Marketing & Today’s Connected Consumer

2. Marketing & Today’s Connected Consumer Meg Bear Vice President, Development Oracle Social Cloud @MegBear Oracle Open World Shanghai July 22-25, 2013 #OOW13

3. Safe Harbor Statements The preceding is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract.It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.

4. Safe Harbor Statement The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle. Technology Changing Everything Mobile, Digital, Socialvia the Cloud

5. Asia: A Few Digital Facts & Figures 4.2 billion: Total population of Asia 1.1 billion: Estimated Internet population 847 million: Estimated social media users 3.1 billion: Estimated mobile subscribers 300M: Estimated WeChat users 120M: Estimated Line users 60% of Internet Users in Asia use Social Media to Inform Purchase Decisions. Source: United Nations; We Are Social (2012 & 2013

6. China: Largest Internet, Social & Mobile Population on Earth… and Growing 1.35 billion: Total population of China 570 million: Estimated Internet population 547 million: Estimated social media users 420 million: Estimated mobile web users 20.5 hours: Avg. time spent online weekly Source: China Internet Network Information Center, January 2013

7. Emerging Rural & Middle Class Driving Digital In 2012, 50% of new Internet users were from rural areas, and smartphones are their primary online access. 97% of middle class now own a smartphone. Sources: Mintel (July 2012); China Internet Network Information Center (2013)

8. Social is a Transformational Technology 91% of online users visit social sites, compared to 67% of U.S. In 2011, 61%of Chinese social media users admitted to making a purchase decision because of a digital marketing campaign. 89% of China’s online users access a Weibo service. 66%of Chinese social media users follow brands. Average follow 6.7 brands. Volume of social sharing in China went up by 60% in 2012. Sources: InSites Consulting, Synthesio, China Internet Watch, Resoance.

9. China’s Connected ConsumerMobile, Social & Connected Across Multiple Platforms 74.5% of China netizens access the Internet via a mobile device. 58% of smartphone users browse social, compared to 43% in U.S. $4B spent online for “Singles Day”; compared to $1.5B for U.S. Cyber Monday Sources: Incitezand China Internet Network Information Center (CNNIC) .

10. Technology & the Connected ConsumerCreating a Data-Driven World, Customer-Centric World 20X Data volume will grow to 20X of today by 2020 75% Digital information is generated by individuals 100M Messages posted daily on Sina Weibo 2.5 quintillion bytes of data created every day on the Internet 3.47M Searches made on Baidu every minute Sources: China Internet Watch, Gartner, IDC, China Internet Daily

11. Consumerization has affected businesses. CUSTOMERS take control Company Power and Voice 86% of consumers will pay more for a better customer experience 1% of consumers feel that their expectations for a good experience are met Customer Power and Choice 89% of consumers switched to a competitor after a poor experience Mass media Internet / 1:1 Social/Mobile Source: 2011 Customer Experience Impact Report (CEI), based on a survey commissioned by RightNow and conducted by Harris Interactive.

12. Forrester: The Age of the Empowered Consumer “Nails the Coffin on the Marketing Funnel” AWARENESS DISCOVER EXPLORE CONSIDERATION PREFERENCE ENGAGE PURCHASE BUY LOYALTY

13. The Role of Today’s Marketer is Much Different Technology & the Connected Consumer are Driving Change EARNED RE A C H OWNED PAID CONTROL

14. The Role of Today’s Marketer Much Different Technology & Empowered Consumer Driving Change “The increased complexity of the job has made CMOs more fulfilled, challenged and respected... The responsibilities now include social media, content, mobile, back-end technology, e-commerce and more.” - Advertising Age (May 6, 2013)

15. Marketing & Technology: A Hybrid Need Exists Consumer-Facing Internal Focus Strategic Vision Social Security Mobile Analytics ecommerce New Technologies Marketing IT Innovation Consumerization Operations Email Digital Advertising Innovation CRM Enterprise IT CX Management Big Data Text Competitive Data Mobile Infrastructure Service Cost Efficiency New Technologies

16. An Eye-Catching Study Emerges “By 2017 the CMO will spend more on IT than the CIO.” Gartner study January 2012

17. IT & Marketing Relationships Not Ideal InformationWeekresearch finds that more IT leaders give their relationship with marketing weak marks (29%) than for any other business area. Information Week August 2012

