Asian e-Marketing September 2011 by MediaBUZZ Pte Ltd

September 2011

E-mail Marketing ( P art 1 )

Behavioral Research’s email: Concept of Springboard Top 10 Maximum Relevance in Email Predictions in 2011, page 22 Marketing; Page 20

Fuji Xerox Meets Customers’ Yahoo: Science is Insight, Needs with its Go-to-Market Not Hindsight!, page 41 Strategy; Page 29

Email Marketing in the OutMobile There Age;Page Media’s State-of-the-art 18 Mobile Advertising Marketplace, page 44

EDITORIAL:

O N L I N E

V E R S I O N

Dear Reader, It remains to be seen what the future will bring for email marketing, considering the increasing restrictions and regulations that may arise soon to protect its usersâ&#x20AC;&#x; privacy. I will probably write about its drawbacks in the next issue of Asian e-Marketing, but for now you can twist and turn it as you want because email marketing remains one of the most effective tools to build and maintain a relationship with your customers. Therefore this issue of Asian e-Marketing focuses on the impact of emails and, if used correctly, their undeniably high delivery of return on investment. While not drawing out a topic that has been discussed comprehensively for two decades, I draw your attention on new forms like behavioral email and mobile email as both are steadily increasing across all sectors, and I will give some insights on how to use them for integrated marketing campaigns.

Daniela La Marca Editor-in-Chief Asian eMarketing

Get inspired by new strategies and approaches with a deeper insight by reading whatâ&#x20AC;&#x;s going on in the Asia Pacific digital marketing scene. Never stop learning! Best wishes,

Daniela La Marca Editor-in-Chief, Asian e-Marketing PS: If you couldnâ&#x20AC;&#x;t catch the previous issue of Asian e-Marketing here is another chance.

Sponsor of this issue:

SEPTEMBER 2011

INSIDE THIS ISSUE:

Email Marketing (Part 1)

RESEARCH, ANALYSIS & TRENDS

InMobi’s Insights on Global, Asia Pacific and Australian Mobile Ad Markets

Gartner's 2011 Hype Cycle Special Report

Experian Hitwise Reports on Popularity of Google+ in Key Asia-Pacific Markets

The Top Trends in Online-Marketing

Singapore and Southeast Asia Most Attractive for Australian Companies’ Expansion Plans China is Largest PC Market in the World Right Now, IDC Revealed

BEST PRACTICES & STRATEGIES

COMPANIES & CAMPAIGNS

Fuji Xerox Meets Customers’ Needs with its Go-to-Market Strategy

Breathing and Embracing Innovations

CMO Council’s Official Journal PeerSphere Launched in Print and Digital Media Formats

BUZZWORD

RFM (Recency, Frequency, Monetary Value)

Handshaking

APPOINTMENTS

IMPRINT

The Changing Face of Marketing: Consumer Behaviour in the Digital Age

Email Marketing in the Mobile Age

Behavioral email: Concept of Maximum Relevance in Email Marketing

The Perfect Timing of Emails: When and how often?

TECHNOLOGIES & PRODUCTS

Epsilon’s Innovative Security Enhancements to Global Email Marketing Platform

M86 Cybercrime Malware Protection for Dell OEM Solutions Hardware

ADVERTISE WITH US! Take a look at our rates!

RESEARCH, ANALYSIS & TRENDS

InMobi’s Insights on Global, Asia Pacific and Australian Mobile Ad Markets InMobi‟s latest Mobile Insights Report revealed that the Asia Pacific mobile ad market showed steady growth of 17% in Q2 2011, while the Australian mobile ad market even grew by 38% to over one billion quarterly ad impressions in the quarter ending (QE) July 2011. The company‟s report leverages consumer surveys via mobile devices, combined with data sourced from its global mobile advertising network which served 104.9 billion mobile ad impressions in Q2 2011 to 314 million consumers across six continents in165 countries. Key global findings include:  InMobi‟s global network grew by 23% gaining nearly 20 billion mobile ad impressions over the past quarter, serving a total of 104.9 billion impressions in Q2 2011.  45% growth in both smartphone ad impressions and in application ads, points towards increasing consumer adoption of smartphones and the popularity of applications. □ Smartphones now represent 38% of all mobile ads on the InMobi network. □ In application advertising continues to grow quickly, although it only represents 17% of all mobile ads on the InMobi network.

 Among the top three operating systems, only Android managed to gain share points (+1.3).  The Apple iPhone and Apple iPod each gained +1.7 share points to remain the top two devices globally.  Nearly one out of every 10 ads in Q2 globally was on an Apple iPhone. Key Asia Pacific findings include:  Asia Pacific mobile impressions on the InMobi network grew beyond 55 billion ad impressions in Q2 2011: The region gained over eight billion quarterly impressions (17%) over Q1.  Smartphone impressions grew twice as quickly as advanced phone impressions: Smartphones gained over three billion impressions, contributing 39.5% of total growth in mobile impressions in the region.  With 27% market share, Nokia OS remains the top operating system in the region, although it lost 2.2 percentage points this quarter: Android and iPhone OS continue to capture considerable share, now representing 18.1% of all InMobi impressions in the Asia Pacific region, up from 13.5% in Q1 2011.

RESEARCH, ANALYSIS & TRENDS

 Nokia devices represent the majority (51% share) of ad impressions in the region, while growth in Android helped Samsung and HTC gain share: Samsung continues to be the fastest growing manufacturer in the Asia Pacific region, gaining 1.4 share points quarter-on-quarter to reach 16.9% market share.

□ 5% more App inventory than WAP shows higher take up of applications amongst consumers driven by a high penetration of iPhones in the market. □ This also underpins the continued growth of the app market within the mobile ecosystem as a preferred tool for customer engagement as compared with mobile websites across the country.

 The Apple iPhone remains the single most popular device in Asia Pacific with 7.6% share: Nokia devices hold 11 of the top 15 device ranks, although a lot of the Nokia devices lost share in Q2 2011.

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 China advanced the fastest among all countries in Asia Pacific gaining 1.4 share points. □ India continues to represent four of every 10 ad impressions in the region. □ 13 of the top 14 countries in the region gained considerable impressions from Q1 to Q2.

iOS took the lion‟s share of the mobile ad market with 47.9%, with Android coming in next at 17.7%: The iPhone still remains the most popular device for users, though Android continues to grow steadily in Australia (+5 share points) compared to overall APAC growth of +3.4 share points in Q2 2011.

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Apple remains the top manufacturer by impressions even with a decline of -2.3 share points over QE April 2011. □ Nokia suffered the biggest loss in impressions with -5.0 share points. □ ZTE, Samsung, Access and LG also suffered similar declines in ad impressions with -0.8, -0.6, -0.5 and -0.5 share points, respectively.



Apple devices lead in Australia with the iPhone in first place with 37.2% market share and the iPod in third place with 6.9% share. RIM‟s Blackberry 9700 moved to second place with an increase of +7.7 share points while Samsung‟s GT-I9000 tied with the iPad for fourth place with a 3.9% share.

Atul Satija, Vice President and Managing Director Asia Pacific, InMobi commented: “The significant growth in smartphone impressions points towards a rich media environment that enables greater innovation and increased consumer interaction. InMobi is constantly working toward creating device agnostic, efficient, and engaging mobile ad experiences using our best of breed technology and services. Our recent acquisition of creative production company Sprout will help us deliver scalable rich media content to devices supporting HTML5, further boosting mobile media consumption globally.” Key Australian findings include:  The market grew by 38% serving over one billion impressions in QE July 2011.  Smartphone impressions grew by 52% to close to 900 million impressions in QE July 2011. □ While smartphones gained about 300 million impressions over QE April 2011, advanced phone I mpressions decreased by 4% to 198 million impressions in QE July 2011. □ App inventory grew by 44% compared to a 31% growth for WAP in QE July 2011.

“While not always first movers, Australians have consistently embraced technology and mobile is no exception. With the Australian penetration level of smartphones as one of the highest in the world, and telcos understanding their customer‟s needs for data packages, there really hasn't been a better time to use mobile advertising”, comments Rob Marston, Regional Director, Australia and New Zealand, InMobi, adding: “As with most new technology, consumers are ahead of advertisers when it comes to mobile and InMobi is committed to investing ahead of the curve.

RESEARCH, ANALYSIS & TRENDS

Mobile advertising has progressed significantly from pure SMS to banners, Rich Media and indeed 3D ads. The personal nature of a phone, combined with the potential to entertain, educate and inform, makes mobile a must have part of any media schedule.”

