Customer Experience Master Class - Hazem El Zayat, Ogilvy
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Customer Experience Journeys and planning for data-fueled personalized experiences The customer journey is no longer linear. Planning and executing personalized and data-fueled customer journeys is becoming more and more imminent and an expectation. Brands should strive to provide a consistent and personalized experience for the customer using data and technology to understand their customers’ preferences and needs. The journey is constantly evolving as new technologies emerge and customer expectations change. Companies must stay attuned to these developments and continually update their approach to ensure they are delivering the best possible digital customer experience. Learn how to stay ahead in this ever-evolving world.
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Customer Experience Master Class - Hazem El Zayat, Ogilvy
- 1. Customer Experience Master Class MASTER CLASS Hazem El Zayat CHIEF EXPERIENCE OFFICER OGILVY DUBAI, UAE ~ OCTOBER 10 - 11, 2023 DIGIMARCONMIDDLEEAST.COM | #DigiMarConMiddleEast DIGIMARCONDUBAI.AE | #DigiMarConDubai
- 3. OGILVY
- 4. OGILVY BRANDSARE FAILING TO ACHIEVE THE FULL POTENTIAL OF THE RELATIONSHIP WITH THEIR CUSTOMERS
- 5. OGILVY BROUGHT INTO FOCUS BY THE GLOBAL MARKET SHUTDOWN The pandemic caused a 7 to 10-year leap in digital transformation THE 10 YEAR LEAP Customer digital interactions grew from 20% in 2019 to nearly 60% in 2022 60% INCREASE The industry shifting from 3rd party Cookies and mobile phone tracking moves marketers to the creation of direct value creation over tracking DIRECT ENGAGEMENT
- 6. OGILVY Brands must now capture the sizeable value opportunity of the customer relationship Brands that focus on long term customer relationships - grow revenues at twice the speed of those that don’t. Gartner, Forrester, Salesforce. X BRANDS THAT DO
- 7. OGILVY FACING THE CHALLENGE, WE MUST FOCUS ON FOUR IMPORTANT ANGLES
- 10. OGILVY TODAYS CONSUMER CONTEXT AND EXPECTATIONS Where I am 1. PLACE At my pace 2. PACE With a valuable point of view on my world 3. PURPOSE Respecting who I am and valuing what I bring 4. PRIVACY
- 11. OGILVY Now more than ever, consumers don't want to be 'managed'. They have choices, hence engagement needs to be intuitive and reciprocal. RELATIONSHIP DESIGN
- 12. OGILVY WE NEED TO MOVE FROM MANAGING CUSTOMERS TO CO-DESIGNING IMPACTFUL RELATIONSHIPS
- 13. OGILVY 1-dimensional consumer understanding Doing things to consumers Comms in service of brand values Personalisation Business focused value creation Short-term sales metrics Reach and Frequency 4-dimensional evolving customer understanding Doing things with consumers Relevant value in every interaction Deeply personal Creation of a true value exchange Lifetime Value & Advocacy Impact through creativity From managing customers To co-designing impactful relationships
- 14. OGILVY Supercharged by creativity The most powerful distinction will not be the functional convenience of a brand experience. it will be the creative expression of the brand in all forms and the emotional response it stirs.” Jay Pattisall & Ted Shader, "Desperate for Differentiation", Forrester Research IMPACT
- 16. OGILVY 16 DESIGNING RELATIONSHIPS creates a positive and beneficial connection between a person and a brand. By defining clear expectations, establishing trust, and creating a sense of shared values and goals. Designing a relationship is more important than simply managing a relationship because it sets the foundation for a strong and lasting connection trough intentional meaningful value exchanges. Relationships aren’t managed. They are designed.