18. Embracing Change to Adapt & Succeed…

19. Collaboration & Technology is Key “Companies with cross-collaboration across departments, that take advantage of disruptive technologies, are the most successful.” Oracle/Economist October 2012

20. Embrace Change & Strategic Collaboration Across People, Processes & Technologies People Collaborative Social Enterprise Connected Empowered Consumer Process Technology

21. Cultural & Organizational Change CMO & CIO Collaboration is Key • Get Buy-in from CEO for Real Change • Understand & Learn Each Other’s Needs • Collaborate Across Teams • Align Goals & Objectives • Review Technology Decisions Together • Better Use of Existing Technologies (Holistic, Efficient)

22. CMOs: Start Thinking DifferentlyMore Science Behind the Art & Knowledge • Better Understanding of Digital and Technology • Establish a Voice at the Executive Table • Partner More with Other Executives including CRO • Embrace Data to Power Decisions • Align with Sales to Delivery a Clear Winning Message • Prove the ROI – Drives Credibility!

23. CIOs: Start Thinking DifferentlyMore Art & Knowledge Behind the Science • Get Hard-Wired to the Business: Don’t just talk IT—talk business! CIOs should be customer-focused and knowledgeable about the business…not just the back office. • Get Social: CIOs should get social – literally and figuratively. Be more collaborative across the C-Suite, especially with the CMO. • Drive Innovation: Create a cultural appetite that accepts change, risks and failure. Drive innovation. • Change the CIO Mindset & Skillset: Have a functional excellence, but expand your business and customer knowledge.

24. Solution: Marketing + Technology ConnectedIt’s Happening Already… Thought Leadership Conferences Strategic Acquisitions In Reality at Enterprise Eduardo Conrado “Marketing Technologists” “Chief Digital Officers” CIO-CMO Forum

25. Interacting with Today’s Connected Consumer Power Your Marketing Through Technology

26. Oracle’s Innovation Agenda Power Marketing Through Technology Oracle Eloqua • Eloqua: The premier marketing automation services solution for B2B and B2C businesses worldwide • Oracle SRM: Industry’s most complete and integrated social solution for the enterprise • Oracle Cloud Platform: Ease of deployment, reliability, scalability and security, and enterprise-grade ready Complete Digital Marketing Solution Oracle Cloud Oracle SRM

27. Oracle Social Cloud: The Products Comprehensive & Unified Social Business Solutions Social Engagement & Monitoring: Industry-leading social listening, monitoring and engagement product. (Now part of unified SRM.) Social Marketing: Powerful publishing, content creation and analytics capabilities to build brands and consumer relations on social. (Now part of unified SRM.) Social Engagement & Monitoring Social Marketing Social Network Social Data Social Network: Secure internal network for superior sharing and collaboration capabilities for better employee efficiencies. Social Relationship Management (SRM) Social Data: Aggregated data gathering and analyzing capabilities for holistic, actionable insights.(Coming Soon.)

28. Oracle Social Cloud: Key Differentiators Industry’s Only Unified & Integrated Social Solution Best-in-Class Social Marketing Capabilities Leading Listening, Engagement and Routing Purpose Driven, Internal Social Collaboration Social Relationship Management Global Capabilities, Customers & Social Expertise Seamless Integration with Oracle Enterprise Portfolio Global Capabilities & Social Expertise

29. Interacting with Today’s Connected Consumer Listening & Monitoring Technology Solutions Photo credit: energise2-0.com

30. The Social Conversation is Happening LEARN ENGAGE RESPOND LISTEN Leverage Real-Time Insights for Actions

31. Oracle Social Cloud: Signal from Noise Transforming Social Conversations into Actionable Intelligence Engage Oracle Social Relevant Personal Valuable Real-time

32. Oracle Social: Leading Listening Technology • Signal Detection & Processing • Actionable & Routable • Integrated Listening w/ Response • Enhanced Analytics • Rapidly Expanding Data • Partners including • Tencent; soon Sina • Weibo and Renren

