4. European data protection
reform
Achim Klabunde
Policy Officer Data Protection, Directorate General for Justice,
European Commission
Achim has requested his slides are not made available
5. UK’s position on European
data protection reform
The Rt Hon. Sir Alan Beith MP
Chairman of the House of Commons Justice Select Committee
7. Countdown to cookie
compliance
Fedelma Good
Head of Marketing Privacy & Information Management, Barclays
Marc Dautlich
Partner and Head of Information Law, Pinsent Masons LLP
8. DMA Data Protection
Conference 1st March 2012
Countdown to Cookie Compliance
Fedelma Good
Head of Marketing Privacy & Information Management, Barclays
Marc Dautlich
Partner and Head of Information Law, Pinsent Masons LLP
10. Covering
• Introduction
• Clarifying the boundaries of the revised law
• Guidance - from the legal and the regulatory perspective
• How ready is UK plc for May 26th?
• What impact are the changes likely to have?
• Some final, practical advice
11. Clarifying the boundaries of the revised
law
Beware: The law doesn’t just cover cookies
• The law isn’t actually about cookies, but because it affects them so much people
have started calling it the ‘Cookie Law’
• The law covers all technologies which store information in the “terminal equipment" of
a user, and that includes so-called Flash cookies (Locally Stored Objects), HTML5
Local Storage, web beacons or bugs…and more
And it doesn’t just apply to websites …
• You also need to think about other instances where similar technologies are used e.g.
emails and Apps.
But intranet sites are excluded
• i.e. sites targeted purely at your employees.
12. In summary
Those setting cookies must:
• tell people that the cookies are there,
• explain what the cookies are doing, and
• obtain their consent to store a cookie on their device.
13. Can browsers help?
• The law provides that browser settings can be used to indicate
consent, but, the view of the ICO is that current browser settings are
inadequate for the task.
• The hope is that browser software will provide a solution (but this
would rely on 100% uptake of any new releases).
• Microsoft's Internet Explorer 9 browser already offers a setting to
protect users from potentially intrusive cookies.
• Firefox and Google's Chrome could soon follow suit as they attempt
to integrate 'Do Not Track' technologies.
• Safari, the default web browser on the Apple iPad and iPhone,
blocks third-party cookies by default.
• DCMS are continuing to talk with the browser manufacturers and we
hope to hear more from this in the near future.
14. Guidance
… from the legal and the regulatory perspective
The ICO’s perspective
• On 13 Dec 2011 the ICO issued his half-term report on how things
are going. His verdict, he wrote, "can be summed up by the
schoolteacher's favourite clichés: 'could do better' and 'must try
harder'. A report that listed the URLs of sites that were perfectly
compliant from day one would be very short indeed. This is not a
surprise to anyone who recognises that redeveloping and
redesigning is no easy task.“
15. The ICO’s core advice remains the same:
“It is not enough simply to continue to comply with the 2003
requirement to tell users about cookies and allow them to opt out.
The law has changed and whatever solution an organisation
implements has to do more than comply with the previous
requirements in this area.”
1. Check what type of cookies and similar technologies
you use and how you use them.
2. Assess how intrusive your use of cookies is.
3. Decide what solution to obtain consent will be best in
your circumstances.
16. Take some comfort …
• “The guidance we’ve issued today builds on the advice we’ve
already set out, and now includes specific practical examples of
what compliance might look like. We’re half way through the lead-in
to formal enforcement of the rules. But, come 26 May next year,
when our 12 month grace period ends, there will not be a wave of
knee-jerk formal enforcement actions taken against those who are
not yet compliant but are trying to get there.”
17. Some recurring questions
• Websites with a global audience?
• Legal responsibility vs brand impact?
• Who goes first (or last)?
– Will big brands wait until 26th May to make their website changes
live or will they step out bravely earlier than this?
• The do nothing brigade?
– Are those who have decided to do nothing playing a dangerous
(or a clever) game?
• Consumer awareness?
– As awareness and understanding increase will website users
who come across non compliant sites be more likely to
complain?
