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Consumer	
  Engagement	
  in	
  the	
  DIGITAL	
  AGE	
  
Insights	
  on	
  Philips	
  Family	
  Rewards	
  



                                                            1	
  
2	
  
Exercise	
  1:	
  
	
  
WRITE	
  A	
  MESSAGE	
  
SEND	
  IT	
  TO	
  ME	
  
Exercise	
  2:	
  


OPEN	
  ENVELOPE	
  
FOLLOW	
  INSTRUCTIONS	
  
5	
  
Exercise	
  3:	
  


WITH	
  THE	
  TECHNOLOGY	
  
&	
  THE	
  INSTRUCTIONS	
  
CHANGES	
  
              7	
  
8	
  
1	
  
	
  
INTERNET	
  
               9	
  
10	
  
11	
  
✗	
            TRADITIONAL	
  
               MARKETING	
  
               APPROACH	
  	
  




        	
  
                           12	
  
2	
  
	
  
DATA	
  
           13	
  
1
4	
  
 




       1
       5	
  
✗	
  
        16	
  
 
3	
  
	
  
SOCIAL	
  
             17	
  
Consumers	
  do	
  not	
  believe	
  us	
  
        anymore	
                      18	
  
They	
  believe	
  their	
  friends	
  
                                     19	
  
✗	
     20	
  
FACEBOOK	
  –	
  TWITTER	
  -­‐	
  YOUTUBE	
  DO	
  NOT	
  SOLVE	
  YOUR	
  PROBLEM	
  
                                                                                  21	
  
I	
  have	
  no	
  Sme	
  
I	
  have	
  access	
  to	
  all	
  informaSon	
  
                          I	
  am	
  connected	
  

                             NOT	
  loyal	
  
                   I	
  am	
  
                                                22	
  
YOU	
  
have	
  	
  
less	
  ?me	
  than	
  before	
  to	
  	
  
convince	
  me	
  

IF	
  I	
  
Do	
  not	
  see	
  the	
  immediate	
  
value,	
  I	
  will	
  switch	
  
                                              23	
  
DIGITAL	
  
CRM   	
  
        Consumer	
  engagement	
  


                               24	
  
✗	
                      ✗	
                   ✗	
  
Data	
             Rewards	
  Points	
      Systems	
  



                                                          25	
  
✗	
                  ✗	
                    ✗	
  
Design	
             Emails	
             Products	
  



                                                         26	
  
 Is	
  about	
          Engaged	
  over	
       Through	
  
Consumers            	
         Time	
              MulSple	
  	
  
                                                  Touch	
  points	
  

                                                                  27	
  
1	
     CONSUMER	
  NEEDS	
  THROUGH	
  DATA	
  

2	
                1-­‐1	
  APPROACH	
  

3	
               MULTICHANNEL	
  

4	
             ACTION	
  -­‐	
  REACTION	
  

5	
                EFFECTIVENESS	
  


                                                   28	
  
Proven	
  results	
  leading	
  to	
  expansion	
  
  Members	
             target	
     Products	
  registered	
        2009	
  comp	
  CP	
  



48,000	
              +50%	
          61,000	
                         X2.3	
  
 Re	
  purchase	
     Redeemed	
           Site	
  visits	
           2010	
  growth	
  



2.5M€	
               61K€	
             215k	
                      66%	
  +	
  
                                                                        higher	
  


                                                                  25%	
  SG	
  traffic	
  

                                                                                          30	
  
31	
  
Iceberg	
  concept	
  approach	
  
          TRADITIONAL	
  CRM	
  APPROACH	
  

           CreaSve,	
  Points,	
  Rewards…..	
  

            WHERE	
  THE	
  DIFFERENCE	
  IS	
  

               All	
  the	
  invisible	
  parts	
  




                                                      32
Do	
  not	
  compromise	
  
your	
  chances	
  of	
  
success	
  

                        33	
  
2F5DIGITAL	
  CRM	
  METHODOLOGY	
  
          F5DIGITAL CRM Methodology

      Analysis               Recommendation : Cookbook                             Deployment                    Ongoing
  Evaluation of what                                                          Implementation of the           Maintenance once
                            F5DIGITAL recommendation based on results
  needs to be done                                                              recommendation                  implemented

              CRM                  Strategic                Implementation                     Toolkit           Engagement
 1                      2                              3                      4                           6
          Hologram                 Direction                     Blueprint                        Set               program
!  Consumer insights   !  Engagement                 !  Actual chosen        !    Resources              !  Activities
!  Trade structures       program core                  concept              !    Planning               !  Editorial calendar
!  Benchmark              element                    !  Measurement          !    Templates              !  Tactics
   preparation         !  Approach                   !  KPI set up           !    Briefing
!  CRM Status and      !  Strategic direction        !  Contact Strategy     !    Checklists
   workflows
!  CRM hologram


                                                                                            Actual
                                                                              5                           7      Maintenance
                                                                                        Production
                                                                             !    Creative direction     !    Technical
                                                                             !    Wireframe              !    Content
                                                                             !    Protosite              !    Discussions
                                                                             !    Consumer journey       !    Measurement
                                                                             !    Coding
                                                                             !    Programming
                                                                             !    Design


                                                                                                Platform LIVE
                                                                                                                         34	
  
     !"#$%&'(#)                Consulting methodology approach   V2.1                                                             1
CONTROLLED	
  PROCESS	
  




                            35	
  
Detailed	
  contact	
  strategies	
  
                                          Update Contents and push customized contents
                                                                                                                                                                    Reminder if
                                                                                                                                                                   voucher is not
                                                                      Cross Sell and Up-Sell
                                                                                                                                                                    redeemed
                                                                                                                                                                      within a
                                     Membership	
  Phase	
                                     Member
                                                                                                 DB
                                                                                                                             Week	
  1	
                           certain period
                                                                                                                                                                      of time.
                                                                                                                                                                                      Ongoing	
                                     1st	
  Month	
                                           Each	
  Months	
  
                                                                                                                                                                                                                                                                                               Contents	
  TargeSng	
  
                    High	
  Traffic	
  Sites	
                                 Initiate                                        Philips
                                                                           Purchase             Generate
                                                                                                                        Flagship                                                                                                                                                         Member	
  Status	
  
             Online	
  Banners	
  on	
  high	
                           consideration         redemption
                                                                                                                                                                                                                               Contents	
  TargeSng	
  
                                                                                                                             Store
             Traffic	
  sites	
  
             Customized                                                  through point           voucher                                                                                                                                                                                 Interests	
  
             personal interface                                           redemption
                                                                                                                                                                                                                         Member	
  Status	
                                              Purchase	
  Probability	
  
             !  News     Search	
                                                                                                                                                                                        Interests	
                                                     Personal	
  Events	
  
             !  Offers                                                                                               Philips Online
             Key	
  Word	
  Search	
  
             !  Highlights                                                                                                 Store                                                                                         Purchase	
  Probability	
  
             !  Point Status                                                                                                                                                                                                                                                             Customer	
  Value	
  
   PFR                                                                                                                                                                Product
             !  etc.                                                                                                                                                                                                     Personal	
  Events	
  
