Magic Quadrant for Multichannel Campaign Management

Transcription

1 G Magic Quadrant for Multichannel Campaign Management Published: 13 April 2015 Analyst(s): Adam Sarner, Julie Hopkins, Jennifer Polk, Mike McGuire In 2015, AgilOne, Microsoft and Pegasystems entered an already crowded market of multichannel marketers to choose from. Capabilities across the board expanded, making it harder for multichannel campaign management vendors to prove big competitive differences. Market Definition/Description The multichannel campaign management (MCCM) market comprises vendors that seek to orchestrate company communications and marketing offers to customer segments across channels, such as websites, mobile, social, direct mail, call centers and . Capabilities include: Basic campaign management includes functions for segmentation, campaign creation, campaign workflow and campaign execution. Advanced analytic functions include predictive analytics and campaign optimization. Advanced execution functions include loyalty management, content management, event triggering, and real-time offer management in inbound and outbound environments. Digital marketing capabilities include ad management, content marketing, mobile and social marketing, Web, and marketing. Digital marketing extends the marketing process through channels such as the Web, , video, mobile and social applications, point-of-sale terminals, interactive TV, and digital signage and kiosks. MCCM offerings may also integrate marketing offers and leads with sales for execution in B2B and business-to-consumer (B2C) companies.

2 Magic Quadrant Figure 1. Magic Quadrant for Multichannel Campaign Management Source: Gartner (April 2015) Page 2 of 30 Gartner, Inc. G

3 Vendor and Cautions Adobe A Leader, Adobe has top mind share with marketers targeting the retail, media, publishing, financial services, travel and high-tech industries. Consider Adobe for breadth of digital and offline campaign management capabilities, using its strengths in content management. Product: Adobe Campaign is one of Adobe's many products in the Adobe Marketing Cloud, and it provides multidimensional segmentation, campaign creation and orchestration, real-time interaction, and reporting. Adobe Campaign focuses on digital channels, such as , display, search, mobile and video. New capabilities: In 2014, Adobe provided needed integration with its Experience Manager to allow authored content to publish to Campaign. Further integration with Adobe Analytics allows marketers to share segments defined in Analytics with Campaign and message people who abandon their shopping carts in real time. Adobe introduced its "No CPM" pricing model, based on the number of customer records, and eliminated messaging costs. Roadmap: In 2015, Adobe will integrate Profiles and Audiences core services so that Campaign can publish and share audiences (segments) with Target and Media Optimizer, as well as use audiences created in Campaign for personalization in Experience Manager. New integration with Target will enable functions such as changing content at the time of opening, based on location date and time. References: References consistently mention Campaign as powerful and flexible, and they see integration with other Adobe products, such as Analytics, as a big strength. Cautions Adobe must continue its integration work, particularly with Adobe Social. For a Leader, Adobe's vision and execution of real-time social interactions integrated with Campaign should be further along. A number of references want improvements in the user interface and overall usability. Some also want escalation support for faster issue resolutions. Although Adobe markets and sells Campaign into B2B environments, Adobe's strengths are largely in B2C environments. B2B marketers will need to examine their needs to evaluate Adobe for fit. AgilOne AgilOne, a Niche Player, started as a pure-play advanced analytics platform provider, and it is broadening into MCCM for midsize to large retail, B2B, media and education industries. Consider Gartner, Inc. G Page 3 of 30

4 AgilOne for advanced analytics, such as automated segmentation and out-of-the-box predictive models, for refined targeting. Product: Positioned as a marketing cloud, AgilOne 5 (a major revision to AgilOne's MCCM platform that was introduced in December 2014) blends the platform's predictive analytics with new campaign orchestration, integrated event-triggered execution and Web personalization. The company also offers offline campaigns, including direct mail and call center integration, and it often partners with marketing automation or systems, such as IBM Silverpop and Bronto for execution, while AgilOne 5 provides advanced segmentation and predictive modeling. These capabilities attract customers looking to refine targeting and response for various marketing offers. New capabilities: A mobile software development kit (SDK) for ios shipped in mid It enables tracking of a user on an app or the Web to give marketers a more complete customer profile. AgilOne 5 has a suite of automated segmentation, clustering and predictive algorithms to sharpen content, incentives, offers and product recommendations for websites, mobile apps, and other channels. Users can create Facebook campaigns and segments on AgilOne 5 and push them to Facebook as a custom audience. Roadmap: In 2015, AgilOne will add to its existing campaign execution functions and will extend the mobile SDK to Android. References: References like AgilOne's data and analytics capabilities they can pull in, integrate and clean data from multiple online and offline sources, and easily create actionable reports. Cautions The company's emphasis on templates for campaigns and predictive analytics, which enable more rapid deployments, overshadows its customization capabilities. Some references note that the emphasis on rapid time-to-market capabilities needs to be balanced by upfront planning to ensure the deployment meets customer goals upon launch. Some references mention that AgilOne's service teams need to be better balanced. Some are strong on the technical details of the AgilOne 5 platform and methodologies but need a better grasp on the marketing opportunities the data enables. Experian Experian, a Niche Player, targets global, midtier to large B2C clients, mainly in the retail, financial services and media sectors within its Experian Marketing Services division. Consider the Experian Marketing Suite when you want to incorporate first- and third-party data to generate, identify and connect customers across channels, and build deeper customer insights. Page 4 of 30 Gartner, Inc. G

