attention: the new oxygen for digital media inspire and shape · new oxygen for digital media...
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- 1 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
Attention: The New Oxygen for Digital Media Inspire and shape a digital world that reinvents content consumption and commerce
- 2 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
Dear Customers and Partners,
In today’s digital economy, there is intense pressure on media and entertainment companies to deliver compelling content experiences to increasingly fragmented audiences. In a world where a person is consuming media, on any device and anytime, the winners will be those companies that can deliver compelling content, drive content-enabled commerce, achieve more targeted audience value for their advertisers, and understand their audiences’ preferences or choices, often before the audiences themselves do.
We live in a digital media world, but attention spans are declining rapidly, especially in the mature media markets and in the younger audience.
Digital transformation is not new to media. There have been several “waves” of digital disruption, segment by segment, as technologies have evolved and consumers have driven the shift. Three major factors make this wave different:
• The competitors are different. They are well-funded with high market caps. They are innovative and aggressive. Their retail or software background makes them intensely focused on an outstanding user experience
• Consumers are empowered. In every other aspect of a consumer’s life, convenience, ubiquity, and simple engagement are prerequisites for brand survival. Consumers demand this from their media experience
• Audiences are fragmented. Consuming content on any device, anytime, and in any place is the norm. Advertisers need aggregated audiences, and re-aggregating this fragmentation is not easy
Traditional media companies need to embrace all of these shifts. New business models will emerge beyond the traditional content licensing and advertising revenue in place today. We may not know what these are, but one thing is for certain – to succeed, you must be consumer-centric.
To achieve this, your organization will need to be part of a digital network with flexible business processes based on a technology platform that can adapt in real time. Traditional analog-focused platforms and processes that have served you well in the linear business are challenged to do this.
SAP is working with 83% of the global media companies in the Forbes 2000, and we believe, with that deep industry knowledge and our digital network platform, powered by SAP HANA, we can help you compete for your audience and their attention.
Richard WhittingtonSenior Vice President Media Business SolutionsSAP
We envision a digital media network spanning all processes, from “glass to glass,” from content capture to the consumer’s screen, where media consumption and digital commerce merge into a single ecosystem.
Richard Whittington Senior Vice President Media Business SolutionsSAP
RICHARD’S POINT OF VIEW
- 3 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
Executive Summary 4
Top 5 Technology Trends 8
Reimagining
Reimagining Business Models
Reimagining Business Processes
Reimagining Work
SAP HANA – The Great Simplifier
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Digital Business Framework
The Digital Core for the Digital Media Network
Customer Experience
Workforce Engagement
The Business Network
Assets and the Internet of Things
SAP HANA Platform – A New Computing Paradigm
How Does It All Come Together?
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How to Start 24
Why SAP?
SAP is Committed to Innovation
Create Competitive Advantage Through Innovation
SAP Services to Drive Your Success
SAP Comprehensive Ecosystem
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TABLE OF CONTENTS
- 4 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
EXECUTIVE SUMMARY
Big picture: We have entered into a digital transformation that will continue to shape the media industry
The digital transformation
Trends Three major trends are shaping the digitization of the media industry: increased competition, empowered consumers, and fragmented audiences, all caused by advances in consumer technologies that take advantage of hyper-connectivity, supercomputing, cloud, Big Data and data science (smarter world), and security and privacy.
Leading media companies are addressing these trends to: • Compete with the new entrants. Protect existing revenue with new business
models enabled by technologies like over-the-top (OTT) video distribution and content-embedded commerce
• Embrace the empowered consumer. Earn additional revenue from their content and capitalize on the demand for ever more personalized information and shared entertainment experiences
• Explore ways to understand and re-aggregate audiences for advertisers. Remain competitive and attractive with profitable new ways to reach consumers
Leaders are emerging quickly from unexpected placesMass media have been changed forever. The consumer defines the experience, un-bundling and cord cutting; personalized playlists replace linear programming, completely reshaping supply chains. Digital native entrants like Google, Facebook, Apple, Spotify, Amazon, and Netflix are examples of the disruptors.
Platform companies are winning Companies that have embraced the digital world and are executing on their digital strategy are quickly growing shareholder and stakeholder value. These are the platform-based companies like those described here. They look to the digital ecosystem to collaborate in the cloud, streamlining content production and delivering relevant entertainment experiences.
Why are platform companies winning?• Platforms provide flexibility and the ability to pivot on business model changes as
the market changes• Platforms that integrate data-driven insight with business processes allow for
experimentation• Consumers want a consistent and an engaging experience across all points of
consumption and interaction
Digital business models are disruptive. The rules have changed.
• Apple’s launch of iTunes pioneered commercially successful digital content distribution with DRM- and device-restricted content downloads. SAP software enabled Apple to scale the business for fast growth and high transaction volumes.1
• Spotify and Netflix disrupted former MP3 download and home entertainment markets by introducing personalized content streaming and set the stage for the latest transformation to data-driven subscription marketing of cloud-stored content libraries.2
• Skyrock started as an independent radio station’s music blogging site. Skyrock used SAP data technology to link individual followers with matching interests, sharing playlists and forming communities. The group dynamic has proven much more effective for winning loyalty than acquiring individual followers. Skyrock eventually became the leading social network in France.3
• Condé Nast will monetize its media brand and exposure to specific audiences and extend its business models beyond classic media distribution into adjacent digital commerce activities like fashion and other lifestyle products.4
TODAY, EVERY MEDIA COMPANY NEEDS TO BE A CONSUMER-FOCUSED PLATFORM BUSINESS
- 5 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
EXECUTIVE SUMMARY
New business models
Traditional media companies and new players are constantly being challenged to reimagine business models.• Competing as an ecosystem. We see media
companies working with value chain participants that typically would not have been part of that value chain in the analog days. For example, Spotify and Starbucks have recently partnered
• Monetizing the experience. Smarter consumers are demanding new content consumption models. From all-you-can-consume subscription models, such as Netflix, Amazon Prime, and Apple Music, to firewalls and other pay-for-content models
• Placing the empowered consumer at the center of the value chain. New competitors come from outside the industry and have focused on a direct-to-consumer (D2C) model for growth in their core businesses. They are now adding media to their product mix and bringing their experience in D2C to the media space
Digital content will
account for 87% of
the growth in spending in the entertainment and media industry between 2013 and 20176
$12 billion in electronic home video revenue will be higher than box office ($11.8 billion) by 20177
The four forces reshaping the digital advertising landscape: Mobile Video Native Programmatic8
The digital media network: “from glass to glass”
Moving away from the traditional value chain to a “consumer at the center of the value chain” model creates a unique opportunity for media companies to own the end consumer. The value chain is becoming a “glass-to-glass” digital media network.5 Consisting of cloud-based services from all the value chain participants, it delivers a content experience to the consumer on any device, anywhere.
