Faisal ChughtaiExecutive DirectorJ.P. Morgan Investment BankingInternet & Digital Media

Evolution of the email ecosystem

IP and IT are driving fundamental change

IT

+

IP Always-on

Ubiquitous

Data-centric

Measurable

Better

Faster

Cheaper

New consumption

patterns

New platforms

New business models

1

SOCIALMOBILEDATACLOUDREAL TIME

Meaningful dislocation in every industry, geography, organization

$65 trillion

14.9

10.5

5.84

3.7

2.82

1.6

1.4

1.1

1.1

16.1Finance

Retail

HealthAuto

Education

EnergyReal estate

Defense

MediaIT

Comms

Other

global GDP

2

Medium of communication is changing

500M1

Users

Twitter Facebook YouTube Mobile Email

Unprecedented message volumes

1B2

Users

4B3

Views/Day

5.9B4

Subscriptions

145B5

Per day

Source: 1 TechCrunch (July 2012); 2 Facebook (Oct 2012); 3 Official YouTube Blog (Jan 2012); 4 ICT Facts and Figures (2011); 5 Radicati Group (October 2012)

3

201

2

Email continues to grow rapidly

The advancement of email

Email volumes worldwide

Trending up

201

64.3B

3.3B

Email accounts

By 2014, consumers will

be deluged with

9000emails annually

Source: Forrester, US Email Marketing Forecast, 2009–2014

4

automation

What are key themes?

subscribers

relevancy

big enterprise

new

tran

sform

ati

on

socialconsumer

spam

mobilebranding

big dataconversion

personalizationevolutionadvertising

reputation

media

act

ion

priority

users

ad

s extensionscall to action

identification

technologyvisual

recognition

engagement

5

Key themes to highlight today

Big Data

Relevancy

Mobile

Social

6

1

2

3

4

The flood of big dataBig data allows marketers to use analytics to enhance ad campaigns

2010 20150

3000

6000

9000

5 exabytes of data created every 48 hours

‘10 – ‘15E CAGR:

~40%

145 billion emails sent every day

Source: IDC, EMC, Radicati Group (October 2012)

Volume

2010 2015E

Exabytes of data

Variety

Velocity

Blogs

Videos Likes

Pins Check-ins Search

Favorites Playlists Photos

Email

Big dataRelevancy

Mobile

Social

7

Relevancy comes in many forms

30%

Opens

50%

Click-through rate Segmentation and personalization can

lead to improved content and big

resultsSegmented email campaigns produce 30% more opens

Segmented email campaigns produce a 50% higher click-through rate

Source: Bryan & Jeffrey Eisenberg & Associates, Forrester Research, Marketingsherpa, Responsys, Return Path, Monetate EQ

Big dataRelevancy

Mobile

Social

SegmentationContent

PersonalizationAnalytics

Context

8

Jun'11 Jul'11 Aug'11 Sep'11 Oct'11 Nov'11 Dec'11 Jan'12 Feb'12 Mar'12 Apr'120%

10%

20%

30%

40%

50%

60%

53% 55%51% 50%

52%47%

39%37% 34% 38%

18% 17% 19%21% 20% 22%

27% 29%33%

31%

36%

29% 28%30% 29% 28% 31%

34%34%

33%31%

31%

Desktop Mobile Webmail

Mobile opens take the lead

Platform opens by month

80%Opens in mobile devices have increased by 80% in the last six months

By February, we saw a near convergence of all three platforms

Source: Litmus (2012)

33%

Big dataRelevancy

Mobile

Social

9

In today’s world, integrating email alongside social media is key

Source: Go-globe.com (2011)

Big dataRelevancy

Mobile

Social

10

Our panelists are playing a role in the future of email

Company: Provides technology to automatically transform raw data into narratives, visualizations and interactive applications

Robbie Allen, Founder and CEO

Company: Filters emails into rich, visual icons and allows users to have full control over the hundreds of brands that send content

Avi Levine, Co-founder and CEO

Company: Uses quantitative techniques to automatically optimize and manage digital marketing campaigns for agencies, publishers and advertisers

Dan Quintero, Co-founder and Director of Business Development

Company: Builds a 360° profile of the marketer’s customer base and uses the profiles to set up a secure recommendation system that is tuned for the marketer

Erik Severinghaus, Founder and CEO

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