• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Combining Digital Media and Customer Interactions for “Connected CRM”
 

Combining Digital Media and Customer Interactions for “Connected CRM”

on

  • 1,007 views

From the SFIMA April 12, 2012 Event - Combining Digital Media and Customer Interactions for “Connected CRM” ...

From the SFIMA April 12, 2012 Event - Combining Digital Media and Customer Interactions for “Connected CRM”

http://www.facebook.com/events/322428881144597/
http://www.sfima.com
------------------------------------
Marketing over the years has evolved from the “age of brand,” with the advent of television in the 1950s; to the “age of channel,” with the development of e-commerce in the 1990s; to today’s “age of the customer,” fueled by empowered consumers who have countless tools at their fingertips to help them make decisions. The most important factor affecting the way we market to consumers today is the digitalization of media and channels – and the resulting proliferation of customer touchpoints. Key to the success of any customer-centric marketing strategy is the ability to integrate the online and offline data from these interactions in an effective manner to optimize the customer experience and create greater customer value.

David Williams discusses how organizations can gain sustainable competitive advantage through building customer strategy as a business strategy. The concept of connected CRM represents a systematic way to identify, serve and retain high-value customers better than competitors by delivering customer interactions that improve financial results, create competitive advantage and drive shareholder value.

In this session, Williams introduces the skills necessary to implement a connected CRM strategy, which is built upon an organizational commitment to customer-centricity. The integration of these skills enables marketing strategies that maximize the value of the customer portfolio.

David is a frequent contributor to the Forbes Magazine blog, and has served on the Direct Marketing Association board of directors. In addition Mr. Williams is the president and CEO of Merkle Inc.

Statistics

Views

Total Views
1,007
Views on SlideShare
1,005
Embed Views
2

Actions

Likes
1
Downloads
54
Comments
1

1 Embed 2

http://www.linkedin.com 2

Accessibility

Categories

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel

11 of 1 previous next

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Combining Digital Media and Customer Interactions for “Connected CRM” Combining Digital Media and Customer Interactions for “Connected CRM” Presentation Transcript

