1 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Metrics That Matter: The Latest Research Stefan Tornquist, Research Director, MarketingSherpa Scott Santucci, CEO, BluePrint Marketing Tuesday, October 24, 2006

2 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Be Careful, Metrics Can Be Dangerous “I know I can cut 50% of the marketing budget, I just don’t know which 50%...Yet.

3 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. How Dangerous, Really?

4 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. What They Don’t Know Can Hurt You

5 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. “Our organization has gained a lot of credibility over the year. This credibility has come with our ability to track leads to pipeline and demonstrate marketing value and accountability.” - Boston Summit Attendee

6 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Cost Per Lead Example Cost per Lead ! Reduced costs in list acquisition  lower quality of contacts Cut content budget  lower quality events Cut promotion budget  Lower attendance Set up for failure Well paid but fired marketer Unhappy sales

7 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. What we Should Try to Quantify  Why is demand generation needed?  What exactly is a lead?  What are the expectations of the lead?  What visibility to the lead does marketing have afterwards?  What factors prevent success?

8 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. What exactly is a lead?

9 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. What are the expectations of the lead?

10 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. What visibility does marketing have after it passes a lead to sales?

11 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Baseline Quantifiable Objectives Operating PlanResponsibilityPerformanceProgram Summary Measure StrategyObjectivesPlanningTacticsExecutionResults Phases Measurement Program

12 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Measurement Program Baseline Quantifiable Objectives Operating PlanResponsibilities ? PerformanceProgram Summary Finance Sales Leadership Marketing Team Finance Sales Teams Marketing Teams Finance Marketing Team Delivery Team Finance Marketing Team Finance Sales Leadership Sales Team Marketing Team Define the Problem Publish Assumptions Gain Buy InPick the Mechanics Get it DoneCommunicate the Success Communicate Objectives Measure StrategyObjectivesPlanningTacticsExecutionResults Phases

13 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Baseline Quantifiable Objectives Operating PlanResponsibilities ? PerformanceProgram Summary Finance Sales Leadership Marketing Team Finance Sales Teams Marketing Teams Finance Marketing Team Delivery Team Finance Marketing Team Finance Sales Leadership Sales Team Marketing Team Define the Problem Publish Assumptions Gain Buy InPick the Mechanics Get it DoneCommunicate the Success Communicate Objectives Measure PlanningTacticsExecution Phases StrategyObjectivesResults Measurement Program

14 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Strategy: Build the Baseline Pipeline Mechanics Stakeholder Proficiency Content Audit

15 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Goals: Quantifiable Objectives  Improve sales transaction size 50%  (from $36,183 to $54,275)  Decrease sales cycle 33% from  (3 months to 2 months* est.)  Improve our close rate 33%  (from 17%)

16 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Implications: Gaining Buy In Cause (Objective)Effect (Impact on Revenue) Improve sales transaction size 50%50% increase in revenue ($28.9 M) Decrease sales cycle 33% from28% increase in revenue ($16.2 M) Improve our close rate 33%10% increase in revenue ($5.9 M) Do all three at the same time150% increase in revenue ($85.9 M)    

17 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. One Route to Buy In

18 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Integrated Demand Generation Program ExposureQualification Proof of Concept CommitmentImplementation TC’s Sales process Events Simplicity of content Commitment of client Content Development & Delivery Sales Training Tele- Conference TC’s Conference TC’s Immersion Workshop Follow-Up Kits Power Summit Sales SME Program Management Sales Manager SME Program Management Sales Manager Follow-Up Kits

19 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Communicating Results 1234

20 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Gaining Credibility

21 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Scorecard Quantifiable ObjectiveResult Improve sales transaction size 50%41% increase Decrease sales cycle 33% from25% decrease Improve our close rate 33%6.5% close rate B+ D

22 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Performance Measures Analysis per event Close rates / eventRevenue / sale  Teleconference1.78%$57,813  Power Summits3.36%$51,350  Conferences3.01%$20,125  Multiple attend8.70%$55,554  Total continuum6.54%$51,114 Distribution of attendees  26% pure prospects  24% clients  50% client prospect Cost per new client  $7,400

23 More data on this topic available from:: © 2006 MarketingSherpa, Inc. This presentation is not for distribution. Thank you. Thank You Stefan Tornquist MarketingSherpa (877) Scott Santucci BluePrint Marketing (866)