Based on its huge collection of data, a maturity in mobile advertising acceptance with 66% of ads could be tracked on Apple iOS or Android devices in Australia. Although the Apple iOS saw a decrease of -2.3 share points in ad

impressions over QE April 2011, it is still taking the lion‟s share of the market with 47.9% of the total impressions in the country and remains almost four times the global average. ♦ By Daniela La Marca

RESEARCH, ANALYSIS & TRENDS

Gartner's 2011 Hype Cycle Special Report Once a year, Gartner publishes its Hype Cycle, which deals with the acceptance and the maturity of new technologies. The annual special report, that evaluates more than 1,900 technologies and trends, grouped into 76 distinct Hype Cycles, aims to help organizations understand the landscape of technology maturity and markets, and to decide which technology innovations to adopt, postpone or ignore. Don‟t expect to find email or mobile email mentioned there as it seems to be water under the bridge and therefore not on the list. According to Gartner‟s 2011 Emerging Technologies Hype Cycle, in particular private cloud computing, NFC and Internet TV are at the moment overvalued. While, in the field of social media, social monitoring and activity streams as well as shopping communities, have moved into the Peak of Inflated Expectations. Other newly featured high-impact trends include big data, and natural language question answering. Disillusionment, on the other hand arises, for instance, in the case of augmented reality. The Hype Cycle graphic has been used by Gartner, since 1995, to highlight the common pattern of overenthusiasm, disillusionment and eventual realism

that accompanies each new technology and innovation. The "Hype Cycle for Emerging Technologies" report is also the longest-running annual Hype Cycle, providing a cross-industry perspective on the technologies and trends that IT managers should consider in developing emerging-technology portfolios. Jackie Fenn, Vice President and Gartner Fellow said: “On the social media side, social analytics, activity streams and a new entry for group buying are close to the peak, showing that the era of sky-high valuations for Web 2.0 start-ups is not yet over. Private cloud computing has taken over from more-general cloud computing at the top of the peak, while cloud/web platforms have fallen toward the Trough of Disillusionment since 2010. Mobile technologies continue to be part of most of our clients' short- and long-range plans and are present on this Hype Cycle in the form of media tablets, NFC payments, quick response (QR)/color codes, mobile application stores and location-aware applications.” Transformational technologies that will hit the mainstream in less than five years include highly visible areas, such as media tablets and cloud computing, as well as some that are more IT-specific, such as inmemory database management systems, big data, and extreme information processing and management.

RESEARCH, ANALYSIS & TRENDS

Source: Gartner In the long term, beyond the five-year horizon, 3D printing, context-enriched services, the “Internet of Things” (called the "real-world Web" in earlier Gartner research), Internet TV and natural language question answering will be major technology forces.

Looking more than 10 years out, 3D bioprinting, human augmentation, mobile robots and quantum computing will also drive transformational change in the potential of IT. (Source: Gartner, Inc) ♦ By Daniela La Marca

RESEARCH, ANALYSIS & TRENDS

Experian Hitwise Reports on Popularity of Google+ in Key Asia-Pacific Markets Experian® Hitwise®, part of Experian Marketing Services, published data on the popularity of Google+ in key Asia-Pacific markets. Following the beta launch of Google+ from the week ending 16 July. Experian analysis shows that Singapore captured the highest ranking and share of visits to the new platform. Meanwhile, India was the second highest using Google+. Hong Kong ranked the lowest, slightly behind Australia and New Zealand. In a comparison of share of visits by country in the Social Networking and Forums category, Google+ in Singapore has enjoyed a continued rate of adoption, ranking sixth with a visit share of 1.2 percent at its peak for the most recent week ending 27 August. It is the only country that sustained continued growth in visits after the beta launch. The local popularity of Google+ has been driven by the dominance of the Google in Singapore, with over 34.48 percent of upstream traffic to Google+ originating from the Google Singapore search engine. In Hong Kong, the adoption of Google+ seems to be much slower than in other countries, ranking 90th with a share of 0.074 percent in the Social Networking and Forums category during launch week.

The lower rate of adoption could be attributed to the more established presence and use of local Chinese sites in the social networking category. While Hong Kong Internet users are heavy users of social networks, with the highest share of visits to the Social Networking and Forums category, almost 60 percent of visits are to platforms like Facebook and YouTube, while 40 percent of the visits are to local Chinese forums and social media including, for instance, Discuss, Uwants and Sina Weibo. Data from other key Asia-Pacific markets shows that Google+ in New Zealand and Australia peaked at 58th and 84th respectively in the Social Networking and Forums category during the launch. Google+ also performed strongly in India achieving 14th place at its peak. This could be attributed to the rapid growth of India‟s mobile and internet community, its growing economy, as well as the increasing popularity of social media. Despite minimal impact seen on Facebook visits so far after the launch in all markets except Hong Kong, Google+ sees key reliance on other Google properties such as Google Search, YouTube and Gmail to direct and refer visitors to the new social platform. ♦ Source: Experian Hitwise

RESEARCH, ANALYSIS & TRENDS

The Top Trends in Online-Marketing Creativity in online advertising, social marketing and multi-channel tracking are, according to the performance agency eprofessional and their survey of 80 online marketing experts, the most important trends in online marketing in the next 12 months. Ranked in positions four and five are re-targeting and location-based mobile marketing and advertising, while hybrid TV/IPTV and real time bidding are apparently still not relevant at the moment.

Corresponding are the answers to the question what would be the biggest challenges: 44% of the respondents consider the monetization of social media traffic and multichannel tracking as particularly important. For more than a third (36%) the complexities of online marketing is very challenging as well as dealing with the skills shortage in the industry which ranks in fourth place (30%), ahead of multichannel advertising strategies (28%). â&#x2122;Ś By Daniela La Marca

RESEARCH, ANALYSIS & TRENDS

Singapore and Southeast Asia Most Attractive for Australian Companies’ Expansion Plans The rapidly developing Southeast Asian markets are becoming increasingly attractive destinations for Australian companies, according to a survey conducted by Regus, the world‟s leading provider of workplace solutions. The research, which polled over 800 business leaders across Australia, found that 58% of companies are interested in doing business across the Southeast Asian region. The survey also uncovered a mounting appetite amongst smaller companies to flourish in Southeast Asia: while almost two-thirds of larger companies say they are interested in doing business in the region, the number of smaller companies who have intentions to

expand abroad are rising. In fact, 36% of small companies declared themselves more interested this year than last year, compared to 31% of larger companies. Singapore, in particular, is the top destination for Australian businesses to expand into overseas markets, according to Regus, stating that their Australian customers‟ choice for Southeast Asia expansion plans would be, after Singapore, the Philippines, Malaysia, Thailand, Indonesia, or Vietnam. William Willems, Regional Vice-President ANZ and Southeast Asia for Regus, comments: “The Australian

RESEARCH, ANALYSIS & TRENDS

be an important market for Australian businesses in future. Australian businesses offering high quality services, from education, tourism and financial/professional services to design, innovation and technology, are in high demand in Southeast Asia.”

economy has proved itself reliable and resilient over the past few years, but local businesses are now looking to take advantage of huge opportunities in Southeast Asian markets. As a result, today we ourselves have more Australian customers in Singapore than we do in the United States or the United Kingdom, and more in the Philippines than in China or Hong Kong.” William Willems David Thomas, CEO of Think Global Consulting, said: “We are seeing a steady interest in the Southeast Asian market from Australian businesses of all sizes.

Singapore is always going to be the hub for Southeast Asia. However, Indonesia, which has the fourth largest population in the world, will

In general it is not surprising that Singapore, known for its political stability and investor-friendly environment, ranked tops in a poll participated by over 800 business leaders across Australia. ♦ By Daniela La Marca

RESEARCH, ANALYSIS & TRENDS

China is Largest PC Market in the World Right Now, IDC Revealed International Data Corporation (IDC) presented last month their Worldwide Quarterly PC Tracker, responding to the growing demand for detailed, timely, and accurate information on the global PC market. Driven by a comprehensive electronic database, it provides insightful analysis, quarterly market share data, and a five-year quarterly forecast by region regarding changes and trends in the highly competitive PC market. Built on the foundation of IDC's network in more than 80 countries that tracks PC services, by vendor, form factor, brand, processor brand and speed, sales channel and user segment, the research includes historical and forecast trend analysis as well as price band and installed base data. Its bottom-up methodology delivers an accurate view of the PC market and just revealed that the PC shipments in the China market have exceeded those of the United States in the second quarter of 2011 (2Q11). Approximately 18.5 million units worth US$11.9 billion shipped in China during the quarter, compared to 17.7 million units worth US$11.7 billion in the US, China represented 22% of the global PC market's unit shipments compared to the US at 21%. On a full year basis, IDC still expects the US to remain the largest market in 2011, with 73.5 million units forecast to be shipped in the US versus 72.4 million in

China. Similarly, holiday season buying in the US will likely keep it ahead of China in the fourth quarter, especially as China's market contracts after its third quarter summer promotions. IDC does not expect China to exceed the US in full year shipments until 2012, when 85.2 million units are forecast to be shipped in China and 76.6 million units in the US. “There are of course still risks ahead for China, including not just inflation but also the impact of economic conditions in the US and Europe,” said Kitty Fok, Vice President for Greater China Research, IDC. “But in the meantime, the Chinese Government's 12th Five-Year Plan should help large enterprises in various infrastructure verticals to continue to move along, not to mention of course the ongoing efforts to increase consumer penetration in lower-tier cities.” “China's lead in the PC market is a huge shift that reflects the rising fortunes of emerging markets as well as the relative stagnation of more mature regions.” said Loren Loverde, Program Vice President, Worldwide PC Tracker. “While the immediate economic circumstances in the US and other markets had a significant impact on the timing of China's move to the lead, they have not changed the trend, but accelerated it.” ♦ By Daniela La Marca

RESEARCH, ANALYSIS & TRENDS

Creativity in online advertising, social marketing and multi-channel tracking are, according to the performance agency eprofessional and their survey of 80 online marketing experts, the most important trends in online marketing in the next 12 months.

