The world has become flat, not only for Schibsted but for everyone.
Frode Eilertsen, executive vice president for strategy and digital transformation at Schibsted in Oslo, says that the competition is no longer local only. Now the main competitors for publishers are companies like Google, Linkedin, Facebook, and Amazon.
Schibsted responds to this situation with a forceful digital transformation, Eilertsen says. In the past few years, Schibsted created SPID (Schibsted’s payment ID), which is its data supply foundation.
This payment solution gets people to login, input their credit card data, and allows them a frictionless payment. With it, Schibsted is capturing as much insight about consumers as it can.
The first step for Schibsted is a single sign-on and user profiles across groups. The news medic company is designing the same login experience and environment for all of its different services, creating rich consumer profiles and leveraging the data from unique ecosystems of companies.
All this helps Schibsted better understand its readers, learning their preference in news and media, classifieds, and e-commerce.
The specific data Schibsted is collecting includes: demographic, extended demographic, transaction history (what customers bought, when, and for how much) and behavioral (logins, content consumed, etc.)
Eilertsen shared the some SPID statistics:
- 2.3 million verified users.
- 4.3 transactions.
- 240 million logins.
Schibsted takes this raw data and converts it into action, putting much effort into predictive analytics by taking user data and creating consumer segments, Eilertsen said. This allows the company to convert consumers from small users to royal users, creating everything it can to engage them.
This model is not only an attempt to sell consumers the next thing, Eilertsen said. It also prevents them from leaving your brand. But this requires great data and great analytics.
Schibsted goes from optimising the existing business through personalisation and refined ad models (with the use of behavioural segmentation, RTB, cross-site packaging of ad products) to product information – both editorial and ad products (predictive analytics), Eilertsen said.
Schibsted is now working on a new media platform, using Big Data to innovate products. The mobile app for Omni, Schibsted’s new news service, will be based on automated content entry .