Neustar Makes Acquisition To Bolster Data-Informed Marketing : Lisa Joy Rosner , CMO at Neustar and Wes Nichols, co-founder and CEO of MarketShare
Updated on: 16 Nov 2015
Last week marketing data company Neustar purchased MarketShare Partners and its sophisticated data analytics tools for $450 million. MarketShare's flagship product allows CMOs to create predictive models to help them make better decisions about budget allocation. It has earned them a considerable amount of praise from clients which include MasterCard, Turner Broadcasting, Intel, Twitter and CarMax. With this merger, Neustar hopes to strengthen its ability to serve marketers who want to use data to make smarter decisions and deliver more relevant customer experiences.
Early comments from CMOs and industry experts seem to validate this strategy. According to Andrew Frank, analyst at Gartner, "Marketers are faced with the challenge that most are organized around channel-based silos, such as search, social, email, and display ads, each with its own measurement systems and incentives to claim as much credit as possible for a sale. This, along with the technical challenges of multichannel measurement, make it hard to optimize marketing across these silos. Neustar's incorporation of multitouch attribution capabilities from MarketShare into its data-driven marketing platform position it to neutrally reveal the real value being generated by activities across channels and devices."
Alex Schlaubitz, Global CMO, Lufthansa, added this perspective – "The primary responsibility as global CMO of the world's largest airline group is to drive enterprise value through revenue growth and brand equity. And that has never been more complex given the cacophony of sales and media channels. MarketShare's unique solutions are ideal for my peers and me – the ability to truly understand what works and what doesn't, and to clearly link our activities to revenue. Clear proof of impact, next-generation attribution, better planning and allocation – these are the tools of the 21st Century CMO. MarketShare and Neustar will take that game-change to a new level."
I recently had the chance to discuss the acquisition and the potential it holds with Neustar's CMO Lisa Joy Rosner as well as Brian Foster, Neustar's SVP of Information Services and Wes Nichols, co-founder and CEO of MarketShare.
John Ellett: First of all, what is the big need you are seeing in the marketplace that this union of the two companies helps address?
Joy Rosner: Together we're delivering to CMOs the best possible omni-channel, data-driven solution in the market.
Wes Nichols: The genesis and the growth of MarketShare has been centered around this notion that marketers need better tools to make better decisions. As the volume of data increases so does the expectation for accountability. And yet our industry has been continuing to use legacy solutions, like old-school media-mixed models. We are still measuring eyeballs rather than outcomes.
Ellett: What are the nuts and bolts of the tool? How does it help CMOs?
Nichols: This bridges marketing and finance to help companies predict that if they move money, this is what will happen. It's designed to let users plan and then decide on what path they are going to take. So plan, decide, do, is this flow that we have envisioned. We have marketers around the world using this tool every day to run war games. It helps them answer questions like "What if I bumped up my print spend and my search? What if I take money out of trade funds? What if we have a bad PR event? What if this happens in the middle of the day during a blizzard?" All these variables have to come into play to understand what really worked and what really didn't work and how they link to actual sales. When we came across Neustar and started working together we started to see the power of connecting all that into this unified identity.
Rosner: It is really important to figure out what the bigger combination brings to the data-driven CMO and this is the combination of not just having the right plan but also making sure that when you are targeting audiences you are getting to the right people on the right device and the right channel.
Foster: At the right time and the right context too. The bottom line is MarketShare looks at how we help customers understand what they are getting out of marketing across offline and online—and of course we have tremendous amounts of data that helps make those decisions.
Ellett: From the Neustar perspective, how did this acquisition fit into your long-term vision?