BEST PRACTICES & STRATEGIES

The Changing Face of Marketing: Consumer Behaviour in the Digital Age The marketer‟s challenge has always been one of persuasion - put forward the product in as attractive a fashion as possible, and then through a system of rewards and other incentives, try to influence consumer behavior in the desired direction. Today, technology is changing the ways in which marketers and consumers interact, as well as offering a mind-boggling range of new options. At the end of the day, though, the challenge remains the same. Marketers must seed information into the marketplace, identify interested consumers, engage those consumers in conversation, and then convert them into purchasers and users of the final product. While technology makes it easier to reach out to the masses, the rapidly-changing message space presents consumers with even more options, and more opportunities to turn away from marketing messages. The internet and mobile phones, for example, put an immense amount of power in the hands of consumers, and social media gives them a voice to make themselves heard. This can work positively, because satisfied customers can be your best advocates, but can also make the marketer‟s job more challenging as they have to address more immediately the concerns of the unhappy. Out There Media has taken a different approach, one in which consumers themselves play a role in the marketing process. Instead of beginning from the somewhat adversarial traditional position, where marketers have to overcome consumer resistance, Out There Media uses a process called opt-in marketing that is a quite revolutionary approach to the usual marketing problem. In opt-in marketing, consumers are offered the option to sign up to receive marketing materials. This offering is done through the auspices of Out There Media‟s Asian telco partners who allow their customers to sign up for the program as a value-added proposition. Consumers sign up, according to their preferences, and are offered the option to share some personal data. This facilitates demographics, as well as allowing for more accurate targeting.

From this database of customers who have indicated their interest, Out There Media can accurately channel marketing material to customers that are most desirable, or to customers who have previously indicated their interest in a particular product. In order to incentivize the opt-in program, consumers are offered other benefits, including special offers, discounts, electronic coupons, and the entire program uses the mobile platform to deliver information directly to the consumers in question. At the end of March 2011, Out There Media‟s opt-in database in the region stood at five million, an indication of the level of public interest in opt-in programmes, and a study of this database reveals some interesting findings For a start, the average conversion rate for opt-in marketing and advertising stands at 25.15%: considerably higher than the rate for mobile display ads (in the low single digits), more than twenty times the response rate for direct marketing (1.38%) and very much higher than web advertising (where a response rate of 0.08% is considered a successful campaign response rate). It is worth mentioning that, in some cases, the rate of response to opt-in mobile advertising was as high as 50%. Consumers were willing to share large amounts of information - many consumers were more willing to share information on their location (97%) and interests (96%) in order to receive better targeted advertising. Opt-in mobile advertising also reaches beyond the traditional demographic targeted by new media offerings, going beyond the 15-25 male range. In fact, 72% of consumers are between the age of 20 and 39, with a fairly even gender split. Additionally, while the most actively engaged verticals were FMCG, finance, automotive, beauty and fashion, the method worked well across all verticals. The implications for traditional marketing are substantial. The mobile channel offers interesting opportunities, certainly, but the mode of operation (opt-

BEST PRACTICES & STRATEGIES

in) has brought results that are greatly improved over old-school m e t h o d s . O p t - i n m ar k e t i n g represents a shift, a new paradigm in marketing, one where consumers and marketers work together, and that turns marketing material from an intrusion into something that consumers welcome in order to receive incentives and benefits. The higher conversion rate represents the higher value that consumers place upon marketing material that they have asked for themselves, especially when they know that what they will receive will match their interests and pursuits.

Consumer behavior certainly has changed in the digital age, and marketers will have to change to keep up. Opt-in marketing may become an integral part of consumer behavior, as they choose for themselves what messages to receive, but pay for that in return with greater attention and higher conversions.â&#x2122;Ś By Fabrizio Caruso, Vice President, Business Development and General Manager, Asia-Pacific, Out There Media Fabrizio Caruso

BEST PRACTICES & STRATEGIES

Email Marketing in the Mobile Age For the past decade, it was all about the desktop experience. Now, the mobile experience has become the new black. With a projected rise of +21% CAGR in mobile internet users in APJ between 2010 and 2015, the number of mobile subscribers will reach 1.36 billion in 2015, according to research recently published by Research and Markets.

In order to ride on the bandwagon of this trend, brands need to re-design the contents of their email marketing campaign for multiple mobile platforms. This means that besides making use of plain text and web links, brands can capitalize on the technology of mobile platforms to create more dynamic, rich and personalized content.

It‟s the mobile era. Users want to get their information anywhere, anytime. Mobile devices offer a sense of instant gratification that cannot be duplicated on the desktop. So what affects the success of email marketing in this mobile age?

In addition, email widths have to be narrower, and the fonts have to be larger to be more legible on smaller screens. The space between links and the size of buttons have to be wider to facilitate navigation for users.

Here are three key points that will help you succeed in mobile email marketing:

Conversation Email marketing began as a form of linear communication when marketers sent e-pamphlets and e-newsletters to their distribution list to market products and inform potential customers about promotions. As the trend moves to a more transactional model of communication, email marketers need to engage their consumers. Now, brands should use personalization and send targeted messages integrating web and CRM analytics instead of broadcasting messages to any and everybody.

Timeliness Effective communication and engagement is all about timeliness. It is about getting your potential customer hooked at the right point in time to match their needs or wants with what you can offer. It‟s about sending the message in a timely fashion and making sure it‟s well received. The best time to get your target audience interested is when they are engaged with your brand. Say for example you are an online shop that has just newly started. When a customer is surfing for products on your webpage or mobile app, there can be a small banner advertisement offering promotions on that particular product that comes with the condition of signing up with your email marketing list. Format It has been researched and proven that email is the No. 1 activity that consumers spend their time on when using their mobile devices. Emailing was made for mobile devices.

Engagement can be in the form of an invitation to interact through reviews, polls and social networks. As such, these email messages become more of an invite to participate in the conversation resulting in a higher probability of response. ♦ By Rohit Dadwal, Managing Director, Mobile Marketing Association Asia Pacific Limited

BEST PRACTICES & STRATEGIES

Behavioral email: Concept of Maximum Relevance in Email Marketing Relevance is the key! The more relevant an advertising message is for the recipient, the more likely this person will accept the invitation to consume. Behavioral Email is the concept of maximum relevance in email marketing, ensured by the seamless integration of email marketing and web analytics. Advertisers can communicate not only with their customers, but can precisely track their website behavior, find out what they are interested in and send automatically generated emails with a higher content relevance. The results are well above the average opening, click and conversion rates. The new tool Behavioral Email is based on an old insight: not all customers are equally valuable to a company. The traditional direct marketing, therefore, developed the proven and reliable segmentation method RFM: Recency, Frequency, and Monetary Value. Offline direct marketing is basically still segmented by RFM to separate dedicated consumers from inactive members. The former are addressed effectively, the latter removed from the distributors, so that the segmentation saves money compared to any uniform mass distribution.

With the help of these three factors, customers can be distinguished in their importance for the turnover, if the assumption applies that their future purchasing activities can be derived and predicted from data of their past, such as: who ordered recently, comes back faster (recency); who ordered more frequently, buys more again (frequency); who is spending more money, does this continuously (monetary value). Not to mention the Pareto Principle that has been valid and is still today: 20 percent of all customers bring 80 percent of total sales. Compared to snail mail, the more convenient and less expensive email marketing has pushed aside the merits of segmentation for years. Spray and pray has been the motto and is still often today. The advert cost per thousand views (CPMs) for outgoing emails are on the decline. Suppliers from around the world are pushing lists by dumping prices into markets and thus increasing the incentive for un-targeted mass mailings. Sadly this path leads to a dead end. Not only for email service providers (ESPs) that groan under price pressures, but also for advertisers, the concept of uniform mass mailings without significant opening rates has no future either.

BEST PRACTICES & STRATEGIES

It all comes down to the central point that there is generally a lack of individual relevance of content. Google, GMX, Yahoo! and Co. keenly record if users look at their emails. Senders whose emails are

often deleted unread end up more and more often on blacklists. Sooner or later, these low-interestmails are pushed into extra folders or simply blocked.

If you want to find out more on Behavioral Email techniques and best practices, look out for an in depth article on it in the next issue of Asian e-Marketing! â&#x2122;Ś By Daniela La Marca

BEST PRACTICES & STRATEGIES

The Perfect Timing of Emails: When and how often? Concerns of choosing the optimal timing and frequency of mailings are some of the questions companies are most interested in. Unfortunately, getting answers isn't easy as there are a variety of studies dealing with these issues, but they come up with different results all the time. Still, the right timing is crucial as it is in addition to targeting and relevance one of the three most important criteria that guarantees that your emails are perceived and work well. When is the best delivery time for emailings? There is no general answer for this question so you have to find out your individual, perfect timing, by testing over a certain period different days and times. As a general guideline, the following considerations can be useful: a. Target Group - B2B or B2C; b. Behaviors of your target group (if known); c. In addition, look for possible seasonal dependencies. There are of course some general rules of thumb, too. Why, for example, is sending out at night not a good approach, or why is it recommended in the B2B sector never to send on weekends?