Page 17
19. How ready is UK plc for May 26th?
• Google awareness campaign – Good to know
• Google
• Redbridge Media
• BBC
• DCMS
Page 19
20.
21.
22.
23. What impact will all this have?
The (free) internet relies on cookies …
• A large number of services may only be offered – free of
charge – because their providers finance them by means of
advertising and behavioural targeting has proved to be the
most efficient method of advertising on the Internet.
• In other words, many services that are available on the
Internet could not be offered at all or at least not free of
charge, if they were not financed by advertising.
24. What impact will all this have?
• Conservative estimates are that over 92% of websites in the
EU use cookies at the moment
• They’ll either have to stop using cookies, or start gaining
consent
• And the burning issue is … how to gain consent
• A business coalition has created a website to illustrate how
the Dutch transposition of the European E-Privacy Directive
would impact the web surfing experience …
25.
26. What impact will all this have?
• There are other sites that demonstrate the potential impact in a
humorous way including David Naylor’s site …
27.
28.
29.
30. What impact will all this have?
• And no matter what choice you make the impact could be significant …
32. Some final, practical advice
• If you haven't already started to look at the issue, do so today
• Inform and educate internally
• Ensure the issue is understood by senior stakeholders
• Allocate budget and resource
• Set up a cross functional task force to manage the process
through to completion
• Ensure customer facing staff know what to say if customers
ask what your organisation is doing to comply
• Make easy and immediate changes e.g. add to your existing
cookie policies to tell your customers that you are getting
ready
Page 32
33. Some final practical experience
• Identify all your websites
• Audit your websites
1. Check what type of cookies and similar technologies
you use and how you use them.
2. Assess how intrusive your use of cookies is.
3. Decide what solution to obtain consent will be best in
your circumstances.
• Implement and test your solution
• Provide clear and understandable descriptions of
cookies (in same or similar language to others?)
Page 33
34. And finally
• Remember that this is not just about being compliant for
26 May 2012:
– Set up policies and procedures to manage the issue going
forward
• Ensure the issue is understood by senior stakeholders
Page 34
44. rant to Ofcom..
Source: ICO, 6 Jan 2012 September 2010 to September 2011
Source: Ofcom, CCT data
1 2
45. EC legislation headlines
Affects storage
•It’s personal !
•Security and
us all
• Why, what purpose, how long?
•Rightmore portability & complaint
Be to access proactive
•Communications – EXPLICIT OPT-IN
Severe fines
•Pro-active breaches – come clean!
46. (a) the purposes of the processing;
(b) the categories of personal data concerned;
(c) the recipients or categories of recipients to whom the personal data
have been disclosed, in particular the recipients in third countries;
(d) the period for which the personal data will be stored;
(e) the existence of the right to request from the controller rectification,
erasure or restriction of processing of personal data concerning the data
subject; (right of access)
(f) the right to lodge a complaint to the supervisory authority and the
contact details of the supervisory authority;
(g) communication of the personal data undergoing processing and of
any available information as to their source.
47. telemarketing hits legislative brick wall?
