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Page 1: UNCOVER THE HUMAN SIDE OF DATA · UNCOVER THE HUMAN SIDE OF DATA. The Marketing Analytics and Data Science conference is designed to demonstrate how to deploy marketing analytics

UNCOVER THE HUMAN SIDE OF DATA2016 EXECUTIVE SUMMARY

CONTRIBUTORS:

Peggy L. Bieniek, Accredited Business Communicator

Beena Ammanath, Executive Director, Data Science Products and Delivery, GE

Amanda Ciccatelli, Content Marketing & Social Media Strategist, Informa

June 8-10, 2016San Francisco, CA

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IN AN AGE WHERE CONSUMERS DEMAND MORE PERSONALIZED COMMUNICATIONS, EXPERIENCES AND PRODUCTS, AND INTERNAL STAKEHOLDERS REQUIRE MORE PREDICTIVE INTELLIGENCE TO INFORM DECISIONS, ANALYTICS AND DATA SCIENCE HAVE EMERGED AS SILVER BULLETS TO UNCOVER THE HUMAN SIDE OF DATA. The Marketing Analytics and Data Science conference is designed to demonstrate how to deploy marketing analytics and data science to drive business forward.

A SUMMARY OF HIGHLIGHTS AND TAKEAWAYS FROM MARKETING ANALYTICS & DATA SCIENCE 2016. ENJOY!

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Uncover the Human Side of Data | 3

Success of the Industrial Internet is based on reliability, security, and durability.

GE Executive Director, Data Science,Beena Ammanath

Highlights from Leading Executives at this Year’s Conference:

Keynote Chair Jennifer Nelson, Managing Director, Aviants Insight & Strategy, welcomed attendees and officially kicked off the event.

Guillaume Cabane, VP of Growth, Segment, presented “1:1 Personalization at Scale.” He explained how growth marketing = personalization + automation.

Beena Ammanath, Executive Director, Data Science, GE, presented “Industrial Internet: Building the Digital Industrial World with Data Science.” She talked about how the success of the Industrial Internet is based on reliability, security and durability.

Edward Wild, Senior Director, Advanced Analytics, PepsiCo, and Ari Tuchman, Co-Founder and President, Quantifind, presented “Social Analytics: How Pepsi is Cutting through the Clutter.” Edward explained how the shelf life of a marketing campaign is shrinking radically. Art talked about how Quantifind defines buyer conversations and how they correlate directly to sales.

Venu Gorti, Co-Founder, EVP, Cogitaas, and Dr. Kamal Sen, Founder, President & CEO, Cogitaas, presented “The Next Wave of Analytics - From Decision Support to Directed Decisions.” They explained how decision-making has become decision-science and needs analytical support.

Rahul Todkar, Vice President, Charles Schwab & Co., and Rahul Goel, Global Insights Manager - Sense & Respond Marketing Analytics, Clorox, presented “Exploring Trends in Experimentation.” They discussed the importance of having the right data structure and frameworks in place.

Roy Ben-Alta, Business Development Manager - Big Data & Analytics, Amazon Web Services, presented “Big Data & Analytics in the Cloud.” Roy’s discussion included how AWS uses analytics to help their customers, barriers to value, data lakes and big data categories.

Nikhil Nawathe, Media Researcher, Facebook, presented “Fueling Creative with Data.” He talked about hypothesis-driven insights and hypothesis-driven creative and how topic data (with some nuances) can be useful for campaign development.

DAY ONE SUMMARYDAY ONE OF THE MARKETING ANALYTICS & DATA SCIENCE CONFERENCE WAS ACTION-PACKED AND INSIGHTFUL.

Charlie Burgoyne, Principal Director of Data Science, Frog Design, presented “Data Driven Product Vision.” He described how data is creating new modes and models for interacting with companies, work, home, ourselves and one another.

Eric Callahan, Director, Performance Analytics, American Express, presented “Taking Control of Control Groups.” One of the insightful topics was how to build universal control groups.

