IBM EMM IBM Enterprise Marketing Management EMM and

IBM Enterprise Marketing Management Our EMM Offerings IBM’s Enterprise Marketing Management solutions offer proven web and customer analytics, event detection, cross-channel campaign management, interaction management, online ad/search optimization, email marketing, and marketing resource management. Customer and Partner Success § Over 2, 500 organizations worldwide § Tens of thousands of total users § Extensive service offerings § >200 partners Product Leadership § Meeting the needs of: – Cross-channel marketers – Online marketers – Marketing services § Two deployment models: – On Premises – Saa. S § The recognized leader in marketing software solutions Our Mission To power the success of every marketing organization with innovative technology solutions 2 © 2012 IBM Corporation

Marketing’s challenges…and opportunities § Years to reach 50 M users: Channels proliferate… Tablet 2 Yrs Facebook 3 Yrs § The Internet evolves… Internet 4 Yrs Network of people Network of pages § The consumer is in control… § The rate of change accelerates… TV 13 Yrs Marketing’s role must evolve… © 2012 IBM Corporation

Marketing’s Evolving Role Awareness Demand Generation Consideration, Preference, Transact Prospects Customer Engagement Customers Energized, Delighted, Fans, Broadcasters Customer Experience Quality, Consistency, Convenience © 2012 IBM Corporation

Enterprise Marketing Management (EMM) is the platform EMM: a comprehensive suite that improves and integrates five critical processes Analyze Decide data to find actionable insights on the best action or communication Collect Deliver data that augments each customer profile engaging messages and capture reactions Manage budgets and processes and measure results 5 © 2012 IBM Corporation

EMM flexibly addresses the needs of specific user groups USER GROUP 6 NEED EMM SOLUTION Digital marketers Turn online prospects into repeat customers and loyal advocates Digital Marketing Optimization Customer relationship marketers Engage each customer and prospect in a one-to-one dialogue across communication channels Marketing Interaction Optimization Merchandising & sales planners Align prices, promotions and product offerings to increase customer loyalty and profit Marketing leaders & planners Improve marketing operations and planning to maximize marketing ROI Price, Promotion, and Product Mix Optimization Marketing Performance Optimization © 2012 IBM Corporation

Engage each customer and prospect in a cross-channel dialogue that builds upon their past

IBM’s Enterprise Marketing Management Comprehensive suite of marketing management capabilities Awareness Decisioning Execution Web and Digital Customer Analytics Awareness Segmentation Centralized Decisioning Offer e. Mail Cross Channel Inbound Integration Execution Event Leverage Detection Management Determine Interaction Distributed comprehensi the best Deliver highly History Marketing ve. Predictive data to message to relevant Lead Routing Real-time and Analytics identify extend in marketing and Monitoring Behavioral Targeting opportunities outbound messages and Visual Contact Online Ad/Search and predict and inbound a Exploration Optimization Bid retain Management marketing corporate outcomes. channels. memory of Integrated Marketing interactions. Facilitates planning, & Plans & collaboration People & and Data & Measurement Operations Facilitates collaboration andcross-channel design, execution, measurement Budgets Processes Assets Performance planning, design, execution, and measurement. © 2012 IBM Corporation

Where IBM Unica Campaign fits into the IBM Unica Enterprise Offering Awareness Decisioning Web & Digital Analytics Event Detection Predictive Analytics Visual Exploration Execution Segmentation Email IBMOffer UNICA Management CAMPAIGN Inbound Integration Interaction History Lead Routing & Monitoring Real-time, Behavioral Targeting Distributed Marketing Contact Optimization Search/ Display Ad Management Operations Plans & Budgets 9 People & Processes Data & Assets Measurement & Performance © 2012 IBM Corporation

