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Media + Marketing for Technology Companies
WHITE PAPER
THE BASICS OF
PREDICTIVE
MARKETING
How to Leverage Data for
Effective Digital Campaigns
Predictive marketing is a data-driven process that helps marketers identify
in-market buyers earlier in the buyer journey, improve engagement throughout
the entire customer lifecycle, and increase conversion rates and revenue.
The process involves automated gathering of customer data, using data to build
and refine predictive models, and responding with personalized messaging for each
individual prospect.
Predictive 101 for
Digital Marketing
What is Predictive Marketing?
Predictive marketing can be challenging and
elusive. Marketers are unsure of where to begin
and how to use analytics and other data assets.
61% OF B2B
MARKETERS
ARE USING
PREDICTIVE
ANALYTICS
SOURCE: RADIUS AND FORRESTER
CONSULTING, “FROM INSIGHT TO
ACTION: HOW PREDICTIVE
ANALYTICS IMPROVES B2B
MARKETING OUTCOMES,”
SEPTEMBER 2015.
42% OF B2B
MARKETERS HAVE
DIFFICULTY
ANALYZING DATA
FROM ALL CUSTOMER
INTERACTIONS
SOURCE: EXACTTARGET MARKETING
CLOUD AND FORRESTER CONSULTING,
“REFRESH YOUR APPROACH TO 1:1
MARKETING,” AUGUST 2014.
61% 42%
FOR MARKETERS, PREDICTIVE IS:
ACCESSIBLE
It is easier to use than before.
No data scientists required.
AFFORDABLE
It fits within the existing
marketing stack.
TRANSITIONAL
It is moving from transaction
and traditional data to behav-
ioral and dynamic data.
ADVANTAGEOUS
It offers marketers a
competitive advantage.
2PREDICTIVE MARKETING 101
“The move to predictive
changes how we think
about delivering leads
to sales.”
— KERRY CUNNINGHAM
RESEARCH DIRECTOR, SIRIUS DECISIONS
How Did We Arrive at Predictive?
Background check.
The concept of predictive marketing is not new, but what
is new is the ability to leverage predictive intelligence to
improve lead generation and inform individual, customer-
level decisions about messaging, communication, and
campaigns overall.
The advent of big data offers marketers more data than has ever been
available, but humans alone cannot keep up with the proliferation of data.
Nor are they able to manually prepare data, build models, deploy lead
scores, or learn from the results in time to reach buyers at the earliest
stages of their research.
SOURCE: IDC, APRIL 2014, “THE DIGITAL UNIVERSE OF OPPORTUNITIES:
RICH DATA AND THE INCREASING VALUE OF THE INTERNET OF THINGS.”
THEDIGITAL
UNIVERSEIS
DOUBLING
INSIZEEVERY
TWOYEARS.
By 2020, the digital universe
will reach 44 zettabytes, or 44
trillion gigabytes... as many
digital bits as there are stars
in the universe.
3PREDICTIVE MARKETING 101
The volume of data available today is astonishing, but the point is less about the
size of the available data, and more about how useful the data can be.
Not all data is useful. And less so when data inputs are taken by themselves.
Data is best when mixed. To get meaningful insights, it’s necessary to analyze
a broad mix of data sets.
Big Data vs. Useful Data
Predictive intelligence
is about looking at the
larger universe of data
and sources and applying
models that allow you to
better predict the most
likely buyers.
WEB ACTIVITY
COMPANY
TITLE
PERSONAS
SITE DATA
SOCIAL ACTIVITY
SEARCH
DEVICE
INTENT DATA
STATIC DATA
AUDIENCE
POINT OF SALE/CRM
CONTENT DATA
IP ADDRESS
GEO
LOCATION
LOTS
OF DATA.
NOT ALL
DATA IS
USEFUL.
DATA INPUTS
ARE BEST
WHEN MIXED.
VALIDATE
YOUR DATA
AND INSIGHTS.
