I N D U S T RY O U T L O O K

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CMOs Lead the Data Revolution

2 APRIL 2013

INDUSTRY OUTLOOK 2013: CMOs Lead the data RevOLutiOn

D ata is an information asset that leads to deeper insights into your markets and customers. In the age of big data, the combination of unstructured and structured data has multiplied the value of information. Use that data well and you can grow your business, remove inefficiencies, and meet your customers needs and

expectations, while gaining a competitive advantage. But to extract the maximum value

from your big data riches, you will need a plan.

CMOS TaKe The LeaD wITh aNaLYTICS

The chief marketing officer (CMO) stands out as the single largest successful user of

data, well ahead of nearly all other executive roles, according to a new study dubbed

The Data Directive commissioned by Wipro and conducted by the Economist Intel-

ligence Unit.1 Fifty percent of CMOs polled in the survey have seen a clear, positive

difference in using data to improve their understanding and segmentation of custom-

ers. And 40 percent of CMOs surveyed saw similar merit in using data to increase sales.

In the report, Philip Clement, global chief marketing officer at AON, called the scope of

how data can improve marketing absolutely huge. Earlier in his career, Clement used

analytics to try to identify the typical characteristics of consumers who might, say, be

interested in muscle cars. Now, its just the opposite. You literally know who the person

is that likes muscle cars, he said.

Customer analytics is not new, but with the emergence of predictive analytics and

big data, companies are finding new ways to deepen customer engagement and hone

their marketing. With data analytics, organizations can make predictions in otherwise

unpredictable markets and with unpredictable consumers.

According to the Economist Intelligence Unit study, CMOs believe that increasing

cross-selling efforts and optimizing the marketing mix are the top areas in which

data has the greatest potential to deliver results. Event contextual offers, or the next-

best offer, will help create true differentiation, as opposed to a traditional predefined,

campaign-based consumer approach or a mass marketing-led consumer approach,

says Nitesh Jain, general manager and global head of the Advanced Analytics Practice

at Wipro Technologies.

Create a 720-degree plan that will help you turn data into insights to grow your business, remove inefficiencies and meet your customers expectations.

1. "The Data Directive: How data is driving corporate strategy and what still lies ahead," April 2013, conducted by the Economist Intelligence Unit and commissioned by Wipro

3 APRIL 2013

INDUSTRY OUTLOOK 2013: CMOs Lead the data RevOLutiOn

OpTIMIze The MaRKeTINg MIx

In todays connected world, the success of a brand often depends on the ability to reach

customers effectively. The optimal marketing mix balances return on investment (ROI),

brand equity and share of voice. Its essential to reach customers at the right time, using

the right channel, and with the right frequency. If you get any of these wrong, you may

erode consumer loyalty instead of increasing it.

The challenge of measuring marketing success is compounded by a complex mix

of brands and products, modern and traditional sales channels, fragmented media

and data-availability issues. Consumer behavior also varies across channels, regions,

cultures, rural and urban demographics and marketing strategies need to adapt to

those differences.

You need a comprehensive plan to meet these challenges and map out a strategy.

The first step is to get a 720-degree view of your customers.

geT a 720-DegRee VIew Of CUSTOMeRS

Organizations go to great lengths to understand their customers better from a business

perspective. Big data analytics can be used to provide a more complete picture of your

customers from both a business and a personal point of view, and this level of visibility

helps to better predict purchase habits. This insight enables you to meet your custom-

ers needs and expectations more precisely, which leads to greater satisfaction, stronger

loyalty and increased sales.

We believe that one of the newest and most effective ways to apply analytics and

uncover business opportunities is the 720-degree business view. As its name suggests,

a 720-degree review goes well beyond the traditional 360-degree view. Applying a

720-degree view to customers helps you understand how they use your products, which

in turn helps you to discover new opportunities to sell add-on products or services, or

develop new products or services. The insight can also be used to identify a customer

who is on the cusp of switching to a competitive product or service. Discovering this

shift in real time enables you to intervene before its too late.

A 720-degree view includes multiple views internal, external and personal of

your customers. The amount of valuable, usable data outside of your organization is

typically three times greater than what you have inside of your organization today.

Customer data sources and perspectives include:

Internal: Your view of the customer through your own sales data

External: Other companies views, which may be available through third parties

Transactional: Credit card company or bank view via transactions

Digital persona: Social media exposure, blogs, search data

We at Wipro believe that event contextual offers, or the next-best offer, will help create true differentiation, as opposed to a traditional predefined, campaign-based consumer approach or a mass marketing-led consumer approach.

Nitesh Jain, General Manager and Global Head of the Advanced Analytics Practice, Wipro Technologies

4 APRIL 2013

INDUSTRY OUTLOOK 2013: CMOs Lead the data RevOLutiOn

Analysis of the different views of your customers is the basis of a more accurate model

for predictive analysis and decision making. But to create this view, you must match

your customers digital profiles through unique identifiers across different systems.

