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IDC’s 10 Predictions for CMOs for 2015

IDC PMS4colorversion 1 IDCs 10 Predictions for CMOs for 2015

By, Kathleen Schaub

What does IDC predict for tech CMOs and their teams in 2015 and beyond?

Sunrise%2B1 IDCs 10 Predictions for CMOs for 2015

Our recent report IDC FutureScape: Worldwide CMO / Customer Experience 2015 Predictionshighlights insight and perspective on long-term industry trends along with new themes that may be on the horizon. Here’s a summary.

1: 25% of High-Tech CMOs Will Be Replaced Every Year Through 2018
There are two dominant drivers behind the increased CMO turnover over the past two years. One driver centers on the cycle of new product innovations, new companies, and new CMO jobs. The second (but equal) driver centers around the required “fit” for a new CMO in the today’s tumultuous environment and the short supply of CMOs with transformational skill sets.

Guidance: Everyone in the C-Suite needs to “get” modern marketing to make the CMO successful.

2: By 2017, 25% of Marketing Organizations Will Solve Critical Skill Gaps by Deploying Centers of Excellence
The speed of marketing transformation and the increased expectations on marketing have left every marketing organization in need of updating its skill sets. In the coming years, CMOs will not only have to recruit and train talent but also create organizational structures that amplify and share best practices. Leading marketing organizations will become masters of the centers of excellence (CoE).

Guidance: Get out of your traditional silos and collaborate.

3: By 2017, 15% of B2B Companies Will Use More Than 20 Data Sources to Personalize a High-Value Customer Journey
Personalization requires a lot of data. CMOs do not suffer from a lack of data — quite the contrary. Today’s marketer has dozens, if not hundreds, of sources available. However, companies lack the time, expertise, and financial and technical resources to collect data, secure it, integrate it, deliver it, and dig through it to create actionable insights. This situation is poised for dramatic change.

Guidance: One of your new mantras must be – “do it for the data”.

4: By 2018, One in Three Marketing Organizations Will Deliver Compelling Content to All Stages of the Buyer’s Journey
CMOs reported to IDC that “building out content marketing as an organizational competency” was their #2 priority (ROI was #1). Content marketing is what companies must do when self-sufficient buyers won’t talk to sales people. While it’s easy to do content marketing; it’s hard to do content marketing well. The most progressive marketing organizations leverage marketing technology and data to develop a buyer-centric content strategy.

Guidance: Remember that it’s the buyer’s journey – not your journey for the buyer.

5: In 2015, Only One in Five Companies Will Retool to Reach LOB Buyers and Outperform Those Selling Exclusively to IT
IDC research shows that line-of-business (LOB) buyers control an average of 61% of the total IT spend. LOB buyers are harder to market to and are even more self-sufficient than technical buyers. To succeed with this new buyer, tech CMOs must move more quickly to digital, incorporate social, broaden the types of content, and enable the sales team to maximize their limited time in front of the customer.

Guidance: Worry less about how much video is in your plan and worry more about your message.

6: By 2016, 50% of Large High-Tech Marketing Organizations Will Create In-House Agencies
Advertising agencies have been slow to recognize the pervasive nature of digital. While many digital agencies exist and many have been acquired by the global holding companies, these interactive services typically managed as just another part of the portfolio of services the agency offers. Modern marketing practitioners realize that digital is now in the DNA of everything they do and are ahead of their agencies.

Guidance: Don’t wait. Take the lead.

Continue reading… 

 

Marketing News Roundup: Facebook News Feed, Personalisation & Email Still the Most Effective Tactic

IDG Connect 0811 Marketing News Roundup: Facebook News Feed, Personalisation & Email Still the Most Effective Tactic

These are my top pick of marketing stories from the last week. I will be focusing Facebook’s update to its news feed, what data marketers use for personalisation and email marketing still the most effective digital marketing tactic.

Update to Facebook News Feed

Facebook has announced that it will be making changes to its news feed so users will see less promotional content. Mentioned in a recent blog post, the company is responding to a survey it held of users. The findings found that Facebook users view the news feed too promotional with a lack of context. And with Facebook’s declining popularity it’s important for the company to listen to its users.

But what does this mean for business page advertising? By eliminating the advertising from its news feed, advertisements will just appear on right column of any page on the site and in the right column on the sites search results. In its blog, Facebook says that Pages will still be important as ever. It also plans to increase its investment in Pages by building new features such as messaging, customised industry pages and video and photo content.

Marketers Use Personal Data for Personalisation

Personalisation is becoming a popular topic amongst marketers. As vast amounts of content is being continuously produced, marketers have begun to see the need to personalise. Over five in 10 marketers agree that the ability to personalise content is a fundamental to their online strategy according to Econsultancy’s recent report.