  Website                                               Drive Sales                                                                                                 Registration                                                                                                         Point	
  Status	
  
                                                                             Initiate                                                                                and Point
Experience                                                                 Purchase                                                                                Accumulation                                          Customer	
  Value	
  
                     Philips	
  Website	
                                consideration
 Journey     General member                                                                                                                                                                                              Point	
  Status	
  
             Mul?ple	
  banner	
                                            through
             contents
                                                                           member
             placement	
  across	
  the	
                                                                                                                                                                                                                                                  Customize	
  and	
  Assemble	
  
                                                                          promotions                                     Offline                                     Member
             !  Products
             Website	
                                                                                                                                                                                                                                                                            Contents	
  
             !  Offers                                                                                               Sales Channels                                    DB   TransacSonal	
  E-­‐Mail	
  
             !  Events
                  Corporate	
  Program	
  
             !  Promotions
                                                                             Initiate                                                                                                                                     Customize	
  and	
  Assemble	
                                  Program	
  News	
  
                                                                           Purchase                                                                                           Follow-­‐up	
  of	
  member	
                      Contents	
  
             Access	
  of	
  larger	
  
             !  etc.
                                                                         consideration                                                                                        online	
  ac?vi?es	
  and/or	
                                                                              Sales	
  Offers	
  
             Consumer	
  Pools	
                                            through                                   Online Sales
                                                                                                                        Channels                                              update	
  members	
  about	
   Member      Program	
  News	
                                                Point	
  Status	
  
                                                                            general
                                                                          promotions                                                                                          new	
  points	
  being	
   through                                                                    Drive Point
                                                                                                                                                                              generated.	
                   product     Sales	
  Offers	
                                          Redemption and	
  Products	
  
                                                                                                                                                                                                                                                                                          Brand	
                                 Define and
                             Retail	
                                                                                                                                                                     registration                                                                                                           customize next
                                                                      New	
  Member	
                                             ConfirmaSon	
  eDM	
                         	
                                         Point	
  Status	
                                                Personal	
  Events	
                  eDM contact and
             Informa?on	
  and	
                                                                Customer	
  DB	
   Up-Sell
                                                                                                  Cross Sell and
                                                                                                                                                                              Mail	
  leads	
  instantly	
  to	
         Brand	
  and	
  Products	
  
                                                                                                                                                                                                                                                                                                                                    contents
             Reminder	
  of	
  Family	
                                                                                      Confirma?on	
  and	
                                                              Single                                                                      etc.	
  
                                                                                                                                                                              website	
  visit.	
            Member                                                                    Drive
             Rewards	
                                                                                                       Welcome	
  contact	
  Social
                                                                                                                                                        that	
                                                           Personal	
  Events	
             Thank you                online Point
                                                                                                                                                        Media
                                                                                                                             leads	
  to	
  the	
  Program	
  Site.	
                                                                                                              Redemption
                   Philips	
  Databases	
                                                                                                                                                                                                                   eDM to
                                                                                                                                                                                                                         etc.	
                           registrants
             Use	
  of	
  the	
  full	
  poten?al	
                                                                                                                                                       Adding
             within	
  Philips	
                                                                                                                                                                          Family
                                                                                                                                                                                                         Members
                                                                                                                                                                                                                                                                                       Drive
                                                                                                                                                                                                                             Register                                               offline POS      Monthly	
  eDM	
  
                Customer	
  Care	
  Center	
                                                                                                                                                                                                                                         Purchase
                                                                                                                                                                                                                                                                                          Monthly	
  eDM	
  that	
  builds	
  
                                                                                                                                                                                                                                                                                                                             Analyze
             Personal	
  Engagement	
  and	
                                                                                                                                                                                                                                              a	
  strong	
  rela?onship	
  with	
  
                                                                                                                                                                                                                                                                                                                              Results,
                                                                                                                                                                               PFR                                                  Monthly	
  eDM	
                 Member
             Acquisi?on	
                                                                                          Program	
                             Philips              Website                     Member                                                                          the	
  brand	
  and	
  drives	
   channel
                                                                                                                                                                                                                                                                                                    Member
                                                                                                                                                                                                                                                                   interaction
                                                                                                                   Website	
                            Website             Experience                      DB           Monthly	
  eDM	
  that	
  builds	
           eDM                 program	
  engagement.	
  
                                                                                                                                                                                                                                                                                                          DB               performance
                                                                                                                                                                             Journey                                     a	
  strong	
  rela?onship	
  with	
                                                             and member
               Experience	
  Showroom	
                                                                                                                                                                                                                                                                                     behavior
                                                                                                                                                                                                                         the	
  brand	
  and	
  drives	
  
                                                                                                                                                                                                                                                                                 Drive Website re-
             Informa?on	
  and	
                                                                                                                                                                                         program	
  engagement.	
                                visitation – push
                                                                                                                                                                                                                             Register
             Reminder	
  of	
  Family	
                                                                                                                                                                                                                                               contents
                                                                                                                                                                                                          Adding
             Rewards	
                                                                                                                                                                                    Family
                                                                                                                                                                                                         Members
                                                                                                                                                                                                                                                          Reminder
                                                                                                                                                         Offline                                                                                         eDM to non-               Drive Social
                                                                                                                                                          POS                                                                                             registrants                 Media
                                                                                                                                                                                                           Single                                                                  Experience

             Mul?ple	
  Touch	
                                                                                       Immediate	
                                                                         Member
                                                                                                                                                                                                                                                                                                                                  Define and

                Points	
                                                                                             Engagement	
                                                                         Simple
                                                                                                                                                                                                         member
                                                                                                                                                                                                                                                                                     Drive
                                                                                                                                                                                                                                                                                  Engagement
                                                                                                                                                                                                                                                                                                                                 customize next
                                                                                                                                                                                                                                                                                                                                eDM contact and
                                                                                                                                                                                                                                                                                                                                    contents
                                                                                                                                                                                                        registration                                                                Actions
Share	
  
Come	
  back	
  
                        Convert	
  
                                      WHY	
  ?	
  
      Join	
  	
                      Buy	
  	
  




                                                    ©	
  F5DIGITAL	
  Consul?ng	
  2010	
  –	
  Why	
  syndrome	
  




                                                                                                      37	
  
Understand	
  consumer	
  triggers	
  




                                         38	
  
Active
               And	
  long	
  ?me	
  reten?on	
  
Members

   100%




                                                                                           Objected Lifecycle
                                                                                   with targeted interventions
    75%




                     1
    50%




                                                    2
    25%




    12%
                     Assumed Lifecycle
                     without interventions                                        3
     6%

                                                                                                                 Membership
           X weeks          2x weeks                3x weeks        4x weeks                5x weeks             Time
                                             2.5 Membership Years
                                                                               © F5DIGITAL Consulting, 2010 long time retention



                                                                                                                      39	
  
I	
  ONLY	
  NEED	
       GIVE	
  ME	
  A	
  
           1	
  TV	
  
                         REASON	
  TO	
  
     1	
  SHAVER	
  
          1	
  CAR	
     COME	
  BACK	
  


                                           40	
  
Non	
  members	
                                           Members	
  

 InvitaSon	
  e-­‐mail	
        TransacSonal	
                Booster	
             Monthly	
  