Anna Bergmann, Consultant, Global Medical Customer Analytics and Insights, Eli Lilly and Company, and Dr. Marjo Gazak, Advisor, Medical Information Analytics & Insights, Eli Lilly and Company, presented “Advancing Text Analytics in Medical Information.” Anna and Marjo discussed how they effectively and efficiently utilize data captured through customer interactions to improve the customers’ experiences.

Camille P. Schuster, Professor of Marketing, California State University, San Marcos presented “Playing Detective with Data” and showed attendees how to make an impact with analysis.

Leslie Drate, US Consumer Print Social Media, HP, Inc. presented “Data-Driven Social Media.” Attendees learned how to reach their ultimate buyer with social media retargeting.

Attendees learned more about Quantifind capabilities as Shravan Narayen, Lead Project Manager, Quantifind, and Art Tuchman, Co-Founder and President, Quantifind, presented “Buyer vs. Buzz: Leveraging Data Science to Find the Signal.” Shravan and Art explained the importance of having the right data structure and frameworks in place.

Nancy Kazdan, Business Development Manager, BBSI presented “Your Data Doesn’t Always Tell the Story.” Attendees learned how to structure and tell a persuasive story.

Industrial Internet: Building the Digital Industrial World with Data Science

To kick off day one of the conference, Beena Ammanath, Executive Director, Data Science, at GE spoke about how GE is shaping the future with the industrial internet.

In the 19th century, the industrial revolution, that started in Europe and spread out globally changed the world significantly –

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how we work, how manufacturing is done, the economic conditions… I believe a similar revolution is happening now, driven by the industrial Internet or Industrial IoT.

The Industrial Internet, grows twice as fast as the consumer internet, in terms of data volumes and connected devices, generating massive amounts of data waiting to be analyzed, to drive new levels of efficiencies, customer service and productivity.

The amount of data generated by sensor networks on heavy equipment is astounding.

Imagine the first time you see any machine data; you are able to see the whole history of that piece of equipment – that’s context. And that’s key to succeed in data science in an industrial world. Putting context around every machine data to make it usable by any user.

It’s in the industrial area that data science is going to have the biggest impacts, transforming economies, saving lives, reducing power consumption, changing the way we live.

How to Structure and Tell a Persuasive StoryDuring day one of the conference, attendees learned how to tell effective business stories from Nancy Kazdan, Business Development Manager, BBSI, as she presented “Your Data Doesn’t Always Tell the Story.” Nancy described business storytelling as the art of using stories to communicate and connect with employees, customers, suppliers, partners, shareholders and others involved with your organization. Business stories have a specific goal or desired outcome and are authentic.

She told attendees to not be afraid to tell stories that show failure, poor judgment or mistakes. She explained that when you’re prepared to appear vulnerable in front of others, you can quickly establish trust and support.

According to Nancy, the three essential elements of a good story (CAR framework) are:

Content: Establish context. Listeners need to make sense of your story. Spark interest.

Action: Where and when does this story take place? Who is the main character or message? What does your main character want to accomplish? Who or what is in the way?

Result: Did you succeed with your listeners? What is the moral? Why did you tell the story? What are the insights? Reveal your main message. What did the audience learn from the result?

To establish context for your story, focus on these three areas:1. Who is my audience? Determine what

insights your listeners want to draw from the data you show them.

2. What is the ultimate message I want to share? Boil it down to a compelling single statement.

3. Determine the best way to illustrate it. Anecdotes that illustrate struggle, failure and barriers overcome are what make leaders appear authentic and accessible.

Reaching Your Ultimate Buyer with Social Media Data RetargetingAttendees of the Marketing Analytics & Data Science conference learned more about data-driven social media as Leslie Drate, US Consumer Print Social Media at HP, Inc. presented “Social Media Data Retargeting.” According to Leslie, targeting is good, but retargeting allows you to focus marketing dollars and brand messaging on a specific target audience that is more likely to buy from you than other audiences.

