The document discusses how marketers can win "elections" and gain consumer favor in the new marketing democracy fueled by social media, where consumers have more control over the information and brands they are exposed to. It provides tips for marketers, such as personalizing interactions, ensuring message relevancy, identifying influencers to stimulate positive word of mouth, and testing content to select messages that are likely to spread widely. The overall message is that marketers must understand individual consumers and empower them to actively support brands through social sharing.

1. Tweeting now? Use #AcxiomSeries
The New Rules of Relevancy
Social Media By The Numbers
December 3rd, 2009
David Daniels, Forrester Research
Chris Marriott, Acxiom Corporation
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2. The New Rules of Relevancy
Social Media By The Numbers
David Daniels
Vice President, Principal Analyst
Forrester Research

3. The proliferation of
choice and ingenuity is
accelerating faster than
it ever has before
before.
3 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

5. 5 SPAM and Email Continues To Overload
Entire contents © 2009 Forrester Research, Inc. All rights reserved.

6. Irrelevant email and high frequency drive
churn and skepticism in the channel
h d k ti i i th h l
“Which of the following statements about promotional offers you receive (not including
unsolicited spam email) do you agree with?”
I unsubscribe from email offers
when the offers/types of content 50%
do not interest me
I unsubscribe from email offers
from senders mailing me too
g 37%
often
Signing up for permission
email offers leads to more 39%
unsolicited spam email
I unsubscribe from email offers
because I get too much email
33%
I do not trust that the
Skepticism
unsubscribe link in email offers 30%
works
I unsubscribe from email offers
by clicking the spam button
26%
Base: 2,427 US email users
Source: JupiterResearch/NPD Consumer Survey (4/08)
6 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

7. 7 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

8. 8 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

9. 9 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

10. 10 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

11. 11 People Discuss Their Experiences
Entire contents © 2009 Forrester Research, Inc. All rights reserved.

12. 12 Often We Blast Away Into a Ghost Towns
Entire contents © 2009 Forrester Research, Inc. All rights reserved.

13. Do You Fly A Plane, Advertising Over Ghost Towns?
13 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

14. Understanding
Audience Engagement
is Key to Understanding
Your Subscriber’s
Social Influence
14 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

15. How did so many people find out about this
video?
15 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

16. A lot of us assume it looks like this
16 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

17. Email is still a key tool in social communication
17 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

18. The web is a combination of communication and
browsing behavior – social blurs those lines
In a typical week, what percentage of the time you spend online is spent on each of the following activities?
Instant Messaging
5%
Browsing Websites
37%
Email
46%
Communication Media
Activities Activities
Watching Online
Video
6%
Browsing Social
Networks
Two New Categories Are
Base: Online Adults (Ages 18+) 6% Expanding Total Time Online
Source: JupiterResearch/NPD Group Entertainment and Media Consumer Survey (8/08), n = 2,210 (US only)
18 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

19. March 2009 “The Economy and Consumer Communication Patterns”
Disruptive Communication Patterns Continue
Except in Modes Where Costs Are Higher
For personal communications, which of the following have you used during the past year instead of using e-mail?
59%
Cell phone
73%
26%
IM
32%
28%
SMS text
25%
21%
Social sites
22%
0% 20% 40% 60% 80% 100%
Percentage of E-mail User Segment
Overall 04/08 Overall 11/08
Source: JupiterResearch/Forrester North American Technographics Consumer Survey (11/08),JupiterResearch/NPD Consumer
19 Survey (4/08), n = 2,427 (overall All rights reserved.
Entire contents © 2009 Forrester Research, Inc.e-mail users, US), n = 273 (e-mail users from ages 18 to 24, US), n = 517 (e-mail users from ages 25 to 34, US)

20. More Than Four in Five US Online Adults
Participate Socially
20 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

21. Consumers Trust Technologies That
Promote Word Of Mouth The Most
21 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

22. 25% of email subscribers provide web-site recommendations
20% of online buyers post on average 9 product reviews a
year
77% of the online population find reviews more useful than
information that the company provides
JupiterResearch/Ipsos Insight Consumer Survey (09/08), n = 2,503 (US only)
22 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

23. More marketers embrace segmentation raising
the table stakes for those that “spray and pray
spray pray”
“Which of the following customer data attributes has your company used to segment
audiences for email marketing campaigns within the past six months?”
Click-through data 51%
Demographic data 51%
Open rate 48%
Geographic d t
G hi data 47%
Recency and frequency of purchase 39%
Customer spending 30%
Customer profitability 29%
Acquisition source code of the list 28%
One-third of US email
Web site clickstream data 24% users create a new email
Customer service contact 23% address every year.
Customer satisfaction survey 21%
Widget interaction 6%
Contribution to product reviews
p 5%
Base: 103 email marketing executives
Source: Q1 2009 Global Email Marketing and On-site Targeting Online Survey
23 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

