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MIT Information Quality Industry Symposium, July 15-17, 2009

Data Quality Contributing to Improve Revenue and Relationship in the


Media Industry

ABSTRACT

Abril Group is one of Latin America's largest communications conglomerates, publishing 300
titles with 164 million copies a year, including Veja, Brazil's largest magazine and the world's
best-selling weekly newsmagazine outside USA.

Database is a strategic issue for the company: revenue comes from readers and advertisers. On the
readers’ front, the application of business intelligence supports the subscriptions operation. On
the advertisers’ front, individual data launched the basis to a one-to-one media solution.
Moreover, individual knowledge of the target audience contributes to the generation of content
designed to specific readers’ profiles.

Customer database accuracy is, therefore, at the heart of the company's strategy. Data quality and
analytical resources, applied together, are the keys to success.

In the last 20 years, Abril has built a straight path to transform data into knowledge, based on
information quality. For this purpose, Abril is supported by Assesso, a leading data quality
consultancy company in Brazil.

BIOGRAPHY

Murillo Boccia
Director, Database and Relationship Marketing
Grupo Abril

Murillo Feitosa Boccia holds a degree in Economics and a Master


degree in Database and Relationship Marketing, both from
University of São Paulo, Brazil. He has been working with CRM
and Database Marketing in the last 12 years. His current position is
Director of Database and Relationship Marketing of Grupo Abril,
managing a US$ 150 million channel within the magazine
subscription operation.

Flávio de Almeida Pires


President, Assesso

Flávio de Almeida Pires holds a degree in Computer Science from


University of São Paulo, Brazil, and a MBA in Change Management
from Fundação Getúlio Vargas, Brazil. His experience in the
Brazilian IT consultancy market lasts over 30 years. He joined
Assesso in 1986 and is now the company’s President and CEO,
where conducts the development of data quality and database
marketing tools and methodology.

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MIT Information Quality Industry Symposium, July 15-17, 2009

Mario Cervi
Director, CRM and Data Quality Projects
Assesso

Mario Fernando Cervi holds a degree in Computer Science from


University of São Paulo, Brazil. He has been working in the
Brazilian IT consultancy market for over 30 years. He joined
Assesso in 1996 and since then leads all CRM and Data Quality
projects developed by the company.
Assesso is a leading Brazilian company in the area of consultancy
and tools for Data Quality and Database Marketing. Assesso have been providing such services in
the last 20 years for more than 50 medium and large companies, conducting over 70 projects
related to operations, database marketing and data warehouse.

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Data Quality Contributing to Improve Revenue and


Relationship in the Media Industry

Murillo Boccia, Director, Database and Relationship Marketing, Grupo Abril


Flávio de Almeida Pires, President, Assesso
Mario Cervi, Director, CRM and Data Quality Projects, Assesso

Data Quality Contributing to Improve Revenue and Relationship in the Media Industry 1

The MIT 2009 Information Quality Industry Symposium

Agenda

About Grupo Abril

The Data Driven Approach Strategy

Abril’s Customer Database

Data Quality Processes

A Look into the Future

Data Quality Contributing to Improve Revenue and Relationship in the Media Industry 2

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Agenda

About Grupo Abril

The Data Driven Approach Strategy

Abril’s Customer Database

Data Quality Processes

A Look into the Future

Data Quality Contributing to Improve Revenue and Relationship in the Media Industry 3

The MIT 2009 Information Quality Industry Symposium

One of the largest and most influential


communication groups in Latin America

Founded in 1950

9,300 employees

US$ 1.4 billion net revenues in 2007

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites

Books

Collections

Mobile

TV

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The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV
Pay TV

• Absolute leader of the Brazilian magazine market

• 160 million issues per year

• 351 titles

• 23 million readers
Sites
• 3,5 million subscriptions

• Books
Veja is the largest, most influential and respected magazine in Brazil, and
the largest weekly news magazine outside USA
• Weekly Circulation: 1.114 million
• Subscribers: 906,966
• Readers: 7,950 million

Collections

Mobile

TV

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

• A pioneer in pay-TV, digital TV, broadband internet and VoIP.


Sites
• The first triple play operator in the market able to offer image, data and
voice as a single package.

Books

Collections

Mobile

TV

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The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites • Abril Educação is the Brazilian textbook leader

• A market of more than R$ 1 billion in sales per year


Books

Collections

Mobile

TV

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites

Books

• Quality content when and where people want it, the way they want it

• Wireless revenues more than tripled in 2005

Collections

Mobile

TV

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The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites

MTV Brasil, is a segmented TV channel whose Books


programming essence is music. Found in 18 million
homes spread over 300 Brazilian cities, it talks to some 7
million youths every month.

Collections

Mobile

TV

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites

Books
Brand Extension and Segmented Products.
Media: Magazines, Book, CD, DVD, etc.