    • Combining Digital Media and on November Interactions Presented Customer 4, 2009 for “Connected CRM” South Florida Interactive Marketing Association April 12, 2012© 2012 Merkle Inc. All Rights Reserved. Confidential 1
    • Agenda • Who we are • What we believe • CRM in a digital world • Q&A© 2012 Merkle Inc. All Rights Reserved. Confidential 2
    • Who We Are Our experience and expertise make us a leader in CRM, shown by our clients‟ successes© 2012 Merkle Inc. All Rights Reserved. Confidential 3
    • Company Overview Distinctive experience Extraordinary expertise • Privately held by current management since 1988 • 1,500+ Employees • 150+ world class clients • 150+ statisticians producing over 1,000 models/year • Manage over 125 marketing databases • 200+ dedicated digital professionals • Manage 1.6+ petabytes of customer data • 500+ marketing technology professionals • Inform over $10 billion marketing decisions annually • 100+ creative professionals Sustained 25% growth since 1989 Awarded and recognized • Ad Age A-List: “Agency to Watch in 2012” $400 $360 • Largest privately-held agency in U.S., Ad Age „11 $350 • 8th Largest Direct Marketing Agency, Ad Age ‟11 Revenue in millions $303 $300 $255 • Recognized by SmartCEO Magazine as a Future 50 $250 Company „11 $211 $223 $200 $180 • NCDM Awards ‟04, ‟05, ‟06, ‟09, ‟10, „11 $148 $150 • Recognized by Forrester ‟03, „06, ‟07 &‟10 $100 • Multiple MAXI Award Winner ‟10 ‟11 $50 • Multiple DMA Innovation Award Winner „10 2006 2007 2008 2009 2010 2011 2012E© 2012 Merkle Inc. All Rights Reserved. Confidential 4
    • Our clients represent many of the best global brands in the world© 2012 Merkle Inc. All Rights Reserved. Confidential 5
    • The Customer Relationship Marketing Agency CRM Outcomes Integrating diverse capabilities Increased customer value | Improved marketing ROI | Improved media effectiveness Through optimizing customer touchpoints Direct POS Phone Site Mobile TV Radio Display Print Social mail Email Search Integrating diverse capabilities Consulting services | Database marketing services | Creative & communications services | Digital media services Utilizing industry experience to drive strategy | | Nonprofit | Life sciences Insurance & wealth Retail banking & management | consumer finance | Travel, media & | Nonprofit | Retail & CPG/OEM | entertainment Life sciences Delivered across multiple engagement types Consulting | Marketing services | Agency of record© 2012 Merkle Inc. All Rights Reserved. Confidential 6
    • What We Believe Marketers play a critical role in creating a long-term, sustainable, competitive advantage for their organizations© 2012 Merkle Inc. All Rights Reserved. Confidential 7
    • Marketers can again create long-term sustainable advantage 1950s+ 1998+ 2008+ Age of brand Age of channel Age of customer Creation of national Direct-to-consumer business Low cost 1:1 targeting and brands model transformation engagement (Consumer to Consumer) Social networks & digital media (Consumer to Brand) Internet and eCommerce (Brand to Consumer) National media and mass marketing “Contenders”© 2012 Merkle Inc. All Rights Reserved. Confidential 8
    • Customer strategy is a preemptive business strategy MACRO trends are changing the landscape The Socially Challenging digitization of enabled mass economic media and engagement climate channels And consumers And marketers are are changing responding by Social networks as a Putting the customer at the purchase advisor center of business strategy Buyer User Evolving consumer Developing a 360º view of expectations the customer Likely attrition Developing advanced Changing consumer Suspect Prospect customer buying process insight, targeting and measurement capabilities Shift in media Engaging consumers in more consumption patterns effective and productive ways Non-buyer Ex-customer© 2012 Merkle Inc. All Rights Reserved. Confidential 9
    • CRM Transformation – Business Models Matter INTEGRATION Identified Non-identified LOYALTY FOCUSED FOCUSED Direct Financial Retail Services Indirect Healthcare CPG BUSINESS ENGAGEMENT MODEL FOCUSED FOCUSED© 2012 Merkle Inc. All Rights Reserved. Confidential 10
    • Marketing functions are both brand- and customer-focused. Integrating these is the key to successful marketing. The Power of the Universal Relevant to the Individual Brand Focused Customer Focused Strategic integration Qualitative Quantitative “Big Ideas” “Facts” Attitudinal Behavioral Media Universal Unique Digital Mass Direct Brand advertising Consumer marketing Brand creation Brand activation Implementation© 2012 Merkle Inc. All Rights Reserved. Confidential 11
    • Customer Relationship Marketing evolution High value Customer Value Optimization Customer Level 5 fully integrated programs & campaigns focused Enterprise engagement Contact Optimization, multi-touch campaigns, Moving Level 4 integrated measurement platform from Level 3 to Level 4 is hard. Basic multi-channel, model integration, Level 3 and campaign automation Campaign focused Single campaign, simple data, little offer Level 2 and customer customization Business unit / media engagement Level 1 Infrastructure focus, basic capabilities Low value© 2012 Merkle Inc. All Rights Reserved. Confidential 12
    • How do we compete in this new connected world?© 2012 Merkle Inc. All Rights Reserved. Confidential 13
    • A new approach to customer interaction A systematic way to identify, serve and retain high-value customers better than competitors by delivering customer interactions that improve financial results, create competitive advantage and drive shareholder value.© 2012 Merkle Inc. All Rights Reserved. Confidential 14
    • Optimizing customer behavior is how you make money Relevant and timely programs increase short-term revenue profitability and long-term customer portfolio value. Consideration Purchase Engagement Loyalty Optimized Dialogue High Up-sell Customer value First purchase Average Low Time© 2012 Merkle Inc. All Rights Reserved. Confidential 15
