The document discusses managing the customer experience across different touchpoints. It notes that influencing a customer to consider a purchase happens through channels like advertising, word of mouth, direct mail, and social media. Moving a customer from consideration to purchase occurs through direct sales, physical stores, contact centers, and social media. After a sale, leveraging touchpoints like installation, customer service, warranties, surveys, maintenance, upgrades, and portfolio can improve the customer experience and brand. The key is managing all these touchpoints effectively across the customer journey from pre-purchase to post-purchase.

1. Kontaktpunkt analyse
Nordic Head of IMM Bo Sannung,
SAS Institute
Email: bo.sannung@sas.com,
Mobil: +45 5138 7770

2. Message Overload
On any given day, the
customer will be
exposed to nearly 3,000
media messages.
They will pay
attention to 52.
They will positively
remember 4.
The chance they will
remember your ad is
0.013%!
D. Mastervich, VP, Sales Strategy, U.S. Postal
Service, VDP Conference Presentation
2

3. DRIVING VALUE FROM CUSTOMER RELATIONSHIPS
IS INCREASINGLY COMPLEX
Customers &
Prospects
Offers,
Services &
Pricing
Channels &
Business Web E-mail Mail Mobile Print Social Phone Branch ATM Advisor TV Radio Service Finance Collections Risk
Functions
$
Checking Credit Cards Loans Mortgages Insurance
Products
Savings Lines Investments

4. Social media – amplifying number of
touchpoints
1 February 2013
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5. Channel / Media Trustworthiness
Epsilon Targeting
5 Step 3: Multichannel Marketing

6. Traditional decision journey
Source: Edelman et al. 2010
1 February 2013
6

7. New customer decision journey
Source: Edelman et al 2010
1 February 2013
7

8. Key considerations
• Consider
– TOM brands: Touchpoints – Ads, store displays, WOM
• Evaluate 70% budget
– Seeking input: Touchpoints – peers, reviewers, retailers, brands
• Buy
– Point of purchase: Touchpoints – placement, packaging, availability, pricing, sales interactions
• Enjoy, Advocate, Bond
– Deeper connection: Touchpoints – online, mobile, research, advocate, WOM
Source: Edelman et al 2010
1 February 2013
2012 COPYRIGHT SAS INSTITUTE
8

9. Managing the customer experience
Influence whether or not to Moving from consideration to
consider buying: purchase:
- Advertising - Direct sales
- WOM - Physical store
- Direct mail - Contact center
- Social media - Social media
PRE DURING
POST
Leverage after sale to improve brand experience:
- Installation
Source: Vandermerwe 2000, and Dunn & Davis 2004 - Customer service
- Warranty
- Surveys
- Maintenance
- Upgrades
- Portfolio
1 February 2013
9

11. ACCENTURE RESEARCH 2011
77% OF HIGH-PERFORMING COMPANIES THAT INVEST IN ADVANCED
COMPANIES HAVE ANALYTICAL ANALYTICAL CAPABILITIES OUTPERFORM
CAPABILITIES ABOVE AVERAGE THE S&P 500 ON AVERAGE BY 64%
ONLY 40% OF MAJOR BUSINESS 65% OF HIGH-PERFORMING COMPANIES
DECISIONS ARE BASED ON DATA HAVE SIGNIFICANT DECISION-SUPPORT
AND FACTS AND ANALYTICAL CAPABILITIES
36% OF HIGH-PERFORMING INADEQUATE INFORMATION ACCESS
COMPANIES VALUE ANALYTICAL REDUCES KNOWLEDGE WORKERS’
INSIGHTS PRODUCTIVITY BY 54%

12. “The Emergence Of Customer Experience Management Solutions”
Fra outbound til inbound

13. Time to Get it Right
Treat customers the way we want to be treated…
…and generate double-digit increases in response and revenue
Overview

14. Personalized “Next Best Product” offer
executed across…
Branch/Advisor
nbp

15. The NBO 4 main components
Customer Behavior Importance
“The probability of the “The profitability
customer to aquire the generated if the customer
product” aquire the product”
Restrictions Previous Contacts
“The product can be sold “The product was already
to the customer” offered to this customer”