• Drive	
  new	
             • Automa?cally	
           • Automa?cally	
     • Ac?vi?es	
  
  registra?ons	
               generated	
                generated	
        • Offers	
  based	
  on	
  
• Increase	
                 • Interac?on	
  with	
     • Reminder	
           profile	
  
  awareness	
                  the	
  site	
            • Rela?onships	
  
                             • Personalized	
           • Personalized	
  



                                                                                                    41	
  
It	
  is	
  not	
  just	
  about	
  product,	
  	
  it’s	
  about	
  usage	
  
                Cooking	
  


              High	
  Value	
  
              Customers	
  


              Baby	
  Care	
  



                    TV	
  



             Home	
  Audio	
  



                                                                          42	
  
2010	
  –	
  Key	
  ac?ons	
  Roadmap	
  
                                 Feb	
             March	
                 Apr	
               May	
               June	
                     July	
       Aug	
               Sept	
                Oct	
                 Nov	
                Dec	
               Jan	
  


                                                                                                                                                                     Monthly	
  eDMs	
  

                              Go	
  Live	
  
Online	
  




                              Invita?on	
  email	
                                                 Social	
  media	
  quick	
  wins	
   InvitaSon	
  email	
                                                                             Online	
  RedempSon	
  
                              Blast	
  to	
  100k	
  consumers	
  
                                                                                                                                                         Na?onal	
  Day	
  campaign	
                                                    GO	
  LIVE	
  
                              Website	
  live	
  
                                                                                                   Facebook	
  Connect	
                                 Reminder	
  to	
  join	
  
                              Teaser	
  to	
  Philips	
  employees	
  
                                                                                                   Share	
  /	
  Like	
  
                                                                                                                                                                                                                                         1to1	
  MulSchannel	
  
                                                                                                                                                                                                                                         Voucher	
  reminder	
  Test	
  



                                                               POS	
  set	
  up	
                   Carnival	
  Sale	
                                                                          Carnival	
  Sale	
  
Offline	
  




                             Showroom	
  	
                                                                                                                                                     Special	
  treats	
  for	
  
                                                               Materials	
  in	
  retail	
          Special	
  treats	
  for	
  
                             set	
  up	
                       Promoters	
  brief	
                 members	
                                                                                   members	
  
                             System	
  implementa?on	
  
                             Staff	
  brief	
  and	
  support	
  
Engagement	
  acSviSes	
  




                                                   Breaseeeding	
  talk	
                                                                                                                       Carnival	
  Sale+	
  
                                                                                                    Carnival	
  Sale	
                                                 Meet	
  F1	
                                                           Breaseeeding	
  talk	
  
                                                   Cooking	
  Class	
                                                                                                                           Cooking	
  class	
  
                                                                                                    Special	
  treats	
  for	
  members	
                              driver	
                                                               Cooking	
  class	
  
                                                                                                                                                                                                Special	
  treats	
  for	
  
                                                                                                                                                                                                members	
  

                                       Test	
  Drive	
  Program	
                               Test	
  Drive	
  Program	
                               Test	
  Drive	
  Program	
                                     Test	
  Drive	
  Program	
  
                                       Test	
  a	
  product	
  home	
  for	
  free	
            Test	
  a	
  product	
  home	
  for	
  free	
            Test	
  a	
  product	
  home	
  for	
  free	
                  Test	
  a	
  product	
  home	
  for	
  free	
  




                                                                                                                                                                                                                                                                              43	
  
TARGET	
  


                                                                                                       Time	
  

Engagement	
  level	
  
                                                            interac?on	
  

                                           interac?on	
  


            interac?on	
                                                              interac?on	
  


                          interac?on	
  




                                                                                                       44	
  
YOU	
  KNOW	
  ME	
     PROVE	
  IT	
  



                                          45	
  
✗	
     Dear VVIP
        customer!


                46	
  
Dear	
  valued	
  golfer	
  
                            Not	
  yet	
  the	
  
                            opportunity	
  

         Friendly	
  reminder	
  
                               6	
  steps	
  




47	
  
✗	
   ✓	
  
 NOMINATIVE	
     REAL	
  1-­‐1	
  



                                      48	
  
49	
  
August	
  eDM	
  example	
  

Main	
  offer	
  
•  Na?onal	
  Day	
  offer	
  
•  Birthday	
  


Product	
  offers	
  
•  BluRay	
  Player	
  
•  Vacuum	
  Cleaner	
  

Points	
  status	
  –	
  Personal	
  Cash	
  Points	
  and	
  Family	
  Cash	
  Points	
  

Products	
  –	
  3	
  products	
                                                               Member	
  status	
  
•  Baby	
  Care	
                                                                              •  Complete	
  your	
  
•  Culinary	
                                                                                       Registra?on	
  
•  Grooming	
                                                                                  •  Share	
  on	
  Facebook	
  
•  Lifestyle	
                                                                                 	
  
•  Sound	
  And	
  Vision	
  
•  Home	
  and	
  living	
  
•  Healthy	
  Living	
  




News	
  	
  
•  Baby	
  Care	
  
•  Culinary	
  
•  Grooming	
  
•  Lifestyle	
  
•  Sound	
  And	
  Vision	
  
•  Home	
  and	
  living	
  
•  Healthy	
  Living	
  
•  	
  Generic	
  




                                                                                                                                50	
  
Monthly	
  1-­‐1	
  eDM	
  

      Fully
   customized
   9 modules

   5000++
 combinations


                              51
✗	
   ✓	
  
  PRODUCT	
  
                  USAGE	
  
                 BENEFITS	
  
                RELEVANCE	
  


                            53	
  
Select	
  the	
  offer	
  that	
  
   suits	
  me	
  best	
  




                              54	
  
Tradi?onal	
  approach	
  starts	
  from	
  products	
  
               Companies	
  usually	
  talk	
  at	
  a	
  Product	
  or	
  Business	
  Unit	
  level	
  to	
  Consumers	
  
                               Product	
  life	
  cycle	
  differs	
  from	
  each	
  others	
  

                                                           One	
  company	
  

          Sectors	
                          Sectors	
                                Sectors	
                            Sectors	
  


 BU	
      BU	
      BU	
       BU	
     BU	
     BU	
       BU	
        BU	
         BU	
       BU	
      BU	
      BU	
         BU	
      BU	
  


                                                           PRODUCTS	
  
§  Confused	
  Consumers	
                                             ?	
                    §  Non	
  relevant	
  offers	
  
                                                                   ?	
   ?	
  
