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Customer	
  centric	
  marke/ng	
  
Which	
  is	
  the	
  biggest	
  reason	
  for	
  
customers	
  leaving	
  you	
  ?	
  
Influenced	
  by	
  
friends	
  
Turned	
  away	
  by	
  
indifference	
  
A;racted	
  by	
  	
  
compe//on	
  
Indifference	
  is	
  everywhere	
  
•  The	
  bank	
  -­‐	
  >	
  only	
  when	
  they	
  want	
  something	
  
from	
  me	
  
•  The	
  u/lity	
  -­‐>	
  only	
  when	
  terms	
  change	
  
•  The	
  insurance	
  -­‐>	
  only	
  when	
  trying	
  to	
  up/
cross-­‐sell	
  me,	
  but	
  no	
  alert	
  on	
  policy	
  renewals	
  
•  The	
  airlines	
  -­‐>	
  useless	
  offers	
  every	
  week	
  
•  The	
  hotels	
  -­‐>	
  even	
  more	
  useless	
  offers	
  weekly	
  
	
  
Ask	
  yourself;	
  
how	
  many	
  posi<ve	
  
interac<ons	
  does	
  it	
  
take	
  to	
  change	
  a	
  
nega<ve	
  percep<on	
  
or	
  indifference?	
  
	
  
How	
  many	
  nega/ve	
  
interac/ons	
  to	
  
reverse	
  the	
  
percep/on?	
  
Measure	
  the	
  customer	
  experience	
  and	
  	
  
refer	
  individual	
  feedback	
  to	
  your	
  database	
  
-­‐  Ask	
  ques/ons	
  
-­‐  Store	
  
sa/sfac/on	
  
score	
  on	
  
individual	
  
customer	
  
-­‐  Use	
  in	
  
segmenta/on	
  
Top	
  Tip	
  
Dialogue	
  and	
  a	
  lots	
  of	
  interac?vity	
  	
  
Connect,	
  Tweet,	
  talk,	
  share	
  –	
  	
  
in	
  as	
  many	
  channels	
  as	
  you	
  care	
  
	
  
Michael	
  Leander	
  	
  
>	
  www.michaelleander.me	
  	
  
>	
  TwiAer:	
  @michaelleander	
  
	
  
My	
  secret	
  email	
  >	
  
michael@leander.me	
  	
  	
  
	
  
Twi;er	
  hashtag:	
  #MCCM	
  
Tomorrow’s	
  marke?ng	
  execu?ve	
  is	
  
challenged.	
  Seriously	
  challenged.	
  	
  
	
  
Crucial	
  to	
  business.	
  Yet	
  incapable	
  of	
  
mee?ng	
  expecta?ons.	
  There	
  is	
  too	
  
much	
  to	
  manage	
  and	
  not	
  enough	
  of	
  
anything	
  to	
  do	
  it	
  well.	
  	
  
How	
  big	
  is	
  the	
  challenge?	
  
5	
  
4	
  
1	
  
In	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  years,	
  50%	
  of	
  customers	
  leave	
  
In	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  years,	
  50%	
  of	
  employees	
  leave	
  
In	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  	
  year,	
  50%	
  of	
  investors	
  leave	
  
Source:	
  The	
  Loyalty	
  Effect,	
  Frederick	
  Reichheld	
  
CUSTOMER	
  BRAND	
  LOYALTY	
  
INTERNAL	
  BRAND	
  LOYALTY	
  
INVESTOR	
  BRAND	
  LOYALTY	
  
Meet	
  Good	
  ‘ol	
  AIDA	
  
A	
  =	
  AAen<on	
  (Awareness)	
  
I	
  =	
  Interest	
  
D	
  =	
  Desire	
  
A	
  =	
  Ac<on	
  
Meet	
  the	
  new	
  AIDA	
  
A	
  =	
  AAen<on	
  (Awareness)	
  
I	
  =	
  Interest	
  
D	
  =	
  Desire	
  
E	
  =	
  Engagement	
  	
  
A	
  =	
  Ac<on	
  
Engage	
  me	
  
Shares	
  &	
  
comments	
  
Meet	
  the	
  new	
  AIDA	
  
A	
  =	
  AAen<on	
  (Awareness)	
  
I	
  =	
  Interest	
  
D	
  =	
  Desire	
  
E	
  =	
  Engagement	
  	
  
A	
  =	
  Ac<on	
  
Shares	
  &	
  
comments	
  
Eyeballs	
  
Engage	
  
$	
  	
  
Engage	
  
Nurture	
  
Re-­‐
ac<vate	
  
Keeping	
  anyone’s	
  aAen<on	
  is	
  super	
  
difficult.	
  