The report found that 65% of marketers are using personal data such as name, gender and location to personalise their web experiences. Which isn’t surprising as this is the most common personalisation seen across web content. Other forms of personalisation marketers are beginning to adopt is user preferences (45%) and purchase history (38%).

The report also discovered which personalisation has the most impact on ROI. This showed that while personal data is the most commonly used personalisation, 70% of respondents find purchase history has had the biggest impact on ROI.

This demonstrates that while marketers are using the common types of personalised content this always doesn’t mean it’s the best. It could be considered that consumers expect basic personalisation from their web experiences but its marketing’s job to enhance the experience by offering additional personalisation.

Check out our recent top tips blog post to help create an effective personalised marketing campaign.

Email is Still the Most Effective Type of Digital Marketing

While there has been many digital marketing tactics added to marketing’s tool belt, email is still seen as the most effective digital marketing type. In fact, 54% of marketers see its effectiveness in Ascend2 recent digital marketing strategy report

Continue reading…

2014 B2B Content Marketing Report

 2014 B2B Content Marketing Report

IDG Enterprise partnered with the B2B Technology Marketing Community on LinkedIn to conduct the annual B2B Content Marketing Survey to better understand the current state of content marketing and to identify new trends, and key challenges as well as best practices.

Key findings include:

  • Lead generation is by far the number one goal of content marketing, followed by thought leadership and market education. Brand awareness is now the third most mentioned goal, taking the place of last year’s number three goal: customer acquisition. (Click to Tweet)
  • Companies with a documented content strategy are much more likely to be effective than those without a strategy. Only 30 percent of companies have a formally documented content strategy. (Click to Tweet)
  • The most mentioned content marketing challenge is finding enough time and resources to create content. The next biggest content marketing challenge is producing enough content, followed by producing truly engaging content to serve the needs of marketing programs. (Click to Tweet)
  • Content marketing ROI remains difficult to measure. Only a minority of respondents consider themselves at least somewhat successful at tracking ROI. (Click to Tweet)
  • LinkedIn tops the list of the most effective social media platforms for distributing content marketing. The runner ups are Twitter (moving up one rank compared to last year) and YouTube (moving down from second to third place). (Click to Tweet)

This new Content Marketing Report is based on over 600 survey responses from marketing professionals.

View the slides now… 

2014 Tech Insights To Prepare For 2015

 2014 Tech Insights To Prepare For 2015

The 2014 ITworld Tech Insights research was completed with the goal of showcasing the IT spending priorities and influence of the ITworld audience.

Highlights include:

  • 64% of organizations expect spending to increase over the next 12 months.
  • IT leaders remain in charge of much of the purchase process for technology products and services, but when it comes to the role of evaluating technology for purchase, it’s all hands on deck.
  • IT buyers trust those they know when it comes to advice on upcoming technology product and service purchases and continue to most likely look to their peers/colleagues for guidance. They typically consult peers in their professional network on a weekly basis.

Download the research now… 

Or, click here to view slides…

2015 Will See Many Asia Pacific Internet of Things Solutions and Vendors Move Beyond the Hype, While Others Head Back to the Drawing Board

IDC PMS4colorversion 1 2015 Will See Many Asia Pacific Internet of Things Solutions and Vendors Move Beyond the Hype, While Others Head Back to the Drawing Board

International Data Corporation (IDC) envisions 2015 will be the year when Internet of Things (IoT) starts to deliver against the hype, but it will require vendors and customers alike to change their approach.

“Companies are always looking for ways to drive business transformation, deliver competitive differentiation and enhance the customer experience, and many are now realizing that the Internet of Things can help them deliver against these goals,” says Charles Reed Anderson, AVP, Head of Mobility and Internet of Things, IDC Asia/Pacific.

Anderson explains that 2014 has seen an explosion of new IoT-related solutions, including consumer wearables, smart home products and industrial IoT solutions.

“More importantly, however, is that 2014 has seen the maturing of the wider IoT technology vendor ecosystem, which helped ensure we have the capabilities to deploy complex IoT solutions today and deliver tangible value to governments, enterprise and consumers alike.”

Drawing from the latest IDC research and internal brainstorming sessions amongst IDC’s regional and country analysts, the following are the top 10 key IoT predictions that IDC believes will have the biggest impact on the APeJ IoT industry in 2015.

1) IoT to create new markets for retail brands

During the past year, IDC has witnessed an explosion in the consumer wearables market with new fitness bands, smart watches and smart clothing being launched from traditional OEM vendors and a multitude of tech startups and 3rd platform-born players.