§  Overloaded	
  by	
  offer	
                                    ?	
         ?	
              §  Not	
  aligned	
  with	
  consumer	
  needs	
  
§  One	
  ?me	
  rela?on	
                                                                    §  Focused	
  on	
  new	
  product	
  intro	
  




                                                                                                                                                     55	
  
Our	
  approach	
  
   CONSUMER	
  



    PROFILE	
  
    PRODUCTS	
  

     NEEDS	
  


                      56	
  
It	
  is	
  not	
  just	
  about	
  product,	
  	
  it’s	
  about	
  relevance	
  
58	
  
Integrate	
  Offline	
  &	
  Online	
  	
  
        www.1to1.com.sg/grace.lee	
  
                   	
  




                                            59	
  
LET	
  ME	
  VOICE	
  
    IT	
  OUT	
  


                   61	
  
En?re	
  plalorm	
  is	
  opened	
  
                         §  Product	
  reviews	
  and	
  
                             ra?ngs	
  and	
  provide	
  
                             Test	
  Drive	
  Feedback	
  
                         §  Product	
  ra?ng	
  
                         §  Ac?vi?es	
  review	
  and	
  
                             feedback	
  
                         §  Facebook	
  Integra?on	
  
                             for	
  easier	
  registra?on,	
  
                             login	
  and	
  content	
  
                             sharing	
  



                                                       62	
  
MEASURE	
  
LISTEN	
  
MODIFY	
  
ADAPT	
  
              63	
  
REACTION	
  
ACTION	
  
                       64	
  
Long	
  term	
  rela?onship	
  crea?on	
  



                                 Any	
  kind	
  of	
  acSon	
  




PROFILE	
                                    PROFILE	
  
UPDATE	
                                     UPDATE	
  

                                                                    Improved	
  
              CommunicaSon	
  
                                                                  CommunicaSon	
  




                                                                                     65	
  
New	
  
eSHOP	
  
launched	
  
Nov	
  2010	
  


                  66	
  
✗	
   ✓	
  
  MULTIPLE	
  
  CHANNELS	
  
                   MULTI	
  
                 CHANNELS	
  


                            67	
  
Voucher	
  reminder	
  email	
  customiza?on	
  examples	
                                                                                Customized	
  page	
  
         First	
  name	
       Product	
     Price	
     Alterna?ve	
  offer	
     Link	
                                                  with	
  Map	
  and	
  
                                                                                                                                          direc?ons	
  


         Dear	
  Candace,	
  
                                             $104	
  

         Dear	
  	
  




                                                                                  Link	
  for	
  direc?ons	
  to	
  Philips	
  Shop	
  
         John,	
                             $799	
  

         Dear	
  	
  
         Natalia,	
                          $169	
  

         Dear	
  Evelyn,	
                   $98	
  

         Dear	
  
         Vincent,	
                          $111	
  

68	
  
Example	
  :	
  Personalized	
  QR	
  code	
  




                                                 69	
  
EFFECTIVENESS	
  


               70	
  
Communication relevance                               Member acquisition                           Referrals                             Program sustainability
  The average click through rate of members of          At least 36,000 members have been            For every acquired member, 4.2        xxx in its current stage has proven to be
  54% clearly indicates that xxx has been               naturally acquired through referrals,        additional consumers are              a strong platform that initiates product
  relevant throughout their entire membership           at POS and through organic site              introduced to the program.            consideration and drives purchase.
  period.                                               traffic without further investments.
                                                                                                              One member                   Even though re-purchase values,
Acquisition                Existing Members                                                                   recommends xxx to            caused by xxx, can only be assumed, it
                                                        88% of all                                            4.2 other consumers
                                                                                                                                           can be clearly said, that a substantial
                                                                                                                                           portion of these repurchases are
                                                        members                                                                            triggered and caused by the
       Open rate             Open rate                  are naturally                                                                      engagement activities of the xxx
                                                        grown.                   88%                                                       program. The following facts, support
                                                                                                                                           this statement:
         65.0%
          35%                   39%

                                      + 11%             Value per re-purchased product
                                                                                                                                           !    93% of all members are looking for a
                                                                                                                                                special sales offer.

           Click                 Click                  The redemption of vouchers is only used for smaller products. In general we        !    At least 66% of all members consider
         through               through                  can assume that members continue to accumulate points until the point                   the program as relevant and are
                                                        status grows to a more substantial amount.                                              visiting the site frequently without
                                                                                                                                                the need of being reminded.


                                       +
          31%                   54%
                                                          Voucher redemption           SGD 112.58 / per voucher
                                             74%                                                                                           !    Being engaged, in average a
                                                           Online store redemption              SGD 142.60 / per redemption                     consumer recommends the
                                                                                                                                                program to 4.2 other people.
Content relevance                                          Repurchase                                               SGD 241.40
                                                                                                                                           Finally, the fact, that xxx has already
66% of members re-visit the site simply because                                                                                            achieved an ROI of 256.6% in its basic
                                                                                                                                           form, it is clear, that with a slight
they are looking for new sales offers. The high click
rate on products clearly indicate that theses
                                                        Return on invest (ROI)                                                             increase of member acquisition
members are likely to consider a purchase. This         xxx has achieved in its first year an ROI of 256.6%, which can be considered as    initiatives and program deliverables, the
consideration has, to a large degree, been              an outstanding result. Given the current status of the program and its added       ROI of 2011 will definitely exceed the
triggered by the xxx program.                           values for the consumer, this result is very likely to be increased within 2011.   300% mark.



                          66% of                          Incremental IVM – Voucher redemption                                90,361
                                                                                                                                           Recommendation
                          members visit xxx               Incremental IVM – Online redemptions                                17,608       The xxx consumer engagement
                          naturally                                                                                                        platform has proven its value regarding
          66%             without an e-mail               Incremental IVM – Repurchase                                      923,365        driving sales but also regarding its
                                                                                                                                           power to inspire consumers and to drive
                          reminder
                                                                                                                                           product consideration.
                                                          Total incremental IVM                                           1,031,335
                                                                                                                                           This ultimately translates in the full
                                                          Total costs – F5Digital, Production, xxx                           659,000       achievement of acquiring consumers
                                                                                                                                           and to engage them with the xxx brand
    93% search                                            Total net return                                                  372,335        and its products.

    for special                                                                                                                            Given the high ROI in the first year, we

    sales offers
                                  93%
                                                          ROI - 2010                                          56,50 %                      strongly recommend to continue the
                                                                                                                                           xxx program in 2011 with an 71	
  
                                                                                                                                           program deliverables.
                                                                                                                                                                          increase of
                                                                                                                                                                                  1
We	
  checked	
  if	
  results	
  were	
  really	
  good	
  ?	
  
 •    Maybe	
  consumers	
  already	
  promote	
  the	
  brand	
  ?	
  
 •    Maybe	
  consumers	
  are	
  already	
  ac?ve	
  ?	
  
 •    Maybe	
  brand	
  recall	
  is	
  already	
  high	
  ?	
  
 •    Maybe	
  Philips	
  customers	
  are	
  already	
  recep?ve	
  ?	
  
We	
  want	
  to	
  know	
  if	
  the	
  PROGRAM	
  itself	
  has	
  
 a	
  posi?ve	
  impact	
  on	
  consumer	
  and	
  Philips	
  
                        consumer	
  
                                                                     72	
  
1)	
  Test	
  the	
  recommenda?on	
  increase	
  
                                                                                                         +83.43%	
  

On	
  a	
  scale	
  of	
  0	
  to	
  10,	
  
how	
  likely	
  would	
  you	
  
 like	
  to	
  recommend	
  
                                             +24.59%	
  
     Philips	
  to	
  your	
  
            friend	
  ?	
  
                                                                  Passive	
  members	
  Ac?ve	
  Members	
  



                            Survey	
  made	
  in	
  April	
  on	
  626	
  consumers.	
  	