	
  
You	
  need	
  to	
  “nudge”	
  consistently.	
  
And	
  some?mes	
  push	
  hard.	
  	
  
Ques/on	
  is	
  	
  
how	
  do	
  you	
  
remain	
  
interes/ng	
  to	
  
the	
  customer?	
  
-­‐  Frequency	
  
-­‐  Relevancy	
  
-­‐  Value	
  add	
   Days	
  since	
  last	
  purchase	
  
People	
  forget	
  easily	
  
Level	
  of	
  interest	
  declines	
  
rapidly.	
  With	
  no	
  communica<on	
  
even	
  more	
  and	
  quicker	
  
@shivsingh	
  hAp://goingsocialnow.com	
  
The	
  purpose	
  of	
  a	
  business	
  
is	
  to	
  create	
  a	
  customer	
  	
  
who	
  creates	
  customers	
  
Make	
  it	
  simple	
  for	
  customers	
  to	
  do	
  
what	
  they	
  want	
  to	
  do,	
  “wherever”,	
  
whenever	
  
SAS	
  SUCKS	
  
Member	
  for	
  	
  
19	
  years	
  
Wife,	
  au	
  pair	
  &	
  	
  
3	
  children	
  Transac/on	
  	
  
volume	
  in	
  excess	
  of	
  
€	
  250.000	
  	
  
Average	
  8	
  flights	
  
pr.	
  month	
  with	
  
Star	
  Alliance	
  
Super	
  connected	
  
Strong	
  voice	
  in	
  	
  
social	
  space	
  
Last	
  flight	
  10	
  days	
  ago	
  
Life/me:	
  Another	
  
25	
  years	
  
Food	
  for	
  thought	
  about	
  the	
  
customer	
  experience	
  
23	
  
•  70%	
  of	
  the	
  customers	
  buying	
  decision	
  are	
  based	
  on	
  how	
  
they	
  feel	
  they	
  are	
  being	
  treated	
  
•  69%	
  of	
  the	
  customers	
  say,	
  that	
  emo/ons	
  count	
  for	
  
more	
  than	
  half	
  of	
  the	
  total	
  buying	
  experience	
  
•  A	
  good	
  customer	
  experience	
  is	
  told	
  to	
  8	
  people	
  
•  A	
  bad	
  customer	
  experience	
  is	
  told	
  to	
  22	
  people	
  
•  It	
  takes	
  10	
  good	
  experiences	
  to	
  make	
  up	
  for	
  one	
  bad	
  
Retain	
  
Customers	
  
Target	
  
Marke/ng	
  	
  
Increase	
  Spend	
  
&	
  Frequency	
  
Build	
  Brand	
  
Loyalty	
  
Build	
  Customer	
  
Rela/onship	
  
Differen/ate	
  vs.	
  
Compe//on	
  
Acquire	
  New	
  
Customers	
  
Gain	
  Customer	
  
Insight	
  
Increase	
  Revenue	
  
The	
  (customer)	
  experience	
  maUers	
  
Buzz	
  words	
  don’t	
  	
  
Mission	
  isn’t	
  to	
  	
  
embrace	
  omnichannel	
  at	
  all	
  cost,	
  
but	
  to	
  enforce	
  a	
  greater	
  emphasis	
  on	
  
customer	
  centricity	
  –	
  and	
  –	
  	
  
find	
  ways	
  to	
  op<mize	
  marke<ng	
  spend	
  
Model	
  for	
  content,	
  customiza/on	
  
	
  and	
  personaliza/on	
  planning	
  
	
  
Can	
  your	
  visitors	
  FURDIC	
  ?	
  
	
  
– Find	
  
– Understand	
  
– Relate	
  
– Do	
  
– Interact	
  
– Complete	
  (transac<on)	
  
Can	
  your	
  audience	
  FURDIC	
  ?	
  	
  
– Find	
  >	
  what	
  are	
  they	
  looking	
  for	
  and	
  why?	
  
– Understand	
  >	
  what	
  do	
  they	
  need	
  to	
  understand	
  ?	
  
– Relate	
  >	
  what	
  might	
  they	
  relate	
  to?	
  
– Do	
  >	
  what	
  would	
  they	
  like	
  to	
  do?	
  	