5 Product: The Marketing Suite (previously known as the cross-channel marketing platform) offers three components (Identity Manager, Intelligence Manager and Interactions Manager). Despite multiple naming and packaging shifts since 2013, Experian's product continues to build on its key differentiator: the integration with Experian data services. New capabilities: Experian invested in support for advertising integration, which uses its identity management capabilities to help clients create better ad targets for multichannel campaigns. Experian also introduced support for marketing attribution, improvements in the usability of campaign workflow and campaign management functions. Roadmap: Experian plans to roll out user interface improvements every quarter in Mobile enhancements will improve its SMS, multimedia messaging service and push capabilities. Improved data visualization, new iconography and drag-and-drop enhancements will also add to overall usability. Current marketing attribution capabilities will expand to include crosschannel attribution in beta in References: Experian receives among the highest overall customer satisfaction scores from references. They find service teams easy to work with like extensions of internal teams. References also find the platform easy to set up, and onboarding of new employees is easy. Cautions The product repackaging and relaunch in 2014 signal renewed energy and focus to make the suite more competitive, but positioning is new and indicates that Experian is still refining its path forward. The Marketing Suite repositioning resulted in a delay in the user interface reskin of Interactions Manager, as well as delay to key attribution capabilities, although both are now available within the platform. Experian re-evaluates roadmap features quarterly based on customer demand, which can reduce predictability around the delivery of needed or desired features. Campaign management prospects indicate they can disqualify Experian in competitive multichannel deals due to a perceived lack of functional breadth. IBM IBM, a Leader, supports a broad range of industries with a wide global reach and lasting viability. Consider IBM's MCCM capabilities when you need strong segmentation, broad functions and multiple deployment options. Product: On-premises IBM Campaign (formerly Unica Campaign) and SaaS-delivered IBM Silverpop Engage (for digital channels) are now IBM's main offerings for MCCM. IBM has several other applications that add mostly advanced campaign management functions, such as Gartner, Inc. G Page 5 of 30

6 Opportunity Detect, Contact Optimization, Interact, Digital Analytics, SPSS Modeler Advantage Marketing Edition, Social Media Analytics and Tealeaf. New capabilities: 2014 brought the acquisition of Silverpop for stronger digital marketing capabilities (particularly marketing) and improved B2B lead management. Integration with Digital Analytics enhances the behavioral profile of Silverpop Engage. Silverpop Engage and Xtify give IBM needed cloud delivery and digital channels for IBM Campaign. Roadmap: In 2015, IBM plans to expand Silverpop Engage to Europe and Asia, to improve usability and consistency among its offerings, and to extend connections to big data platforms to bring in multiple sources of customer data. IBM will make available real-time simulation for decision logic that models different points of interactions and capabilities to collaboratively design customer experiences. References: References note that tools such as Silverpop Engage, in combination with IBM Digital Analytics, are powerful yet simple enough for nontechnical business users to manage complex programs. References say that IBM Campaign's segmentation capabilities are a big strength. Cautions IBM provides only adequate support in social marketing, content marketing and ad management, and it trails competitors in functions and vision in those areas. IBM Campaign provides broad functions, but in many cases, a complete solution involves implementation of multiple products and deployment models. Some references note a lack of integration among various tools and the need for a "single source of the truth" for multiple sources of data. Infor A Niche Player, Infor offers MCCM capabilities targeted to financial services, telecommunications, healthcare, retail, consumer manufacturing and high-tech industries. It competes globally, but most of its customers are in North America and EMEA. Consider Infor if you seek MCCM with advanced analytics for large enterprises. Product: Infor offers several MCCM functions, but it focuses on analytics and data-driven interactions through its Customer Interaction Hub (CIH). CIH provides campaign analytics, segmentation, modeling, real-time decisioning and next-best-offer recommendations. Infor integrates with adjacent systems, including its own e-commerce engine, Rhythm. It also provides a single agent desktop for managing interactions between CIH and customer service. New capabilities: Infor improved the user experience (such as enhancing its user interface), improved multichannel integration and deployed new campaign templates. It launched a visual workflow tool, including a journey-mapping application with campaign segmentation, and it added an event management module covering individual activity (such as cart abandonment) Page 6 of 30 Gartner, Inc. G