17.2 million TPS
12 million landline
5.2 mobile
Multi-channel access
Sophisticated consumers messages a day
50. Standard
Standard Enhanced
Enhanced
LEAD GENERATION
Bound by figures
Data DMC Rate
Data
30.00%
Data
50.00%
Calls Per Hour 22 10
DMC’s Per Hour 6 5
Productive Hours Per Day 6.5 6.5
DMC Conversion Rate 1% 12.50%
Sales Per Agent Day 0.43 4
Data Penetration Rate 50% 80%
Driven by data
Data Required Per Day
Cost Per Lead
286
£0.10
82
£1.50
Data CPA £66.67 £30.28
53. getting it right
3 million
records per month
20 million
records hosted
Dialler ready data
Sales coaching
Performance and MI reporting
54. getting it right
results
• Successful performance model developed
• 10,000 additional customers every month
• Cost per sale down by 16% (lowest ever )
• Sales up 30% on year
• Annual data usage reduced by 150%
• ROI has saved over £1million per year
• Reduced non compliant data usage to zero
• Mitigated bad publicity and avoided Ofcom penalties
61. osborneclarke.com
Some basics: CAP Code
• ASA-enforced "CAP" UK Code of Non-broadcast Advertising,
Sales Promotion and Direct Marketing ("CAP CODE") applies to
any marketing activity in social media provided it is:
– under the advertiser's control and
– directly connected with the supply or transfer of goods, services,
opportunities and gifts or
– directly soliciting fund-raising donations
• Penalties:
– full case report published
– removal of paid-for search linking to relevant page
– ASA paid-for ads on search engines, highlighting advertiser's non
compliance
– microsite for non-compliant online advertisers 61
63. osborneclarke.com
Some basics: unfair trading
laws
• Consumer Protection from Unfair Trading Regulations 2008
("CPRs")
• apply to the following in any media channel
– any act, omission, course of conduct, representation or commercial
communication (including advertising and marketing) by a trader which is
directly connected with the promotion, sale or supply of a product to or from
consumers
• Penalties:
– For businesses and consenting, conniving or negligent directors, managers,
secretaries or a person purporting to act in that capacity
– fines up to £5000 and up to 2 years in prison
– Injunctions under Enterprise Act 2002
– Public undertakings 63
64. osborneclarke.com
Some basic rules to follow
• Make it clear that an ad is an ad (and not someone's post)
– see "always unfair" commercial practices #11 & #22 in Consumer Protection
from Unfair Trading Regs 2008 Schedule 1
– See also 2.4 and 3.45 CAP Code-identify advertorials and testimonials must
be genuine
• CAP Code basic rules: legal, decent, honest, truthful
• User-generated content
– must comply with CAP Code if adopted, highlighted etc by advertiser
– re-tweeting could trigger CAP Code testimonial rules
• Data protection: collecting personal data from/contacting
individuals on social media? Comply with DPA/PECRegs
64
65. osborneclarke.com
Social media- marketing on Twitter
• See Twitter's own rules:
– Promoted Products Policy, UK Guidelines and
Guidelines for Contests on Twitter e.g.
• get permission to use another's Tweets
• promo rules should disqualify entrants using multiple
accounts to enter
• discourage repeated retweets
• Promoted Products targeted to the UK that directly promote
unlicensed gambling services not allowed
• NB Celebrity Tweet issues-watch out for the Office of Fair
Trading
65
66. osborneclarke.com
Social media-marketing on Facebook
• See Facebook's own rules:
– Promotions Guidelines, Advertising Guidelines and
Platform Policies
– Promotions must for example:
• state that promo is in no way sponsored, endorsed, administered or
associated with Facebook
• not condition entry on user taking any action using any Facebook
features or functionality other than liking a page
• not use Facebook features or functionality as an entry mechanism eg act
of liking a page
• NB Sponsored stories- CAP Code rules re: eg alcohol
66
67. osborneclarke.com
Top ten cases #1
OFT vs Handpicked Media Feb 2011
• Handpicked Media ("HPM") operates a commercial
blogging network
• As part of its client services, it engages bloggers to
provide editorial coverage of topics eg fashion, music
• Blogs include favourable references to HPM clients
• Appear on various sites including Twitter
• No mention of commercial connection between blogger
and brands
• OFT investigates..
