Adobe-Digital Dashboard 2015

APAC

DIGITAL MARKETING

PERFORMANCE

DASHBOARD White Paper

© Copyright CMO Council. All Rights Reserved. 2015

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

CONTENTS

© Copyright CMO Council. All Rights Reserved. 2015

3

Introduction

6

Summary of Key Findings

15

Contributed Commentary From Adobe

16

APAC Digital Marketing Performance Dashboard

21

Methodology

22

Affiliate Partners

23

About the CMO Council

23

About Adobe

2

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

INTRODUCTION The very definition of what digital means to a marketer, creative professional and the overarching enterprise is changing. Five years ago, it could have been argued that when discussing the virtues of digital marketing, one would be referring to the adoption of online advertising, social media and—for those on the leading edge—analytics and customer intelligence. A review of digital marketing performance would focus on how marketing organizations had embraced these channels in order to engage more effectively with an external customer. For the purposes of the “APAC Digital Marketing Performance Dashboard,” first launched in 2012, we felt we needed to adhere to a standard definition of what “digital” meant to keep people on a single path. We stated that digital marketing would be defined as the use of digital technologies to create integrated, targeted and measurable communications that help to acquire and retain customers while building deeper relationships with them. Specifically, we would include all digital engagement tools, platforms and technologies across the web, including mobile, social, content management, data management, web analytics and all forms of online content and advertising, including display advertising and branded video content. By this definition, the digital marketing compendium could be viewed starting with content and pushing through to the end customer in a very neat ecosystem that connects the brand with the customer. It is accessible, it is measurable, and it is, by all accounts, incredibly cost effective. But here we sit in 2015, and the definition—or at least the parameters of how expansive digital has become—demands an update or at least a review of what should be included. For savvy marketers around the world, digital has grown to include a network and infrastructure that doesn’t just connect to the external customer. It is an ecosystem where creativity, the company and the customer must be aligned and completely in sync. In fact, digital is now a holistic universe that binds creativity to content and then connects to a greater community that spans internal teams, external agencies and partners, and culminates in a brand experience that exceeds customer expectations and aids in their journey to become advocates and loyalists. When the “APAC Digital Marketing Performance Dashboard” was first introduced, we were focused on technology adoption—how were marketers across Asia-Pacific embracing new digital experiences and channels? This review led to obvious performance questions around internal alignment, organizational readiness and a willingness to embrace change and data in almost equal stead. Where and how was data defining and leading the path to engagement and commerce? Was the enterprise embracing this change, or were C-suite leaders still tied to oldschool advertising tactics like big billboards on the highway or costly golf sponsorships? At that time, Asia-Pacific was seen as a regional laggard, with marketing roles largely being under-valued and under-respected. While globally, the role of chief marketing officer had been hesitantly embraced, in 2012, it was simply not a wide held role in APAC, and if it did exist, these marketing executives were often frustrated by owning a title with little to no territory or real authority. Over the past three iterations of the dashboard, we have gleefully reported on a shifting tide across the region—one where digital has largely led a charge of measurement and proof that marketing matters for organizational growth and success. In fact, in the last dashboard, we noted a leap in evolution for the region as digital marketing leaders were beginning to pull away from the laggards, advancing their investments into analytics and data-led engagements and experiences

© Copyright CMO Council. All Rights Reserved. 2015

3

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

that helped to push their campaign-based touchpoints into connected, measurable and profitable customer experiences for most marketers. But it is also important to note that even the laggards demonstrated an increased understanding of digital and were slowly advancing adoption and optimization. The age of advertising-led traditional marketing had started to disappear across the region, and the customer was being credited with driving more focused and relevant experiences across mobile, social and the web. Personalization was an almost universal goal. Measurement was a universal mandate. And for the vast majority of marketers across APAC, digital was now an established tool within the marketing toolkit. The indicators were undeniably positive, and both the CMO Council and Adobe were seeing evidence of these advancements in a multitude of peer-based engagements. Digital was no longer a question, and organizations were no longer questioning a need to embark on these new customer-powered digital experiences. In light of all of this positive momentum, we were forced to ask ourselves what should be next. As we started to look at this year’s performance evaluation, what should we be encouraging marketers to aspire and strategize toward? What was next for digital marketing performance? While much time has been spent on measuring and quantifying the impact of a connected experience for the customer, little has been done to focus on digital’s capacity and requirement to connect the most critical stages of marketing—from creativity through the point of content creation, publication and distribution—with the larger customer ecosystem, including internal and partner “customers.” Was the organization digitally enabled to engage in a unified, creative voice and vision? Were external partners empowered to align with brand messages, creative and strategies to deliver a unified brand front to end customers? That brings us to this iteration of the digital marketing performance dashboard, where we have added new questions and new requirements around optimal performance. More specifically, we have added two new categories of assessment: creative empowerment and content velocity. Both areas of focus are intended to assess where and how organizations are responding to the customer’s call for a connected, unified and aligned experience, regardless of channel. Specific to our review of creative empowerment, we asked marketers how well unified creative strategies were developed and embraced by the entire organization, extending beyond corporate walls to include agencies and sales partners and channels. Other factors include the organization’s commitment to fully embrace creativity as a strategic mandate through support from senior executives and a culture that fosters the creation of dynamic customer experiences powered by creativity. Content velocity, on the other hand, assesses organizational commitment to the speedy deployment of multi-channel, connected content that can be personalized, measured and optimized without pain and friction for the organization. From the ability to deliver content to customers in the channel of their choice to the measures and metrics that tie content and experiences to business impact and success, content velocity looks to establish guides to where and how content must reach and relate to the end user.