7 and nonindividual activity (such as a storm affecting an entire region). These activities can be identified, associated with a campaign and automated based on event triggers. Roadmap: Infor plans to improve the user experience further, which will affect mainly users' experience with workflow and integration. It also plans to launch enhancements, such as real-time reporting, and make minor additions to its decisioning tool. References: Clients choose Infor for its functions, expected performance and scalability, and industry experience. They also note the provider's ease of use as a strength, along with multistep campaign creation, and mobile marketing. Cautions Infor has fewer competitive mentions than other Niche Players, which could impede growth. Its visibility will likely continue to be greatest within its existing customer base. Despite 2014 improvements, references perceive inadequate functions, performance below expectations and lack of scalability. Planned improvements only put Infor on par with competitors. Some references cite Infor as too expensive, even with Infor's simplified pricing (now based on number of messages sent, regardless of channel). Marketo Marketo, a Visionary, has historically focused on B2B customers, but it now has a growing number of B2C clients. Marketo has 3,800 customers across 20 industries. Consider Marketo for its strengths in B2B lead management, as well as in B2C campaigns in digital channels. Product: Marketo stated its MCCM platform sales are growing at 60% a year. Marketo reported revenue of $150 million for 2014, all in MCCM projects. Marketo's roots are in B2B sales lead management, but clients use it for improving demand generation, such as tracking marketing ROI and sales retention, improving communication with customers, and reducing churn. Marketo brings offline transaction data and digital marketing activities into a central location for tracking, analyzing, scoring and nurturing. New capabilities: Marketo has a new focus on industries specifically, financial services, education and healthcare and large B2C organizations. It added robust metrics across channels and the customer life cycle; new APIs for data exchange; real-time predictive analytics; look-alike modeling (using its partner, Turn), to understand customers most likely to convert, churn and retain; and real-time personalization, including best offer. Roadmap: In 2015, Marketo will add mobile Web and native mobile multichannel segmentation and messaging, event triggering for outbound messages, back-end workflows, Facebook Custom Audiences, and Google AdWords integration. Gartner, Inc. G Page 7 of 30

8 References: References like the revenue cycle analytics that show multitouch attribution of the marketing activities that drive conversion over the course of a prospect's life cycle. They also like Marketo's clear organization of campaign flows, tracking of results, real-time triggers and analytics, and database segmentation. Cautions Some references indicate that the complexity of the product can overwhelm less experienced users, and the system can be slow, requiring work-arounds to get to data. Some references report that Marketo lacks predictive analytics and that it still lacks advanced merge and deduplication capabilities. Marketers should continue to watch the build-out of differentiated capabilities (and scale) in B2C environments, given Marketo's history mostly in B2B marketing. Microsoft A Niche Player, Microsoft offers Dynamics Marketing for MCCM capabilities in the cloud that works in conjunction with Dynamics CRM for integration of sales and service. Product: Microsoft took its acquisition of MarketingPilot and built MCCM capabilities to offer basic campaign management execution, with a focus on digital channels (including , social, Web and webinar), and traditional channels (such as events). Microsoft is extending customer-training capabilities, with its integration partners providing global reach. New capabilities: In 2014, Microsoft added a number of capabilities to its Dynamics Marketing, including A/B testing within a campaign, and a new editor that enables in-context design and edit. Microsoft Dynamics Marketing enabled webinars that can be included in multichannel campaigns. Microsoft also enabled integration to any third-party event management tool, which can be orchestrated within Dynamics Marketing in a multichannel campaign. Mobile capabilities have been extended from newly acquired Capptain. Roadmap: Microsoft's 2015 roadmap includes enabling big data architecture for segmentation across large datasets, including behavioral data that allows mobile SMS marketing and push notifications within Dynamics Marketing, and that enhances role-specific dashboards for key marketing personas. References: Microsoft's enterprise technology legacy works in its favor, as Dynamics Marketing customers cite the existing technology relationship with Microsoft and strategic capabilities as important factors. Page 8 of 30 Gartner, Inc. G

9 Cautions Building out the complete MCCM suite of functions while managing the early deployments is stressing support resources and causing some consternation among early customers. However, customers view these issues as growing pains. Microsoft needs to move quickly to better support its releases with customers. References mention that with the number of changes/enhancements that come with each release, which sometimes lack detailed documentation, users feel they are left to figure things out themselves. Issues with upgrades and the wait for new features have left some customers concerned with "taking the plunge" into full adoption. References mention upgrades have a steep learning curve with their internal support teams. Oracle Oracle, a Leader, has improved its vision for MCCM. Consider Oracle's Marketing Cloud for a highavailability platform that scales and delivers dynamic personalization, data modeling and data management. Product: Oracle has segmented its offering to specialize in B2B (Oracle Eloqua) and B2C (Oracle Responsys) for upper-midmarket and large enterprises. Oracle's Marketing Cloud platform focuses on integration of data and digital channels in a multichannel environment. These segmented offerings are flexible and scalable, and are thus a strength for Oracle. Oracle's consulting services and advanced analytics for MCCM rate above-average compared with those of competitors. New capabilities: In 2014, Oracle improved its reporting and targeting by device type and OS. It added mobile SMS capabilities and push applications. The Responsys offering now has program flow reporting and real-time logic that improve campaign orchestration. Migrations of Responsys to the Exadata database have started with seven new localizations to date. Oracle expanded Eloqua's cloud developer framework to bring in external data, improve security, simplify and enhance the marketing operations center for large global teams. Roadmap: In 2015, Oracle plans new orchestration testing and proofing, multimedia messaging service for mobile, a redesigned multivariate testing framework and workflow, mobile in-app event listening and dynamic messaging, and next-generation reporting and analytics (in Oracle Business Intelligence Enterprise Edition). References: References like that Oracle's solution architecture is designed to allow them to configure the system to run in accordance with their business rules and logic. Oracle provides strategic services to advise on how best to use the functions to optimize response rates and overall performance. Responsys users like its customer service, analytics, creative development and strategy. Gartner, Inc. G Page 9 of 30

