2. strategic thrusts
Gain First Mover Advantage
first pan-India CDIT multi-brand retailer
Establish distinct brand identity
focused brand build
Differentiated Value Proposition
Assortment Width & Depth
consumers seek choice.
Best Value / Price
consumers are value conscious & seek best deals
Service
consumers seek convenience. single
Reliance Retail
2
3. CRM Vision
Create superior customer value through CRM
to deliver high customer satisfaction & enable higher customer lifetime value
satisfied customers for life
Reliance Retail
3
4. CRM End Goal
more customers to buy more of our products, more often, more profitably over time with respect to our competitors
Reliance Retail
4
6. CRM Marketing Strategy Fit
Pre-Purchase
Out-of-Store
Pre-Purchase
In-Store
Purchase
In-Store
Post
Purchase
Marketing Promotions Programs
Customer Experience Programs
CRM Program
Interest-Group Prog.
awareness
& familiarity
Reliance Retail
consideration
& first visit to store
selection
& first purchase
usage
& learning's
preference
& recommends
6
7. at store level > at city level > state level > national level
Reliance Retail
7
8. CRM Strategic Thrusts
Early Redemption
Frequent Redemptions
Ride the RR Rewards Club
Exciting Rewards
Simple
to comprehend the program
Multi-tiered loyalty program
Reliance Retail
Convenient
Assurance
to accumulate points
on claiming the reward
greater levels of expenditure,
earn proportionately greater rewards
(convex reward structure)
8
10. CRM Rewards Program Introduced
Excitement Quotient
Early Redemption
Ride the RR Rewards Club
Frequent Redemptions
Exciting Rewards
Simple
to comprehend the program
Multi-tiered loyalty program
Reliance Retail
Convenient
to accumulate points
Assurance
on claiming the reward
greater levels of expenditure,
earn proportionately greater rewards
(convex reward structure)
10
13. CRM Relationship Indices Rationale
Customer Relationship Index
Recency
Longevity
Frequency
Value
Profitability
Reliance Retail
The more recently the customer transacts (last purchase),
signals positive disposition towards RR
The more longer the customer franchises (period between
last purchase - first purchase), signals commitment to RR
The more no of purchase visits customer makes between the
last & first purchase point), signals expectation from RR,
of need-range fulfillment (depend on RR)
The more customer transacts (all purchase),
signals conviction on value proposition
13
14. CRM “Customer Relationship Index”
valuing intangible
tangible
Recency
Longevity
Frequency
Profitability
Last
Purchase
First
Purchase
No of
Purchase Visits
Cumulative
Purchase Value
Month 2
Month 8
4months back
8
10months back 10
past12 months 12
past12 months 12
0.67
0.83
between first & last purchase points
?( + feedbacks)
no of purchase visits 1
once in 2months
6
0.17
0.67 +0.83+0.17=1.67 x100= 167 / 300 = CRI = 56%
Reliance Retail
7000 + 12000.+ 1000
20,000
14
19. High CVI
CRM Segment Propositions
Penguins
Believers
True Believers
Strangers
Low CRI
Friends
Acquaintance
Mid - CRI
24months+, Min 3 Purchase Occasions
CVI 5,000+
12months+. Min 2 Purchase Occasions
Butterflies
Low CVI
Customer Worth Index
Mid CVI
CVI 10,000+
True Friends
Acquaintance
High CRI
Customer Relation Index
Reliance Retail
19
20. CRM Consumer Profile
Willingness to spend on technology
affluency
right fit
right fit (tech)
no irritants in exp
right tech
latest tech
right exp
will stretch to pay
value-cons on tech
Right exp
best tech
latest tech
best exp seekers
will pay high premiums
right fit (tech)
good exp
will pay if believes fit
Base level tech (functional), no irritants in exp
Attitude/ Involvement towards technology/ home-electronics
Reliance Retail
Buzz, Berry, Ray, Jill
20
21. CRM Direct Mail Triggers
Home Delivery
Installation
Home Demo
Replace
Repair
Service
Exchange
Complaint
Resolve
Purchase
Customized
Offers & Events
Purchase
Intent
Home Solution
Product Catalog
Offers
Home mapping
Getting-to-Know
Cross-Sell
Service Solutions
Feedback
Reliance Retail
New
Launches
Apology
Satisfaction Feedback
Offers
Special
Occasion
Win-back
Satisfaction
Feedback
Wish Cards
Offers
21
22. CRM Reward Points : Earn Rationale
Option 1
for every
you get
worth
Rs100 = 1 = 1
point
rupee
you get
spend
worth
Option 2
for every
Recommended
Rs100 = 1 = X
point
spend
Option 3
for varying
spend
Reliance Retail
you get
X
rupee
worth
=1 = X
point
rupee
22
23. CRM DB Communication Agency
Lufthansa, Microsoft, Vodafone
1
Shopper Stop, Trent, Westside
Colgate, J&J, HLL, P&G
Philips, Kodak, Polaroid
2
?
3
Capabilities
25%
Reliance Retail
Approach
25%
Creative
20%
Team
15%
Cost
10%
Client & Work
5%
23
26. CRM MySAPCRM
Supports customer-related processes from end to end
- all customer-related tasks across departments integrating invoicing, shipping, etc.
Provides customer intelligence across the enterprise
- customer data for faster and better decision making
Delivers immediate value
- Enables you to address strategic priorities
Reliance Retail
26
28. CRM MySAPCRM
do we need : enterprise portal ?
do we need : telephony & email ?
scope, benefits, time, cost
do we need : handheld ?
do we need : internet capability
Reliance Retail
28
29. CRM MySAPCRM
what do we need : at the least ?
back-end
SAP Netweaver Platform
- AB ABAP
- AS Java
Reliance Retail
front-end
SAP GUI for Windows 6.40
Compilation 4 (with BI)
29