© Copyright CMO Council. All Rights Reserved. 2015

4

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

Adding these two new aspects of the digital experience also enabled us to go back and ask new questions, specifically around the advancement and improvement of the multi-channel, customer-centric and data-driven experience. From what has most enabled digital transformation to how marketers are answering the call for a rich mobile connection, this new area of focus is intended to highlight new areas for improvement, dialogue and review. Most of all, this iteration of the dashboard demonstrates that digital is not and should never be seen as a final destination. If anything, it is a constantly evolving, expanding and infinitely complex ecosystem that is continuously being shaped and advanced by the customers we serve and the organizations we look to support and build. It is not static and will likely never achieve a perfect score (which, incidentally, is an ideal score of 10 within each indicator category). However, for those senior marketers looking to get close, we hope that this revamped dashboard provides insights around the roadmap your peers have taken to advance, achieve and optimize the digital experience.

© Copyright CMO Council. All Rights Reserved. 2015

5

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

SUMMARY OF KEY FINDINGS Digital marketing has hit a steady pace of adoption, optimization and continued improvement across Asia-Pacific, according to the latest update to the “APAC Digital Marketing Performance Dashboard.” Across the four central pillars of digital marketing performance—which include mindset, organizational alignment, marketing readiness and marketing skills—overall regional scores indicate that a steady pace has been established. Gone are the questions about the importance of digital. Some 91 percent of senior marketers firmly believe that digital marketing can create competitive advantage for their companies. Among the markets that have emerged as digital marketing leaders—Australia, Singapore and India—the commitment to digital as a competitive advantage has held firm. Markets that have lagged (like South Korea) and those that hover between leader and laggard (Hong Kong and China) have also shown increased commitment to digital as the path forward. But this year, two new categories of requirement—creative empowerment and content velocity— have been added to the dashboard to better gauge how digital experiences are being developed, deployed, measured and valued by marketing and across organizations. These new areas reveal that while digital has been embraced, organizations are still battling key areas of fragmentation and friction that are slowing the advancement of a truly rich digital customer experience.

DIGITAL MATURITY: GETTING STRONGER OR GROWING STAGNANT? While overall commitment and optimism around digital are increasing across the region, when it comes to countries that feel they have evolved and are now leaders in their category, Australia continues to emerge as the pinnacle of performance. According to 23 percent of marketers in Australia, their current level of digital marketing maturity not only leads the market, but is a dramatic rise from last year, up from 14 percent of Australian marketers who felt they were highly evolved organizations. The majority of marketers in Australia (33 percent) actually believe that they have now embraced a disciplined and progressive approach, embracing new platforms and analytics tools that will continue to propel their digital strategies forward. This marks a step forward—moving beyond digital as experimentation and instead establishing organizationally embraced strategies and advancing digital customer experiences.

© Copyright CMO Council. All Rights Reserved. 2015

6

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

DIGITAL MARKETING MATURITY (Partial Results - Figures Will Not Equal 100%) 39% 36% 33% 31% 31%

23% 21%

20%

19%

18%

18% 16%

16%

9% 7%

6%

7%

6%

5%

1%

APAC (Overall)

Australia

Highly Evolved Category Leader

Hong Kong Disciplined & Progressive

Following, Not Leading

South Korea Exploring & Evaluating

Laggard

Australia’s advancement is in sharp contrast to the regional average, where only 7 percent of overall marketers believe they are highly evolved leaders, and only 21 percent have adopted a disciplined and progressive approach. The majority, 36 percent, of overall marketers across APAC actually feel they are still exploring and evaluating all options. However, it is important to note that for the past three years, Australia had been increasingly testing, exploring and evaluating, progressively advancing to a position of increased maturity and operationalized commitment to digital progress. What this year’s dashboard data most clearly demonstrates is that regardless of the individual stage of maturity, all countries across APAC are on a path to digital, individually advancing through a journey of exploration to category leader. Digital is no longer a question, and similarly, it is now unquestioned that measurement and analytics are requirements for the modern digital marketing organization. The vast majority (84 percent) are using digital marketing analytics and reporting technologies while 93 percent are either using or have put new platforms into development to measure and test the results of digital campaigns—almost identical figures to last year’s assessment. Despite a commitment to measurement technologies, marketers have yet to make significant strides in actually measuring the value and return of digital investments. When marketers were asked to rate their current ability to measure value and return from digital marketing investments, the majority of all marketers (42 percent) from across the region actually believe they are getting better, but only 4 percent believe they are doing an excellent job. Once again, Australia emerges as a leader, with nearly half (49 percent) of marketers saying that they are excellent or very good at measuring value and return.

