Building Blocks for a Customer Focused Future - ABM Annual Conference

American Business Media’s 2012 Annual Conference JACK GRIFFIN | APRIL 29, 2012

Building Blocks for a Customer Focused Future

When is everything gonna get back to normal? – Roger Sterling, Mad Men ” “

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A new medium is never an addition to an old one, nor does it leave the old one in peace. It never ceases to oppress the older media until it finds new shapes and positions for them. – Marshall McLuhan,

Understanding Media, 1964 ”

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B2B Roots

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A Business Model Based on B2B

Online

marketing

Online, viral,

social media, database

Healthcare Mobile International

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A 360° Go-to-Market Strategy

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A Transformation

2005 2011 VENDOR STRATEGIC PARTNER Meredith Custom Publishing Meredith Integrated Marketing

Primarily a custom publisher Relationship marketer

Minimal digital capabilities Broad multi-platform capabilities

Vulnerable to margin pressure Defensible margins

Challenging long-term growth Diverse, differentiated offering; prospects high growth potential

$75M in annual revenues $180M in annual revenues

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Somewhere in this industry, this has all happened before. – Roger Sterling, Mad Men ” “

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Source: Intel 10

Source: CoRise, October 2011 11

Four Centers of Digital Gravity

Facebook Google

Apple Amazon

Source: CoRise, October 2011 12

Four Centers of Digital Gravity

-22.6%

-5.7% -11.2%

-19.2%

-30.4%

-45.2%

-17.4%

-0.1%

-28.8% -29.8%

Consumer Magazines $ Advertising Consumer Magazines $ Circulation

Consumer Magazines SCS Units B2B $ Trade Shows

B2B $ Magazine Advertising

Source: Veronis Suhler Stevenson, October 2011 13

It Wasn’t Good...2007-2010

-22.6%

-11.2%

-30.4%

-17.4%

-28.8%

B2C & B2B REVENUE CHANGES

Change 2007 - 2010

Mobile

Online

Off-Line

The Decline of Print: B2B Leads the Change

14 Source: Veronis Suhler Stevenson/ PQ Media 2011

ANNUAL HOURS SPENT CONSUMING MEDIA

Sh

are

by

Ty

pe

an

d S

ou

rce

90%

9%

1%

85%

11% 4%

79%

14%

7%

46%

51%

3%

32%

56%

12%

26%

59%

15%

$6,300 $6,297 $6,265 $6,243 $6,252

$1,950 $1,978 $1,995 $2,007 $2,015 $1,866 $2,006 $2,294 $2,306 $2,666

$4,796 $5,377 $6,094 $6,952 $7,915 $2,471 $2,614

$2,755 $2,915 $3,093

$9,053 $9,320

$9,648 $10,061

$10,522 $27,197 $28,509

$30,166 $31,851

$34,130

2010 2011e 2012e 2013e 2014e

Sp

en

din

g in

$ M

illi

on

s

Calendar Year

B2B SPENDING BY CATEGORY

Trade Shows Virtual Shows Seminars & Conferences E-Media Custom Publishing B2B Print Paid Circ B2B Print Adv Totals in Bold at Top

15 Source: Veronis Suhler Stevenson Communications Forecast, November 2011; e = estimate 15

Spending Growth Returns Selectively

But with Very Different Mix

B2B Big Picture

2.2% 2.9%

22.0%

6.5% 6.9%

2011 vs 2010

CHANGE in B2B REVENUES

BY STREAM

Trade Shows

Print Advertising

Digital Advertising

Data Services

TOTAL

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Digital Driving Growth in B2B Spending

Source: American Business Media – BIN CY Totals by Revenue Stream ($ in Millions)

Trade

Shows

$10,502

40%

Print

Advertising

$7,698

29%

Digital

Advertising

$6,352

24%

Data

Services

$1,940

7%

B2B REVENUES 2011

TOTAL: $26.5 BILLION

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B2B Big Picture

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The Only Constant is Change

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“We're quickly moving more and more of our

businesses into digital. We find that the ROI of

the advertising, when the big idea is there, can

be much more efficient.”

