Cloud services are creating a distinct sense of overlap and a blur of corporate 
responsibility as CMOs evaluate, acquire, and field extensive new IT 
capabilities for digital advertising, customer experience management, 
CRM, and other related functions across a growing set of touchpoints, 
which now include at a bare minimum traditional media, online media, 
social media, and mobile devices.  A decade ago, much of the service 
delivery for these functions would be delegated under the CIO, who would
 support the marketing department and other groups in their IT endeavors
 as needed (although largely on IT’s schedule.)
        (via A new reality between the CMO and CIO | ZDNet)
Cloud services are creating a distinct sense of overlap and a blur of corporate responsibility as CMOs evaluate, acquire, and field extensive new IT capabilities for digital advertising, customer experience management, CRM, and other related functions across a growing set of touchpoints, which now include at a bare minimum traditional media, online media, social media, and mobile devices.  A decade ago, much of the service delivery for these functions would be delegated under the CIO, who would support the marketing department and other groups in their IT endeavors as needed (although largely on IT’s schedule.)

(via A new reality between the CMO and CIO | ZDNet)

A system of engagement

Excerpts from Yuchun Lee blog:

According to a recent IBM study, marketing organizations that engage customers effectively and make better technology investments havea three-year revenue compound annual growth rate (CAGR) that is more than 40 percent higher than that of other companies.

Behind the numbers is what we like to call a “system of engagement” — an integrated and innovative set of technologies and processes that are born out of marketing and IT collaboration. By working closely with the CIO’s team, the CMO can build this system that allows marketers to communicate with a wide array of customers in a personal way, across all channels.

A system of engagement goes beyond tying in new channels, such as mobile and social. It involves pushing the boundaries of each by extending efforts beyond rudimentary tactics. 

For example, when it comes to mobile, the marketing leaders are working with IT to move beyond traditional web-based efforts, with 36 percent using location-specific mobile messaging campaigns and ads. When it comes to the rest of their peers, the percentage drops to 20 percent. For social, 48 percent of the top performers are using or plan to use, social/local group buying in the next 12 months. As for the rest of the group, that number drops significantly to 31 percent.

For many, embarking on a system of engagement means internal discussions about budgets and how to get senior management to green light the plan. One approach to making it happen is to highlight measurement. Leading marketers place greater emphasis on measurement, tracking results and then linking them to individual efforts.

Via Building a Smarter Planet

CMOs, CIOs and augmented reality

Expanding on an  earlier blog describing CMO and CIO collaboration, IBM’s Yuchun Lee describes the potential of augmented reality at retail shelves 

As I often tell anyone who will listen, this new CMO and CIO alliance has the potential to spawn a tremendous variety of new innovations that deliver value to the consumer. One example I saw recently was the idea of an augmented reality solution that transports the personalized information that has become so common online (such as product reviews and special promotions) into the store using a smartphone.

Essentially using a smartphone camera, advanced image processing technologies capture product images on the store shelf. The images are passed for further processing to the retailer’s product catalog database, which calculates ranking of recognized products based on the shopper’s preferences, history, recommendations from friends and more. The solution then superimposes product information, recommendations, special offers and more onto the mobile device in real-time. This is just one of the many innovations that are possible that can not only drive revenues, but really solidify the loyalty of your shoppers.

Via The Atlantic

Mobile increases the need for CMO and CIO teaming

Excerpts from a blog by IBM’s Yuchun Lee, published in AdAge:

+ Businesses looking to shed old practices and succeed in the era of the multi-channel, empowered consumer will need to get their chief marketing officer and chief information officer to form a team that melds the skills of marketing with IT. 

+ The IBM Retail Online Index shows that sales from mobile devices reached 15% in the second quarter of 2012, and we expect that number to reach 20% this coming holiday season. With marketers now clearly looking to improve their mobile-advertising efforts, the teaming with IT becomes even more important. 

+ The State of Marketing survey found that within the next 12 months, 34% of marketers intend to deliver mobile ads, a sign that they are prepared to go beyond mobile websites and apps and deliver mobile advertising that reaches each customer on his or her smartphone and tablet. 

+ While this mobile growth is certainly exciting, challenges still exist. According to the survey, while 85% agree with the need for an integrated marketing suite, only 21% are running mobile-marketing tactics as part of an integrated campaign. This represents a huge missed opportunity that will ultimately inhibit the effectiveness of marketers. 

+ At a time when customers are flocking to their mobile devices and social-media channels, businesses must be prepared to connect with them on all fronts, or lose them to the competition. But to make this happen, it will take a village within the company, or in this instance, a marketing and IT alliance. 

It all gets back to using technology to gain greater insight into data to better connect with customers and understand them as individuals—not as targets for “spray and pray” marketing campaigns. In the age of social media CMOs are well advised to get a grasp on Big Data—which is growing in velocity, uncertainty, and complexity—and listen carefully to the digital consumer, who is judging them every step of the way.