- 17. OGILVY THE PRINCIPLES OF RELATIONSHIP DESIGN THE FULL DIMENSIONAL CONSUMER THE CONNECTED ECOSYSTEM AN ENDURING VALUE EXCHANGE CUSTOMER FOCUSED METRICS Delivering Creative Comms & Interactions
- 18. OGILVY THE PRINCIPLES OF RELATIONSHIP DESIGN: THE FULL DIMENSIONAL CONSUMER THE FULL DIMENSIONAL CONSUMER Deep customer insights We believe it’s critical to not only understand a customers demographics, but their cognitive drivers, barriers, and motivations that drive ongoing relationships, and the psychology that drives their thinking. THE FULL DIMENSIONAL CONSUMER THE CONNECTED ECOSYSTEM AN ENDURING VALUE EXCHANGE CUSTOMER FOCUSED METRICS Delivering Creative Comms & Interactions
- 19. OGILVY THE CONSUMER KNOWLEDGE MODEL Apply Behavioral Science techniques using declared, inference and predictive data to understand consumer cognitive profile. Cognitive profile helps brands resonate in consumer minds. Registration, D2C transactions, progressive profiling strategies Harmonise data asked to consumers & store it in a common repository. Brand websites interactions, communications, coupons, promotions, will enrich our consumer information. Connect different information sources to understand consumer behaviour and its context. ML/AI can helps enrich consumer information and anticipate consumer behaviour by providing affinity scores to our knowledge attributes. EMOTIONS & ATTITUDES FULL CONSUMER VIEW Cognitive data PERSONAL, BEHAVIOURAL, TRANSACTIONAL & CONTEXTUAL INFORMATION Declared data Inference data Predictive data 4D CUSTOMER DATA CONNECTED TOUCHPOINT AN ENDURING VALUE EXCHANGE CUSTOMER-FOCUSED METRICS
- 20. OGILVY THE PRINCIPLES OF RELATIONSHIP DESIGN: AN ENDURING VALUE EXCHANGE THE FULL DIMENSIONAL CONSUMER THE CONNECTED ECOSYSTEM AN ENDURING VALUE EXCHANGE CUSTOMER FOCUSED METRICS Delivering Creative Comms & Interactions AN ENDURING VALUE EXCHANGE Creating meaningful value exchange We build meaningful value exchanges for brands and customers to make lives easier, more enjoyable or more fulfilling, and at the same time deliver more revenue, more data or more interactions for brands.
- 21. OGILVY We build value exchanges for brands that help make customers lives easier, more enjoyable or more fulfilling, and at the same time deliver more revenue, more data or more interactions for brands. But not every value exchange is made equal so we identify 3 key types of value exchange that can work together to play a role in strengthening the relationship that a customer has with a brand over the long term. MEANINGFUL Makes my life more fulfilling RELATIONAL Makes my life more enjoyable FUNCTIONAL Makes my life easier AN ENDURING VALUE EXCHANGE 4D CUSTOMER DATA CONNECTED TOUCHPOINT AN ENDURING VALUE EXCHANGE CUSTOMER-FOCUSED METRICS
- 22. OGILVY THE PRINCIPLES OF RELATIONSHIP DESIGN: CUSTOMER- FOCUSED METRICS THE FULL DIMENSIONAL CONSUMER THE CONNECTED ECOSYSTEM AN ENDURING VALUE EXCHANGE CUSTOMER FOCUSED METRICS Delivering Creative Comms & Interactions CUSTOMER- FOCUSED METRICS Measuring what matters most Customer value is about more than short term transaction. We measure TANGIBLE and INTANGIBLE value creating a measurement framework that reveals how keeping customers close to you impacts brand equity, lifetime value and advocacy.
- 23. OGILVY CUSTOMER-FOCUSED METRICS M E A S U R I N G C U S T O M E R V A L U E C U S T O M E R V A L U E M A T U R I T Y P R O G R E S S I O N Too many brands use communication metrics to provide a proxy for customer engagement and value. Customer value is more than a series of short-term transactions. We measure TANGIBLE and INTANGIBLE value creating a measurement framework that reveals how keeping customers close to you impacts brand equity, lifetime value and advocacy. 4D CUSTOMER DATA CONNECTED TOUCHPOINT AN ENDURING VALUE EXCHANGE CUSTOMER-FOCUSED METRICS
- 24. OGILVY THE PRINCIPLES OF RELATIONSHIP DESIGN: THE CONNECTED ECOSYSTEM THE CONNECTED ECOSYSTEM Navigating complex journeys The complexity of our world has created a more complex ecosystem for consumers to enter our brand’s conversion paths from awareness to loyalty. Defining the path for our customers requires a comprehensive view of the customer and brand relationship THE FULL DIMENSIONAL CONSUMER THE CONNECTED ECOSYSTEM AN ENDURING VALUE EXCHANGE CUSTOMER FOCUSED METRICS Delivering Creative Comms & Interactions