What Is Unica Campaign? CAMPAIGN MANAGEMENT software: § Used to plan, design, execute, measure and analyze personalized marketing campaigns § Capable of managing all types of large-scale, multi-wave and cross-channel campaigns § Creates a “marketing system of record” for offers, segments and interaction history § Recognized best-of-breed functionality, scalability and record of customer success § Serves as integration hub for add-on modules: – – 10 Email marketing Contact optimization Real-time interactions Distributed marketing © 2012 IBM Corporation

Business Challenges Addressed by Unica Campaign § Effectiveness of campaigns declining – need to INCREASE PRECISION of targeting and better track what’s working and what’s not § Volume of campaigns growing – requires greater OPERATIONAL EFFICIENCY and best practice standardization § COMPLEXITY of campaigns increasing (multi-wave, cross-channel, highly personalized) – harder to manage § Need to leverage data STORED IN MANY PLACES § Need to REDUCE DEPENDENCE ON I. T. to execute campaigns 11 © 2012 IBM Corporation

Recent Adoption Patterns – by Product common starting point common next step most common next product Coremetrics Web Analytics + use more of Campaign: • Offer management adoption considerations • Something already in place? • Can you tag the site? • Do you have “inbound channels? ” • Who controls the channels? • Has Campaign created new bottlenecks? • Do you have a top-down mandate or buy-in? • Interaction history • Strategic segments • Custom macros • Feeling the pain? • ESP contract or existing investment in infrastructure? • etc. © 2012 IBM Corporation

Product Dependencies Coremetrics Web Analytics DEPENDENT can work with and complement Interact can be used standalone but also has many integrations with Campaign can be used standalone but also has some integration with Campaign but positioned and packaged as usable stand-alone IMPORTANT: all products are positioned as being part of the integrated IBM Marketing Interaction Optimization solution © 2012 IBM Corporation

EMM leader quadrant is a group of major players with IBM as the leader

A Broad Set of Vendors may “Compete” in a Given Deal §CRM/ERP §Data & Analytics §Mid-Market EMM §Email Deliverability §B 2 B Upstarts §Web Analytics §Web Personalization & Offers §Search Bid Mgmnt §E-Mail Software §Marketing Operations Specialists 15 © 2012 IBM Corporation

IBM’s EMM Solutions Drive Real Marketing Value Increase online conversions: Increase volume thru automation: On-site search conversion up 31%. Average order size for search up 5% Increased number of campaigns by 30 x Improve customer loyalty: Reward Zone membership doubled in 3 months. 17% profit increase Targeted ads increase revenue 100% increase in coupon redemption Large increase in revenue form new customers Reduce cycle time / boost efficiency: Reduced campaign cycle times from 26 weeks per campaign to just 4 weeks Improve marketing quality Reduced late projects from 35% to 5%. Eliminated “trashed” projects. 2010 Unica, An. IBMCorporation Company © 2012

Customer Profile § Unica Enterprise meets the needs of: – Cross-channel marketers – Online marketers – Marketing services – Online and bricks-and-mortar retail industry customers § Customer needs/pain points • Long campaign cycle time, slow time-to-market, and high costs of marketing campaigns. • Imprecise targeting of customers, resulting in low response rates & poor business results. • Poor reuse of customers’ past behavior to determine, over time, how to communicate with them now & in the future. • One-off relationships with customers -- no loyalty, no lifetime value. • Abandoned shopping carts, with no way to recover potential sales therein. • Inconsistent experience for customers as they move between channels. • Scattered decision-making throughout different parts / different channels of marketing organization. § Target Audiences – (VP, Director): Database Marketing, Direct Marketing, Internet Marketing, Relationship Marketing, Field Marketing, Marketing Operations, Customer Experience – CIO/IT Retail Finance § Targeted Key Industries : 17 Telco Auto High Tech Insurance Life Sciences Media & Publishing Travel & Leisure Brokerage & Investment © 2012 IBM Corporation 17

