Posts tagged "APAC"

Australian marketers lead Asia Pacific in digital marketing but investment and skill shortages could stall adoption of more advanced implementation

131119 Paul RobsonPaul Robson, Managing Director, Adobe Australia & New Zealand – LinkedIn

Today Adobe released some new research in partnership with the CMO Council and it shows Australia continues to lead the Asia Pacific region in the adoption of digital marketing. With further investment and skills development, Australia is poised to become a regional centre of expertise for digital marketing in Asia Pacific.

The second annual APAC Digital Marketing Performance Dashboard Report benchmarked the levels of adoption, traction and success of digital marketing in Australia, China, Korea, Singapore, Hong Kong and India. 276 senior marketers within the Asia Pacific region from a range of industries took part.

This year, Australian marketers reported stronger support for digital marketing from company leadership compared with other countries across the region. Customer preference, cost efficiencies and return on investment are cited as the driving forces behind the shift to digital, and this year’s study highlights content strategy and web content development as overwhelming priorities on marketers’ agendas. However, industry skill shortages and lack of investment are noted as impediments to maximizing the potential adoption of more sophisticated digital marketing strategies and techniques.

Key findings from the study for Australia include:

  • Support for digital marketing from company leadership is highest in Australia with 62% of marketers reporting they have a strong digital marketing champion on their leadership team. This compares with 38% across the region and suggests Australian business leaders are ahead of the curve in understanding digital’s impact on business.
  • Measurement capabilities, cost efficiency and the ability to prove a return on investment have emerged as major drivers of digital marketing in Australia according to 69% of marketers.
  • Australian investment in digital marketing increased in 2013 and our marketers continue to invest more than any other country in the region. An aggregate of 49% of Australian companies participating in the survey spend 25% of their total marketing budgets or higher on digital marketing, compared with 41% in 2012. This compares with 42% in India, 31% in Singapore and 3% in South Korea in 2013. The average global spend on digital marketing is between 25 – 35% of total marketing budgets.
  • Australian marketers have new priorities this financial year with 77% nominating digital marketing content strategy as top of their list, ranking as a top priority for the first time. Secondary priorities include social media optimization, which was first last year; and increasing and improving search and online display (each ranked at 42%).

This year’s research shows more senior business leaders are getting behind the adoption of digital marketing and that is driving growth in Australia. The research shows senior leaders are basing their support not only on customer preference for digital but also on the promise of greater productivity, visibility and accountability for investment. They are now seeing proof of the promise for digital marketing to bring value and accountability to a major investment area.

However, while investment levels are highest in Australia, marketers are also reporting insufficient investment and a lack of skills are preventing them from broadening their digital marketing strategies beyond some of the more standard metrics such as website performance (87%) and click through rates (77%).

These are excellent measurements but important performance indicators such as churn rate and customer lifetime value are too low in priority at 13% each. With further investment and better skills, marketers could be leveraging much more from the data they have to drive business results and demonstrate ROI.

In spite of this, with so many of the fundamentals in place, Australia has the potential to establish itself as a regional centre of digital marketing expertise if these issues can be addressed.

We’re continuing to launch country-specific findings across the region this week. Keep visiting Digital Dialogue to read in-depth findings from Korea, Singapore, China & India.

Download the complimentary executive summary

APAC Digital Marketing Performance Dashboard Infographic

Japan Digital Marketing Performance Dashboard Infographic 2013

This infographic is central to the report, and illustrates the state of digital marketing adoption across Japan with respect to four key categories: Mindset, Marketing Readiness, Organizational Alignment, and Marketing Skills. All ratings are on a scale of one to 10, with 10 being the highest.  The overall rating for each category was reached by taking an average of four key indicator questions relating to each category. Japan’s overall ratings are compared to overall ratings for the rest of APAC (Australia, China, Korea, India, Singapore, Hong Kong and rest of Asia) in each category. The infographic shows that the mindset for digital adoption is positive in Japan – but that talent, marketing skills and organizational alignment must improve in order to capitalize on these efforts. In addition, all of Japan’s ratings are below the APAC average.

Download the complimentary executive summary

Asia Pacific marketers are gaining in digital confidence, despite budget and talent deficits

Hisamichi Kinomoto, VP Marketing, Japan and Asia Pacific, Adobe Systems- LinkedIn

Join the conversation via #APDash

The APAC Digital Marketing Performance Dashboard returns in 2013, revealing the emergence of a two-tiered approach to digital marketing as some countries gain in sophistication while others confront the tough reality of low budgets, skills shortages and inadequate agency support. The research was carried out by the CMO Council in partnership with Adobe, and since its launch in 2012, the Dashboard has exposed significant differences in the digital marketing landscape across the Asia Pacific region.

All across the region we see positive signs that digital marketing is coming of age and increasingly taking its place at the heart of the marketing mix as a highly accountable, flexible way to generate customer engagement and interaction.

Across APAC, 28% of marketers rated themselves as highly evolved and a leader in their field, compared to 23% in 2012. Confidence was highest in India (42%), Australia (37%) and Singapore (29%). However, the data included responses from Japan for the first time, and revealed a very interesting contradiction. Japan’s marketers rated their organisations highly in response to this question, with 28% considering themselves a leader in their field. Furthermore, marketers in Japan lead the entire APAC region with 72% believing that digital will help build a more customer-centric organization, compared to 50% in APAC.

