SAP Presentation to Northeastern University Digital Marketing Fall 2016

Northeastern Digital Marketing Class:
Postcards from the Edge:
A Marketer’s Perspective
Fred Isbell
SAP SE

© 2014 SAP SE or an SAP affiliate company. All rights reserved. 2Internal
Run Simple. Run Live

About Fred Isbell
 Senior Director, Thought Leadership, Planning
and Demand Management for SAP Digitsal
Business Services Marketing
 Joined SAP 2000 as Director North America
SMB Channels Marketing 2000-2004
 Senior Director NA Marketing and Head of
Services Marketing 2004-2012
 Solutions and Services Marketing Compaq
Computer/Digital Equipment Corporation 1988-
2000
 Senior Consultant, Burke Marketing Services
and IRI 1985-1988
 BA Economics & Political Science Yale and
MBA Marketing Duke Fuqua School of
Business; Fuqua Scholar and recipient of 2015
Fuqua Alumni Exemplary Leadership Award

Agenda
 Modern Marketing, Digital Marketing & Thought Leadership
 Innovation Adoption & Digital Transformation
 Navigating Innovation & Marketing Technologies
 Resources and Q&A

Modern Marketing, Digital
Marketing & Thought Leadership

The Era of the “Modern Marketer”

Modern Marketing is Happening NOW
Source: Scott Brinker @chiefmartec
http://www.chiefmartec.com
Marketing must provide the
“glue” binding different parts
of the company around the
brand promise – and embrace
five key responsibilities:
 Represent the voice of the
market
 Synchronize the customer
experience across all channels
 Be the brand steward
 Capitalize on insights
 Be an integrator and force
multiplier across the company
Source: SAP Customer Engagement & Commerce (CEC)

Modern Marketing Insights & Key Requirements
Marketing’s Shifting Priorities Fundamental Changes in Marketing
Key Drivers
• Buyer Behavior: More prospect interaction is occurring
online, shortening the actual time for sales engagement;
the need for a digital relationship has never been more
urgent
• Marketing Measurement: The global economic crisis
forced marketing to become more measurable,
integrated, and accountable Source: SiriusDecisions
Source: ITSMA
Source: ITSMA
Marketing must Align with SalesBuyers Journey & Resource Optimization

Key Elements of “Modern Marketing”
Source: SiriusDecisions

The “New” Buyer’s Journey Unites and Aligns
Sales and Marketing
How this is different:
 No implicit hand-offs
between sales and
marketing
 Majority of exploration done
on-line before talking to a
sales rep
 Introduces new content
requirements – importance
of mobile-ready content
 Departure from traditional
“Marketing funnel”
Source: IDC 2013 Source: Kapost 2016

What is Digital Marketing? Why is it important?
 Digital marketing is the endorsement
of goods, services, and company
brands through online media channels
(Marketo)
 Digital marketing is an umbrella term
for the marketing of products or
services using digital technologies,
mainly on the Internet, but also
including mobile phones, display
advertising, and any other digital
medium (Wikipedia)
 Why it is important: Today’s
consumers are multi-device and
multi-channel, doing the majority of
their own research online before they
even step foot into a store or speak
to a sales person (Marketo)

Digital Marketing is becoming “Marketing”
Source: ITSMA, Chiefmartec

The “Secret Sauce” Understanding Buyers Personas
Defining buyer personas helps drive customer-centric innovation and go-to-market strategy
Understand both New and Understood Buyer Personas and develop insights
that drive and inform other activities, including messaging development,
campaign design, content strategy and defining market requirements for
product/solutions innovation

The Importance of Story Telling
 Good storytelling helps cut though the
clutter and overload of information
 Storytelling is classic “showing” rather
than “telling” and has a personal
element to it that is linked to the
persona of the target audience
 You tell the audience the story you want
them to hear – not relying upon them to
piece together the elements of the story
 You build a narrative told by you in a
coherent and compelling narrative
 Use the “Pixar format” – a setup, a
challenge and a resolution
Pixar’s Andrew Stanton TED Talk on Storytelling:
https://www.ted.com/talks/andrew_stanton_the_clues_to_a_great_story?language=en
Story Telling Infographic:
http://nurturenow.lookbookhq.com/2016-
nurture-touch-4/infographic