24. Relevance empowered mailings delivers more
top and bottom line improvement than broadcast
In thousands
nth*
1000
Monthly revenue Monthly net profit
Dollar generate per mon
840
800
664
ed
600 540
400
306
239
rs
159 185
200
40
0
No Targeting Web Analytics Targeted Social Targeting
S
Type of campaign/tactics used
Base: 103 email marketers that currently use/plan to use at least one campaign
*Metrics and salary costs based on Forrester executive survey Based on 2 8 million pieces of email per month CPM ranges grow
survey. 2.8 month,
with program complexity, assumes $39 AOV, 40% product margin
Source: Forrester Q1 2009 Global Email Marketing and On-site Targeting Online Survey, Model 07/09
24 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

25. 25 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

26. 26 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

27. Facebook
MySpace
Who is Your Click? Who is Your Influencer?
27 Entire contents © 2009 Forrester Research, Inc. All rights reserved.
Who is Your Advocate?

28. Recommendations to implement
• Become an advocate for change. Assess your
organization's readiness to embrace change. Begin with
the end in mind
mind.
• Understand the value of your subscribers, focus on their
behaviors — segment and target to drive relevance.
• Make it easy for consumers to share information with
a lot of people q
p p quicklyy
• Learn about the specific social behaviors of your
customers before creating a social strategy
g gy
• Use email as the “connector” between the various
consumer touchpoints that you maintain
• Test, test, test: Embrace the notion of failure!
28 Entire contents © 2009 Forrester Research, Inc. All rights reserved.

29. Thank-you!
David Daniels
Vice President and Principal Analyst
ddaniels@forrester.com
732.282.0122
Learn more at:
forrester.com
emailmarketinganhouraday.com

30. Winning Elections
in the Marketing
Democracy
© 2009 Acxiom Corporation. All Rights Reserved.

31. Text to Win
Apple iPod Touch or Shuffle
by 4:15 pm TODAY
Text
T t ACXIOM to 229466
t
31

32. Say Hello to the New Marketing Democracy
Power to the people
Everyone can contribute;
Everyone has influence;
Everyone has a voice.
Empowered by digital channels,
people now “vote in” for the winners
vote in
& losers in the battle for their
hearts, minds & wallets — &
THEY decide when & where
these “elections” are held
Text ACXIOM to 229466 to win
an Apple iPod Touch or
32
Shuffle

33. In the New Marketing Democracy…
• Consumers trust each other
more than they trust you
• Online conversations…
– Persist…forever
– Immediately global & potentially
hyper-local
• Word of mouth… amplified
by Internet & mobile
33

34. In the New Marketing Democracy
• Non-linear accounts for 1/3 o
o ea accou s o /3 of
mass-market TV viewing
• Media glut = tuning out
g g
– Between 30–50% of users have
spam blockers
– At least 20% have pop-up blockers
– 58% regularly delete the tracking
cookies
• People don’t share ads… they read
& share things that interest them…
34
Sources: Ramsey Report, eMarketer, Oliver Wyman

35. Say Hello to the New Marketing Democracy
Media hyper saturation
hyper-saturation
+ Time-shifting technologies
+ Selective filtering
Consumers who choose to remain
“unaware” until they inform themselves
“Google always gets me everything I want, whenever I want it, so I
don’t have to pay attention until it’s convenient for me”
Your marketing is a faucet with each
pg
customer’s hand on the spigot
35

36. Marketing Democracy in Action
15 November 2008
5 o e be 008
• Motrin TV spot posted on web
site pokes fun at mothers with
versus baby carriers
y
• Ad becomes most discussed
subject on Twitter
16 November 2008
• Angry mom posts 9-minute
video on YouTube
• McNeil pulls that ad that night
36
New York Times November 2008

37. Marketing Democracy in Action
March 2008
• On fli ht from H lif
O a flight f Halifax, C
Canada, t a gig i
d to i in
Omaha, United baggage handlers break Dave
Carroll’s expensive guitar
• For the next 14 months United refuses to
accept responsibility
versus
6 June 2009
• Dave posts 4:36 music video on YouTube
about the lack of care and response from
United (5.5 million views)
• Numerous newspaper and TV stations pick up
the story
10 June 2009
• Dave posts follow-up video on YouTube
announcing that United has made him an offer
of restitution (350,00 views)
25 July 2009
• “Hitler Finds Out United Breaks Guitars”
posted to YouTube (22 500 views)
(22,500
37

38. Marketing Democracy in Action
• 5 May 2009
– Oprah announces meal
promotion from KFC on her
show
– The coupons were available on
VS. Oprah.com for 24 hours
– #1 t di t i on T itt
trending topic Twitter
• 6 May 2009
– Bulletin boards/blogs lit up with
angry consumers d i d
denied
chicken
– KFC Denies Riot In NYC
New York Times November 2008
38