4PREDICTIVE MARKETING 101
OTHER FACTORS PROPELLING PREDICTIVE:
DEVICES / APPLICATIONS
With mobile, social, location-based messaging and the Internet of Things,
we are now able to gather more intent data about customers. Devices and
technologies are unlocking new data points about where potential customers
search for new services and buy products.
CUSTOMER EXPECTATIONS
Consumers have been trained to expect companies to meet needs they
didn’t know they had. Buyers carry these same expectations into their
professional lives.
(SOURCE: MINTIGO EBOOK, “WHY MODERN B2B MARKETERS NEED PREDICTIVE MARKETING”)
PLATFORMS
Predictive marketing applications can draw on a single, integrated CRM
platform, which helps combine intent and company data into one location.
This marriage of data makes it easier for marketers to merge data for
better lead generation and lead scoring.
Marketers can leverage even more
diverse data and crunch it all to
optimize marketing focus and spend.
SOURCE: MARKETINGLAND, FEB. 3, 2015, “EXPLORING THE
CUTTING-EDGE: PREDICTIVE MARKETING ANALYTICS.”
5PREDICTIVE MARKETING 101
6PREDICTIVE MARKETING 101
How Predictive Marketing
Helps Marketers Succeed
Marketers must be more accountable,
show ROI, and improve the bottom line.
NURTURE WITH
PERSONALIZED MESSAGING
Recommend products and
services most likely to appeal
to the customer.
SEGMENTATION
Focus on qualified leads, with the
right message, to deliver more
successful campaigns. Allows for
budget focus, and moves resources
to the best prospects.
LEAD SCORING
Estimate likelihood of taking
a desired action.
FIND NEW PROSPECTS
Identify characteristics of a
good customer, then seek
more of those customers.
REFINE PREDICTIVE MODELS
Use machine learning to improve
leads and the customer experience.
PREDICTIVE MARKETING HELPS:
It’s possible to tap into the
signals of the decision makers
and predict with more than 85%
accuracy who is going to buy,
when they are going to buy, and
what they are going to buy.
— ALISON MURDOCK, VP MARKETING, 6SENSE
How Predictive
Marketing Works
Most marketers are ready to integrate predictive,
but they do not know what to do with the data.
HERE’S WHAT IS IMPORTANT:
DATA INPUTS
Integrate company data from marketing automation platforms
(internal/first-party) and data from across the web (external/
third-party), and offline data such as events and other above-
the-line data (e.g. TV).
MODELING
Build and continually refine the predictive model, based on all
data analyzed through predictive platforms.
QUALITY
Understand where the data comes from (sources). It’s essen-
tial to build a predictive model that is trustworthy over time.
Predictive intelligence is an ongoing
process of model refinement based
on experimentation and results.
—SEAN BEIERLY, MARKETING MANAGER, CISCO
7PREDICTIVE MARKETING 101
What It Means Going Forward
The Tipping Point.
RELIABLE DATA
ABOUT PROSPECTS
REACH BUYERS EARLIER
IN THE PROCESS
PERSONALIZED
EXPERIENCE
RIGHT DEVICE &
APPLICATION
For B2B marketers, predictive is going to experience a tipping
point as more accounts come to depend on granular, more
reliable data about prospects, which they can use instantly to
reach buyers earlier in the journey, on the right devices and
applications, in an extremely personalized way.
8PREDICTIVE MARKETING 101
9PREDICTIVE MARKETING 101
Predictive Best Practices
BE REALISTIC
Predictive marketing has the power to augment your entire lead generation and
follow-up processes. However, marketers need to start small when it comes to
incorporating predictive with sales and marketing. For example, start with a small
group of typical lead recipients to help reveal process flaws and establish bench-
marks. This helps flesh out how leads are going to perform in the organization once
predictive has more influence.
PICK A CENTRAL PRODUCT OR SERVICE
In order to establish stronger signals and build an initial predictive model, marketers
should start campaigns with a product or service that is central to the business and
with an audience that is already familiar and engaged.
