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IMPLEMENTING YOUR MARKETING STRATEGY THROUGH
A WELL-DESIGNED TECHNOLOGY STACK
DELIVERING MORE EFFECTIVE
MARKETING THROUGH THE
RIGHT TECHNOLOGY
WHITEPAPER
adma.com.au
sponsored by
ADMA |	 Delivering more effective marketing through the right technology2
INTRODUCTION
First published in 2009, self-described venture capitalist Fred
Wilson introduced the concept of a golden triangle of megatrends
in the technology sector that are reshaping business today.
MOBILE DEVICES
Hand held technology that empowers individuals
SOCIAL MEDIA
Enabling new connections and communications
REAL TIME
Live dialogue between people in different locations
At the heart of this golden triangle lies the nexus of disruption.
This space is open for businesses to grow and develop deeper
relationships with existing and potential customers.
In this paper we discuss the technology stack, which is the set of
solutions businesses are using to get inside the golden triangle,
and maximise their opportunities there.
ADMA | Delivering more effective marketing through the right technology 3
REAL TIME
TECHNOLOGY
STACK
Nexus of
disruption creates
opportunities for
business
SOCIALMOBILE
GOLDEN TRIANGLE
OF OPPORTUNITY
ADMA |	 Delivering more effective marketing through the right technology4
In this paper we examine:
	What comprises the technology stack
	How to define the stack for your organisation
	How planning ahead can help drive successful
implementation
	Choosing the best way of implementing your
technology stack
	Future developments in products and providers
	Addressing the skills gap
	Conclusions for marketers
ADMA | Delivering more effective marketing through the right technology 5
However, today, for marketers, the technology stack
is the combination of technologies an organisation
uses to automate its marketing function and provide
quantitative information that is used for making
business decisions.
As businesses and technology has become more
complex, the technology stack has grown to extend
beyond an organisation. Tools like social media,
exist beyond the walls of any one business, however
their influence and value within the business can be
considerable.
There is now a wide range of different solutions
available to marketers, to help aggregate, analyse
and interact with customers and their data. The
challenge lies in selecting and implementing the
right combination of technologies to keep pace with
growing customer expectations. Those who succeed
will benefit most from the disruptive change mobile
devices; social media; and real-time technologies are
creating.
DEFINING THE
TECHNOLOGY STACK
TRADITIONALLY, INFORMATION TECHNOLOGY HAS DEFINED THE TECHNOLOGY
STACK AS THE LAYERS OF COMPONENTS OR SERVICES THAT ARE USED TO
PROVIDE A SOFTWARE SOLUTION OR APPLICATION.
COLLECT
Collect and Listen
Loyalty
INTERACT
Interact and Analyse
ACTIVATE
Engagement Channels
CRM
Web
3rd party
Content
Point of sale
Web
Programmatic media buying
Customer marketing execution
Communications
Content
Measurement
Mobile
Social
Email
DQM - Data Quality Management
DMP - Data Management Platform
DSP - Demand Side Platform
DV - Data Visualisation
A - Analytics
jour
ney mapping segm
e
ntation
personas
personalisation
cust
om
erexperience
DV
DQM
DMP
DSP
A
ADMA |	 Delivering more effective marketing through the right technology6
DEFINING THE TECHNOLOGY STACK
THAT WILL WORK FOR YOUR BUSINESS
THE KEY TO ACHIEVING OPTIMAL CUSTOMER EXPERIENCES IS TO MAKE IT
A PRIORITY, AND BUILD OR RESHAPE YOUR BUSINESS AROUND THIS GOAL.
Begin with business strategy
Defining your technology stack begins with your
overall business strategy. Before you begin to look at
solutions, you need to have a clear understanding of
the goals you are trying to achieve as an organisation.
The most important role of the Chief Marketing Officer
(CMO) in implementing a technology stack is to ensure
there is complete alignment between the marketing
technology strategy and the organisation-wide
business strategy.
Marketing strategy alignment
It is useful to revisit your marketing strategy, to remind
yourself of what your team is responsible for delivering
to support the overall business goals. Your marketing
strategy can guide you in the next phase, where you
examine how you are going to use technology to
achieve your deliverables.
Your technology stack is a combination of tools only.
Although it will support your marketing and business
strategies, it will not be able to provide you with all the
answers.
How to define your technology stack
1.	Revisit overall business strategy: what do you
want to achieve?
2. Identify how the marketing strategy will support
overall business goals
3. Define the technology strategy that will deliver
marketing strategy
4. Engage Board and C-Suite
5. Evaluate where your capabilities lie: vendor
or in-house
6. Select technology providers
7. Implement technology stack
8. Measure outcomes.
ADMA | Delivering more effective marketing through the right technology 7
Defining your technology strategy
The process of defining your technology strategy is one
of constant refinement.
For each solution in your technology stack,
you need to ask the following questions:
The flow chart can help you identify solutions
that cross technology streams. You can then
begin prioritising the different solutions in order
of effectiveness, and begin looking into trials.
TECHNOLOGY
STACK
TECHNOLOGY
STRATEGY
MARKETING
+ CONTENT
STRATEGY
DATA
STRATEGY
BUSINESS
OBJECTIVES
VISION/
MISSION
What do we have in place to make use
of this medium/information/channel?
What's working and what's not?
Which technologies can we retire?
Where are the gaps that need to be filled
How are these technologies being
used by our customers, potential customers,
former customers and our ourganisaiton?
Are there any significant new
technologies we need to be aware of
or start to use that we are not using?
MOBILE MARKETING STRATEGY
SOCIAL MEDIA STRATEGY
DATA STRATEGY
ADMA |	 Delivering more effective marketing through the right technology8
Engagement and implementation
The CMO has an important role in advocating and facilitating understanding of the technology stack across the
organisation. The Board and C-Suite need to understand how your technology stack drives bottom line results.
Although they do not need to necessarily understand the technical detail behind each technology, or how your
organisation might implement it, they will need to see a clear connection between the technology stack and
business outcomes.
The other key area the CMO needs to focus on is in collaborating with IT. By working closely together, the
CMO can engender support from IT by collaborating on trials and sharing experiences from both successes
and failures.