  Based	
  on	
  your	
  experience	
  with	
  the	
  brand,	
  	
  
                                                                           how	
  likely	
  will	
  you	
  recommend	
  Philips	
  to	
  your	
  friends	
  
2)	
  Test	
  the	
  involvement	
  
Same	
  offer	
  sent	
  to	
  2	
  groups	
  
2)	
  Test	
  the	
  involvement	
  
             Specific	
  Carnival	
  eDM	
                                                                                            53%	
  
§  Family	
  members	
  
§  One	
  to	
  One	
  offer	
                                                                                      42%
§  Personalized	
  message	
  
                                                                                           30%
                                     YTD	
  
Delivered	
                        11,025	
  
                                                                           14%
Open	
                              53%	
  
CTR	
                               30%	
  
#	
  purchased	
                     370	
  
                                                                                     CTR	
                              Open	
  Rate	
  
Value	
                             $95k	
  
                                                                             Normal	
  eDM	
                       Family	
  Rewards	
  
                                               Comparison	
  made	
  between	
  Family	
  Rewards	
  members	
  and	
  none	
  Family	
  members	
  
3)	
  Test	
  the	
  brand	
  impact	
  

                           TOP	
  OF	
  MIND	
  RECALL	
  


                          +150%	
  
GENERIC	
       20%	
                  PFR	
           48%	
  




                                                                 76	
  
4)	
  Compare	
  to	
  tradi?onal	
  Philips	
  
        Philips	
                 eDM	
  results	
  PFR	
                                                                                Open	
  rate	
                                                      CTR	
  avg	
  =	
  
                                               Open	
  rate	
           Unique	
  CTR	
  
                                                                                                                                        avg	
  =	
  39.1%	
                                                   12.3%	
  
                               60%	
  




                               50%	
  




                               40%	
  




                               30%	
  




                               20%	
  


Open	
  Rate	
  =	
  18%	
     10%	
  



CTR	
  =	
  4%	
                0%	
  
                                         Invita?on	
   April	
   May	
  eDM	
  Carnival	
   June	
  eDM	
  July	
  edM	
   Aug	
  eDM	
   Aug	
   Sep	
  eDM	
   Oct	
  eDM	
   Carnival	
   Nov	
  eDM	
   Xmas	
     Xmas	
   Jan	
  eDM	
  
                                                       eDM	
                                                                              Invite	
                                                                   Reminder	
  




                                                                                                                                                                                                                                           77	
  
✓	
  
 • 
 • 
 • 
      Increased	
  sales	
  
      Increased	
  brand	
  awareness	
  
      Increased	
  brand	
  loyalty	
  
 •    Increased	
  registra?on	
  


                                       78	
  
Do	
  we	
  know	
  how	
  to	
  fly	
  ?	
  

                      Old	
  CRM	
          •  YES	
  it	
  is	
  a	
  plane	
  
                                               BUT	
  
                                            •  Different	
  
                                               technology	
  
                                            •  Different	
  speed	
  
                                            •  Different	
  pilots	
  
New	
  CRM	
                                •  Different	
  teaching	
  
                                            •  Different	
  training	
  
80	
  
Thank	
  you	
  



      Visit	
  us	
  at	
  :	
  	
  
 hmp://bit.ly/dentsubali	
  
hmp://www.f5digital.com	
              81	
  
Company
introduction                                            ! "# $ %


               Dentsu Summit April 2011




  ! "# $%   F5DIGITAL Group introduction   March 2011
WE ARE                 F5DIGITAL GROUP


! "# $%   F5DIGITAL Group introduction   March 2011                     83
© F5DIGITAL "# $%
          ! Group 2010 – All rights F5DIGITAL Group introduction
                                     reserved                      March 2011
Our solution : F5DIGITAL GROUP

                                                          MARKETING &
                 DIGITAL INNOVATION
                                                         STRATEGY AUDIT




                           CONSUMER                         MARKETING
                          ENGAGEMENT                    EFFECTIVENESS, ROI



                       ONE STOP FOR DIGITAL OPERATIONS and
                                  MAINTENANCE



  ! "# $%   F5DIGITAL Group introduction   March 2011                        85
F5DIGITAL Group

                    §  ONE stop Holistic Approach
                    §  3 dedicated companies
                    §  DIGITAL INNOVATION MARKETING HUB
                    §  Focus on - MARKETING EFFECTIVENESS
                    §  Handle any DIGITAL activities as your partner
                    §  HOW and WHY, not the what
                    §  BUSINESS NEEDS Knowledge
                    §  International MNCs expertise




 ! "# $%   F5DIGITAL Group introduction   March 2011                    86
We are consumer focused
2010 engagement paradigm




    consumer is the center of strategy

                                                      consumer



                                                                                      strategy is the center of the tactics



                                                        strategy

                                                         tactics

                                                      innovation


                 tactics is the center of the innovation                  © F5DIGITAL Consulting, 2010 Consumer Paradigm




    ! "# $%                   F5DIGITAL Group introduction   March 2011
DIGITAL INNOVATION                                   MARKETING & STRATEGY AUDIT



                                                                          INSIDE OUTSIDE
        TRAINING / COACHING
                                                                      MARKETING CONSULTANTS



      CAMPAIGN GOVERNANCE                                              CONCEPTS / BLUEPRINT


§    Team of senior consultants
§    F5DIGITAL concepts
§    F5DIGITAL approach
§    Deliverables based on men hour or brain time
        ! "# $%           F5DIGITAL Group introduction   March 2011                           88
Ways of working

F5DIGITAL Methodologies                                     Deliverables
§  Integration global to local needs                       §  Digital Strategy (Social Media,
§  Digital organization setup                                  mobile, eShop, CRM, web, SEO, etc)
§  Process on digital assets                               §  Digital Asset evaluation
§  Methodologies for CRM                                   §  Contact Strategy
§  Coaching and training                                   §  Consumer Relationship Management
§  …                                                           Blueprint
                                                            §  Social Media Cookbook
F5DIGITAL Concepts                                          §  Digital Relationship Management

§  Facebook fans and Kids
§  Impossible trilogy
§  8DD
§  Consumer engagement paradigm
§  …


    ! "# $%             F5DIGITAL Group introduction   March 2011
Concept examples

                                               Objective
                                               §  Explain the behavior of Social Media
                                                   users, ie Facebook

                                               Concept :
                                               §  Treat them like kids

                                               Impact :
                                               §  Agency planning
                                               §  Brand engagement
                                               §  Calendar activities




 ! "# $%   F5DIGITAL Group introduction   March 2011                                      90
Consulting deliverables extracts
                                 Personal                                    Life relevant themes
Integration of products          profile page                                                          Project
in all contents
                                                                                                       §  Touch point
                                                                                     Invited friends
                                                                                                           competitive
                                                                                                           mapping
                                                                                     Various subject
Comprehensive                                                                        related forums
lifestyle information hub
                                                                                                       Extract:
                                                                                   Registration is
Link to online sales sites                                                         mandatory           §  Visual one page
                                                                                                           summary
                                                                                   Consumer feedback
Integrated point system                                                            and ratings