33. Oracle Social: Data Source Support & Partners • Global feeds of social media and news data from over 40 million sites • Social networks, blogs, video sharing, forums, news, and review sites • Full content captured, not just summary information • Tencent • Facebook • Twitter • Google+ • MySpace • YouTube • FriendFeed • LinkedIn Answers • Wordpress • Blogger • Yahoo Answers • Feedburner • ePinions • Yelp • Cnet • CNN • BBC • Baidu* • Doctissimo* • Reclameaqui* DATA * Language specific support coming soon

34. FOR INTERNAL USE ONLY, DO NOT DISTRIBUTE Oracle Social: Marketing Integration What it is • Leverage digital body language in Social Mkt • Capture leads and send to Marketing • Share Campaign IDs User Profile Data Social Engagement & Monitoring Social Marketing Social Leads Marketing Why it Matters • Serve dynamic content based on user segmentation. • Capture more leads • Measure and Target cross-channel Siebel CRM Fusion CRM CRMOD Eloqua Campaign & Analytics

35. Oracle Social Customers • Global Customers; Diverse Markets: • CPG • Media • QSR/Restaurant • Technology • Financial • Resort/Hotel • Beverage • Retail

38. Oracle Open World Shanghai Customer Presentation Renren Games Martin Ma Ph.D.

39. Gaming as a Service Martin Ma Ph.D 2013/07/25

40. Customer’ Needs Positioning of the Game Players The value of the game is the process of human desires exploring Game Player’s Four Goal Honor Objective Interaction Entertainment

41. Short Customer Lifecycle of the Players in Gaming

42. Brand value Time Gaming Industry’s Revenue Explosive Growth with Unsatisfied Customer Service Although consumers think the price is important, they will still choose slightly higher price to obtain additional service. • 83% of the customers personalized service and attention they need to provide value. • Service differentiation is the basis of brand value • The brand is the source of sustainable competitive advantage • The brand can be turned into cash flow through loyalty cooperative plan Customer Volume Product and Service Differentiation • Source: Forrester, Apr 2009

43. Self-help site Instant service service Forum Telephone service CRM GM Online GM Online Telephone service Instant service Sel-help Site CRM Other ways Serve Players with Experience and Habits, and Guide Player with Self-help • Through different ways to provide a variety of services for player Increase VIP Call 7*24 Hour Annual Service Traditional Way of Customer Service Customer Preferred Service in Game Industry

44. Customer Retention Service Closing Service Processing Service Handling Service Request Increase Customer’s loyalty and Better Service with Leading CRM Solution as Core Platform Customer Forum Telephone Instant Service Online Q & A CRM Reduce Service Processing Time Shorten Service Waiting Time Fast to Solve User Problems AWT Average Wait Time NPS Net Promoter Score CR Customer Retention CSR Customer Satisfaction Rate FCR First Complete Rate AHT Average Handle Time Outcome KPIs Process KPIs

45. “Customer Centricity” is RENREN GAME’s Core Priority Value, and the Most Important Assets

46. Build Systematic Customer Service Management System with Industry Insight and Customer Service Thinking • Multi-channel service acceptance and information integration • Standardization management of Each type of service activity process • Solve user question on collaborative platform Unified service information and business management standard Reduce service waiting time Ability of CSA and promoted service standards Fast to solve user problems • Knowledge accumulation and rapid query • Standard service for guidance • Timely update of problems and reasonable allocation • Automatic early warning and notification of major problems • Key issues notification of system home page increase the response and found rate of Key problem Reduce service processing time Service Improvement Improve the ability to find the losing player • Precipitated integration and migration history data • Integration of user login, consumption behavior information • Rational allocation of the game, level user • Comprehensive management of user survey visit information integration user information Across the channel Specific services for high-value customers • Automatic generated the loss warning based on user behavior • Master user satisfaction based on survey visit • Customer care and special remind based on user value Comprehensive utilization of user information after integrated it Increase Retention Rate Rate of Pick up / average time of waiting • Access time /connect time (telephone system) • Raised time /first recovery time (online Q & A / instant service / forum) First time resolution rate / user satisfaction • Resolved and not delivered service request • All service requests • A satisfactory service request Service Improvement &Result Evaluation • Service start time • Service end time Average time of service processing • User consumption frequency / login frequency / visit satisfaction • Marked number of the loss potential users • Number of potential loss risk retention Channel/Product/Service type etc. Retrieve rate of losing or warning user • Number of registered users • Consumer information • User login information Active of high value customer retention rate