Digitization drivers
Digitization in media is being driven by three major trends:1. Connected devices. Devices are no longer
asynchronous. These “smart” IP devices allow two-way interaction with consumers with the ability to conduct both digital commerce for content and physical commerce from the content experience
2.Data growth. These devices are generating vast amounts of digital “breadcrumbs” about usage and sentiment around the content. This is an exciting development when looking for new revenue streams
3.Cloud as a distribution enabler. Content is managed and distributed as bits and bytes and stored in the cloud, making it available anywhere, anytime, and increasingly on any device. Notably, digital video is the main driver for increases in Internet traffic
The future: The mass media value chain transitions into a digital media network
Traditional TV Value Chain Digital to Consumer
Consumer
TV Channel
Studio
CE VendorMSO
Consumer Selects ContentContent Pushed To An Audience
Studio
TV Channel
MSO(Broadcast, Satellite, Cable)
Audience
CE(Devices)
CDN
OVP/OTT
MSO: Multi Service Operator; CE: Consumer Electronics; OVP: Online Video Platform; OTT: Over The Top; CDN: Content Delivery Network
- 6 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
REIMAGINING
Do you have the right strategy? The starting point of the transformation journey is to reimagine your business with business outcomes and customers at the center.
EXECUTIVE SUMMARY
REIMAGINE BUSINESS PROCESSESChanging business models and digital technology drive business process efficiency and innovation that inspire new business approaches and lower TCO –but they also accelerate breakthrough technology. We saw this in digital advertising networks and will see this in content creation and editing, and asset management and storage, transmission, and distribution.
REIMAGINE WORKDigital transformation is not just changing the way that media companies interact with their consumers; it is also changing the very nature of work within media companies. For example, companies like the BBC are completely orienting work and employee locations around content and then considering distribution as a pipe – “create once, distribute many times” being the mantra.
In addition, the media industry has traditionally had a younger workforce, and these employees demand a higher grade of user experience at work to match what they have outside of work, in an increasingly mobile-first world.
REIMAGINE BUSINESS MODELSAudience fragmentation and blurred value chain boundaries challenge established business models without a clear road ahead. We see new business models emerging along three main categories:• Compete as an ecosystem• Compete as a platform• Monetize the experience
The digital network
We believe the winners in the shift to digital are those media companies that build their businesses around a core platform. This platform must support the legacy business while at the same time have the flexibility required by the new business models, processes, and way the empowered employee of today works.
This platform must have data as its core central nervous system and support the end-to-end digital value chain, both inside the organization but, as importantly, across the glass-to-glass ecosystem – from content creation to content consumption, from audience identification and targeting to monetization.
SAP’s digital business framework is based on five key pillars:1. Customer engagement across all channels2. Supplier collaboration across all spend categories 3. A new platform for core business processes that bring
together transactions and analytics in real time to be smarter, faster, and simpler
4. Workforce engagement, including employees and contractors
5. Connectivity, analytics, and data-driven automation for real-time insights and new business models
Road map to the digital media network: Steps to digitize your business
- 7 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
EXECUTIVE SUMMARY
The future: How to monetize the disruption
Two fundamental questions remain: “How do I take advantage of the disruptions?” and, “How can SAP help me?”
SAP’s platforms will be the game-changing play for traditional media companies to become the dominant forces in the new digitally disrupted media landscape. SAP has reinvented our core business around the SAP HANA platform and uses this extensively in our own global business.
The SAP HANA platform provides a foundational element that allows you to build applications for processing information in real time, giving you the ability to react much faster than with your current process and technology landscapes. Many of our customers have not only improved their current businesses this way, but have also gone on to create new businesses or new business models leveraging the insight they gained with this new platform paradigm.
Disruption Revenue opportunity examples SAP’s unique value
Smarter consumers are demanding new content consumption models
• Exploit long-tail content to engage nicheaudiences
• Monetize across any platform• Create content bundles for B2B or D2C
• Real-time visibility into the rights on the content you own across the enterprise
• Flexible bundling options with our “beyond CRM” solutions mean that your marketing teams are not constrained by technology when being creative
From content to commerce
• Leverage content-driven relationship to up-sell or cross-sell physical or digital goods
• Drive revenue of static advertising to convert browsing into transactions
• Solutions that go “beyond CRM” – SAP’s customer engagement and commerce solutions help you create dynamic campaigns and target offers to specific segments
• Display ads drive commerce in your electronic channels using SAP’s customer engagement and commerce solutions
Audience insight • Provide advertisers with more targeted “audience of one” information
• Provide more engaging content based on likes and sentiment to drive deeper/longer engagement
• SAP HANA helps you understand in real time the consumption and conversation around your content. Leverage predicative analytics within the platform to serve the next, best offer – physical product or digital
- 8 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
EXECUTIVE SUMMARY
We are witnessing an unmatched era of true business innovation. Breakthrough technologies have matured and hit scale together, enabling five defining technology trends:
Fundamental changes: Five technology trends changing everything
Every person and every asset is connected, disrupting all the established rules around business channels. With media audiences being inherently social, congregating on cloud platforms freely sharing opinions and preferences, media companies have the opportunity to transform into consumer-centric businesses.
HYPERCONNECTIVITY
The limits of 20th century computing power are gone. The digital media asset network, powered by real-time in-memory computing, creates infinite business opportunities for data-driven, individually customized content delivery and deep audience insight, matching content to the consumer as “attention becomes the new oxygen for media companies.”
SUPER COMPUTING
Media consumers have embraced B2C cloud platforms as their preferred delivery network, with content streaming services dominating the growth of media consumption. Content libraries now reside on new cloud-based collaboration platforms, enabling media enterprises to connect in real time with business partners and millions of consumers. Discover a song, stream the song, see a trailer, stream the movie – this is now the norm.
CLOUD COMPUTING
New entrants to the media business world are bringing new data-driven insight to the business. Fact-based analysis of consumer likes, dislikes, sentiments, and consumption are “table stakes.” Powered by automated glass-to-glass delivery of media assets, data-driven journalism, contextual advertising, and personalized programming drive experience and value. The new media company must deliver at every point of engagement to monetize the new business models.
SMARTER WORLD
Consumer data is sensitive and must be protected, with privacy being a big concern globally. Today’s media company must balance insight and personalization services with consumers’ desire for privacy. Secure cloud storage and digital streaming technology overcome the need to distribute digital copies, thus greatly reducing the risk of piracy and unauthorized sharing by the target audiences.
SECURITY/PRIVACY
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2
3
4
5
- 9 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
REIMAGINING
THE DIGITAL ECONOMY OFFERS INFINITE NEW OPPORTUNITIESIn a connected world, where every company is becoming a technology company, smarter products and services will refocus commerce on business outcomes and blur industry lines.
- 9 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
- 10 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
DIGITAL INNOVATION IS REAL
REIMAGINE EVERYTHING
Reimagined business models require an evolution in business processes.
• Digital subscription and bundled offerings Flexible access to cloud-stored contents is replacing ownership of media products.
• Metering and entitlementNew payment and consumption models enable personalized subscription offerings that need to be developed and managed.
• Content-embedded commerce Allow content monetization beyond the traditional content licensing and advertising models.
• Retail-sponsored content accessThe convergence of retail and media brings synergies and opportunities.
• Consumer analytics Understanding viewing behavior to optimize the content supply chain and monetization opportunities.
• Consumer profiling and personalizationThe “golden record” as the basis for maximizing personal relevance and personalization of offerings.