10 Cautions References mention Oracle's breadth of function as a strength, and back-end integration shows progress, but users cannot access all capabilities seamlessly. Mobile analytics are limited to SMS and push messaging. Some references mention the Responsys platform's inability to accommodate robust test designs and segmentation. Some customers cite the quality assurance process for new releases as a weakness that requires work-arounds and schedule delays. Pegasystems The MCCM platform of Pegasystems, a Niche Player, emphasizes "next best action" using a combination of predictive, adaptive and big data analytics, CRM, and third-party data. The company focuses on upper-midmarket enterprises, primarily in the financial services, healthcare, technology and telecom industries. Product: Pegasystems offers basic and advanced campaign management. Its experience in CRM and business process management puts it in a solid position to grow in the MCCM space. As much as 75% of its MCCM business comes from existing customers. New capabilities: Its acquisition of Chordiant formed the foundation for a predictive analytics capability necessary to drive next-best-action engagement points. Pegasystems also added mobile marketing capabilities into its core platform. Roadmap: In 2015, Pegasystems plans to add to its library of industry-specific processes to ease adoption and further integration across its core platform. Pegasystems will work toward expanding its use of big data analytics. References: Customer references give Pegasystems high marks for industry experience, functions, performance, scalability and ease of use. Cautions Pegasystems is a relatively new name for marketing organizations. The company has ambitious plans and a solid vision, but it needs to prove continued repeatable execution in key MCCM requirements. None of the customer references say they use Pegasystems' mobile marketing functions. Given the company's emphasis on next-best-action and real-time capabilities, successful mobile deployments will be key for Some references report unevenness in first-level customer support with new product releases but still say they are very satisfied with the company and its products. How the company responds to this unevenness needs to be watched. Page 10 of 30 Gartner, Inc. G

11 Pitney Bowes Pitney Bowes, a Niche Player, targets B2C organizations in the financial services, telecom, retail, utilities and public-sector industries. Consider Pitney Bowes' Customer Engagement platform particularly for supporting engagement in the call center. Product: Pitney Bowes' Customer Engagement Solutions group offers core MCCM capabilities through Portrait, with emphasis on both physical and digital engagement. Customers seek Pitney Bowes for its ability to extend channel connections to the call center and direct-mail executions, in a range of deployment models. New capabilities: In 2014, Pitney Bowes continued to remessage, remarket, reorganize and integrate its customer communications and campaign management tools under a new Customer Engagement Solutions group. These efforts, combined with additions to its partner network and growth in existing accounts, resulted in consistent year-over-year revenue growth (24%) and expansion of its global footprint in the midmarket. Roadmap: Portrait Suite 6.1 was released in January 2015, including improvements in performance and scalability, as well as progress on suite and mobile integration. In 2015, Pitney Bowes will focus on continued integration of the Customer Engagement Suite, continued buildout of customer journey capabilities, and collaboration tools to support sharing across channel organizations. References: References cite ease of use and operation, and tight channel integration, with users not needing IT support. Cautions While much of the rebranding work has been done, the Customer Engagement integration is still ongoing. Prospects should examine how requirements will be met as the technology evolves. Pitney Bowes still trails the market in depth of digital marketing functions and in overall presence in competitive deals. Some references cite dissatisfaction with the Web user interface, indicating it is outdated. They also cite the interface's responsiveness as a challenge. Finally, some clients have voiced concerns over scalability, although Pitney Bowes indicates Portrait v.6.1 offers related scalability improvements. RedPoint RedPoint, a Niche Player, targets B2C marketers across industries and has an increasingly global footprint. Consider RedPoint if your organization seeks core MCCM execution built on data management capabilities to enable data-driven marketing programs. Gartner, Inc. G Page 11 of 30