The reason is simply the fact that readers are usually only active in the first 48 hours after having received an email. Generally it is said the optimum time should be: 1. B2B: generally middle of the week, TuesdayThursday morning (but not too early) or in the early afternoon - Monday morning and Friday afternoon should be avoided; 2. B2C: especially if you have an online store, you should test on Monday mornings, because on that day the most will be bought! Even on weekends or in the early evening hours consumers are active. Do also remember how important you are for your target audience. News or highly topical special newsletters are also well received in peak hours (such as Monday mornings). If you sell "just" fun products or hotel deals, your relevance for the receiver is rather low, therefore, it is probably worthwhile to consider not sending out at peak times. What dispatch frequency is good? There are very conflicting opinions about the frequency of emails. Some say "more", because those who send more email, will sell more, others are more moderate and provide concrete suggestions, such as for which target group or type of content a weekly or more a monthly rhythm makes sense.

BEST PRACTICES & STRATEGIES

Basically, it‟s certainly true that most companies could send out more often, as their customers would be quite willing to read their messages more frequently. The dread to be considered a spammer is however still high, so you should not fall into the other extreme and email uninhibitedly. The dispatch rate is in general a very sensitive criterion for which there is no right or wrong answer. Finding the right balance is a game between provider and reader, a balancing between supply (yours) and need (the customer). Fact is that the dispatch rhythm depends on the target group! Put yourself in the position of your audience. Do your readers need or want your information daily, weekly, monthly? How relevant is your message to your readers (not for you ...)? There are some rules of thumb to consider for frequency, too:

1. Do not send too infrequently – if you message just once or twice a year, the recipient neither remembers their permission nor your offers. The recognition factor is gone. 2. What decisive role does up-todatedness play for your newsletter? What kind of products/services do you have? 3. In weekly-changing offers, such as from grocery stores, messaging on a weekly basis d e f i n i t e l y m ak e s s en s e ; vacation deals, however, nobody needs every week. 4. The higher your delivery rate, the more important it is to send highly targeted, relevant and current content – if possible, be as concise as possible. If you are already advanced in email marketing and run automated follow-up emails, the question of frequency is becoming even more important. How often should recipients, for instance, who have clicked on your offer in the newsletter but not bought yet, be contacted in succession?

In general, it is recommended to keep the interval between email messages relatively short. Every few days or each week is a good choice, while the frequency may initially be slightly higher. It has to be said here clearly that you have to find an end, too. After a certain period, you should stop writing to the recipient as often, especially if it is always about the same content. Last but not least, don‟t forget: content is king! Even if the question of timing and right frequency is handled well, you have to make sure to keep your content relevant. If that‟s the case your email might still be opened at an inopportune time, too. W hen you send repeatedly in the week the same content or the same kind of content that is simply not relevant for the reader, not even a well-thought-out timing strategy saves your email from ending up unread in the trash. ♦ By Daniela La Marca

Engagement can be in the form of an invitation to interact through reviews, polls and social networks. ~ Rohit Dadwal

TECHNOLOGIES & PRODUCTS

Epsilon’s Innovative Security Enhancements to Global Email Marketing Epsilon, a wholly owned subsidiary of Alliance Data, is a leading marketing services company, with a broad array of data-driven, multi-channel marketing solutions that leverage consumer insight to help brands deepen their relationships with customers. The company services include strategic consulting, acquisition and customer database technologies, email marketing and analytic services, predictive modeling, loyalty management, and direct and digital agency services. Recently Epsilon announced with its partner Verizon the launch of a more secure global email marketing platform that deploys a number of new leading-edge data security measures. As the first and only marketing service provider in the industry that joined forces with Verizon, the recognized leader in managed security services and intrusion detection, Epsilon is able to identify and mitigate “electronic crimes in motion” in a way that has not been possible before, by leveraging Verizon‟s ability to track malicious IP addresses every day. Epsilon‟s new security features, along with innovative technologies from Verizon, provide enhanced protection for its information technology (IT) infrastructure. Combining intelligence from Verizon‟s expansive global-IP network, their insight into internet traffic, one of the largest databases of breach statistics and frontline experience against the world‟s most

sophisticated hackers, the new, custom cloud-based service provides a significant improvement over conventional methods of breach detection. In addition, Epsilon has instituted stringent new access restrictions through its IP certification requirements, which means that all access to the email platform, both inbound and outbound, will be restricted to white-listed IP addresses. Further, Epsilon has enhanced user security by implementing two-factor authentication, a security process that requires two means of identification to gain system access, adding significant additional protections beyond conventional strong password requirements. The two-factor authentication, which is currently in place for employees, will be extended to all clients in Q3 2011. Last but not least, Epsilon is working with top Internet Service Providers (ISPs) to safeguard consumers by building an unprecedented anti-phishing solution. Epsilon‟s anti-phishing efforts include developing an open, rapid communication channel between marketers and ISPs, methods to easily differentiate legitimate communications from fraudulent ones, and, finally, a way to monitor brand abuse across email domains. This solution is anticipated for presentation and release to clients in Q4 2011, but is currently still in development.

TECHNOLOGIES & PRODUCTS

“We recognize that established industry standards are simply not enough in this day and age. Epsilon has always taken security seriously and consistently surpassed industry standards and requirements. This commitment continues at Epsilon where we have already made significant progress to bolster security measures and remains focused on creating a more secure environment using the most sophisticated resources available in order to protect our clients and their customers from cyber attacks,” said Bryan Kennedy, President and

CEO of Epsilon. “Working with Verizon gives Epsilon access to the best security tools, technologies and expertise in the world to combat cybercrime in near real time.” “We are excited to bring our expertise and knowledge base to Epsilon to improve the way they protect their IT infrastructure. This solution allows them to detect and mitigate crimes as they are happening, so that hackers can be stopped in their tracks,” said Peter Tippett, Vice President of Security

and Industry Solutions for Verizon. “As cybercriminals become more sophisticated, so must cyber security and data protection.” Epsilon‟s Email Institute, a best practices destination for email marketers, will host a Global ISP and Policy Forum in San Francisco on 20 October 2011 to facilitate an ongoing dialogue among email industry innovators, share knowledge and create a new standard in email marketing security. ♦

TECHNOLOGIES & PRODUCTS

M86 Cybercrime Malware Protection for Dell OEM Solutions Hardware With the latest wave of cyber attacks targeting Google, Citibank, Sony, Sega, IMF, the US Senate and the Malaysian government, it is clear that cybercrime has exploded to become the number one organized crime globally. Now that multinational corporations, global institutions and governments seem to be losing the battle against cybercrime, SMEs and other organizations have become even more vulnerable targets for these cyber attacks. Dell keeps at it by providing their PowerEdge servers as a platform for M86 Security's award-winning Secure Web Gateway (SWG) solution. M86 Security, an expert in real-time Web and email threat protection, gets a great opportunity to prove its effectiveness in fighting the growing complexity and gravity of global cybercrime. With its patented Realtime Code Analysis™, behavioral blended-threat detection technologies, and the widest range of deployment options, M86 SWG helps enterprises and organizations of all sizes to effectively and proactively combat cyber-attacks and its appliance, software, and Software as a Service (SaaS) solutions for Web and email security, which is protecting already their more than 25,000 customers and 26 million users worldwide. “With cybercrime costing companies worldwide between US$100 billion to US$1 trillion per year, Dell OEM is pleased to work with an industry leader like M86 as they provide robust and proven Web security technology solutions to make corporate networks more

secure,” said Ron Pugh, Americas Sales Director, Dell OEM Solutions. The M86 Secure Web Gateway (SWG) maximizes Web security without compromising productivity or reporting. It provides the most accurate malware detection available to protect against known or unknown malware - providing maximum security with minimal false positives and productivity interruptions, besides indepth reporting, social-media controls and DLP to simplify compliance. It integrates into existing environments, at the lowest TCO, through the widest range of deployment options. “The M86 relationship with Dell OEM was driven by our wish to provide customers with the only certified secure Web gateway solution that can protect enterprises from Zero-Day threats in real time,” said Paul Myer, Senior Vice President of Corporate Development, M86 Security, adding “the recent increase of Web-based attacks shows that enterprises of all sizes are vulnerable to cybercrime and M86 is focused on helping organizations protect against them.” With Asia-Pacific server shipments up 21 percent in the first quarter of 2011, the availability of M86‟s SWG on Dell‟s OEM servers will give consumers definitely a compelling choice of hardware platforms whilst enjoying the benefits of enterprise-class secure Web gateway technology. ♦ By Daniela La Marca

COMPANIES & CAMPAIGNS

Fuji Xerox Meets Customers’ Needs with its Go-to-Market Strategy Not many consumers are willing to communicate and share directly with companies and brands. Hélène Blanchette, Head of the Fuji Xerox 1:1 Experience Service, has come up with a terrific approach that can ease the challenges companies face when trying to identify and target their audience, by developing strategic, quantifiable direct marketing campaigns. Helene has gained worldwide recognition and won numerous marketing innovation awards as founder of the Xerox 1:1 Lab. Her strategic concept has been implemented in several countries around the world and is now a full service offering from Fuji Xerox, with its unique approach that brings 1:1 marketing to new heights by deploying a range of media platforms to engage customers effectively. Over the course of time, more and more media channels have emerged creating confusion, so effective message penetration has started to become difficult due to increasingly isolated data silos. Her team at Fuji Xerox‟s 1:1 Experience Service goes far beyond the provision of direct marketing solutions and works with corporate customers and service providers on innovative cross-media communication strategies and delivery.

“Go to market strategy means that we are creators of technology, whether it is software, hardware for printing, or innovative services. Fact is that you innovate with products and therefore you have to consider which product to launch in which market, find out how much is it absorbed and used on the market and what‟s the outcome in general. The go to market strategy is trying to understand the process of technology adoption on the market, as well as the emerging gaps between the way people use the equipment or software technology, to create programs and services that unfold its full capacity”, Helene explained. Years ago in Canada, when Helene was working with a research team to understand the market evolution, she realized the huge gap between marketeers, agencies and service providers, who generally stuck to their traditional way of doing marketing and didn‟t seem able to understand how to create innovative campaigns. “So I started what we called the 1:1 Lab in one of our research centers in Canada with the intention to help agencies and corporations build up their team of experts. Besides, I supported them to re-engineer and re-think their marketing approaches in a very scientific way, that proved that 1:1 marketing with intelligence is absolutely much more efficient and provides ROI”, Helene said.

COMPANIES & CAMPAIGNS

marketing in all its aspects and methodologies, before forming a hybrid team with this Fuji Xerox certified agency - working together as one team to deliver to the client.

Hélène Blanchette She has spent the past six years in Singapore continuing to introduce Fuji Xerox‟s full service offering to companies across Asia, while helping to educate them in making use of their evolving technology that can easily manage crossmedia in a very integrated way. “Depending on the countries, we are adopting different business models”, Helene said. Whether they work with designers, analysts or programmers, they always keep an eye on offering a real integrated service and even changed their name from “Lab” to “Services” to emphasize that they provide now full 1:1 cross-media marketing campaigns. “It doesn‟t matter where the brain resides”, she said, pointing out that all achievements have been accomplished by a globally fluid interchangeable team, elaborating further “when you centralize everything and take it as an ownership it‟s only the clients that you have that will be impacted, but if you teach fishing instead of giving a fish, more people will benefit from it”. Therefore in Singapore, Fuji Xerox decided to use a program that Helene called the 1:1 Ignite Agency Program, which means that they can select an agency and have them go through a six month certification process of delivery while teaching them how to do 1:1

Fuji Xerox is using this approach in multiple countries right now such as Singapore, Thailand, Korea and Australia. It‟s allowing them to offer their service in Asia Pacific, regardless of where the client is based or what campaign the company has in mind. The team can work together and complement each another, or work independently, depending on the campaign. Helene‟s 1:1 Experience Service adapts strategies according to markets‟ needs and can be summarized in a few steps:  In the beginning of each campaign, the team will work with companies to extract accurate usable data to allow the relevant and intelligent shaping of content, achieved by giving e a c h i n d i v i d u a l i t s o wn custom ized c omm unication piece.  Thanks to digital technology it is then possible to speak to each person in a database on an individual level - presenting them with specific selling propositions supported by specific imagery, copy and dynamics - all irrespective of channel, be that the W eb, email, print or oth er wis e - g uar an t ee in g relevance.  Campaign management analytics will monitor and track the progress of each interaction i n r e a l - t i m e a n d en a b l e companies to respond immediately to their customers. The service includes interim and final reports, as well as a complete analysis of the results, allowing marketers to determine true ROI. According to Fuji Xerox, the application of advanced technology

to a communication strategy represents a powerful new tool to those enterprises that embrace it and the company has proven its effectiveness with the establishment of over 20 unique 1:1 Labs around the world. “The 1:1 Experience Service has successfully enabled corporations to communicate more relevantly and effectively to each of their customers and we are proud to say that our lab tests showed significant increases in customer reach, response rates, sales, profit, and retention”, Helene states. “We have been the market leaders for 60 years and we have to continue leading and stay ahead of the competition, which means having a strategy of understanding the market and providing all the services and programs that the market is able to constantly absorb. Bringing new technology to the market and helping to change and evolve the world is our go to market strategy.” Expect more on Fuji Xerox 1:1 Ex perienc e Service in the upcoming issue of Asian eMarketing, when we will present an integrated cross-media campaign and case study in detail. ♦ By Daniela La Marca

COMPANIES & CAMPAIGNS

Breathing and Embracing Innovations Asian e-Marketing interviewed Mr. Sandeep Casi, Founder and CEO of Cinemacraft, in June, during BroadcastAsia, who envisions transforming any mobile device into a television. In fact, his company‟s patented compression and format server technologies (Prime Streaming Format), combined with its HTML compliant player, provides a single solution that can be used to stream to any mobile device on any network. Through this, consumers can experience both live and on-demand video with superior clarity and quality on mobile devices. As the demand for mobile TV and IPTV grows the chance of success is enormous, especially since mobile consumers are demanding video intensive applications from the marketplace and telcos and content publishers meanwhile are facing issues in supporting bandwidth intensive content in a wide variety of formats (e.g., Real Video, QuickTime, and Windows Media Player) on diverse handsets. Cinemacraft Technologies enables the use of a single format for all devices on all networks, as their solution can be used to stream to any mobile device over 2G or 2.5G (30 to 60 kpbs), 3G (100 to 250 kbps), 4G (300 kbps) and Wi-Fi or Broadband (400 to 1,000 kpbs), supporting currently over 70 2G/2.5G mobile devices and over 200 3G mobile devices including Apple (iPhone and iPad), Android, Windows and Blackberry devices. Who is the man behind the business venture and innovations? Sandeep, originally from India, left when he was 17 for education in the US. Somehow, at the age of 20, he started his career at General Motors (GM) in Detroit as a Systems Engineer and became part of a pioneering team that developed Virtual Reality technologies for automotive design and automotive crash analysis. It was at GM where he started to focus on what was later called “motion capture”. “Interestingly, I had never envisioned that motion capture would end up being used in Hollywood and out of the blue I got a call from

George Lucas”, he said, and he started to work for Industrial Light & Magic soon after. “This was in 1993 and the Web was not so advanced at that point in time, Yahoo! was just beginning to surface, there was AltaVista or Excite, and you couldn't find much information. George Lucas‟ company didn't even have a website then, but was basically innovating the next media generation. For me it was simply a nobrainer to quit GM and join them as a motion capture programmer”, he said. Then he became chief architect for Sekani (acquired by Corbis Images), before joining the Xerox Palo Alto Research Center in Silicon Valley as a Research Scientist. Sandeep holds two patents in the area of digital media, five research awards from the Xerox Palo Alto Research Center, and an award for innovation from General Motors. He is also the co-founder of TiE Japan and an angel investor focused on media technologies. “By the time I left George Lucas, I had become the head of systems programming, which was just after Star Wars Episode I. I had experienced the corporate life and the motion picture side, but wanted to do broadcasting. So, I was searching and found a consulting job with BBC and CNN, trying to understand how broadcasting works. After that I came back and joined Xerox Palo Alto Research Center in Silicon Valley as a Research Scientist, where I earned patents in mobile media. One of the patents was very interesting for the Japan market, as it was the only

COMPANIES & CAMPAIGNS

market back in 2003 that had an advanced mobile industry. So I got shipped to Japan and worked there with Fuji Film and Fuji Xerox till 2007, but figured it was time for me to step out and do something on my own, after 17 years in the corporate life”, Sandeep told me. After all his years in Asia, Sandeep decided to stay full-time in Tokyo and joined a boutique venture capital firm. “I did that intentionally so that I could understand how businesses work in Asia”, he said, as in this way he would basically be using somebody else‟s dime to figure out what he wanted to do and to figure out how the whole system in Asia works. “I was doing targeted insertions into India, went into China, talked to entrepreneurs and business leaders to learn and understand these m ark ets”, Sandeep explained. Then in 2010, when the mobile explosion really started to reach the mass, he decided that it would be the right time to step up and do something on his own. By that time he had already invested in a few companies and one of these companies was Cinemacraft. So Cinemacraft is a product that has been around for 11 years by a company called Custom Technologies, a leader in Blu-ray and DVD encoding. Actually, anytime you watch a DVD the encoding is done by a Cinemacraft product. All studios, all postproduction studios, movie studios around the world use them today. Sandeep‟s idea was to extend that product to mobile devices, noting “What we have done is to disrupt the business model that we have today, which is the box model, by bringing the product to market and starting the services side”. His company made this move very silently taking a step by step approach launching its service first

in Japan and then in India and Indonesia this fall. Two of Cinemacraft‟s investors are major Bollywood studio founders, which guarantees the company will have Bollywood movies and Japanese anime as well as manga in their product market, which means that Cinemacraft need not have to go anywhere else as they could just monetize these alone and be very busy and successful for a long time. How does the technology work? Sandeep explained that most of the technology exhibited at BroadcastAsia2011 uses what is c a l l e d d i s c r et e c o - ef f ic i e n t transformation, which means a television, which is broken down into 4 x 4 pixels, gets encoded and then decoded by big set top boxes. Mobile devices, however, don‟t really have that much processing power, so thanks to Cinemacraft‟s patents, the company is not only able to deliver to feature points but also to smart cards. “What we have done is to come up with our own interesting algorithm called Feature Extraction Compression that takes into consideration that usually a lot isn‟t moving, so that we take one frame and whatever is not moving is kept in the frame from the past, while only the difference of the pixels will be taken”, Sandeep described their fantastic solution for a mobile device. By sending only the difference, a video at 30 kilobytes per second can be developed, which is right now not possible with the current technologies such as Microsoft‟s Media Player, Apple‟s Quick Time or others. “Looking at SingTel here or even AT&T in the US, we realized that they all promise a 3G network but are barely providing 2.5G, so even in advanced markets our compression can actually benefit the consumer”, Sandeep commented.

