The Up Group's 2016 Digital Leaders Remuneration Guide

THEUPGROUP DIGITAL LEADERS REMUNERATION GUIDE 2016

Introduction The purpose of this report is to provide an up-to-date benchmark for digital executives’ financial compensation, across a range of functions, levels and company types.

In order to create it, we surveyed our network of digital leaders across Europe. We received over 800 responses, the majority of which were for UK-based executives. Respondent demographics are set out on pages 26-27, and our methodology is described on page 24. We have combined these responses with our own internal salary data.

It goes without saying that these findings are based on a limited dataset, and therefore caution should be exercised before drawing firm conclusions. However, the overarching trends outlined in this report are borne out by our day-to-day experiences of building outstanding teams for the world’s most innovative companies.

All remuneration values are displayed in GBP

Welcome to The Up Group’s third annual Digital Leaders Remuneration Guide We’re extremely grateful to everyone who took the time to complete the survey, and we’re delighted to share our findings with you. Thanks in particular to Augmentum Capital, Forward Partners, Northzone, Octopus Ventures and MMC Ventures, who promoted the survey to their networks.

If there’s anything in the report that you would like to discuss further, please do not hesitate to get in touch,

Clare Johnston & Robert Swerling Co-CEOs, The Up Group

Contents 1 1-3 4-5 6-7 8-9 10-11 12-13 14-15 16-17 18-19 20-21 22-23 24-25 26-27 28

Introduction 2016 Trends Ownership & Funding Founders CEOs General Management Technology Product Marketing Commercial HR eCommerce Finance Demographics About Us, Methodology

2016 TRENDS

ANNUAL INCREASE IN REMUNERATION TOTAL

BASE SALARY

BONUS

FROM SURVEY RESPONDENT DATA SECTORS WITH THE BIGGEST REMUNERATION % INCREASE

MEDIAN TOTAL REMUNERATION % CHANGE BY COMPANY OWNERSHIP PE

HOW LONG HAVE YOU BEEN IN YOUR CURRENT ROLE?

FUNCTIONS WITH THE BIGGEST REMUNERATION % INCREASE

% change shows difference between 2016 and 2015

VC

PRIVATE

HOW LONG DO YOU THINK YOU SHOULD STAY IN YOUR CURRENT ROLE?

PUBLIC

WHAT’S YOUR NEXT CHALLENGE?

WOMEN IN DIGITAL

GENDER PAY GAP FOR ALL SURVEY RESPONDENTS ON AVERAGE WOMEN EARN

MEN WOMEN

16.46%

LESS THAN MEN

MEDIAN % TOTAL REMUNERATION CHANGE SALARY

SALARY

BONUS

BONUS

MEDIAN TOTAL REMUNERATION BY AGE BASE

12:57

WOMEN TO MEN

BY RESPONDENTS

22-27 28-33 35-39 40-45 46-51 52+

BONUS

LISTED / PUBLIC This table outlines how compensation packages compare between public companies on the one hand, and VC- and PE- backed companies on the other.

For public companies, we have shown the value of executives’ annual equity, or equity-like compensation; with VC-backed businesses, we have shown the percentage of the company their options or equity

C-LEVEL Base

275,000

Bonus

125,000

Equity / Equity-like compensation

200,000

EVP / SVP / VP Base

200,000

for PE-backed businesses due to high

Bonus

90,000

variability.

Equity / Equity-like compensation

represents, assuming all options are fully vested. We haven’t included equity awards

70,000

The table also provides insight into the movement of survey respondents between

Senior Director / Director

the different types of organisation during the previous 12 months.

Base

150,000

Bonus

67,500

Equity / Equity-like compensation

40,000

Consulting firm

Previous Company

Not-for-profit / Government

VC-backed PE-backed Privately owned

Listed / Public

VC

PE

SMALL /MID CAP

MID/ LARGE CAP

A

B

C

D+

120,000

125,000

153,000

169,000

170,000

210,000

13,000

17,500

29,000

34,000

50,000

85,000

4%

2.50%

2.00%

1.70%

Base Base

100,000

110,000

130,000

138,000

135,000

153,000

Bonus

10,000

16,500

25,000

27,000

33,750

61,000

0.80%

0.70%

0.50%

0.40%

SERIES C-LEVEL Base

EVP / SVP / VP

Senior Director / Director Base

75,000

90,000

120,000

140,000

125,000

140,000

Bonus Bonus

5,000

14,000

22,000

24,000

31,250

42,000

0.50%

0.40%

0.30%

0.30%

Equity / Equity-like compensation

No previous company

Base Previous Company Bonus Equity / Equity-like compensation

Consulting ďŹ rm

Privately owned

PE-backed

VC-backed

VC-backed Listed / Public

Privately owned

PE-backed

Listed / Public

FOUNDER GENDER RATIO

SATISFACTION

W

Salar y

BEST REWARDED IN

MBA %

ADVERTISING MEDIA & CONTENT HARDWARE

MBA

Bonus

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC

C-Level

LOWER UPPER

PE

PREVIOUS FUNCTION BEFORE FOUNDING

General Product Management

Marketing

Finance

Strategy

We have broken out Founder as a separate category - and excluded Founder salary and bonus data from the following pages - because in most cases Founders' salary and equity are vastly different from other executives with similar job titles