Retargeting is more affordable, efficient and effective. You can retarget on Facebook, Instagram, Twitter and YouTube around these parameters:• Location: country, state, zip code, or even

the area around your house• Demographics: age, gender, interests,

languages• Interest: hundreds of categories including

music, movies, sports, games, shopping, etc.• Behaviors: things they do, like shopping

behavior, type of phone they use, or if they are looking to buy a car or house

To retarget to custom or tailored audiences: • Target ads to people on your contact list• Facebook or Twitter compares your data

with theirs to find the people in their database

• Use a customer list or data from your website

• The information is encrypted to protect customer relationships (or use a third-party data warehouse)

Leslie also talked about pixel data on Facebook and Twitter to target visitors to specific pages. Here’s how it works:• Place a pixel on key web pages• Build audiences you can target on social

media

• Track conversions

In sequential social media marketing, it’s important to develop content and messaging that moves the audience through the journey cross-device, cross-platform and through customized creative by platform and target audience. The way you reach across platforms is also important. Leslie explained that when you reach someone with a digital video message, you should follow that up with a display ad to reach them on a PC and reach them again on mobile. Leslie recommended retargeting as a way to stay one step ahead in your social media efforts.

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Emotion drives online shopping more than utility.

AOL Director, Consumer Analytic & Research,Vicki Draper

Highlights from Leading Executives at this Year’s Conference:

Ian Kalin, Chief Data Officer, U.S. Department of Commerce, presented “Department of Commerce as America’s Data Agency.” Ian shared examples of how the federal government is trying to maximize the positive impacts of its data. An example of this is The Opportunity Project, which uses open data to help people find jobs, housing, transportation and more.

David Plouffe, Chief Advisor, Uber, presented “Big Data: Knowing Instead of Guessing.” A highlight of David’s session was a discussion about how big data is used in projections of presidential election outcomes.

Jim Thompson, SVP Analytics and Audience Development, Billboard/The Hollywood Reporter, presented “Capturing Attention in a . . . What Was That?” Jim explained how media publishers connect with people increasingly overwhelmed by an information rich environment.

Tarun Dhot, Director of Advanced Analytics, Canadian Imperial Bank of Commerce, presented “Winning the Loyalty War in the Age of Big Data.” Tarun’s discussion focused on how effective use of data can help monetize loyalty, allowing the building of smarter strategies.

Earl Taylor, Chief Marketing Officer, Marketing Science Institute, presented “What’s the Story with Big Data?” In this session, Earl talked about the importance of using stories to communicate insights from the data.

Vicki Draper, Director, Consumer Analytics & Research, AOL, presented “The Missing Metrics Link: What Digital KPIs Don’t Tell Us About Shopper Behavior.” Vicki talked about AOL’s latest shopping research and how it reveals that emotion drives online shopping more than utility.

Emma Stevens-Smith from Trendera presented “Deciphering Generations X, Y and V: How to Understand Next Generations and their Trends for Guaranteed Reach.” Emma talked about the characteristics of each of the generations, and how people want to feel as if their favorite brands are working toward fulfilling their needs.

DAY TWO SUMMARYDURING DAY TWO OF THE CONFERENCE, ATTENDEES CONTINUED THE CONVERSATION AND COLLABORATION OF SHARING HOW TO EFFECTIVELY USE DATA AND ANALYTICS TO MOVE OUR ORGANIZATIONS FORWARD.

Jean-Paul Isson, Global VP Predictive Analytics & BI, Monster Worldwide, presented “People Analytics in the Era of Big Data.” Jean-Paul explained to attendees that the goal is to take big data and turn it into actionable insights. HR must be marketers.

Jane Moran, SVP, Head of Behavioral Data & Analytics, Ipsos Connect, presented “Blending Behavioral Data Sets to Create a Richer Path to Purchase.” During this session, Jane shared a few examples of how data sets can be used to enhance market share in the retail industry.

Kelly Peterson, Marketing Analytics, Web Analytics, Macys.com, shared how Macys.com uses marketing analytics to support the technology development team.