© Copyright CMO Council. All Rights Reserved. 2015

7

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

However, China is struggling in this area as 47 percent of marketers feel they are doing a poor job or need to improve their ability to report on the value and return of digital. An interesting correlation emerges when you consider that China lags behind all other markets specific to measuring and testing the results of digital marketing campaigns (61 percent say they are currently testing; 29 percent have a process or platform in development; 9 percent are not measuring at all) and in the utilization of digital marketing analytics and reporting technologies (79 percent are using some technology—lowest of all regions; 17 percent are not using any tools; 4 percent do not know). Agency performance has also held firm, with little movement or shift from the last performance audit as 70 percent of respondents indicate their agency partners are delivering moderate results—strong in some areas but weak in others. A slight shift emerged at the country level as Singapore marketers have surged in their agency performance, with 32 percent of respondents giving their partners top marks, describing their performance as extremely effective. AGENCY PERFORMANCE

14%

16% Extremely Effective Moderate Results Poor Results 70%

When it comes to technology adoption and an understanding that digital is the clear path forward for customers, almost uniformly across the region, the dashboard shows a state of potential stagnation. There is a sense that marketers understand that measurement needs to happen and that digital is now the new normal, but the disturbing trend here is that marketers have landed firmly in the middle—seemingly unable to take the leap from moderate results and average performance into excellence.

DIGITAL LEADERSHIP, OWNERSHIP AND SUPPORT Digital marketing is continuing to enjoy strong senior leadership support. At the top of the marketing organization, the chief marketing officer is at the helm of steering digital marketing strategy for some 39 percent of marketers across APAC. Some 34 percent of marketers point to a dedicated digital executive as the mastermind of digital strategy, while 21 percent turn digital to the hands of a head of digital marketing, and 13 percent entrust strategy to a director or manager of digital. In markets like Australia, where the CMO title is more embraced and prevalent in corporate leadership, the CMO is most certainly leading the digital agenda, according to 52 percent of marketers in Australia.

© Copyright CMO Council. All Rights Reserved. 2015

8

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

But support for digital is not just coming from within the marketing group. Some 34 percent of marketers across the region say that their APAC leadership team is receptive to piloting and testing new digital strategies. To be sure, this is extremely positive, as is a weakening of the belief that senior leadership is wedded to traditional marketing tactics (13 percent) or that APAC leadership is simply unwilling or uninterested in digital (1 percent). The most notable shift in leadership support is actually among market leaders. While 25 percent of marketers across APAC indicate that they have very strong support from their APAC leadership team, market leaders like Australia have actually enjoyed a significant increase in support. In 2014, 44 percent of Australian marketers indicated they had very strong support. In 12 months, that has shifted to over half (51 percent) indicating they have the highest mark of senior support. It is also clear that senior management is ready to commit, with few marketers feeling that more piloting or exploration would be a requirement for senior buy-in. And while support is high, not a single marketer indicated that leadership across Australia was unreceptive to or uninterested in digital. This is a stark comparison to markets like China, where senior leadership is open to testing but has yet to fully embrace the shift. While some 39 percent of marketers in China believe their leadership is open to piloting and further investigation into digital—with their sales and channel teams (26 percent) supporting the addition of more digital programs—only 7 percent indicate they have very strong support from their APAC leadership. In reality, it is likely time to stop seeing digital as a great experiment. Leadership teams must invest, both in terms of support and budget, to enable digital to continue to meet customer demands and expectations. But as we can see in the case of leaders like Australia, support does not come quickly or easily; rather, it is a result of measurement, proof of return and value, and increased value from digital experiences and engagements. And as we see across the results of the digital marketing performance dashboard, while marketers are exceedingly comfortable in reporting on KPIs and campaign metrics, translating the value of digital into real revenue and impact to the bottom line is a struggle. LEVEL OF SENIOR MANAGEMENT SUPPORT 51%