12 Product: RedPoint remains a small, young and fast-growing competitor. RedPoint grew its geographic footprint in 2014 by expanding into South America, and adding technology and provider partners. As a result, it expanded its customer base by 60 new logos. New capabilities: RedPoint continued to execute its "all about the data" strategy in 2014, releasing Data Management for Hadoop, which gives marketers access to unstructured data in Hadoop to improve customer identification, and gives more precise and personalized engagement with customers. Roadmap: In 2015, RedPoint will continue international growth and investments in new partnerships. Product enhancements will focus on goal-driven next-best-offer capabilities, which will use advanced learning and algorithms to expand the prominence and precision of these offers in customer journeys. It will also enhance multichannel attribution modeling and ROI calculations. Data improvements will center on giving marketers access to more complex data environments and more data exploration tools for new database types. References: References appreciate RedPoint's data management and manipulation capabilities, which they see as unmatched by other products. Cautions With its strategy firmly focused on data, RedPoint runs the risk of its product being considered mainly a data layer, with clients perceiving a need for additional tools to drive channel communications, despite RedPoint's core MCCM functions. In addition to enterprise customers, RedPoint serves the needs of midmarket customers or those with constrained budgets, aiming to help marketers do more with less resources. However, more advanced marketers that require marketing-specific leadership and expertise, or creative services, may seek providers better-positioned to guide them through leading-edge programs or executions. Some references think the usability of the user interface needs improvement. Customers request better analytics specifically, predictive capabilities. As the RedPoint footprint grows, customers also seek continued growth in their partner network. Salesforce Salesforce, now a Leader, has extended its vision and execution. Consider Salesforce's Marketing Cloud for cloud-only deployment of MCCM for digital channels, including , mobile, Web and social across industries. Product: The Marketing Cloud shows strong growth and appeared in more than 80% of shortlist considerations for MCCM with Gartner clients. The visually appealing Journey Builder has further increased demand and marketing mind share for Salesforce. Page 12 of 30 Gartner, Inc. G

13 New capabilities: In 2014, Salesforce added features to Journey Builder, a tool to help marketers map, plan and execute multichannel campaigns and interactions. The features include interaction prioritization, management of the number of touchpoints for a given customer, and analytics for reporting how users are moving though a journey. Salesforce's Web and mobile analytics products are native to the platform. Journey Builder for Apps allows marketers to connect apps and deliver in-app messages. Salesforce also launched mobile and identity-based advertising capabilities. Roadmap: In 2015, Salesforce plans to build on Journey Builder by augmenting its recommendation capabilities with offer management and testing to support predictive paths. Salesforce also plans to integrate Social Studio within marketing. References: References routinely mention the robust functions and note the elegance of Journey Builder workflows. Cautions Salesforce is suited largely for digital channels, with remaining its "sweet spot." As a Leader, it will need to show clients a stronger path to multichannel, including using its major assets in social. Salesforce needs comprehensive attribution metrics and real-time, next-best-offer capability across online and offline channels. Some references mention that Marketing Cloud, a self-service product, needs more heavy lifting by clients than anticipated. A few mention needing Platinum-level support, or they struggle with the support they are receiving. SAP SAP, a Challenger, serves B2B and B2C organizations, and it specializes in the retail, consumer packaged goods, high-tech, professional services, sports and entertainment, telecom, and financial services industries. Consider SAP for a large-scale MCCM platform that supports data analysis, data-driven marketing planning and execution, integrates with ERP systems and processes, and extends into digital commerce. Product: SAP's MCCM offering includes the recently launched SAP hybris Marketing solution, which aims to create single enriched customer profiles. The solution handles both known and unknown customer data by leveraging its 2014 acquisition of SeeWhy and other third-party data sources to sequence and personalize interactions. SAP incorporates advanced data analysis, including predictive analytics, to segment audiences, define next best actions, and optimize multichannel campaigns and commerce. New capabilities: hybris Marketing is integrated to the hybris Commerce Suite, SAP CRM and SAP Cloud for Customer solutions. hybris Marketing provides tools such as segmentation and Gartner, Inc. G Page 13 of 30

14 targeting, remarketing, analytics models and product recommendations to personalize campaigns and commerce experiences. Roadmap: SAP plans to release customer engagement orchestration and further enhance existing modules, and it will continue to build a marketing platform that adds deeper integrations with the rest of SAP and key third-party partner solutions. SAP will continue to add partners to support integration. References: References cite SAP's functions, performance and scalability as strengths, and acknowledge tight integration to other SAP systems and data. They also like its quality of service and out-of-the-box functions, as well as tools for lead management and audience segmentation. Cautions SAP's Customer Engagement and Commerce business unit is new and will need to develop. While SAP views content as an important part of integration, it hasn't articulated a leading vision of how it will support content beyond the product catalog. Multiple references cite the user interface as SAP's most significant weakness, saying flexible customization is needed. Some references cite SAP as too expensive, which could make it less attractive to marketers looking for a stand-alone MCCM tool, rather than an MCCM tool for existing ERP users. SAS SAS, a Leader, is strong in the financial services, telecommunications, retail and insurance industries, but it has customers across most industries globally. Consider SAS if you are pursuing B2B and B2C opportunities and require advanced analytics or a solid MCCM foundation that includes data management and business intelligence. Product: SAS offers solid basic and advanced functions for campaign management, as well as strong advanced analytics, such as analytics segmentation and optimization, which are integrated into the campaign process. SAS states its Customer Intelligence MCCM business generated about $420 million of SAS's overall $3 billion in revenue in 2014, representing more than 10% annual growth in MCCM. New capabilities: SAS increased R&D for the Customer Intelligence platform by 33% in 2014 over 2013, and it is using more open-source technology to deliver quick, cost-effective innovation. Targeted acquisitions for intellectual property and personnel helped the company evolve Customer Intelligence (we evaluated v.6.3). Roadmap: SAS released v.6.4 with upgrades in March The company will continue to invest in MCCM and integrated marketing for digital business, including more organic innovation and potential acquisitions to boost its Customer Intelligence business. Examples of this innovation include SAS's plans to release a mass-scale modeling platform, SAS Factory Page 14 of 30 Gartner, Inc. G