Don Sexton, Professor of Marketing and Professor of Decisions, Risk, and Operations, Columbia University, presented “CSF: The Most Important Metric You’ve Never Used.” Attendees learned that Customer Surplus Factor (CSF) is a leading indicator of financial incomes that provides actionable insights for marketing strategies.

Brad Bernstein, Brand Insight Director, Diabetes Oral Brands, Astra Zeneca, and Jennifer Nelson, Managing Director, Aviants Insight & Strategy, presented “Innovation in Sales Force Targeting and Differential Messaging Using Replicate Models to Fill Data Gap.” During this session, Brad and Jennifer shared an innovative replicates method for conquering APLD incompleteness to yield more targeted, richly informed target lists and differential messaging.

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By understanding the next generations, you’ll be better prepared to reach your intended audience and achieve desired results. One day two of the conference Emma Stevens-Smith, VP of Trends, Trendera, presented “Deciphering Generations X, Y and V.” In this session, Emma began by providing an overview of the characteristics of Gen X, Y and V:

Gen X (1965-1979):

• Ages 36-50

• Approximately 46 million in size

• Children of Traditionalists

• Slacker stereotype

• Grew up in a troubling world

• Latchkey kids

• Had ‘80s expectations, experienced ‘90s realities

• Seeking work/life balance

• Nostalgic, but want the new technology

• Experiencing mid-life crisis

• Savvy and skeptical

• They trust no one

Gen Y (1980-1995):

• Ages 21-35

• Approximately 72-76 million in size

• Children of Boomers

• Aka Millennials

• Entitled and empowered stereotype

• Socially networked

• Highly protected, high anxiety

• Have a good connection with Boomers

• Are influenced by Gen X

• Optimistic

• “Smarty pants”

• Always have a Plan B

• Group empowered

• They think they are special and unique

INSIGHTS, DATA, AND ACTIONSFOR MARKETING TO GENERATIONS X, Y, AND V

Gen V (1996-2011):

• Ages 5-20

• Approximately 65 million in size

• 25% of the population

• Children of Gen X and Gen Y

• The Homeland Generation, Gen Z or Plurals

• The true digital natives

• High anxiety

• Uber parenting

• Test subjects

• Netflix no chill

• Blurred lines of family

• Jaded and medicated

• Think different

• Social beasts

• Path rejecters

• Multiple personalities

• Commitment phobes

• Rebel yellers

Emma’s recommendations for connecting with Gen X, Y, and V include: Don’t assume they are taking the traditional path; share your message on multiple screens; listen to their opinions (they have many!; help them learn and gain new skills; encourage their entrepreneurial spirit and; when in doubt, try to make them laugh.

GEN Y• AKA Millennials • Children of

Boomers

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What happens in a 2016 Internet minute.

The Industries of the Future Author,Alec Ross

Highlights from Leading Executives at this Year’s Conference:

Keynote Chair Evan Borak, Head of Revenue, Ipsos Connect, provided introductions and spoke briefly about Ipsos Connect’s work to measure and amplify how media, brands and consumers connect through content and communications.

Alec Ross, Author, The Industries of the Future, presented, “Foreseeing the Next Big Innovations and Marketplace Risks.” Alec described the changes that are going to impact our future. He also shared what happens in a 2016 Internet minute.

Peter Fader, Professor of Marketing, Wharton Customer Analytics Initiative, presented “Customer Valuation: The Time is Now!” Peter stressed that “customer experience has no value unless you value the customer experience.” He also shared examples of companies that are using customer valuation in surprising ways and with compelling results.

Azhar Iqbal, Director and Econometrician, Wells Fargo, presented “Macroeconomic Forecasting, Consensus, and Individual Forecaster.” Azhar said that “forecasting models are like sailing; they require constant adjustments to financial and economic winds and currents.”

Dan Aversano, SVP Client Insights & Innovation, Turner Ignite, presented “Unlocking the TV Future’s Market.” Dan talked about how Turner is using predictive analytics to advance audience targeting and optimization to drive greater outcomes for their clients. One of the highlights of this session was the discussion of the six things that make advertising work.

