I recently had the chance to catch up with Ryder Daniels, founder and CEO of Capsaicin, a specialized analytics provider that develops targeted solutions for specific categories (and delivers them in a private label manner for clients who then resell them to some of the largest Global 2000 companies in the world). In insider circles (i.e., the agency world), Capsaicin is best known for its solutions to tackle complex marketing spend by creating new levels of awareness and performance management for CMOs, marketing teams, procurement and agencies of record (we’ll explore these capabilities later in our series).
When I caught up with Ryder, I was curious about his take on big data maturity within marketing and procurement organizations. Specifically, I wanted to understand how he looked at organizational maturity models based on how companies leverage data to tackle a range of opportunities to get greater value from marketing spend. PRO readers take note: how companies are managing marketing spend data is perhaps the best leading indicator for how they’ll manage big data challenges across other categories. This is due in large part to the vast amounts of performance, cost and competitive information available to marketing professional data (within digital spending, across Google, Facebook, Linked-in, etc.)
Spend Matters PRO will soon publish our technology coverage taxonomy for the procurement landscape, something we’ve been hard at work creating (and debating) internally the past few weeks. In the broader area of analytics and spend/supplier information management, on a generalized basis (obviously layered with category specific nuances for marketing and other categories), we see combined capabilities coming together to help companies solve big data challenges. This includes the combination of:
- Master data management (MDM) infrastructure (e.g., item/catalog management, cost/price management, etc.)
- Knowledge management (e.g., supply market/category intelligence)
- Analytics infrastructure (foundational spend analytics, supply risk & compliance, procurement/supply performance management and supply network analytics)
This view of enabling technology is based on a classic view of enterprise technology architecture. Critical stuff. But not exactly built for the frontline business user to look at (not to mention understanding all the terminology even if it is essential to enable what they’re after!) Such is the case for marketing spend analytics, data and performance management, which collectively require both a foundational data and systems architecture as well as a taxonomy (multiple taxonomies, in fact, not just spend classification taxonomies such as UNSPSC) to present solutions for the specialized analyst, marketing resource (e.g., executive or creative) and agency to work with.
The conclusions of both articles are available on Spend Matters PRO. If you’d like to become a Spend Matters PRO member, please subscribe. If you’re not ready to subscribe or wonder why you should, we’ve answered some FAQs here or you can email a Spend Matters team member directly. If you’re not into paying for content, we get that too. Thanks for reading!