REIMAGINE BUSINESS MODELS
REIMAGINEBUSINESS PROCESSES
REIMAGINE WORK
The evolution of the business model will be determined by the digital maturity of the media company, ranging from digital native companies, to traditional media companies, or companies from other industries moving into the digital media.
• Compete as an ecosystemThe traditional content licensing model plays heavily here, and the ecosystem can be both internal or external.
• Compete as a platformCapitalize on the demand for individually customized content delivery as a glass-to-glass value chain. Examples of this include iTunes, Amazon, and Netflix.
• Monetize the experience Engagement is key, with data analytics and consumer profiling being used to optimize and streamline advertising to boost accuracy, relevance, and the value of advertising.
To be successful, reimagined business models and processes need an adaptive workforce with new skills.
• Digital business processes These require a workforce with the right culture, skills, and imagination to adapt to the dramatic changes reshaping the industry.
• Big Data Employees will require the right information, at the right time, in a format that improves decision quality and profitability. Technology has to provide the information in an easily consumed format for all analytical skill levels.
• Flexible workforce managementMany media companies have adjusted their cost structure as revenues decline. Organizations need flexibility to manage headcount and employee skill mixture as the business changes further.
Digital transformation has been a reality in media since the arrival of the iPod and MP3 players over 15 years ago. The evolution of this digital transformation has necessitated the media industry adapt to new value chains, empowered consumers, and shifting economics. The question on the table for media executives is really one of delivering an engaging consumer experience at profitable margins.
- 11 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
REIMAGINE BUSINESS MODELS
REIMAGINE EVERYTHING
Audience fragmentation, blurred media boundaries, and the shift from product-centric mass media push models to consumer-defined bundling and pull mechanisms have disrupted established mass media business models. We are seeing new business models develop with value coming from direct consumer interaction, commerce integration, and data-driven customization of content delivery and advertising targeting.
Compete as an ecosystem
The active relationship with their digital audiences enables media companies like Condé Nast, Hubert Burda, and ProSiebenSat.1 to go beyond advertising into the transactional e-commerce business. • Leading media brands such as Style.com can define their
customers more specifically than general online retailers, allowing better targeting of commerce offerings and thus a more effective and personal relationship9
• Media companies such as Disney, with its DisneyLife streaming service, are putting the consumers at the center of their own internal ecosystems, allowing personalized access to content
Compete as a platform
The new entrants into the media business have built their success on the concept of a platform. Using business models such as free, freemium, advertising-supported, pay walls, and all-in subscriptions, these platforms offer powerful engagement mechanisms that allow experimentation with the ability to shift gears quickly. Traditional media companies can support these models too, but this often requires higher investment costs, making experiments more costly. Examples of shifts that are presenting new opportunities include:• Internet protocol television (IPTV) programming is expected
to pervade the pay TV market,10 creating potential for new perpetual digital relationships with OTT streaming video on demand (SVOD)11
• Big Data: The wealth of data that is potentially available about these individual relationships creates new challenges and opportunities for data-driven content provision
• With the glass-to-glass digital content network, live streaming has become available for everyone to share content and has ignited a new advertising format that is on the path to become be the next big thing for digital marketing12
Monetize the experience
Traditionally, monetizing the experience has meant content licensing and advertising. As margin pressure mounts on both of these forms of revenue, media companies need to decide how to replace lost revenue. There is a proliferation of “digital bread crumbs,” or trails of data that can be used to monetize the experience with:• Programmatic advertising – data-driven automation in
marketing communication • Single advertising campaigns across all media touch points
with TV, radio, OTT video, Web, mobile, print, and out-of-home media
• Up-sell and cross-sell of both physical and digital goods as personal/one-to-one become more accurate
Transformation of video consumptionA recent study revealed that 25% of the world’s Internet users consume digital video content every day,13 and the rate is expected to grow rapidly. Leading Internet TV provider Netflix has made its strategy to replace linear TV.14 Global OTT video revenues are predicted to double from $26 billion in 2015 to $51.1 billion in 2020.11
Combining media and commerceGerman broadcaster ProSiebenSat.1 expands e-commerce activities with the acquisition of online flight booking service Etraveli15,16
- 12 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
REIMAGINE BUSINESS PROCESSES
Media companies that build flexible processes on top of company-wide technology platforms will be more nimble in this period of transformation. Those that continue to operate with siloed processes will see increasing challenges and costs due to complexity.
REIMAGINE EVERYTHING
Al Jazeera’s digital-only news platform AJ+ has passed the milestone of one billion online video views a year18
YouTube CEO, Susan Wojcicki, announces the introduction of shopping-enabled videos17
Digital subscriptions and bundled offerings
Digital business models hinge on personalized subscriptions and usage-based services. In order to succeed, a business must have the capability to rapidly launch customer-centric subscription offers so as to stand out from the competition.
Metering and entitlement
Historically, mass media have focused on content reach. But in digital channels, monetization of that reach relies on offering individually configurable buying options with flexible subscriptions. By building dynamic pricing models, businesses can leverage competitive differentiators to get ahead within their industry. Examples include metered pay walls, usage- and frequency-based entitlements, and combining digital and physical purchases.
Consumer analytics
Every consumer interaction creates a set of data that can be used to increase engagement. For example, enriching this data with additional insights such as OTT video consumption, psychographic, and demographic information allows for a far greater understanding of the end media consumer.
Content-embedded commerce
Digital interactive media demand an evolution from advertising to seamless click-through shopping options. Eventually, any relevant content can be transformed into a digital storefront for product placement or merchandising items, travel, tickets, or exclusive access to premium content.
Retail-sponsored content access
Access to content can be made available after a purchase from a retailer. Starbucks gives free music downloads to its paying customers, combining the added value of the music industry with retail sales.
Consumer profiling and personalization
This is rapidly becoming the norm as more demanding consumers want a personalized and relevant experience. All companies can benefit from a digital, 360-degree view of the consumer and the market in real time. Without this, they risk becoming irrelevant to today’s consumer.
- 13 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
SAP HANA: THE GREAT SIMPLIFIER
The simpler and more integrated the platform, the greater the competitive advantage. New entrants to the media industry have the advantage of changing quickly to meet current market need, as they are starting from a digital foundation, while incumbents have to support current businesses and make investments in existing processes and technologies.
SAP made the strategic decision to take advantage of both in-memory technologies and cloud to re-platform our applications that we have evolved over the 40+ years of our existence into a single platform – SAP HANA.
What does this mean, and why do we think we are uniquely positioned to help customers move quickly to adapt to business model disruption? Two key concepts answer this question: simplification and innovation.
• Simplification is all about doing what we are already doing, but better, faster, with more flexibility, and with faster time to value
• Innovation is all about reimagining digital media business models and customer engagement by leveraging the technology trends discussed earlier
The diagram below is at the heart of the digital media network. With SAP HANA as a platform, you can now finally:• Leverage Big Data from content consumption, social, and
geospatial sources. Bringing all data together leads to informed, holistic decision making
• Extend the business process to cooperate with business partners in near real time via advanced cloud-based business networks
• Modernize business processes from finance to supply chain, enterprise asset management, and meter-to-cash, running them in real time with no data replication and no batch programs
SAP has constructed an innovation road map designed to bring in-memory computing together with cloud computing and mobility.