The second technology Cinemacraft uses is called adaptive streaming, which is a process that adjusts the quality of a video based on changing network conditions to ensure the best possible viewer experience. Internet connection speeds vary widely, and the speed of each type of connection also varies depending on a wide variety of conditions, so you can imagine that streaming to a mobile device is not as easy as streaming to a connected device. To guarantee a good experience when watching m ovies on m obile phones, Cinemacraft started to reduce the image while keeping the streaming of audio constant, which only needs 8 Kb. “If you are watching sports, you will forgive if the video once in a while goes down, but the audio stays constant. However, if the audio and the video collapses as well, that‟s when the consumer gets really, really angry,” Sandeep states, adding that these are two technologies they deploying and that he isn't willing to disclose more at the moment. His company is looking at different ways of media consumption, taking into consideration his statement that he doesn't think devices like these are made for passive watching and should be used like a television but interacting with the media. “We have certain patterns and certain things that we are trying to do which are very lucrative for us in three to four months time”, he predicted. Indeed, we shouldn't lose track of the fact that Cinemacraft is not just a technology company but a media company as well: it‟s a merger of technology and liberal arts in many ways and a kind of cross section of both. It‟s in the DNA of the company and that‟s how Sandeep sees it, saying: “My DNA is that working at Lucasfilms never makes you an engineer, but actually a storyteller. So, I am in fact mixing story telling with technology and that gives us a unique leg up in the market.

COMPANIES & CAMPAIGNS

We want to do streaming where we think the technology is just a commodity. If tomorrow something better might come along, I would be the first one to license it.â&#x20AC;?

So far, his companyâ&#x20AC;&#x;s patent pending encoding/decoding and streaming technology combined with their Media Cloud (Content Management, Rights Management, Stream Managem ent, and Interactive Media Management) still offers unequalled opportunities.

It provides an end to end interactive media broadcast cloud for content publishers, game publishers, and enterprises to monetize their media assets and I guess we will hear more in the future from this innovative company and its driven leader. â&#x2122;Ś By Daniela La Marca

COMPANIES & CAMPAIGNS

CMO Council’s Official Journal PeerSphere Launched in Print and Digital Media Formats The Chief Marketing Officer (CMO) Council announced the launch of its official journal PeerSphere in the fourth quarter of 2011. The multi-channel, multi-format publishing initiative intends to deliver an in-depth and engaging peer-driven quarterly print journal and companion digital formats for web, mobile, tablets, like the iPad, and mail delivery to members and subscribers worldwide. Making the announcement at the annual GRAPH EXPO show, the CMO Council said it would use crossmedia content development and print customization technology from Quark and Ricoh to develop the print and digital publications, as well as create more localized versions that will increase audience relevance, interaction, and interest in North America, Europe, the Middle East, Africa, Asia, and Latin America.

and archive of CMO interviews, contributed articles, regional views and perspectives, case studies, award submissions, and best practice insights, as well as facts and stats. It will primarily showcase insights, best practices, and commentary from CMO Council members, experts, and academics, reaching a highly qualified audience of senior client-side marketing executives who have corporate, division, product line, or geographic marketing responsibility. “PeerSphere will include pithy, pointed, and thoughtprovoking content,” noted Donovan Neale-May, Executive Director of the CMO Council. “We will rely heavily on peer-based perspectives, profile stories, and best practices. We will seek to inspire, enlighten, and engage with global insights and innovations from a cross-cultural, cross-border marketing world.” Regular content and features will include:

With a database of more than 60,000 marketers and some 2,000 content syndication partners, the CMO Council plans to combine the power, pull, and punch of print and digital publishing to further its global knowledge transfer mandate. PeerSphere will be a high-quality, 40-page print journal with a companion digital magazine aimed at computer, tablet, eReader, and smartphone users. This will leverage the CMO Council‟s extensive content engine

   

PunchLine - Opinion editorial from CMO Council Executive Director Guest Gab - Commentaries from subject matter experts and academics Get to Know a CMO - Q&A with global marketing leaders in both BtoB and BtoC markets Insights + Intelligence - Research, analytics, and trend data from information service providers, futurists, and social media monitoring firms

COMPANIES & CAMPAIGNS

  

 

Report Round-Up - Highlights from new CMO Council studies and thought leadership initiatives Localize to Globalize - Case studies and contributions from regional advisory board members Extracts + Abstracts - Content selections from new book releases, white papers, and strategic briefs provided by authors, consultants, and academics Situation Central - Lessons learned from CMOs facing real-world marketing issues, obstacles, crises, and brand recoveries Innovation from Automation - Where and how technology is impacting customer experience, engagement, acquisition, retention, revenue optimization, and marketing operations Hit + Miss - Winners and losers in new product introductions and line extensions in both BtoB and BtoC sectors Digital Discourse - Roundtable discussions, views, and opinions from members of the Digital Marketing Performance Institute

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TalentTalk - Performance management pointers and perspectives around how to achieve “more gain and less strain” in staff/agency relationships Campaign Corner - Spotlight on award-winning campaigns that integrate multi-channel components and evidence tangible business value creation

CMO Council members include marketing leaders in both BtoB and BtoC markets across all industry sectors. The 6,000 members control an estimated $200 billion in marketing spend annually and are located in more than 110 countries. They are heavily involved in marketing planning and procurement, marketing mix allocation, technology acquisition, media buying, talent development, resource recruitment, and agency selection. The digital version will be offered on a subscription basis to global marketers, as well as marketing associations, institutes, universities/business schools, training centers, libraries, agencies, consultants, and solution providers. For more information: http://www.cmocouncil.org/peer-sphere.php ♦

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BUZZWORD

RFM (Recency, Frequency, Monetary Value) RFM is a method used for analyzing customer behavior and defining market segments and stands for:   

Recency - How recently has a customer purchased? Frequency - How often does he purchase? Monetary Value - How much does she spend?

It is commonly used in database marketing and direct marketing and has received particular attention in retail. To create a RFM analysis, categories for each attribute have to be created - for instance, the Recency attribute might be broken into three categories: customers with purchases within the last 90 days; between 91 and 365 days; and longer than 365 days. Once each of the attributes has appropriate categories defined, segments are created from the intersection of the values. If there were three categories for each attribute, then the resulting matrix would have twenty-seven possible combinations (one well-known commercial approach uses five bins per attribute, which yields 125 segments). Companies may also decide to collapse certain subsegments, if the gradations appear too small to be useful. The resulting segments can be ordered from most valuable (highest recency, frequency, and value) to least valuable (lowest recency, frequency, and value). Identifying the most valuable RFM segments can capitalize on chance relationships in the data used for this analysis. For this reason, it is highly recommended that another set of data be used to validate the results of the RFM segmentation process. Advocates of this technique point out that it has the virtue of simplicity: no specialized statistical software is required, and the results are readily understood by business people. In the absence of other targeting techniques, it can provide a lift in response rates for promotions. Critics take issue on several points:  First, the method is descriptive only and does not provide a mechanism to forecast behavior as a predictive model might. 

Second, when used to target customers for promotion, it assumes that customers are likely to continue behaving in the same manner and does not take into account the impact of life stage or life cycle transitions on likelihood of response.



Finally, when used as the primary targeting method, it may lead to over-marketing to the most attractive RFM segments and to neglect those that would be profitable if developed properly.