- 25. OGILVY CONNECTED ECOSYSTEMS Does a customer ever navigate their relationship with a brand in a planned linear journey? No. They search, look at product reviews on the Amazon app, go to the brands website direct to get a feel for the brand, you look at discount sites, call in on the store, return to the website and ask questions on live-chat. We strike a fine balance between recognising the complexity and variety of potential journeys that users may follow with a clear, insightful and actionable approach. One Ecosystem Different users, mindsets and needs Multiple modular journeys THIS COMES FROM A SIMPLE AND POWERFUL FORMULA… x = … 10.24 cm 4D CUSTOMER DATA CONNECTED TOUCHPOINT AN ENDURING VALUE EXCHANGE CUSTOMER-FOCUSED METRICS
- 26. OGILVY THE PRINCIPLES OF RELATIONSHIP DESIGN RELATIONSHIP DESIGN THE FULL DIMENSIONAL CONSUMER THE CONNECTED ECOSYSTEM AN ENDURING VALUE EXCHANGE CUSTOMER FOCUSED METRICS Delivering Creative Comms & Interactions
- 28. OGILVY DO YOU SPRAY AND PRAY? “The push advertising model is failing fast” Mark Schneider ,CEONestle
- 29. OGILVY BRAND WHICH HAVE RAISED OUR EXPECTATIONS Uber has set expectations that an experience can be seamless. Etsy has set the expectation that uniqueness can come from anywhere Netflix has set the expectation that entertainment should be delivered on my terms, customized to my preferences Apple has set expectations around a closed ecosystem of touchpoints that are convenient and easy to navigate. Nest has set the expectation that living in your home can no longer come without software and service layers that increase the value of your living experience. Amazon has set the expectation that brands should know what customers want, sometimes even before they do. Nike has set the expectation that products are more relevant when coupled with personalized digital services and experiences ASOS has set the expectation that seamless online experience across multiple touch points is a must have for modern brand loyalty Spotify has set the expectation that my music discovers me, not the other way around Tesla has set the expectation that high-high- quality products can no longer come without software and service layers that increase the value of the brand experience.
- 31. OGILVY I WANT MY BANK TO BEHAVE LIKE Amazon Personal ShopperSupermarket Doctor/Dentist Gym Source: BCG Retail Banking Advisory survey
- 34. OGILVY 34 OGILVY
- 35. 35 PRIORITIZATION PERSONALIZATION PRECISION WHO HOW WHAT WHEN WHERE CURRENT, POTENTIAL OR FUTURE VALUE, RISK MESSAGE OFFER PRODUCT TONALITY TIMING GEO CHANNEL A FRAMEWORK TO OPERATIONALIZE DATA
- 36. 36 OGILVY
- 37. September 8, 2022 Active Channels Home City Home Country Prioritisation Personalisation Precision Member Status Family status Burn Weekday (F&B) EARN Type BURN Type Brand loyalty (Earn) Stay City #1 Hotel Type Stay (Earn) Hotel Type Stay (Burn) BURN Season (Hotel) Most Preferred Brand Stay City #2 Yearly Value YTD Lifetime Value Share of Stays Loyalty Share of Wallet Rewards Points Status Recent stay city BURN Behaviour 1 BURN Behaviour 2 Point Expiring Next Point Expiring When 1. Making unstructured data operational 2. Creating data lenses that helps identify attitude and behaviours, not just transactions
- 38. September 8, 2022 Active Channels Home City Home Country Prioritisation Personalisation Precision Member Status Family status Burn Weekday (F&B) EARN Type BURN Type Brand loyalty (Earn) Stay City #1 Hotel Type Stay (Earn) Hotel Type Stay (Burn) BURN Season (Hotel) Most Preferred Brand Stay City #2 Yearly Value YTD Lifetime Value Share of Stays Loyalty Share of Wallet Rewards Points Status Recent stay city BURN Behaviour 1 BURN Behaviour 2 Point Expiring Next Point Expiring When 81 -100% 60 -80% 0-20% 20-40% 40-60% 81 -100% 60 -80% 0-20% 20-40% 40-60% $500 - 2,000 $2001 - 4,000 $4,001 - 6,000 $6,001 - 8,000 $8,001 - 10,000 $10,001 - €50.000 - €10.000-20.000 €0 - 2.000 €2.000-5.000 €5.000-10.000 €20.000-50.000 Letter Email App Text Web 0 - 1000 1.000 - 10.0000 10.000 - 30.000 30.001 - 60.000 60.001 - 100.000 100.001 - 150.000 Paris London