Marketing Meet IT

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Jeff Kubacki

Chief Information Officer

[email protected]

Marketing Meet IT Why CMO’s & CIO’s Need to Collaborate More Than Ever Before

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Objectives

• What is the value proposition – why the urgent need for collaboration?

• What are the baseline perceptions of the CMO CIO relationship?

• What is the CIO being told about Marketing in this new social era?

• Discuss ways to improve collaboration between the CMO and CIO?

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Dynamic Voice of the Customer

Source: Gartner Group – “Unlocking the Power of a Great Marketing-IT Relationship”

Customer Engagement

“Hey that was fun! How were

they able to anticipate my

needs? I’m going to blog

about this.”

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Customer Engagement




about this.”

Product Innovation

“Wow, I love this product and need

to tell everybody I know about it. I

wonder what they’ll come up with

next and if I can help design it.”

5



Customer Engagement




about this.”

Product Innovation





Customer Intelligence

“I wish companies understood who I

am. I’m tired of being spammed by

so much marketing. I’m going to put

my experience on Facebook &

LinkedIn.”

6



Customer Engagement




about this.”

Product Innovation





Customer Intelligence

“I wish companies understood who I

am. I’m tired of being spammed by

so much marketing. I’m going to put

my experience on Facebook &

LinkedIn.”

Integrated Business Processes

“This was so much easier than

when I tried it with another

company. I’m going to rate them

online and continue to do

business with this company.”

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Value Proposition

Customer Engagement




about this.”

Becoming relentlessly customer-centric and less

focused on the customer as a commodity has major

benefits, including higher revenue and margins.

Indeed, a strong marketing-IT relationship helps

bring more business results to fruition. Now is the time

for enterprises to invest in this relationship.

The benefits to the organization in general, and to the

CMO and CIO in particular, are too big to pass up

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Objectives





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CMO Council – “CMO-CIO Alignment Imperative

Customer Engagement




about this.”

The rise of marketing technology and the impact it has

on the CMO/CIO relationship is not a new debate. And

according to the headlines, the tension seems to be

growing.

Neither marketing nor IT believed they were highly

effective partners, more often struggling to achieve

common goals in the race to adopt and keep pace

with rapidly evolving digital marketing capabilities.

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CMO Council – “CMO-CIO Alignment Imperative

Customer Engagement




about this.”

Despite their shared conviction that technology was the

underpinning that shaped the entire customer experience, just

4 percent of marketers and 7 percent of IT executives felt they

were very prepared to exploit these digital channels.

More often, IT pointed to marketing’s tendencies to skirt around

IT, deploying its own systems that often did not connect to

legacy infrastructures.

Marketing, on the other hand, pointed to the slow timelines,

reluctance to deploy and a sense that marketing was simply not

a priority for IT as core problems in the relationship.

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Stereotypical Culture Clash

Customer Engagement




about this.”

Left Brain

Risk Averse

Thoughtfully Thorough

Right Brain

Risk Welcoming

Need for Speed

IT Marketing

Source: Metis Strategy Research

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Objectives





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What is the CIO Hearing? Gartner Predicts that By 2017, the CMO will Outspend the CIO on IT

Source: Metis Strategy Research; Arthur, Lisa. “Five Years From Now, CMOs Will Spend More on IT Than

CIOs Do”, Forbes.com, February 08, 2012.

$

CMO CIO

2015 IT Spend Distribution

35%

$ $

CMO CIO

2017 IT Spend Distribution

>50%

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What is the CIO Hearing?

Customer Engagement




about this.”

“Only five years ago, infrastructure kept a CIO up at night. To

be sure, implementations such as ERP are never done, but the

evolution of infrastructure capabilities with the cloud and other

technologies puts most CIOs in a position to spend more time

with the business.

And if you are going to get close to one area of the business,

make that area marketing. You know the back office; now help

with the front office.”

Greg Smith

CEO AND MANAGING PARTNER

iRGONOMIC

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Potential for a Powerful Relationship

Customer Engagement




about this.”


Amplify the unique value of each role when serving the customer

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Objectives





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Evolving Relationship with Business Partners

Tactical Enhancements

Project-based Work

Operational Excellence

Product-centric

Work

x

Executor

Service Provider

Scalability and Efficiency Innovator

Focused Product Partnership

Equal Stakeholder in Driving Business Value IT Mindset and Culture

Time

Matu

rity

Working Relationship

Strategic Thought Leadership, P&L Accountability, and Customer-Facing Responsibility

Source: Metis Strategy Research

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Evolving Relationship with Business Partners Finding the power in the marketing-IT relationship begins with

changing the mind-set of the CMO and CIO concerning what they

can achieve by combining forces. This means focusing on the

unique strengths of each and on how the relationship will manifest

itself in the organization to make something happen.

Together we are finding and then harnessing power. This occurs in

three steps:

1. Identify the business results that the partnership can

amplify

2. Combine marketing’s unique view of the customer with IT’s

unique ability to create a customer experience using

technology

3. Mature the marketing-IT relationship over time

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Powerful Marketing-IT Relationship Takes Time

Value generated by marketing-IT

collaboration

+

0

-

Stage of maturity

Conflicting

Coping

Comingling

Collaborating

Creating


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collaboration

+

0

-

Stage of maturity

Conflicting

Coping

Comingling

Collaborating

Creating


Teams from one

organization co-locate with the

other, innovation and strategy

processes merge, and products

are delivered to customers

faster

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collaboration

+

0

-

Stage of maturity

Conflicting

Coping

Comingling

Collaborating

Creating


So blurred is the line between

marketing and IT that the CIO is

as likely as the CMO to be

invited to an enterprise meeting

on marketing strategy.