Upload
others
View
2
Download
0
Embed Size (px)
Citation preview
1
CMP Technology
Steve Weitzner, President and CEO, CMP TechnologyTony Uphoff, President, Business Technology Group
United Business Media Investor DaySeptember 27, 2007
2
Agenda
• Internet reshapes media landscape• Outstanding acquisition performance• Restructuring eliminates $20 million in costs• Business Technology Group –transformation case study
– Quality acquisitions and the redefinition of print– Development of online network– Integrated marketing– People and culture
3
Internet reshapesthe tech B2B media landscape
• Delivers measurable ROI on marketing spend• Provides users control of information • Creates new media options and competitors, reallocating
marketing budgets
Results:• Revitalization of live events• Re-invention of processes and products at traditional media
companies• Role of internet and relationship to other media still evolving
4
Migration of media mix(% media bought at CMP Technology–1H04 to 1H07)
01020304050607080
1H04 1H05 1H06 1H07
PrintEventsOnline
5
What does a Media 2.0 company look like?
1. Focused on the customer– Leverage all media options to help audiences do their job successfully– Build marketing programs that start with the vendor marketing needs
2. Market-leading brands – Deliver the greatest access, flexibility and influence– Ability to deliver influence and integrated programs with market-leading
brands online, face to face and in print
3. More than media – Services to create and manage compelling marketing programs– Research, education and custom content development– Measurable results
6
Different tasks, different media channels
B2B Websites Trade Shows
B2B Magazines
Help you become aware of new products or services. 65% 81% 73%
Provide information that you can trust. 59% 67% 70%
Provide objective information. 54% NA 65%
Make you feel like you are part of a broader community. 39% 67% 48%
Are sources of information you turn to first. 52% NA 47%
Keep you ahead of the competition. 28% 35% 35%
Help you find the best companies to buy from. 38% 50% 33%
Help you grow your business. 24% 42% 32%
Enable you to do comparison shopping. 54% 58% NA
Top strength of each media type ImmediacyIncrease product
awarenessTrust
Percent who made/recommended a purchase due to seeing a product in this media 49% 70% 57%
Percent of respondents who use each media source to:
Source: Harris Interactive Inc. Business Media Study, prepared for ABM, May 2006
7
CMP has leading brandsfor every technology segment
Creators and Developers
Integrators and Sellers
BusinessTechnology
8
Integrated marketing increases awareness, preference and consideration
“Please indicate your level of agreement with the following statements”
85%Our firm gets more qualified buyers when we integrate industry-specific B2B media like print and events with online media like Web ads and sponsored links
90%Prospects get more information about our company or brands when they see messages in more than one industry-specific business-to-business medium
91%Buyers and customers are more likely to consider our company’s products or services when they see messages for our company in more than one industry-specific B2B medium
91%Our company or brands become(s) more top of mind when buyers see our messages in more than one industry-specific B2B medium
93%Integrating our marketing messages and advertising across multiple industry-specific business-to-business media allows us to reach buyers that we might not have engaged using one medium alone.
Agree B2B Marketers
Source: Forrester ABM Research Study 2007
Q14 Decision Makers survey: Please rate your level of agreement with the following statementsQ9: Marketers survey: Please indicate your level of agreement with the following statements
91%It is easier for me to recognize or remember a company’s brand or products/services when I see messages about it in multiple media such as magazines, online, or at events
AgreeB2B Decision Makers
Base: 878 Business decision makers
Base: 816 B2B marketers
9
Creators and Developers
Integrators and Sellers
BusinessTechnology
Events TradeShows Print Research/
ConsultingBusiness
Information
Media Solutions
CMP delivers all media solutions and beyond to all technology segments
Online
10
A competitive advantage
Online Events Trade Shows Print Research/
ConsultingBusiness
Information
CMP
Traditional Competitors
IDG -- --
Ziff Davis Enterprise -- -- --
Online-centric Competitors
TechTarget -- -- --
CNET -- -- -- -- --
Knowledge Storm -- -- -- -- --
Jupiter Media -- -- -- -- --
Consulting/Analyst Firms
Gartner -- --
Search Engines
Google -- -- -- -- --
11
Two years of transformation
• Diversify product mix through acquisition and internal development to provide marketers broader set of options
• Drive profitability of online business• Go beyond media:
– Offer customers marketing services including lead generation, research, consulting, etc.