IDC believes that 2015 will see an influx of consumer IoT embedded into consumer retail brands/ products. Partnerships between IoT vendors (including ODM/OEM vendors) and non-tech consumer goods’ brands will emerge rapidly to create a sizable market opportunity for the IT industry.

2) Smart Watches: Early adopters will be the only adopters…for now

New smart watches will be launched on an almost weekly basis from the leading global device manufacturers, the Chinese and Taiwanese ODM vendors and tech start-ups. While interest levels are high, IDC believes the early technology adopters will be the only adopters in 2015. The combination of the small screen size, immature application developer ecosystem, and limited functionality will prevent this from reaching the wider consumer market in 2015.

3) Wearables enter the enterprise

Basic wearables, which include devices fitness bands and clips that cannot load 3rd party software, will find a lucrative new market in enterprise customers. Employee tracking, integration into corporate wellness programs, and the creation of new business models that leverage basic wearables, especially fitness bands, to enhance the customer experience will see significant adoption in 2015.

4) Free services to drive consumer IoT adoption

There is a limit to how many consumer wearable products and services consumers will be willing to purchase. In 2015, IDC believes companies will start to offer free products and services to specific customer demographic groups, but they will insist they “own” the data that is produced by the devices. This data will then be leveraged to deliver personalized marketing and drive sales or sold to 3rd parties (regulation permitting).

5) Emergence of the glass solution provider

Connected glass devices will struggle in the consumer market, however, the enterprise business case exists for many industries, particularly those industries (e.g. major equipment manufacturers) that employ large workforces that spend considerable time at customer sites for training as well as maintenance, repair and overhaul (MRO) services. IDC expects some large equipment manufacturers to build out their internal capabilities and partner ecosystems to become a glass solution provider and to reduce their considerable travel costs.

6) Industrial IoT: Businesses “talk big”, but deploy practically

Most industries believe that IoT will forever change the way their industry operates, however, ongoing concerns about both up-front (CapEx) and ongoing (OpEx) costs as well as potential security and privacy issues will ensure the deployment of “practical” solutions in 2015. Customers will focus on deploying solutions that deliver quick impact and return on investment (e.g. energy management solutions) and leverage the cost savings generated to fund more dynamic solutions going forward.

See all ten predictions… 

Customer-Focused Teams Are Secretly Daunted By Data Demands

IDG Connect 08111 Customer Focused Teams Are Secretly Daunted By Data Demands

One of the top goals for business leaders today is to better understand, engage with and retain their customers[i]. This involves making the most of the ever-growing volume of customer data available to build integrated, three-dimensional profiles of customers and to identify patterns and trends. Many firms turn to the roles closest to the customer to deliver this insight.

Recent research undertaken with PwC[ii] reveals that nearly two-thirds of European and just under half of North American mid-market firms believe their marketing teams have the best skills to extract insight from information, and around half (46% and 57% respectively) say the same for their customer service and insight teams.

Yet conversations with marketing leaders reveal that the teams in question are far less confident about their ability to achieve this.

One study[iii] found that a third of executives believe that being able to use data analytics to extract predictive findings from big data is the top skill required of their marketing professionals. However, just under half admit their own team lacks this skill. Another[iv] discovered that an overwhelming 82% of marketing leaders feel unprepared to deal with the data explosion, and only 59% say they have the skills to analyse and understand customer behaviour across all channels.

Despite this clearly recognised skills gap, only one in five marketing professionals is expected to receive formal training in data analysis this year[v].

In short, many firms could be passing data to teams that are ill-equipped to do it justice. Missing out on rich customer insight is just one of the risks. Our research found that marketing teams are increasingly given free access to sensitive and confidential customer information in order to extract intelligence, but are rarely held accountable for keeping it safe.

We discovered that less than one per cent of mid-market firms think teams such as marketing and customer insight should have a responsibility for information protection. Many (39%) place this responsibility firmly at the door of the IT security manager.

This is all the more worrying when you consider the fact that marketing departments are often at the forefront of flexible working practices[vi], allowing staff to work from home or while travelling – often without providing adequate guidance and support.

We found that one in three marketing professionals works from home two-to-four days a week, more than most other job roles. A third undertake confidential or sensitive work while travelling on public transport; one in four throw documents into insecure bins away from the office – and 48% send or receive work documents over a personal email account, at times using an insecure wireless network (12%). However, just a third of the employers surveyed provide secure remote intranet access for marketing professionals working from home, or offer guidelines or policies on how to handle sensitive information.

