for big data aggregation and analysis methods that weren't possible even a few years ago.

"The larger, more traditional organizations haven't yet figured out how to use that technology and embed it within the fabric of how they approach marketing," said Rick Greenberg, CEO of Kepler Group, a digital media agency.

Industry statistics tend to support that conclusion. A CMO survey released last month by the Fuqua School of Business at Duke showed that in spite of increasing marketing analytics budgets, the percentage of CMO-led projects using marketing analytics is still below 33%. And a survey released by the analysts at Demand Metric found that while 86% of brands have some sort of analytics process, spreadsheets are still the most prevalent tool.


Startups Emerge To Unify Metrics, Normalize Data

broken-analyticsThis is the second in a series on what's still broken in the analytics space. Part one dealt with data ownership, part two will address technology and part three will focus on people and processes. 

Even when data ownership issues are resolved between marketers and third-party agencies and service providers, the way in which it is provided can still leave a lot to be desired.

It is often dribbled out in bits and snatches. Here, a vendor may export pretty charts with little granularity. There, an agency may email a weekly list of metrics. Or elsewhere, another partner may even provide a spreadsheet on request.

But all that data is in different formats and distributed using a wide range of vehicles. What's more, each data set may present a different version of reality.

"The agency does their analysis and presents it to the clients, the clients do their analysis and they do not match. The process is inefficient, and it is not clear who is in charge," said Gayle Fuguitt, CEO of the Advertising Research Foundation (ARF).

It's a snowballing problem and one that can't be addressed by more data collection per se, but instead finding the means to better consolidate, collate and normalize existing data into a unified dashboard.

"What’s trending is a strong interest in bringing the data-driven marketing process, associated applications and resulting data and insights, back in-house," said Justin Honaman, a former sales and marketing leader at Coca-Cola and current consultant for Teradata focused on CPG and retail.


BMO's Salmon On 'Social TV,' The IPO Market And More

dan-salmon-programmatic-io-nycDan Salmon is an equity research analyst at BMO Capital Markets and covers media and Internet marketing. He recently released a new research report on Social TV and its impact on advertising and marketing. You can download it here (PDF - 7 MB).

AdExchanger recently discussed the new report with Salmon and asked his thoughts on the initial public offering (IPO) markets for ad and marketing technology companies.


AdExchanger: Do you think there is still a role for traditional solutions to provide a "feedback loop" in the IP-delivered TV world? -- i.e. Nielsen focus groups and post-campaign surveys.

DAN SALMON: I definitely think there is a role for a feedback loop that is more than simply someone interacting with an ad on a first or second screen, like retweeting, posting about a TV show on Facebook or skipping a TrueView ad on YouTube. However, things like focus groups and post-campaign surveys are evolving and becoming more automated as well. This is what the acquisition of Vizu brought to Nielsen, for example.


AdExchanger Welcomes Joanna O'Connell As Director Of Research

joannaIf I were to pick one person who could distill for today's marketer the rapidly innovating, marketing technology ecosystem, the selection would be simple enough.

Who knew I'd someday have the good fortune to work with that person, too?

I am excited to announce that Joanna O'Connell has joined AdExchanger as our Director of Research.

Joanna is a well-known expert in the areas of marketing and advertising technology. Her previous experience as Principal Analyst at Forrester Research and at Razorfish's seminal trading desk, ATOM Systems, makes her uniquely qualified to provide insight and understanding of this evolving ecosystem to marketers.

In the weeks and months to come, we'll talk more about our AdExchanger Research plans which will highlight Joanna's analysis and that of key thought leaders in the industry as AdExchanger delivers research on important industry trends including, but not limited to, programmatic media.

On behalf of the entire AdExchanger team - Zach, David, Judith, Kelly, Haley and myself - welcome, Joanna!

Webtrends CEO Talks Predictive Analytics, Mobile Measurement

Alex-YoderFor advertisers, the stakes for capturing and leveraging data are higher than ever, placing analytics firms high in demand. Few web and mobile analytics firms have been around as long as Webtrends, which is about to celebrate its twentieth birthday.

AdExchanger sat down with CEO Alex Yoder to talk about the Portland, Ore.-based company’s growth, Mozilla’s browser experiment and predictive analytics.