—Robert McDonald, CEO, Procter & Gamble

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Achieving this vision requires some fundamental shifts in how we operate. —Marc Pritchard

Global Marketing & Brand Building Officer @ SIGNAL Procter & Gamble, March 2012 ” “

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1. Data & Audience

2. Content & Brand

3. Convening Power & Community

4. Social & Mobile

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Building Blocks for a Customer Focused Future

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Data & Audience

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Data & Audience

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Financial Times

The Data Workflow • Visualizing complex dataset

- Bank debt exposure data • Monitor site for updates • CSV source • Clean in Excel • Import Mosul database • Generate SQL query • Publish XML • Parse with ActionScript • Publish with Flash

HTML 5 The Web as “News Database”

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Content & Brand

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Content & Brand

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National Geographic

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Convening Power & Community

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Convening Power & Community

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SXSW

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Social & Mobile

7 Billion People as of November 2011

(and growing!)

77% Connected by mobile devices

5.3 billion at the end of 2010; U.N. Telecommunications Agency, http://www.itu.int 34

A Connected, Mobile World

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Social Intersects with Mobile

10.8 33.7

60.7 81.5

95.1 105.1 60.2

90.1

106.7

119.9

133.0

148.6

71.0

123.8

167.4

201.4

228.1

253.7

0.0

50.0

100.0

150.0

200.0

250.0

300.0

2010 2011 2012 e 2013 e 2014 e 2015 e

Mil

lio

ns

of

Un

its

U.S. Ownership of Devices by Year

SmartPhone

Tablet

Source: Forrester Research 2-12 for Tablets; eMarketer 12-11 for SmartPhones e = estimate

U.S. Smart Mobile Devices Will Top 200 Million in Use in 2013

MORE THAN 250% INCREASE 2010-2015

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iPads in the Cockpit

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Apps for Healthcare Management

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Chief Revenue Officer, Moo.com

Work Bleeds Into Life

Social media and mobile are just buzzwords until you come up with a plan. —Anonymous ”

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43 Source: OnlineSchools.org

44 Source: OnlineSchools.org

1.0 College Kids Only

2.0 Mom, Dad, Grandma,

Grandpa

3.0 A True Business

Medium

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Facebook Comes of Age

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B2B Media Has Always Been Social

SOCIAL B2B requires planning,

organization and coherence of message BUYER SELLER

= turbochargers

3SOCIAL B2BRULES OF

ENGAGEMENT

The Social Cycle

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1.ESTABLISH SOCIALLISTENING.

3SOCIAL B2BRULES OF

ENGAGEMENT

The Social Cycle

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1.ESTABLISH SOCIALLISTENING.

2.ESTABLISH SOCIALVOICE.

3SOCIAL B2BRULES OF

ENGAGEMENT

The Social Cycle

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1.ESTABLISH SOCIALLISTENING.

3.DRIVE THECONVERSATION.

2.ESTABLISH SOCIALVOICE.

3SOCIAL B2BRULES OF

ENGAGEMENT

The Social Cycle

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1.ESTABLISH SOCIALLISTENING.

3.DRIVE THECONVERSATION.

2.ESTABLISH SOCIALVOICE.

3SOCIAL B2BRULES OF

ENGAGEMENT

The Social Cycle

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WHAT’S KEEPING YOU UP AT NIGHT?

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1.  Culture: Have I established a culture of innovation?

2.  Capital: Am I investing enough in the digital future of my company?

3.  Capabilities: Do I have the right people in the right jobs?

4.  Costs: Is my cost structure sustainable?

5.  Competition: Who is my REAL competition?

Empirical Questions

EmpiricalMedia.com

American Business Media’s 2012 Annual Conference

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THANK YOU

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