CHAMPION WITHIN
MARKETING TEAM
CMO LEADING
TECHNOLOGICAL
CHANGE
Align objectives with
business objectives
Support entrepreneurial
culture
Encourage fast learning
Allocate budget for
testing new technologies
CHAMPION ACROSS
BROADER ORGANISATION
Demonstrate alignment
of business objectives with
technological change at
Board level
Facilitate learning gaps
at C-suite and Board level
Retain visibility for projects
across organisation
ADMA | Delivering more effective marketing through the right technology 9
Capabilities evaluation
Once you have identified the areas of the technology
stack to be explored, you need to decide where your
capabilities lie. Should you develop technologies
in-house, or look for off-the-shelf solutions? And once
you have the technologies up and running, will you
have the intellectual capital in-house to make use of
the technologies, or will you rely on outsider vendors
for day-to-day management and upkeep? Knowing
how to use your technology to its fullest, to generate
meaningful business insights, is just as important as
the technology itself.
A real challenge lies here for marketing agencies.
Agencies need to have the people and skills ready
and tested before clients come to them for advice. To
stay ahead of the game, they need to investigate and
understand how new technological solutions work and
can be implemented.
The decision whether to develop in-house or to use
off the shelf solutions is discussed later in this paper,
where we explore the pros and cons of point solutions
and single-vendor solutions.
Measuring success
It is important to regularly review your technology
stack, and quantify its outcomes. Return on investment
is a standard tool used to measure effectiveness,
however, it does not capture the total value generated
by implementing your technology stack. Many
outcomes can be more difficult to attach a dollar
figure, such as the goodwill generated through
improved customer engagement.
Following is a checklist of things you should consider
when evaluating the performance of your technology
stack:
	Which technologies are customers using regularly?
	Does your technology stack match the tools your
customers prefer to use?
	How are technologies reducing workload from other
parts of the business, such as your call centre?
	What are your feedback channels telling you about
the customer experience with your technology stack?
	Should you consider surveying your audience?
Your technology stack is part of your
business infrastructure, and must
be invested in, as other parts of your
business are.
You will need to evaluate whether to:
	develop the solution in-house; or
	find a reliable vendor solution that
can be integrated with your systems.
ADMA |	 Delivering more effective marketing through the right technology10
Technology challenges
Your IT team is going to be your most useful source
of help when it comes to overcoming the key IT
challenges:
	how to find an infrastructure partner
	how to put together multiple solutions
	where to spend your money, in-house or external
providers
	 -	In-house solutions can have a low level of
sophistication, but might work easily with existing
infrastructure
	 -	External solutions can be more mature, offering
more tools and features.
Many vendors now go directly to marketing to sell
their solutions, bypassing IT altogether. This can
undermine the IT function, generating distrust within
the organisation. It is therefore vital to maintain open
dialogue with IT, so they have the opportunity to get
involved where and when appropriate, and ensure
they are able to keep up-to-speed with the technical
aspects of new technologies being tested.
	Information technology
	Human resources,
or those responsible for
your organisational culture
	Operations.
Although the CMO is responsible for
leading the implementation, everyone in
the marketing team plays an important
role in promoting the technology stack,
and facilitating productive relationships
with internal stakeholders.
SMOOTH IMPLEMENTATION
TAKES PLANNING
THERE ARE THREE MAIN AREAS OF THE BUSINESS TO CONSIDER WHEN
IMPLEMENTING YOUR TECHNOLOGY STACK. KEEPING OPEN LINES OF
COMMUNICATION, AND INVOLVING EACH IN YOUR PLANNING CAN MAKE A
SIGNIFICANT DIFFERENCE TO HOW SMOOTHLY YOUR IMPLEMENTATION GOES.
YOU SHOULD AIM AT COLLABORATING WITH:
ADMA | Delivering more effective marketing through the right technology 11
People challenges
There are a number of different challenges that come
with organisational change. The particular challenges
you are likely to encounter when implementing your
technology stack include:
	The Board being divorced from digital operations
	 -	SME can be more agile, as those making the
decisions have the advantage of both a satellite
view of their business as well as hands on, front
line experience.
Legacy systems and politics that can make change
slow and costly
	Managing the leadership role with IT. The CMO
should initiate and lead the overall project while
the CIO needs to:
	 -	work out how to pull different technologies
together
	 -	balance in-house and external spend/ownership/
technology
	Speed of execution and change management.
When change takes too long to implement,
momentum breaks down.
	Engendering the entrepreneurial spirit so change
agents can develop within an organisation. The
CMO needs to enable a degree of risk to be taken
by business units to try new technologies and make
changes
	Skills gap: finding an analyst who has marketing skills
as well as technical skills to implement solutions.
Operational challenges
Bringing new technologies into a business becomes
challenging when you move from theory into practice.
Practical consideration and planning needs to be
given to:
	Balancing risk and reward
	Funding innovation: budget needs to be made
available for small trials, so organisations can fail
and learn quickly. This is difficult for public/listed
companies who need to show a ROI within
12 months
	Mapping business/outputs against technology
requirements (technology is required to meet some
goals).
RISKS SOLUTIONS
Is there a safe bet anymore?
Is it possible to future proof your
solution?
Churn to new technology
is costly
Create a pool of money
for testing
Fire bullets before cannonballs,
that is, test incrementally using
a speculation fund.
ADMA |	 Delivering more effective marketing through the right technology12
POINT SOLUTION V SINGLE VENDOR
Point solution (Solving one particular problem
without regard to related issues)
Point solutions are widely used to fix a problem
or implement a new service quickly
Easy, low cost, low disruption to overall
architecture to change if not working
Point solutions can be costly to integrate
Can silo data in one area
Quick and easy integration
Data can be empowered across the business
How good is your single vendor at integrating
point solutions?
Costly and disruptive to change if not working
Single vendor
IMPLEMENTING YOUR TECHNOLOGY
STACK WITH A POINT SOLUTION OR
SINGLE VENDOR
THERE ARE TWO WAYS YOU CAN IMPLEMENT YOUR TECHNOLOGY STACK: EITHER WITH
A SINGLE VENDOR WHO PROVIDES ALL THE TOOLS AND SYSTEMS YOU NEED; OR A POINT
SOLUTION, WHERE YOU BUY IN INDIVIDUAL TOOLS TO ADDRESS INDIVIDUAL PROBLEMS.
