Sony: Scaling Big Data for Stronger Marketing Campaigns

- R E M O V E T H I S B O X -

A D D P E A K E R L O G O I N V I E W S L I D E M A S T E R

JENNIFER GEDDY, DIRECTOR, CRM & WEB MARKETING, SONY ELECTRONICS

MICHAELA ION, SENIOR MANAGER, CRM, SONY ELECTRONICS

Scaling Big Data For

Stronger Marketing Campaigns



Agenda

1. An Insider’s Peek into Sony’s CRM Operation

2. (Small) Big Data-Driven Marketing Optimization

3. How Can You Use Data To Grow Your Business?



An Insider’s Peek Into Sony’s CRM Operation



While we get to market some of the world’s coolest products…



…At Sony, it all starts and ends with the customer

SONY CUSTOMERS

Product registration

POS

Service

Events

Web Opt-insRetail partners

Sweeps

Social

ANALYTICS & MODELING

Purchase propensity

InfluencePeer Pressure

EngagementChannel availability

Behaviors

COMMUNICATION

Email

Direct Mail

Retailer

Addressable Paid Media

Addressable TV

METRICS

Social



The foundation of CRM is the customer database

SONY CUSTOMERS

Product registration

POS

Service

Events

Web Opt-insRetail partners

Sweeps

Social

You can’t foster customer relationships you don’t have, so prioritize data collection in everything you do.



We’ve learned along the way…

Have crystal-clear rules for data

management, transfer, and ownership in

your database provider contract.

When it’s time to part ways with your

database vendor they can make your life a

living hell…but still be wary of managing

data internally.

Record all the behavioral data you can,

you don’t know what new model will take

advantage of it.

When your data mining capabilities evolve

you may lack intelligence that would have

saved you valuable time.

Keep finding new streams of behavioral

data to prevent your database from

getting stale.

OR

OR

OR

You won’t have enough data points to

maintain accuracy in your models and your

targeting will suffer (and you might too).



Analytics and models are the building blocks

ANALYTICS & MODELING

Purchase propensity

InfluencePeer Pressure

EngagementChannel availability

Behaviors

Retailer

The size of your incremental revenue rests in your ability to optimize your campaigns.




Purchase propensity is better than any

other form of targeting – including

traditional segmentations, like RFM.

When you only target demographics you

waste a good chunk of your budget.

Campaign analytics involve a lot of fuzzy

math – don’t lie to yourself about true

performance.

If you don’t know the correct stats,

eventually somebody will.

Plan around customers reached, not

customers selected – matching rates

and open rates define your reach.

OR

OR

ORYou will underestimate what it takes to have

a sizable campaign.

P.S. If you’re afraid of it, so is everyone else.



Communication is the finished product

COMMUNICATION

Email

Direct Mail

Addressable Paid Media

Addressable TV

Use what you’ve learned from your customers to deliver relevant messages at the right time.




Three channels are better than two, and

two are better than one.

Target the same customers across

channels (if possible) to keep your product

top of mind.

Use an email engagement model – the

more frequently customers open, the

more frequently you get in touch.

You’ll spam and degrade your email stats if

you don’t.

Incremental revenue growth comes from

surgical optimization.

OR

ORThe broader you go with your message and

targeting, the more budget you will waste.



Scaling Marketing With (Small) Big Data



Use analytics to expand your market

INFLUENCE BEYOND SOCIAL

LOOKALIKE MODELS

Are your customers influencing others

without your knowledge?

YES

If you don’t have enough customers,

does it mean your reach is limited?

NO

PURCHASE PATH MAPPING

Instead of selling your customers what they want, are you selling

them what you want?

YES



Expand beyond email and partner up

EXPANDING REACH PARTNER DATA MATCHING

If you don’t have an email opt-in, does it mean your

customer is not within your reach?

NO

Can your retail or media partners help expand your

reach effectively?