Handshaking Handshaking is a technique of communication between two entities that makes it possible to connect relatively heterogeneous systems or equipment over a communication channel without the need for human intervention to set parameters. One classic example of handshaking is that of modems, which typically negotiate communication parameters for a brief period when a connection is first established, and thereafter use those parameters to provide optimal information transfer over the channel as a function of its quality and capacity. The "squealing" (which is actually a sound that changes in pitch 100 times every second) noises made by some modems with speaker output immediately after a connection is established are in fact the sounds of modems at both ends engaging in a handshaking procedure; once the procedure is completed, the speaker might be silenced, depending on the settings of the operating system or the application controlling the modem. In information technology, telecommunications, and related fields, handshaking can be used to negotiate parameters that are acceptable to equipment and systems at both ends of the communication channel, including, but not limited to, information transfer rate, coding alphabet, parity, interrupt procedure, and other protocol or hardware features. When a computer is about to communicate with another device like a modem, printer, or network server, it simply needs a handshake first before establishing a connection and starting the communication. ♦

APPOINTMENTS

Eddie Chau has been elected Chairman of the Singapore infocomm Technology Federation (SiTF) at its recent Annual General Meeting, after having served on the Council as a Vice Chairman and in various other capacities over the past few years. With the benefit of his long engagement with the association, he comes into the new role with a very clear idea of where he wants to take the organisation, and will certainly contribute his virtues of “passion, perseverance and integrity” to Singapore‟s ICT industry. ♦

Eddie Chau Media Asia Group Holdings Limited appointed Mr. Jun Tang as Chief Executive Officer and welcomed him to Media Asia's Board of Directors. Mr. Tang brings over 28 years of experience in the global film and entertainment industry to Media Asia. As chief executive, he will oversee all aspects of the company's operations on a worldwide basis and will drive the company‟s business growth and develop strategic expansion plans, forge stronger business partnerships across borders and create synergies across all of Media Asia's divisions, including film, television, music, live entertainment, talent management and new media. Prior to joining Media Asia, Mr. Tang was Group Senior Vice President and Chief Executive Officer of Shanda Tiandi Ltd., a wholly-owned subsidiary of Shanda Interactive Entertainment Limited, which focuses on developing next generation interactive entertainment and life experience and products. In 1994, he joined Capital Cities/ABC, Inc. and was promoted to Vice President, China Operations two years later. Capital Cities/ABC later merged with The Walt Disney Company in 1996, where he served in a number of roles, helping reshape the company's overall China plan and strategy. He served at Disney until 2010, mainly in the role of Corporate Senior Vice President – China Affairs. Mr. Tang holds a Bachelor of Arts degree from the Institute of International Relations in Beijing, China. ♦

Mr. Tang Jun

The Interactive Advertising Bureau Southeast Asia (IAB SE) Singapore Chapter announced the appointment of Ranji David as its new Executive Director. With a 12-year track record across Marketing Communications within the digital space, Ranji will drive IAB‟s initiatives including Education and Training, Standards and Guidelines, Research, Events and Industry Outreach. Ranji‟s appointment is a pivotal step towards strengthening IAB‟s role in Singapore‟s rapidly growing digital industry. The Executive Director‟s role will be largely focused on providing current IAB members with greater support and visibility. In addition to working more closely with the advertising community, there are plans to increase the number of IAB networking events and provide much needed digital training courses. ♦ Ranji David

APPOINTMENTS

Travelocity, the world leader in travel marketing and distribution, has appointed Andrew Cox as Director of Partner Marketing, Asia Pacific. Andrew brings with him over 18 years of experience in the travel industry and will be a key addition to the dynamic leadership team at Travelocity and ZUJI Asia Pacific. Being part of the Global Partner Services (GPS) team in the region, he will drive partner developments across all Travelocity brands with a specific focus on ZUJI Asia Pacific. Hotels are a significant driver of ZUJI‟s growth, especially for packages which make up strong double-digit year-on-year increases. Andrew‟s new role will see him working closely with the team to drive greater growth in these segments, continue to expand on innovative distribution channels and widen partner relations. Andrew Cox

Andrew joins from Harvey‟s Choice Holidays where he led new business development, marketing and product acquisition. Prior to that, he held senior roles at Destinations of the World and Orbitz Worldwide. ♦

Luke Nathans, managing director of experiential for iris Asia Pacific has been appointed to the newly created role of regional development director, following a period of sustained growth for the agency in Asia Pacific. He will be based in Singapore and will report into Joint Global CEO Ian Millner. Nathans will be responsible for expanding relationships with iris‟ regional clients and is also tasked with broadening iris‟ client base and offer in the region through the development of new products and IP. Most recently, the agency launched its social media content division Urgent Genius, which will see it host a workshop at creative awards festival Spikes Asia this month. Nathans brings over 15 years of experience to the role and was recently appointed to the global board of the Experiential Marketing Forum (EMF). Prior to joining iris in 2009 as managing director of its Asia Pacific experiential arm, he worked for agencies including Ogilvy & Mather, OgilvyOne, Belgiovane Williams Mackay, G2, The One Centre and TBWA Tequila UK.

Luke Nathans

Nathans role is a key appointment for the agency as it targets further growth opportunities in the region in countries such as Indonesia, Malaysia and the Philippines. ♦

Mediabrands announced the appointment of Quentin George to the position of Chief Innovations Officer, where he will oversee the growth and development of the group‟s intelligence capabilities including the physical and virtual labs and MAGNAGLOBAL. The expanded role from George‟s previously held position, Chief Digital Officer, addresses growing client and partner demands that require greater accountability, efficiencies and new tools to satisfy marketers‟ business objectives. Quentin will report to Matt Seiler, Global CEO, Mediabrands. ♦

Quentin George

APPOINTMENTS

Mediabrands announced the appointment of Dr. Hagen Wenzek as the company‟s Chief Technology Officer. In this role, Hagen will lead the company‟s charge in product infrastructure development, aligning technology and creativity. This arrangement aims to bring technological thought leadership into the world of advertising and marketing. Hagen reports directly to Mediabrands CEO Matt Seiler. In this critical role, Hagen will work closely with each of the Mediabrands‟ agencies to harness the company‟s technological offerings as well as bringing in tools and services that will differentiate the company as technology focused advocates of innovation in the industry. With extensive international experience, Hagen will enhance the company‟s efficiencies and improve Mediabrands‟ ability to address the needs of clients in each of the three clusters: North America, the “G14” and the World Markets. Dr. Hagen Wenzek

A native of Germany, Hagen has more than 15 years of experience in strategy development and consulting. He has written and edited numerous books and papers, and presented at conferences in both the U.S. and Europe. Hagen comes to Mediabrands following an extensive tenure at IBM, most recently serving as a leader in its Global Technology Services division. There, he managed the portfolio strategy of IBM‟s global outsourcing business and was a trusted advisor to senior management and IBM clients on electronics, IT, healthcare, media, and telecommunications industries in both mature and emerging markets. From 2006 to 2010, as a member of IBM‟s Corporate Strategy division, Hagen developed major corporate growth initiatives within the areas of energy and environment, mobility, and cloud computing. ♦

Epsilon, a leading multichannel marketing services firm, announced that Senior Vice President, Asia Pacific, Dominic Powers has taken the dual role of Senior Vice President, Asia Pacific and Managing Director, International Operations, overseeing Epsilon‟s operations in the Europe (EMEA) and Asia Pacific (APAC) regions. In this new role, Dominic will be leading both regions to continue to expand the breadth and depth of Epsilon‟s services in support of global and local brands. He will also focus on building these relationships and developing solutions through strategic data analytics, integrating marketing execution across touch points to increase clients‟ capability in delivering personalized, positive customer experience and growing customer loyalty. Currently based in Hong Kong, Dominic will continue to report to Michael Lavoie, who has managed Epsilon‟s EMEA operations over the last 12 months while co-managing his global leadership in client services. Dominic Powers A graduate of Modern Chinese from the University of Leeds in the UK and Tianjin Normal University in China, Dominic has lived, studied, and worked in various locations across Asia Pacific since 1995. He is currently a Board Member of the Hong Kong Direct Marketing Association (HKDMA), and the Asia Digital Marketing Association (ADMA). He is also a regular presenter and commentator on data-driven marketing and privacy issues throughout the region. ♦

APPOINTMENTS

Independent marketing agency iris has appointed Andy Gould as Group Account Director, overseeing clients including Audi, Heineken, DKNY Jeans, Emirates Airlines and Tiger Beer. Gould joins from LightBlue, Dubai where he was business director. He will report into iris Singapore's managing director Craig Mapleston. Gould will also lead the agency‟s experiential business, which saw iris pick up four PMAA awards for Heineken last month. At LightBlue, Gould created „brand adventures‟ for clients such as Diageo, Sony PlayStation, and Nivea, using retail, promotions, sponsorship and events.

Andy Gould

Gould‟s key achievements include winning the pitch for the launch of Johnnie Walker Double Black, as well as creating a world first at Dubai airport, incorporating real-life sampling and augmented reality mentoring. He also created the „Yaris..Y Not?‟ platform comprising a series of unique consumer engagements for Toyota, and while working for agency Face2Face, prior to LightBlue, he developed the „Keep it Real‟ music platform culminating in the „Gig on the Green‟ festival for Heineken, a first in the UAE. ♦

Omnicom Media Group (OMG), Malaysia has appointed Anirban Ganguly as their new Communications Planning Director. Working closely with Andreas Vogiatzakis, Managing Director, Omnicom Media Group, Malaysia and the senior leadership team, Anirban will focus on enhancing and strengthening the strategic planning orientation for both the brands of OMD and PHD. As strategic brand planning and trend consulting expert, Anirban has worked with brands like Motorola, HSBC, Danone, Sara Lee across different markets in Asia and won multiple marketing effectiveness awards. Anirban joins Omnicom Media Group from Lowe Worldwide & Lowe Counsel (Brand Consultancy) - Malaysia, where he assumed the post of Strategy Planning Director. Prior to Lowe, Anirban worked with Bitopi Leo Burnett & Starcom MediaVest Bangladesh as Group Brand Director, specializing in brand strategy and consumer insights. Anirban Ganguly‟s appointment is effective immediately and he will be based in Kuala Lumpur, reporting to Andreas Vogiatzakis. ♦

Anirban Ganguly

PayPal announced the appointment of Rupert Keeley as Senior Vice President for the Asia Pacific region. With more than 30 years of banking and payments experience, Keeley will manage PayPal's fastest-growing region and will be responsible for increasing the company's presence and capabilities across Asia Pacific. Keeley will report to Scott Thompson, president of PayPal, and will be based in the company's international headquarters in Singapore. Prior to joining PayPal, Keeley worked at Visa Inc. for 11 years, most recently as group executive and president of the Asia Pacific and CEMEA regions, and as a Section 16 Officer of the company. He also was Visa's president of the Asia Pacific region for nine years and served as Visa's global head of strategy and corporate development. Before joining Visa International in 1999, Keeley held a number of senior management positions with Standard Chartered plc. based in London, Singapore and the Middle East.