15 Miner, in the third quarter of 2015, and its plans to release new SaaS real-time Web and mobile personalization capabilities later in the year. References: References like the powerful functions (especially segmentation), which handle multiple types of campaigns from simple to big and complex. References also like the Customer Intelligence's flexibility, speed and ease of use. Cautions Social and capabilities are still evolving. Some references mention recent acquisitions for expanded digital marketing capabilities have created somewhat disjointed service and support, although other references note that support and responsiveness have improved. While SAS has a broad array of clients, it is best-suited for experienced companies with significant technology resources and in-house analysts who can take advantage of the advanced analytics capabilities for MCCM. SDL SDL, a Niche Player, has improved on its Completeness of Vision for MCCM. Consider SDL if you are an upper-midmarket or large company looking for B2C MCCM with , Web, mobile and social channels. Product: A reorganization, a rebranding, and now both a direct and indirect (through marketing service providers) sales model have strengthened SDL's ability to reach marketing departments with its Customer Experience Cloud. The Customer Experience Cloud includes SDL Campaigns, which uses SDL assets such as content, e-commerce, analytics, social and multiple language capabilities. Customers used to find them in separate business units under SDL. New capabilities: In 2014, SDL released Campaigns, a bundling of Manager, Customer Analytics and role-based user experience for digital marketers. New interaction tactics included SMS, mobile app messaging and Twitter. SDL also enhanced Campaigns' user interface. Roadmap: SDL's 2015 plans include a revamped user interface, a real-time decision engine, digital marketing dashboards, and a unified view for response data from inbound and outbound campaigns. SDL plans packaged vertical offerings of data schemas, campaigns and reporting to reduce implementation times. References: References consistently mention above-average professional services and customer support from SDL. Gartner, Inc. G Page 15 of 30

16 Cautions SDL is less than a year into rebranding and is making progress with its vision for Campaigns, but SDL must continue to work on differentiating its offering in a crowded market with similar solutions. SDL lags behind in ad management, and its social assets have not gotten significant uptake. Some references mention the performance of attribution metrics and having to load data into SDL's proprietary database as weaknesses. Selligent Selligent, a Niche Player, offers MCCM capabilities for midmarket clients in the retail, financial services, publishing, and travel and tourism industries. Consider Selligent in global B2C midmarket deals when execution across digital channels is a priority and when cost is a factor. Product: Selligent found success helping marketers that require full-featured solutions to support enterprise ambitions, often on a narrow budget, a common challenge for European marketers. These solutions must be deployed efficiently (sometimes without IT support), in a way that accounts and provides controls for strict EU data privacy requirements. New capabilities: Selligent launched operations in Boston and New York in the fourth quarter of 2014 to gain access to U.S. accounts and support U.S. clients. As a result, 2014 growth was driven largely out of new business from the U.S. and U.K., as well as Germany. Furthermore, Selligent Campaign evolved in 2014, with advancements in mobile campaign management capabilities. It now supports dialogues (inbound and outbound) via SMS and push, and the triggering of journey maps based on geolocation and beacon identification. Selligent launched a new, unified user experience in 2014, along with improvements in real-time Web targeting, and changes in the database technology layer to improve performance and scalability. Roadmap: In 2015, Selligent plans to evolve its marketing resource management capabilities, incorporate support for ad management, and make product enhancements to the Express product (used for distributed marketing and is a key add-on in the product portfolio). Selligent also plans to build native data management platform (DMP) and demand-side platform (DSP) integrations, and form alliances to support these requirements. In addition, Selligent will expand its U.S. team. References: Selligent's fixed pricing stands out among solutions that are often seen as too expensive or oversold. Customers continue to cite cost of ownership as a key benefit, as well product and business model flexibility. Selligent addresses requests for service and support resources quickly and thoughtfully. Page 16 of 30 Gartner, Inc. G

