Curated content for content, computing, and digital experience professionsals

Month: July 2012 (Page 1 of 2)

Harry Henry’s Global 5000 Insights

Colleague and market research expert Harry Henry is filling a hole in the company research market with his Global 5000 database of the 5000 largest global companies, including both public and private businesses. This is already an important resource for marketers who need to understand global market opportunities more than they ever have before – and that most likely means you, since most of our readers are from mid-to-large size companies who either are or should be growing their international business.

While we focus on the information technology strategies for reaching and engaging with customers and colleagues everywhere, you still need to decide which markets and regions, which industries, and which leading companies to target for growth. Harry has generously agreed to provide regular posts providing insights from his database to help inform those decisions.

Read Harry’s first post China Eyes Canadian Energy Resources. You can follow Harry’s posts on this blog at http://bluebillinc.com/author/hhenry/. Or you can reach him directly.

China Eyes Canadian Energy Resources

One of the interesting news announcements this week, was about CNOOC of China buying Nexen of Canada – an energy exploration company.  CNOOC is a $38 billion company and Nexen reported revenues of $6.3 billion in 2011.

For any company looking at global markets, there are some interesting developments wrapped up in this announcement.

This is a major step for a Chinese company, a major step in the energy industry and a major step for Canada.  Consider a few facts compiled from our Global 5000 database.

  • Canada’s energy assets are substantial. Looking at Global 5000 companies in Canada, right behind Financial Services, Oil & Gas and Mining are the next 2 largest industries representing 27% of the largest companies in Canada. So, as the world thirst for natural resources and energy continues to climb … Canada will get more attention.
  • Looking at growth rates over the past few years, China has grown faster than the rest of the market. So has the Oil & Gas industry as well as the Mining industry. The total Global 5000 grew 11.4% in 2010 and 12% in 2011. China based Global 5000 companies grew 33.5% and 30% in 2011. Oil & Gas firms reported growth of 22% and 24% for those same years while mining companies grew even more at 40% in 2010 and 30% this past year. So, this deal hits right at the heart of a number of growth segments.
  • This is a second big deal by a Chinese company in the North American market — see our article earlier this year on the Chinese bank ICBC entering the US market via an acquisition.

The bottom line here is that China’s economy is huge, its growth — even at lower rates — is still a huge differential and it has a continually increasing need for energy resources. Canadian companies have those resources so we can expect more deals and activity.

For more information about The Global 5000 and companies like these that are included, visit the database page.

Welcome Social Media Marketing Manager Mary Stevens!

We are very pleased to welcome Mary Stevens to the Gilbane Conference team as Social Media Marketing Manager. Mary is already active on our social channels and someone you’ll be hearing a lot from as conference activity ramps up.

In addition to keeping our social channels updated on conference and related activity Mary is a resource for conference attendees, sponsors, speakers, fans, who follow or want to engage and network with the Gilbane conference community. She’ll be updating you more specifically on what that means to you, but in general, she’ll be facilitating communication, conversations, and networking among all stakeholders. For example, we’ll be publishing speaker social media links to help attendees learn more about our speakers in advance of the event.

Mary can be reached via email; she can be found on our Facebook, Google+, LinkedIn pages and groups (buttons below); you can follow her posts on this blog (none yet!); and you can DM her at @gilbane or @gilbaneboston.

Follow the Gilbane Conference!

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What technologies is marketing spending on?

Spencer Ante reports in today’s Wall Street Journal that As Economy Cools, IBM Furthers Focus on Marketers. The title and the short article are focused on IBM’s well-known emphasis on marketers, but the article is of more general interest in driving home the extent of one trend in corporate technology spending – the growth of marketing spending on technology – and provoking a number of questions about what it means. At only 600 or so words the article may be useful for some of you to forward to others in your organization that would benefit by thinking more about the effects of this trend.

The article quotes some recent Gartner research that marketing budgets are roughly 3 times IT budgets as a percentage of revenue, and grew between 2011 and 2012 while IT budgets shrank. Current marketing and IT budgets are both expected to increase, but with marketing budgets increasing at twice the rate of IT budgets – 9.0% vs 4.7%. Gartner has also predicted CMOs will have more control over technology spending than CIOs by 2017. Also, “In total, Gartner says companies spent up to $25 billion worldwide on marketing software last year, up from about $20 billion the previous year. Overall corporate software expenditures totaled $115 billion…”. These are impressive numbers, and our own experience based on discussions with our conference attendees, consulting clients, and other analysts and investors, suggests a broad consensus with the trend. Certainly IBM is big believer.

But the next level of detail is even more important for technology vendors and all CMOs who want to benchmark their competitors spending and strategies – for example, what are CMOs spending money on? what should they be spending on” and how do they organize their infrastructure to learn about, purchase, and manage new marketing technologies, and work with IT?

A vocal segment of the technology press suggest that the future of marketing is all about “social”. A favorite prediction of analysts is that the “Web is dead” and the future is all about mobile. Savvy marketers are beyond such oversimplifications. As important as social and mobile are, I think it is safe to say they are still a small percentage of the $25 billion Gartner number. I would love to be enlightened by anyone who has more details on what the percentage is, and what technology categories others think will benefit most from the increase in marketing spending.

Why is this?

Part of the reason are expensive legacy systems and infrastructures. But a bigger reason is that everyone (not just marketing) is learning. Most of the new technologies have some learning curve, but are not rocket science. The really steep curve is learning how to integrate and utilize new technologies, and especially data they provide, effectively – and that is something we all: technologists, marketers, analysts, will be learning about for awhile.

Learn more at Gilbane Boston.

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