    • But in reality, optimizing behavior has become increasingly complicated as channels and media options grow How do we operationalize this complexity? Brand Value proposition Position Expectation Price Product TV & Radio Web Print Store Mail Channels Media Email Phone Display Customer portfolio Partner Social Search Care Purchase Promotion Experience Customization Sales Service© 2012 Merkle Inc. All Rights Reserved. Confidential 16
    • Domains There are six core domains that must be mastered in order to create sustainable competitive advantage. Information Insights Optimization Targeting Measurement Agility Ability to organize Ability to create in a fashion that Ability to micro metrics as allows you to Ability to Ability to allocate Ability to create target, customize currencies and respond to changes identify, segment resources that and manage a and personalize measure the in and manage optimize ROI 360º view of the media and incremental customer, competit high value and long-term customer channel impact of each or or marketplace customers customer value experience marketing behaviors faster activity than the competition© 2012 Merkle Inc. All Rights Reserved. Confidential 17
    • Connected CRM landscape Non- Likely Ex- Suspect Prospect Buyer User buyer attritor customer Up-sell Acquire Qualify Cross-sell Retain Entangle Deselect Qualify Win back Activate Renew Stimulate Strategy & Direction Create & Customize Manage & Perform • Business strategy • Program development • Insight management • Brand strategy • Offer creation • Campaign management • Customer strategy • Content creation • MRM • Segment strategy • Message development • CRM/media mix mgmt • Offer/treatment strategy • Treatment • Segment management • Media strategy • Personalization • Lead management • Multi-channel strategy • Customization • Content management • Customer experience strategy • Experimentation management • Performance management CRM Management Systems • Metrics and incentives • Decision authority • Organizational structure • Optimization and business rules • Governance • Roles and responsibilities Analytics, Data, Applications, Tools and Infrastructure© 2012 Merkle Inc. All Rights Reserved. Confidential 18 18
    • Role of the CRM Knowledge Center in Connected CRM Customer Portfolio Management Customer Cross Sell / Up Loyalty / Awareness Engagement Experience Purchase Acquisition Sell Retention Customer Value Management Segmentation Management Measurement / Attribution Management Channels Media Inbound Interaction Campaign Outbound CRM Knowledge Management Management Informing Center Informing CDI &Warehouse Data Marts Op Data Stores Systems Marketing Mix Media Integration Optimization Channel & Operations Customer Informing Product / Pricing Sales Service Operations Finance Merchandising Other CRM Business Functions© 2012 Merkle Inc. All Rights Reserved. Confidential 19
    • CRM in a digital world© 2012 Merkle Inc. All Rights Reserved. Confidential 20
    • A new opportunity to target and reach customers What if Geico could choose 10 million people who would be most likely to switch their car insurance in the next month and target them directly across media and channels?© 2012 Merkle Inc. All Rights Reserved. Confidential 21
    • What is available today, and what is the potential to target customers across media and channels? Targeting Media Channels Contextual Anonymous Individual Identified Individual Not available Emerging Somewhat available Widely available© 2012 Merkle Inc. All Rights Reserved. Confidential 22
    • Integrated data provides an opportunity to analyze, segment, and target customers through digital media and channels. Site Behavioral Segmentation, Lifetime Value, Attribution, CRM mix Display Anonymous & Individual Cookies Personalization Analytics: Targeting, Measurement, Insight First Party Data Real-time (CRM) Bidding Social Data Management Open Graph Data Integration date Search Second Party Key word Data bidding by (Partner) segment Mobile Text Email Third Party Data Individual Personalization© 2012 Merkle Inc. All Rights Reserved. Confidential 23
    • The evolution of digital display ads has grown from place to customer CRM Data Driven Anonymous Individual Anonymous and Individual Level of insight Place Place Place Exchange Connected Exchange Contextual Environments Environments How many people visit site, and Cookie & Third Party data on Addition of data repository including their profile unknown individuals all media and CRM data • Based on research and • User behaviors • Behavioral segmentation Targeting persona • Retargeting • Lifetime value • Customer/prospect • Last click • Digital attribution • Fractional attribution Measurement across all media • Media property • Exchange Performance Performance by customer : Insights performance • Segment • Value© 2012 Merkle Inc. All Rights Reserved. Confidential 24
    • Integrated Data with Advanced Display Segmentation yields only the customers you are trying to reach, optimizing investments. You can build and effective display media plan using contextual and exchange based buying First Party Data Integration Integration Second Party Data Third Party Data But why underspend for the right customers and overspend for customers you don‟t want? Targeting: Performance by customer: Legend: • Behavioral segmentation • Segment Affluent High Ascending Lookie- • Lifetime value • Value sophisticates transactors buyers loos • Customer© 2012 Merkle Inc. All Rights Reserved. Confidential 25
    • Connected CRM Summary • Managing and engaging customers not campaigns will be key to creating competitive advantage. • Digitization of medias and channels is creating a big data revolution in marketing: the only way to monetize this at scale will be through Connected CRM. • We are in the early but accelerating stages of this journey and new skills and approaches will be necessary ….first movers will have a significant advantage.© 2012 Merkle Inc. All Rights Reserved. Confidential 26
    • Q&A Thank you! David Williams Chairman & CEO Merkle Inc. 7001 Columbia Gateway Drive Columbia, MD 21046 443-542-4000 merkleinc.com© 2012 Merkle Inc. All Rights Reserved. Confidential 27