  
– Interact	
  >	
  how	
  and	
  when	
  would	
  they	
  like	
  to	
  
interact	
  with	
  us?	
  	
  
– Complete	
  (transac<on)	
  >	
  what	
  would	
  they	
  want	
  
to	
  complete,	
  or	
  how	
  would	
  they	
  like	
  to	
  transact?	
  
25%	
  omnichannel	
  can	
  work	
  too	
  
The	
  considera<on	
  is	
  
Where	
  are	
  you	
  customers	
  and	
  what	
  do	
  they	
  use	
  each	
  channel	
  for?	
  
	
  
Where	
  do	
  you	
  need	
  to	
  be?	
  	
  
	
  
Will	
  each	
  channel	
  provide	
  the	
  ROI	
  you	
  require?	
  
	
  
Which	
  channels	
  are	
  merely	
  serving	
  as	
  support	
  to	
  other	
  channels?	
  
What	
  is	
  your	
  percep?on	
  about	
  	
  
your	
  current	
  aUribu?on?	
  	
  
Channel	
   %	
  spend	
   Rate	
  effec/veness	
  
1	
  =	
  low	
  5	
  =	
  max	
  
Solo	
  or	
  part	
  of	
  
cross-­‐channel?	
  
Email	
  marke<ng	
  
Online	
  adver<sing	
  
Offline	
  adver<sing	
  
Direct	
  mail	
  /	
  
printed	
  catalogues	
  
Social	
  media	
  
What	
  is	
  your	
  percep?on	
  about	
  	
  
your	
  current	
  aUribu?on?	
  	
  
Channel	
   %	
  spend	
   Rate	
  
effec/ve
ness	
  
1	
  =	
  low	
  5	
  
=	
  max	
  
Solo	
  or	
  part	
  
of	
  cross-­‐
channel?	
  
%	
  of	
  customers	
  
who	
  prefer	
  this	
  
channel?	
  
Sell,	
  
Educate,	
  
Nurture,	
  
Branding	
  
Email	
  
marke<ng	
  
Direct	
  mail	
  /	
  
printed	
  
catalogues	
  
Social	
  media	
  
Pueng	
  It	
  All	
  Together:	
  
•  An	
  average	
  of	
  19%	
  of	
  customers	
  respond	
  to	
  one	
  or	
  more	
  strategies	
  
•  The	
  overall	
  reten<on	
  rate	
  goes	
  up	
  by	
  19.3%	
  
•  Orders	
  per	
  year	
  and	
  average	
  order	
  size	
  also	
  increase	
  significantly	
  
•  These	
  numbers	
  are	
  illustra<ve.	
  You	
  can	
  create	
  your	
  own	
  numbers	
  using	
  
tests	
  and	
  controls	
  
% Sales or Percent % Change % Change % Change
Customers Customers in Orders/ Average
Strategy Affected Responding Retention Year Order
1 Phone Calls 10% 10.00% 1.00% 1.00% 1.00%
2 Personalized Letters 30% 5.00% 1.50% 1.50% 1.50%
3 Personalized Email 20% 5.00% 1.00% 2.00% 4.00%
4 Email Newsletters 20% 5.00% 1.00% 2.00% 4.00%
5 Gold Member Services 5% 40.00% 2.00% 1.00% 2.00%
6 Loyalty Program 40% 10.00% 4.00% 4.00% 4.00%
7 Birthday Club 20% 5.00% 1.00% 4.00% 5.00%
8 Shift to Multi Channel 20% 10.00% 2.00% 2.00% 2.00%
9 Next Best Product 80% 5.00% 4.00% 4.00% 4.00%
10 Segment Strategies 60% 3.00% 1.80% 1.80% 1.80%
All Customer Impact 30.5% 19.60% 19.30% 23.30% 29.30%
Breathe	
  media	
  agnos?c	
  
Remember!	
  Audience	
  media	
  preferences	
  differ	
  depending	
  on	
  purpose	
  
Mul?channel	
  
marketers	
  mul?ply	
  
ROMI	
  by	
  5,	
  10,	
  15	
  
Quality	
  over	
  quan?ty	
  –	
  
specific	
  audience	
  over	
  broadly	
  defined	
  	
  
Looking	
  
for	
  tall	
  
male	
  
followers	
  
with	
  dark	
  
hair,	
  
between	
  
25-­‐35.	
  	