40%

39%

38%

34% 25%

17% 7% 3% 1%

APAC Very Strong Support © Copyright CMO Council. All Rights Reserved. 2015

3%

0%

Australia Receptive to Piloting

Singapore

China Unreceptive to Digital 9

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

Across key stakeholders, marketers do believe they have a champion for digital on the leadership team (41 percent, up from 38 percent in the previous year). Marketers are also finding support from across the organization as 22 percent indicate that a cross-functional task force has been assembled to assess and specify where and how digital can advance. Marketing is also finding key allies within the sales and channel groups, with 26 percent of marketers saying that these demand-focused groups are pushing for additional spend. IT—or more specifically, the fracture in the relationship between IT and marketing—continues to challenge digital advancement as both teams still seem to be working toward a positive and collaborative dynamic. While 15 percent of marketers believe that IT is a frequent contributor and partner in identifying, deploying and maintaining digital marketing technologies and solutions, nearly twice as many (29 percent) find IT to be a primary constraint, holding back fast adoption and quick implementation of marketing technologies and solutions. Support for digital is perhaps strongest among creative centers (from agencies to performance partners) and content-focused teams (from public relations to human resources). Thirty-four (34) percent of marketers say that creative leaders, including agency partners, are actively advancing the digital agenda while 35 percent believe they get maximum support from individual content creators, including product marketing, sales, HR and PR teams, who are most willing to collaborate and share strategies and support in order to align and unify the brand experience across all touchpoints. At this point, content and creativity emerge as more than just byproducts of the marketing machine. In fact, content and the teams that power creativity and breathe life into brands emerge as stakeholders for the digital agenda—shaping and molding the strategy, garnering support for further investment, and tacitly demanding a seat at the strategy and performance table.

ACCELERATING THE JOURNEY TO ANALYTICS While digital is surely hitting its stride among marketers across APAC, it can be argued that the dashboard also reveals that the rapid push to optimize data and establish robust analytics and intelligence programs has slowed, if not stalled. In previous years, marketers set a steady pace of advancing thinking around data and the application of analytics to create personalized digital experiences. But marketers admit that while support for digital is growing across the organization, strong support for deploying insight-driven engagements and crafting insight-driven experiences is limited within the confines of marketing. When asked what level of organizational support marketers had for omni-channel, data-driven experiences, only 9 percent said they had an organizational culture dedicated to a unified and dynamic customer experience that was powered by creative content and digital experiences. One in four marketers admits that the organization is not quite there but is slowly beginning to understand just how important a connected customer experience is for business success. Some 21 percent admit that an omni-channel experience is strongly supported and championed by marketing teams, but outside of marketing, customer experience is more aspirational and is simply not a priority.

© Copyright CMO Council. All Rights Reserved. 2015

10

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

What is interesting is that marketers are keenly aware that a lack of customer intelligence could be what is holding back the customer experience the most. According to 17 percent of marketers, they are struggling to connect functional silos across the organization (and possibly within marketing) to achieve a single view of the customer that can inform and direct customer experience strategies. Without this view, marketers will struggle to craft connected customer experiences that are relevant to the customer, regardless of how much organizational support marketing receives. The dashboard reveals that data is where marketers have made the least progress across the digital marketing journey. In fact, there are signs that marketers might be backsliding into a comfort zone of viewing data merely as a reporting enabler versus an experience enablement tool. In the year prior, 36 percent of marketers said that the primary use of data for the organization was to report on KPIs—leveraging data for a clear view of past performance. This year, that number has grown to some 41 percent who say that the primary use of data is for reporting. In last year’s assessment, signs were hopeful that data was beginning to become a true optimization and performance tool as 13 percent of APAC respondents said they were actually using data to continuously improve campaign performance, and 24 percent were leveraging campaign data to better understand their customers and key market segments. And even while relatively few marketers felt that data represented a key competitive differentiator (7 percent), only 9 percent felt they were struggling to manage the volume of data flowing into their organizations. Year over year, all of these indicators were slowly advancing and improving as more marketers were acting on intelligence to improve performance and engagements rather than just looking into the “rearview mirror” to report on past campaign performance.