39. May 7th—KFC President Goes on YouTube
39

40. KFC Twitter Feed Customer Service
40

41. Election Results
• Chicken
– KFC gave away over 4 million meals
• Traffic
– KFC.com traffic quadrupled after Oprah
• Buzz
– KFC generally popped up in about 538 blog posts daily with 72% of
daily,
mentions positive
– During the promotion, that number soared to 1,319 mentions, 89%
of which were positive
– Facebook followers up by 10,000 for the corporate profile
Text ACXIOM to 229466 to win an Apple iPod
41
Touch

42. One Final Reminder…
• When your prospect is in the store will they remember
store,
this?
• Or this….
42

43. How To Win
Elections in The
New Marketing
Democracy
43

44. How To Win Elections
The “Groundhog Day”
• Remember e e y interaction
e e be every e ac o
theory of marketing
(and learn!)
– Know where I’ll be seeing you
– Whenever & wherever I see
you, recognize me & treat me
like an old friend
• Seek to understand & predict
– Build strategies around me
– Find more people like me
– Know what I might – & might not
– be interested in at that
moment
http://www.youtube.com/watch?v=9hq5jZrF
44
TbE

45. Fuse Insight into the Voter Message
Ensuring Message Relevancy
su g essage e e a cy
• Personalize interactions
– Past behavior
– Future interests
– People like me
– How much is this relationship
worth?
• Relevancy considerations
– Prospects versus customers
– Awareness versus
consideration
– Engagement channel
45

46. Winning Elections – Critical Success Factors
Determine who to target, where cus o e s a e agg ega g a d
ee e o o a ge , e e customers are aggregating and
which social channel works best for your brand/offer
Identify a clear objective e.g. grow fan base, communicate with
brand advocates, drive business to website or engage via a cross-
, g g
channel promotion and lay out metrics to define success
Design a campaign that activates customers to work on the
brand’s behalf
Create a benefit for customers to “follow” your brand
Individual or personal expression!
Test content to select individuals to determine best opportunity to
“go viral”
Measure ROI*
*Return on Investment or Insight 46

47. Enlist the Support of Your Biggest Fans
Imagine if you could identify socially active influencers and engage those
influencers to stimulate positive buzz, behavior and conversations.
Wide
Netters
Selectively
Social
Your B
Y Brand.
d
Social
Placeholders
Getting
Started
Acxiom provides marketers the ability to recognize and participate in this social exchange using
an email address as a conduit to engage and ignite conversations creating word of mouth.
47 47

48. Social Influencer at a Glance
1. Benchmark customer and brand 2. Converse with people to catalyze
p p y 3. Measure and report direct
social activity brand participation via social response to messaging as well as
channels changes in social activity
Acxiom Conversation Stimulation
& Client
Data
Data collected:
• Memberships • User
• Friendships Generated
• Conversations Content
Social Influencer
Dataset 48

49. Ten More Election Tactics
• Positive word of mouth (referrals)
• Solicit product feedback
• Talk to your consumers
y
• Listening platform to monitor public comment
• Recruit people to events
• Understand sentiment on markets sooner
• Cause related marketing
• Manage your reputation
M t ti
• Search Engine Optimization
• Micro-target ideal customers
49

50. Delivering the Vote in a Marketing Democracy
4x “Orders per thousand”
3x Revenue / ad dollar
– Publisher
– Concentration multiplier
3x Applications; 5x online
17x Response to TV commercial
revenue; same h d count
head t
– Financial institution
– Credit originator
$135M Revenue
2x Online bookings
– Telco
e co
– H
Hospitality
it lit
$200M Revenue / $4.5M OpEx
7.5x Website spend
savings via trigger marketing
– Retailer
– Technology
12x Targeted site traffic
2x Industry retention rates
– Card issuer
– Consumer electronics
50

51. The Marketing Democracy Always Decides
Owned
Portable Music
It’s not enough…
but couldn’t
A great customer base
become
A great product
Owned A great strategy
A great team
On-
On-Demand Info A consistent message
but couldn’t
become
Owned Marketing will never be
Movie Inventory the same
but couldn’t
become
51

52. In Conclusion
• Relevance grounded in
Relevance, P.S.:
P S : These are the lessons of
customer recognition direct marketing
• Institutional memory at
every touch point
• Insight without execution…
is pointless
• Put your fans to work for
They work across all
you channels
52

53. Thank you. Questions?
The l b l interactive marketing services company
Th global i t ti k ti i
www.facebook.com www.linkedin.com www.twitter.com www.youtube.com www.delicious.com
53 /Acxiom
/acxiomcorp /companies/acxiom /acxiom /user/AcxiomCorporation