Collections

Mobile

TV

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The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites

Books
• 13 million single visitors per month
• 55 websites
• 4,7 million registered users
• The Abril Group sites generated more than 1 billion
page views in 2008.

Collections

Mobile

TV

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites

Books

Collections

Mobile

TV

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The MIT 2009 Information Quality Industry Symposium

Magazines
Pay TV

Sites
30 million names
Books
Abril’s
Database

Collections

Mobile

TV

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Agenda

About Grupo Abril

The Data Driven Approach Strategy

Abril’s Customer Database

Data Quality Processes

A Look into the Future

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The MIT 2009 Information Quality Industry Symposium

It’s an evolving process rather than a one-step action


In the beginning
Idea Product Campaign Information

Database

Today
Information Knowledge Business/Media Personalized Products Personalized Campaigns

Magazines Murillo
100
Thousand
Sites
runners in
the
Database Events Database
Database
Advertisement

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

The Data Driven Approach Strategy


Subscription Advertising

Abril’
Abril’s Database

Content
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The MIT 2009 Information Quality Industry Symposium

The Data Driven Approach Strategy


Subscription Advertising

Abril’
Abril’s Database

Content
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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Data Driven Subscription Management

Time
Sale Fulfillment Renewal/Retention
line

Household Identification Customer Identification Modeling and Segmentation


Modeling and Segmentation Address Validation Targeted Campaigns
Targeted Campaigns Data Enhancement Message Personalization
Message Personalization Delivery (multi-platform)
(multi-platform)

CRM

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The MIT 2009 Information Quality Industry Symposium

New Seniors
New mover
mover

15 years 18 years 60 years


Birth Début Adulthood Graduated Marriage Seniors

New mover

New Car

Building a house

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Great variation of the stored addresses requires


sophisticated data treatment.

Avenida Presidente Juscelino Kubitschek


Av. Pres. Juscelino Kubischeck
Av. Juscelino Kubishek
Av. Juscelino Kubschek
Av. J K
Av. Juscelino Kubischeck de Oliveira

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The MIT 2009 Information Quality Industry Symposium

Customer Data supporting the Retention Strategy

The Segmentation Model

Actual Lifetime Value

High

Medium

Low High

Low Potential Lifetime

lity Lo
w
bi
ba
ro
rnP
u
Ch h
H ig

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

The Data Driven Approach Strategy


Subscription Advertising

Abril’
Abril’s Database

Content
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The MIT 2009 Information Quality Industry Symposium

Veja’s Anniversary Edition – 40 years


9 thousand VIP

100 thousand
advertiser’s
employees

More than 1
million
906 thousand personalized
subscribers issues

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Personnalité
Based on sophisticated Merge and Purge
Process with Abril and Itaú’s Database

Investors

Account

Companies

Private

+
Credit Card
The result was a 1 to 1
communication addressed ??
Savers
to more than 1 million Doubt
Non
customer
people, segmented in 17
different message types.

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The MIT 2009 Information Quality Industry Symposium

An example of a non customer message:

Given Name

The closest branch

Non customer

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

The Data Driven Approach Strategy


Subscription Advertising

Abril’
Abril’s Database

Content
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The MIT 2009 Information Quality Industry Symposium

Content
Identifying segments in the Marketing Database

New Movers New Construction

Generating specific content to ...in all appropriate media


specific people...

Magazines Site Digital Magazines

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Agenda

About Grupo Abril

The Data Driven Approach Strategy

Abril’s Customer Database

Data Quality Processes

A Look into the Future

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The MIT 2009 Information Quality Industry Symposium

Grupo Abril Surveys


27,4 million names 10 million names
30 million names

Abril’s
Database

Partners
25 million names

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Grupo Abril

10 million
15 million names

names
Magazine Sites Magazines
Subscribers
Magazine: 1 million names

Abril Store

12,5 million
Abril Store: 0,9 million names

Special Interest Abril Sites


Special Interest: 1,5 million names

13,6 million
Call Center
Call Center: 2 million names

19 million
Grupo Abril
companies
Grupo Abril: 7 million names

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The MIT 2009 Information Quality Industry Symposium

Partners
4,4 million

Total: 10 million names


7,5 million

Total: 12 million names


9 million

Total: 3 million names

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The MIT 2009 Information Quality Industry Symposium

4.0 M

Surveys 3.5 M

2.9 M
Cost per
2.76 M
response
2.36 M
US$ 2,20
2.0 M
1.8 M

1.27 M
US$ 1,30

US$ 1,00
640 K
US$ 0,71
R$ 1,00
US$ 0,40

US$ 0,21
US$ 0,20

1998 1999 2000 2001 2004 2005 2006 2007 2008

Paper only Paper and Internet Internet only

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The MIT 2009 Information Quality Industry Symposium