SINGLE VENDOR
POINT SOLUTION
Look for a primary system, and then everything
needs to plug and play with that system
Select one system and then fill the gaps
with point solutions


It makes sense to consider how flexible your business architecture is when you’re deciding between single vendor solutions
and point solutions. The benefits of each option are described in the table below.
The steps you take in implementing your technology stack depend on which solution you use:
UPSIDES
DOWNSIDES
ADMA | Delivering more effective marketing through the right technology 13
WHAT WE KNOW ABOUT FUTURE
PRODUCTS AND PROVIDERS
THERE IS NO DOUBT ABOUT WHAT THE FUTURE HOLDS: THE COMPANIES THAT MATCH
CUSTOMER NEEDS WITH THE RIGHT TECHNOLOGICAL SOLUTION WILL WIN.
The skills gap between IT and marketing is widening.
Marketers need to become more active in the
technology space. They need to know more about
technology and the solutions it can provide to help
automate marketing, and provide information for
decision making.
IT also needs to catch up. Where in the past IT projects
drove business change, the shoe is now on the other
foot. Lines of business are coming to IT with specific
needs, or solutions that need to be integrated into
existing business systems. IT is being asked to develop
a deeper understanding of how technology can
support business. In addition, business is demanding
a technical expertise in a wider range of specific tools
and technology solutions than ever before.
There are a number of other, more specific changes we
see ahead, as further democratisation of technology
continues. These are described in the table below.
WHAT WE KNOW WHAT WE DON’T KNOW
Existing technologies are not yet being fully utilised.
Marketers can still make better use of the technology
they already have available to them.
Technology will more directly affect ROI and business
success in general.
New technologies will be developed.
As new technologies are rolled out, skills gaps emerge.
Greater computing power will enable a break down
of customer behaviour to generate understandings.
Big data computation will enable more informed
decision-making, in real time.
Existing technologies may have new applications,
but we don’t know what those applications are.
Which technologies will generate the greatest returns.
While we can see what is possible, it’s not clear how people
will use the new technologies.
Those who embrace change will succeed
Education and cross training between technical skills and
marketing skills is needed to make full use of the new
technologies available.
Institutions, as well as technology providers will need to
support training and skills development of those using new
technology.
The challenge for agencies is to have the people and skills
ready and tested before clients demand. Agencies need
to be ahead of the game.
When marketers know more about customers and their
behaviours, how will customers respond?
ADMA |	 Delivering more effective marketing through the right technology14
Compounding the problem is the fact that every new
technology that becomes available creates a new skills
gap to be bridged.
Business leaders need to decide how they are going
to fill the knowledge gaps. There is a need to balance
the amount of skills required to use a new technology
against the capability that technology brings to your
organisation.
The following chart describes the balancing act
required to maintain the right level of skills to meet the
demands of the technology you use. As technologies
become more complex and specific, so too does the
pressure mount on generalists to combine ideas to
create value. Generalists need to become experts
quickly, so they are competent enough to maximise
the benefits new technologies bring.
People solutions
Owning the skills needed to operate your technology
in-house is not always the right answer to addressing
the skills gap. Having control over those with the
skills is what is needed. Following are some common
solutions to this universal challenge:
	Federate your technology – operate a central IT
function that services all your different business
functions
	Outsource specific services as and when required
	Use virtual global teams to provide business-specific
solutions to complex problems
	Apply just-in-time purchasing to technical skills
through a flexible workforce (e.g. Uber). You can
decrease the number of full-time employees, and
buy in skills as needed.
	Embed associates (e.g. Facebook and Adobe)
	 -	Partnering with technology providers to provide
skills along with technology solutions
	 -	Employ a corporate intern: skilled professionals
who can rotate through a business, providing
practical training to others.
WAYS TO ADDRESS
THE SKILLS GAP
A KNOWLEDGE GAP EXISTS BETWEEN THE VARIOUS AREAS OF DIGITAL
MARKETING AND TECHNOLOGY. THE DIVERGENCE BETWEEN THOSE
IMPLEMENTING SEO/SEM AND THE TOOLS THAT RUN THEM, FOR EXAMPLE,
IS INCREASING AS THE TECHNOLOGY BECOMES MORE SOPHISTICATED.
SKILLS
GAP
CAPABILITIES
#SKILLS
Minimum
skill level for
a business
Core Skills /
Capabilities
New SkillsStretch Skills
(making do)
ADMA | Delivering more effective marketing through the right technology 15
Organisational culture solutions
Organisational culture can be a powerful tool to help
stretch the skills in your business to meet your needs.
	Encourage agility – a technical aptitude required for
a dynamic environment
	Strong leadership – sales and leadership skills are
needed to promote technological change internally
	Effective project management skills are needed to
keep an organisational change program on track.
What the skills gap means for
experienced marketing professionals
Bridging the skills gap has important implications
for all marketing professionals. Marketers will need
to increase the range of skills they bring to work
each day, as the emphasis changes. Marketing
competencies are changing.
	Technology is becoming part of the next
generation’s skills
	Marketers need the ability to turn strategy into an
execution plan
	Technical competency, at least at a theoretical level,
will be required for key initiatives
	Marketers must develop an understanding of the
key areas required for successful delivery: business
stakeholders, technology, vendor etc.
	Leadership will be needed to attract and retain the
right staff with the right skills
In summary, experienced marketers will need to
expand their generalist business skills, while at the
same time tapping into the specialist skills and
technical ability of less experienced marketers.
What the skills gap means to business
managers
At a broader business level, the skills gap poses
challenges for managing organisations as a whole:
	More skills are needed to deliver value to customers
	Wages are spiralling: it can cost a lot to hire the
talent you need as it is rare
	Baseline skills can be hard to verify: it’s hard to
identify what skills a person has, and what specific
skills are needed to implement a technology
	Training and development costs are increasing: there
is a constant need to upgrade skills. People need
to be training for their next job. This makes it more
difficult to evaluate the cost effectiveness of training.