Continue reading… 

IDC Reveals Worldwide Internet of Things Predictions for 2015

IDC PMS4colorversion 1 IDC Reveals Worldwide Internet of Things Predictions for 2015

Within the next five years, more than 90% of all IoT data will be hosted on service provider platforms as cloud computing reduces the complexity of supporting IoT “Data Blending”

FRAMINGHAM, Mass., December 3, 2014 – International Data Corporation (IDC) today hosted the IDC FutureScape: Worldwide Internet of Things 2015 Predictions Web conference. The presentation provided organizations with insight and perspective on long-term industry trends along with new themes that may be on the horizon. The Predictions Web conference series and accompanying IDC FutureScape reports are designed to help company leaders capitalize on emerging market opportunities and plan for future growth. An audio replay of today’s Web conference will be available this afternoon. To access the replay, please visit: http://bit.ly/IDCioTFutureScape2015.

  • ClicktoTweet:  @IDC Reveals #Worldwideinternetofthings #Predictions2015 – Register for the webcast replay here http://bit.ly/IDCioTFutureScape2015

The predictions from the IDC FutureScape for Internet of Things are:

  1. IoT and the Cloud. Within the next five years, more than 90% of all IoT data will be hosted on service provider platforms as cloud computing reduces the complexity of supporting IoT “Data Blending”.
  2. IoT and security. Within two years, 90% of all IT networks will have an IoT-based security breach, although many will be considered “inconveniences.” Chief Information Security Officers (CISOs) will be forced to adopt new IoT policies.
  3. IoT at the edge. By 2018, 40% of IoT-created data will be stored, processed, analyzed, and acted upon close to, or at the edge, of the network.
  4. IoT and network capacity. Within three years, 50% of IT networks will transition from having excess capacity to handle the additional IoT devices to being network constrained with nearly 10% of sites being overwhelmed.
  5. IoT and non-traditional infrastructure. By 2017, 90% of datacenter and enterprise systems management will rapidly adopt new business models to manage non-traditional infrastructure and BYOD device categories.
  6. IoT and vertical diversification. Today, over 50% of IoT activity is centered in manufacturing, transportation, smart city, and consumer applications, but within five years all industries will have rolled out IoT initiatives.
  7. IoT and the Smart City. Competing to build innovative and sustainable smart cities, local government will represent more than 25% of all government external spending to deploy, manage, and realize the business value of the IoT by 2018.
  8. IoT and embedded systems. By 2018, 60% of IT solutions originally developed as proprietary, closed-industry solutions will become open-sourced allowing a rush of vertical-driven IoT markets to form.
  9. IoT and wearables. Within five years, 40% of wearables will have evolved into a viable consumer mass market alternative to smartphones.
  10. IoT and millennials. By 2018, 16% of the population will be Millennials and will be accelerating IoT adoption due to their reality of living in a connected world.

“The Internet of Things will give IT managers a lot to think about,” said Vernon Turner, Senior Vice President of Research. “Enterprises will have to address every IT discipline to effectively balance the deluge of data from devices that are connected to the corporate network. In addition, IoT will drive tough organizational structure changes in companies to allow innovation to be transparent to everyone, while creating new competitive business models and products.”

The IDC FutureScape report that this Web conference is based on will be published and available within the next 24 hours. To learn more about IDC Predictions and IDC FutureScapes, please visit:www.idc.com/Predictions2015.

For additional information about these predictions or to arrange a one-on-one briefing, please contact Sarah Murray at 781-378-2674 or sarah@attunecommunications.com. Reports are available to qualified members of the media. For information on purchasing reports, contact insights@idc.com; reporters should email sarah@attunecommunications.com.

Read the original release… 

 

The state of native ads on mobile in 5 charts

Digiday

Mobile monetization is causing a big headache for publishers. While consumers spend more of their time on their devices, the platform isn’t getting a proportionate share of ad revenue:ad rates are nearly one-fifth what they are on desktop.

And while banner ads perform badly on small screens, native ads are showing promise as a way to get consumers’ attention on mobile devices. Consider Facebook’s experience with mobile: according to a study by Marin Software, click-through rates of Facebook’s mobile-only newsfeed ads are 187 percent higher on mobile than on desktop.

There are catches, of course. Native ads’ performance is driven by a lot of factors. Ads do better when they appear on article pages and blend in with the host publisher’s editorial style, but if they look too much like the surrounding editorial, they could turn readers off. Their formats aren’t standardized like banners are, which makes them harder to scale.

Here, then, are five things to know about the current state of native ads on mobile.

Polar, whose native ad platform is used by The Huffington Post, Condé Nast, Bloomberg and others, packaged up a set of benchmarks that show how the format is performing on mobile, tablet and desktop. Polar found that native ads do better on mobile than on desktop, where native ads have to compete with so many other elements for attention. However, mobile devices aren’t all created equal when it comes to native’s performance. Click-through rates are higher on smartphones than on the desktop and tablets, which is closer to the desktop experience than the smartphone.