Agenda

About Grupo Abril

The Data Driven Approach Strategy

Abril’s Customer Database

Data Quality Processes

A Look into the Future

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Data Quality Processes


¾ Database update process

Source X Abril’s
database
Data Quality Metrics

¾ Special merge & purge for advertisers’ projects

Abril’s Segment 1
database
Segment 2
Source X
...
Data Quality Metrics Segment N

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The MIT 2009 Information Quality Industry Symposium

Data Quality Metrics

¾ Objective
– Based on exact rule definition
• Just “Yes” or “No”
– Domain validation
– Check digit validation
– Business rules
¾ Subjective
– Non-deterministic
• “Yes”, “No”, “Suspect”

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The MIT 2009 Information Quality Industry Symposium

Subjective Metrics - Examples

¾ Name
¾ Access data
– Address
– Telephone number
– E-mail address
¾ Surveys
¾ Merge & Purge for Advertisers

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The MIT 2009 Information Quality Industry Symposium

Subjective Metrics – Examples

¾ Name: Content investigation


– Bad and suspect words (e.g.: Teste)
– Miswriting (e.g.: Lillly, Harrry)
– Other suspect content:
• just one word (John)
• just two words and identical (Mary Mary)
• no vowels (Brnrd Smth)
• numbers (3dward, J0hn)
• invalid characters (! @ # $ % . . . .)
• ...

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Subjective Metrics – Examples

¾ Address – vital for magazine & mail delivery


– Data validation and standardization:
• Post Office files
– Strong back-office operation
• “Miracles’ room”
– “Stranger in the nest”

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The MIT 2009 Information Quality Industry Symposium

Stranger in the nest

Robinson’s home
Address A

Mr. Robinson –
active client

Mrs. Robinson –
inactive client

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The MIT 2009 Information Quality Industry Symposium

Stranger in the nest

Robinson’s home Robinson’s new home


Address A Address B

Mr. Robinson –
active client

Mrs. Robinson –
inactive client

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The MIT 2009 Information Quality Industry Symposium

Stranger in the nest

Smith’s new home Robinson’s new home


Address A Address B

Mr. And Mrs. Smith


– active clients
Mr. Robinson –
active client

Mrs. Robinson –
inactive client

Stranger in the nest

Annual savings only with Veja’s reactivation campaign: US$ 1 million


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The MIT 2009 Information Quality Industry Symposium

Subjective Metrics – Examples

¾ Telephone number
– Data validation and standardization:
• Telephone companies’ files
– Area code and prefix updating
• Big change in Brazil in the last 10 years
– Distance from telephone and address cities
• Same city, under 100 km, over 100 km
– “Best phones”
• Scoring based on data source, recency and contact history

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The MIT 2009 Information Quality Industry Symposium

Subjective Metrics – Examples

¾ E-mail address
– Syntax validation
– Frequent misspelling correction
• Ex.: hotmail.com.br Æ hotmail.com
– Contact result scoring based on history:
• Response from the customer
• E-mail open, opt-out request, clicks, etc
• Response from servers
• Non-existent user, invalid domain, etc
• No response

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Subjective Metrics – Examples


¾ Surveys – cross response analysis

Goods at home

Consistent
Personal and or 
Family Income Suspect ?

Cars at home

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The MIT 2009 Information Quality Industry Symposium

Subjective Metrics – Examples


¾ Special merge & purge for advertisers’ projects
Abril’s Segment 1
database
Segment 2
Advertiser
database ...
Data Quality Metrics Segment N

Common
Segment criteria variables:
•Customer/non-customer/suspect
•Product profile
Suspect •Relationship history
Attributes used in the ads’ personalization:
• Gender
• Address
Exclusive • Best point-of-contact
• Products

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586
MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Agenda

About Grupo Abril

The Data Driven Approach Strategy

Abril’s Customer Database

Data Quality Processes

A Look into the Future

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The MIT 2009 Information Quality Industry Symposium

What is next in the data front?

DATA PARTNERSHIPS
• The customer knowledge requires more qualified data.
• Immaturity of the Data Market in Brazil.
• Launching a Coop Database Operation is Key to continue growing.
• Cooperation will bring updated data and enhance each others database.

THE 360° APPROACH
• Integrating all business process to the Database in all activities such as Circulation, 
Editorial and Advertising.
• Spread the culture of Data Quality within the organization and with partner, suppliers 
and clients.

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MIT Information Quality Industry Symposium, July 15-17, 2009

The MIT 2009 Information Quality Industry Symposium

Thank You!

Contacts:

Murillo Boccia Flávio de Almeida Pires Mario Cervi


Editora Abril Assesso Assesso
mboccia@abril.com.br flavio@assesso.com.br mario.cervi@assesso.com.br
Phone: +55 11 3037-5790 Phone: +55 11 4195-5535 Phone: +55 11 4195-5535

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