67
68. osborneclarke.com
Top ten cases #2
Nestlé and Greenpeace March 2010
• Greenpeace accuses supplier of palm oil to sweet brands
of illegal deforestation
• Kraft/Unilever suspend contracts, Nestlé: we will
investigate first
• Greenpeace posts a video criticising Nestlé
• Nestlé takes legal action to get video taken down
• Greenpeace calls for mass retaliation
• Nestlé's Facebook page fills up with complaints and user
profile pics carry altered Nestlé logos
• Nestlé tells users it may delete altered logos from profiles
68
69. osborneclarke.com
Top ten cases #3
Preece v JD Wetherspoon PLC May 2012
• Wetherspoon employee handbook reserves right to take
disciplinary action if …
• any employee blog "including pages on sites such as Facebook
..is found to lower the reputation of the organisation, staff or
customers"
• Pub manager Miss Preece posts negative comments on
Facebook about verbal abuse and physical threats she
suffered at hands of two named customers
• Miss Preece thought only 40-50 of her closest friends
would see these. She actually had over 600 contacts
• Preece is sacked for gross misconduct and appeals
69
70. osborneclarke.com
Top ten cases #4
Snickers/ Rio Ferdinand et al Jan 2012
• Rio Ferdinand, Katie Price & ors start posting odd Tweets
ending with their photo with a Snickers bar
• Last Tweets link to an @snickersUKhungry#spon account
set up by Mars
• Unclear whether the personalities are paid by Mars
• Two complaints to the ASA
• The ASA is investigating
70
71. osborneclarke.com
Top ten cases #5
Ebuyer and the ASA December 2011
• Website for online electrical goods retailer Ebuyer.com
• "Foehn & Hirsch Portable WiFi Internet Radio (black)" and
showed four and a half stars
• Further text states "17 reviews", all favourable
• Complainant's negative review does not feature and he
complains to the ASA
• Ebuyer to ASA: "current filters are pre-set to show those
ratings which are most useful and these will be more
positive than negative"
71
72. osborneclarke.com
Top ten cases #6
Hays Recruitment vs Ions June 2008
• Middle ranking Hays consultant Mark Ions…
• uses his LinkedIn network to approach clients for his own
rival agency "Exclusive Human Resources" ("EHR")
• EHR set up 3 weeks before Ions resigns from Hays
• Hays apply to court for an order that Ions hands over his
LinkedIn business contacts
• AND all emails sent to or received by his LinkedIn account
from Hays computer network
• AND all documents showing any use by Ions of the
LinkedIn contacts and any business obtained from them
72
73. osborneclarke.com
Top ten cases #7
Mercedes Benz "Win a Vito" promo Jan 2012
• Entrants to submit creative content showing why they
should win
• Judging panel draws up shortlist of 10 for public vote
• Ts and cs: right to alter, amend or foreclose at any time
• During voting, a contestant complained that 2 other
entrants had posted their entries on forum sites using
public voting systems
• After initially saying this was OK, Mercedes Benz ("MB")
discovers that the 2 entrants had been offering to pay for
votes
73
74. osborneclarke.com
Mercedes Benz "Win a Vito" promotion #2
• MB suspends voting period, disqualifies 2 entrants and….
• amends ts and cs to
• reserve right to disqualify any finalists if it has reason to believe
anyone voting for their submission has been paid or incentivised in
any way, either by a finalist or a third party
• MB restarts voting
• MB discovers that the original complainant is using websites allowing
her to exchange votes with other contest entrants
• MB disqualifies complainant
• Complainant complains to the ASA that late change to the rules
unfairly led to her disqualification and that the contest had not been
conducted fairly
74
75. osborneclarke.com
Top ten cases #8
Coastal Contacts, Inc (US) November 2012
• Coastal Contacts ("CC") Facebook page:
• "Like this page! So you can get your free pair of glasses"
• Competitor 1-800-Contacts complains to the National
Advertising Division ("NAD") that CC had been misleading
and fraudulent by…
• omitting to mention offer conditions such as the need to
pay cost of shipping and handling until after "like" clicked
and ……
• mentioning the number of "likes" received from all its
Facebook pages globally in later press releases given to
investors 75
76. osborneclarke.com
Top ten cases #9
PhonepayPlus and Captive Interactive Feb 2012
• Captive Interactive operates "Miss Teen Queen UK", an
online beauty pageant ..
• and encourages contestants to post promotional material
on Facebook urging friends to send texts supporting their
entry
• The number to text is a premium rate service number
• One contestant does this and as a result two sisters aged
11 and 12 spend a collective £2548 texting their support
for that candidate
• PhonepayPlus investigates
76
77. osborneclarke.com
Top ten cases # 10
TripAdvisor and the ASA February 2012
• The TripAdvisor website states
• "read reviews from real travellers…offers trusted advice…more than
50 million honest travel reviews
• on review pages is TripAdvisor logo and "Reviews you can trust"
• KwikChex Ltd complains to the ASA that the above is
misleading as TripAdvisor does not verify reviews and
cannot not prove they are genuine
• TripAdviser: no review site can guarantee it is 100% fraud
free. Not practical to manually screen all reviews pre post.