USING DATA 41%

31% 26% 19% 16%

19% 17%

21%

14%

13% 9%

APAC Report on KPIs

10%

Australia Continuously Improve

Competitive Advantage

© Copyright CMO Council. All Rights Reserved. 2015

14% 12%

11%

India Understanding the Customer Struggling to Keep Up

11

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

Fast-forward to this year’s assessment, and it seems marketing has taken a step back. This year, some 41 percent indicated they are using data to report on KPIs while fewer (16 percent) are actually using data to gain intelligence about their customers. Australia, closely followed by India, is leading the region in their quest to master data. For marketers in Australia, only 21 percent only see data as a reporting tool while 17 percent believe data is a competitive differentiator for their brands. A robust 26 percent are using data continuously throughout the experience lifecycle to improve and optimize performance while 19 percent are working to use data to best understand their customers. In the coming years, it is likely that we will see other countries following along this same path, exchanging a data strategy of reporting and past performance metrics for one of continuous improvement and audience intelligence, following the same maturity evolution through which Australia has already advanced. This commitment to analytics is also seen in Australia’s stance on talent and roles dedicated to customer data and analytics. Some 40 percent of marketers in Australia consider digital marketing analytics and intelligence to be a high-priority role that is critical to success or has already established an experienced and dedicated headcount to tackle customer intelligence and analytics. This compares to 21 percent of marketers across all of APAC who have made similar moves. Most APAC marketers admit that their current analytics skill set is still improving (42 percent), and 20 percent have yet to create a dedicated role as they believe their team is too small to warrant a specialist. To avoid data stagnation, marketers must continue on this path from reporting to competitive advantage, and organizations must make an operational commitment, whether through tools and solutions or through talent and in-house analytics expertise. Like Australia and India, markets must begin to shift their data view, first by starting to use data as a continuous measure of real-time performance, taking the opportunity to shift and improve strategies based on how campaigns are performing in real-time versus after the fact. Next comes progress in leveraging data as a view into the customer. This deep understanding of customer expectations will lead to the delivery of more relevant and impactful experiences. And finally, as 14 percent of marketers in India have realized, this achievement in analytics can create a competitive advantage for the business by delivering connected, relevant and data-driven experiences that customers not only opt-in for, but expect and reward with loyalty.

CREATIVITY, CONTENT AND THE OPPORTUNITY IN EMPOWERING EXPERIENCES Without question, customers crave content and experiences. They are making active wallet decisions and aligning with brands that excite and engage with relevant interactions while also providing seamless, frictionless digital engagements that enhance and enrich the customer’s world. From self-service experiences that enable everything from speedy checkout to bank transactions to the customer’s call for more mobile content, it is the customer that is most clearly outlining where, when and how they want to engage. This places more pressure on the marketing organization to not only connect experiences, but also to look at the customer experience continuum as one that starts with how creative, dynamic, multi-channel content is created and continues to how it is delivered, shared and measured.

© Copyright CMO Council. All Rights Reserved. 2015

12

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

According to marketers across APAC, the creative content picture is a fragmented one. While few marketers are struggling to find a creative vision and voice that is embraced by the organization (only 10 percent), the reality is that content and the application of that creative vision is largely siloed, managed by individual teams or developed on an ad hoc basis. Some 24 percent admit that creativity and content development are managed as needed, and 26 percent said that individual groups set a strategy and direction for themselves, albeit adhering to a strict brand standard. Only 4 percent feel they have a highly evolved creative engine fueled by a unified creative vision that is embraced organization-wide. Far more (22 percent) enjoy a defined vision within the organization but admit that this vision fails to reach outside of their organizational walls and is far less aligned with external agencies and partners. This lack of creative strategy and content development alignment threatens the customer experience. A fragmented and misaligned brand presence can do as much damage (if not more) as the delivery of irrelevant content to a digitally savvy customer. And while markets like Australia have been able to set creativity and the development of dynamic multi-channel content as a strategic imperative (21 percent compared to 14 percent region-wide), there is still fragmentation in creative application as even marketers in Australia struggle to deliver a highly evolved creative engine. The impact of this can most easily be seen in how marketers are responding to the customer’s call for more mobile experiences and engagements. While 23 percent of marketers admit they have yet to develop a robust mobile marketing and engagement strategy, some 29 percent have shifted their thinking around mobile as a strategy and not just an advertising channel. Mobile is certainly taking center stage as a core element of the customer experience. More than half of marketers surveyed (53 percent) are actually making strides to integrate mobile while empowering teams to deliver robust mobile content that is accessible across all mobile device experiences, enabling content to be available where and when the customer defines. And with the shift from mobile as a push channel into an engagement channel, fewer marketers are leaving mobile exclusively to external agencies. Only 5 percent of respondents say that the agency is managing the bulk of mobile content and advertising. Nearly one-third (29 percent) have taken the step to enable creative teams to develop content that is mobile-ready and accessible to multiple device types and sizes. This is an incredibly positive step, demonstrating a keen understanding that customers are now setting the mobile agenda and expect content to be available in the manner they want to experience it. Another positive indicator is that one in four marketers (25 percent) has an integrated mobile experience as a core element of the customer journey. As marketers continue to improve mobile performance, organizations will strive to adopt a mobile-first strategic mindset. Currently, 18 percent have taken this step, thinking about mobile first when mapping out customer experiences and engagements. More leaders, especially those in markets where customers are mobile-dependent, like Southeast Asia and India, will surely emerge as mobile performance advances.

