gEtting Digital right 2015

DEVELOPING BEST-IN-CLASS MARKETING IN A DIGITAL WORLD

YOurE EithEr gEtting Digital right

Or gEtting MarkEting WrOng

lEts FaCE it digital has become a part of everyday life for most Americans. Smartphones,
Tablets, Smart TVs, and Wearables are everywhere and new technology is perpetually on the
horizon. Words like multiscreen and programmatic have taken over the conversation. Now
marketers face the challenge of keeping abreast of all this while coming up with innovative
and efficient ways to execute winning marketing strategies.
This report, Millward Brown Digitals 2nd annual Getting Digital Right study, provides an
overview of the state of digital. With input from over 400 marketers spanning brands, media
companies, and agencies, we summarize their insights and perspectives on getting digital right.

Weve outlined the four key components of a winning digital strategy:

CrEatE a BEst-in-Class MarkEting rEsEarCh PrOgraM
unDErstanD thE DYnaMiC COnsuMEr
aChiEVE OPtiMal allOCatiOn & alignMEnt
MEasurE & EnhanCE tOtal MarkEting rOi

Create a Best-in-Class Marketing Research Program

Our top focus is to turn a wealth of client data into
actionable insights and personalized experiences.
-VP, Ecommerce

transforming Big Data into intelligent Decisions is the #1 Opportunity for Marketers in 2015
Data rich, but insights poorthat is the current plight of the marketer. Despite the opportunities promised
by Big Data trends, marketers are still challenged to shift from big to intelligent. Until now, Big Data efforts
have centered on knowledge gathering and exploration, but all this is meaningless without the right context
and application. Cutting through the noise of Big Data to the measures that matter is what will make a
difference and a meaningful business impact.

What is the Biggest Opportunity

Facing Marketers in 2015?

19%

% OF RESPONDENTS WHO INDICATED A

GIVEN OPPORTUNITY IS MOST IMPORTANT IN 2015
BRAND

MEDIA

AGENCY

16%
10%

3%

4%

3%
13%
Source: 2015 MILLWARD BROWN DIGITAL
"GETTING DIGITAL RIGHT" STUDY

2%

6%
USING BIG DATA

MULTISCREEN
MARKETING

4%

2%
3%
2%
BREAKING DOWN MOBILE
& SOCIAL SILOS

2%
2%
OPTIMIZING ROLE
OF VIDEO

LOCATION-BASED
MARKETING

CrEatE a BEst-in-Class MarkEting rEsEarCh PrOgraM

CurrEntlY, many marketers dont know how to best leverage the internal and third-party data
available to them. Only 14% of marketers feel their team effectively use the consumer, media, and
transaction data at their fingertips. Even more surprising, we seem to be moving in the wrong direction:
marketers reported a confidence level drop of 25 points since 2014.

how Confident are You in Your

Organizations use of Big Data?
BRAND MARKETERS CONFIDENCE IN
DATA USAGE WITHIN THEIR ORGANIZATIONS

40

39%

35

30

25

14%

20

15

2014 brought an inux of data to marketers,

but without an instruction manual on how to

10

use it to generate value. 2015 will be the year

5

marketers move towards making Big Data

actionable and insightful.

Source: 2015 MILLWARD BROWN DIGITAL

2014

2015

"GETTING DIGITAL RIGHT" STUDY

CrEatE a BEst-in-Class MarkEting rEsEarCh PrOgraM

A top pain point in our organization is having insufficient

knowledge and training on how to use the available
data to continually refine marketing programs.
-VP, Ad Operations

We are constantly educating our clients on how to use

and communicate the data they have within their own
organization to track ROI and influence media decisions.
-VP, Advertising/Media

Create a Best-in-Class Marketing Research Program

Prioritizing Digital Best Practices is the hallmark of a strong Marketing research Program
Brands are particularly unsure about their understanding of digital best practices; only 38% said they
felt confident that they were up-to-date. Media companies and agencies felt they had a better grasp,
with over 60% of respondents confident in their knowledge. This indicates that brand marketers have
the opportunity to lean on their partners and insights experts to help bolster gaps in digital expertise.

how confident are you that your

organization is up-to-date on
Digital Best Practices?

38%

61%

64%

Source: 2015 MILLWARD BROWN DIGITAL

"GETTING DIGITAL RIGHT" STUDY

BRAND

AGENCY

MEDIA

Fewer than half of brand marketers feel confident in their

understanding of digital best practices, while over 60% of
media and agency marketers are confident.

