New Study Finds Data and Technology Alone Can’t Solve the Challenges Facing Today’s Marketers

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DALLAS, TX –October 19, 2015 – Just 38% of email marketing executives stated that their marketing department shares common goals, according to new research
from Epsilon and The Relevancy Group. Findings indicate that as marketers remain isolated in their own channels with less than 25% practicing measurement
and attribution across channels, organizational dysfunction is challenging omnichannel success.

Epsilon
, the global leader in creating connections between people and brands, surveyed 300 email marketing executives, to uncover how marketing organizations
operate and its impact on the customer experience. The study was conducted in collaboration with The Relevancy Group.

“The siloed dysfunction in many marketing organizations does not map well to the customer experience,” shared David Daniels, Founder and CEO of The
Relevancy Group. “The customer sees a brand holistically and expects the same experience across channels. The marketing organization needs to improve not
only coordination but access to data, content and technology to meet the evolving needs of today’s consumers.”

The report unveils an Omnichannel Sophistication Trajectory, which provides guidance on the steps marketers can take to increase their sophistication from
single source segmentation and single channel to the most sophisticated real-time integrated omnichannel campaign.

Single-source segmentation, single channel mailing
: 66% of marketers deliver the most basic type of campaign, which enlist strategic services to identify data to utilize for segmentation.

Multiple source integrated segmentation campaign
: Only 50% of marketers surveyed are doing this type of campaign, a typical example being email marketing coupled with a push notification to app users
where the marketer is using data for segmentation.

Omnichannel integrated segmentation campaign
: 37% of marketers are tying together email, mobile and display targeting/retargeting, which requires strategic integration and creative services to
implement.

Real-time data integrated omnichannel campaign
: The most sophisticated campaign uses real-time data along with social, mobile, display and email. 24% of marketers are utilizing real-time data in this
type of omnichannel campaign.

“Email is one of the most effective marketing channels to drive revenue but as today’s savvy marketers look to increase their return on marketing
investments they need to focus on creating memorable omnichannel experiences for consumers,” shared Pam McAtee, Senior Vice President of Digital Solutions
at Epsilon. “This goes beyond using email in combination with other channels and must incorporate real-time information, data and learnings from online and
offline channels to drive the content, cadence and timing of email communications. Bringing technology and services together will help marketers achieve
this.”

According to the findings, to advance along the Omnichannel Sophistication Trajectory, taking advantage of marketing services is important. Marketers
utilizing real-time data and implementing omnichannel campaigns have monthly revenue that is 18% higher than those that just utilize just one source of
segmentation and 57% higher than those that do not utilize real-time data.

For more information the full report is available at: http://knowledge.epsilon.com/value-of-services

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About Epsilon

Epsilon is the global leader in creating connections between people and brands. An all-encompassing global marketing company, we harness the power of rich
data, groundbreaking technologies, engaging creative and transformative ideas to get the results our clients require. Recognized by Ad Age as the #1 World
CRM/Direct Marketing Network. #1 U.S. Digital-Agency Network and #1 U.S. Agency from All Disciplines, Epsilon employs over 7,000 associates in 70 offices
worldwide. Epsilon is an Alliance Data company. For more information, visitwww.epsilon.com, follow us on Twitter @ EpsilonMktg or call 1.800.309.0505.

About The Relevancy Group

The Relevancy Group (TRG) combines original and thought-provoking market research with unrivaled consulting services to help buyers and sellers alike to
compete more effectively within the broader online economy. The TRG vendor selection methodology and surveys measuring consumer and executive behaviors
enable our clients to develop strategies that optimize their return on marketing technology investments. On behalf of TRG clients we produce dozens of
surveys, research reports and webinars annually.

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