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Abdul Dezkam: Loyalty is not just for dogs. Using digital for better loyalty programs

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Is it about time to reengage with your customers and improve your retention rate? This is the session for you to be in.

Are you working on a new strategy to drive customer loyalty with/without a loyalty program? Or are you already running an old and dusty loyalty program driven by traditional discount and with a point-based approach, that you want to rework but you are facing lack of commitment in the organisation? Maybe you are looking for a simple way to deliver better customer experience by grabbing the low hanging data-fruits?

I will share some experiences (and other companies') from running a global advanced behavioral-driven loyalty program and a simple and discount-driven loyalty program; and how important it is to bring organisation, technology and strategy together to deliver your next loyalty strategy.

And of course – no presentation about data and the "age of customer" without mentioning Uber at least once :-)

So bring in your passion, curiosity or disgrace for data and let’s turn them into valuable insights for you to take back to your office.

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Abdul Dezkam: Loyalty is not just for dogs. Using digital for better loyalty programs

  1. 1. ENGAGE WITH SIMPLE DATA Abdul Dezkam Global CRM Manager ECCO Sko A/S
  2. 2. WILL A LOYALTY PROGRAM DRIVE LOYALTY? NO
  3. 3. ​ Global family owned company founded in 1963 in Bredebro, Denmark. 19.500+ employees today. Our Shoes, bags and leather goods are sold in 88 countries at 3000+ ECCO stores and shop-in- shops, and at 14.000+ sales points around the world. +20.000.000 pairs of shoes sold in 2014. ​ ECCO owns and operates the entire shoemaking process – “from Cow to Shoe”. ​ Each pair of ECCO shoes are touched by 210 pairs of hands before reaching to the customer. ​ More than 350.000.000 pairs of ECCO shoes have walked the streets since 1963. Fast facts ECCO SKO A/S
  4. 4. CUSTOMER DEMANDS
  5. 5. ​ The speed of change - how customers engage with brands •  Drifting across multiple touch points – offline and online •  Changing opinions fast – we are all living in “Tinder”-universe (competitor is one swipe away) •  Demanding high (1:1) relevancy – not just content but timing and context (Expect to know the intention; browse, buy, review?) •  Expecting seamless omni/multi-channel experience (Product: 100 € online, but 120 € in store?) THE EMPOWERED CUSTOMER
  6. 6. IS UNDERSTANDING CUSTOMER (LOYALTY) IMPORTANT? “A 5% increase in customer retention can generate 25% - 125% increase in business profits” (1) “Repeat customers spend 33% more than new customers” (2) “Companies that prioritize The customer experience generate 50% higher profits than their competitors” (3) “89% marketing bosses predicted that customer experience would be their primary basis for competitive differentiation by 2017” (4) YOUR BEST CUSTOMER IS POTENTIALLY YOUR COMPETITOR’S BEST CUSTOMER
  7. 7. BUSINESS AMBITIONS
  8. 8. The typical loyalty eco-system BUSINESS AMBITIONS Customer insights 1:1 personalized marketing Customer loyalty Satisfy loyal customers Get even more loyal customers Categorize in tiers adv. algorithm REWARD YOU ARE AWESOME!! Badge the best Re-purchase = +business results Customer Journey Exclusive offers enhanced service
  9. 9. CHALLENGES
  10. 10. Building 1:1 personalized customer journeys CHALLENGES Requires dedicated resources and organization Lack of insight utilization and segmentation Lack of automated processes Lack of relevant content
  11. 11. SOLUTIONS
  12. 12. Understand your customers context – deliver outcome not just product HOW DO YOU DELIVER CUSTOMER EXPERIENCE? You are selling Your customer is buying KODAK films Storage of memories Air conditioning units The right temperature Taxi-service Get from A to B Renting dvd/vhs movies Watch a movie and be entertained Toothbrush Healthy mouth and white teeth Haircuts Look great, younger, more professional or easy-to-setup ECCO YURA Comfortable walking/hiking in mixed weather ECCO HELSINKI Look professional at work What are you selling? What is the outcome your customer is buying?
  13. 13. ​ - Birthday present for family/friend/myself ​ - New job, I need formal shoes ​ - New school, I need new cool shoes ​ - My feet hurts when I walk long distance , I need comfortable shoes ​ - I started at gym, I need comfortable and light shoes for running ​ - New season, I need to look trendy and follow the newest fashion ​ - I bought new clothes, I need to find a matching pair of shoes ​ - Winter season is coming and my kids needs winter boots ​ - I need nice sandals for my holiday vacation in Barcelona next week ​ - Should I buy a pair of nice high heels for my girlfriend? ​ EVERY MOMENT IS A DOOR OPEN FOR YOUR BUSINESS TO CONVINCE THE CUSTOMER TO CHOOSE YOU FROM OTHER BRANDS DISCOVER THE MICRO-MOMENTS
  14. 14. -  Discover and (re)use Rich Content from your websites, SoMe, Production etc. -  Connect and structure your Customer Data (profile and transactions is a start) -  Feed above to your Marketing Automation or CEM Platform and define your Business Rules to deliver relevant journeys. DO WHAT IS POSSIBLE TODAY Requires dedicated resources and organization Lack of insight utilization and segmentation Lack of automated processes Lack of relevant content
  15. 15. SIMPLIFY CONCEPT Marketing Automation, Retention Strategy and Customer Journeys (Engine) Customer Data and Rich Content (Fuel) Strong and relevant journey driving customer to point of sale (Driver) DATA INSIGHTS ACTION Abdul Dezkam abd@ecco.com
  16. 16. CONNECTED DATA TO UNDERSTAND THE WHOLE JOURNEY Abdul Dezkam abd@ecco.com
  17. 17. PLAN YOUR ENGAGEMENT
  18. 18. CASE EXAMPLE
  19. 19. Customer data and purchase behavior will you give you the insights to understand that now is the right time to yet again re-engage and drive a specific audience to a point of sale. 1. DEFINE GOAL Fictional numbers for illustration purpose only
  20. 20. 2. DEFINE AUDIENCE Abdul Dezkam abd@ecco.com
  21. 21. 3. DEFINE CONTENT
  22. 22. ENGAGE UNDERSTAND YOUR CUSTOMERS CONTEXT (outcome) PUT YOUR BRAND AND PRODUCTS IN THAT CONTEXT GET YOUR DATA RIGHT CONNECT THE RELEVANT SOURCES OF INTERACTIONS TURN YOUR DATA INTO INSIGHTS OBSERVE AND DISCOVER PATTERNS TURN YOUR INSIGHTS INTO ACTIONS DEFINE GOAL - DEFINE AUDIENCE - DEFINE CONTENT > EXECUTE JOURNEYS SUMMERIZE
  23. 23. DOES LOYALTY PROGRAM DRIVE LOYALTY? NO Loyalty program will connect your customer offline and online See loyalty in a holisticway Loyalty is built with small bricks in each interaction BUT GREAT CUSTOMER EXPERIENCE DOES
  24. 24. ABDUL DEZKAM Global CRM Manager, ECCO Sko A/S abd@ecco.com Linkedin: Abdul Dezkam Twitter: abduldezkam
  25. 25. IS BIG DATA AND INSIGHTS THE SAME? QUICK QUESTIONS NO DATA INSIGHTS ACTIONS

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