CrEatE a BEst-in-Class MarkEting rEsEarCh PrOgraM

WHAT THIS MEANS FOR MARKETERS

Creating a best-in-class marketing research program means equipping your team
with the know-how and fundamentals to plan, measure, track, and optimize your
marketing. The key to success is focus. Differentiating between the nice-to-know
KPIs and those required to steer the business is a critical first step.

unDErstanD thE DYnaMiC COnsuMEr

We need to shift our focus to channels where

consumers are most engaged and to what can
influence/impact the purchase process.
-VP, Marketing

the Dynamic Consumer Changing the rules of the Marketing game

Consumers are embracing digital to power their personal brands, altering the nature of the relationships
they build with external brands. The advent of connected devices has increased the complexity of marketing
to the right consumer, with the right message, at the right touchpoint, on the right screen, at the right time.
Understanding the connected consumer journey is essential to optimizing marketing.

Marketers agree Multiscreen marketing

is the 2nd-highest opportunity in 2015

Brand marketers ranked Planning across

consumer touchpoints, where consumers
are interacting with your brands as a top
pain-point
source: 2015 MillWarD BrOWn Digital
gEtting Digital right stuDY

unDErstanD thE DYnaMiC COnsuMEr

a Dynamic insights toolkit for the Dynamic Consumer

In 2014, marketers reported the need for advancements in behavioral research tools as mainstays in
their insights toolkit. For 2015, the trend shows no sign of slowing. Sixty-seven percent of marketers use
behavioral data as an influential component of their research program, and 69% expect it to grow over the
next three years. Marketers are adopting behavioral research to understand audiences, their actions, and
attitudes as a key to staying competitive.

Which research tools are you

currently using to influence your
marketing decisions?

AUDIENCE MEASUREMENT

39%
30%
29%

BRAND TRACKING

MARKETING MIX MODELING

Source: 2015 MILLWARD BROWN DIGITAL

"GETTING DIGITAL RIGHT" STUDY

unDErstanD thE DYnaMiC COnsuMEr

67%
61%

CONSUMER BEHAVIOR INSIGHTS

CREATIVE TESTING
0

10

20

30

40

50

60

70

80

10

What this MEans FOr MarkEtErs

A deep understanding of the dynamic consumer is essential to unlocking
the potential of marketing in an increasingly connected world. Marketers need
to ensure they are adopting behavioral research advancements as pillars of
their insights toolkit.

11

Achieve Optimal Allocation & Alignment

Organizational silos prohibit
consumer journey planning.
-VP, Marketing

Our current state is too short-sighted

and does not effectively use all
channels in sync across devices.
-Director, Marketing

knOWing COnsuMErs and where to reach them is essential to effective marketing. Nearly
50% of brand marketers, and over 65% of media and agency marketers ranked the ability to reach target
audiences as a key factor in media budget allocation. However, only about half of media and agency
marketers are confident they have an optimized media mix, while even fewer brand marketers doonly
about 25%. According to brand marketers, a best-in-class media allocation looks like:

WEBSITE / CONTENT
DEVELOPMENT

EVENTS / CONFERENCES
DIRECT MAIL MARKETING
EMAIL MARKETING

4% 3%

7%
SEARCH

MOBILE ADVERTISING
& APPLICATIONS

12%
12%

SOCIAL
SOURCE: 2015 MILLWARD BROWN DIGITAL
"GETTING DIGITAL RIGHT" STUDY

13

2014, with Mobile seeing the largest increase and

Email Marketing seeing the greatest decrease.

18%

CHANGE IN USAGE 2014-2015

BEST-IN-CLASS
ALLOCATION
OF TIME & EFFORT ON
MEDIA CHANNELS

13%

For most channels, this represents a change from

17%

TRADITIONAL
ADVERTISING

14%
ONLINE ADVERTISING

MOBILE ADVERTISING
& APPLICATIONS

+4%

SOCIAL

+2%

SEARCH

+1%

TRADITIONAL ADVERTISING

+1%

DIRECT MAIL MARKETING

0%

WEBSITE/CONTENT
DEVELOPMENT

-1%

ONLINE ADVERTISING

-2%

EVENTS/CONFERENCES

-2%

EMAIL MARKETING

-3%

aChiEVE OPtiMal allOCatiOn & alignMEnt

Breaking Down Barriers of the Digital kind

To achieve optimal allocation, marketers need to ensure organizational barriers dont prevent marketing
success. While it often feels like digital is firmly entrenched in our lives, theres still room for growth in
integrating digital into our marketing organizations. In 2015, only 43% of brand marketers were confident in
their organizations integration of digital into their marketing strategy. However, were moving in the right
direction. Since 2014, weve seen a 10% increase in the volume of organizations integrating digital into their
centralized marketing strategies.
The solution rests in marketers ability to foster internal alignment. Sharing information, planning, and
setting strategies across teams and channels is critical for success.

