Yesterday, HP agreed to buy UK software firm Autonomy Corp. for $10 billion to move into the enterprise information management (EIM) software business. HP wants to add IP to its portfolio, build next-generation information platforms, and create a vehicle for services. It is following IBM’s strategy of acquiring software to sell to accompany its hardware and services. With Autonomy under its wing, HP plans to help enterprises with a big, complicated problem – how to manage unstructured information for competitive advantage. Here’s the wrinkle – Autonomy hasn’t solved that problem. In fact, it’s not a pure technology problem because content is so different than data. It’s a people, process problem, too.
Here is the Autonomy overview that HP gave investors yesterday:
Of course, this diagram doesn’t look like the heterogeneous environment of a typical multinational enterprise. Autonomy has acquired many companies to fill in the boxes here, but the reality is that companies have products from a smorgasbord of content management vendors but no incentive to stick with any one of them.
By 2016, advertisers will spend $77 billion on interactive marketing – as much as they do on television today. Search marketing, display advertising, mobile marketing, email marketing, and social media will grow to 26%35% of all advertising spend within the next five years.**
What does this growth mean for you?
1) Interactive media has gained legitimacy in the marketing mix. In past forecasts, we found that interactive budgets grew because of marketing experiments, or firms looking for lower-cost alternatives to traditional media. No more. The next five years of growth comes from bigger interactive teams spending sizably to bake emerging media into their strategies for creating rich customer relationships.
2) Search’s share will shrink. Search marketing (paid search and SEO) will continue to own the largest portion of the interactive marketing pie. But its overall share will decline as marketers shift search spend into biddable display investments, mobile marketing, and even social media.
3) Display media will rally. Bolstered by advances in audience targeting and bid-based buying approaches, advertisers will renew their love affair with display media. We expect display investments to grow as marketers apply display instead of search. And niche or remnant inventory sells for higher prices due to demand-driven pricing.
There has been a great deal of talk over the past few years about what acronym will replace WCM (web content management). Web experience management? Web site management? Web engagement management? Web experience optimization? The list goes on and on.
Certainly, the evolution of the WCM term makes sense on paper, since traditional content management functionality now only makes up a portion of the products that WCM vendors now offer. WCM vendors are also in the content delivery/engagement business, and are even dipping their toes into web intelligence. However, Forrester clients still overwhelmingly ask about “WCM” and that term isn’t going away any time soon.
But even without changing the acronym, it is time to start thinking about WCM beyond just managing content or siloed websites or experiences. Instead, we need to think of how WCM will interact and integrate with other solutions – like search, recommendations, eCommerce, and analytics – in the customer experience management (CXM) ecosystem in order to enable businesses to manage experiences across customer touchpoints.
How are we handling this convergence at Forrester? Several of us who cover various CXM products – like Brian Walker (commerce), Bill Band (CRM), Joe Stanhope (web analytics), and myself (WCM) – teamed up to outline what our vision of CXM looks like, including process-based tools, delivery platforms, and customer intelligence. We've created two versions of the report: one written for Content & Collaboration professionals and one for eBusiness & Channel Strategy professionals.