Learning From (m)PHASIZE, The Global Leader In Cross-Channel Marketing Analytics

As you can see from my LinkedIn profile, I’ve benefited from working for a very wide range of companies. I was wildly successful in some. In others…..well….not so much…

However, whether I failed or succeeded, every single job or consulting engagement enhanced my knowledge and judgement within a new field of business and enriched my experience as a human being.

That’s why I’m a passionate humanist and capitalist zealot!

One of those companies was (m)PHASIZE, the global leader in cross-channel marketing analytics.

After I left the company, (m)PHASIZE was acquired by Sapient in January 2013.

In (an appropriately regulated) free market, (m)PHASIZE was chosen by the global analytics leader as the best cross-channel marketing analytics firm in the world.

In turn, Sapient was acquired by Publicis Groupe for $3.7 billion in February 2015. At that time, Sapient had 13,000 employees and $1.1 billion in revenue.

Publicis Groupe is the third largest global communications group with 77,000 employees in 108 countries, 1409 agencies, $7.2 billion revenue, $829 million profit and a market capitalization of $11.1 billion.

For those unfamiliar with these giant global communications groups, Publicis is the third largest of the “Big Four” global holding companies alongside WPP, Interpublic and Omnicom. companies that dominate the communications industry worldwide.

These four companies are highly decentralized networks of agencies and specialist marketers who are acquired for the quality of their talent and their role in promoting their client’s success. After acquisition, as long as they meet the cultural and financial standards of the global parent, these teams are given the autonomy to apply their expertise to client success.

I am honored to have worked for (m)PHASIZE, the global leader in cross-channel marketing analytics.

Sunny Garga and Charlie Chapman: Thanks for teaching me so much in such a short time.

When I worked for Sunny and Charlie, the team had only fifteen members. Not the first time he’s engineered a liquidity event, Sunny was able to self-fund without venture capital. For all of you in venture capitalized or shoe-string startups remember that no matter how small or undercapitalized, you can become a global leader by creating a better, faster, cheaper offering purchased at a price that either is or has the prospect of earning a profit. Every other goal is intermediate.

To give you an idea how many layers of leadership

(m)PHASIZE is now a division of SapientNitro,

On November 20, 2015, SapientNitro was named one of the 50 Best Places to Work 2015 in Advertising & Media by Advertising Age, climbing twelve spots to #17 in this year’s rankings. SapientNitro was among 50 companies selected based on criteria such as hiring practices, benefits packages, salaries, office perks, workplace environment and design.

 

a division of Sapient Global Markets,

a division of Publicis.Sapient, with 22,000 employees

is a division of Publicis Groupe.

 

 

Sapient Global Markets, a division of Sapient (NASDAQ: SAPE),

 

 

 

Here’s the press release describing the acquisition:

Sapient Acquires (m)PHASIZE, Providing Marketers with Mix Modeling Expertise to Enable Better Investment Decisions in a Fast-Changing Media Landscape

— As marketing dollars shift, next-generation analytics firm quantifies cross-channel impacts of investments, serves as “investment planner for CMOs” —

BOSTON– January 10, 2013– Sapient (NASDAQ: SAPE), today announced the acquisition of (m)PHASIZE, a leader in the fast-emerging field of

(m)PHASIZE helps senior executives to better plan their marketing investments against the backdrop of dramatic changes to media and marketing allocation driven by the rise of digital channels and an increasingly connected consumer.

The move establishes Sapient as a go-to partner for its clients needing strategic advice to better navigate the range of channels and choices that now confront marketing executives. (m)PHASIZE brings a strategic, data-driven approach to Sapient’s offerings, with immediate applicability to SapientNitro clients.

(m)PHASIZE’s custom-built, proprietary analytics tools and services help marketing executives make optimal budget allocation and planning decisions to achieve business objectives and enhance ROI. Their innovative predictive forecasting models enable clients to run “what if” scenarios that simulate how targeted consumers will respond to different variables. (m)PHASIZE is also distinguished for its ability to quantify cross-channel impacts, taking into account the interplay between traditional media (radio, print, TV) and digital (search, display, social, mobile) at a brand and category level. This wide-angle approach enables clients to continuously measure and calibrate marketing investments to generate incremental ROI in today’s dynamic, always-on marketplace.

“Today’s consumer has very different and ever-changing media consumption and buying patterns, making it much more complex to effectively allocate marketing resources,” said Alan J. Herrick, president and CEO of Sapient. “In a world driven by this connected consumer, ‘traditional’ and ‘digital’ paradigms no longer exist. The proliferation of marketing touchpoints and the explosion of data demand more sophisticated tools and nuanced models to truly understand performance. With (m)PHASIZE, we’re able to show clients the mix of investments needed to drive sales targets and significantly improve ROI.”

Added Bill Kanarick, Sapient CMO: “As the $500 billion dollar global advertising industry struggles with the disruption caused by an always-on world, CMOs are increasingly challenged to determine how best to spend their marketing dollars. With (m)PHASIZE, we’re able to better plan those investments and assess the true impact of cross-channel marketing investments on business performance.”

(m)PHASIZE was founded by Sunil Garga, a respected innovator in the field of marketing mix modeling and an executive and entrepreneur recognized as a pioneer in the category. Former president of IRI Global Business and Consumer Insights and Marketing Management Analytics (MMA), Garga founded (m)PHASIZE to develop an approach to quantifying the optimal mix between traditional and digital media, and to understand these effects at not only a brand level but performance of the portfolio and category overall.

“In my 20 years in the field of marketing mix and ROI analytics, I have never seen a time more ripe for the application of our solutions and our thinking,” said Garga. “At (m)PHASIZE, we’ve developed innovative methods that take a Wide Angle View (WAV) to help clients understand true marketing and media ROI and make fact-based investment decisions in the face of an increasingly complex set of choices about ways to spend. Sapient is truly redefining the space through its uniquely connected capability across brand, digital and commerce. The addition of (m)PHASIZE creates a unique and powerful combination.”

Publicis Groupe is a very, very forward looking company.

Their 2014 Annual Report published in early 2015, states;

…it would be naive and irresponsible to turn a blind eye on two of the tremendous ongoing and upcoming challenges facing businesses…uberization…[and the] blurring…of boundaries within a company…

…Uberization, a neologism that expresses the epitome of a sudden obsolescence of the business models of….companies…[including global digital communication groups] , which arises from technological innovation and disruption, from which many sectors do not know how to adapt;

like taxis with the Uber application. [emphasis added]

The same is true of our own business — if we want to avoid being marginalized or “uberized” if we want to maximize the tenets of “blurring”, we have to widen our range of services in order to provide our clients with a much deeper and more extensive service, wherever our experience is both legitimate and relevant…

…”blurring”…does nothing less than redefine the boundaries within a company. For instance, is Amazon a logistics company? An ecommerce company? An IT services cloud-based sales company? Or a company designing electronic products like the Kindle?

 

 

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