TEST PREDICTIVE
Marketers should consider building a test or pilot case to prove that the technology
can work within the sales and marketing teams. Try entering deals earlier, so that
sales can reach the customer earlier in their research.
KEEP THE OLD WITH THE NEW
Predictive marketing is made up of many components. It can take a considerable
amount of time for sales and marketing to fully understand how each process works.
It is important that organizations keep the “old” protocol in place while introducing
new programs incrementally.
THE HUMAN TOUCH
Nothing can take the place of human experience. Always consider the target
audience and the goals you want to achieve, then input your own ideas. Predictive
marketing is only as good as the data that goes into it. Pressing 'play' and sitting
back won’t get the job done. Be active - and your predictive programs will best
influence the ‘nuances of intent’ and improve results.
10PREDICTIVE MARKETING 101
Want to discuss your unique needs?
Reach us at dwamedia.com or contact:
JAMES MILLER
SVP, Business Development
JamesM@dwamedia.com
+1 415 229 0902
1160 Battery Street West, Suite 400
San Francisco, CA 94111
BRIAN JONES
VP, Innovation & Intent Marketing
BrianJ@dwamedia.com
+1 415 229 0911
1160 Battery Street West, Suite 400
San Francisco, CA 94111
CHRIS LEGER
Group Account Director
ChrisL@dwamedia.com
+1 617 536 0222
45 Newbury Street, Suite 406
Boston, Massachusetts 02116
NORTH AMERICA
STEVE JONES
President, International
SteveJ@dwamedia.com
+44 20 7833 3222
16 Kirby Street
London, EC1N 8TS
GUY PHILLIPS
VP, Business Development, EMEA
GuyP@dwamedia.com
+44 20 7833 3222
16 Kirby Street
London, EC1N 8TS
THOMAS BIEDERMANN
Managing Director, DACH
ThomasB@dwamedia.com
+49 89 215550330
Pienzenauerstr. 52
81679 Munich
EMEA
KIARAN GEEN
Group Managing Director
KiaranG@dwamedia.com
+61 (0) 2 9922 3130
4th Floor, 194 Miller Street
North Sydney, New South Wales, 2060
ARYEH STERNBERG
Head of Intent Marketing, ANZ
AryehS@dwamedia.com
+61 (0) 2 9922 3130
4th Floor, 194 Miller Street
North Sydney, New South Wales, 2060
ANZ
PIPPA BERLOCHER
Managing Director, Singapore
PippaB@dwamedia.com
+65 6220 1640
155B/157B Telok Ayer Street
3rd Floor, 068611
EMMA SARRIA-SOLIS
Business Development Director, Asia
EmmaS@dwamedia.com
+65 6220 1640
155B/157B Telok Ayer Street
3rd Floor, 068611
ASIA
ABHAY KULKARNI
Business Director, Bangalore
AbhayK@dwamedia.com
91 80 6765 4135
Millenia Towers, Office 104
No. 1 & 2 Murphy Road
Level 1, Tower B, Ulsoor
MICHAEL ANG
Business Director, Greater China
MichaelA@dwamedia.com
+86 10 8523 3355
Level 15, NCI Tower
12A Jianguomenwai Avenue
Chaoyang District, Beijing
ABOUT DWA
DWA is a global media and marketing agency for technology companies.
With its feet in media and its head in data and analytics, DWA has a fascina-
tion with the art and science of engaging people. That’s why you’ll find us at
the intersection where media, technology and strategic marketing meet.
Operating from eight offices around the globe covering North America,
EMEA and Asia Pacific, DWA offers a range of programs such as program-
matic media,marketing automation, account-based marketing and content
marketing consulting — all for over 150 of the world’s best technology
companies, including Cisco, Dell, Salesforce and more.
To learn more about DWA, visit www.dwamedia.com.
© 2015 DWA Media, Inc. All rights reserved.
ABOUT THE AUTHORS
BRIAN JONES is the VP of Innovation & Intent
Marketing, North America at DWA. He is also based
in San Francisco. His email is Brianj@dwamedia.com.