SMARTER DECISIONS + SMARTER TRANSACTIONS = SMARTER BUSINESS
Business Process
Business Intelligence
(Data & information)
Customer Experience
Subscription Modeling& Offering
Entitlement & Metering
Recommendations
Supply Chain Orchestration
Planning
Financials
SAP HANA PLATFORM
Customer Data
Usage data
Content Data
Device Data
Geospatial Data
3rd Party Data
Market Data
- 14 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
DIGITAL BUSINESS FRAMEWORK
A SIMPLE AND PROVEN APPROACH TO VALUE CREATION THROUGH DIGITIZATIONEvery company across all industries requires a simple digital approach to build a pragmatic and executable vision of its digital strategy.
- 14 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
- 15 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
At the core of the framework is SAP S/4HANA, which enables media companies to execute on the five key pillars of SAP’s digital business framework:1. Establish outcome-based customer engagement
across all channels2. Re-platform core business processes and bring
together transactions and analytics in real time to be smarter, faster, and simpler
3. Leverage a smarter and engaged workforce across all employees and contractors
4. Establish networked supplier collaboration across all participants in the value chain to improve efficiency as the economics of the media business change
5. Harness consumer connectivity, Big Data analytics, and data-driven automation for real-time insights and new business models
SAP has built the digital business framework to support media and entertainment companies in developing and executing on their enterprise strategy to transform and fully leverage and contribute to the digital media network.
Media companies must digitize to grow new profits and reduce costs by simplifying their operations. The value of the digital economy is based on how to serve the consumer or prosumer. Value creation often comes from innovative, differentiating technology solutions which are based on and coordinated by the digital core solutions. The digital business framework is the platform for innovation and business process optimization, connecting the workforce, the Internet of Things, the supply network, and customers.
Every media firm needs to think about the five pillars of a digital strategyDIGITAL BUSINESS FRAMEWORK
SAP HANA PLATFORM
Digital Core
WorkforceEngagement
SupplierCollaboration
Business Networks
CustomerExperience
Omni-channel
Assets& the Internet of Things
- 16 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
THE DIGITAL CORE FOR THE DIGITAL MEDIA
SAP S/4HANA is the only end-to-end solution that covers all business processes and runs in-memory. It helps media companies run in real time for fundamentally better performance. For instance:• Quickly analyze trends in data
consumption and customer delivery preferences to personalize content to interests and devices
• Combine online and off-line content strategies, bundling digital and physical offerings across multiple channels and devices
• Obtain a 360-degree view of the customer to improve the overall customer experience
In addition, the SAP HANA Cloud Platform can be the single enterprise data source for SAP S/4HANA and the rest of your solution landscape.
Complexity is the arch enemy of innovation. Complexity creates delays, added expense, and hampers the goal of “fail fast.” SAP can help drive this complexity out of your business and power your digital media network from end to end – or glass to glass – so you can run simply.
Real time
Real-time optimization of business-based changes will have massive implications for how we work, how we do business, and how we organize.
Power of prediction and simulationEvery employee can gain real business insights with the help of simulation and predictive tools to drive smarter decisions, improve relevance for the customer, and orchestrate the digital media asset supply network.
AgilityThe ability to rapidly enter new markets, acquire and onboard new media business models, or reflect an organizational change in one-tenth of the time it takes with today’s systems will yield the agility required in the digital economy.
Deployment choice and lower TCOAccessing solutions to run the core has to be simple. Companies now have the choice to deploy in-house or in the cloud. In-memory computing also has a significant impact on TCO, and it will free up funds for infrastructure investment.
Consumer-grade user experienceUser experience is key to accepting digital change. It drives adoption, user engagement, and people productivity.
Simplify with SAP
SAP is known for core business solutions, typically found on premise and in the back office. These solutions help organizations make decisions when faced with the need to transform to address massive shifts impacting their industry – the customer at the center of the value chain, cloud as a consumption model, and the emergence of the business network. At the heart of this transformation is a need for simplicity.
Finance Human Resources
Digital Core
Media Content MonetizationCompelling Content Creation Audience Monetization
WorkforceEngagement
Assets & the Internet of Things
Supplier CollaborationBusiness Networks
Customer ExperienceOmni-channel
Shorten time to market and increase product success rates • Simplify and accelerate content creation
through real-time collaboration with producers, advertisers, and suppliers
• Quickly analyze trends in data consumption and customer delivery preferences to alter content to interests and devices
Enable multichannel distribution and grow margins • Combine on-line and off-line content
strategies, bundling digital and physical offerings across multiple channels and devices
• Deliver media digitally through new revenue models – free trials, flexible subscriptions or fully self-service
Become an audience-centric media enterprise• Deliver personalized engagements at every
stage of the customer journey• Learn from and adapt to every customer
interaction and ensure follow-up engagements are relevant
• Leverage analytics to convert data into key audience insights
Improve efficiency, increase visibility and lower cost with a single source of financials• Organizations that use 360-degree
financial processes enable their people to collaborate more efficiently and use business insight more effectively
Provide a flexible environment for skills and performance assessment• Enable growth and sustainability by
providing choice in the delivery of HR processes and services
- 17 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
15%increase in productivity using social customer engagement to monitor social chatter23
68%of customers are willing to pay more for a better customer experience22
SAP solutions for customer engagement and commerce powered by the SAP HANA platform provide a single platform that brings together marketing, sales, services, and commerce to ensure seamless digitization of the entire customer experience.
• Orchestrate business processes across marketing, commerce, sales, and service
• Deliver personalized experiences in context with each interaction
• Create a single, harmonized experience for your customer while reducing the burden on employees
• Be prepared to engage your customers on the channels they choose at any moment in their journey
• Full integration with your core business processes provides a unique platform for omnichannel customer engagement and commerce
Three key factors are reshaping the consumer experience:
Outcome economy
The outcome economy requires a deep change in the media business model and new organizational and business process capabilities. Consumers want frictionless access to the content.
Customer journey
Consumers choose their own journey in multiple channels at their convenience – the pattern that emerges is not linear, as in the past. Only 12% of companies surveyed can provide a seamless handoff between customer engagement channels.19
Big Data and marketing in near real time
Big Data allows companies to sense and respond to customers’ needs in real time to set the next engagement points. With the proliferation of connected devices in content consumption, the data volume is expanding by orders of magnitude, giving rise to new business opportunities.
CONSUMER ENGAGEMENT
Digitize your end-to-end customer experience with SAP
40% greater ability to utilize Big Data to gain insights with well-established analytics and data modeling21
7%increase in customer satisfaction when profiles and interaction history for customers are available at the point of interaction20
Digital technology has changed the game, but consumers changed the rules. Consumers demand simple, seamless, personalized experiences across any channel, anytime, anywhere, and on any device.