Vendors need to collaborate to help businesses
bridge the gap in training required to operate new
technologies.
	Growth of data makes it more difficult to analyse and
interpret: businesses need staff with hybrid skills.
There is a disconnect that requires
communication and analytical skills
combined to turn data into information
that can be used to make informed
business decisions
DATA ≠ INSIGHT ≠ ACTION
ADMA |	 Delivering more effective marketing through the right technology16
CONCLUSIONS
This investigation into the technology stack has highlighted
a number of changes that have important implications for
marketers and the changing direction of the marketing function
in organisations:
	Technology has allowed large amounts
of data to be analysed quickly, providing
useful insights and information for
marketers, enabling marketing to move
from a reactive to pro-active function.
	Although marketing has recently
undergone an industrialisation, it will
continue to be transformed by technology.
	Technological solutions that address
marketing problems are many and varied.
In order to select the right solution,
decision makers need an in-depth,
practical understanding of the marketing
problem you are trying to address.
	CMOs need to drive all aspects of the
technology stack:
	 -	Most IT departments are sufficiently
removed from the detail of marketing
that they are not able to pro-actively
suggest new technologies as they
become available.
	-	Because technology plays such a
significant role in marketing today,
CMOs need to drive the strategy and
implementation of the technology stack.
	Single vendors can provide general tools
to support marketing, however gaps can
persist for point solutions to fill. Deciding
on the mix of technologies, and balance
between in-house and external providers is
best done in partnership with IT.
	New technologies are generating skill gaps
between those with technical knowledge
and those with broader marketing and
business experience. Although training can
go some way to address the mismatch,
CMOs need to think of creative ways
to bridge the gap through partnering
skills and experience together within the
organisation at times and bringing in
experts when needed at others.
Although the technology stack presents
many challenges for marketers, it is the
future direction businesses will be taking.
Those who harness the opportunity it offers
businesses to get closer to their customers
will ultimately win the battle for hearts and
minds.
ADMA | Delivering more effective marketing through the right technology 17
ACKNOWLEDGEMENTS
THIS WHITE PAPER IS A RESULT OF THE EXPERIENCE, IDEAS AND THOUGHT
LEADERSHIP GENERATED BY THE ADMA CUSTOMER EXPERIENCE EXPERT GROUP
FROM THE CUSTOMER EXPERIENCE THINK TANK.
These invitation-only facilitated workshops explore topics related to one of our content pillars; Customer Experience,
Data, Content, Creativity, Technology.
With thanks to the members of the ADMA Customer Experience Expert Group and Teradata for their sponsorship.
Kym Boyle
Senior Director,
Technology and Systems Marketing,
Oracle Corporation
Simon O’Day
Head of Partnerships Program,
Emma Inc
Matt McGrath
Chief Brand Officer,
Network Ten
Richard Harris
Director,
ADMA
Brad Bennet
Head of Technology,
The Hallway
Hugh Bradlow
Chief Scientist,
Telstra
Jon-Paul Stift
Client Partner,
Atlas | a Facebook company
Shaden Mohamed
Executive GM - Online Marketing
 Business Intelligence,
Wotif group
Jeffrey Evans
Vice President Agency, Asia Pacific,
Epsilon
Rachelle Kerr
Marketing Technology Director,
McCorkell
ADMA |	 Delivering more effective marketing through the right technology18
WRITER AND RESEARCHER:
Charlotte Spencer-Roy
Copywriter
Mike Vasavada
Director - Mobility Solutions,
mobiDdiction
Jeff Clark
Managing Partner,
Engage Digital
Stuart Waite
General Manager, Head of
Consumer Products  Technology,
News Corp
Theo Noel
Regional Director AU/NZ,
Return Path
Daniel Aunvig
Head of Customer Intelligence,
SAS
Midu Chandra
Director of Strategy  Innovation,
mobiDdiction
Katherine Milesi
Partner,
Deloitte Consulting – Australia
Ray Kloss
Head of Marketing,
SAP
Steve Brennen
Senior Director of Marketing
 Advertising Sales,
Ebay Australia
Tim Knight
Group Head of Digital,
True Allianz
SPONSOR:
ADMA | Delivering more effective marketing through the right technology 19
ADMA WHITEPAPERS
ABOUT ADMA
OUR WHITE PAPERS ARE DESIGNED TO INFORM DECISION-MAKING
EXECUTIVES ABOUT THE LATEST DEVELOPMENTS IN AN AREA OF BEST
PRACTICE. WE INCLUDE EXAMPLES OF WHAT CAN BE ACHIEVED, HOW IT CAN
TRANSFORM THE OPERATIONS OF AN ORGANISATION, AND THE MAIN ISSUES
YOU NEED TO CONSIDER WHEN APPLYING THE PRINCIPLES, PRACTICES AND
TECHNOLOGIES TO YOUR ORGANISATION. TO FIND OUT MORE ABOUT ADMA AND
OUR MARKET-LEADING INSIGHTS, PLEASE VISIT US ONLINE AT ADMA.COM.AU.
TERADATA HELPS COMPANIES GET MORE VALUE FROM DATA THAN ANY OTHER COMPANY.
THE ASSOCIATION FOR DATA-DRIVEN MARKETING AND ADVERTISING, OR ADMA, IS THE
PRINCIPAL INDUSTRY BODY FOR INFORMATION BASED MARKETING AND ADVERTISING
AND IS THE LARGEST MARKETING AND ADVERTISING BODY IN AUSTRALIA.
ADMA is the ultimate authority and go-to resource
for creative and effective data driven marketing
across all channels and platforms, providing insight,
ideas and innovation to advance responsive and
enlightened marketing.
	We represent the new era of marketing
and advertising.
	We signify the full spectrum – a 360 view – end-to-end
	 -	 From marketing to advertising
	 -	 From effective to creative
	 -	 From above to below
	 -	 From measurable to engaging.