All reviewers have to click to confirm that their review is
honest and genuine
77
78. osborneclarke.com
Sum-up
• Reviews, likes & other user-generated content: use
and present with care and remember copyright/moral
right!
• Employees, social media and brands -accidents waiting
to happen so review your employee social media policies.
• Data protection -so far the platforms, not marketers have
occupied data privacy headlines, but don't be the first to
change this and watch out for the new DP Regulation.
• Paid-for endorsements? Read the IBA/ISBA Guidelines.
78
79. osborneclarke.com
Any questions?
[insert photo here]
Height = 5.39cm
Width = 5.81cm
Stephen Groom
Head of Marketing & Privacy Law
T +44 (0) 207 105 7078
M +44 (0) 207 105 7078
stephen.groom@osborneclarke.com
www.marketinglaw.co.uk
79
80. Best Practice and Legal Issues of
Social Media
Stephen Groom
Head of Marketing and Privacy Law
Osborne Clarke London
1 March 2012
86. Lateral Group Our Vision & Mission
• We help our clients gain greater insights into their customers
and prospects, supporting them to profitably sell more
products and services by developing and enhancing
relationships through the creation and delivery of integrated
communications across all channels.
• We will continually demonstrate the successes that we
deliver our clients through the clear measurement of ROI,
driving on-going effectiveness and efficiency.
92. DPA Requirements
• Have you gained the correct permission?
• Did you explain what you are going to use data for
• Fair processing notices, Privacy policies
• Did you gain consent?
• Freely given, full informed, specific to the
circumstances, and with a positive indication of the
Data Subject wishes
• Remember it can be withdrawn!
• You are not using the data for something else – are you?
• You can only use data for the purpose or purposes
specified at the point of collection
93. Legislation
• Privacy and Electronic Communications Regulation
• Is it a service message or marketing message
• Can you send a service message?
• Can you send a marketing message?
• Is it B2C or B2B?
• Different rules for each
• What sort, if any, opt-in do you have or need?
• Can you prove it?
94. Email Marketing
• Compliance Requirements
• From PECR and DPA
• Service message
• Opt in not required, but you must have permission
• or marketing message
• Opt in is required for consumers
• Not for business
• But different in different countries
• What is Opt-in or soft opt in
95. European Email opt in rules
Country Consumer Business
Austria Yes No
Denmark Yes Yes
France Yes No
Germany Yes Yes
UK Yes No
96. Email Opt In
• Soft Opt In
• If in the process of making a purchase a consumer
supplies their email address
• They consent to receive marketing email “for the time
being”
• On similar products and services
• As long as unsubscribe was offered at the time and in
every subsequent communication
97. Email Marketing
• Gathering Consumer Consent
• Cannot provide pre ticked opt in boxes
• See example
• Must opt in to having their email address passed to third
parties
• Each email communication must contain an unsubscribe
mechanism
98.
99. Privacy and Consent
• When collecting consent
• Store the paragraph that the user signed up to against
record in database
• Give user as much choice as possible to get best
response
• Allow for service messages in web privacy
• Do not be too restrictive with definitions of usage
• You cannot easily change it later!
• Understand email requirements from PECR
101. Increasing Email Permissions
• The drive to integrate online channels to reduce costs
and develop relationships often highlights issues with
customer permissions.
• Often these arise through changes in permission
processes, legacy systems or new data acquisition.
• …there are a number of strategies available for
marketers to ensure that their permission data is
optimised in a multi-channel environment.
106. DMA data conference
Multi-channel marketing
analysing multi-channel online data is like
trying to drink from a fire hydrant
Mark Patron
1st March 2012
10
6
107. Agenda
• Data Protection legislation
• How consumer data has developed
• Behavioural data - email example
• Multi-channel media attribution
10
7
108. Data Protection legislation
• European Data Protection legislation is good for the
advertising industry. Protects it from itself.
