The demand for big data in marketing and advertising can be traced back to the 1920s when department store mogul John Wanamaker said "I know 50% of my advertising is working, I just don't know which 50%." This quote highlighted the lack of accountability in advertising. In the following decades, companies like the Audience Research Institute and Nielsen helped provide data and insights to better understand customers and target advertising. However, it was not until the 1990s with the rise of customer relationship management tools, integrated marketing, and online advertising that marketers were able to truly leverage large datasets to improve targeting and accountability. While big advances have been made, many challenges around understanding the true impact and effectiveness of marketing spend remained as
1. 1920’s Demand For Big Data:
When did it start?
The emergence of advertisers & marketers wanting more
accountability:
John Wanamaker
Department Store Mogul
“I know 50% of my advertising
is working, I just don t know
is working, I just don’t know
which 50%”
1939
Demand for Research Hits Its Stride
George Gallup opened Audience
Research Institute, led by David Ogilvy
2. 1950’s The era marketers and ad agencies began to target customers based on
their needs
I need more
I need more
time
I have Kids!
40 Long
Years Later
Y L t
I like to
vacation!
1990’s
Customer Relationship Management modeling and tools emerge
3. Integrated Marketing Communications gains
1991 academic status based on sales impact
3 Short Years Later
1994
Ad Age proclaims “The year of the internet and targeted on‐line advertising”
A Pivotal Change to
How We Generate Leads.
4. 1998
Marketing Automation is introduced.
36 % of US SMBs Are Planning to Use
Marketing Automation; More Than Double of
Current Adoption, June 2012
2000‐
2007 Telecom’s Explode Big Data Access
From 2.2 exabytes in 2000 to 65 exabytes in 2007
5. How Big Is Facebook’s Data? 2.5 Billion Pieces of Content &
2012 500+ Terabytes Ingested Everyday!
Amazing Advances, But…….Did We Answer John’s Question?
August, 2009: Marketing Accountability Standards board:
Advertising works, but we don't really understand its
effectiveness
June, 2012: 77% of Senior Leadership don’t
believe their marketing efforts can link back to
business KPIs, Revenue, Sales, EBITDA
business KPIs Revenue Sales EBITDA
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