AdExchanger: Given that measuring mobile advertising is still a gray area for many companies, what’s your approach to mobile measurement?

ALEX YODER: I don’t think there’s a single answer to the question. It is and will continue to be a fragmented ecosystem. In large part, that’s because there are individual entities that are competing for control. You have operating systems providers, device manufacturers, app managers and other players. The focus that we’re taking, the one we think is most safe and the most economically advantageous play, is to stick with the brands. What I mean is our entire business model is focused on representing the brands’ domains and their other properties like mobile websites, mobile apps, etc.

If they own it, we collect and structure the data. We don’t drop third-party cookies and follow you wherever you go. We don’t try to scrape data from the provider. Some of those other methods are coming under a lot more scrutiny from a privacy perspective.


Quote: Don’t Prematurely Define Consumer Purchase Paths

ron-rogowski-forrester-usethis“Paths to purchase are not linear or rational.  The planning of the trip is not the journey. And the customers’ starting point is often not where we believe the starting point is. The funnel has morphed into a journey map. The question is, ‘How do we organize around this journey to support people along the way?’ We can’t push people through a process.”

-Ron Rogowski, VP and principal analyst, Forrester Research, on understanding the “connected consumer."

Rogowski spoke at the Forrester Customer Experience event on June 25.

Blackstone’s Allen: Expect More Ad Tech M&A Dealmaking In ‘13 – In Contrast To The Wider Market

Ken Allen, BlackstoneMost media industry observers expect to see a another strong year in M&A for the Ad Tech sector. For example, a survey [PDF] of 231 top media/tech executives released last week from media investment bank Jordan, Edmiston Group, Inc. and Econsultancy shows an upward trend in organizations planning an acquisition in the next 12 months, with increases across every revenue category.

The sharpest increase on a percentage basis can be seen in those entities with $10 to $50 million of revenue, where nearly 50% more companies are planning an acquisition in 2013, as compared to 2012. The focal areas for acquisitions are online media & technology and data & analytics, with mobile media & technology as a growing area of importance. To get a sharper perspective on digital advertising M&A activity, we turned to Blackstone Group Managing Director Ken Allen for thoughts on deal outlook for social media, mobile, data, acqui-hires and “marketing automation.”


BMO's Salmon: Facebook Starting To See Online Video / TV Ad Budget

Dan SalmonDan Salmon is an equity research analyst at BMO Capital Markets and covers advertising and marketing services.

Salmon upgraded Facebook from "Underperform" with a $15 target to "Outperform" and $32 target and explored his outlook in a research note to investors on Monday. You can download it here (PDF).

AdExchanger: Where are the ad dollars that are being poured into Facebook coming from? Other publishers? Is spend moving from TV, yet? And, how do you see this evolving?

DAN SALMON: I don't think there is one particular bucket to highlight for where the dollars are coming from. I think most every advertiser is re-evaluating what Facebook offers after a flurry of new ad products over the past three to six months. This is particularly the case for their mobile strategies but the question about spend moving from TV is an important one. While the Facebook story around mobile is very well understood by investors, I think we'll be hearing a lot more in 2013 about how Facebook is helping marketers with more video advertising. The merging of online video and TV advertising budgets has been a big theme that Facebook has been missing out on; that no longer appears to be the case.


BMO's Salmon Reviews An Update To His 'Digital Marketing Hub' Thesis

Dan SalmonDan Salmon is an equity research analyst at BMO Capital Markets and covers advertising and marketing services.

Salmon recently discussed with the latest industry events as well as an update to his ongoing analysis of the marketing ecosystem titled, "The Race For The Digital Marketing Hub: Version 2.0." Download it (PDF).

AdExchanger: In this 2.0 version of the Digital Marketing Hub, what was the biggest surprise for you?

DAN SALMON: I think it was less about being surprised and more about the fact the Hub is really starting to happen. That wasn't the case four years ago when I started to write these reports. Then, it was largely about web analytics tools like Omniture, the beginning of programmatic buying and RTB in display, and the continued use of basic enterprise marketing software suites, which were more about marketing mix modeling and asset management. And these things tended to be dispersed around the enterprise, rather than weaved together to present a holistic view of marketing spending and the related data.