Geneva Rome NY Madrid Switzerland France Spain UK Italy Germany family with children Couple Single Monday Tuesday Wednesday Thursday Platinum Gold Silver Platinum Plus Black Classic Hotel bar Restaurant events Hotel bar Restaurant events single brand stayer Selected few Broad mix Random Paris London Berlin Rome NY Madrid Predominant Lux Predominant Pre Lux and Prem Pre and Mid Predominant Mid Summer Autum Winter Spring Predominant Lux Predominant Mid Lux and Mid MID and Eco Predominant Eco Paris London Berlin Rome NY Madrid Friday Saturday Promiscuous Spender Super Loyalists Mostly faithful New Lapsed Paris London Berlin Rome NY Madrid Mid and Eco Mantra Novotel mercure Mantra Adagio Grand Mercure Pure Macro Pure Micro Macro and Micro Structured Impulse Forgetful 1.000 - 10.0000 10.000 - 30.000 30.001 - 60.000 60.001 - 100.000 100.001 - 150.000 10-30 days 30-60 days 2-6 months 6-12 months +12 months
- 39. 39 PLANNING FOR PERSONALIZED RELEVANCE IN MEMBERSHIP ENGAGEMENT Use recent trip or repetitive trip behaviours to make your experience brands contextual relevant to the individual member Building Brand Awareness Use stay behaviour ….(last or past) to understand the quality level our member has a preference for Use stay destinations …(recent or repetitive) to link the experience brands to relevant destinations +
- 40. 40 Tactic: Post stay Welcome “home” email Purpose: Create Awareness about Relevant Experience brands Triggered by: Personalisation inside tactic: Leverage recent stay destination + Hotel Category preference + Member Status Member Status Recent Stay City Hotel Type Stay (Earn) 2 days Days since last Experience Hotel Stay Recent Experience Type +
- 42. 42 OGILVY
- 43. 43 At a glance Case Study – Starbucks CRM How do you optimize CRM & loyalty data at scale and drive personalization and efficiency.
- 45. 45 11% Increase in interaction rates 10% Increase in email open rates 15% Increase in offer conversion 30% Increase in go-to- market time “Ogilvy’s personalization at scale framework is the single biggest driver of improved spend per customer that Starbucks has ever seen.” Kevin Johnson, CEO Starbucks Case Study – Starbucks CRM
- 46. 46 OGILVY
- 47. 47 At a glance We are changing their end-to-end digital-to-real-world (brick & mortar) customer experience and marketing strategies.. How? By connecting customer data, sales data and subscription data, understanding the emotional response to shopping and enabling technology to transform the marketing messaging and hence customer experience, effectively driving higher sales, basket value and retention. Case Study – IKEA
- 49. 49 Significant improvement in conversions including open rates, click rates, engagement rates and most importantly conversions. 40% Increase in email open rate The above is achieved by redeveloping customer journeys and messaging across channels on one-hand, but also by operationalizing First Party Data and integration of technology capabilities on the other hand. 430% Increase in email click rate 32.67% Store visitation rate 230% Increase in conversions AED 65K Media Spend AED 8M+ Sales revenue Case Study – IKEA
- 50. SO MUCH TO WIN AND NOTHING TO LOSE 50 OGILVY
- 51. Marketing automation drives a 14.5% increase in sales productivity and a 12.2% reduction in marketing overhead. SO MUCH TO WIN & NOTHING TO LOSE 19% Sales uplift in businesses that use personalization technologies 61% Feel more +ve about a brand when marketing messages are personalized 53% Are more likely to purchase when digital communications are personalised 30% Up-lift in performance due to personalized emails 80% Of high-performing marketers report that personalization systems have boosted revenue. 15-20% Improvement in ROI when companies put data-driven personalization at the heart of their marketing & sales.
- 53. OGILVY 53 – Pierre Nanterme CEO Accenture DIGITAL IS THE MAIN REASON WHY HALF OF THE COMPANIES ON THE FORTUNE 500 HAVE DISAPPEARED SINCE THE YEAR 2000. OGILVY
- 54. OGILVY 54 Gartner TODAY, 89% OF COMPANIES COMPETE PRIMARILY ON THE BASIS OF CUSTOMER EXPERIENCE – UP FROM JUST 36% IN 2010. BUT WHILE 80% OF COMPANIES BELIEVE THEY DELIVER “SUPER EXPERIENCES,” ONLY 8% OF CUSTOMERS AGREE. OGILVY
- 55. THANK YOU!