ARYEH STERNBERG is the VP of Intent Marketing,
ANZ at DWA. He is based in Sydney. His email is
AryehS@dwamedia.com.
BEN BARENHOLTZ is the Senior Director of Global
Marketing at DWA. He is based in San Francisco.
His email is Benb@dwamedia.com.

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The Basic of Predictive Marketing_FINAL-2

  • 1. Media + Marketing for Technology Companies WHITE PAPER THE BASICS OF PREDICTIVE MARKETING How to Leverage Data for Effective Digital Campaigns
  • 2. Predictive marketing is a data-driven process that helps marketers identify in-market buyers earlier in the buyer journey, improve engagement throughout the entire customer lifecycle, and increase conversion rates and revenue. The process involves automated gathering of customer data, using data to build and refine predictive models, and responding with personalized messaging for each individual prospect. Predictive 101 for Digital Marketing What is Predictive Marketing? Predictive marketing can be challenging and elusive. Marketers are unsure of where to begin and how to use analytics and other data assets. 61% OF B2B MARKETERS ARE USING PREDICTIVE ANALYTICS SOURCE: RADIUS AND FORRESTER CONSULTING, “FROM INSIGHT TO ACTION: HOW PREDICTIVE ANALYTICS IMPROVES B2B MARKETING OUTCOMES,” SEPTEMBER 2015. 42% OF B2B MARKETERS HAVE DIFFICULTY ANALYZING DATA FROM ALL CUSTOMER INTERACTIONS SOURCE: EXACTTARGET MARKETING CLOUD AND FORRESTER CONSULTING, “REFRESH YOUR APPROACH TO 1:1 MARKETING,” AUGUST 2014. 61% 42% FOR MARKETERS, PREDICTIVE IS: ACCESSIBLE It is easier to use than before. No data scientists required. AFFORDABLE It fits within the existing marketing stack. TRANSITIONAL It is moving from transaction and traditional data to behav- ioral and dynamic data. ADVANTAGEOUS It offers marketers a competitive advantage. 2PREDICTIVE MARKETING 101
  • 3. “The move to predictive changes how we think about delivering leads to sales.” — KERRY CUNNINGHAM RESEARCH DIRECTOR, SIRIUS DECISIONS How Did We Arrive at Predictive? Background check. The concept of predictive marketing is not new, but what is new is the ability to leverage predictive intelligence to improve lead generation and inform individual, customer- level decisions about messaging, communication, and campaigns overall. The advent of big data offers marketers more data than has ever been available, but humans alone cannot keep up with the proliferation of data. Nor are they able to manually prepare data, build models, deploy lead scores, or learn from the results in time to reach buyers at the earliest stages of their research. SOURCE: IDC, APRIL 2014, “THE DIGITAL UNIVERSE OF OPPORTUNITIES: RICH DATA AND THE INCREASING VALUE OF THE INTERNET OF THINGS.” THEDIGITAL UNIVERSEIS DOUBLING INSIZEEVERY TWOYEARS. By 2020, the digital universe will reach 44 zettabytes, or 44 trillion gigabytes... as many digital bits as there are stars in the universe. 3PREDICTIVE MARKETING 101
  • 4. The volume of data available today is astonishing, but the point is less about the size of the available data, and more about how useful the data can be. Not all data is useful. And less so when data inputs are taken by themselves. Data is best when mixed. To get meaningful insights, it’s necessary to analyze a broad mix of data sets. Big Data vs. Useful Data Predictive intelligence is about looking at the larger universe of data and sources and applying models that allow you to better predict the most likely buyers. WEB ACTIVITY COMPANY TITLE PERSONAS SITE DATA SOCIAL ACTIVITY SEARCH DEVICE INTENT DATA STATIC DATA AUDIENCE POINT OF SALE/CRM CONTENT DATA IP ADDRESS GEO LOCATION LOTS OF DATA. NOT ALL DATA IS USEFUL. DATA INPUTS ARE BEST WHEN MIXED. VALIDATE YOUR DATA AND INSIGHTS. 4PREDICTIVE MARKETING 101
  • 5. OTHER FACTORS PROPELLING PREDICTIVE: DEVICES / APPLICATIONS With mobile, social, location-based messaging and the Internet of Things, we are now able to gather more intent data about customers. Devices and technologies are unlocking new data points about where potential customers search for new services and buy products. CUSTOMER EXPECTATIONS Consumers have been trained to expect companies to meet needs they didn’t know they had. Buyers carry these same expectations into their professional lives. (SOURCE: MINTIGO EBOOK, “WHY MODERN B2B MARKETERS NEED PREDICTIVE MARKETING”) PLATFORMS Predictive marketing applications can draw on a single, integrated CRM platform, which helps combine intent and company data into one location. This marriage of data makes it easier for marketers to merge data for better lead generation and lead scoring. Marketers can leverage even more diverse data and crunch it all to optimize marketing focus and spend. SOURCE: MARKETINGLAND, FEB. 3, 2015, “EXPLORING THE CUTTING-EDGE: PREDICTIVE MARKETING ANALYTICS.” 5PREDICTIVE MARKETING 101
