MARKETING AUTOMATION Solution Study Insights, Landscape, & Vendor Analysis MARKETING AUTOMATION Solution Study Table of Contents 1 Executive Summary 03 2 What is Marketing Automation? 05 4 Benefits of Marketing Automation 08 5 Marketing Automation Deployment Lifecycle 11 6 Vendor Selection Criteria 13 7 Marketing Automation Solutions Landscape 18 8 Analyst Bottom Line 23 Action Plan 24 Our Solution Study Methodology 34 About Demand Metric 35 MARKETING AUTOMATION SOLUTION STUDY Executive Summary EXECUTIVE SUMMARY MARKETING AUTOMATION SOLUTION STUDY 4 Executive Summary Effective Sales Enablement is a multi-stage process. In our Sales Enable- This Solution Study covers: ment Solution Study Series, we examine each functional area of Sales Enablement, from initial marketing and sales alignment to the final deal close and revenue capture. What is Marketing Automation? In this report, we focus on the second of the two foundation technolo- gies of Sales Enablement – Marketing Automation. The insights and analysis presented in this report provide marketers with a Benefits of Marketing Automation baseline understanding of the Marketing Automation landscape. If your organization is considering Marketing Automation software, currently Marketing Automation implementing a Marketing Automation system, or providing a Marketing Deployment Lifecycle Automation-related product or service, this report will provide you with fresh insights on the landscape, technology, strategies, and vendor solutions. Vendor Selection Criteria Marketing Automation Solutions Landscape Action Plan THE EVOLUTION OF SHOPPER MARKETING MARKETING AUTOMATION SOLUTION STUDY 5 MARKETING AUTOMATION SOLUTION STUDY What is Marketing Automation? WHAT IS MARKETING AUTOMATION? MARKETING AUTOMATION SOLUTION STUDY 6 What is Marketing Automation? Demand Metric defines Marketing Automation (MA) as: The strategies, processes, and software technology that enable marketing departments to automate, measure, and improve the Email performance of marketing strategies, activities, Marketing and workflows. Lead Management These strategies and activities include: Email Marketing, Multi-channel Foundational Campaign Management, Inbound/Search Marketing, Landing Pages, Features Lead Generation, Lead Management, Lead Scoring, Lead Nurturing, of MA Systems Social Marketing, Marketing Resource Management, Event Management, Engagement Marketing, and Marketing Analytics. Campaign The four foundational functions of marketing automation systems are – Management email marketing, campaign management, lead management, and reporting Reporting and analysis. and Analysis While the most advanced and sophisticated marketing automation systems have extending capabilities far beyond this base, these functions are core to a Marketing Automation system. SALES ENABLEMENT ROLES MATRIX MARKETING AUTOMATION SOLUTION STUDY 7 Sales Enablement Roles Matrix ROLES RESPONSIBILITIES PROCESSES TECHNOLOGY CONTENT METRICS Revenue Accountability Budgeting & Planning CRM Thought Leadership Blog Revenue by Channel Senior Staffing & Channel Management Performance Reviews & QA Business Intelligence Webinar Presentations Customer Lifetime Value, NPS Management Reporting to CEO/Board Recruitment & Retention MRM Conference Keynotes Return on Customer (ROC) New Product Development Product Launch Product Mgmt. System Data Sheets, Whitepapers Market Share, Profitability Product Create Sales Tools/Guides Win/Loss Analysis Enterprise Feedback/Survey Case Studies/Testimonials Brand Equity Management Messaging & Positioning Competitive Analysis Content Management Competitive Analysis Content Usage Build Reports & Dashboards Sales Forecasting CRM Compensation Model % Quota Achieved Sales Operations Monitor Sales Productivity Territory Management Proposal/CPQ TCO/ROI Calculators Sales Cost/Revenue Ratio Data Management Sales Compensation Sales Content Portal Sales Playbooks Incentive vs. Quota Ratio Build Reports & Dashboards Marketing Budget CRM & Marketing Automation Buyer Personas Sales Qualified Leads Marketing Marketing Systems Admin Campaign Analysis Analytics & B.I. Customer Journey Map Cost Per Lead (CPL) Operations Data Management Lead Scoring & Nurturing Asset Mgmt. & MRM Proposals, Presentations Cost of Acquisition (CAC) Lead Generation & Events Advertising/Sponsorship Marketing Automation/Email How-To Guides Campaign ROI, Email Metrics Demand Branding & Social Media Lead Generation & Appointments Digital Asset Management Research Reports Marketing Qualified Leads Generation Content Marketing Tradeshows & Webinars Event/Survey Management Webinars Contribution to Pipeline Customer Acquisition Sales Process CRM New Features/Ideas for R&D % Quota Achieved Sales/Account Customer Retention Opportunity Management Proposal/CPQ Objection Responses Renewal Rate, Revenue Mgmt. Up-sell/Cross Sell Contact Management Sales Content Portal Sales Scripts Opportunity Metrics Staffing for Sales Enablement Recruiting & Hiring HRIS Job Descriptions Avg. Time to Achieve Quota Human Sales Training New Rep Onboarding Learning Management System Quality Assurance/Coaching % Unsuccessful Hires Resources Performance Management Performance & Firing LinkedIn & Job Websites Sales Training Manual # CV/Resume Submissions Customer Service/Support Helpdesk (phone support) Customer Support, Twitter New Features/Ideas for R&D Avg. Time to Resolution Customer Identify Sales Opportunities Email Support (case/ticket) CRM, Order Management Support Scripts % Escalations to Tier 2 Support Customer Insight/Feedback Online Community Requests Accounting/Billing/ERP FAQs, SLA Net Promoter Score (NPS) THE EVOLUTION OF SHOPPER MARKETING MARKETING AUTOMATION SOLUTION STUDY 8 MARKETING AUTOMATION SOLUTION STUDY Benefits of Marketing Automation BENEFITS OF MARKETING AUTOMATION MARKETING AUTOMATION SOLUTION STUDY 9 Benefits of Marketing Automation Here we explore the fundamental features/benefits of a typical Marketing Automation solution. We will explore the advanced and emerging features and benefits, such as engagement marketing and channel marketing automation, in the Marketing Auto- mation Solutions Landscape section of this report. Implementing a Marketing Automation system offers the following major benefits to the marketing organization: Aligns Sales & Marketing Develops Multi-Channel Marketing Alignment occurs when sales and marketing can agree on Campaigns the definition of a qualified lead, systems are integrated to Across multiple channels for email, web, mobile, events, provide visibility into activities and results and the loop is and social media. The use of a multi-channel approach can closed between the lead source and revenue generated. drastically reduce acquisition costs for new prospects and opportunities. Improves Accountability & Credibility Manages Marketing Resources When deployed properly, Marketing Automation solutions When key marketing processes are automated, fewer increase credibility by providing a system of record that resources are required to manage new opportunities. tracks and measures marketing activities and business results for the marketing organization. BENEFITS OF MARKETING AUTOMATION MARKETING AUTOMATION SOLUTION STUDY 10 Improves Lead Lifecycle Management Additionally, the marketing organization can reduce expenditures and more effectively manage marketing resources to deliver: For lead generation, qualification, scoring, nurturing and tracking and provide higher quality, more closeable leads to Total Marketing Revenue Contribution sales in: Higher Revenue Per Sale Lead to Closed Sale Conversion % Quality of Leads Passed to Sales % of Leads Accepted by Sales Quantity of Leads Generated Measures and Improves Revenue Performance Revenue analytics on prospect behaviors and campaign ROI provide marketers with the insight needed to optimize spending on the most profitable marketing programs. Download and complete Demand Metric’s Marketing Automation Maturity Assessment to evaluate the effectiveness and identify VIEW RESOURCE any weaknesses of your Marketing Automation system. THE EVOLUTION OF SHOPPER MARKETING MARKETING AUTOMATION SOLUTION STUDY 11 MARKETING AUTOMATION SOLUTION STUDY Marketing Automation Deployment Lifecycle MARKETING AUTOMATION DEPLOYMENT LIFECYCLE MARKETING AUTOMATION SOLUTION STUDY 12 Marketing Automation Deployment Lifecycle As noted previously, the maturing of the Marketing Automation market means A Marketing Automation deployment lifecycle typically begins with email that Marketing Automation has become an integral part of Sales Enablement, marketing and often moves through the marketing department as follows: as illustrated by our Sales Enablement Roles Matrix (page 7). FIGURE 1: MARKETING AUTOMATION DEPLOYMENT LIFECYCLE As you will see, Marketing Automation and related Marketing Resource Management (MRM) products and services are associated with the following roles and processes: 10 1 Senior Management uses MRM to support budget and planning, perfor- Revenue Email Analytics Marketing mance reviews, and the retention of sales reps. 9 Sales Operations uses Marketing Automation to support sales fore- 2 Behavior casting, territory management, and sales compensation. Landing Pages Tracking & Forms Marketing Operations uses Marketing Automation to support budgeting, campaign analysis, and lead qualification. 8 3 Demand Generation uses Marketing Automation to support advertising Social/Mobile Web Traffic Marketing Analytics campaigns, lead generation, and event marketing. Deployment of a Marketing Automation solution