SAP HANA PLATFORM
RETAIL
SOCIAL MEDIA
TVPRINT
ONLINE
CALL CENTER
SELFSERVICES
E-COMMERCE
PHONE SMS
MOBILE
TRADE
CUSTOMER
METERTO CASH
EXECUTION
$
- 18 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
41%increase in contingent workforce spending in the past five years25
30% of executives say their companies give special attention to the particular wants and needs of millennials24
SAP can help with workforce engagement to: • Find the best people Accumulate data and insights to become more sophisticated about finding and managing freelancers and
employees• Manage the total workforce lifecycle From recruiting to onboarding, performance, compensation, and learning – all in one place• Simplify work Enable the workforce to easily access the right information across any device and ensure that regulatory and
compliance requirements are met
WORKFORCE ENGAGEMENT
Employees are working harder than ever, but growing complexity hampers productivity. The workforce needs access to smart, consumer-grade technology to work faster, better, and more efficiently.
Contingent labor is on the rise
Having a long tradition with freelance work, media companies are turning even more to contractors and service providers to drive content diversity for atomized audiences and lower fixed costs.
Data-driven workforce
One of the biggest trends is the growth of data-driven metrics in hiring and managing freelancers. From crowdsourced marketplace ratings and reviews to background checks and performance metrics, companies have access to a wide variety of data about the quality and background of the independent workers they hire.
Constant reorganization
Media is a global business, and we are seeing growth and consolidation in the industry as international markets become more and more critical to supporting expansion. The ability to operate across these global markets is critical, and a platform that simplifies the complexity of global operations (taxes, local laws, language) is an essential success factor.
Improve your total workforce productivity: Simplify with SAP
Social media Recruitment marketing in the digital era demands delivering a positive candidate experience across Internet and mobile channels as well as social media26
For a media company to be successful in the digital age, it has to attract and retain talent, and it has to engage this talent better than its competitors. Just as the consumer is seeking simplicity, simplicity is essential for the employee.
Contextual Intuitive
Adaptive & PredictiveAnywhere/ Anytime
Secure
SMARTER APPS WITH GREATER USER EXPERIENCE
SAP Fiori
FLEXIBLE WORKFORCE LIFECYCLE
Recruiting/On BoardingTime & Expense
Invoicing/PaymentStatement of Work
Performance Mgmt.Workforce Analytics
EMPLOYEE LIFECYCLE
Recruiting/ On BoardingPerformance & Goals
Succession & DevelopmentCompensation
Employee Record and PayrollTravel & Expense
Workforce AnalyticsLearning
- 19 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
BUSINESS NETWORKS
SAP S/4HANA gives you incredible capabilities to digitize business processes across your business –and the connectivity to the business network allows you to extend those processes beyond the four walls of your business. Beyond programmatic: SAP Exchange Media24 invites advertisers and publishers to co-innovate in order to change and improve the existing industry model of programmatic advertising.27
• Solution already at scale to cover all spend categories (direct and indirect material, labor and services, travel and expenses)
• Business networks operate on a global basis, meet data security standards, and operate with near zero downtime
• Extensive offering by leveraging services from many partners such as supply chain, financing, payment, supplier certification, etc.
Collaboration across all spend categories will change the nature of how media companies acquire and sell content and manage advertising inventory, services, and labor. Several factors are redefining the game:
Business connectivity at scaleWhen players in the glass-to-glass digital media supply network, small and large, are connected in the millions, the transactional platform becomes the de facto standard. Orchestration of such a platform is only feasible through data-driven automation.
Programmatic advertising
Data-driven digital and mobile advertising, along with programmatic buying, is gaining massive momentum, yet the industry continues to face serious issues: lack of media transparency, accuracy, and efficiency.27
Network of networksMedia companies are looking at end-to-end services like sales of digital ad inventory, consumer-bundled content access, digital payment and invoice processing, travel booking, supplier certification, global business yellow-pages, etc. This is all possible as business networks are aggregating services into a one-stop shop.
$1 million+ in discounts realized by an STM publisher with SAP Ariba Procure-to-Pay in first eight months of usage28
50–75% faster transaction cycles are being achieved with the SAP Ariba Network.32
30%“We have enjoyed a 99% retention rate and 30% increase in our e-procurement customer base.”31
85K+ invoices are being processed per FTE with SAP Ariba at a leading U.S. entertainment company29
Simplify supplier collaboration with SAP Business Networks
B2B transactional inefficiencies are costing $600 billion per year, from sourcing and transacting to payment processing.
3xincrease in discounts achieved with SAP Ariba Network by a U.S. movie studio with 16% of suppliers participating in dynamic discounting on the network30
Manage Expenses Labor & Services Business Networks
- 20 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
.
80% of companies that invested in IoT increased revenues35
3 billion Internet users and an expected 30-50 billion connected devices by 202033,34
ASSETS AND THE INTERNET OF THINGS
With SAP HANA, Internet of Things edition, organizations can now take embedded device data, analyze this data into information in real time, and apply this information across the value chain to drive business insights and create new business models.
We are witnessing new use cases with breathtaking results, all connected to the transition from a mass media to a consumer-centric business. Below are some key trends:
Technology-driven smart services drive new business models
Media companies use their trusted brands to evolve beyond offering advertising value and into digital commerce. They build stable, recurring business by moving from one-time sales (downloads) to streaming subscriptions, or from selling textbooks to offering 360-degree education services.
Data-driven customer engagement
Consumer-centric media companies use data-driven technology to build ownership of the consumer relationship and understanding of each individual’s needs and preferences. They connect people and build communities. As a result, they are becoming one-stop shops for every topic of relevance, whether personal, professional, or educational.
New alliances
With blurring industry boundaries in the digital era, media business models blend more than ever into adjacent industries such as education, sports, retail, travel, entertainment, and leisure. New and deeper alliances combine complementary strengths and offer a competitive advantage.
Connect, transform, and reimagine with SAP
The most dramatic change in the digital economy will be driven by hyperconnectivity and Big Data science, which will transform nearly every media business model.
Consumer Data
Machine to Machine
SocialMedia
Transaction Data
Structured and Unstructured Data
SAP HANAHADOOPPredicative Analytics
- 21 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
Dream, develop, and deliver with SAP HANA Cloud Platform
SAP HANA Cloud Platform gives media firms the mobile, collaboration, integration, and analytics capabilities you need to dream big, develop fast, and deliver everywhere.
Application extensions
Extend your current cloud and on-premise solutions for additional customization, enhanced business flows, and more.
Real-time analytics
Engage customers, optimize business processes, and unleash new revenues with real-time analytic apps, powered by SAP HANA.
New cloud apps
Quickly build innovative consumer-grade and industry apps for today’s always-on, mobile, social, and data-driven world.
Extended storage capabilities
Holistically manage all structured, unstructured, and infinite data streams with flexible combinations of data stream processing, in-memory technology, disk-based columnar storage, and Hadoop-based storage solutions.
Data footprint reduction
Significantly reduce memory footprint and TCO. In ERP systems, we have seen ~6x reduction by SAP HANA's dictionary compression. Removing aggregates and actual and historical data separation further reduces the footprint up to ~10x.
