New Generation Marketing Making the Business Case for Enterprise Marketing Software

Neolane confidentialCopyright Neolane Agenda 1. Situation Analysis 2. Existing Marketing Infrastructure Limitations 3. Recommendation: Purchase and implement an enterprise marketing automation system 4. Cost / Implementation Considerations

Neolane confidentialCopyright Neolane Situation Analysis (Describe what’s driving the need to make a change – for example) We are generating a high number of leads, but they are not converting well We are not able to measure campaign results to see what’s working and what’s not We have tried:  Testing new and different offers  Testing different times and days for executing campaigns  Trying new and different lists

Neolane confidentialCopyright Neolane Existing Marketing Infrastructure Limitations Experts such as Gartner, Forrester recommend more modern approaches including:  Personalization of content (beyond “Dear John”)  Time- and event-triggered campaigns  Nurturing campaigns  Leveraging new channels such as mobile  Coordinating campaigns across multiple channels from one central datamart

Neolane confidentialCopyright Neolane Recommendation: Purchase and Implement an Enterprise Marketing Automation System An enterprise marketing automation system can help: Drive revenue Decrease marketing costs Objectively measure results

Neolane confidentialCopyright Neolane Enterprise Marketing Automation can help drive revenue Personalization and targeting lead to higher response rates If something’s NOT working, we can see that early and shift our strategy “In 2009, companies that invest in new online marketing processes will drive at least a 10% increase in revenue within six months.” – Gartner According to Aberdeen, Best-in-Class cross-channel marketers demonstrate: 30% year-over-year increase in annual revenue 14% year-over-year increase in Return on Marketing Investment (ROMI); 23% mean performance on current response rates 22% year-over-year increase in customer profitability Gartner, “The Top Six CRM Marketing Processes for a Cost-Constrained Economy,” K. Collins, Dec. 12, 2008 Aberdeen Group, “Cross-Channel Campaign Management: Next-Generation Multichannel Marketing,” I. Michiels, Oct. 2008

Neolane confidentialCopyright Neolane Enterprise Marketing Automation can help cut costs Gartner estimates 15% savings on creative production with marketing automation Gartner estimates 5% reduction in marketing waste through automating fulfillment We could perform a higher volume of very targeted campaigns with no staff increase Gartner, “The Top Six CRM Marketing Processes for a Cost-Constrained Economy,” K. Collins, Dec. 12, 2008

Neolane confidentialCopyright Neolane Enterprise Marketing Automation would enable us to objectively measure results Campaign responses collected automatically  Profiles updated automatically We can measure:  Simple things like response rates  More complex things like Revenue-per-campaign Click-through rates by segment Top 5 performing campaigns by revenue We can align marketing goals with company objectives  Measure revenue from new products and new market segments

Neolane confidentialCopyright Neolane Cost / Implementation Considerations [Specify whether you are recommending hosted, on- premise or midsourced solution] [Range of costs based on discussions with vendors] [Length of time implementation might take, again based on discussions with vendors] [How you might pay for it – capitalized v. operating costs, where budget will come from] [Payback period based on your costs and anticipated return] 9

10 Neolane confidentialCopyright Neolane Appendix: Industry Statistics

Neolane confidentialCopyright Neolane Enterprise Marketing Automation can help reduce churn “In 2009, companies that develop effective retention management processes will reduce churn of profitable customers by at least 10% within six months.” - Gartner Gartner, “The Top Six CRM Marketing Processes for a Cost-Constrained Economy,” K. Collins, Dec. 12, 2008

Neolane confidentialCopyright Neolane Bad targeting/offers = bad response “Poor customer selection and segmentation capabilities impede the targeting of high-potential audiences and delivery of the most relevant marketing messages, both of which reduce response levels and ROI. Further, poor offer management practices increase the likelihood that you will make the wrong offers to the wrong audiences, resulting in low response rates. ” - Forrester Forrester Research, “Marketing Best Practices Adoption,” W. Band, Jan. 10, 2008

Neolane confidentialCopyright Neolane Enterprise Marketing Automation can help us close more deals According to SiriusDecisions, companies who invest in a Marketing Automation Platform (MAP) and have at least average processes in place to support it can expect significant return on investment in their first year, with an additional five deals closed per program based on a 50,000-name database.  Companies with an ASP of $50,000 can achieve $250,000 in incremental revenue  Companies with an ASP of $150,000 can achieve $750,000 in incremental revenue.  [Personalize with your company’s ASP and do the calculation – what would 5 more deals do for you?] SiriusDecisions, “Calculating the Return on Marketing Automation,” 2009

Neolane confidentialCopyright Neolane Automated lead management helps increase revenue “In 2009, companies that automate lead management processes will increase revenue by at least 10% within six to nine months, despite the uncertain economy.” - Gartner Gartner, “The Top Six CRM Marketing Processes for a Cost-Constrained Economy,” K. Collins, Dec. 12, 2008

Neolane confidentialCopyright Neolane Best-in-class companies integrate sales & marketing technology Aberdeen found that in Best-in-Class organizations that integrate marketing and sales technologies:  Increase marketing effectiveness by an average of 36%;  Increase sales productivity by 26%;  Reduce time-to-close by an average of 16%. Aberdeen Group, “The Convergence of Sales and Marketing Technologies,” I. Michiels, Dec. 2007

Neolane confidentialCopyright Neolane A more modern approach to marketing To maximize return on marketing investments, companies must blend a combination of strategic actions and new technologies to:  Measure multi-channel campaigns;  Automate multi-channel campaign execution; and  Identify high-value customers and market to them uniquely. Aberdeen Group, “Cross-Channel Campaign Management: Next-Generation Multichannel Marketing,” I. Michiels, Oct. 2008

Neolane confidentialCopyright Neolane What is Closed-Loop Marketing?

Neolane confidentialCopyright Neolane Growth of interactive marketing

Neolane confidentialCopyright Neolane Funding interactive marketing

Neolane confidentialCopyright Neolane Direct and print lose to interactive