Why marketers choose IBM Enterprise Marketing Management Unmatched experience serving marketers • Thousands of marketing organizations • Every major industry • On six continents Broadest and deepest product functionality • More modules than any other vendor • More capabilities within each module • Top ranks from analysts • Strategic commitment to marketing software Groundbreaking vision for the future • Integrating marketing and breaking down marketing silos • Blend of deployment options (Saa. S, onpremise, hosted by partners) • Marketing as part of Smarter Commerce 18 © 2012 IBM Corporation

Quick facts§ IBM’s Enterprise Marketing Management software empowers organizations and individuals to turn their passion for marketing into valuable customer relationships and more profitable business outcomes. These solutions integrate and streamline all aspects of online and offline marketing. Including customer and web, analytics ( Over 75% of uses some form today), centralized decisioning, cross-channel execution, online optimization, and marketing operations § Unica helps marketers can plan, design, execute, measure, and analyze multi-wave, crosschannel, and highly personalized marketing campaigns § IBM, Unica, and Coremetrics have a passion for customer success, as demonstrated by hundreds of satisfied customers a cross many industries and around the world. 19 © 2012 IBM Corporation

Quick facts- § With IBM Strong hold in the land of IT and EMM focus of the Marketing groups we are now able to gain mind share of marketing and IT leaders. § Marketing is undergoing a fundamental change as power shifts to the consumer, channels proliferate, competition intensifies, and marketing complexity grows. § The internet continues to transform how consumers buy and influence and how companies communicate with and service their customers. § A new marketing role is emerging. It is aware of the customers’ needs and facilitates customer experience with relevant and consistent messages across channels. New marketing is more collaborative and feels like a service. 20 © 2012 IBM Corporation

Key products that drive results! Unica Leads § Lead management solution focused on the delivery of quality leads in a timely manner. Unica Detect • Event detection solution focused on the Improvement of cross-sell and retention rates by detecting when customers are most receptive to offers. 21 © 2012 IBM Corporation

Unica Campaign • Along with outbound campaign management it will alone you to determine, in real time, the right message to present in inbound marketing channels. Unica Predictive. Insight • UPI is a key tool in building better customer relationships through more relevant interactions based on data mining and predictive modeling. Unica e. Message • Combined with campaign it adds email authoring and execution to the marketing campaign. 22 © 2012 IBM Corporation

IBM Coremetrics Digital Marketing Optimization Suite © 2012 IBM Corporation

IBM Web Analytics cited as a leader by independent research firm þ Highest score for strategy þ Highest score for current offering þ Highest score possible (and only one) for application usability and administration þ Highest score possible (and only one) for corporate strategy The Forrester Wave™: Web Analytics, Q 4 2011, Forrester Research, Inc. , October 6, 2011 The Forrester Wave is copyrighted by Forrester Research, Inc. Forrester and Forrester Wave are trademarks of Forrester Research, Inc. The Forrester Wave is a graphical representation of Forrester's call on a market and is plotted using a detailed spreadsheet with exposed scores, weightings, and comments. Forrester does not endorse any vendor, product, or service depicted in the Forrester Wave. Information is based on best available resources. Opinions reflect judgment at the time and are subject to change. © 2012 IBM Corporation

Introducing the IBM Coremetrics Digital Marketing Optimization Suite + Customer Profiles + Web Analytics Digital Marketing Execution A compelling experience throughout each customer’s digital lifecycle. 25 © 2012 IBM Corporation

IBM Coremetrics LIVE Profile provides a complete picture of each customer’s lifetime interactions with your business Social & Mobile Traffic Sources Lifetime Website Behavior 26 Systems of Record Off-line Interactions Customer Attributes © 2012 IBM Corporation

Web Analytics provides marketers with answers for increasing return on marketing investments § IBM Coremetrics Web Analytics § IBM Coremetrics Enterprise Analytics § IBM Coremetrics Impression Attribution § IBM Coremetrics Lifecycle § IBM Coremetrics Multichannel Analytics § IBM Coremetrics Social Analytics 27 © 2012 IBM Corporation