Yet while Japanese marketers are brimming with confidence and enthusiasm for digital, the truth is that they lack the senior level support to truly exploit the digital engagement opportunity. They lack a strong digital champion to help advance the call to action. While 38% of marketers in APAC say there is a champion among the executive team (this number is as high as 62% in Australia), not a single respondent from Japan could agree. One positive thing is that Japan organisations are now seeing greater advocacy for digital marketing from the sales and channel team, with 22% pushing for an increase in digital spend on par with the APAC average.

With similar patterns emerging in Korea and China, marketers in these countries face a situation where they must heed the call of their customer for to deliver digital engagement, while still educating senior leaders about the growing digital expectations of the market. Only then will they be able to speed the adoption rate and acceptance of digital marketing’s more advanced and lucrative opportunities.

Wondering how your own digital marketing efforts are matching up against other countries in APAC? Here are some key points that stood out from the 2013 Digital Dashboard:

  • APAC marketers  shifted their priorities in 2013 to focus on content strategy and social optimization

–          75% said they were strengthening their digital marketing content strategy this year compared to  36% in 2012

–          59% are prioritizing social media optimization compared to 52% in 2012.

  • Although a strong majority of APAC marketers are measuring and testing digital campaigns, lack of access to the right skills means they are unable analyse the data and tap into the business-driving metrics that will help convince senior management to increase investment.

–          69% are measuring and testing digital campaigns, with 80% confirming they are using marketing analytics and reporting technologies.

–          APAC marketers are leveraging standard metrics but are failing to recognize critical performance indicators such as customer lifetime value (only 15% are measuring), churn rate (9%) and market share improvements (12%).

  • Investment in APAC remains below the global average.

–          APAC digital spend is still below global average, which is between 25%-35% of total marketing spend. Only 14% of marketers in APAC are spending on par with this global baseline.

–          Regionally, 71% spend less than a quarter on their budget on digital

Dashboard graph

  • Skills shortage continues to be a significant issue across APAC

–          53% said their current employees don’t have the right skills and expertise

–          48% saying they lack budget to hire skilled senior staff

What does this mean for digital marketers in APAC?

APAC marketers need to advance a more definitive business case to win higher investment in digital. The only way to do this is by demonstrating return on investment via the right metrics and analytics technologies and skills. Currently, marketers are still heavily reliant on data that shows customer preference for digital engagement, analytics on lead yield and return and the strategic assessment of business impact. Instead, APAC marketers should provide additional insights around cost savings and performance improvement practice, which only 25% are doing today.

The other key learning, is that marketers are trying to fill the in-house skills gap with agencies but this is proving to be unsuccessful. Only 12% of APAC marketers rate their agencies as excellent with the majority (69%) stating their agencies deliver mixed results.

Four next steps for APAC marketers

1. Continue to invest in measurement and optimization technologies, coupled with ongoing staff training, and make sure your organization is measuring the right elements in order to demonstrate ROI. Focus on critical performance indicators and business-driving metrics to help convince your senior management increase investment.

2. Build a case to garner support from senior managers. Among many of Adobe’s regional customers, we see the power of a digital champion on the executive team, business leaders with the vision to see customer experience at the heart of the business, and the understanding that digital is at the heart of consistent, comprehensive, cross-channel customer engagement.

3. Boost your own skill sets and those of your team – we cannot rely solely on our agencies for digital marketing analysis. Without the ability to deeply analyse data and apply insights to strategic execution, marketers won’t be able to close the gap that exists today and start to prove ROI.

4. Increase the sense of urgency around digital marketing. APAC ‘s marketers must consider digital marketing a necessity, not an additional component or a nice-to-have strategy. The value of digital marketing continues to be recognized, and customer preference and dependence on digital is clear.

The advances that some APAC countries have made in the last 12 months are evident and they are showing the way forward for all marketers to continue to take steps to broaden their skills, apply business-critical metrics, build an irrefutable business case and create truly digital-centric marketing organisations.

We’re launching country-specific findings across the region this week. Keep visiting Digital Dialogue to read in-depth country findings from the 2013 Adobe APAC Digital Marketing Performance Dashboard.

Download the complimentary executive summary

APAC Digital Marketing Performance Dashboard Infographic 2013

Japan Digital Marketing Performance Dashboard Infographic 2013

2012 APAC Digital Marketing Performance Dashboard Blog

APAC Digital Marketing Performance Dashboard Infographic 2013

This infographic is central to the whole report, and illustrates the state of digital marketing adoption across Asia Pacific with respect to four key categories: Mindset, Marketing Readiness, Organizational Alignment, and Marketing Skills. All ratings are on a scale of one to 10, with 10 being the highest.  The overall rating for each category was reached by taking an average of four key indicator questions relating to each category. The ratings of individual countries against each of the categories are also shown, with the highest rating for each measure appearing in that rating’s specified color. The infographic shows that the mindset for digital adoption is positive across the region, but talent, marketing skills and organizational alignment must improve in order to capitalize on these efforts.

The infographic below displays the comparison between the 2012 vs 2013 APAC Digital Marketing Performance Dashboard results.

Download the complimentary executive summary

Follow the latest news on the APAC Digital Marketing Performance Dashboard on twitter via #APDash

The Role of the Asia Pacific CMO & Agencies

CMOs have to own the customer experience, drive strategy and translate the brand into business. Mark Phibbs from Adobe and Liz Miller from the CMO Council discuss the role of the Asia Pacific CMO & agencies.

Update your digital marketing skills at Adobe Digital Marketing Symposium this July in Sydney and Singapore. Register now to get access to the latest tips, tricks & technology!