  • 6. 6PREDICTIVE MARKETING 101 How Predictive Marketing Helps Marketers Succeed Marketers must be more accountable, show ROI, and improve the bottom line. NURTURE WITH PERSONALIZED MESSAGING Recommend products and services most likely to appeal to the customer. SEGMENTATION Focus on qualified leads, with the right message, to deliver more successful campaigns. Allows for budget focus, and moves resources to the best prospects. LEAD SCORING Estimate likelihood of taking a desired action. FIND NEW PROSPECTS Identify characteristics of a good customer, then seek more of those customers. REFINE PREDICTIVE MODELS Use machine learning to improve leads and the customer experience. PREDICTIVE MARKETING HELPS: It’s possible to tap into the signals of the decision makers and predict with more than 85% accuracy who is going to buy, when they are going to buy, and what they are going to buy. — ALISON MURDOCK, VP MARKETING, 6SENSE
  • 7. How Predictive Marketing Works Most marketers are ready to integrate predictive, but they do not know what to do with the data. HERE’S WHAT IS IMPORTANT: DATA INPUTS Integrate company data from marketing automation platforms (internal/first-party) and data from across the web (external/ third-party), and offline data such as events and other above- the-line data (e.g. TV). MODELING Build and continually refine the predictive model, based on all data analyzed through predictive platforms. QUALITY Understand where the data comes from (sources). It’s essen- tial to build a predictive model that is trustworthy over time. Predictive intelligence is an ongoing process of model refinement based on experimentation and results. —SEAN BEIERLY, MARKETING MANAGER, CISCO 7PREDICTIVE MARKETING 101
  • 8. What It Means Going Forward The Tipping Point. RELIABLE DATA ABOUT PROSPECTS REACH BUYERS EARLIER IN THE PROCESS PERSONALIZED EXPERIENCE RIGHT DEVICE & APPLICATION For B2B marketers, predictive is going to experience a tipping point as more accounts come to depend on granular, more reliable data about prospects, which they can use instantly to reach buyers earlier in the journey, on the right devices and applications, in an extremely personalized way. 8PREDICTIVE MARKETING 101
  • 9. 9PREDICTIVE MARKETING 101 Predictive Best Practices BE REALISTIC Predictive marketing has the power to augment your entire lead generation and follow-up processes. However, marketers need to start small when it comes to incorporating predictive with sales and marketing. For example, start with a small group of typical lead recipients to help reveal process flaws and establish bench- marks. This helps flesh out how leads are going to perform in the organization once predictive has more influence. PICK A CENTRAL PRODUCT OR SERVICE In order to establish stronger signals and build an initial predictive model, marketers should start campaigns with a product or service that is central to the business and with an audience that is already familiar and engaged. TEST PREDICTIVE Marketers should consider building a test or pilot case to prove that the technology can work within the sales and marketing teams. Try entering deals earlier, so that sales can reach the customer earlier in their research. KEEP THE OLD WITH THE NEW Predictive marketing is made up of many components. It can take a considerable amount of time for sales and marketing to fully understand how each process works. It is important that organizations keep the “old” protocol in place while introducing new programs incrementally. THE HUMAN TOUCH Nothing can take the place of human experience. Always consider the target audience and the goals you want to achieve, then input your own ideas. Predictive marketing is only as good as the data that goes into it. Pressing 'play' and sitting back won’t get the job done. Be active - and your predictive programs will best influence the ‘nuances of intent’ and improve results.
