“The Rise of the Marketing Technologist”December 12, 2012

We’re in the Technology Business

“The next five years should be a time of intense experimentation to

recalibrate the relationship between marketing and IT. This is a call

for more cross-disciplinary teams of marketing and IT pros and new

C-suite roles (chief marketing technologist, perhaps?) and job

descriptions. And this isn't just a conversation for tech companies.

It's pretty clear that in the future every company will be a tech

company as consumers become more gadget obsessed and

marketers of all stripes deal with tech-enabled tools.”

– AdAge, October 2012

We’re in the Technology Business

“One of the challenges with digital media is that to truly understand its potential you have to understand technology, at least at a base level. Some marketers embrace this, but it's certainly not part of the job description. Many agencies assume that marketers don't want to, or can't, understand the technology.” -Matthew Greitzer, VP of Search Marketing and Head of Atom Systems [currently co-founder of Accordant Media]

“The introduction of new digital technologies will inevitably lead to the creation of jobs that haven’t previously existed, with highly specialized skill requirements. But beyond these specialist type roles, the talent crisis is much broader. In fact, I would argue that all business talent needs to evolve by attaining a broad spectrum of digital skills, and more importantly a digital way of thinking.” -Shane Steele, Vice President, Global B2B Marketing, Yahoo!

CMOs Will Spend More than CIOs

“By 2017 the chief marketing officer will control more technology spending than a company's CIO” - Gartner

• Marketing is purchasing significant marketing-related technology and services from their own capital and expense budgets – both outside the control of the internal IT organization and in conjunction with them.

• Companies spent up to $25 billion worldwide on marketing software last year, up from about $20 billion the previous year. As a comparison, overall corporate software expenditures totaled $115 billion.

• Approximately a third of marketing department expense budgets is devoted to purchases such as systems to manage customer relationships, predict customer behavior, run online Storefronts.

• The BIG question - Does a CMO have the expertise to drive tech with the background and architectural understanding of a CIO?

Gartner

The Economist Intelligence released a report based some research done in July of 2012. A global survey of some 389 executives. The respondents are based in Western Europe (40%), North America (27%), Asia-Pacific (24%), Latin America (6%), Middle East/Africa (2%) and Eastern Europe (1%); a total of 42 countries are represented. The take-away is that marketing is in a period of great change, it's becoming more strategic, and many organizations are not yet in agreement on what that means for the CMO's role and priorities.

To put this in perspective, only 13% of the respondents picked advertising/agency experience. This is effectively saying that technical expertise is nearly twice as important as agency experience for CMOs in the eyes of business executives. That suggests not just a shift in marketing capabilities, but a tectonic shift in marketing culture.

What is Marketing Technology[…and why is it so important?]

Evolution of Marketing

Simple Trade: Everything available was made or harvested by hand and available in limited supply

Production: Mass production increased the availability of product options in the marketplace.

Sales: Competition for market share increased. Companies had to work harder to sell their product to consumers. Commoditization emerged; products became commodities and price became the distinguishing competitive advantage.

Marketing Departments: New levels of affluence provided consumers with more power in the marketplace. Businesses consolidated marketing-related activities (advertising, sales, promotion, public relations, etc.) into a single department.

Marketing Company: No longer was marketing compartmentalized – it became the goal of the business. All employees became part of the marketing effort, either directly or indirectly, and the customer became king.

Relationship Marketing: The goal is to build a long-term, mutually beneficial, relationship with the customer. The focus changed to lifetime customer value and customer loyalty.

Social/Mobile Marketing: Focuses on real-time connections and social exchanges based on relationships driven by the consumers (permission-based or opt-in relationships).

Marketing Technology

Internal technology is what we use to manage and analyze marketing operations, such as analytics, SEO auditing, competitive intelligence, and social media monitoring.

External technology includes the platforms we use to reach our audience and deliver content — web sites, ads, landing pages, email campaigns, and apps of all kinds.

Product technology — features that are built into your very products and services, which directly feed into your marketing ecosystem.

http://www.chiefmartec.com/

Who is this Marketing Technologist […and what does he/she do?]

The Marketing Technologist

Skills

• Knows business and technology

• IT [and Engineering] experience

• Early adopter of technology

• Links theory and practice

• Passionate about marketing

The Marketing Technologist

Mission

• Translates strategy into technology [and technology into strategy]

• Creates synergies of [useful] data and technologies across the marketing organization. Web analytics, marketing automation, advertising behavioral segmentation -- are all fairly sophisticated on their own. The problem is that behind the scenes, they don't talk very well together. It's not because the products can't talk together -- it's because there isn't really anyone connecting the dots.

• Injects technology into the DNA of marketing – practices, people, culture

The Chief Marketing Technologist

http://www.chiefmartec.com/

Brave New World

ENIAC. Image courtesy of The University of Pennsylvania and Michel T. Huber.

“The Rise of the Marketing Technologist”

• Marketing Technology isn’t a fad – it’s here and now. And it’s here to stay.

• Success in marketing today is based on the ability to build mutually beneficial, permission-based, opt-in relationships.

• The landscape is changing – consumers are “untethered”. Mobile interactions are exploding and consumer usage patterns, needs, and desires are changing…rapidly.

• Agencies and Brands need the business, marketing, [big] data-driven analytical capabilities and technical expertise a Marketing Technologist can bring.

Thank You

Gene De LiberoChief Strategy Officer

AREA203 Digitalwww.area203.com

gene.delibero@area203.com631-780-4363

“The Rise of the Marketing Technologist”