The SAP HANA platform is…
Real-time, in-memory platform • 10x data footprint reduction for ERP • Extended storage, including Hadoop • Open architecture • Developer-friendly • Embeds mobile and analytics • Secure • Cloud-ready
GartnerSAP Fiori UX is a radical rethinking of the way people should interact with an ERP system. Based on these factors, Gartner believes that SAP Fiori UX is essential.36
Walmart“If you are not thinking about speed, you will be disrupted from your position because digitization is not just a buzz; it means to lower cost to get to real time and serve customers.”37
SAP HANA PLATFORM – A NEW COMPUTING PARADIGM
SAP HANA is the ultimate simplifier and the platform for innovation and digital business
SAP HANA
Infrastructure Delivery
Security (SSO, Identify)
Integration (SAP HANA Cloud
Integration)
Analytics (SAP Lumira)
UX (Mobile/ SAP Fiori)
Big Data (Hadoop, Spark)
Libraries (graph, predictive)
Data Platform (HANA DB, ASE)
SAP Data Centers Partner DCs Customer DCs Elastic Deployment Infrastructure
Platform
New Apps and Services INTEGRATIONEXTENSIONNEW APPS
Open Programming Containers(Java, XS2)
- 22 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
HOW DOES IT ALL COME TOGETHER? – EXAMPLE
Example: The glass-to-glass Internet ecosystem
Content is captured on the “glass” – this can be a professional camera or increasingly on a high-definition camera used to capture action shots. These cameras deliver streamed live content at broadcast quality, often at events where it would not be economical to have a traditional broadcast crew, where candid, behind-the-scenes footage is desired, or where the consumer wants to create his or her own content – resulting in professional, prosumer, and consumer categories of content.
Depending on the “use case,” this content can be edited and curated in real time on the platform, made available as “extras” to a prime-time broadcast or sold as part of a digital bundle to a concert. Content can then be made available to sell, consumed as ad-supported content, or as part of a consumer product brand experience on the other “glass” – the consumer’s screen.
Increasingly, consumers demand personalization. From customized music playlists to Flipboard -type magazines, the consumer is no longer happy with a one-size-fits-all approach. We believe the next generation of media experience will be a combination of a mass experience augmented by personalization that in turn will be shared with friends. Consider this example:
Content can be shared on the platform much like people today share on social media, again depending on the type of content and the rights associated with it. Predictive recommendations connect creators and consumers one to one. This opens new micro-windows for content to be consumed beyond its originally intended window.
Since this is all digital and metadata is captured along the value chain, the usage, audience, and engagement can be measured and analyzed to provide advertisers great feedback on the reach, frequency, and transactional efficiency of their advertising spend.
DIGITAL BUSINESS SCENARIO: THE GLASS-TO-GLASS INTERNET ECOSYSTEM
Data-driven flexible core
GlassGlass
Produce Consume
Time
Superior consumer experience
Supplier collaboration
Social content is created by a consumer
Content is created by a
prosumer
Content is created by a professional
Analysis of content
consumed
Sell content
Data-driven workflow
orchestration
Advertising effectiveness
Distribute content
Curate content
Store, edit, transcode
content
Deliver advertising
Connect audiences +creators 1:1
Share content
Run real-time profitability
reports
- 23 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
HOW DOES IT ALL COME TOGETHER? – EXAMPLE
Once the customer becomes a subscriber, the media company continues to capture, analyze, and leverage such data as the customer account profile, payment preferences, viewing habits, and service disruption history, to refine the consumer’s experience.
This consumer-centric media example is relevant to subscription-driven, advertising-driven, or commerce-driven revenue models, because, with digital media, each user interaction is captured and can be analyzed to make an offer or recommendation in real time.
The benefits of this scenario are significant:• Reduction in campaign spend to acquire customers• Increase in campaign response and uptake• Increased lifetime value of a customer• Decrease in churn• Higher ad rates driven by a well-defined and targeted
audience set
Digital media give consumers the choice and freedom to stream an individual program at any time they want. Consumer-centric media use technology to listen to sentiment, analyze preferences, and understand individual relevance, turning these insights into tailored offerings of compelling value.
DIGITAL BUSINESS SCENARIO FOR CONSUMER-CENTRIC MEDIA
Example: Consumer-centric media
The process flow shown on this page illustrates one of many possible media customer journeys. The honeycomb shows process steps beginning with expressing initial interest in a piece of content, to engaging with the content, signing up for a subscription, expressing sentiments, transacting in commerce, and finally resolving service disruption issues. At every step, the customer’s interaction with content, commerce, or customer service provides rich user behavior data that informs the media or content distributor to help analyze and better understand the consumer or audience.
The customer-centric media company typically begins gathering data from customers as identified, but anonymous, entities. With each subsequent visit and more content engagement, the media company builds a profile about that customer and further personalizes the content to be more relevant, which further encourages the customer to return and eventually become a subscribing customer.
Data-driven flexible core
Time
Superior consumer experience
Supplier collaboration
Customer complains
about service disruption
Service agent grants free
content
Customer orders
via portal Additional
recommend-dations
determined
Offer sent
Consumer registers
for the trial package
Offered a trial subscription
Customer consumes
content
Consumer expresses interest in new show
Itemized invoice sent
- 24 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
HOW TO START
THE JOURNEY TO THE DIGITAL MEDIA NETWORK BEGINS WITH A CAPABILITY ANALYSIS THAT RESULTS IN THE TRANSFORMATION AGENDA
- 24 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
- 25 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
HOW TO START
1. Strategy alignment: Understand company and SAP strategic direction and identify initiatives
2.Opportunity assessment: Opportunity deep-dive based on strategic initiatives and prioritization based on value
3.Solution road map and ROI: Document end-state solution, and business case including benefits, TCO, ROI, and strategic road map
4.Value realization: Deliver transformation on time, on budget, and on value
5.Governance: Maximize investments and accelerate value creation with governance based on executive engagement, value delivery, and continuous innovation
THE JOURNEY TO THE DIGITAL MEDIA NETWORKThe journey to define future business models capitalizing on the digital media network involves all disciplines of a modern media firm and requires an innovative approach to identify and capture business opportunities.
THE COLLABORATIVE VALUE AND INNOVATION FRAMEWORKMedia companies embarking on the transformation journey to the digital business need to reimagine their business with a focus on outcomes and customers. This is easier said than done, but is best started with a defined set of questions:• What role will we play in the digital media network, and how do we drive competitive advantage?• How will we make money?• What is our innovation agenda and how do we start?
For innovation today, a new level of collaboration is required. As a result, we have developed a framework that will be a continuous and holistic partnership model designed to drive true collaboration and engagement. Outlined below are the five steps of SAP’s collaborative value and innovation framework:
5
GOVERNANCE
4
VALUE REALIZATION
3
SOLUTION ROAD MAP AND ROI
2
OPPORTUNITIES ASSESSMENT
1
STRATEGY ALIGNMENT
- 26 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
WHY SAP?
SAP ENABLES THE DIGITAL MEDIA NETWORK WITH THE DIGITAL CORE, BUSINESS NETWORKS, SUPPLY CHAINS, AND THE INTERNET OF THINGS
- 26 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
- 27 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
SAP IS COMMITTED TO INNOVATION
Vision
Mission
Strategy
Help the world run better and improve people’s lives
Help our customers run at their best
Become the cloud company powered by SAP HANA
CONNECTED DEVICES AND BIG DATA
We believe that the ability to harness the power of data and put it into context is at the heart of most of the digital era business models. We are working with major international media companies as well as start ups to impact their business in significant ways.
