Lung Huang - Strategy & Data - 4A's Strategy Festival 2013

Strategy & Data4A’s Strategy Festival

Lung HuangVP of Digital Advertising, Global

Partnerships@Lung_Huang

Big Data & Data Driven Marketing

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90%OF THE WORLD’S DATA WAS GENERATED IN THE

LAST TWO YEARS*

Source: US Chamber of Commerce 2013

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National Climactic Data Center……………………….…… 6,144Library of Congress’ digital collection…………….…….…5,120US Census Bureau Data ………………………………...... 3,789Nasdaq stock market database …………………………... 3,072Tweets sent in 2012 …………………………………………… 19Contents of every print issue of WIRED …......................... 1.26

Business email sent per year ………………………..…… 2,986,100Content uploaded to Facebook each year ………..……… 182,500Google’s search index …………………………….……….... . 97,656Kaiser Permanente’s digital health records ……………….. 30,720Large Hadron Collider’s annual data output …..…………… 15,360Videos uploaded to YouTube per year ……………….…..... 15,000

Size of data sets in terabytes

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dunnhumby’s Context

24 Years … 28 Countries … 1,000s of Clients

400M Customers … All Media Channels

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Strategy and Data – 3 ways the world is changing

The Changing World

New kinds of data and new uses

New skills and orientation needed

Growing expectations among consumers

Your Opportunities

Learn what data your clients are using

Understand role of data and possibilities

Use data to drive consumer relevance

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What do I know about my customers?

HOW I SHOP

WHERE I AM

what I buy

WHAT I SEE/HEAR

WHO I KNOW/INFLUENCES (MY

SOCIAL NETWORK)

HOW I DECIDE

WHO I AM

WHAT I LIKE MY

NEEDS/PREFERENCES

MEDIA

SHOPPING

MOTIVATIONS

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Integration across channels to deliver a relevant experience

OWNED MEDIA

EARNED MEDIA

DM

EMAIL

MOBILE

DISPLAY

SOCIAL

TV

WEBSITE/MOBILE

APPS

RETAIL MEDIA

SOCIAL PLATFORMS

WOM

PAID MEDIA

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SHOPPER DATA

“BIG DATA”(e.g. digital media exposure data) NEW INSIGHT

DATASET

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dunnhumby measures

purchases back to POS data

Purchased-based online targeting + sales measurement

media partner finds and serves

those households anywhere online

dunnhumby creates target

using customer purchase data

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Direct link between TV ad exposure and purchase data

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Measure impact by:

CreativeFrequencyDurationTiming / Day PartContext

Macy’s Purchase

Households

2.2 Million TV Viewing

Households

Single Source Matched HH

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On-line Advertising: Purchase data makes it more effective

+163% +121% +28%

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Innovate store brand products to fill “basket holes”

CASE STUDY

PROBLEM: Customers were shopping at competitor stores for key products

INSIGHT:????

SOLUTION: Developed own label range to complete existing customers baskets

RESULTS:

• Tesco Finest is a £1.2bn+ brand

• Bigger than Coca-Cola in the U.K.

• + 700 SKUs

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Improving retail decisions: range/assortment

PROBLEM: Current milk layout is built around brands. Lactose free milk is not easy to shop for.

INSIGHT: Customer behavior shows us that they shop by category; customers choose milk first by product type rather than size or brand.

CASE STUDY

WHAT’S NEXT

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It is Mobile, but Payments

will be transformative

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Predictive Technology becomes the norm

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Insights Trumps All.

Insights not Data

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Thank you

Lung.Huang@dunnhumby.com

@Lung_Huang212-379-3036