Social Media’, ‘CRM 2.0’, ‘Social CRM’ are some of the buzzwords being hotly debated by the customer management and business process thought leaders today. What is it? – An extension to the traditional CRM by including external conversations outside the existing customer touch points with organizations.What does it constitute of? – Social Media Channels/Social Web Tools + Traditional CRM + Middleware Tools.The need from business context? – The social tools have created the highly networked social customer who interacts with his peers using conversation channels that are outside the control of the company and provides views and opinions about the products/services offered. Result? – With easy availability of information, businesses are required to engage in a more open and transparent manner with the customers using traditional as well as new channels. They have to filter the relevant and the important inputs from all the noise on the social web and act upon the same. This Infosys point of view illustrates our understanding of how Social media is transforming Customer Relationship management and how it can be leveraged in various CRM processes to achieve significant customer benefits.
These imperatives should be a part of the Social CRM strategy.
Infosys Social CRM Service Offering 1
As organizations move from Operational CRM strategy to a Collaborative Social CRM strategy, focus on customer centricity steadily increases…. We are here Phase 2 Multi-Channel CRM Phase 3 Analytical CRM Phase 4 Social CRM Phase 1 CRM Infrastructure ROI, Customer driven Interactions Global Data Models, Analytical Information Repository Enterprise Interaction Centers across Bus Global Web hosting Global Toolsets Point Solution Support Separate Customer Master files Operational Metrics Suggested Selling Aligning to Profitable Customers Focus on return on sales SARBOX and Forecasting Partnering, Intimacy return to Sales Lift Forward Value Looking, not cost to serve Integrated Within Function Area Ordering on Web, Product Configurators Profitable Segments Campaign & Event Tracking Sales Consolidation SLA stats Off-shoring New Tools Focus on Customer Data Click Stream Analysis Email Campaigns, Web site sign-up, SFA Data Sharing Self-Service from a cost perspective Experience Design On-demand integration Campaign Management More reach, Faster Marketing Focus on Efficiency not effectiveness Service Web 2
What is Social CRM ? Social Media Channels/Tools Traditional CRM Social CRM Middleware Tools 3
How is Social CRM Changing the game and Why? Social CRM
Non-Uniform Customer Experience across Channels
Employee-driven Customer Support and Service levels
Social CRM- Need to cater to the Social Customer requirements Forms a lasting impression of the product / service Likes to Collaborate and Contribute to new ideas Tells more people about their experience Social Customer Social Customer Behavior Is 2x more likely to churn/attrite if he is not satisfied Is hungry for information “Social Calling” (or a “warm introduction”, as traditionalists might call it) is 8–10 times more effective than cold calling, and so the business value of social connections is there for all to see.
Key Trends in Social CRM In line with the social media driven Market Dynamics , Infosys Social CRM Offering is best suited for Organizations moving away from “Enterprise-driven” Approach to focusing on “Customer Engagement” as well as “Profitability” Growth of Social Customers – US online users spend 25% of their time on Social networks Increased Competition in Market Place and pressure to maximize customer wallet share Increased usage of Social CRM tools, Web 2.0 tools to elicit and enrich customer ideas for product innovation and co-creation Differentiated treatments and products for different customer segments Deep customer insights in communities, Peer Networks and forums By end of 2010, more than 60 per cent of Fortune 1000 companies will have some form of online community that can be used for customer relationship purposes. Social Media becoming an integrated component of multi channel strategy to attract, engage and retain customers Increased Risk of doing Bad Business as 67% of customers would share their bad experience on social media by 2015 Increasing influence of peer networks in shaping Customer Opinions.75% trust peer opinions whereas only 25% are influenced by what a CEO communicates about a brand
Infosys Recommendations to leverage Social Media to enhance Strategic CRM Capabilities Ability to engage with the customer using Social Media such as networking sites, blogs, communities, wikis, podcasts, forums, peer to peer support groups, Innovation Communities Access to untapped customer insights available on various social media Ability to innovate and co-create products, solutions and services with customers collaboratively through Innovation communities Creating increased brand awareness and reducing product failure for the product in addition to customer engagement Engage and positively influence customer buying behavior, and thus increase retention and revenue/customer 20% OFF
9 Infosys Recommendations to leverage Social Media to enhance Strategic CRM Capabilities Ability to listen to customer conversations to get deep market insight and leveraging social media to direct researching decisions over the traditional data –driven market research Ability to formulate sales strategies based on customer sentiment towards the brand and competitors instead of a target-oriented push strategy Foster and empower customers to solve each others service issues through peer to peer communities Faster identification and resolution of customer issues Shifts the brand building activity from the Company’s marketing division to the loyal customers who become brand advocates in social media
Industry vertical specific Social CRM Use Cases 10
11 Industry vertical specific Social CRM Use Cases