• Just compare with US self-regulation where three
quarters of Americans signed up to “do not call” list.
• Consumers in the US feel they have lost control of their
personal data. In Europe consumers have recourse
through Data Protection legislation.
• The balance between consumers’ right to privacy and
marketers’ wish to target is a fine and sometimes fraught
one.
• This balance changes over time, for example Tesco
Clubcard, 1 - 2% discount in exchange for personal data.
10
8
109. New EU Data Protection Directive
New right to be forgotten Good idea. Consumers
wound up if no one
remembers. Auditing?
Limits on profiling of In employment law for a fair
individuals selection or redundancy
process use a scorecard!
Data protection registration Really for mainframes!
requirements and costs Can legislation keep up?...
abolished
10
9
110. Facebook and privacy
• “Every year people are sharing twice as much
information as the previous year” Facebook CEO, Mark
Zuckerberg
• Facebook is a case study in how respecting and
protecting privacy is fundamental to trusting a brand
• Facebook, similar to many data driven businesses, has
an inherent conflict - it makes more money by being
more open with peoples’ personal data
• The next generation are growing up online and are not
passive recipients of information anymore, they share…
• But employers are discriminating against candidates
because of something they shared on Facebook
11
0
111. Google and privacy
Content tracking Google new privacy policy:
identify users across all its
services and integrate data
across all its services
Digital photographs
when & where taken Could locate individuals in any
+ face recognition digital photograph on internet
& derive where user has been,
with whom and doing what
Add YouTube and Android smartphones “implications are breathtaking”
Source: FT 16/2/12
11
1
112. Different types of consumer data
Transactional/RFM What?
Customer
Behavioural Where?
Demographic Lifestyle
How?
Credit
Attitudinal Market research Why?
11
2
113. How consumer data has developed
Date Type of data Source Recency 1st/3rd Revenue/
party user/yr
‘80’s Customer d’base Customer < 1 day 1st £50
transactions
Geodemographics Census < 10 years Anon. £0.05
‘90’s Lifestyle Lifestyle surveys < 6 months 3rd £2
‘00’s Transactional Co-op databases < 1 month 3rd £0.5
Search Google Real time 1st £15
Behavioural Web analytics and Real time 1st £50
email database
‘10’s Social media User generated Real time 1st/3rd £3
shared content
11
3
114. How do you segment your customers?
Source: Econsultancy/RedEye Conversion Rate Optimization Report 2011
11
4
115. What do you use segmentation for?
Source: Econsultancy/RedEye Conversion Rate Optimization Report 2011
11
5
116. Relevance is key
46% of respondents said
that irrelevancy is the
main reason for
unsubscribing from
company’s email
newsletters…
Frequency of emails is another reason with 23% of email
users listing it as a reason to unsubscribe.
11
6
119. Evans Cycles case study
Evans Cycles implemented
a highly segmented,
customer lifecycle email
marketing strategy.
• 103% increase in year
on year revenue
• 2399% ROI
• 84.9% open rate
• 40.5% click through rate 2399%
ROI
11
9
120. Online data varies considerably in quality
Ov e r Re porting of Visitor Figure s ov e r 28 day pe riod
on xxx.com
700%
600%
500%
400%
300%
200%
100%
0%
1 3 5 7 9 11 13 15 17 19 21 23 25 27
IP Based Cookie Based
Method Good Limitations
IP Cheap and easy Inaccurate
garbage-in garbage-out
Cookie Cheap and easy, Cookie deletion and
More accurate blocking
Log in More accurate for More expensive
registered visitors, What to do about non
Better for targeting registered users?