  
Omnichannel	
  =	
  	
  
Delivering	
  a	
  truly	
  seamless	
  
experience	
  across	
  touch	
  
points,	
  channels	
  and	
  
devices	
  
What	
  your	
  customers	
  expect	
  
What	
  your	
  customers	
  experience	
  
Divorce	
  your	
  brand	
  from	
  
this	
  pathe?c	
  stat	
  
…	
  and	
  become	
  part	
  of	
  this	
  stat	
  
 
	
  
(c)	
  Michael	
  Leander	
  Nielsen,	
  
	
  
	
  
49	
  
Differen<ated	
  	
  
Communica<on	
  
shows	
  customer	
  
care	
  
 
OMNIPRESENCE	
  
MULTI-­‐CHANNEL	
  
be	
  where	
  your	
  profitable	
  
customers	
  and	
  likely	
  to	
  
become	
  profitable	
  
prospects	
  are	
  
What	
  is	
  the	
  simple	
  solu/on?	
  
Market	
  share	
  or	
  	
  
something	
  else?	
  
Share	
  of	
  
Heart	
  	
  	
  
	
  
How	
  do	
  you	
  
earn	
  it	
  ?	
  
How	
  would	
  you	
  earn	
  share	
  of	
  	
  
heart	
  and	
  how	
  to	
  measure	
  it?	
  
Earn	
  it	
   Measure	
  it	
  
Share	
  
of	
  
Wallet	
  	
  
How	
  do	
  you	
  measure	
  	
  
Share	
  of	
  Wallet?	
  
Share	
  of	
  
Influence	
  
How	
  do	
  you	
  find	
  	
  
	
  influencers	
  and	
  how	
  do	
  you	
  tag	
  them?	
  
Customer	
  centricity	
  means	
  focus	
  	
  
on	
  the	
  right	
  customers	
  	
  
Create	
  meaningful	
  customer	
  segments	
  	
  
-­‐	
  try	
  to	
  spot	
  the	
  unprofitable	
  customers	
  &	
  	
  
remember	
  One	
  Size	
  Doesn’t	
  Fit	
  All	
  
79.67%
24.82%
15.83%
1.52%
-21.83%
-­‐40.00%
-­‐20.00%
0.00%
20.00%
40.00%
60.00%
80.00%
5% 11% 28% 28% 28%
This 28% lost 22% of the
bank’s profits!
Bank Customers by Profitability
Whom	
  is	
  your	
  ideal	
  customer?	
  
•  List	
  characteris<cs	
  of	
  your	
  ideal	
  customer	
  
based	
  on	
  the	
  customers	
  you	
  have	
  
•  Do	
  Twin	
  segmenta<on	
  to	
  iden<fy	
  prospects	
  
Share	
  of	
  Voice	
  
Own	
  The	
  
Experience	
  
from	
  A	
  to	
  Z	
  
THE	
  
CUSTOMER	
  
Experience	
  
OMNICHANNEL	
  
RELEVANCE	
   EMPOWERMENT	
  
Innova<on	
  
reflec<ng	
  the	
  
<mes	
  we	
  are	
  
living	
  in	
  
The	
  
balancing	
  
act	
  
Give	
  everybody	
  all	
  they	
  want	
  or	
  	
  
give	
  the	
  ones	
  that	
  maAer	
  all	
  they	
  want	
  
or	
  
give	
  the	
  ones	
  that	
  maAer	
  what	
  is	
  
possible	
  and	
  reasonable	
  	
  
	
  
The	
  value	
  of	
  the	
  
(customer)	
  
experience	
  is	
  more	
  
important	
  
than	
  the	
  channel	
  mix	
  
Create	
  a	
  customer	
  vision/strategy	
  
Customer	
  
Knowledge	
  
Customer	
  
Value	
  
Customer	
  
Expecta<on	
  
Balanced	
  
effort	
  
Integra<on	
  
Customer	
  
Experience	
  
Customer	
  Experience	
  
How	
  do	
  we	
  ensure	
  that	
  customers	
  get	
  the	
  
same	
  experience	
  across	
  all	
  touch	
  points?	
  
On	
  which	
  level	
  must	
  the	
  experience	
  be	
  
consistent	
  across	
  all	
  channels?	
  
Integra<on	
  
How	
  do	
  we	
  share	
  knowledge	
  of	
  our	
  
customers?	
  
How	
  do	
  we	
  plan	
  and	
  implement	
  
customer	
  ac<vi<es	
  across	
  the	
  
company?	
  
