Digital channels represent 25% of today's total marketing budgets, and with the adoption of smartphones, digital commerce, and growth of social networks, digital marketing spend is expected to grow to one third by 2017, says Michael Lummus, director of digital marketing solutions at Teradata.
Big data will represent $50 billion in spending in the US alone, with a lot of the use cases driven by marketing and digital. Teradata's international survey of 400 enterprise digital marketers found an upward trend in digital marketing budgets, and a slight decrease in more traditional offline channels.
The rise of digital channels comes with its own challenges as they can be difficult to integrate with existing systems. Integration is essential to communicating across departments, and focusing the business in support of strategy, be it customer centricity or operational alpha.
Teradata's survey revealed the full integration of new tools with existing systems remains the top priority when evaluating new technology, for the first time squeaking ahead of privacy and data security.
Although "easy to use by marketers without IT involvement" ranks fourth in key criteria, it deserves more consideration, suggests Teradata in the report. "When marketers have the ability to manage some or all of their key digital technologies without having to rely on IT/technical resources the effects are profound, on timing, creative capability and accountability."
After winning the budget away from traditional channels like print and television, digital marketers now have to make it count. In a presentation to marketers at Teradata's Partners conference, Lummus shared some of the ways data and technology are being integrated to drive competitive advantages, and where he expects to see the most change in the coming years:
Learn more about next year's trends on Wall Street & Technology.
Becca Lipman is Senior Editor for Wall Street & Technology. She writes in-depth news articles with a focus on big data and compliance in the capital markets. She regularly meets with information technology leaders and innovators and writes about cloud computing, datacenters, ... View Full Bio