Commercial Consulting

Legal

Data / Insight

Technology Operations

CEO GENDER RATIO

SATISFACTION

W

Salar y

BEST REWARDED IN

MBA %

ADVERTISING GAMING FMCG

MBA

Bonus

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC

LOWER UPPER

PE / Small-Mid

C-Level PE / Mid-Large

£200,000 £275,000 £300,000 £400,000

Listed/Public

PREVIOUS FUNCTIONVCBEFORE CEO PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director

General Marketing Commercial Strategy PE / Mid-Large Management Listed/Public

Product

Operations

Legal

eCommerce Consulting Technology Operations

GENERAL MANAGEMENT GENDER RATIO

SATISFACTION

W

Salar y

Bonus

BEST REWARDED IN

MBA %

GAMBLING FINANCIAL SERVICES LEISURE

MBA

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC

LOWER UPPER

PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

This category excludes CEOs as they are considered separately on pages 8 and 9 It includes the following job titles: COO, VP International, MD Europe

TECHNOLOGY GENDER RATIO

SATISFACTION

W

Salar y

Bonus

BEST REWARDED IN

MBA %

FINANCIAL SERVICES SOFTWARE MEDIA & CONTENT

MBA

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

PRODUCT GENDER RATIO

SATISFACTION

W

Salar y

BEST REWARDED IN

MBA %

MEDIA & CONTENT SOCIAL COMMUNICATIONS

MBA

Bonus

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

MARKETING GENDER RATIO

SATISFACTION

W

Salar y

Bonus

BEST REWARDED IN

MBA %

GAMBLING PROFESSIONAL SERVICES EDUCATION

MBA

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

COMMERCIAL GENDER RATIO

SATISFACTION

W

Salar y

BEST REWARDED IN

MBA %

ENERGY COMMERCE COMMUNICATIONS

MBA

Bonus

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

HR GENDER RATIO

SATISFACTION

W

Salar y

Bonus

BEST REWARDED IN

MBA %

ENERGY COMMUNICATIONS FINANCIAL SERVICES

MBA

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

ECOMMERCE GENDER RATIO

SATISFACTION

W

Salar y

Bonus

BEST REWARDED IN

MBA %

FMCG FINANCIAL SERVICES MEDIA & CONTENT

MBA

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP VC BONUS

PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

FINANCE GENDER RATIO

SATISFACTION

W

Salar y

Bonus

BEST REWARDED IN

MBA %

ADVERTISING GAMBLING FINANCIAL SERVICES

MBA

M EDUCATION

SIZE OF TEAM

TIME IN ROLE

AGE

TITLE

COMPANY OWNERSHIP BONUS

VC PE / Small-Mid

C-Level PE / Mid-Large Listed/Public

VC PE / Small-Mid

VP / EVP PE / Mid-Large Listed/Public

VC PE / Small-Mid

Director PE / Mid-Large Listed/Public

LOWER UPPER

WHAT’S YOUR GENDER?

SURVEY RESPOND

WHICH SECTOR DO YOU WORK IN?

WHAT’S YOUR CURRENT ROLE LEVEL?

WHAT’S YOUR HIGHEST LEVEL OF EDUCATION?

HOW LONG HAVE YOU BEEN AT YOUR CURRENT COMPANY?

HOW MANY COMPANIES HAVE YOU WORKED FOR IN YOUR PROFESSIONAL CAREER?

ENT DEMOGRAPHICS

Methodology The data for this report is drawn from two primary sources; an online survey carried out in July to September 2016, and internal salary records taken from candidates throughout 2016.

Currency All remuneration values are displayed in GBP. For non-UK respondent data, the following exchange rates for 1 GBP were used for comparison.

AED AUD CAD EUR CHF DKK NOK PLN SEK USD

5.56 2.17 2.03 1.37 1.49 10.0 12.5 5.74 12.5 1.51

We received 814 responses to the survey, which was emailed to c.10,000 of The Up Group’s network of senior digital executives, and distributed by partner organisations. 69% of respondents were UK-based, but we have also included non-UK respondent data in our findings.

The non-compensation data set out in this report was obtained purely through the survey. The compensation data is a blend of survey and internal data.

About Us Our business is driven by a global digital talent network unique in its quality, diversity and depth, and a profound understanding of the digital economy.

This enables us to place exceptional candidates into Board, C-, VP- and Director-level roles across geographies, sectors and functions and offer world-leading due diligence, talent-mapping and professional networking services.

We have a proud track record of building senior management teams for clients ranging from global tech giants and corporates undergoing digital transformation to established businesses looking to expand internationally and fast-growing tech stars. We have broad cross-functional expertise, spanning general management, product, marketing, technology, commercial, data, operations, finance, HR and strategy.

Based in London, Barcelona and New York, The Up Group serves clients and candidates across the world.

www.theupgroup.com