How	
  close	
  do	
  we	
  want	
  to	
  	
  
integrate	
  ourselves	
  with	
  	
  
customers	
  and	
  partners?	
  
Balanced	
  effort	
  
How	
  do	
  we	
  balance	
  our	
  efforts	
  in	
  rela<on	
  to	
  the	
  	
  
customers	
  value?	
  
What	
  effect	
  does	
  that	
  have	
  in	
  our	
  ac<vi<es?	
  How	
  far	
  	
  
will	
  we	
  go?	
  
How	
  do	
  we	
  focus	
  on	
  loyalty,	
  reten<on	
  and	
  cross	
  sales?	
  
Customer	
  Expecta<ons	
  
When	
  are	
  the	
  customer	
  in	
  touch	
  with	
  us	
  and	
  why?	
  
Which	
  expecta<ons	
  do	
  they	
  have	
  and	
  how	
  do	
  we	
  live	
  
up	
  to	
  them?	
  
How	
  do	
  we	
  communicate	
  with	
  the	
  customers?	
  
What	
  impact	
  does	
  customer	
  sa<sfac<on	
  have	
  on	
  
revenue	
  and	
  profit?	
  
Customer	
  Value	
  
Which	
  customers	
  have	
  which	
  value?	
  
How	
  do	
  we	
  measure	
  it?	
  
Which	
  customers	
  will	
  we	
  aAract,	
  retain	
  
or	
  develop?	
  
Which	
  service	
  will	
  we	
  provide	
  the	
  
defined	
  segments?	
  
Knowledge	
  of	
  Customers	
  
How	
  do	
  we	
  collect	
  knowledge	
  of	
  our	
  customers	
  
In	
  which	
  touch	
  points?	
  
How	
  do	
  we	
  use	
  this	
  knowledge?	
  
How	
  can	
  we	
  enrich	
  and	
  increase	
  our	
  own	
  knowledge	
  
Map	
  the	
  customer	
  journey	
  
Personalize	
  and/or	
  customize	
  
the	
  experience	
  push/pull	
  
The	
  right	
  message	
  
to	
  the	
  right	
  person	
  
at	
  the	
  right	
  /me	
  
using	
  the	
  most	
  effec/ve	
  channel	
  
Quick	
  win	
  in	
  Portugal:	
  
Email	
  marke/ng	
  and	
  then	
  
expand	
  to	
  marke/ng	
  
automa/on	
  
Master	
  personaliza?on	
  and	
  right	
  
message	
  to	
  right	
  person	
  
Marke?ng	
  automa?on	
  drives	
  ROI	
  
•  Marke/ng	
  
automa/on	
  
drives	
  a	
  14.5	
  %	
  
increase	
  in	
  sales	
  
produc/vity	
  
•  and	
  a	
  12.2	
  %	
  
reduc<on	
  in	
  
marke<ng	
  
overhead	
  
Even	
  simple	
  
marke<ng	
  
automa<on	
  
based	
  on	
  
behavior	
  will	
  
increase	
  
marke<ng	
  
ROI	
  
	
  
	
  
	
  
	
  
	
  
77	
  
Simple	
  marke?ng	
  automa?on	
  	
  
Day	
  1	
   Day	
  3	
  
Customer	
  lifecycle	
  marke?ng	
  automa?on	
  
Differen?ated	
  approach	
  addresses	
  different	
  needs	
  
1
Pre Sale
2
Sale
3 Past Sale
Pre Departure
4
Departure
5 Arrival 1.
destination
6 Travel &
experience
7 Comming
home
8 Evaluation
& Reliving
9 Next
Pre Sale
Profiling	
  and	
  knowledge	
  of	
  where	
  the	
  customer	
  is	
  in	
  the	
  ”wheel”	
  	
  
opens	
  up	
  for	
  a	
  coordinated	
  and	
  relevant	
  dialogue	
  before,	
  
	
  during	
  and	
  aler	
  the	
  ini?al	
  sales	
  transac?on	
  
Transac<onal	
  
Behavioral	
  
Targeted	
  
	
  
	
  
	
  