16. Maximering af kundeværdi
Customers
Product Silos
Front Office
Potential
Back Office
Customer
Data
Value
System
Limitations Risk Profitability
Maximise Customer Revenue, Reduce Cost to Serve, Enhance Margin

17. Profitabilitet

18. Lønsomhedsopgørelse
Omsætning:
Forbrugs DB 100
Abonnement DB 100
= Samlet DB1 200
Direkte kapacitetsomkostninger:
Salg 10
Marketing 20
Kampagne 30
= Samlet direkte kapacitetsomkostninger 60
= Samlet DB2 140
Indirekte kapacitetsomkostninger:
Kundecenter 15
Billing / Produktskifte 25
Debitorer 35
= Samlet direkte kapacitetsomkostninger 75
= Samlet omkostninger 135
= Samlet DB2,5 65
Øvrige omkostninger 50
= EBIT 15

19. Lønsomhed på kunde
Faktisk kunde i august 2009

21. Potentiale

22. Kunde scoring - respons
Kunde Kamp A Kamp B Kamp C
1 90 20 90
2 80 70 75
3 60 75 65
4 55 80 75
5 75 60 50
6 75 65 60
7 75 90 65
8 65 60 60
9 80 30 75

23. Kunde scoring - Produkt
Kunde Prod A Prod B Prod C
1 90 20 90
2 80 70 75
3 60 75 65
4 55 80 75
5 75 60 50
6 75 65 60
7 75 90 65
8 65 60 60
9 80 30 75

24. Kunde scoring - kanal
Kunde Kanal A Kanal B Kanal C
1 90 20 90
2 80 70 75
3 60 75 65
4 55 80 75
5 75 60 50
6 75 65 60
7 75 90 65
8 65 60 60
9 80 30 75

25. Risiko

26. Kunde scoring - churn
Kunde Churn Q1 Churn Q2 Churn Q3
1 90 20 90
2 80 70 75
3 60 75 65
4 55 80 75
5 75 60 50
6 75 65 60
7 75 90 65
8 65 60 60
9 80 30 75

27. Applying Predictive Models to Marketing Strategy
Marketing Objective Question Modeling Approach Treatment Strategy
Why Will Customer Churn? Propensity to Churn
Reconciliation
When Will Customer Survival Model (Time until
Churn &
churn)
Churn? Value Segment
Who is Savable? Propensity to Stay
Decile H M L
1
Propensity Score
2
3
Who Will Buy? What? 4
Propensity to Buy
5
Maximize Revenue
Which product will Product Basket
Customer Buy Next?
When Will Customer Survival Model (Time until
Buy? Purchase)
27
Copyright © 2011, SAS Institute Inc. All rights reserved.

28. Step 1: develop a meaningful customer
segmentation Research Data
• 2800 survey respondents
Segmentation Requirements • Shopping behaviour
• Simple and intuitive • Loyalty programme participation
• Categorises appropriate share of the customer database • Satisfaction
• Segments of significant sizes
• Sufficient differentiation
• Actionable
Knowledge
Transactional Data
• Points accrual transactions
Participation Engagement
• Points redemption transactions
• Shopping behaviour
across 17 retail and
service brands Value Satisfaction
• Card usage vs
automatic points
collection Opportunity
Segmentation
• Response to
promotions
28
Copyright © 2011, SAS Institute Inc. All rights reserved.

29. The Nectar Marketing Communications
Segmentation
Engaged Enthusiasts
Bonus Seekers Savvy Supermarket
Shoppers
Contented X- Swipeless Savers Routine Grocery Nectar Indifferents
Shoppers Shoppers
29
Copyright © 2011, SAS Institute Inc. All rights reserved.

30. Step 3: Overlaying financial data allows
for improving the allocation of customer
marketing investment
Average Customer Profitability and Ability to Promote by Segment
High
Low profitability, some
opportunity to improve
Promotability Index
via incentives
Low profitability, little Highly profitable
opportunity to improve segments
Low
via incentives
Low Profitability Index High
30
Copyright © 2011, SAS Institute Inc. All rights reserved.