Proving the Value of Digital Asset Management for Digital Marketers and Creative Teams. An IDC InfoBrief, sponsored by Adobe June 2015
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1 Proving the Value of Digital Asset Management June 2015
2 Executive Summary Digital marketers and creative directors are realizing significant ROI today from their investments in DAM. 79% 97% 86% 97% have increased revenue by 10% or more have reduced asset creation costs by 10% or more have reduced risk by 10% or more have increased productivity by 10% or more The future promises an even greater return as DAM emerges as the hub of an end-to-end digital media supply chain that combines creativity with business insight. As the pace of digital business accelerates marketers must deliver responsive, personalized and engaging experiences across a growing number of digital touchpoints including a wide array of mobile devices. Marketing executives are making DAM a strategic priority. pg 2
3 The ROI of DAM: Increased Revenue On average, organizations are realizing a 24% increase in revenue from digital asset management. DAM enables them to:» Accelerate time to delivery for marketing campaigns» Increase the number of campaigns that marketers can deliver in a given time period» Launch new products more quickly, and accelerate global product launches 79% of organizations are realizing revenue gains of 10% or more from DAM. 21% are realizing gains of 40% or more. pg 3
4 The ROI of DAM: Reduced Asset Creation Costs On average, organizations are realizing a 28% decrease in asset creation costs through DAM due to:» Better asset reuse» Avoiding duplication of effort and rework» Reducing the number of assets that are created but never used 64% 76% cite duplication of effort (different groups doing similar work) a problem that DAM addresses 97% have reduced asset creation costs by 10% or more using DAM. 57% report a cost reduction of at least 25%. say DAM eliminates difficulty finding assets and thus time spent recreating assets that already exist pg 4
5 The ROI of DAM: Reduced Risk On average, organizations are seeing a 23% reduction in risk by preventing:» Non-compliant use of licensed content» The wrong (or unapproved) assets being used» Intellectual property being leaked or stolen Organizations must manage stock art rights, model rights and celebrity rights. DAM reduces/ eliminates legal costs for rights violations. Organizations need to ensure control over IP and share/distribute assets according to business rules. DAM eliminates the risks of using , FTP, and file sync and share solutions. 86% of organizations have reduced risk by 10% or more with DAM. 18% have reduced risk by 40% or more. pg 5
6 The ROI of DAM: Increased Productivity On average, marketing organizations are realizing a 34% improvement in productivity thanks to:» Reduced time spent searching for assets» Streamlined review/ approval processes» Easier collaboration with external stakeholders» Better visibility into project status 49% 62% 53% say DAM eliminates awkward review/ commenting/approvals processes say DAM alleviates the difficulties around sharing assets with external collaborators say DAM improves visibility into project status 97% of organizations have increased productivity by 10% or more. 34% have increased it by 40% or more. pg 6
7 DAM Boosts Marketing Agility 85% 71% 76% say they are under pressure to create assets/ deliver campaigns more quickly say they need to create 10x as many assets these days to support all the different channels agree that personalization is driving increased need for more assets 45% say DAM helps them keep up with increased marketing demand 87% say managing versions and renditions, to ensure the right version is used in the right place, is a key challenge that DAM addresses 45% say DAM improves brand consistency across campaigns and channels DAM is critical for enabling responsive, personalized experiences across all of the digital customer touchpoints and mobile form factors we need to support. pg 7
8 DAM Improves Marketing Insight 88% 92% 79% agree that marketers need an easy way to discover and share assets that generate the best engagement agree that good metadata is critical for finding assetsand for creating relevant, engaging experiences agree that visibility into how assets are consumed is critical for optimizing creative spend Our marketers need feedback on how assets are consumed to optimize the digital customer experience... They need better asset intelligence. pg 8
9 DAM Empowers Diverse Teams A cloud solution makes it easy for external users to contribute and retrieve assets. 13% Partners Percentage of DAM users are... 15% Other employees 3% Other 10% Creatives (agency) 23% Creatives (in-house) 36% Marketers On average, a third of DAM users are creative pros. 75% of organizations say they use a mix of in-house and agency-based resources. On average, a quarter of DAM users are external. (In some organizations, 75% are external.) A cloud solution makes great sense for us. We have marketing operations and agency relationships around the globe. pg 9
10 DAM Improves Return on Creative Investment What percentage of the assets your organization creates for marketing purposes do you think go unused or underutilized? 19% 40% to 50% 14% More than half 16% 10% or less 17% 11% to 20% One third of marketing assets go unused or underutilized The average organization creates hundreds of new marketing assets each year Assets can take days and even weeks to create An asset may have dozens of different renditions or versions 15% 30% to 35% 19% 25% to 30% A new marketing video for a major promotion can cost tens of thousands of dollars We justified our investment in DAM based on reducing external agency spend by just 5%. Our savings will be much, much greater than this. pg 10
11 DAM Enables the End-to-End Digital Media Supply Chain Our research shows increasing reliance on DAM as a critical enabler of the endto-end digital media supply chain, bringing creative teams and marketing teams together and supporting creation through management and delivery. Forwardthinking organizations are beginning to look to DAM for insights into asset consumption helping marketers to identify the most successful digital assets for use in new campaigns, and providing valuable feedback to creative teams. 78% agree DAM is key for streamlining the end-to-end process from asset creation to campaign delivery Which of the following are roles that you see digital asset management playing in your organization? 66% 65% 63% 57% 54% 47% Collaboration system that streamlines workflow between creative services and digital marketers Media portal that makes assets and collections easily accessible to diverse groups Support for asset creation; work in progress system for creative services Repository for final form approved content; control point for licensed content Distribution system supporting crosschannel marketing and personalization Source of data on asset use/consumption pg 11
12 Key Considerations for Marketing Executives When choosing a DAM DAM serves many different roles inside and outside the organization. Choose a solution that:» Is intuitive and easy to use without a lot of training. It should be easy for creatives to contribute assets, marketers to quickly find relevant, approved assets, and digital asset managers to create role-based portals and/or define collections of assets and push assets out to downstream users whether marketers around the world, or to the partner/saleschannel.» Supports external users (via the cloud) with just a browser, and enables easy sharing.» Provides robust security, metadata, search and workflow capabilities along with the scalability to support (potentially), millions or even tens of millions of assets.» Provides strong support for video along with the format conversions, allows for previews and editing capabilities on images and rich media that are required to support today s responsive, cross-channel digital experiences. pg 12
13 Advice from Leading Marketing Executives: Now is the Time to Start on DAM DAM needs a champion and, ideally, an executive sponsor especially when there are different needs in different areas and/or fragmented budgets. Appoint a DAM leader who can work across functional areas to build the ROI case and define a phased implementation that delivers value at each phase. If you already have a DAM set up but are outgrowing it you are in good company. As our research shows, 40% of organizations are looking for alternatives to their existing solution as they seek to respond to today s marketing pressures and opportunities. A modern DAM solution can give your organization the strategic platform it needs to address today s digital marketing challenges. The good news: As our study shows, the ROI from DAM is very compelling. Many organizations justify investment based on just one ROI metric. For example, out of savings from avoidable external agency spend, or on productivity increases that eliminate the need to hire additional staff. pg 13
14 Methodology The data presented in this InfoBrief comes from a combination of one-hour in-depth interviews with creative services and digital marketing leaders; and a web-based survey completed in May 2015 of 123 digital market, creative services, digital asset management and IT leaders in North America. Manufacturers and retailers make up about half of our sample but a broad range of industries is represented. The sample is evenly split across enterprise company sizes (100% of respondents come from companies with 1000 or more employees). pg 14
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