YES



INFLUENCE BEYOND SOCIAL

The most vocal among us aren’t always the most influential.Your database allows you to understand connections between customers that wouldn’t be

apparent or discoverable on social networks.

Technology Partner



ILCE6000L/B

2/MAY/2014

ILCE6000L/B

29/JUL/2014

• 88 days later

• Same model

ILCE6000

25/AUG/2014

ILCE6000L/B

28/OCT/2014

• 91 days later

• Same model

• 27 days later

• Different model

ILCE6000L/B

1/SEP/2014

ILCE6000

30/OCT/2014

• 2 days later

• Different

modelILCE6000L/B

8/AUG/2014

• 10 days later

• Same model

• 57 days later

• Same model

ILCE6000B

5/MAY/2014• 85 days later

• Different

model

ILCE6000L/B

21/NOV/2014

• 24 days later

• Same model

ILCE6000/B

27/NOV/2014

• 30 days later

• Different

model

ILCE6000L/B

18/DEC/2014

• 51 days later

• Different

model

ILCE6000L/B

29/DEC/2014

• 153 days later

• Same model

ILCE6000L/B

17/FEB/2015

• 169 days later

• Same model

ILCE6000/B

31/DEC/2014

• 121 days later

• Different model

ILCE6000L/B

1/OCT/2014

• 30 days later

• Same model

ILCE6000L/S

21/AUG/2014

• 68 days later

• Different model



EXPANDING REACH

Addressable paid media expands your reach. If you have a customer’s email, but not her permission to contact, you can still (try to) target

her with pertinent messaging on the web by matching email to cookies.

Technology Partner



Addressable Paid Media: How it Works

Liveramp matches emails to browser

cookies

Premium Partners

DMPs, DSPs, Network

Sony selects high propensity

customers

Online Platforms

CRM DATABASE



LOOKALIKE MODELS

Your customer base offers a path to a greater footprint. If your database is not huge or your targeting is narrow, you can create lookalike models that

will allow you to expand your programmatic reach with 3rd party data sets.

Technology Partners



PURCHASE PATH MAPPING

Your customers’ choices show you the next best thing to promote.If you’re selling multiple products and you have individual purchase data available, you can

optimize the purchase path to fit your customers’ needs rather than by guessing.

Technology Partner

Bought

NEX cameras

XX% buy an Alpha NEX lens

5 mos.

XX% buy another NEX camera

8 mos.Then....

XX% buy Digital Imaging accessories

5 mos.



In-depth Longitudinal Purchase Path

Don’t worry, we aren’t going to quiz you on this chart…



PARTNER DATA MATCHING

If your customer is not opted into your email communications, she might be available on a partner’s list.

Depending on the depth of your partnership, you can still get your message to your customer.

Technology Partners

(Future)



We’ve learned along the way (the hard way)…

Your Info Security team CAN be your

friend.

Create a hierarchy of objectives and

determine what data is most important.

Don’t expect miracles, but don’t give up

on it.

Start them at least a few days before any email drops.

Aim first and foremost to learn from each

new attempt to scale.

Educate your stakeholders continuously

and relentlessly

You can only collect so much data.

Data matching is still in early stages.

Media campaigns take time to warm up.

Keep your expectations low.

If you think something’s difficult, everyone

else around will think it’s ten times harder.

Know the rules and bend them intelligently.



How Can You Use Data To Grow Your Business?



What’s your starting point?

Active Database Size

Bu

dge

t Si

ze

Low

Med

High

<3 Mil 3-10 Mil >10 Mil

ENTRY

INTERMEDIATE

ADVANCED

• Foundational analytics• Broadcast & trigger email• Behavior/demo programmatic

• Addressable paid media• Purchase path models• Lookalike models

• Influencer models• Partner data matching• Addressable TV



What do you need?

• Willingness to try new things

• Technology partners with a strong track-record in:

• Analytics

• Reporting

• Data-driven decision making

• Industry knowledge

• A good partnership with your Information Security Team



QUESTIONS?

Thank You