17 Cautions Analytics capabilities are not category-leading. Selligent doesn't offer advanced analytics capabilities (such as attribution measurement). Customers consider Selligent in deals best described as " plus" (often plus another channel). While it supports core MCCM needs, functional depth in other areas still trails the Leaders. References' reports on ease of use and setup are mixed, as is feedback on tools, resources and manuals to guide user implementations and processes. Clients indicating usability challenges are optimistic that these will be addressed with new versions. Sitecore Sitecore, a Visionary, focuses on the automotive, consumer packaged goods, financial services, energy, government, technology and retail industries. Consider Sitecore to gather, analyze and apply customer insights and content, with integrations into customer service and digital commerce. Product: Sitecore Experience Platform (XP) is an integrated MCCM tool that connects to Sitecore Commerce and other commerce platforms, including homegrown solutions. It offers content management across channels; collects and integrates customer data, including integrating online and offline data; and analyzes data for decisioning. It also offers campaign testing and optimization across channels. Sitecore can deliver responsive mobile sites. It supports social marketing management, powered by Komfo. New capabilities: Sitecore expanded testing options, ranging from simple setup and test recommendations for new testers to complex multivariate testing, and enabling users to test every item on a page and measure performance against campaign goals. Its latest version (XP 8) also includes a more consistent user interface and rule editor, as well as search marketing, real-time recommendations, and event triggering based on profile matching and behavioral data, such as response to ad campaigns. Roadmap: Upcoming versions of the platform will illustrate a broader perspective on customer experience, including triggers to help marketing and experience professionals consider operational issues, and operational and financial functions to support the broader experience. References: References value Sitecore's content management and Web analytics, as well as event-triggered marketing. Clients also cite satisfaction with overall platform capabilities, performance and scalability, as well as value relative to the cost. Gartner, Inc. G Page 17 of 30

18 Cautions Sitecore gets significantly fewer competitive mentions than other MCCM vendors. Many marketers are still unaware of Sitecore's role in this market, thinking of it instead as a technology integration solution. While it offers analytical capabilities, Sitecore could improve analytics and usability by adding complex reporting templates, dashboard views and data visualization. Some references note that their own internal technical knowledge and outside agencies have helped shape their success in implementation rather than Sitecore's services. Teradata Teradata, a Leader, focuses on the financial services, media, transportation and telecom industries. Consider Teradata if you are a large B2C organization seeking MCCM with strength in marketing resource management and data-driven marketing to support brand engagement. Product: Teradata Integrated Marketing Cloud solutions include MCCM, marketing resource management and channel-specific digital marketing applications atop a marketing analytics layer. Teradata's open platform connects to marketing offerings and data from other providers. Teradata offers APIs for commerce platforms such as Demandware and hybris, and it partners for loyalty marketing and Web analytics. Teradata also offers cloud deployment of MCCM and digital channel-specific marketing applications to midmarket clients. New capabilities: Teradata made three acquisitions in Ozone Online focuses on fullservice campaign creative and design services. Argyle Social brings social monitoring and management, and Facebook social advertising. Appoxee supports mobile engagement and has international presence. Teradata formed a partnership with Urban Airship for push messaging. It streamlined campaign tracking, enhanced , extended predictive analytics, and improved segmentation, including real-time, personalized offer recommendations using known and anonymous data. Roadmap: In 2015, Teradata plans to launch expanded dashboard and ad hoc analytics, a unified content library, real-time decisioning for personalized content, and social marketing management. It plans improved usability through a common user interface that is more visual and that incorporates responsive design. Teradata plans to open its platform further to accommodate more data sources. It will focus on out-of-the-box solutions for the midmarket, and will expand in Canada, Central America, China and Russia. References: References choose Teradata for its knowledge of clients' business needs, including industry experience. Clients cite its strengths in multistep campaign creation, event-triggered marketing, predictive analytics, real-time offers/recommendations and segmentation. Page 18 of 30 Gartner, Inc. G

19 Cautions Despite new customer wins and a moderate number of competitive mentions, Teradata's 2014 revenue was flat year over year. However, Teradata's increasing investments in marketing applications should position it for long-term revenue growth. Teradata's social and mobile marketing depend on the integration and momentum of the three recent acquisitions and a partnership with Urban Airship. Teradata anticipates integration of the recent acquisitions to be completed in the second quarter of Some references mention the need for a complete vision with digital marketing capabilities outside traditional CRM tools. Teradata now competes with a growing number of MCCM vendors focused on digital techniques that are further along. Zeta Interactive Zeta Interactive, a Niche Player, targets high-volume, travel, entertainment, media, financial services and midtier B2C retailers with SaaS MCCM products and services. Consider Zeta Interactive when you want speed to market, services and support. Product: Zeta reported $168 million in revenue for 2014, with primary sources of growth through organic sales and acquisitions. Zeta enables marketers to query, segment and use information to build customer relationships, and to measure and optimize continuously. Zeta's cloud-based project implementations take four to 14 weeks from kickoff to campaign-ready with full production deployment reported in three months. New capabilities: Zeta integrated its legacy MCCM product into its Service Platform (ESP). Zeta created an open API and service foundation to allow plug-and-play integration to internal and external features. It added a universal HTML5 interface for a consistent dynamic user experience. Zeta also added IBM's Netezza and Amazon's Redshift data integration for access to the universal data model, and advanced business intelligence analytics and visualization through Tibco's Jaspersoft. Roadmap: In 2015, Zeta will add international SMS and integrate SMS into the campaign design workflow. Other plans include expanding real-time Web personalization; enhancing dynamic content; strengthening advanced data modeling; and incorporating push messaging with rich content and video. References: References praise Zeta's effective project managers and cite great customer support. Its technical teams are knowledgeable and follow good project management processes. Customers cite Zeta's flexible approach and ability to work to tight deadlines. Gartner, Inc. G Page 19 of 30

