ashley friedlein, econsultancy - dmx dublin 2016

Copyright © Econsultancy @AshleyFriedlein

How should you structure

your marketing and digital functions

in a customer-centric world?

DMX Dublin March 2016

Ashley Friedlein

President, Centaur Marketing & Founder, Econsultancy

@AshleyFriedlein 2

Digital Transformation

• The journey towards being a

digital organisation

• “Digital” means:

– Focusing on the customer

experience irrespective of channel

– Having a digital culture

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The 7 defining characteristics of a digital culture

1. Customer-centric

2. Data-driven

3. Makers & Doers

4. Transparent

5. Collaborative

6. Learning

7. Agile

@AshleyFriedlein 4

“Organizations are structured

around control mechanisms

and reporting, not around

capabilities and outcomes."

“Organizing Marketing in the Digital Age”, Econsultancy, 2015

@AshleyFriedlein 5

How to organise?

@AshleyFriedlein 6

How to organise?

@AshleyFriedlein 7

How to organise?

@AshleyFriedlein 8

The rise of the Chief Digital Officer (CDO)…

Now 1,000+ CDOs globally and the number has

doubled every year for the last few years.

Gartner predicted 25% of businesses would have

a CDO by the end of this year.

According to the

CDO Club salaries

for a Chief Digital

Officer range from

$89,000 to

$600,000, with the

median falling

between $250,000

and $300,000.

@AshleyFriedlein 9

Bertrand Bodson

Chief Digital Officer

Home Retail Group plc

Mike Bracken

Chief Digital Officer

The Co-operative Group

Sean Cornwell

Chief Digital Officer

Travelex

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What I learned about CDOs

• ‘Ambassador’ CDO vs ‘Transformer’ CDO

• CDO + CMO not a great idea

• CDO runs marketing, digital/tech, product

• CDOs next job? CEO.

@AshleyFriedlein 11

…and the Chief Customer Officer (CCO)

Source: The CCO Council 2014 CCO Study

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Robin Terrell

Chief Customer Officer

Tesco plc

Robert Bridge

Chief Customer Officer

Telegraph Media Group

Chris Duncan

Chief Customer Officer

News UK

@AshleyFriedlein 13

What I learned about CCOs

• Strategic driver = competitive advantage through

customer-centricity and integrated channels

• Big teams and P&L responsibility

• CCO combines CDO and CMO roles

• CCOs have significant, if not complete, control of

technology, data, digital, insight, innovation. In some

cases customer service and, depending on company size,

all the physical (store, branch, call centre etc) operations.

• CCOs next job? CEO.

@AshleyFriedlein 14

The five stage of evolution towards true multi-

channel customer-centricity

5

Job done

CEO

(and CMO,

CTO, CFO etc)

4

Business

Transformation

Chief Customer

Officer

3

Digital Leader

‘Transformer’

Chief Digital

Officer

1 Digital Team

Head of Digital

2

Digital

Figurehead

‘Ambassador’

Chief Digital

Officer

@AshleyFriedlein

UK Government Digital Service

3.4

@AshleyFriedlein

Tate

3.7 • Published in 2013

• Third iteration of

digital strategy

• Published under

Creative

Commons

• “Digital as a

Dimension of

Everything”

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Capital One

3.9 • A bank creating

differentiated experience

through digital

• “Digital is who we are

and how we do

business.” Richard

Fairbank, CEO

• 100% agile adoption

@AshleyFriedlein

House of Fraser

4.1 • CCO with digital and

multichannel chops

• Head of “Find it”

• Head of “Research it”

• Head of “Buy it”

@AshleyFriedlein

Burberry

4.3

• A vision from 2006

• Financial and customer

success

• From the CEO throughout

the business

• Continual innovation

@AshleyFriedlein

“I will focus on … the

convergence and

integration of our retail

and e-commerce, digital,

card and mobile assets

around the world …

develop "next-generation

retailing"

Starbucks

4.6

@AshleyFriedlein

@AshleyFriedlein 22 https://econsultancy.com/blog/66223-with-a-blank-sheet-what-organisational-structure-would-you-choose-for-marketing-and-digital/

@AshleyFriedlein 23

Q&A