– Offer audience new web experience, information services, education
• Realign cost base to new business realities
12
Outstanding acquisition performance
• Invested $170+ million to acquire face-to-face, workflow & online brands
13
2005/06 acquisition performance
0102030405060708090
2006 Full year 2007 1st half
Revenue Contribution
• Exceeded 8% cost of capital
• Contribution for first half 2007 exceeds full year 2006
Includes: TechOnline, LightReading, BlackHat, DotNetJunkies, Medialive, Shorecliff, Cable Digital Network
14
Recent activitiesAcquisition/ Partnership/
Launch
Type Business Unit Price Date Comments
eXalt System Configurator= Partnership
Web app:Workflow tool
Channel $2 m March • 25% stake• Right to increase
holding
Second Life 2.0 Summits = Launch
Virtual events Developers Launch April • 2 events• Consulting practice
How Machines Work= Acquisition
Custom 3Dwebsites/environments
Electronics $1.2 m July • Temple of Sun• Mechatropolis• IGen
Semiconductor Insights= Acquisition
Technical analysis,research,consulting
Electronics $ 26 m July • IP event for Electronics Industry – April 2008
bMighty
= Launch
Small MediumEnterprise website
Business Technology
Launch August • SMB resource • SMB advocate
15
Building profitable brands online and face-to-face
16
Increasing online revenues and profits
• Consolidated websites; shutdown unprofitable products
• Streamlined operations by putting online at the center
• Profit picture continues to improve
31.233.7
4.6
-1.3
Revenue ($ millions) Profit ($ millions)
1H06 1H07
17
International development through brand extensions
18
Transformation through structural change
• People– Staff reduction of 200 in June 2007– $20 million in cost savings
• Portfolio– Realigned product offerings around market-leading brands– Positioned online networks at core of operations– Unified sales and marketing resources in each major market– Restructured content, audience marketing, production and product
development resources• Property
– Establish new HQ in NYC in 1Q08– Implement open plan at NYC, Long Island, San Francisco, Boston; more
energy, collaboration– Generating at least $5 million in annual property cost reduction in 2008
19
2007 Profit Mix
30%
60%
10%
Transforming to media 2.0Shifting the revenue mix to focus on more profitable businesses
Online
Events
Pro Forma 1H07 Revenue = $182m
37%
44%
19%
2004 Profit Mix
71%
24%
5%Pro Forma 1H04 Revenue = $145m
72%
17%
11% Print
Online
Events
20
CMP’s Business Technology Group:A closer look at transformation
Tony Uphoff, President, Business Technology Group
Integrators and Sellers
Creators and Developers
BusinessTechnology
21
Business Technology Group: The transformation imperative
Print Online Events
Pro Forma 1H04 Revenue = $57.3m
80%
7%14%
2004 Profit Mix 2%
88%
10%
Pro Forma 1H07 Revenue = $78.7m
34%
46%
20%2007 Profit Mix
21%
62%
17%
• Print heavy; 80% of the revenues in 2004
• Limited scale to event business
• Online profitability low
• Rebalance revenue mix: nearly 80% of profit from online and live events
• Redefine InformationWeekwith “One Brand” strategy
• Focus on leading brands: InformationWeek, TechWeb and Interop
22
Transforming the culture and the customer offerings
Challenge Solution
Tentative culture Re-establish an aggressive sales driven culture
Sales approach fragmented and overlapping Reorganized, integrated and regionally-focused sales teams
Limited marketing, brand positioning Strengthen product, customer marketing group and process
Platform silos Overhauling organization and processes to integrate assets and services
Limited ability in custom live and online events Infuse customized solutions into sales and operational process
23
The face-to-face growth engine
+16%
+18%
+64%
Number of Exhibitors/ Sponsors06 to 07
---
21%
10%
Paid Delegates
Growth06 to 07
+11.3%+16.1%
+2%
+16.5%
ConferenceRevenue Growth06 to 07
+34%
+28.5%
Exhibitor RevenueGrowth06 to 07
Event
24
The new Business Technology Group
5 M I L L I O N B U S I N E S S T E C H N O L O G Y D E C I S I O N – M A K E R S
Short Lists andEvaluation Criteria
Technology /Vendor Analysis
EVENTSFace-to-Face Interaction Conferences Forums Roundtables WebCasts
Defines and FramesBusiness Technology Objectives
Unlock Value of Business Technology 440,000 Qualified IT Buyers
Recommendations in theContext of Business
Real World IT Analysts
TechWeb.com
Financial Technology Group
News, Analysis, Expertise
In-Depth PerspectiveImmersion and Education
25
InformationWeek: Strengthening a leading brand
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
1H04 1H05 1H06 1H07 July-Aug 07
InformationWeek (CMP)
ComputerWorld (IDG)
InfoWorld(IDG)
E-Week (ZDE)
InformationWeek vs Direct Competitors(% share of pages)
NWC and Optimize shutdown
NWC and Optimize shutdown
Info-WorldshutdownInfo-Worldshutdown
0
500
1000
1500
2000
2500
3000
3500
1H04 1H05 1H06 1H07
Total Pages (titles above)
26
Sales
CONSULT
RESULTS:ROI & VALUE
• Deepen relationships• Customer retention• Brand affinity• New customers or
partners• Advanced purchase
consideration• Sales
Marketing
ClientGoals
Market Assessment
Audience Analysis
Media Preference
Content/Message Development
Communications Platform
>>>>
>>
>>
Customer Goals
Customer Goals
Project ManagementContent Experts
MANAGE
INTEGRATE
Creating integrated solutions
27
BusinessTechnology
BTG 2008 and beyond
• Continue to build on “The One Brand” strategy to drive growth
• Continue to drive live events growth• Grow online revenues through enhanced lead generation
capabilities • Focus on customized integrated solutions across the
portfolio• Build out branded, custom and online events programs
28
CMP Technology – What’s next?
• Most business units will crossover in terms of the revenue gains from online and events surpassing the decline in print
• Maintain profitability of online business, re-ignite revenue growth
• More acquisitions: fill in capabilities
• Evolve culture and infrastructure beyond print roots