Example	
  
Travel	
  
SMS/Email	
  
Insurance	
  
Car	
  rental	
  
Excursions	
  
Car	
  rental	
  
Recommend	
  
to	
  friends	
  
A	
  few	
  examples	
  
Customer	
  
Engagement	
  
1:1	
  personalisa<on	
  
Offers	
  and	
  campaigns	
  –
personalisa<on	
  
Various	
  methods	
  to	
  ease	
  
booking	
  –	
  new	
  op<mized	
  
booking	
  engine	
  
Personalised	
  offers	
  based	
  
on	
  past	
  travel	
  and	
  
booking	
  history	
  etc.	
  Real	
  
<me	
  pricing	
  
Various	
  personalised	
  
offers	
  mainly	
  aAemp<ng	
  
to	
  upsell	
  to	
  passengers	
  
depending	
  on	
  P-­‐type	
  
Integra<on	
  with	
  ECM	
  and	
  
Campaign	
  automa<on	
  for	
  
personalized	
  email	
  
conversa<ons	
  
Adver/sing	
  on	
  	
  
Facebook	
  based	
  on	
  
behavior	
  on	
  
hotels.com	
  
Great	
  email	
  engagement,	
  but	
  ..	
  
Same	
  email	
  address,	
  two	
  	
  
different	
  senders	
  –	
  received	
  at	
  the	
  
same	
  ?me	
  
….	
  And	
  should	
  we	
  men?on	
  that	
  hotels.com	
  perceives	
  	
  
their	
  customers	
  to	
  be	
  fools	
  !	
  	
  	
  
A	
  few	
  pointers	
  on	
  what	
  
your	
  next	
  steps	
  could	
  be	
  
Profiling	
  
segment	
  
Understand	
  your	
  customers	
  and	
  learn	
  
about	
  their	
  behavior	
  
Unsilo	
  your	
  customer	
  data	
  
Silos	
  	
  
Make	
  
You	
   Suck	
  
Move	
  from	
  sender	
  to	
  	
  
	
  recipient	
  control	
  
How	
  to	
  work	
  with	
  profiling	
  (B2B	
  example)	
  
BANT	
  =	
  Budget,	
  Authority,	
  Need,	
  Timeline	
  
Remember:	
  No	
  profiling	
  results	
  in	
  very	
  poor	
  segmenta?on	
  
Predict	
  customers	
  immediate	
  needs,	
  
future	
  needs,	
  quality	
  of	
  past	
  experiences	
  
• 	
  The	
  buying	
  center	
  DIO:	
  decide,	
  influence,	
  obstruct	
  
• 	
  Map	
  customer	
  sa<sfac<on	
  and	
  leverage	
  RFM	
  &	
  	
  
loyalty	
  scoring	
  in	
  your	
  communica<on	
  
• 	
  Know	
  where	
  the	
  fric<on	
  is,	
  know	
  where/when	
  new	
  opportuni<es	
  arise	
  
Refine	
  customer	
  profiles	
  and	
  invest	
  
smartly	
  in	
  building	
  the	
  best	
  database	
  
•  A	
  good	
  database	
  will	
  
increase	
  your	
  
compe<<ve	
  advantage	
  
•  Permission	
  marke<ng	
  
implementa<on	
  is	
  a	
  
must	
  
•  Con/nuously	
  
appending	
  knowledge	
  
to	
  your	
  customer	
  
profiles	
  sets	
  winners	
  
apart	
  from	
  losers	
  	
  
•  Relevancy,	
  <ming,	
  
precision	
  targe<ng	
  
What	
  is	
  essen?al	
  for	
  you	
  to	
  know	
  
about	
  your	
  target	
  audience?	
  
	
  
	
  
93	
  
Antudinal	
  data	
  
-­‐ 	
  Opinions	
  	
  
-­‐ 	
  Preferences	
  
-­‐ 	
  Needs	
  
-­‐ 	
  Desires	
  
Interac/on	
  data	
  
-­‐	
  Offer/order	
  
-­‐ 	
  Click	
  behavior	
  online	
  
-­‐ 	
  Response	
  behavior	
  
-­‐ 	
  Referral	
  behavior	
  
Historic	
  data	
  
• 	
  Orders	
  
• 	
  Transac<ons	
  
• 	
  Usage	
  history	
  
• 	
  Payment	
  history	
  Orders	
  
Personal	
  data	
  
• 	
  AAributes	
  
• 	
  Characteris<cs	
  
• 	
  Misc.	
  info	
  
• 	
  (Geo)demographics	
  
Match	
  content	
  and	
  offers	
  to	
  stages	
  –	
  
use	
  persona’s	
  if	
  relevant	
  to	
  your	
  situa?on	
  
Prerequisites	
  
>	
  Profile	
  insights	
  
>	
  Content	
  to	
  match	
  
>	
  Good	
  database	
  &	
  
marke<ng	
  execu<on	
  
system	
  
>	
  A	
  clear	
  objec<ve	
  
driven	
  plan	
  on	
  what	
  
you	
  want	
  to	
  
accomplish	
  
Understand	
  buyer	
  journey	
  
	
  