    Complete branding of the program                                         Positioning of products
                                                    Free product             within themes
                                                    trials




           ! "# $%                     F5DIGITAL Group introduction   March 2011                                             91
Public appearance and recognition




 ! "# $%   F5DIGITAL Group introduction   March 2011
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age
Consumer Engagement in the Digital Age

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Consumer Engagement in the Digital Age

  • 1. Consumer  Engagement  in  the  DIGITAL  AGE   Insights  on  Philips  Family  Rewards   1  
  • 3. Exercise  1:     WRITE  A  MESSAGE   SEND  IT  TO  ME  
  • 4. Exercise  2:   OPEN  ENVELOPE   FOLLOW  INSTRUCTIONS  
  • 6. Exercise  3:   WITH  THE  TECHNOLOGY   &  THE  INSTRUCTIONS  
  • 7. CHANGES   7  
  • 10. 10  
  • 11. 11  
  • 12. ✗   TRADITIONAL   MARKETING   APPROACH       12  
  • 13. 2     DATA   13  
  • 15.   1 5  
  • 16. ✗   16  
  • 17.   3     SOCIAL   17  
  • 18. Consumers  do  not  believe  us   anymore   18  
  • 19. They  believe  their  friends   19  
  • 20. ✗   20  
  • 21. FACEBOOK  –  TWITTER  -­‐  YOUTUBE  DO  NOT  SOLVE  YOUR  PROBLEM   21  
  • 22. I  have  no  Sme   I  have  access  to  all  informaSon   I  am  connected   NOT  loyal   I  am   22  
  • 23. YOU   have     less  ?me  than  before  to     convince  me   IF  I   Do  not  see  the  immediate   value,  I  will  switch   23  
  • 24. DIGITAL   CRM   Consumer  engagement   24  
  • 25. ✗   ✗   ✗   Data   Rewards  Points   Systems   25  
  • 26. ✗   ✗   ✗   Design   Emails   Products   26  
  • 27.  Is  about   Engaged  over   Through   Consumers   Time   MulSple     Touch  points   27  
  • 28. 1   CONSUMER  NEEDS  THROUGH  DATA   2   1-­‐1  APPROACH   3   MULTICHANNEL   4   ACTION  -­‐  REACTION   5   EFFECTIVENESS   28  
  • 29.
  • 30. Proven  results  leading  to  expansion   Members   target   Products  registered   2009  comp  CP   48,000   +50%   61,000   X2.3   Re  purchase   Redeemed   Site  visits   2010  growth   2.5M€   61K€   215k   66%  +   higher   25%  SG  traffic   30  
  • 31. 31  
  • 32. Iceberg  concept  approach   TRADITIONAL  CRM  APPROACH   CreaSve,  Points,  Rewards…..   WHERE  THE  DIFFERENCE  IS   All  the  invisible  parts   32
  • 33. Do  not  compromise   your  chances  of   success   33  
  • 34. 2F5DIGITAL  CRM  METHODOLOGY   F5DIGITAL CRM Methodology Analysis Recommendation : Cookbook Deployment Ongoing Evaluation of what Implementation of the Maintenance once F5DIGITAL recommendation based on results needs to be done recommendation implemented CRM Strategic Implementation Toolkit Engagement 1 2 3 4 6 Hologram Direction Blueprint Set program !  Consumer insights !  Engagement !  Actual chosen !  Resources !  Activities !  Trade structures program core concept !  Planning !  Editorial calendar !  Benchmark element !  Measurement !  Templates !  Tactics preparation !  Approach !  KPI set up !  Briefing !  CRM Status and !  Strategic direction !  Contact Strategy !  Checklists workflows !  CRM hologram Actual 5 7 Maintenance Production !  Creative direction !  Technical !  Wireframe !  Content !  Protosite !  Discussions !  Consumer journey !  Measurement !  Coding !  Programming !  Design Platform LIVE 34   !"#$%&'(#) Consulting methodology approach V2.1 1
  • 36. Detailed  contact  strategies   Update Contents and push customized contents Reminder if voucher is not Cross Sell and Up-Sell redeemed within a Membership  Phase   Member DB Week  1   certain period of time. Ongoing   1st  Month   Each  Months   Contents  TargeSng   High  Traffic  Sites   Initiate Philips Purchase Generate Flagship Member  Status   Online  Banners  on  high   consideration redemption Contents  TargeSng   Store Traffic  sites   Customized through point voucher Interests   personal interface redemption Member  Status   Purchase  Probability   !  News Search   Interests   Personal  Events   !  Offers Philips Online Key  Word  Search   !  Highlights Store Purchase  Probability   !  Point Status Customer  Value   PFR Product !  etc. Personal  Events   Website Drive Sales Registration Point  Status   Initiate and Point Experience Purchase Accumulation Customer  Value   Philips  Website   consideration Journey General member Point  Status   Mul?ple  banner   through contents member placement  across  the   Customize  and  Assemble   promotions Offline Member !  Products Website   Contents   !  Offers Sales Channels DB TransacSonal  E-­‐Mail   !  Events Corporate  Program   !  Promotions Initiate Customize  and  Assemble   Program  News   Purchase Follow-­‐up  of  member   Contents   Access  of  larger   !  etc. consideration online  ac?vi?es  and/or   Sales  Offers   Consumer  Pools   through Online Sales Channels update  members  about   Member Program  News   Point  Status   general promotions new  points  being   through Drive Point generated.   product Sales  Offers   Redemption and  Products   Brand   Define and Retail   registration customize next New  Member   ConfirmaSon  eDM     Point  Status   Personal  Events   eDM contact and Informa?on  and   Customer  DB   Up-Sell Cross Sell and Mail  leads  instantly  to   Brand  and  Products   contents Reminder  of  Family   Confirma?on  and   Single etc.   website  visit.   Member Drive Rewards   Welcome  contact  Social that   Personal  Events   Thank you online Point Media leads  to  the  Program  Site.   Redemption Philips  Databases   eDM to etc.   registrants Use  of  the  full  poten?al   Adding within  Philips   Family Members Drive Register offline POS Monthly  eDM   Customer  Care  Center   Purchase Monthly  eDM  that  builds   Analyze Personal  Engagement  and   a  strong  rela?onship  with   Results, PFR Monthly  eDM   Member Acquisi?on   Program   Philips Website Member the  brand  and  drives   channel Member interaction Website   Website Experience DB Monthly  eDM  that  builds   eDM program  engagement.   DB performance Journey a  strong  rela?onship  with   and member Experience  Showroom   behavior the  brand  and  drives   Drive Website re- Informa?on  and   program  engagement.   visitation – push Register Reminder  of  Family   contents Adding Rewards   Family Members Reminder Offline eDM to non- Drive Social POS registrants Media Single Experience Mul?ple  Touch   Immediate   Member Define and Points   Engagement   Simple member Drive Engagement customize next eDM contact and contents registration Actions
  • 37. Share   Come  back   Convert   WHY  ?   Join     Buy     ©  F5DIGITAL  Consul?ng  2010  –  Why  syndrome   37  