Working with SAP, one major media company is powering its presidential election polling tools for data-driven story telling.
BIG DATA IN SPORTS
The National Basketball Association (NBA) has standardized in-game tracking technology in all 30 of its arenas. Using six cameras the system tracks the movements of every player on the court and the basketball 25 times per second, the data collected provides a plethora of innovative statistics based around speed, distance, player separation, and ball possession.38
WALMART DATA CAFE
Walmart is an SAP HANA Innovation Award winner, recognized for its Data Café that breaks down data silos, providing a single enterprise-wide view of timely information for a large cross-section of operational staff looking to resolve daily issues. 37
GLOBAL PRESENCE AND
RELEVANCE
DIGITAL ECONOMY
- READY
INNOVATION LEADER
• Media solutions since 1994 for subscription, advertising , rights management
• 83% of media companies in the Forbes Global 2000 are SAP customers
• SAP customers deliver more than 74% of radio and TV broadcasting content worldwide
DIGITAL MEDIA
ENABLED BY SAP
• 80 million business cloud users
• 1.9 million connected businesses
• $800 billion+ in B2B commerce
• 99%+ of mobile devices connected with SAP messaging
• 75K employees representing 120 nationalities
• 295K customers
• SAP operates in 191 countries
• Solutions for 25 industries and 12 LoBs
• 98% of top valued brands are our customers
• 74% of the world’s transactions managed on SAP
• 2011 SAP HANAlaunched
• 2012 SAP Cloudlaunched
• 2014 SAP businessnetworks are the largest marketplace in the world
• 2015 SAP HANA Cloud Platform
• 2015 SAP S/4HANA: Most modern ERP system
INDUSTRY ANDLOB FOCUS
- 28 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
CREATE COMPETITIVE ADVANTAGE THROUGH INNOVATION
SAP will bring simplification, innovation, and acceleration required to support the development of your digital business strategy. These capabilities will be leveraged throughout SAP’s collaborative value and innovation framework.
Create a single, harmonized experience for your customers while reducing the burden on employees.
Orchestrate business processes across marketing, commerce, sales, services, and billing
Be prepared to engage your customers on the channels they choose at any moment in their journey
Full integration with your core business processes provides a single services platform for interacting with your clients
Predict and respond to opportunities with predictive analytics solutions powered by SAP HANA.
Implement outcome-based business models for greater customer value
Digitize expertise for effective use of global talent
Enable digital service execution to automate and scale previously people-intensive processes
Connect service brokers and networks leveraging alternative staffing models
Use SAP HANA Enterprise Cloud to enable talent, suppliers, and customers to connect and collaborate.
Connect mobile users to enterprise data on customers, accounts, and services, giving access to the information they need
Process and optimize data on customers and assets across all operating units and legal entities with SAP HANA in the cloud
Adopt and apply analytics solutions through the cloud
ACCELERATESIMPLIFY INNOVATE
END-TO-END DIGITAL BUSINESS SOLUTION
Public cloud
Private managed
cloud
On premise
SAP HANAMarketplace
Partners | ISVs | Startups
Business-to-business collaboration
World-class user experience
Powered by SAP HANA
Create and build
Store and aggregate
Orchestrate and govern Analyze and predict
Go mobile and secure
Core operations
Customer-centricity
ITHR ProcurementFinance
Risk and finance management
Partner collaboration
Industry capabilities
Line-of-business solutions
People-to-people collaboration
Digital Core WorkforceEngagement
SAP Fiori
Supplier CollaborationBusiness Networks
CustomerExperience Omnichannel
Assets,& the Internet of Things
SAP HANA Cloud Platform
- 29 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
SAP GLOBAL SERVICES AND SUPPORT TO DRIVE YOUR SUCCESS
In the digital economy, simplification and business innovation matter more than ever. SAP has a broad range of services to cover the end-to-end digital transformation journey, ranging from advising on a digital innovation road map and plan, to implementing with proven best practices, to the ability to run across all deployment models, and ultimately optimize for continuous innovation across your digital journey. SAP provides both choice and value within our services, allowing you to tailor the proper approach based on your needs.
Turn to the 30,000 consultants and support professionals who can bring your digital strategy to life. Global Service & Support (GSS) provides a consistent experience – on premise, cloud, or
hybrid. GSS provides the expertise, assets, and the proven methodologies required to accelerate business innovation, reduce TCO, and run a stable platform (on premise or in the cloud).
SAP Activate is a new, simplified consumption experience introduced for SAP S/4HANA and cloud adoption. It provides a combination of SAP Best Practices, methodology, and guided configuration. In addition, we provide leadership in learning to drive quick time to value realization and a solid engagement foundation with SAP MaxAttention, SAP ActiveEmbedded, and SAP Value Partnership across the end-to-end customer lifecycle.
Learn | Extend / Innovate | Engagement Foundation | Support
ADVISE
Simplify and innovate• Digital innovation
Road map and plan
• Co-innovation by industry
IMPLEMENTwith proven best practices
Implement with SAP Activate• Simplified consumption
experience for SAP S/4HANA
• SAP Best Practices, methodology, and guided configuration
RUN all deployment models
Run with one global support• One global, consistent
experience• End-to-end support – on
premise, cloud, hybrid
OPTIMIZEfor continuous innovation
Optimize to realize value• Continuously capture and
realize benefits of digital transformation
Global Service & Support provides the expertise, assets, and proven methodologies required to accelerate business innovation, reduce TCO, and run a stable platform
(on premise, in the cloud, and hybrid)
- 30 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
Our comprehensive ecosystem offers:
• A wide range of business services (OEM suppliers, data and content providers)
• Open architecture: choice of hardware and software
• Complementary and innovative third-party solutions
• Reach – partners to serve your business of any size, anywhere in the world
• Forum for influence and knowledge
• A large pool of industry experts with broad and deep skill sets
Our partner ecosystem includes, among others:
SAP COMPREHENSIVE ECOSYSTEM
Orchestrating the world to deliver faster value
• 1,900+ OEM solution partners to extend SAP solutions
• 2,000 startups developing SAP HANA apps
IMPLEMENTATION SERVICES
CHANNEL & SME
INFLUENCE FORUMS & EDUCATION
• 32 user groups across all regions
• 40+ industry councils including SAP Advisory Council for Life Sciences
• SAP community >24 million unique visitors per year
• 1,800 SAP University Alliances
• 4,800 overall channel partners
PLATFORM & INFRASTRUCTURE
• 1,400 cloud partners
• 1,500+ platform partners
INNOVATION
• 1.8 million suppliers
• 200 major travel partners (air, hotel, car)
• 50K service and contingent labor providers
BUSINESS NETWORK
DRIVING CUSTOMER
VALUE
• 13,000 partner companies
• 3,200 service partners
• Delivering 1,300+ industry-specific solutions