  • 10. 10PREDICTIVE MARKETING 101 Want to discuss your unique needs? Reach us at dwamedia.com or contact: JAMES MILLER SVP, Business Development JamesM@dwamedia.com +1 415 229 0902 1160 Battery Street West, Suite 400 San Francisco, CA 94111 BRIAN JONES VP, Innovation & Intent Marketing BrianJ@dwamedia.com +1 415 229 0911 1160 Battery Street West, Suite 400 San Francisco, CA 94111 CHRIS LEGER Group Account Director ChrisL@dwamedia.com +1 617 536 0222 45 Newbury Street, Suite 406 Boston, Massachusetts 02116 NORTH AMERICA STEVE JONES President, International SteveJ@dwamedia.com +44 20 7833 3222 16 Kirby Street London, EC1N 8TS GUY PHILLIPS VP, Business Development, EMEA GuyP@dwamedia.com +44 20 7833 3222 16 Kirby Street London, EC1N 8TS THOMAS BIEDERMANN Managing Director, DACH ThomasB@dwamedia.com +49 89 215550330 Pienzenauerstr. 52 81679 Munich EMEA KIARAN GEEN Group Managing Director KiaranG@dwamedia.com +61 (0) 2 9922 3130 4th Floor, 194 Miller Street North Sydney, New South Wales, 2060 ARYEH STERNBERG Head of Intent Marketing, ANZ AryehS@dwamedia.com +61 (0) 2 9922 3130 4th Floor, 194 Miller Street North Sydney, New South Wales, 2060 ANZ PIPPA BERLOCHER Managing Director, Singapore PippaB@dwamedia.com +65 6220 1640 155B/157B Telok Ayer Street 3rd Floor, 068611 EMMA SARRIA-SOLIS Business Development Director, Asia EmmaS@dwamedia.com +65 6220 1640 155B/157B Telok Ayer Street 3rd Floor, 068611 ASIA ABHAY KULKARNI Business Director, Bangalore AbhayK@dwamedia.com 91 80 6765 4135 Millenia Towers, Office 104 No. 1 & 2 Murphy Road Level 1, Tower B, Ulsoor MICHAEL ANG Business Director, Greater China MichaelA@dwamedia.com +86 10 8523 3355 Level 15, NCI Tower 12A Jianguomenwai Avenue Chaoyang District, Beijing
  • 11. ABOUT DWA DWA is a global media and marketing agency for technology companies. With its feet in media and its head in data and analytics, DWA has a fascina- tion with the art and science of engaging people. That’s why you’ll find us at the intersection where media, technology and strategic marketing meet. Operating from eight offices around the globe covering North America, EMEA and Asia Pacific, DWA offers a range of programs such as program- matic media,marketing automation, account-based marketing and content marketing consulting — all for over 150 of the world’s best technology companies, including Cisco, Dell, Salesforce and more. To learn more about DWA, visit www.dwamedia.com. © 2015 DWA Media, Inc. All rights reserved. ABOUT THE AUTHORS BRIAN JONES is the VP of Innovation & Intent Marketing, North America at DWA. He is also based in San Francisco. His email is Brianj@dwamedia.com. ARYEH STERNBERG is the VP of Intent Marketing, ANZ at DWA. He is based in Sydney. His email is AryehS@dwamedia.com. BEN BARENHOLTZ is the Senior Director of Global Marketing at DWA. He is based in San Francisco. His email is Benb@dwamedia.com.