Mazhar Hussain, Executive Leader, Big Data and Analytics (Software and Services), Hewlett-Packard and Dilip Patel, Senior Manager, Sales and Marketing Data Science, Salesforce, presented “Go-to-Market Strategy Data Science Framework.” During this panel discussion, Mazhar and Dilip talked about how this framework enabled integrated sales and marketing effectiveness.

Christian Heller, Manager, CRM, Porsche Cars North America and Katja Suentzenich, Senior Manager, CX & Connected Car, MHP Inc., presented “Building New Businesses with Data.” During this session, Christian and

DAY THREE SUMMARYDURING DAY THREE OF THE CONFERENCE, ATTENDEES CAME AWAY WITH ADDITIONAL INSIGHTS, CONNECTIONS AND INSPIRATION.

Katja talked about how Porsche is creating a unique buying and ownership experience and how they are using analytical power to build new business.

Randy Wheeler, Director, Advanced Analytics, Big Heart Pet SBA/J.M. Smucker Co., presented “Brand Expansions Fueled by Leading Edge Analytics.” Randy talked about how they used leading edge analytics to launch a new sub-brand (Milk-Bone Brushing Chews) with funds optimized from the parent brand (Milk-Bone).

Wayne Y. Huang, Senior Research Lead, Twitter, presented “Measuring the Value of Customer Service for Brands.” During this session, Wayne presented data that shows responding quickly to customers drives value. He also shared a novel application of conjoint analysis to measure the value of providing good customer service interaction.

Macro Trends You Can’t Afford to IgnoreEmma Stevens-Smith, VP of Trends, Trendera, presented “Deciphering Generations X, Y and V.” In addition to providing an overview of the characteristics of Gen X, Y and V, Emma shared these macro trends:

The Rating Game: Thanks to new rating systems, the traditional brand/consumer relationship is evolving from a one-way communication to a complex set of interactions.

Work Hard for Their Money: Consumers want to feel as if their favorite brands are working towards fulfilling their needs. They also want to know exactly how they are achieving this.

The Surprise Drop: Consumers have become accustomed to instant gratification. Brands need to adjust their release strategy form prolonged anticipation to an unannounced release.

On Purpose: Brands need to let consumers know what their purpose is.

New Perspectives: Brands must ask how retail, payment and presentation of a product can be adjusted to make people excited about what they are buying.

More Real than Virtual: Consumers are increasingly eager to incorporate Virtual Reality into their lives.

Context is King: Consumers are looking for information that is relevant for them in a precise moment and expect brands to do this for them when and where they need it most.

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Building New Businesses with Data“The goal is to turn data into information, and information into insight.” - Carly Fiorina, former chief executive of HP.

Katja Suentzenich, Senior Manager, CX & Connected Car, MHP Inc., and Christian Heller, Manager, CRM, Porsche Cars North America, discussed “How SAP’s Analytical Power is Building New Businesses.” Katja and Christian explained how today’s customer wants a relationship with a brand, not a channel. Connectivity and big data are critical for automotive OEMs to support a unique customer experience, especially for millennials.

Big data is also key for innovation. Porsche uses SAP’s HANA for CRM on a global scale with a full integration of previously independent channels.

Here’s what Porsche learned en route to the “real-time enterprise” with connectivity and big data: • Went from a “rear-view mirror” perspective

to immediate, actionable insights.• Big data readiness and experience varies

largely depending on the industry.• Need new types of employees: Big Data

Business Analysts, Data Scientists and Model Builders.

• It’s all about the “right” big data sources and use cases. Mobile is dominating user experience.

• Big data is also enabling Porsche to provide highly personalized customer life-cycle communication to support increased customer enthusiasm and loyalty.

How Customer Service Boosts Your Marketing StrategyBusinesses often struggle to understand what their customers are really thinking. Wayne Y. Huang, Senior Research Lead, Twitter, presented “Measuring the Value of Customer Service for Brands.”