Cookie & log in Much more accurate More expensive
More difficult
More commitment needed
Source: RedEye
12
0
123. Media attribution - last click wins
• Default model since post click tracking began online in the
mid nineties and adopted as standard by Google AdWords,
DoubleClick and web analytics vendors
• Aggregators like MoneySupermarket have used a model
that allows them to own the prospect for up to 60 days
• Online data shows the full interaction a customer has with
the brand across all channels
• Enables you to see the time between visits, the influence a
channel has on each sale
• But it’s a lot of data to crunch…
12
3
125. Monarch Airlines case study
• On average 60% of sales have some form of assist
• Half of all sales with an assist complete on a different
channel from the assist
• In some cases you can attribute up to 60% more of your
sales to tracked media rather than ‘unknown’ or ‘direct to
site’
• Media attribution analysis led to streamlining online
marketing activity:
• Migrating from PPC to SEO for destination terms
• Paid destination terms expensive & not converting OR
supporting SEO terms
• Increased investment in comparison site activity…
12
5
126. Assist Correlation Nodes – January 08
3.5%
Email Natural Search
All Sales All Sales
2.5% no assists
8.5%
48% self assist
18% no assists
45% self assists
2% 14.5%
4% 9%
3.5% 10%
17% 3%
Paid Search
Comparison
All Sales
17% no assists 4% Sites
Comparison sites
All Sale’s
42% self assists
29% no assists
29% no assists
30% self assists
Lower crossover to over
8.5%
channels
Increase investment 12
6
127. Assist Correlation Nodes – January 08
Drill into search
16%
Paid Search - Natural Search
Brand - Brand
12.5%
All Sales All Sales
17% no assists 16% no assists
42% self assist 41% self assists
4%
4% 0%
Non brand / Destination 4.5% 9%
0% 0% 4.5%
terms
Not influencing brand 8%
25%
Paid Search
terms Natural
0%
– Non
Brand
Don’t spend extra money Search – Non
Brand
All Sales
25% no assists
on expensive paid All Sales
0% 30% no assists
0% self assists
destination terms 31% self assists
12
7
128. Example output matrix
Closes sales - Spend More
% last Click Sales
Integrate with overall
strategy
Email
PPC
Display
SEO
Affiliate
Starts sales process -
Integrate in overall
Reduce spend strategy
% total contribution
12
8
129. Conclusion
• The balance between consumers’ right to privacy and
marketers’ wish to target is a fine and sometimes
fraught one
• 1st party data - consumers understand and expect
3rd party data - consumers expect permissioning
1st/3rd party sharing/network effects - more thought reqd.
• We are in danger of blindly giving up our future privacy
in return for free apps
• We need good regulation and privacy watchdogs to
protect consumers (and the advertising industry from
itself), but not to stifle innovation (or jobs)
12
9
154. Making sense of consumer data
in the digital world
Jonathan Burston
Sales Director, CACI
155. Making Sense of Consumer Data in the Digital World
Jonathan Burston
Sales Director, Integrated Marketing Group
156. A few years ago there was ‘The Line’…
Long lunches, beautiful ads, sexy models, big budgets…
Sales? ROI? The econometric model says we need more TV…
“We’re brand builders, darling.”
Targeted comms, just smaller budgets (& lunches)…
Response Rates may be low but it’s profitable…
“We use data-driven insight & analysis”.
157. …consumers interacted directly with brands
“ I buy in shop, direct or through an intermediary
I’ll ask friends or read reviews in magazines
I watch TV, read the paper, have a mobile
Identity theft is losing my wallet
My bank, the Government & data companies know me
Brands or data companies survey me
I can opt out or ignore comms ”
158. The information age has transformed this…
Explosion of channels
Google, Facebook, Apple etc. are the new data giants
Technology, software, social change?