© Copyright CMO Council. All Rights Reserved. 2015

13

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

CONCLUSION The call to action for marketers issued in this latest version of the “APAC Digital Marketing Performance Dashboard” is to not fall into a digital comfort zone; there is a need to keep advancing and innovating. While organizations have started to hit a healthy digital stride, complacency must be avoided. Renewed efforts to optimize the creative and intelligence strategies for the organization will provide new opportunities to advance and improve business results. This is not simply a call to action for the sake of minor improvements; this is a call to action to meet the demands of the customer. Marketing is already shifting strategies to meet the needs of the customer. In fact, marketers admit that it is the customer who is driving adoption and optimization of digital marketing for their markets. For some 66 percent of marketers, customer preference and digital dependency serve as the greatest digital drivers while 60 percent say the ability to better engage with customers is the key to advancement. In this age of the customer-defined experience, digital sits firmly as the cornerstone of engagement. While marketers across APAC have made incredible and measurable strides in advancing the digital agenda, opportunities still remain to further capitalize on the customer’s desire to connect. Measurement, value creation and the delivery of frictionless experiences for both internal and external customers alike will garner the attention and support of senior leadership. As we continue to shift away from an advertising-centric view of digital and mobile engagement, mastering data and analytics and creating workflows and alignments across creative and content development strategies will become even more critical.

© Copyright CMO Council. All Rights Reserved. 2015

14

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

CONTRIBUTED COMMENTARY FROM ADOBE PAUL ROBSON President–Asia-Pacific Adobe Every marketer should have, as their ultimate goal, the desire to design and deliver an amazing, integrated customer experience that’s memorable in the best ways. And this is a goal that should be shared across the entire organization. With customers connected 24/7, brands are under more pressure than ever before to deliver compelling digital experiences, but achieving that can be one of the greatest challenges facing an organization. First, the good news. The release of the fourth annual “APAC Digital Marketing Performance Dashboard”—produced by the CMO Council in partnership with Adobe—reveals a region in which digital transformation is reaching maturity levels in most countries. After four years of steady progress around the approach, strategy and resources needed to bring the power of digital to Asia-Pacific organizations, the pace of transformation is slowing. Even the later regional adopters, such Korea and Hong Kong, have made significant strides in digital readiness and adoption in the past 12 months as Asia-Pacific adopts a “digital is the new standard” mindset. While there are still areas for improvement, including the need to keep investing in skills development, there’s no doubt that across the region, digital leaders are implementing data programs, leveraging mobile touchpoints and looking for customer-centric digital approaches to meet the high expectations of digitally demanding Asia-Pacific markets Now comes the next challenge, which is to meet the demands of the customer, ensuring digital is at the cornerstone of a truly robust and cohesive customer experience across all touchpoints. Although companies are increasingly data-driven, they have not yet managed to extend this integrated approach to cover creativity and the development of content. We are seeing a situation where we have one organizational view of data, along with increasingly aligned channels—yet misaligned content is being produced in silos, in a fragmented way. In an ideal situation, there is seamless alignment across content, data and channel. To reach this alignment, marketers need to move beyond simply using data to report on campaign KPIs and use it to gain customer insights, which in turn lead to actionable strategies to deliver personalized, high-value content across multiple channels. If this sounds challenging—it is. And yet this is what we are already seeing from market leaders in a range of industries. The point of intersection for marketers is now between creativity, content and the customer. This is the next great challenge for marketers and business leaders to solve in order to realize the full potential and competitive advantage of delivering outstanding customer experiences.

© Copyright CMO Council. All Rights Reserved. 2015

15

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD This infographic illustrates the state of digital marketing adoption across the Asia-Pacific region with respect to six key areas: mindset, marketing readiness, organizational alignment, marketing skills, creative empowerment and content velocity. All ratings are on a scale of one to 10, with 10 being the highest. The overall rating for each category is an average of the four key indicators beneath each measure. The ratings of the individual countries are then depicted below, with the highest rating for each measure appearing in that rating's specified color.

MARKETING READINESS

ORGANIZATIONAL ALIGNMENT

MARKETING SKILLS

5.1

3.5

1.8 OVERALL RATING

OVERALL RATING

68%

84%

Currently measuring and testing

Using analytic and reporting technologies

28%

24%

High or reasonable ability to measure ROI

High or progressive level of maturity

59%

Strong senior management support; receptive to piloting and testing

26%

Channel and sales teams are pushing for more digital marketing spend

41%

Strong digital marketing champion on the leadership team

15%

IT is a big contributor and partner in selecting and deploying digital marketing

35%

Dedicated director of digital or interactive marketing

10%

Dedicated and experienced in-house headcount for digital marketing analysts

16%

Agency is extremely effective across strategy, execution and measurement

9%

Data is integrated throughout the marketing lifecycle

MINDSET

CREATIVE EMPOWERMENT

CONTENT VELOCITY

6.7

1.4

2.4 OVERALL RATING

OVERALL RATING

91%

Believe digital marketing will drive competitive advantage

60%

OVERALL RATING

Believe digital marketing better engages and activates audiences

66%

Believe customer preference and digital dependency drive adoption of digital marketing

