WEBFTOC 10/29/2014 22:19:44 Pagevi WEBFFIRS 10/29/2014 22:14:6 Pagei THE BIG DATA- DRIVEN BUSINESS BIG DATA HOW TO USE TO WIN CUSTOMERS, BEAT COMPETITORS, AND BOOST PROFITS RUSSELL GLASS SEAN CALLAHAN (cid:129) WEBFFIRS 10/29/2014 22:14:6 Pageii Coverdesign:Wiley Copyright2015byLinkedInCorp.Allrightsreserved. PublishedbyJohnWiley&Sons,Inc.,Hoboken,NewJersey. PublishedsimultaneouslyinCanada. Nopartofthispublicationmaybereproduced,storedinaretrievalsystem,ortransmittedin anyformorbyanymeans,electronic,mechanical,photocopying,recording,scanning,or otherwise,exceptaspermittedunderSection107or108ofthe1976UnitedStatesCopyright Act,withouteitherthepriorwrittenpermissionofthePublisher,orauthorizationthrough paymentoftheappropriateper-copyfeetotheCopyrightClearanceCenter,222Rosewood Drive,Danvers,MA01923,(978)750-8400,fax(978)646-8600,oronthewebat www.copyright.com.RequeststothePublisherforpermissionshouldbeaddressedtothe PermissionsDepartment,JohnWiley&Sons,Inc.,111RiverStreet,Hoboken,NJ07030, (201)748-6011,fax(201)748-6008,oronlineatwww.wiley.com/go/permissions. LimitofLiability/DisclaimerofWarranty:Whilethepublisherandauthorshaveusedtheir besteffortsinpreparingthisbook,theymakenorepresentationsorwarrantieswithrespectto theaccuracyorcompletenessofthecontentsofthisbookandspecificallydisclaimany impliedwarrantiesofmerchantabilityorfitnessforaparticularpurpose.Nowarrantymaybe createdorextendedbysalesrepresentativesorwrittensalesmaterials.Theadviceand strategiescontainedhereinmaynotbesuitableforyoursituation.Youshouldconsultwitha professionalwhereappropriate.Neitherthepublishernortheauthorsshallbeliablefor damagesarisingherefrom. Forgeneralinformationaboutourotherproductsandservices,pleasecontactourCustomer CareDepartmentwithintheUnitedStatesat(800)762-2974,outsidetheUnitedStatesat (317)572-3993orfax(317)572-4002. Wileypublishesinavarietyofprintandelectronicformatsandbyprint-on-demand.Some materialincludedwithstandardprintversionsofthisbookmaynotbeincludedine-booksor inprint-on-demand.IfthisbookreferstomediasuchasaCDorDVDthatisnotincludedin theversionyoupurchased,youmaydownloadthismaterialathttp://booksupport.wiley.com. FormoreinformationaboutWileyproducts,visitwww.wiley.com. ISBN9781118889800(cloth);ISBN9781118889787(ebk);ISBN9781118889848(ebk) PrintedintheUnitedStatesofAmerica 10 9 8 7 6 5 4 3 2 1 WEBFTOC 10/29/2014 22:19:43 Pageiii Contents Acknowledgments vii Introduction:WhyWeWroteThisBook, andHowItCanHelpYou ix 1 BigData,BigBenefits 1 2 TheEvolutionoftheCustomer-Focused, Data-DrivenBusiness 15 3 TheEvolutionoftheBuyer’sJourney,orHowthe InternetKilledtheThree-MartiniLunch 25 4 TheMarketingStack—WhyCMOsandCIOsAre WorkingTogether 35 TheSoftwareintheStack 48 5 HowTechnologyBridgestheGapbetween MarketingandSales 55 TechnologyBringsHarmonybetweenSalesandMarketing atDocuSign 62 HowBizoUsedDatatoBoostMarketing–SalesAlignment 64 6 DataandtheRiseofOnlineAdvertising 69 EarlyUsesofAudienceData 72 EarlyMarketingAnalytics—AudienceAuditing 73 TheRiseofInternetAdvertising 74 AdNetworks 75 AudiencePlatforms 75 iii WEBFTOC 10/29/2014 22:19:43 Pageiv iv Contents OnlineAdvertisingExchanges 76 RetargetedDisplayAds 77 SocialMediaAdvertising’sPowerfulLeapForward 78 HowMarketersArePuttingDataonDisplay 79 7 UsingDatatoBetterUnderstandCustomers andPursueProspects 85 NetflixFlexesItsDataMuscle 88 SaaSandItsPowerfulWindowontheCustomer 90 ThePowerofPredictiveLeadModeling 91 DataIsn’tReservedforDot-Coms 93 8 TheArrivalofLeft-BrainedLeadersandthe RiseoftheMarketingDepartment 97 9 ImplementingaBigDataPlan(Sometimesby ThinkingSmall) 113 ElevenPrinciplestoFollowWhenBringingBigDatainto YourBusiness 123 10 Measurement,Testing,andAttribution 133 DataandMeasurement 136 MeasuringthePowerofDisplayAds 138 DataandTesting 138 DataandAttribution 140 Attribution’sBigDay 144 11 DataCanBeaMatterofCorporate LifeandDeath 149 TheDead 155 Near-DeathExperience 161 CultureClash 162 MissedOpportunity 165 WhistlingPasttheGraveyard? 166 Schadenfreude? 167 12 UsingDataResponsibly 169 PrivacyandOnlineAdvertising 173 PrivacyandtheCorporateDatabase 176 TheResponsibilityofCorporations 179 WEBFTOC 10/29/2014 22:19:43 Pagev v Contents 13 BigData’sBigFuture 183 HowCleversafeHarnessedthePowerofData 187 KeyTrendsDefiningBigData’sFuture 188 TheHumanTouchRemainsEssential 206 Index 209 WEBFTOC 10/29/2014 22:19:44 Pagevi WEBFACK 10/29/2014 22:11:42 Pagevii Acknowledgments R uss would like to thank his wife, Robin, and his three lovely girls—Ava,Mackenzie,andAnnika—forhavingthepatience to put up with him every day. Sean would like to thank his wife, Nancy, and his daughters— SophieandCharlotte—forunderstandingtheoccasionalweekends and late nights that were devoted to writing this book. He would alsoliketothankhismomanddadforreadingtohimasaboyand giving him a lifelong love of stories. Together, Russ and Sean want to thank all of the Bizonians and our new colleagues at LinkedIn who helped with the creation of this book. Theyalsothankallofthepeoplewhosharedtheirinsightswith them and who were indispensable in shaping the ideas contained in this book. vii WEBFACK 10/29/2014 22:11:42 Pageviii