ADMA has over 550 member organisations
including major financial institutions,
telecommunications companies, energy providers,
leading media companies, travel service companies,
airlines, major charities, statutory corporations,
educational institutions and specialist suppliers
to the industry including advertising agencies,
software and internet companies.
© 2015
Teradata helps companies get more value from
data than any other company. Our big data analytic
solutions, integrated marketing applications, and team
of experts can help your company gain a sustainable
competitive advantage with data.
Teradata helps organizations leverage all their data
so they can know more about their customers and
business and do more of what’s really important.
Visit marketing.teradata.com/au
Registered Office
Association for Data-driven
Marketing and Advertising
ACN 002 909 800
ABN 34 002 909 800
Level 6, 50 Carrington St
Sydney NSW 2000
GPO Box 3895
Sydney NSW 2001
T	+61 2 9277 5400
F	+61 2 9277 5410
contact@adma.com.au
adma.com.au
ADMAWP011_27_APR15
This whitepaper has
been produced with
thought leadership
from Teradata.

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ADMA Technology White Paper FA

  • 1. IMPLEMENTING YOUR MARKETING STRATEGY THROUGH A WELL-DESIGNED TECHNOLOGY STACK DELIVERING MORE EFFECTIVE MARKETING THROUGH THE RIGHT TECHNOLOGY WHITEPAPER adma.com.au sponsored by
  • 2. ADMA | Delivering more effective marketing through the right technology2 INTRODUCTION First published in 2009, self-described venture capitalist Fred Wilson introduced the concept of a golden triangle of megatrends in the technology sector that are reshaping business today. MOBILE DEVICES Hand held technology that empowers individuals SOCIAL MEDIA Enabling new connections and communications REAL TIME Live dialogue between people in different locations At the heart of this golden triangle lies the nexus of disruption. This space is open for businesses to grow and develop deeper relationships with existing and potential customers. In this paper we discuss the technology stack, which is the set of solutions businesses are using to get inside the golden triangle, and maximise their opportunities there.
  • 3. ADMA | Delivering more effective marketing through the right technology 3 REAL TIME TECHNOLOGY STACK Nexus of disruption creates opportunities for business SOCIALMOBILE GOLDEN TRIANGLE OF OPPORTUNITY
  • 4. ADMA | Delivering more effective marketing through the right technology4 In this paper we examine: What comprises the technology stack How to define the stack for your organisation How planning ahead can help drive successful implementation Choosing the best way of implementing your technology stack Future developments in products and providers Addressing the skills gap Conclusions for marketers
  • 5. ADMA | Delivering more effective marketing through the right technology 5 However, today, for marketers, the technology stack is the combination of technologies an organisation uses to automate its marketing function and provide quantitative information that is used for making business decisions. As businesses and technology has become more complex, the technology stack has grown to extend beyond an organisation. Tools like social media, exist beyond the walls of any one business, however their influence and value within the business can be considerable. There is now a wide range of different solutions available to marketers, to help aggregate, analyse and interact with customers and their data. The challenge lies in selecting and implementing the right combination of technologies to keep pace with growing customer expectations. Those who succeed will benefit most from the disruptive change mobile devices; social media; and real-time technologies are creating. DEFINING THE TECHNOLOGY STACK TRADITIONALLY, INFORMATION TECHNOLOGY HAS DEFINED THE TECHNOLOGY STACK AS THE LAYERS OF COMPONENTS OR SERVICES THAT ARE USED TO PROVIDE A SOFTWARE SOLUTION OR APPLICATION. COLLECT Collect and Listen Loyalty INTERACT Interact and Analyse ACTIVATE Engagement Channels CRM Web 3rd party Content Point of sale Web Programmatic media buying Customer marketing execution Communications Content Measurement Mobile Social Email DQM - Data Quality Management DMP - Data Management Platform DSP - Demand Side Platform DV - Data Visualisation A - Analytics jour ney mapping segm e ntation personas personalisation cust om erexperience DV DQM DMP DSP A
  • 6. ADMA | Delivering more effective marketing through the right technology6 DEFINING THE TECHNOLOGY STACK THAT WILL WORK FOR YOUR BUSINESS THE KEY TO ACHIEVING OPTIMAL CUSTOMER EXPERIENCES IS TO MAKE IT A PRIORITY, AND BUILD OR RESHAPE YOUR BUSINESS AROUND THIS GOAL. Begin with business strategy Defining your technology stack begins with your overall business strategy. Before you begin to look at solutions, you need to have a clear understanding of the goals you are trying to achieve as an organisation. The most important role of the Chief Marketing Officer (CMO) in implementing a technology stack is to ensure there is complete alignment between the marketing technology strategy and the organisation-wide business strategy. Marketing strategy alignment It is useful to revisit your marketing strategy, to remind yourself of what your team is responsible for delivering to support the overall business goals. Your marketing strategy can guide you in the next phase, where you examine how you are going to use technology to achieve your deliverables. Your technology stack is a combination of tools only. Although it will support your marketing and business strategies, it will not be able to provide you with all the answers. How to define your technology stack 1. Revisit overall business strategy: what do you want to achieve? 2. Identify how the marketing strategy will support overall business goals 3. Define the technology strategy that will deliver marketing strategy 4. Engage Board and C-Suite 5. Evaluate where your capabilities lie: vendor or in-house 6. Select technology providers 7. Implement technology stack 8. Measure outcomes.