We’re all fuelling this data explosion
More data for marketeers then ever before…
159. …consumers don’t just engage directly with a brand
800m Facebook users/ 100 million Twitter users
½ of all mobiles to be smartphones by 2015
Over 250m Tweets a day
Over 18bn App downloads via iTunes
Twitter has over 15bn API calls per day
160. Now we have what we’ve always craved: Contextual Data
Likes, dislikes, real-time location, preferences, interest…
Consumers openly supply data to brands & friends
Brand interaction can be tracked
Active
Word of Mouth can be measured Brand
Engagement
Consumer influence can be gauged
Tracking technology continually getting smarter
161. Digital trails are long and complex…
Network
Network
Comment
Comment Engagement
Engagement
Location
Location Sentiment
Sentiment Referral
Referral
Personal
Personal Interest
Interest IP Address
IP Address Affiliation
Affiliation
Purchase
Purchase Click-Stream
Click-Stream Cookie
Cookie Age
Age
Preferences
Preferences Open Rates
Open Rates Time/Date
Time/Date Income
Income
Click-Thrus
Click-Thrus Screen
Screen Geo-dems
Geo-dems
Likes
Likes Trigger
Trigger
Behaviour
Behaviour
162. …customer records are becoming more complex & diverse
Personal Data
Personal Data Personal Data
Personal Data
Demographic & Lifestyle
Demographic & Lifestyle Demographic & Lifestyle
Demographic & Lifestyle
Transactional Information
Transactional Information Transactional Information
Transactional Information
Comms Data
Comms Data Comms Data
Comms Data
Behavioural (Web & Comms)
Behavioural (Web & Comms)
Predictive (Web & Comms)
Predictive (Web & Comms)
UGI & CVI
UGI & CVI
Social Media Engagement
Social Media Engagement
Sentiment
Sentiment
163. A Consumer Digital Data Model
Web
Brand
ESP
P Cookies
Social
WEBSTE Media
Beacons
WEBSITE
P A
A WEB
ANALYTICS Flash Cookies
IDENTIFIABLE CONSUMER CONSUMER 3RD PARTY 3rd PARTY ANONYMOUS
CONSUMERS VOLUNTEERED DERIVED VOLUNTEERED DERIVED CONSUMERS
Personal data provided to an Data derived about consumers Data acquired on consumers Data collected & aggregated
organisation directly by or customers based on via 3rd party Social Media sites on anonymous consumers
consumers or customers observed behaviour (and intermediaries) based on observed behaviour
• Contact Details
• Contact Details • IP Address
• IP Address • Personal details
• Personal details • Web behaviour
• Web behaviour
• Preferences
• Preferences • Cookie data
• Cookie data • Network Size
• Network Size • Click-stream data
• Click-stream data
• Purchases
• Purchases • Browsing history
• Browsing history • Location
• Location • Location/ IP Address
• Location/ IP Address
• Location
• Location • Screen Resolution
• Screen Resolution • Brand affiliation
• Brand affiliation • Shopping Basket
• Shopping Basket
• Personal Data
• Personal Data • Email Behaviour
• Email Behaviour • Comment
• Comment data
data
• Privacy Options
• Privacy Options • Email Provider
• Email Provider • Sentiment
• Sentiment • Interests
• Interests
• Reviews
• Reviews • Preferences
• Preferences
• Brand sentiment
• Brand sentiment • Aggregated
• Aggregated
• Contextual data
• Contextual data demographics &
demographics &
• Brand Engagement
• Brand Engagement geo-demographics
geo-demographics
• Likes/ Dislikes
• Likes/ Dislikes
164. Marketing language is rapidly changing…
Open
APIs Networks
Amplification
Communities
Social
Conversational Networks
Marketing
Tradigital
Augmented
Marketing
Reality
Sentiment
Monitoring
165. …consumer expectations have increased
FROM TO
6 week reaction 0.06 second reaction
Single Channel Multiple Channels
One to Many One to One to Many
Push Pull
Data assimilation Customer dialogue
Muted Loud
166. Marketing models have to (and are) adapting
PUSH
Acquisition Growth Retention
PULL
Engage
Brands need to record, link, monitor and
utilise relevant data collected from inbound,
Influence outbound and intra-consumer conversations,
across all relevant channels to drive better
conversations and therefore have deeper
customer relationships
Amplify
167. Familiar challenges still exist
Data held in organisational silos
A lot is known about a few
Data rich; insight poor
Brand centric data, not user centric-data
Organisational planning still product, not consumer focussed
168.
169. Have we lost our privacy?
Picture: viiphoto.ning.com
170. Where next?
• Consumer digital is increasing and will only increase
• Digital data market is changing rapidly – often daily
• Whether social, web behaviour, email behaviour, Open ID or all – no brand is
impervious & you’ll already be collecting this data
• Increasingly more difficult for marketing organisations to help clients have
coordinated ‘direct’ conversations with their customers
• Permission management still key