Thought Leadership Two-Minute Drill
Thought Leadership Sits at the Pinnacle of a
Successful Content Marketing Strategy
Source: Forrester 2013
“Thought leadership is not a one man
show .. it is a virtual team and not a
formal organizational structure”
Thought leadership takes a team of the best
minds in the organization (and beyond)
Source: Sirius Decisions
Develop a Thought Leadership Platform
Source: Forrester
SAP Programs Model IDC Buyers Journey Forrester Customer Life
Cycle
Thought Leadership is great storytelling
delivered across the buyers journey and
customer lifecycle w/ focus early on and
mostly in a digital and/or off-line format
Updated 7-11-16
 Definition: A thought
leader is an individual or
firm that is recognized as
an authority in a
specialized field and
whose expertise is sought
and often rewarded
 Timing: Tied to the
awareness and
consideration phase of the
Buyer’s Journey and
(sometimes) pre-demand
generation and always
before purchase phase
 Format: Usually Before a
prospect or customer
engages a sales person,
and often digital in format
Thought Leadership maturity varies from
organization to organization and is dynamic and
consistently evolving; SAP is on the upper-end
of Thought Leadership maturity in our industry
along with IBM, CISCO, and others
ITSMA Thought
Leadership
Maturity
Model
“The purpose and process of thought leadership is widely
misunderstood and misapplied, causing mixed results”
-- SiriusDecisions

Putting it all together: Thought Leadership & The Digitalist
 SAP platform for Thought
Leadership and
Executive Research
 BLOG contributions from
internal and external
thought leaders
 Executive Quarterly
tablet magazine
 Executive Research
including white papers,
infographics and more
 All shared & promoted
through social media
marketing
 2M+ page views YTD,
900K unique visitors Executive Research
Executive
Quarterly
Tablet
Thought Leadership BLOGS
www.digitalistmag.com
Social Media Sharing

10 Tips for Digital Marketing Success & Modern Marketing
 Think “big issues” when deciding where to focus
 Identify and build out your buyer personas
 Leverage social to find ideal prospects and
accelerate list growth
 Look for new ways to collect data that will enhance
your marketing
 Invest the time to map out your customer journey
 Think multichannel personalization
 Craft content that does more than just ask
contacts to buy
 Double down on improving mobile app
engagement
 Incorporate more video into your marketing mix
 Add value to your transactional emails
Silverpop's "10 Tips for Digital Marketing Success in 2016“: http://bit.ly/1TPLt4b

Innovation Adoption
& Digital Transformation

Business & Market Context:
The Pace of Change is Accelerating

Innovation Adoption 101:
The Model & Segmentation
Innovation Adoption:
 A model that classifies
adopters of innovations
based on their level of
readiness to accept
new ideas
 Innovative adoption
characteristics are
assigned to groups --
all innovations go
through a predictable
process before
becoming widely
adopted.
 The groups consist of
early adopters, early
majority, late majority,
and laggards
Source: dictionary.com
Source: Rogers, G. Moore, MIT Sloan/CAP Gemini
“Crossing the chasm”
Early adopters achieve:
+9% revenue creation
+26% impact to profitability,
+12% market valuation

Innovation Adoption 101:
Time to Innovation Adoption
Source: Rogers, Moore, McKinsey
 Inflection point
(curve begins to
slow) = point of
“critical mass”
 Key -- get there
quickly, whether
users or product
volume, etc
 Failure to “cross the
chasm” (Geoffrey
Moore) or reach
critical mass =
doomed to a
smaller, sub-optimal
market and much
smaller market
share
Source: “No ordinary disruption”, McKinsey, May 2015

The Hype Cycle:
Riding the “roller coaster” of innovation
The hype cycle is a branded
graphical presentation
developed and used by
American information
technology (IT) research and
advisory firm Gartner for
representing the maturity,
adoption and social application
of specific technologies.
The hype cycle provides a
graphical and conceptual
presentation of the maturity
emerging technologies through
five phases
Source: https://en.wikipedia.org/wiki/Hype_cycle

Why Do We Need to Respond to New Technology and
Innovations?
Bill McDermott
SAP CEO
May 2015
"Innovation has created a
digital economy and
digitization is affecting all
businesses and all industries.
So how do you make this
transition to digital? Simple.
Every business in here today is
in a state of transformation”.