Track,	
  log	
  and	
  use	
  behavior	
  proac<vely	
  
	
  
Bring	
  transac<onal	
  (€	
  data)	
  into	
  play	
  
	
  
Master	
  one	
  channel	
  at	
  a	
  <me	
  
	
  
Be	
  open	
  to	
  all	
  channels,	
  ROMI	
  should	
  be	
  a	
  
decisive	
  factor,	
  not	
  channel-­‐fashion	
  
It	
  ain’t	
  over	
  
un/l	
  it	
  is	
  
over	
  
Michael@leander.me	
  

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Customer centricity marketing masterclass in Lisbon

  • 2.
  • 3. Which  is  the  biggest  reason  for   customers  leaving  you  ?   Influenced  by   friends   Turned  away  by   indifference   A;racted  by     compe//on  
  • 4.
  • 5. Indifference  is  everywhere   •  The  bank  -­‐  >  only  when  they  want  something   from  me   •  The  u/lity  -­‐>  only  when  terms  change   •  The  insurance  -­‐>  only  when  trying  to  up/ cross-­‐sell  me,  but  no  alert  on  policy  renewals   •  The  airlines  -­‐>  useless  offers  every  week   •  The  hotels  -­‐>  even  more  useless  offers  weekly    
  • 6. Ask  yourself;   how  many  posi<ve   interac<ons  does  it   take  to  change  a   nega<ve  percep<on   or  indifference?     How  many  nega/ve   interac/ons  to   reverse  the   percep/on?  
  • 7.
  • 8. Measure  the  customer  experience  and     refer  individual  feedback  to  your  database   -­‐  Ask  ques/ons   -­‐  Store   sa/sfac/on   score  on   individual   customer   -­‐  Use  in   segmenta/on   Top  Tip  
  • 9. Dialogue  and  a  lots  of  interac?vity    
  • 10. Connect,  Tweet,  talk,  share  –     in  as  many  channels  as  you  care     Michael  Leander     >  www.michaelleander.me     >  TwiAer:  @michaelleander     My  secret  email  >   michael@leander.me         Twi;er  hashtag:  #MCCM  
  • 11. Tomorrow’s  marke?ng  execu?ve  is   challenged.  Seriously  challenged.       Crucial  to  business.  Yet  incapable  of   mee?ng  expecta?ons.  There  is  too   much  to  manage  and  not  enough  of   anything  to  do  it  well.    
  • 12. How  big  is  the  challenge?   5   4   1   In                                                    years,  50%  of  customers  leave   In                                                    years,  50%  of  employees  leave   In                                                    year,  50%  of  investors  leave   Source:  The  Loyalty  Effect,  Frederick  Reichheld   CUSTOMER  BRAND  LOYALTY   INTERNAL  BRAND  LOYALTY   INVESTOR  BRAND  LOYALTY  
  • 13. Meet  Good  ‘ol  AIDA   A  =  AAen<on  (Awareness)   I  =  Interest   D  =  Desire   A  =  Ac<on  
  • 14. Meet  the  new  AIDA   A  =  AAen<on  (Awareness)   I  =  Interest   D  =  Desire   E  =  Engagement     A  =  Ac<on   Engage  me   Shares  &   comments  
  • 15. Meet  the  new  AIDA   A  =  AAen<on  (Awareness)   I  =  Interest   D  =  Desire   E  =  Engagement     A  =  Ac<on   Shares  &   comments   Eyeballs   Engage   $     Engage   Nurture   Re-­‐ ac<vate  
  • 16.
  • 17. Keeping  anyone’s  aAen<on  is  super   difficult.     You  need  to  “nudge”  consistently.   And  some?mes  push  hard.    
  • 18. Ques/on  is     how  do  you   remain   interes/ng  to   the  customer?   -­‐  Frequency   -­‐  Relevancy   -­‐  Value  add   Days  since  last  purchase   People  forget  easily   Level  of  interest  declines   rapidly.  With  no  communica<on   even  more  and  quicker  
  • 19. @shivsingh  hAp://goingsocialnow.com   The  purpose  of  a  business   is  to  create  a  customer     who  creates  customers  
  • 20.
  • 21. Make  it  simple  for  customers  to  do   what  they  want  to  do,  “wherever”,   whenever   SAS  SUCKS   Member  for     19  years   Wife,  au  pair  &     3  children  Transac/on     volume  in  excess  of   €  250.000     Average  8  flights   pr.  month  with   Star  Alliance   Super  connected   Strong  voice  in     social  space   Last  flight  10  days  ago   Life/me:  Another   25  years  