  • 7. ADMA | Delivering more effective marketing through the right technology 7 Defining your technology strategy The process of defining your technology strategy is one of constant refinement. For each solution in your technology stack, you need to ask the following questions: The flow chart can help you identify solutions that cross technology streams. You can then begin prioritising the different solutions in order of effectiveness, and begin looking into trials. TECHNOLOGY STACK TECHNOLOGY STRATEGY MARKETING + CONTENT STRATEGY DATA STRATEGY BUSINESS OBJECTIVES VISION/ MISSION What do we have in place to make use of this medium/information/channel? What's working and what's not? Which technologies can we retire? Where are the gaps that need to be filled How are these technologies being used by our customers, potential customers, former customers and our ourganisaiton? Are there any significant new technologies we need to be aware of or start to use that we are not using? MOBILE MARKETING STRATEGY SOCIAL MEDIA STRATEGY DATA STRATEGY
  • 8. ADMA | Delivering more effective marketing through the right technology8 Engagement and implementation The CMO has an important role in advocating and facilitating understanding of the technology stack across the organisation. The Board and C-Suite need to understand how your technology stack drives bottom line results. Although they do not need to necessarily understand the technical detail behind each technology, or how your organisation might implement it, they will need to see a clear connection between the technology stack and business outcomes. The other key area the CMO needs to focus on is in collaborating with IT. By working closely together, the CMO can engender support from IT by collaborating on trials and sharing experiences from both successes and failures. CHAMPION WITHIN MARKETING TEAM CMO LEADING TECHNOLOGICAL CHANGE Align objectives with business objectives Support entrepreneurial culture Encourage fast learning Allocate budget for testing new technologies CHAMPION ACROSS BROADER ORGANISATION Demonstrate alignment of business objectives with technological change at Board level Facilitate learning gaps at C-suite and Board level Retain visibility for projects across organisation
  • 9. ADMA | Delivering more effective marketing through the right technology 9 Capabilities evaluation Once you have identified the areas of the technology stack to be explored, you need to decide where your capabilities lie. Should you develop technologies in-house, or look for off-the-shelf solutions? And once you have the technologies up and running, will you have the intellectual capital in-house to make use of the technologies, or will you rely on outsider vendors for day-to-day management and upkeep? Knowing how to use your technology to its fullest, to generate meaningful business insights, is just as important as the technology itself. A real challenge lies here for marketing agencies. Agencies need to have the people and skills ready and tested before clients come to them for advice. To stay ahead of the game, they need to investigate and understand how new technological solutions work and can be implemented. The decision whether to develop in-house or to use off the shelf solutions is discussed later in this paper, where we explore the pros and cons of point solutions and single-vendor solutions. Measuring success It is important to regularly review your technology stack, and quantify its outcomes. Return on investment is a standard tool used to measure effectiveness, however, it does not capture the total value generated by implementing your technology stack. Many outcomes can be more difficult to attach a dollar figure, such as the goodwill generated through improved customer engagement. Following is a checklist of things you should consider when evaluating the performance of your technology stack: Which technologies are customers using regularly? Does your technology stack match the tools your customers prefer to use? How are technologies reducing workload from other parts of the business, such as your call centre? What are your feedback channels telling you about the customer experience with your technology stack? Should you consider surveying your audience? Your technology stack is part of your business infrastructure, and must be invested in, as other parts of your business are. You will need to evaluate whether to: develop the solution in-house; or find a reliable vendor solution that can be integrated with your systems.
  • 10. ADMA | Delivering more effective marketing through the right technology10 Technology challenges Your IT team is going to be your most useful source of help when it comes to overcoming the key IT challenges: how to find an infrastructure partner how to put together multiple solutions where to spend your money, in-house or external providers - In-house solutions can have a low level of sophistication, but might work easily with existing infrastructure - External solutions can be more mature, offering more tools and features. Many vendors now go directly to marketing to sell their solutions, bypassing IT altogether. This can undermine the IT function, generating distrust within the organisation. It is therefore vital to maintain open dialogue with IT, so they have the opportunity to get involved where and when appropriate, and ensure they are able to keep up-to-speed with the technical aspects of new technologies being tested. Information technology Human resources, or those responsible for your organisational culture Operations. Although the CMO is responsible for leading the implementation, everyone in the marketing team plays an important role in promoting the technology stack, and facilitating productive relationships with internal stakeholders. SMOOTH IMPLEMENTATION TAKES PLANNING THERE ARE THREE MAIN AREAS OF THE BUSINESS TO CONSIDER WHEN IMPLEMENTING YOUR TECHNOLOGY STACK. KEEPING OPEN LINES OF COMMUNICATION, AND INVOLVING EACH IN YOUR PLANNING CAN MAKE A SIGNIFICANT DIFFERENCE TO HOW SMOOTHLY YOUR IMPLEMENTATION GOES. YOU SHOULD AIM AT COLLABORATING WITH:
  • 11. ADMA | Delivering more effective marketing through the right technology 11 People challenges There are a number of different challenges that come with organisational change. The particular challenges you are likely to encounter when implementing your technology stack include: The Board being divorced from digital operations - SME can be more agile, as those making the decisions have the advantage of both a satellite view of their business as well as hands on, front line experience. Legacy systems and politics that can make change slow and costly Managing the leadership role with IT. The CMO should initiate and lead the overall project while the CIO needs to: - work out how to pull different technologies together - balance in-house and external spend/ownership/ technology Speed of execution and change management. When change takes too long to implement, momentum breaks down. Engendering the entrepreneurial spirit so change agents can develop within an organisation. The CMO needs to enable a degree of risk to be taken by business units to try new technologies and make changes Skills gap: finding an analyst who has marketing skills as well as technical skills to implement solutions. Operational challenges Bringing new technologies into a business becomes challenging when you move from theory into practice. Practical consideration and planning needs to be given to: Balancing risk and reward Funding innovation: budget needs to be made available for small trials, so organisations can fail and learn quickly. This is difficult for public/listed companies who need to show a ROI within 12 months Mapping business/outputs against technology requirements (technology is required to meet some goals). RISKS SOLUTIONS Is there a safe bet anymore? Is it possible to future proof your solution? Churn to new technology is costly Create a pool of money for testing Fire bullets before cannonballs, that is, test incrementally using a speculation fund.