Wayne started the discussion with these insightful statistics: • 80% of social customer service requests

come from Twitter.• 79% of customers are not receiving

responses from brands.• 87% who do get a response feel more

positively towards the brand.

He talked about the pitfalls of relying on self-reported surveys when conducting customer research and then detailed a novel experiment he ran on Twitter using a conjoint survey to test how a good (or bad) customer

service experience from a brand affects the customer’s future decision-making process.

A conjoint analysis is a survey technique and model used to measure preferences for products and services. Consumers’ overall value or “utility” for a product is a weighted sum of the value of each of its parts (The whole is the sum of its parts.). Its name comes from “considered jointly” because it almost always involves a comparison of multiple product or service options.

For this experiment, he found thousands of users who had a customer service interaction with an airline on Twitter in the past six months and used the data to quantify— in dollar terms— how the customer changed their behavior after those positive interactions.

In the conjoint survey, consumers who in the past six months received a response from an airline via Twitter were the test group and those who had no interaction were the control group. Twitter asked consumers to choose from three airplane ticket options that included this information: the airline, seat location, percentage of on-time arrival, and price. To determine the customers’ willingness to pay, Twitter ran a Hierarchical Bayesian regression which calculates a “utility” for all attributes for all respondents. A larger utility indicates a greater preference.

The research findings showed that consumers absolutely do remember good and bad customer service experiences (up to six months!), and consumers are willing to pay more after a good customer experience (up to $20 more).

Wayne’s research shows how social media is transforming the way consumers interact with brands and how customer service matters more than you think.

Unlocking the Television Futures MarketDan Aversano, SVP, Ad Innovation & Programmatic Solutions, Turner Ignite, presented “Unlocking the Television Futures Market.” Attendees learned how Turner is cracking the TV futures market by using predictive analytics to advance audience targeting and optimization for their clients.

Dan began the discussion with the six things that make advertising work:

1. Who: audience targeting2. What: creative messaging3. Where (context): content4. When: recency5. How often: frequency6. Where (platform): screen

He then described the process of how to buy audiences in linear TV. It begins with behavioral/attitudinal viewership data from panels, set top boxes, aggregators and SmartTV. Next, is analytics. Competitive Audience Estimation (CAE) measures what affects program audiences, which include:• Time attributes (year, seasonality, day of

the week, time of the day, and holidays and special events)

• Program attributes (genre, format, duration, and lead in)

• Programs offered by competitor networks

Competitive Reach Estimation (CRE) is a data-driven approach to forecast unduplicated audience across a media schedule. It compliments CAE and naturally extends learning from the targeted audience. CRE handles the complexity of estimating where audience duplication will occur in a schedule.

Finally, you need to consider the business model. The marketplace rules monetization!

What Digital KPIs Don’t Tell Us about Shopper BehaviorVicki Draper, Director, Consumer Analytics & Research, AOL, presented “The Missing Metrics Link: What Digital KPIs Don’t Tell Us about Shopper Behavior.” AOL’s latest shopping research reveals how digital KPIs don’t tell the full story when it comes to online shopping. Emotion drives online shopping more than utility, but traditional digital metrics are not effective at capturing emotion. Metrics must be redesigned to better measure shopper intent.

Here are some consumer behavior insights Vicki discussed:• Mobile isn’t mobile! 68% of all smartphone

minutes are at home.• People are shopping all the time. 92% shop

online weekly or more often.• 42% of millennials browse online in the

vehicle category weekly or more often.

A strong brand is more important than ever. AOL’s research shows that 66% of shopping is emotionally driven (expertise browsing, “me-time” browsing), while 30% is intent driven (deal browsing, problems and solutions browsing). Boredom browsing makes up 11%.

This means that it’s critical to measure the emotional benefits of your digital brand, retail or ad experience. To do this, you must start with the conventional wisdom, challenge convention by combining analytics with primary research to find the missing links, and measure the right KPIs.

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To get involved in next year’s event marketing, contact Kevin Schlear: [email protected]

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To get involved in next year’s event program, contact Edmund Balogun: [email protected]