Digital Technology: The Organizational Quandary, Qubit and Forrester research

Qubit commissioned a Forrester Consulting survey to find out the issues marketers face with digital marketing technology

What did we learn?

The Organizational Quandary

Executives support digital marketing technology

1.

Base: 185 digital marketing decision-makers from the US and the UKSource: A commissioned study conducted by Forrester Consulting on behalf of Qubit, August 2013

“Do you have a marketing technology strategy in place today?”

Yes84%

“Do you agree with the following statements regarding you marketing technology strategy?”

Senior manager supports it

It is well defined

Successfully implementing it is key to delivering on revenue growth targets

It is tightly aligned with business and corporate strategies

It is tightly aligned with my IT strategy

91%

88%

86%

84%

81%

Having no marketing technology strategy affects business

2.

“Do you have a marketing technology strategy in place today?”

No16%

“Given that you do not have a marketing technology strategy in place today, do you agree with the following statements?”

It will negatively affect my firm’s ability to deliver on its revenue growth targets

It’s why my digital marketing technology is poorly integrated

It’s why my digital marketing technology is not clearly measured against the revenue it generates

It’s why my digital marketing technology does not support an end-to-end digital marketing workflow

It’s why my digital marketing technology is a joint cross- channel interaction with my customers

90%

87%

63%

60%

53%


Companies believe their digital marketing is integrated

3.


“Do you feel that your existing digital marketing technology is...”

Integrated; it supports end-to-end marketing workflows and multichannel campaign execution, which contribute to a unified customer experience across all digital channels

Somewhat integrated; it supports end-to-end marketing workflows and multichannel campaign execution but has gaps that affect its ability to deliver a unified customer experience across all digital channels

Channel-focused; it lacks a full end-to-end marketing workflow, which significantly affects my organisation’s ability to deliver a unified customer experience across all digital channels

43%

44%

13%

Breakdown of marketers with integrated digital marketing technology

By geography

US

UK

By company size

$10m - $99m

$100m - $499m

$500m - $999m

Over $1 billion

39%

50%

By vertical

Retail

Wholesaletrade

Travel, mediautilities

39%

50%

29%

12%

49%

44%

61%

But the majority have existing digital marketing technology that lacks full integration

4.


“Which statement best reflects the state of your existing digital marketing technology?”

We use all of our digital marketing technology to its maximum capacity

We use all of our digital marketing technology, but don’t use (or underuse) some features and functionality

A small proportion of the marketing technology we invested in is “shelfware”

A significant proportion of the marketing technology we invested in is “shelfware”

44%

35%

12%

9%

When marketing technology does not work, business costs increase and revenues suffer

5.


“What are the three biggest negative impacts to your business of your marketing technology not working for you?”

Increased cost of customer acquisition

Reduced new sales revenue

Reduced customer lifetime value

Decreased renewals

Increased marketing effort and costs

Increased customer churn

51%

52%

43%

40%

32%

30%

Ecommerce and marketing own digital marketing technology

6.


“Which department controlled, controls, and will control the majority of your marketing technology budget?”

“Which department has been, is, and will be mostly managing the implementation and execution of your marketing technology?”

IT

Marketing

eCommerce

Operations

Other

Last financial year Current financial year Next financial year

IT

Marketing

eCommerce

Operations

Other

Last financial year Current financial year Next financial year

32%

30%

15%

16%

11%

16%

42%

41%

49%

56%

36%

56%

16%

22%

30%

24%

48%

24%

9%

7%

6%

3%

6%

3%

1%

0%

1%

1%

0%

0%

Digital marketing toolkit expands to include optimization

7.


What are your firm’s plans to adopt the following digital marketing technologies?

Ad serving

Paid search

SEO

Web analytics

Mobile website

Product recommendations

Behavioral targeting

Bid management

Personalization platform

Multivariate testing

A/B testing

Audience acquisition

Measurement

Optimization

70%

64%

62%

56%

54%

54%

54%

48%

43%

43%

41%

Optimizing digital experience is currently a top priority

8.


“Which of the following digital marketing strategies will be your two most important strategies this year?”

Optimize the digital customer experience

Deliver a consistent and improved customer experience across all channels

Optimize marketing spending

Grow marketing spending

Achieve greater agility with our digital marketing campaigns

Improve the effectiveness of our digital marketing technology in generating revenue

50%

36%

36%

33%

24%

22%

Several factors interfere with effective marketing technology use

9.


“What are the top three factors preventing you from being more effective with your digital marketing technology?”

The structure of my organization’s marketing teams

Our marketing services partnerships aren’t always aligned with what we want to achieve with our digital marketing technology

We lack a well-defined and/or standard digital measurement strategy, so we don’t have a consistent view on the effectiveness of our digital marketing tools

We struggle to recruit and/or retain relevant digital marketing skill sets

Lack of budget is a significant constraining factor

Marketing workflows are poorly aligned with development cycles

Our technology does not work well together and/or is not integrated

Our digital marketing workflows are incomplete and/or ineffective

Our digital customer data does not work well together

We lack a customer data-driven culture

There are gaps in our digital marketing toolkit

41%

41%

32%

32%

32%

30%

24%

23%

19%

13%

12%

Building out mobile channel and integrating technology is in the top three priorities

10.


“What will your organization’s top three digital technology projects be in the year ahead?”

Build out our mobile channel (apps, mobile Web, etc.) capabilities

Integrate digital marketing technology

Build out social channel capabilities

Build out strategic digital marketing services partnerships

Rationalize existing digital marketing technology

Rationalize existing marketing services partnerships

Reorganize digital, marketing, and analytics teams to better support joined-up digital marketing

Integrate customer data

53%

46%

44%

43%

39%

31%

31%

13%

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Digital Technology: The Organizational Quandary, Qubit and Forrester research

Business

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