  • 12. ADMA | Delivering more effective marketing through the right technology12 POINT SOLUTION V SINGLE VENDOR Point solution (Solving one particular problem without regard to related issues) Point solutions are widely used to fix a problem or implement a new service quickly Easy, low cost, low disruption to overall architecture to change if not working Point solutions can be costly to integrate Can silo data in one area Quick and easy integration Data can be empowered across the business How good is your single vendor at integrating point solutions? Costly and disruptive to change if not working Single vendor IMPLEMENTING YOUR TECHNOLOGY STACK WITH A POINT SOLUTION OR SINGLE VENDOR THERE ARE TWO WAYS YOU CAN IMPLEMENT YOUR TECHNOLOGY STACK: EITHER WITH A SINGLE VENDOR WHO PROVIDES ALL THE TOOLS AND SYSTEMS YOU NEED; OR A POINT SOLUTION, WHERE YOU BUY IN INDIVIDUAL TOOLS TO ADDRESS INDIVIDUAL PROBLEMS. SINGLE VENDOR POINT SOLUTION Look for a primary system, and then everything needs to plug and play with that system Select one system and then fill the gaps with point solutions It makes sense to consider how flexible your business architecture is when you’re deciding between single vendor solutions and point solutions. The benefits of each option are described in the table below. The steps you take in implementing your technology stack depend on which solution you use: UPSIDES DOWNSIDES
  • 13. ADMA | Delivering more effective marketing through the right technology 13 WHAT WE KNOW ABOUT FUTURE PRODUCTS AND PROVIDERS THERE IS NO DOUBT ABOUT WHAT THE FUTURE HOLDS: THE COMPANIES THAT MATCH CUSTOMER NEEDS WITH THE RIGHT TECHNOLOGICAL SOLUTION WILL WIN. The skills gap between IT and marketing is widening. Marketers need to become more active in the technology space. They need to know more about technology and the solutions it can provide to help automate marketing, and provide information for decision making. IT also needs to catch up. Where in the past IT projects drove business change, the shoe is now on the other foot. Lines of business are coming to IT with specific needs, or solutions that need to be integrated into existing business systems. IT is being asked to develop a deeper understanding of how technology can support business. In addition, business is demanding a technical expertise in a wider range of specific tools and technology solutions than ever before. There are a number of other, more specific changes we see ahead, as further democratisation of technology continues. These are described in the table below. WHAT WE KNOW WHAT WE DON’T KNOW Existing technologies are not yet being fully utilised. Marketers can still make better use of the technology they already have available to them. Technology will more directly affect ROI and business success in general. New technologies will be developed. As new technologies are rolled out, skills gaps emerge. Greater computing power will enable a break down of customer behaviour to generate understandings. Big data computation will enable more informed decision-making, in real time. Existing technologies may have new applications, but we don’t know what those applications are. Which technologies will generate the greatest returns. While we can see what is possible, it’s not clear how people will use the new technologies. Those who embrace change will succeed Education and cross training between technical skills and marketing skills is needed to make full use of the new technologies available. Institutions, as well as technology providers will need to support training and skills development of those using new technology. The challenge for agencies is to have the people and skills ready and tested before clients demand. Agencies need to be ahead of the game. When marketers know more about customers and their behaviours, how will customers respond?
  • 14. ADMA | Delivering more effective marketing through the right technology14 Compounding the problem is the fact that every new technology that becomes available creates a new skills gap to be bridged. Business leaders need to decide how they are going to fill the knowledge gaps. There is a need to balance the amount of skills required to use a new technology against the capability that technology brings to your organisation. The following chart describes the balancing act required to maintain the right level of skills to meet the demands of the technology you use. As technologies become more complex and specific, so too does the pressure mount on generalists to combine ideas to create value. Generalists need to become experts quickly, so they are competent enough to maximise the benefits new technologies bring. People solutions Owning the skills needed to operate your technology in-house is not always the right answer to addressing the skills gap. Having control over those with the skills is what is needed. Following are some common solutions to this universal challenge: Federate your technology – operate a central IT function that services all your different business functions Outsource specific services as and when required Use virtual global teams to provide business-specific solutions to complex problems Apply just-in-time purchasing to technical skills through a flexible workforce (e.g. Uber). You can decrease the number of full-time employees, and buy in skills as needed. Embed associates (e.g. Facebook and Adobe) - Partnering with technology providers to provide skills along with technology solutions - Employ a corporate intern: skilled professionals who can rotate through a business, providing practical training to others. WAYS TO ADDRESS THE SKILLS GAP A KNOWLEDGE GAP EXISTS BETWEEN THE VARIOUS AREAS OF DIGITAL MARKETING AND TECHNOLOGY. THE DIVERGENCE BETWEEN THOSE IMPLEMENTING SEO/SEM AND THE TOOLS THAT RUN THEM, FOR EXAMPLE, IS INCREASING AS THE TECHNOLOGY BECOMES MORE SOPHISTICATED. SKILLS GAP CAPABILITIES #SKILLS Minimum skill level for a business Core Skills / Capabilities New SkillsStretch Skills (making do)
  • 15. ADMA | Delivering more effective marketing through the right technology 15 Organisational culture solutions Organisational culture can be a powerful tool to help stretch the skills in your business to meet your needs. Encourage agility – a technical aptitude required for a dynamic environment Strong leadership – sales and leadership skills are needed to promote technological change internally Effective project management skills are needed to keep an organisational change program on track. What the skills gap means for experienced marketing professionals Bridging the skills gap has important implications for all marketing professionals. Marketers will need to increase the range of skills they bring to work each day, as the emphasis changes. Marketing competencies are changing. Technology is becoming part of the next generation’s skills Marketers need the ability to turn strategy into an execution plan Technical competency, at least at a theoretical level, will be required for key initiatives Marketers must develop an understanding of the key areas required for successful delivery: business stakeholders, technology, vendor etc. Leadership will be needed to attract and retain the right staff with the right skills In summary, experienced marketers will need to expand their generalist business skills, while at the same time tapping into the specialist skills and technical ability of less experienced marketers. What the skills gap means to business managers At a broader business level, the skills gap poses challenges for managing organisations as a whole: More skills are needed to deliver value to customers Wages are spiralling: it can cost a lot to hire the talent you need as it is rare Baseline skills can be hard to verify: it’s hard to identify what skills a person has, and what specific skills are needed to implement a technology Training and development costs are increasing: there is a constant need to upgrade skills. People need to be training for their next job. This makes it more difficult to evaluate the cost effectiveness of training. Vendors need to collaborate to help businesses bridge the gap in training required to operate new technologies. Growth of data makes it more difficult to analyse and interpret: businesses need staff with hybrid skills. There is a disconnect that requires communication and analytical skills combined to turn data into information that can be used to make informed business decisions DATA ≠ INSIGHT ≠ ACTION
  • 16. ADMA | Delivering more effective marketing through the right technology16 CONCLUSIONS This investigation into the technology stack has highlighted a number of changes that have important implications for marketers and the changing direction of the marketing function in organisations: Technology has allowed large amounts of data to be analysed quickly, providing useful insights and information for marketers, enabling marketing to move from a reactive to pro-active function. Although marketing has recently undergone an industrialisation, it will continue to be transformed by technology. Technological solutions that address marketing problems are many and varied. In order to select the right solution, decision makers need an in-depth, practical understanding of the marketing problem you are trying to address. CMOs need to drive all aspects of the technology stack: - Most IT departments are sufficiently removed from the detail of marketing that they are not able to pro-actively suggest new technologies as they become available. - Because technology plays such a significant role in marketing today, CMOs need to drive the strategy and implementation of the technology stack. Single vendors can provide general tools to support marketing, however gaps can persist for point solutions to fill. Deciding on the mix of technologies, and balance between in-house and external providers is best done in partnership with IT. New technologies are generating skill gaps between those with technical knowledge and those with broader marketing and business experience. Although training can go some way to address the mismatch, CMOs need to think of creative ways to bridge the gap through partnering skills and experience together within the organisation at times and bringing in experts when needed at others. Although the technology stack presents many challenges for marketers, it is the future direction businesses will be taking. Those who harness the opportunity it offers businesses to get closer to their customers will ultimately win the battle for hearts and minds.