  • 39. Active And  long  ?me  reten?on   Members 100% Objected Lifecycle with targeted interventions 75% 1 50% 2 25% 12% Assumed Lifecycle without interventions 3 6% Membership X weeks 2x weeks 3x weeks 4x weeks 5x weeks Time 2.5 Membership Years © F5DIGITAL Consulting, 2010 long time retention 39  
  • 40. I  ONLY  NEED   GIVE  ME  A   1  TV   REASON  TO   1  SHAVER   1  CAR   COME  BACK   40  
  • 41. Non  members   Members   InvitaSon  e-­‐mail   TransacSonal   Booster   Monthly   • Drive  new   • Automa?cally   • Automa?cally   • Ac?vi?es   registra?ons   generated   generated   • Offers  based  on   • Increase   • Interac?on  with   • Reminder   profile   awareness   the  site   • Rela?onships   • Personalized   • Personalized   41  
  • 42. It  is  not  just  about  product,    it’s  about  usage   Cooking   High  Value   Customers   Baby  Care   TV   Home  Audio   42  
  • 43. 2010  –  Key  ac?ons  Roadmap   Feb   March   Apr   May   June   July   Aug   Sept   Oct   Nov   Dec   Jan   Monthly  eDMs   Go  Live   Online   Invita?on  email   Social  media  quick  wins   InvitaSon  email   Online  RedempSon   Blast  to  100k  consumers   Na?onal  Day  campaign   GO  LIVE   Website  live   Facebook  Connect   Reminder  to  join   Teaser  to  Philips  employees   Share  /  Like   1to1  MulSchannel   Voucher  reminder  Test   POS  set  up   Carnival  Sale   Carnival  Sale   Offline   Showroom     Special  treats  for   Materials  in  retail   Special  treats  for   set  up   Promoters  brief   members   members   System  implementa?on   Staff  brief  and  support   Engagement  acSviSes   Breaseeeding  talk   Carnival  Sale+   Carnival  Sale   Meet  F1   Breaseeeding  talk   Cooking  Class   Cooking  class   Special  treats  for  members   driver   Cooking  class   Special  treats  for   members   Test  Drive  Program   Test  Drive  Program   Test  Drive  Program   Test  Drive  Program   Test  a  product  home  for  free   Test  a  product  home  for  free   Test  a  product  home  for  free   Test  a  product  home  for  free   43  
  • 44. TARGET   Time   Engagement  level   interac?on   interac?on   interac?on   interac?on   interac?on   44  
  • 45. YOU  KNOW  ME   PROVE  IT   45  
  • 46. ✗   Dear VVIP customer! 46  
  • 47. Dear  valued  golfer   Not  yet  the   opportunity   Friendly  reminder   6  steps   47  
  • 48. ✗   ✓   NOMINATIVE   REAL  1-­‐1   48  
  • 49. 49  
  • 50. August  eDM  example   Main  offer   •  Na?onal  Day  offer   •  Birthday   Product  offers   •  BluRay  Player   •  Vacuum  Cleaner   Points  status  –  Personal  Cash  Points  and  Family  Cash  Points   Products  –  3  products   Member  status   •  Baby  Care   •  Complete  your   •  Culinary   Registra?on   •  Grooming   •  Share  on  Facebook   •  Lifestyle     •  Sound  And  Vision   •  Home  and  living   •  Healthy  Living   News     •  Baby  Care   •  Culinary   •  Grooming   •  Lifestyle   •  Sound  And  Vision   •  Home  and  living   •  Healthy  Living   •   Generic   50  
  • 51. Monthly  1-­‐1  eDM   Fully customized 9 modules 5000++ combinations 51
  • 52.
  • 53. ✗   ✓   PRODUCT   USAGE   BENEFITS   RELEVANCE   53  
  • 54. Select  the  offer  that   suits  me  best   54  
  • 55. Tradi?onal  approach  starts  from  products   Companies  usually  talk  at  a  Product  or  Business  Unit  level  to  Consumers   Product  life  cycle  differs  from  each  others   One  company   Sectors   Sectors   Sectors   Sectors   BU   BU   BU   BU   BU   BU   BU   BU   BU   BU   BU   BU   BU   BU   PRODUCTS   §  Confused  Consumers   ?   §  Non  relevant  offers   ?   ?   §  Overloaded  by  offer   ?   ?   §  Not  aligned  with  consumer  needs   §  One  ?me  rela?on   §  Focused  on  new  product  intro   55  
  • 56. Our  approach   CONSUMER   PROFILE   PRODUCTS   NEEDS   56  
  • 57. It  is  not  just  about  product,    it’s  about  relevance  
  • 58. 58  
  • 59. Integrate  Offline  &  Online     www.1to1.com.sg/grace.lee     59  
  • 60.
  • 61. LET  ME  VOICE   IT  OUT   61  
  • 62. En?re  plalorm  is  opened   §  Product  reviews  and   ra?ngs  and  provide   Test  Drive  Feedback   §  Product  ra?ng   §  Ac?vi?es  review  and   feedback   §  Facebook  Integra?on   for  easier  registra?on,   login  and  content   sharing   62  
  • 63. MEASURE   LISTEN   MODIFY   ADAPT   63  
  • 65. Long  term  rela?onship  crea?on   Any  kind  of  acSon   PROFILE   PROFILE   UPDATE   UPDATE   Improved   CommunicaSon   CommunicaSon   65  
  • 66. New   eSHOP   launched   Nov  2010   66  
  • 67. ✗   ✓   MULTIPLE   CHANNELS   MULTI   CHANNELS   67  
  • 68. Voucher  reminder  email  customiza?on  examples   Customized  page   First  name   Product   Price   Alterna?ve  offer   Link   with  Map  and   direc?ons   Dear  Candace,   $104   Dear     Link  for  direc?ons  to  Philips  Shop   John,   $799   Dear     Natalia,   $169   Dear  Evelyn,   $98   Dear   Vincent,   $111   68  
  • 69. Example  :  Personalized  QR  code   69  
  • 71. Communication relevance Member acquisition Referrals Program sustainability The average click through rate of members of At least 36,000 members have been For every acquired member, 4.2 xxx in its current stage has proven to be 54% clearly indicates that xxx has been naturally acquired through referrals, additional consumers are a strong platform that initiates product relevant throughout their entire membership at POS and through organic site introduced to the program. consideration and drives purchase. period. traffic without further investments. One member Even though re-purchase values, Acquisition Existing Members recommends xxx to caused by xxx, can only be assumed, it 88% of all 4.2 other consumers can be clearly said, that a substantial portion of these repurchases are members triggered and caused by the Open rate Open rate are naturally engagement activities of the xxx grown. 88% program. The following facts, support this statement: 65.0% 35% 39% + 11% Value per re-purchased product !  93% of all members are looking for a special sales offer. Click Click The redemption of vouchers is only used for smaller products. In general we !  At least 66% of all members consider through through can assume that members continue to accumulate points until the point the program as relevant and are status grows to a more substantial amount. visiting the site frequently without the need of being reminded. + 31% 54% Voucher redemption SGD 112.58 / per voucher 74% !  