49%

Believe mobile device proliferation and appeal drive digital marketing

APAC

OVERALL RATING

29%

16%

53%

14%

9%

20%

Commitment to multi-channel content development, including mobile

Strategic creative mandate that is supported by senior level executives

Workflow enables alignment and collaboration to maximize content velocity

Organization is dedicated to customer experience powered by creative content

Organizational commitment to mobile-first mindset

Generate personalized content in large volumes

31%

Metrics in place to measure effectiveness of content, channel and campaigns

10%

Deliver content to customers wherever they are

DIGITAL MARKETING

PERFORMANCE

DASHBOARD

© Copyright CMO Council. All Rights Reserved. 2015

16

© Copyright CMO Council. All Rights Reserved. 2015

APAC

DASHBOARD

PERFORMANCE

DIGITAL MARKETING

Believe mobile device proliferation and appeal drive digital marketing

49%

60%

Believe digital marketing better engages and activates audiences

Believe customer preference and digital dependency drive adoption of digital marketing

66%

Believe digital marketing will drive competitive advantage

91%

OVERALL RATING

Strategic creative mandate that is supported by senior level executives

14%

Commitment to multi-channel content development, including mobile

29%

Organization is dedicated to customer experience powered by creative content

9%

Workflow enables alignment and collaboration to maximize content velocity

16%

OVERALL RATING

1.4

6.7

IT is a big contributor and partner in selecting and deploying digital marketing

15%

Strong digital marketing champion on the leadership team

41%

CREATIVE EMPOWERMENT

Channel and sales teams are pushing for more digital marketing spend

26%

Strong senior management support; receptive to piloting and testing

59%

MINDSET

High or reasonable ability to measure ROI

24%

28%

High or progressive level of maturity

Currently measuring and testing

68%

Using analytic and reporting technologies

84%

OVERALL RATING

3.5

5.1 OVERALL RATING

ORGANIZATIONAL ALIGNMENT

MARKETING READINESS

Data is integrated throughout the marketing lifecycle

9%

Agency is extremely effective across strategy, execution and measurement

16%

OVERALL RATING

Generate personalized content in large volumes

20%

Organizational commitment to mobile-first mindset

53%

OVERALL RATING

Deliver content to customers wherever they are

10%

Metrics in place to measure effectiveness of content, channel and campaigns

31%

2.4

CONTENT VELOCITY

Dedicated and experienced in-house headcount for digital marketing analysts

10%

Dedicated director of digital or interactive marketing

35%

1.8

MARKETING SKILLS

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

17

© Copyright CMO Council. All Rights Reserved. 2015

APAC

MINDSET

6.5

MARKETING READINESS

4.6

MINDSET

7.4

6.9

MARKETING READINESS

DASHBOARD

PERFORMANCE

DIGITAL MARKETING

CONTENT VELOCITY

2.6

1.6

2.3

MARKETING SKILLS

CREATIVE EMPOWERMENT

1.3

1.5

MARKETING SKILLS

CREATIVE EMPOWERMENT

SOUTHEAST ASIA

ORGANIZATIONAL ALIGNMENT

3.3

CONTENT VELOCITY

2.1

AUSTRALIA

4.0

ORGANIZATIONAL ALIGNMENT

MINDSET

6.8

5.0

MARKETING READINESS

MINDSET

7.3

5.0

MARKETING READINESS

CONTENT VELOCITY

2.3

SINGAPORE

3.9

ORGANIZATIONAL ALIGNMENT

CONTENT VELOCITY

2.5

NEW ZEALAND

4.6

ORGANIZATIONAL ALIGNMENT

CREATIVE EMPOWERMENT

1.6

2.2

MARKETING SKILLS

CREATIVE EMPOWERMENT

1.3

1.6

MARKETING SKILLS

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

18

© Copyright CMO Council. All Rights Reserved. 2015

APAC

MINDSET

6.4

MARKETING READINESS

4.6

MINDSET

6.2

4.9

MARKETING READINESS

DASHBOARD

PERFORMANCE

DIGITAL MARKETING

CONTENT VELOCITY

2.5

CHINA

ORGANIZATIONAL ALIGNMENT

2.9

CONTENT VELOCITY

2.7

KOREA

3.2

ORGANIZATIONAL ALIGNMENT

CREATIVE EMPOWERMENT

1.3

1.4

MARKETING SKILLS

CREATIVE EMPOWERMENT

1.1

1.5

MARKETING SKILLS

MINDSET

6.6

4.8

MARKETING READINESS

MINDSET

6.0

5.2

MARKETING READINESS

1.7

MARKETING SKILLS

CREATIVE EMPOWERMENT

1.9

2.0

MARKETING SKILLS

CONTENT VELOCITY

2.2

CREATIVE EMPOWERMENT

1.3

HONG KONG

ORGANIZATIONAL ALIGNMENT

3.8

CONTENT VELOCITY

2.7

INDIA

2.8

ORGANIZATIONAL ALIGNMENT

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

19

© Copyright CMO Council. All Rights Reserved. 2015

CONTENT VELOCITY

