Study Digital Business Transformation Brief Information Frankfurt am Main, 23 September 2015

Study Profile

In June 2015 Dexperty, the digital experts at Messe Frankfurt, joined with the market researchers of INNOFACT AG to question a total of 613 marketing and IT decision-makers on the status of Digital Business Transformation in their companies. 18 questions were put to investigate the following subject areas: •  Central IT megatrends •  Digital Business Transformation – empirical figures from companies •  Digital Business Transformation in marketing •  Trade fair marketing goes digital

The results of the study were prepared in a 36-page report. They can be found in our blog http://connected.messefrankfurt.com/en/ and they are touched upon by way of example in the following slides.

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Objectives of the Study

The aim of the survey was to examine the understanding, practical relevance, development status and any hurdles in relation to Digital Business Transformation in German companies. Furthermore their effects on marketing and, in greater depth, the development of digital trade fair marketing were highlighted. In addition the research team wished to provide interested parties with ideas and benchmarks for the digital transformation of their companies.

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Digital Business Transformation – What is it?

Digital Business Transformation is seen by those surveyed primarily as the ditialisation of all conceivable corporate processes, but also as the development of new business models or the digitalisation of the customer interface. Despite the lack of a generally valid definition and elaborated characteristics the subject is dealt with on a higher level, it is interpreted as a question of business and not technology and is also seen as highly relevant for business success.

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Management Summary I

Digital Business Transformation is primarily seen as the digitalisation of all conceivable corporate processes, but also as the development of new business models. The subject of "Digital Business Transformation" has a very wide variety of starting points at operative locations in the company. The challenges as well as opportunities of Digital Business Transformation are identified. Purposeful digital strategies are already being developed and corresponding marketing budgets are being made available (also and in particular in the environment of trade fairs).

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Management Summary II

Digital Transformation awareness is more evident among IT decision-makers than among marketing decision-makers. Smaller companies (<2.5 million euros annual turnover) also see great significance for business success. Digital Transformation in the trading domain in particular occupies a comparatively conservative position (relevance, implementation).

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Extracts from the Study Report Digital Business Transformation

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IT megatrends and Digital Business Transformation

Security aspects are among the most important IT megatrends. Other trends:

•  Cloud Computing •  Mobile Trends •  Big Data

Lesser significance:

•  Collaboration •  Social Computing •  Computing Everywhere

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Understanding and relevance of "Digital Business Transformation" By "Digital Business Transformation" both IT and marketing decision-makers understand:

•  Digitalisation of all conceivable corporate processes •  Development of completely digital business models •  Digitalisation at the customer interface

"Digital Business Transformation" is understood in different ways and there does not (yet) appear to be a generally applicable definition.

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Empirical figures from companies

Main drivers of Digital Business Transformation in the company •  New business opportunities (for 60% under the Top3) •  General technological change (more in large companies) •  Change in customer requirements which involves a need for appropriate action

Overriding strategy lacking, especially in marketing and small and medium-sized companies Only a good third currently have an overriding, company-wide strategy for digital transformation. Smaller enterprises and trading companies in particular are clearly lagging behind the development.

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Digital Business Transformation in marketing

Activities relating to Digital Business Transformation differ very considerably. Only around one third have a strategy. Marketing decision-makers see the greatest added value in digital measures such as websites, blogs, newsrooms, mobile marketing, are well as trade fairs and public relations. Budgets for digital marketing are growing: with 64 per cent of those surveyed 20 per cent of the marketing budget is already spent on digital measures. It is striking that IT decision-makers rate the maturity of these measures substantially more positively than their marketing colleagues.

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Trade fair marketing goes digital

67 per cent of those surveyed indicated that their company took part in trade fairs. Onsite advertising on the trade fair site, social media activities, online advertising and an all-year-round presence on online platforms of the event organiser are considered as important for trade fair success by just under 50 percent. The instruments of communication all around trade fairs have undergone a clear enrichment process within the last ten years. As compared to the Dexperty study "Kommunikation im Messeumfeld“ ("Communication in the Trade Fair Environment") (2014) digital development is making great advances.

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PRACTICAL RECOMMENDATIONS

Prospects

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Practical recommendations

We have compiled 15 simple recommendations for making a start on Digital Business Transformation. The complete list of the practical recommendations can be found in the Study as published.

•  Build up your know-how, get information on the subject from the web, the literature or the media and identify the best practices applied in larger companies from which you can learn.

•  Secure the commitment of top management.

•  Define the KPIs and benchmarks which depict the status quo and render your progress measurable in the future.

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Further information on the Study

More information on the study can be found in the Connected Blog of Messe Frankfurt: http://connected.messefrankfurt.com/en/ Request the complete report on results of the Study at : http://m-es.se/Kc36

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Thank you for your interest.

More information online at: http://connected.messefrankfurt.com/en/

16 Dexperty, Messe Frankfurt