Being engaged, in average a Online store redemption SGD 142.60 / per redemption consumer recommends the program to 4.2 other people. Content relevance Repurchase SGD 241.40 Finally, the fact, that xxx has already 66% of members re-visit the site simply because achieved an ROI of 256.6% in its basic form, it is clear, that with a slight they are looking for new sales offers. The high click rate on products clearly indicate that theses Return on invest (ROI) increase of member acquisition members are likely to consider a purchase. This xxx has achieved in its first year an ROI of 256.6%, which can be considered as initiatives and program deliverables, the consideration has, to a large degree, been an outstanding result. Given the current status of the program and its added ROI of 2011 will definitely exceed the triggered by the xxx program. values for the consumer, this result is very likely to be increased within 2011. 300% mark. 66% of Incremental IVM – Voucher redemption 90,361 Recommendation members visit xxx Incremental IVM – Online redemptions 17,608 The xxx consumer engagement naturally platform has proven its value regarding 66% without an e-mail Incremental IVM – Repurchase 923,365 driving sales but also regarding its power to inspire consumers and to drive reminder product consideration. Total incremental IVM 1,031,335 This ultimately translates in the full Total costs – F5Digital, Production, xxx 659,000 achievement of acquiring consumers and to engage them with the xxx brand 93% search Total net return 372,335 and its products. for special Given the high ROI in the first year, we sales offers 93% ROI - 2010 56,50 % strongly recommend to continue the xxx program in 2011 with an 71   program deliverables. increase of 1
  • 72. We  checked  if  results  were  really  good  ?   •  Maybe  consumers  already  promote  the  brand  ?   •  Maybe  consumers  are  already  ac?ve  ?   •  Maybe  brand  recall  is  already  high  ?   •  Maybe  Philips  customers  are  already  recep?ve  ?   We  want  to  know  if  the  PROGRAM  itself  has   a  posi?ve  impact  on  consumer  and  Philips   consumer   72  
  • 73. 1)  Test  the  recommenda?on  increase   +83.43%   On  a  scale  of  0  to  10,   how  likely  would  you   like  to  recommend   +24.59%   Philips  to  your   friend  ?   Passive  members  Ac?ve  Members   Survey  made  in  April  on  626  consumers.    Based  on  your  experience  with  the  brand,     how  likely  will  you  recommend  Philips  to  your  friends  
  • 74. 2)  Test  the  involvement   Same  offer  sent  to  2  groups  
  • 75. 2)  Test  the  involvement   Specific  Carnival  eDM   53%   §  Family  members   §  One  to  One  offer   42% §  Personalized  message   30% YTD   Delivered   11,025   14% Open   53%   CTR   30%   #  purchased   370   CTR   Open  Rate   Value   $95k   Normal  eDM   Family  Rewards   Comparison  made  between  Family  Rewards  members  and  none  Family  members  
  • 76. 3)  Test  the  brand  impact   TOP  OF  MIND  RECALL   +150%   GENERIC   20%   PFR   48%   76  
  • 77. 4)  Compare  to  tradi?onal  Philips   Philips   eDM  results  PFR   Open  rate   CTR  avg  =   Open  rate   Unique  CTR   avg  =  39.1%   12.3%   60%   50%   40%   30%   20%   Open  Rate  =  18%   10%   CTR  =  4%   0%   Invita?on   April   May  eDM  Carnival   June  eDM  July  edM   Aug  eDM   Aug   Sep  eDM   Oct  eDM   Carnival   Nov  eDM   Xmas   Xmas   Jan  eDM   eDM   Invite   Reminder   77  
  • 78. ✓   •  •  •  Increased  sales   Increased  brand  awareness   Increased  brand  loyalty   •  Increased  registra?on   78  
  • 79. Do  we  know  how  to  fly  ?   Old  CRM   •  YES  it  is  a  plane   BUT   •  Different   technology   •  Different  speed   •  Different  pilots   New  CRM   •  Different  teaching   •  Different  training  
  • 80. 80  
  • 81. Thank  you   Visit  us  at  :     hmp://bit.ly/dentsubali   hmp://www.f5digital.com   81  
  • 82. Company introduction ! "# $ % Dentsu Summit April 2011 ! "# $% F5DIGITAL Group introduction March 2011
  • 83. WE ARE F5DIGITAL GROUP ! "# $% F5DIGITAL Group introduction March 2011 83
  • 84. © F5DIGITAL "# $% ! Group 2010 – All rights F5DIGITAL Group introduction reserved March 2011
  • 85. Our solution : F5DIGITAL GROUP MARKETING & DIGITAL INNOVATION STRATEGY AUDIT CONSUMER MARKETING ENGAGEMENT EFFECTIVENESS, ROI ONE STOP FOR DIGITAL OPERATIONS and MAINTENANCE ! "# $% F5DIGITAL Group introduction March 2011 85
  • 86. F5DIGITAL Group §  ONE stop Holistic Approach §  3 dedicated companies §  DIGITAL INNOVATION MARKETING HUB §  Focus on - MARKETING EFFECTIVENESS §  Handle any DIGITAL activities as your partner §  HOW and WHY, not the what §  BUSINESS NEEDS Knowledge §  International MNCs expertise ! "# $% F5DIGITAL Group introduction March 2011 86
  • 87. We are consumer focused 2010 engagement paradigm consumer is the center of strategy consumer strategy is the center of the tactics strategy tactics innovation tactics is the center of the innovation © F5DIGITAL Consulting, 2010 Consumer Paradigm ! "# $% F5DIGITAL Group introduction March 2011
  • 88. DIGITAL INNOVATION MARKETING & STRATEGY AUDIT INSIDE OUTSIDE TRAINING / COACHING MARKETING CONSULTANTS CAMPAIGN GOVERNANCE CONCEPTS / BLUEPRINT §  Team of senior consultants §  F5DIGITAL concepts §  F5DIGITAL approach §  Deliverables based on men hour or brain time ! "# $% F5DIGITAL Group introduction March 2011 88
  • 89. Ways of working F5DIGITAL Methodologies Deliverables §  Integration global to local needs §  Digital Strategy (Social Media, §  Digital organization setup mobile, eShop, CRM, web, SEO, etc) §  Process on digital assets §  Digital Asset evaluation §  Methodologies for CRM §  Contact Strategy §  Coaching and training §  Consumer Relationship Management §  … Blueprint §  Social Media Cookbook F5DIGITAL Concepts §  Digital Relationship Management §  Facebook fans and Kids §  Impossible trilogy §  8DD §  Consumer engagement paradigm §  … ! "# $% F5DIGITAL Group introduction March 2011
  • 90. Concept examples Objective §  Explain the behavior of Social Media users, ie Facebook Concept : §  Treat them like kids Impact : §  Agency planning §  Brand engagement §  Calendar activities ! "# $% F5DIGITAL Group introduction March 2011 90
  • 91. Consulting deliverables extracts Personal Life relevant themes Integration of products profile page Project in all contents §  Touch point Invited friends competitive mapping Various subject Comprehensive related forums lifestyle information hub Extract: Registration is Link to online sales sites mandatory §  Visual one page summary Consumer feedback Integrated point system and ratings Complete branding of the program Positioning of products Free product within themes trials ! "# $% F5DIGITAL Group introduction March 2011 91
  • 92. Public appearance and recognition ! "# $% F5DIGITAL Group introduction March 2011