  • 17. ADMA | Delivering more effective marketing through the right technology 17 ACKNOWLEDGEMENTS THIS WHITE PAPER IS A RESULT OF THE EXPERIENCE, IDEAS AND THOUGHT LEADERSHIP GENERATED BY THE ADMA CUSTOMER EXPERIENCE EXPERT GROUP FROM THE CUSTOMER EXPERIENCE THINK TANK. These invitation-only facilitated workshops explore topics related to one of our content pillars; Customer Experience, Data, Content, Creativity, Technology. With thanks to the members of the ADMA Customer Experience Expert Group and Teradata for their sponsorship. Kym Boyle Senior Director, Technology and Systems Marketing, Oracle Corporation Simon O’Day Head of Partnerships Program, Emma Inc Matt McGrath Chief Brand Officer, Network Ten Richard Harris Director, ADMA Brad Bennet Head of Technology, The Hallway Hugh Bradlow Chief Scientist, Telstra Jon-Paul Stift Client Partner, Atlas | a Facebook company Shaden Mohamed Executive GM - Online Marketing Business Intelligence, Wotif group Jeffrey Evans Vice President Agency, Asia Pacific, Epsilon Rachelle Kerr Marketing Technology Director, McCorkell
  • 18. ADMA | Delivering more effective marketing through the right technology18 WRITER AND RESEARCHER: Charlotte Spencer-Roy Copywriter Mike Vasavada Director - Mobility Solutions, mobiDdiction Jeff Clark Managing Partner, Engage Digital Stuart Waite General Manager, Head of Consumer Products Technology, News Corp Theo Noel Regional Director AU/NZ, Return Path Daniel Aunvig Head of Customer Intelligence, SAS Midu Chandra Director of Strategy Innovation, mobiDdiction Katherine Milesi Partner, Deloitte Consulting – Australia Ray Kloss Head of Marketing, SAP Steve Brennen Senior Director of Marketing Advertising Sales, Ebay Australia Tim Knight Group Head of Digital, True Allianz SPONSOR:
  • 19. ADMA | Delivering more effective marketing through the right technology 19 ADMA WHITEPAPERS ABOUT ADMA OUR WHITE PAPERS ARE DESIGNED TO INFORM DECISION-MAKING EXECUTIVES ABOUT THE LATEST DEVELOPMENTS IN AN AREA OF BEST PRACTICE. WE INCLUDE EXAMPLES OF WHAT CAN BE ACHIEVED, HOW IT CAN TRANSFORM THE OPERATIONS OF AN ORGANISATION, AND THE MAIN ISSUES YOU NEED TO CONSIDER WHEN APPLYING THE PRINCIPLES, PRACTICES AND TECHNOLOGIES TO YOUR ORGANISATION. TO FIND OUT MORE ABOUT ADMA AND OUR MARKET-LEADING INSIGHTS, PLEASE VISIT US ONLINE AT ADMA.COM.AU. TERADATA HELPS COMPANIES GET MORE VALUE FROM DATA THAN ANY OTHER COMPANY. THE ASSOCIATION FOR DATA-DRIVEN MARKETING AND ADVERTISING, OR ADMA, IS THE PRINCIPAL INDUSTRY BODY FOR INFORMATION BASED MARKETING AND ADVERTISING AND IS THE LARGEST MARKETING AND ADVERTISING BODY IN AUSTRALIA. ADMA is the ultimate authority and go-to resource for creative and effective data driven marketing across all channels and platforms, providing insight, ideas and innovation to advance responsive and enlightened marketing. We represent the new era of marketing and advertising. We signify the full spectrum – a 360 view – end-to-end - From marketing to advertising - From effective to creative - From above to below - From measurable to engaging. ADMA has over 550 member organisations including major financial institutions, telecommunications companies, energy providers, leading media companies, travel service companies, airlines, major charities, statutory corporations, educational institutions and specialist suppliers to the industry including advertising agencies, software and internet companies. © 2015 Teradata helps companies get more value from data than any other company. Our big data analytic solutions, integrated marketing applications, and team of experts can help your company gain a sustainable competitive advantage with data. Teradata helps organizations leverage all their data so they can know more about their customers and business and do more of what’s really important. Visit marketing.teradata.com/au
  • 20. Registered Office Association for Data-driven Marketing and Advertising ACN 002 909 800 ABN 34 002 909 800 Level 6, 50 Carrington St Sydney NSW 2000 GPO Box 3895 Sydney NSW 2001 T +61 2 9277 5400 F +61 2 9277 5410 contact@adma.com.au adma.com.au ADMAWP011_27_APR15 This whitepaper has been produced with thought leadership from Teradata.