20 Cautions Zeta will need to differentiate itself better in a crowded market by providing specialized support and managed services that the larger vendors, such as IBM, Salesforce and Oracle, cannot scale to offer. Rich real-time and predictive analytics visualization are still on the roadmap. References note that system setup, especially data mapping and testing, is more involved than anticipated. References note that the complexity of products in the portfolio makes it difficult to sort out what to use and when. Some mention a less-than-intuitive user experience. Vendors Added and Dropped We review and adjust our inclusion criteria for Magic Quadrants and MarketScopes as markets change. As a result of these adjustments, the mix of vendors in any Magic Quadrant or MarketScope may change over time. A vendor's appearance in a Magic Quadrant or MarketScope one year and not the next does not necessarily indicate that we have changed our opinion of that vendor. It may be a reflection of a change in the market and, therefore, changed evaluation criteria, or of a change of focus by that vendor. Added The following vendors were added to the Magic Quadrant in 2015: AgilOne Microsoft Pegasystems Dropped No vendors were dropped. Inclusion and Exclusion Criteria The vendors in the 2015 MCCM Magic Quadrant offer the most-relevant and compelling marketing solutions. We update the inclusion criteria every year to reflect changing user requirements and vendor capabilities. Functions Vendors must support all the following: Ability to create, execute and manage multichannel campaigns Proven campaign planning, tracking and reporting with role and approval capability Page 20 of 30 Gartner, Inc. G

21 A user interface suitable for marketing users who create, execute and report on campaigns Basic campaign management functions, such as segmentation, campaign execution and campaign workflow Vendors must support at least three of six advanced functions: Advanced analytics: Predictive analytics: Capability to analyze customer behavior to predict churn, next-mostlikely purchase and propensity to buy. These functions enable a company to target customers more effectively or stage the offers to make during interactions. Vendors may offer these capabilities through partnerships, but we will look for proven integration and references of actual use. Campaign optimization: Ability to balance and coordinate multiple constraints to maximize expected value from single or multiple campaigns. This capability enables trade-offs among different campaign execution options, such as which campaign to use, which channel to use, the number of interactions per individual and the expected value of each campaign. Multidimensional segmentation: Ability to group audiences based on different attributes along multiple dimensions. Traditional attributes have focused on products and who are likely buyers. Newer groupings focus on profitability and the customer life cycle. New and old data play an important role in defining the target audience and understanding the channel where you should focus the campaign. Traditional transactional data, third-party data, anonymous customer data all contribute to targeting the right audience with the right offer at the right time in the right channel. Advanced execution: Event triggering: The detection, prioritization and execution for a significant event affecting a customer relationship. Real-time recommendations: Ability to manage offers and deals with offer arbitration. These functions combine the most-up-to-date information from data collected prior to the interaction, as well as new data collected during a real-time interaction with a customer. Multichannel lead management: The ability to provide lead management functions for both inbound and outbound marketing initiatives. This capability includes, at a minimum, lead collection, analytics, augmentation, scoring, process management and nurturing, across at least three lead-generation and lead-management channels within a single campaign. In addition, functions must support bidirectional integration with CRM or sales force automation applications (such as Microsoft Dynamics CRM, Oracle Sales Cloud, Salesforce and SAP CRM). Gartner, Inc. G Page 21 of 30

22 Digital Marketing Capability In addition to the basic and advanced functions above, we will consider specific digital marketing functions, such as Web analytics, social analytics, social marketing, mobile marketing, and ad management and e-commerce connections. Market Presence, Momentum and Viability Vendors must have: At least 20 customers using MCCM At least 15 new customer wins for MCCM during the past 12 months At least $15 million in revenue and enough cash to fund a year of operations at the current rate of cash depletion In addition, we emphasize innovative, visionary offerings. Visionaries provide a strong vision for the MCCM market, or excel in advanced or emerging areas, such as multidimensional segmentation, inbound marketing, mobile marketing, loyalty marketing, e-commerce and social marketing. They can set strategic direction or demonstrate innovative capabilities in one or more functional areas (such as advanced campaign functions or digital marketing integration) that the market will eventually adopt. Visionaries may have campaign management implementations from different buying centers, such as the customer service or e-commerce department. Evaluation Criteria Ability to Execute Product/Service: This criterion examines product capabilities, including basic and advanced campaign management functions, basic and advanced analytics, campaign workflow, and functions for digital marketing. This is a key differentiator. Weighting: High. Overall Viability: This criterion considers the overall health of the vendor, including the campaign management business. Viability includes the vendor's history of and commitment to the continued success and development of world-class MCCM. Weighting: High. Sales Execution/Pricing: This criterion examines the effectiveness of the sales channel and how it deals with presales responsiveness, contract negotiations and pricing for campaign management. Weighting: Medium. Market Responsiveness/Record: This criterion evaluates the vendor's success in creating and meeting a consistent demand for its product, measured in continuing client wins and use in its installed base. Weighting: Medium. Marketing Execution: This criterion examines the vendor's momentum, and perceived campaign management focus and presence in the market. Vendors must show established and continued Page 22 of 30 Gartner, Inc. G