That trend carries through to engagement. On average, time spent on native ads also is higher on smartphones than on tablets and desktop.

Polar also compared performance of mobile native ads in the content categories of finance, lifestyle and news. The click-through rate was highest in the news category, but time spent was lowest. Finance, meanwhile, had the lowest click-through rate but the longest time spent per ad. (Numbers are averages.)

Continue reading… 

Publishers Struggle with Email Marketing Basics

eMarketer

Today’s digital consumers have forced publishers to move some of their marketing efforts away from print and toward online and mobile. However, September 2014 research from FOLIO:, sponsored by Lyris, found that publishers were still struggling with email marketing—a more “traditional” digital channel.

182124 Publishers Struggle with Email Marketing Basics

US publishing professionals’ responses indicated that they were facing challenges with simple email marketing tactics including list growth and list maintenance. List growth was the most common hurdle, cited by the majority of respondents, while 41% had problems maintaining the lists they did have.

Publishers aren’t ignoring their list problems though—good news considering that without the right recipients, email marketers won’t see the success they desire, according to FOLIO:. When asked about their email marketing priorities for the next 12 months, list growth and improving list data and quality were the top two responses, cited by 60% and 58% of publishing professionals, respectively.

When running digital campaigns, marketers can’t forget mobile, another problem area for some publishers. One-third of respondents said that mobile optimization was a challenge, but once again, they planned to make an effort to fix this in the coming year. Fully 39% of respondents said that email optimization across all devices was a top priority—the third most popular response.

182126 Publishers Struggle with Email Marketing Basics

The study found that publishing professionals were making strides toward mobile-optimized emails, albeit slowly. More than one-third of respondents said their emails were fully optimized for mobile. An additional 31% had started working on this and planned to complete mobile-optimized email efforts in the next 12 months. Still, the remaining 35% hadn’t started, and nearly half of respondents in this group weren’t even sure where to begin.

Continue reading…

In 2015, Technology Shifts Accelerate and China Rules, IDC Predicts

NYT

In the year-end predictions game, most technology forecasts tend to be either blue sky or boring, flights of imagination or a firm grasp of the obvious.

For the last several years, IDC has published prediction reports that generally avoid the pitfalls of the genre, and offer a useful framework for thinking about the trajectory of trends in technology. The technology research firm’s predictions for 2015, published on Tuesday, come in a 17-page report that is rich in numbers and analysis.

Beyond the detail, a couple of larger themes stand out. First is China. Most of the reporting and commentary recently on the Chinese economy has been about its slowing growth and challenges.

“In information technology, it’s just the opposite,” Frank Gens, IDC’s chief analyst, said in an interview. “China has a roaring domestic market in technology.”

In 2015, IDC estimates that nearly 500 million smartphones will be sold in China, three times the number sold in the United States and about one third of global sales. Roughly 85 percent of the smartphones sold in China will be made by its domestic producers like Lenovo, Xiaomi, Huawei, ZTE and Coolpad.

The rising prowess of China’s homegrown smartphone makers will make it tougher on outsiders, as Samsung’s slowing growth and profits recently reflect.

More than 680 million people in China will be online next year, or 2.5 times the number in the United States. And the China numbers are poised to grow further, helped by its national initiative, the Broadband China Project, intended to give 95 percent of the country’s urban population access to high-speed broadband networks.

In all, China’s spending on information and communications technology will be more than $465 billion in 2015, a growth rate of 11 percent. The expansion of the China tech market will account for 43 percent of tech-sector growth worldwide.

Another theme in the IDC report is the quickening pace of the move from older technologies to new ones. Overall spending on technology and telecommunications, IDC estimates, will rise by a modest 3.8 percent in 2015. Yet the top-line numbers mask the trends beneath. IDC predicts there will be growth of 13 percent in what the research firm calls “3rd platform” technologies (cloud, mobile, social and big data). By contrast, older technologies will face a no-growth “near recession,” according to IDC, and “will shift fully into recession” by the second half of next year.

IDC’s 3rd platform is similar to what Gartner, another big research firm, has called a “nexus of forces” sweeping through the industry. (Gartner’s ingredients are virtually the same as IDC’s with slightly different labels — social interaction, mobility, cloud and information.) The 1st platform, in IDC’s taxonomy, was the mainframe era, running from the 1960s into the 1980s. The 2nd platform included personal computers and the Internet, and began in the 1980s and ran through the middle of the first decade of this century.

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