Rupert Keeley

Keeley holds a MBA from the City University Business School in London and a B.Sc. (Hons) in Management Sciences from the University of Manchester, England. ♦

APPOINTMENTS

Mediabrands appointed Pat Lim as Managing Director of both UM and Initiative Singapore, taking the reins from Clinton Simpson, who lead both agencies for the past two years. Pat is a Singaporean with extensive experience across both Asia‟s media and creative landscape. Recognized as one of the media industry‟s best, she has received accolades including Person of the Year at the 2008 Singapore Media Awards. She has also been very active in the local media industry, having previously served as Chairperson of ABC Singapore and a member of the 4As Media and Research Committee.

Pat Lim

With an illustrious 20 year career in the industry, Pat has seen a major revolution in media, where media planning has become as important as the creative product. Over her career, Pat has not only established a strong network and reputation amongst media owners, but has also served as an inspiring mentor to colleagues and clients. Pat was most recently co-founder of Briq Communications, a full-service media agency in Singapore. Prior to Briq, Pat served as General Manager and Managing Director at PHD from 2005 to 2010. At PHD, Pat was responsible for overseeing the agency‟s Singapore team, which she transformed into an award winning agency that ranked amongst the top ten agencies in Singapore. ♦

Jeremy Makin joins Alcatel-Lucent‟s Optism™ international team of mobile advertising experts as Head of Media Sales and Strategy international team. In his new role, Jeremy will forge alliances between service providers, Alcatel -Lucent and the media and advertising communities. He will also be responsible for increasing the scale and effectiveness of Optism™ sales and sales partnerships across the current footprint, as well as driving the future sales strategy. Jeremy has 20 years of experience in the media marketing space - having worked in the newspaper and magazine industries, before he discovered the wonders of digital in 1999, joining The Economist to launch its online business. After eight and a half years with The Economist, Jeremy left in 2007 for Vodafone, to work on the commercial launch and subsequent rampup of Vodafone‟s Mobile Marketing Division as Head of International Sales and Business Development. Prior to joining Alcatel-Lucent‟s Optism™ team, Jeremy also ran a mobile marketing consultancy, Catch 33. ♦

Jeremy Makin

ZUJI, the region‟s leading online travel agency, appointed Text 100 Singapore to manage its regional corporate communications programme across Asia Pacific. With immediate effect, Text 100 will perform the hub function for ZUJI to help manage regional media relationships in the region. The win is an example of Text 100 Singapore continuing to grow its business beyond the technology space, picking up new clients from automotive, sports and NGO sectors in the past year. ♦

APPOINTMENTS

The Mobile Marketing Association (MMA) named John Bianchi as Communications Director for the organization. The public relations professional, with more than 20 years extensive experience in media and membership-based organizations, will report directly to MMA CEO Greg Stuart. Bianchi is charged with creating and executing an overall global communications strategy for the organization, and leading public relations efforts for North America, working in conjunction with North American Managing Director Michael Becker. Bianchi comes to the MMA from Goodman Media, one of the top boutique PR firms in New York. While there, he worked with a diverse group of clients, including Carat; The Weather Channel; The Associated Press; Sony; and many others.

John Bianchi

Bianchi began his career in 1987 in television news, working in the media relations departments of NBC News, CNN and CBS News. He has also created and conducted extensive internal communications plans for several non-profit advocacy groups with large memberships. Bianchi is based in New York and has started his duties already.♦

Ten companies in Asia were recognized for their outstanding corporate social responsibility initiatives, world-class products, programs and services at the 3rd Annual Global CSR Awards 2011 held in conjunction with The Global CSR 2011 Summit last 11 August 2011 in Cebu, Philippines. Organized by The Pinnacle Group International, the annual Global CSR Award is Asia's most prestigious recognition awards program for Corporate Social Responsibility. The Global CSR Summit & Awards 2011 was well-attended and attracted over 130 delegates from around Asia Pacific region including top corporations and foundations such as Aboitiz Power, Aboitiz Equity Ventures, Energycorp Global, InterfaceFlor Asia, Indika Energy, Procter & Gamble, San Roque Power Corporation, Villar Foundation, World Vision, Globe, Team Energy, Petron, GE, L'Oreal and YTL. ♦

The 3rd Customer Loyalty Asia Program & CRM Summit, organised by Neoedge, in partnership with LoyaltyOne and Colloquy, will take place on 26-29 September at the New World Hotel Saigon, Ho Chi Minh City, Vietnam. It is the largest gathering of Loyalty & CRM experts from various industries and this third instalment is dedicated to the emerging markets. Aside from meeting high-level practitioners in the event, learning best practices and the exploration of global brands in the emerging markets, delegates will be equipped with up to date loyalty programs and CRM platforms. This year‟s Silver Sponsor, LoyaltyOne, will not only present their latest loyalty programs, but go beyond by holding a Pre-Conference Workshop on 26 September, entitled, “Tapping the Loyalty Vein: Blueprinting, Implementing and Measuring a Solid Customer Relationship Strategy”, led by the experienced loyalty expert, Sol Zia, Senior Director at LoyaltyOne and Contributing Editor at Colloquy. This interactive workshop aims to explore and discuss the development of loyalty understanding, building of mutually beneficial relationships through program preparation and real case studies that will lead to the learning of return on investment metrics for businesses. ♦

Aktiv Digital has been appointed by RockYou®, a leading social gaming company, as its exclusive APAC sales partner. The partnership will help extend RockYou’s social advertising platform to leading advertisers in one of the fastest growing digital markets in the world. Through the Rock You platform, Aktiv will be offering targeted IAB display advertising and interactive video products across games on the world‟s leading social entertainment destination. RockYou is one of the world‟s top 25 Facebook app developers, based on the latest MAU stats from appdata.com. With more than 300 million hours of game play and 8.5 billion display impressions every month, RockYou’s award winning ad platform offers one of the highest value per engagement in the social media business. ♦

APPOINTMENTS

Palo Alto Networks, the network security company, has announced that Dell SecureWorks, Solutionary, Symantec and Verizon are now providing managed security services for the rapidly expanding, global footprint of Palo Alto Networks next-generation firewall customers. Palo Alto Networks substantially reduces the time and effort required for the initial creation of services and integration with existing system and service management platforms. Palo Alto Networks provides its partners with a powerful collection of tools and mechanisms that support these service providers across the full spectrum of potential offerings from relatively low impact monitoring and reporting to comprehensive management of an enterprise's existing network security devices and turnkey arrangements that entail full ownership and responsibility from initial deployment and provisioning onward. Specific examples of these tools and mechanisms include a powerful XML API for management purposes; custom logging capabilities; a reference implementation for a customer portal; and robust provisioning capabilities.♦

Leading communications company Grey Group Asia Pacific announced that its second Eye on Global Asians seminar at the Spikes Asia 2011 Advertising Festival will feature celebrity chef, restauranteur, author and TV presenter Bobby Chinn. The session follows last year‟s well-received seminar with internationally acclaimed magician Cyril Takayama. Following on Grey Group Asia Pacific‟s highly anticipated annual Eye on Asia study, the agency aims to get up close and personal with successful and creative global Asians in its Eye on Global Asians seminars to uncover what drives their passion, their influences and motivations, the trigger points that inspire creativity in them, as well as their winning strategies and how they have successfully branded themselves on the international stage. At the regional advertising festival, Grey Group Asia Pacific‟s Chairman and CEO, Nirvik Singh, will discuss with Chinn about his road to global culinary success and draw parallels to both the creative and communications industry. ♦

The Mobile Marketing Association (MMA) announced that its China Local Council will be co-chaired by Yanping Hu, Founder and President of DCCI, and Tony Chen, Managing Director of Interaction, GroupM China. As Co-Chairs, they will guide and oversee the China Local Council and its industry initiatives. The two were elected at the first China Local Council membership meeting in Shanghai on 30 August 2011. Representatives of forty leading organizations in the mobile marketing industry attended the meeting. These included Aegis Media, Coca-Cola, DCCI, Google, GroupM, Madhouse, InMobi, OMG, Renren, SOHU, Unilever, VivaKi and Yum. The elected Co-Chairs will also be a part of the MMA Regional Leadership Committee, the collaborating body across the Asia Pacific region. They will work closely with the MMA‟s Regional Board of Directors to determine the organization‟s strategy and priorities. The China Local Council was launched in April 2011 to serve the growing needs of the mobile marketing community in the country. By working closely with service carriers, application developers, brands, agencies and other important partners, the MMA China Local Council aims to build a sustainable ecosystem for the mobile marketing industry in China and to be the leading association for nation-wide consultation on key industry issues including measurement and metrics, mobile advertising guidelines, codes of conduct and consumer best practices. ♦

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