What type of approach do you take

in creating marketing strategies?

UP FROM 59% IN 2014

67%
Source: 2015 MILLWARD BROWN DIGITAL
"GETTING DIGITAL RIGHT" STUDY

aChiEVE OPtiMal allOCatiOn & alignMEnt

OF BRAND MARKETERS CREATE

INTEGRATED STRATEGIES

60%
OF MEDIA AND AGENCY MARKETERS
CREATE INTEGRATED STRATEGIES

14

What this MEans FOr MarkEtErs

Its no longer a question of whether to include digital in your marketing strategy;
instead the questions have shifted to when, where, and how much? But, there is
no magic formula. Marketers need to begin by understanding their consumer, the
touchpoints they engage with, and the resulting impact on their brand. This is the
ultimate indicator of where to allocate resources.

Measuring the impact of all aspects of digital is

very hard and without being able to show impact/
ROI, we are less likely to invest highly in it.
-Director, Consumer Insights

Measure & Enhance Total Marketing ROI

16

all Marketers agree that an inability to track rOi remains a top Pain-Point
Demonstrating ROI is the lone universal truth in marketing. Media companies need to prove their
value to agencies & brands, agencies need to prove value to their clients, and brand marketers need
to prove their impact within their organizations. This makes being able to prove ROI against marketing
efforts a top priority.

Marketers ranked inability to track rOi as

their second most-common pain point

nearly 50% of marketers indicate an ability

to demonstrate rOi as a top criterion for
determining media budget allocations

source: 2015 MillWarD BrOWn Digital

gEtting Digital right stuDY

17

MEasurE & EnhanCE tOtal MarkEting rOi

thE aBilitY to track ROI through various channels continues to grow in importance, though
expectations are higher for digital. A majority of marketers would increase investment in digital channels,
like Social, if ROI measurement for those channels improves.

Would an increase in the ability to track

rOi increase your spend on media?

79% 78% 74%

47%
+25%
SINCE
2014

Source: 2015 MILLWARD BROWN DIGITAL

"GETTING DIGITAL RIGHT" STUDY

MOBILE

+14%
SINCE
2014
DIGITAL

+33%
SINCE
2014
SOCIAL

+4%
SINCE
2014
TRADITIONAL

Over 70% of marketers would increase their budget in Digital, Mobile, and Social
channels if ROI measurement was improved; only 47% would do so if Traditional
advertising ROI were better developed. Social saw the biggest change from 2014,
indicating marketers are keen to better understand the impact of Social channels.

MEasurE & EnhanCE tOtal MarkEting rOi

18

WHAT THIS MEANS FOR MARKETERS

Marketers need to plan, measure, track, and optimize to ensure they constantly maximize
ROI. However, as the industry continues to innovate, marketers need to ensure they save
some room for experimentation. Effectiveness measurement will always have a little
art to accompany the science. Therefore its critical for marketers to achieve balance
between a relentless pursuit of ROI and creative marketing evolution.

19

COnClusiOn & takEaWaYs

CrEatE a BEst-in-Class MarkEting rEsEarCh PrOgraM
Creating a best-in-class marketing research program means equipping your team with the know-how and
fundamentals to plan, measure, track, and optimize your marketing.

unDErstanD thE DYnaMiC COnsuMEr

A deep understanding of the dynamic consumer is essential to unlocking the potential of marketing
in an increasingly connected world. Marketers need to ensure they are adopting behavioral research
advancements as pillars of their insights toolkit.

aChiEVE OPtiMal allOCatiOn & alignMEnt

Digital channels have and will continue to increase their presence in marketers media allocations.
But what is the right mix? Unfortunately there is no silver bullet: begin by understanding your
audience and their relationship with brand.

MEasurE & EnhanCE tOtal MarkEting rOi

Marketers need to plan, measure, track, and optimize to ensure they are constantly maximizing ROI,
but dont go too far. Achieve the right balance between a relentless pursuit of ROI and creative
marketing experimentation.

aBOut MillWarD BrOWn Digital

Millward Brown Digital is the worlds leading digital expert in
helping clients grow great brands. Millward Brown Digital delivers
comprehensive digital solutions to help advertisers, agencies, and
publishers increase marketing effectiveness and drive brand growth.
Integrated behavioral and attitudinal solutions help marketers identify,
understand and engage consumers, plan and optimize media, and
increase total brand performance. Millward Brown Digital operates
within Millward Brown North America, and is part of Kantar, WPPs data
investment management division.
For more information, please visit www.millwardbrowndigital.com or
contact us at digitalsolutions@millwardbrown.com.