- 31 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
1. The Many Faces of SAP at Apple, YouTube video: Part I: https://www.youtube.com/watch?v=PaSVHvHEbQkPart II: https://www.youtube.com/watch?v=XcA1X6Jf7_Q
2. Digital Transformation: How Netflix changed the game. OpenForum March 2015https://openforum.hbs.org/challenge/understand-digital-transformation-of-business/why-digital/digital-transformation-how-netflix-has-changed-the-game
3. Skyrock.com: Monetizing Social Network with SAPhttps://dam.sap.com/dam-ws/download?id=Po85r5%2FrLOCEGidqu77v552Fu%2F9iSFeZBYzjftdIAtJ%2BC53J7zeT88fRKH4c5MgE
4. Condé Nast Global E-Commerce, Condé Nast International 2015 http://www.condenastinternational.com/initiatives/cond%C3%A9-nast-global-e-commerce/
5. The Glass to Glass Internet Ecosystem task force W3C.org, 2011 https://www.w3.org/2011/webtv/wiki/GGIE_TF
6. Game Changer, A new kind of value chain for entertainment and media companies, pwc, Dec 2013https://www.pwc.com/us/en/industry/entertainment-media/publications/assets/pwc-value-chain.pdf
7. The Digital and Traditional Media Divide is Irrelevant Among Consumers, PwC, June 2015 http://www.pwc.com/us/en/press-releases/2015/digital-and-traditional-media-divide.html
8. Global entertainment & media Outlook 2015-2019, pwc, 2015http://www.pwc.com/gx/en/industries/entertainment-media/outlook/hot-topics/four-forces.html
9. Condé Nast Turns Style.com Into E-Commerce Site. Vogue News, April 2015http://www.vogue.co.uk/news/2015/04/27/style-com-conde-nast-ecommerce-platform-announcement
10. Worldwide pay-TV Subscribers to Exceed 1.1 Billion in 2019 with increasing IPTV market share, ABI Research, Jan 2014 https://www.abiresearch.com/press/worldwide-pay-tv-subscribers-to-exceed-11-billion-/
11. Global OTT TV & Video Forecast, Digital TV research, June 2015: https://www.digitaltvresearch.com/products/product?id=122
12. Live streaming: the next Big Thing in digital marketing. Eye for travel, April 2015http://www.eyefortravel.com/social-media-and-
marketing/are-live-streaming-video-apps-next-big-thing-social-media
13. Daily Online Video Usage Statista 2014: http://www.statista.com/statistics/319688/daily-online-video-usage/
14. Netflix CEO on the TV Industry, Buisnessinsider.com 2015: http://www.businessinsider.com/netflix-ceo-on-the-tv-industry-2015-4?IR=T
15. ProSiebenSat.1 expands e-commerce activities DigitalTVeurope Oct. 2015: http://www.digitaltveurope.net/441651/prosiebensat-1-expands-e-commerce-activities/
16. The new media boys on the online travel block, eye for travel, Jan. 2016 http://www.eyefortravel.com/distribution-strategies/new-media-boys-online-travel-block
17. YouTube Will Soon Be Able to Make Any Video Shopping-Enabled, Variety Sept. 2015 http://variety.com/2015/digital/news/youtube-shopping-ads-videos-1201605533/
18. AJ+ passes on billion milestone DigitalTVEurope Oct. 2015: http://www.digitaltveurope.net/441711/aj-passes-one-billion-milestone/
19. SAP Benchmarking
20. SAP Benchmarking
21. SAP Benchmarking
22. “2014 Global Consumer Barometer Index, American Express and Ebiquity”, 2014, http://about.americanexpress.com/news/docs/2014x/2014-Global-Customer-Service-Barometer-US.pdf
23. SAP Benchmarking
24. “Workforce 2020: Building a strategic workforce for the future” Oxford Economics, 2014, http://www.oxfordeconomics.com/workforce2020
25. “The Changing Landscape of the Flexible Workforce - And Why Procurement Should Care, San Francisco Bay Area Symposium November 12, 2014, page 5” http://sig.org/docs2/The_Changing_Landscape_of_the_Flexible_Workforce_-_And_Why_Procurement_Should_Care_-_Fieldglass.pdf
26. Case Study: Hasbro Re-Imagines its Career Website to Deliver an Exceptional Candidate Experience. http://www.successfactors.com/en_us/download.html?a=/content/dam/successfactors/en_us/resources/case-studies/hasbro-cs.pdf
27. SAP XM white paperhttp://sapexchange.media/
28. SAP Ariba estimates
29. SAP Ariba estimates
30. SAP Ariba estimates
31. Leading Information Service provider Drives 30% Growth and 99% Account Retention, Ariba Case Study, 2014 https://www.ariba.com/assets/uploads/documents/Case%20Studies/EBSCO-Information-Services.pdf
32. Building the Networked Business of the Future, SAP Insider, April 2015 http://sapinsider.wispubs.com/Assets/Articles/2015/April/SPI-building-the-networked-business-of-the-future
33. Internet Users Surge to Almost 3 Billion Worldwide, Time, November 2014 http://time.com/3604911/3-billion-internet-users/
34. EMC World 2015: 30 billion connected devices by 2020, ITPro, 2015 http://www.itpro.co.uk/storage/24560/emc-world-2015-30-billion-connected-devices-by-2020
35. “Over 80% of Companies Increased Revenue by Investing in Internet of Things.“ TCS Study, 2015 http://www.tcs.com/news_events/press_releases/Pages/Internet-of-Things-TCS-Global-Trend-Study-2015.aspx
36. “SAP Fiori UX: It Is Not a Matter of If, but When and How” Gartner, 2015: http://www.gartner.com/technology/reprints.do?id=1-2DLGQFP&ct=150415&st=sb
37. HANA powers Walmart‘s Data Cafe https://ideas.sap.com/D25974Walmart runs SAP HANA, Karenann Terrel, CIO, Walmart Stores, Inc 32https://www.youtube.com/watch?v=U2XWtb9rWGI
38. “A Whole New View” http://stats.nba.com/featured/whole_new_view_2013_10_29.html
Note: All sources sited as “SAP” or “SAP benchmarking” are based on our research with customers through our benchmarking program and/or other direct interactions with customers
Note: Some images used under license from Shutterstock.com
ADDITIONAL RESOURCESOutlined below is additional external research that was used as supporting material for this white paper.
- 32 -SAP Digital Media Whitepaper (01/16) © 2016 SAP SE. All rights reserved
www.sap.com/contactsap
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The information in this presentation is confidential and proprietary to SAP and may not be disclosed without the permission of SAP. This presentation is not subject to your license agreement or any other service or subscription agreement with SAP. SAP has no obligation to pursue any course of business outlined in this document or any related presentation, or to develop or release any functionality mentioned therein. This document, or any related presentation and SAP's strategy and possible future developments, products and or platforms directions and functionality are all subject to change and may be changed by SAP at any time for any reason without notice. The information in this document is not a commitment, promise or legal obligation to deliver any material, code or functionality. This document is provided without a warranty of any kind, either express or implied, including but not limited to, the implied warranties of merchantability, fitness for a particular purpose, or non-infringement. This document is for informational purposes and may not be incorporated into a contract. SAP provides this information as guidance only to illustrate estimated costs and benefits of the predicted delivery project. These materials may be based upon information provided by you, information provided by other companies and assumptions that are subject to change. These materials present illustrations of potential performance and cost savings, and do not guaranty future results, performance or cost savings. SAP assumes no responsibility for errors or omissions in this document, except if such damages were caused by SAP´s willful misconduct or gross negligence.
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