Digital Transformation – a Definition

Digital Transformation:
The common issues we hear

SAP Digital Business Framework

Navigating Innovation &
Marketing Technologies

My Information Technology (IT) Journey & Navigation
IBM 3270
Terminal
c.1982
Compaq
“Portable”
c. 1983
Tech
Stack
c.2015
Desktop,
Laptop &
iPAQ PDA
c. 1998

IDC Perspective:
Adoption of 3rd Platform Technologies
Enterprises are using 3rd platform technologies to create value and
competitive advantage through new offerings, new business models,
and new relationships
Source: IDC

Innovation Technologies Will Drive
Digital Transformation and Business Innovation
Cloud
Abundance of cost-
effective computational
power and storage
Mobile
The new de facto standard
in business interaction
Social
Connected business
and social networks
Big
Data
Real-time analytics
for behavioral and
predictive insights

Innovation Technologies:
Cloud Computing
 Software as a Service (SaaS)
 Platform as a Service (Paas)
 Infrastructure as a Service (IaaS)
 Business Process as a Service
(BaaS)
 Public Cloud and Private Clouds
 Collaboration & Business
Networks

Mobile Solutions
 Where’s the growth?
Not in Laptops and PCs
-- in Tablets and Mobile
Devices
 Major trends include the
“Consumerization of IT”
and “Humanization of
IT”
 “Bring Your Own
Device” (BYOD)
 A growth engine of the
Internet of Things (IoT)
and Big Data &
Analytics
50,000+
SAP employees equipped
with internal apps
Mobile for Everyone

Social Media and Digital Transformation
 Metcalfe’s Law: the value of a
network is proportional to the square
of the number of connected users (a
network’s value grows exponentially)
 A variation Reed’s Law speaks
specifically to the utility obtained
from scaling social networks
 Pull versus Push
 Best Practices: Learn, Observe,
Listen, Jump in and Actively
Participate
 Blurs the line between work and
private life, get used to it, it’s not
going away!
“Social media spending is currently 11% of
marketing budgets and is expected to grow
to 14% in the next 12 months and 24% in
the next five years”
Source: Duke CMO Study 2015

Big Data and Analytics
 Navigating the Data and
Information Explosion
 Business Intelligence
 Rise of the Information
Worker
 Real-Time Information
Access
 Big Data on top of Next-
Generation In-memory
Database Technology is the
new “Killer App”
 Dashboards & Predictive
Analytics
 “Brave New World” of Sports
Mr. Data
Brent Spiner
“Father of BI”
Howard Dresner

The Internet of Things (IoT)
 Massive amounts of data
from peoples, sensors &
devices – and growing
rapidly
 Gartner projects IoT will
increase nearly 30-fold from
about 900 million connected
devices in 2009 to more than
26 billion by 2020
 IDC projects IoT spending in
2015 is expected to exceed
$1.7 trillion and 15 billion
devices and grow to $3
trillion and nearly 30 billion
devices by 2020
Source: IDC, Gartner, SAP 2015

Innovation Technology at Work: NHL.com
Real-time Statistics w/ SAP HANA
Enterprise Cloud (HEC):
 NHL.com powered by SAP HANA
Enterprise Cloud, SAP analytics and data
visualization
 Goal: increase fan engagement &
deepen loyalty
 Includes new design, introduction of
enhanced statistics & visualization
capabilities
 Playoff prediction tool/bracket challenge
 Strong results:
• 98 years worth of NHL statistics
• 25% increase in new visitors since the
new stats section was launched
• 45% increase in time and engagement on site
NHL Customer Testimonial Video

Navigating the Marketing Technology Landscape
Focus your Learning &
Development upon:
 Customer Relationship
Management (CRM)
 Marketing Automation
 Marketing Dashboards
 Digital Media
 Big Data and Analytics
 Data Visualization
 Predictive Analytics
Source: Scott Brinker @chiefmartec
http://www.chiefmartec.com and Lumascape
 The number of marketing solutions doubled year over
year (YoY) -- 3,874 marketing technology solutions
 ~3,500 unique vendors
 Up from ~350 in 2012 (ands NOT down from last
couple of years as predicted)

Resources & More Information
 SAP.com: www.sap.com
 SAP Community Network (SCN):
scn.sap.com
 SAP Digitalist: digitalistmag.com
 SAP Digital Business Services on
sap.com:
www.sap-digital-business-
services.com/

Discussion and Q&A

© 2014 SAP SE or an SAP affiliate company. All rights reserved.
Thank You!
Fred Isbell
Senior Director,
SAP Digital Business Service Marketing
fred.isbell@sap.com
www.sap.com/services
Twitter: Fmisbell
Facebook: Fred M Isbell
Linked In: www.linkedin.com/pub/fred-
isbell/0/827/903Edit

SAP Presentation to Northeastern University Digital Marketing Fall 2016

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SAP Presentation to Northeastern University Digital Marketing Fall 2016