Probabilistic matching can be used to match name, address or other personal data.

Unique customer attributes, such as organization name, job function and corporate title,

are usually incorporated in this process. Demographics can also be leveraged to include

information about the market segments to which the customer belongs, as well as the

customers professional affiliations.

Different data stores may contain slightly different user profiles for the same person,

and software can be used to combine the different personas that may exist for a single

customer. Matching algorithms should be embedded into your business processes to

ensure the highest success rates.

The eMeRgINg ROLe Of ChIef DaTa SCIeNTIST

One step that is critical to long-term success and accurate predictive analysis based on

big data analytics is to create a data sciences department, led by a Chief Data Scientist

who reports to the CEO.

You need the right mix of effective algorithms tailored to your business and goals,

automation of key processes, data filtering tools to weed out the noise, and smart people

involved at every step to identify and override errant data and conclusions.

With a data sciences department comes the creation of a new IT infrastructure thats

tailored for the needs of big data capture, storage and real-time analytics processing.

Careful planning and value-to-volume calculations should be performed to ensure that

a migration plan is put in place thats attainable and feasible both from a technology

and an economic point of view.

a ROaD Map fOR aNaLYTICS

Start your journey to analytics with a 90-day plan. Begin with an honest assessment of

your organizations IT abilities, what your company wants to accomplish with analytics,

and how to make changes to get there.

Next, you should identify the tools and skills required to turn your raw data into useful

information. Its important to ensure information quality and structure from the start,

as data is being collected or cultivated. Identify IT changes that are needed up front

so that you can filter the data according to your needs and define the migration paths

needed for clean and valuable data.

You can operate successfully at different levels of data-driven decision making, but

you should adopt a plan for continuous improvement. There are typically five levels of

decision making in which an organization can function. For instance, a Level 1 orga-

nization may be exploring analytics with few formal processes in place. In contrast,

The 720-degree business view, which includes internal, external and personal views of your customer, is an emerging and unconquered way to apply analytics and uncover business opportunities.

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INDUSTRY OUTLOOK 2013: CMOs Lead the data RevOLutiOn

a Level 5 organization has a closed-loop decision process, enabled by data analytics,

which allow it to:

View actions taken at a consumer level

Track responses

Launch new strategies through a well-defined test-and-learn approach

Reach out to its consumers at the moment of impact

At this highest level of maturity, organizations can tap into multiple channels for data,

run appropriate analytics continuously, and reliably predict events before they happen.

Analytics processing is a journey of continuous improvement that requires a super-

vised learning approach, rather than a destination that is achieved through automation.

Trusted advisors should be involved at each step, and analytics often requires leaps

of faith based on actual facts and data points. The cost of wrong analytics is hard to

measure, but it can be large. Therefore, its important that your data model evolves and

you continue to get business buy-in.

For almost any business, there are four phases to customer analytics processing

and adoption:

Customer prospecting: Using analytics to identify new markets to enter, new

products to develop, and new customers who want what youre selling.

Customer acquisition: Acquiring and applying data to enter new markets, and to

attract and persuade new customers to buy your products or services.

Maturing relationships: Mine your existing customers to identify new opportunities

with them.

Continuously measure: The goal is to never lose a customer relationship, and never

miss opportunities to grow existing relationships and form news ones.

Your customer analytics adoption plan should identify the right partners to work

with at each phase. This includes forming the right technology partnerships, as your

IT organization matures and your architecture migrates. The opportunity for big data

analytics is massive, and with the right plan and the right partners, you will be on the

road to gaining a competitive advantage.

Having a chief data scientist is critical to long-term success and accurate predictive analysis with big data analytics.

6 Copyright Wipro Technologies 2013

AbouT AnALyTICs And InfoRmATIon mAnAgemenT seRvICes

AbouT WIPRo TeChnoLogIes

Wipro is a leading provider of analytics and information management solutions

enabling customers to derive actionable business insights from data to drive growth,

enhance cost management and strengthen risk management. Wipro works with

customers to develop end-to-end analytics and information strategy, leveraging

process assets and solutions based on analytics, business intelligence, enterprise

performance management, and information management. For more information,

please visit www.wipro.com/aim.

Wipro Technologies, the global IT business of Wipro Limited (NYSE:WIT), is a leading

information technology, consulting and outsourcing company that delivers solutions

to enable its clients do business better. Wipro Technologies delivers winning business

outcomes through its deep industry experience and a 360-degree view of business

through technology helping clients create successful and adaptive businesses.

A company recognized globally for its comprehensive portfolio of services, a practi-

tioners approach to delivering innovation and an organizationwide commitment to

sustainability, Wipro Technologies has 140,000 employees and clients across 54 countries.

For more information, please visit www.wipro.com.

www.wipro.com/aimwww.wipro.com