IBM Coremetrics Web Analytics: the complete, cloud-based digital analytics engine at the heart of the Coremetrics Digital Marketing Optimization Suite • Complete insights for marketers & power users • Real-time KPIs and dashboards • Benchmarks • Mobile analytics • Deepest power-user analytics • and more. . . • Embed analytics into your enterprise and digital eco-system • Tag management and digital data exchange • Websphere integrations honed over years • Self-service data feeds • Go from behavioral insight to automated marketing action with just a few clicks • Granular visitor-activity warehouse, captured by IBM Coremetrics LIVE Profiles • Fluid navigation connects Coremetrics Web Analytics to digital marketing applications 28 Analytics for optimizing your web presences, marketing ROI and for turning visitors into repeat customers and loyal advocates. © 2012 IBM Corporation

IBM Coremetrics Benchmark: industry performance reporting versus peers and competitors • Performance analytics. Peer-level benchmarking metrics that deliver competitive data for industry-specific key performance indicators (KPIs). • Aggregated anonymous. The only solution to provide complete comparative metrics with no modeling or extrapolation. • Flexible and timely reporting. Measure site performance competitively and historically with visibility into daily, weekly, monthly, quarterly or even annual data. Performance metrics for uncovering areas of opportunity, improvement or discovering trends in your industry. 29 © 2012 IBM Corporation

IBM Coremetrics Lifecycle: customer milestone reporting that gives marketers more effective tools to cultivate high-value customers • Industry-unique analytics for increasing customer value. Advance customers quickly from one milestone to the next. • Analysis across multiple sessions. Use cross-session funnel analysis to understand which milestones most influence repeat visit behavior over time. • Discover. Pinpoint key customer touchpoints that drive milestone progression. • Marketing Automation. Re-target active visitors with automated, tailored email. • Trending. Gain insight into time-to- reach milestones for better programmatic planning. 30 Improve lifetime value by targeting each individual based on where they are in the customer journey. © 2012 IBM Corporation

Digital marketing execution empowers marketers to orchestrate a compelling experience throughout each customer’s digital lifecycle IBM Coremetrics LIVEmail IBM Coremetrics Ad. Target IBM Coremetrics Intelligent Offer IBM Coremetrics Search Marketing 31 © 2012 IBM Corporation

Coremetrics key information § Key benefit in value proposition: Helps Increase conversions and retention. § Improved top-line performance for the executive in the Coremetrics Financial Services customer profile. § Used as a deployment model to optimize online marketing. § Coremetrics is Saa. S and can be called by other products. § Can be used with ILOG as part of the fulfillment phase of the EMM/ Smarter Commerce. § Web. Sphere Commerce and Coremetrics bridges marketing and selling. § Influenced by practitioners but buying decisions made by executives. § Advance customers by investing in marketing, content, and products 32 © 2012 IBM Corporation

IBM leads the market for marketing technology solutions IBM: Leader Magic Quadrant: Integrated Marketing Management, October 2011 IBM: Leader Magic Quadrant: Multi-channel Campaign Management, May 2012 IBM: Leader Magic Quadrant: Marketing Resource Management, February 2012 IBM: Leader The Forrester Wave™: Web Analytics, Q 4 ‘ 11 IBM: Leader The Forrester Wave™: Cross-Channel Campaign Management, Q 1 ‘ 12 34 © 2012 IBM Corporation

IBM Coremetrics LIVEmail: out-of-the-box ESP integration that leverages the power of customer insights to deliver targeted email campaigns • Drive Conversion. Attract customers back during consideration cycle. • Save money. Retarget only the appropriate audience. • Automation. Automate targeted email programs via certified ESP partner network. • Relevancy. Map email content & recommendations to visitor preferences. • Advanced analytics. Rich segmentation and performance analytics. 35 Drive superior returns for your email marketing efforts. © 2012 IBM Corporation