BI and CPM markets in 2007: When two become one

For years analysts have asked suppliers “so which market are you in – BI or CPM?” Suppliers were somewhat coy about the answer. BI and CPM were perceived as distinct and separate markets. BI was the high margin Cash Cow and CPM was the Question Mark in the portfolio.

Suppliers did not want to risk cashflow from the large $7bn BI market by gambling on the smaller $1bn CPM market. Hence supplier commitment to a CPM marketing message or a BI marketing message vacillated depending on whether cashflow or new market penetration was the current key directive. But all has now changed.

2006 was a great year for the CPM vendors and most registered 30%+ revenue growth. Sniffing opportunity, supplier indecisiveness vapourised overnight. The answer to the “which market are you in?” question has been categorically answered: “BOTH”.

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