CREATIVE EMPOWERMENT

MINDSET

MARKETING SKILLS

ORGANIZATIONAL ALIGNMENT

MARKETING READINESS

2.1

1.6

7.4

2.3

4.0

6.9

AUSTRALIA

2.5

1.3

6.4

1.4

2.9

4.6

CHINA

2.2

1.3

6.6

1.7

3.8

4.8

HONG KONG

2.7

1.9

6.0

2.0

2.8

5.2

INDIA

2.7

1.1

6.2

1.5

3.2

4.9

KOREA

2.5

1.3

7.3

1.6

4.6

5.0

NEW ZEALAND

2.3

1.6

6.8

2.2

3.9

5.0

SINGAPORE

2.6

1.3

6.5

1.5

3.3

4.6

SOUTHEAST ASIA

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

20

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

METHODOLOGY

The findings for the "APAC Digital Marketing Performance Dashboard" were derived from a survey fielded across Asia-Pacific by the CMO Council during the third quarter of 2015. The survey yielded more than 900 total responses from senior marketers across the region, with more than 100 responses per country in Australia, Singapore, India, South Korea, China, Hong Kong, and Southeast Asia.

© Copyright CMO Council. All Rights Reserved. 2015

21

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

AFFILIATE PARTNERS

PR NEWSWIRE PR Newswire is the premier global provider of multimedia platforms that enable marketers, corporate communicators, sustainability officers, public affairs and investor relations officers to leverage content to engage with all of their key audiences. Having pioneered the commercial news distribution industry 60 years ago, PR Newswire provides end-to-end solutions to produce, optimize and target content—from rich media to online video and multimedia—and then distribute content and measure results across traditional, digital, mobile and social channels. Combining the world's largest multi-channel, multi-cultural content distribution and optimization network with comprehensive workflow tools and platforms, PR Newswire enables the world's enterprises to engage opportunity everywhere it exists. PR Newswire serves tens of thousands of clients from offices in the Americas, Europe, the Middle East, Africa and Asia-Pacific, and it is a UBM plc company. To learn more, visit www.prnewswire.com

QUALTRICS For a long time, the only people with access to Qualtrics survey software were our closest friends and a bunch of Scott’s MBA students. It was our research clients who pushed us to open up the system and gave us the feedback needed to make it both the easiest to use and most sophisticated research suite on the market. www.qualtrics.com

© Copyright CMO Council. All Rights Reserved. 2015

22

APAC DIGITAL MARKETING PERFORMANCE DASHBOARD TM | WHITE PAPER

ABOUT THE CMO COUNCIL

The Chief Marketing Officer (CMO) Council is the only global network of executives specifically dedicated to high-level knowledge exchange, thought leadership and personal relationship building among senior corporate marketing leaders and brand decision-makers across a wide range of global industries. The CMO Council's 9,000-plus members control more than $400 billion in aggregated annual marketing expenditures and run complex, distributed marketing and sales operations worldwide. In total, the CMO Council and its strategic interest communities include more than 35,000 global executives in more than 110 countries covering multiple industries, segments and markets. Regional chapters and advisory boards are active in the Americas, Europe, Asia-Pacific, Middle East, India and Africa. The council's strategic interest groups include the Coalition to Leverage and Optimize Sales Effectiveness (CLOSE), Mobile Relationship Marketing (MRM) Strategies, LoyaltyLeaders.org, CMOCIOAlign.org, Marketing Supply Chain Institute, Customer Experience Board, Digital Marketing Performance Institute, GeoBranding Center and the Forum to Advance the Mobile Experience (FAME). For more information, visit the CMO Council at www.cmocouncil.org.

ABOUT ADOBE

Adobe is changing the world through digital experiences. For more information, visit www.adobe.com. Keep up to date with news and views from APAC digital marketers on the Adobe Digital Dialogue blog at blogs.adobe.com/digitaldialogue/. Join APAC marketers on the Digital Dialogue Asia Pacific LinkedIn group. Follow Adobe Digital Marketing Cloud news and updates via @AdobeMktgCloud and join the conversation about this report via #APDash. Additional Resources • Adobe Digital Marketing Blog: CMO.com • Read about Adobe Marketing Cloud.

© Copyright CMO Council. All Rights Reserved. 2015

23