  • 22.
  • 23. Food  for  thought  about  the   customer  experience   23   •  70%  of  the  customers  buying  decision  are  based  on  how   they  feel  they  are  being  treated   •  69%  of  the  customers  say,  that  emo/ons  count  for   more  than  half  of  the  total  buying  experience   •  A  good  customer  experience  is  told  to  8  people   •  A  bad  customer  experience  is  told  to  22  people   •  It  takes  10  good  experiences  to  make  up  for  one  bad  
  • 24. Retain   Customers   Target   Marke/ng     Increase  Spend   &  Frequency   Build  Brand   Loyalty   Build  Customer   Rela/onship   Differen/ate  vs.   Compe//on   Acquire  New   Customers   Gain  Customer   Insight   Increase  Revenue  
  • 25. The  (customer)  experience  maUers   Buzz  words  don’t    
  • 26.
  • 27.
  • 28.
  • 29. Mission  isn’t  to     embrace  omnichannel  at  all  cost,   but  to  enforce  a  greater  emphasis  on   customer  centricity  –  and  –     find  ways  to  op<mize  marke<ng  spend  
  • 30.
  • 31.
  • 32.
  • 33. Model  for  content,  customiza/on    and  personaliza/on  planning    
  • 34. Can  your  visitors  FURDIC  ?     – Find   – Understand   – Relate   – Do   – Interact   – Complete  (transac<on)  
  • 35. Can  your  audience  FURDIC  ?     – Find  >  what  are  they  looking  for  and  why?   – Understand  >  what  do  they  need  to  understand  ?   – Relate  >  what  might  they  relate  to?   – Do  >  what  would  they  like  to  do?     – Interact  >  how  and  when  would  they  like  to   interact  with  us?     – Complete  (transac<on)  >  what  would  they  want   to  complete,  or  how  would  they  like  to  transact?  
  • 36. 25%  omnichannel  can  work  too  
  • 37. The  considera<on  is   Where  are  you  customers  and  what  do  they  use  each  channel  for?     Where  do  you  need  to  be?       Will  each  channel  provide  the  ROI  you  require?     Which  channels  are  merely  serving  as  support  to  other  channels?  
  • 38. What  is  your  percep?on  about     your  current  aUribu?on?     Channel   %  spend   Rate  effec/veness   1  =  low  5  =  max   Solo  or  part  of   cross-­‐channel?   Email  marke<ng   Online  adver<sing   Offline  adver<sing   Direct  mail  /   printed  catalogues   Social  media  
  • 39. What  is  your  percep?on  about     your  current  aUribu?on?     Channel   %  spend   Rate   effec/ve ness   1  =  low  5   =  max   Solo  or  part   of  cross-­‐ channel?   %  of  customers   who  prefer  this   channel?   Sell,   Educate,   Nurture,   Branding   Email   marke<ng   Direct  mail  /   printed   catalogues   Social  media  
  • 40. Pueng  It  All  Together:   •  An  average  of  19%  of  customers  respond  to  one  or  more  strategies   •  The  overall  reten<on  rate  goes  up  by  19.3%   •  Orders  per  year  and  average  order  size  also  increase  significantly   •  These  numbers  are  illustra<ve.  You  can  create  your  own  numbers  using   tests  and  controls   % Sales or Percent % Change % Change % Change Customers Customers in Orders/ Average Strategy Affected Responding Retention Year Order 1 Phone Calls 10% 10.00% 1.00% 1.00% 1.00% 2 Personalized Letters 30% 5.00% 1.50% 1.50% 1.50% 3 Personalized Email 20% 5.00% 1.00% 2.00% 4.00% 4 Email Newsletters 20% 5.00% 1.00% 2.00% 4.00% 5 Gold Member Services 5% 40.00% 2.00% 1.00% 2.00% 6 Loyalty Program 40% 10.00% 4.00% 4.00% 4.00% 7 Birthday Club 20% 5.00% 1.00% 4.00% 5.00% 8 Shift to Multi Channel 20% 10.00% 2.00% 2.00% 2.00% 9 Next Best Product 80% 5.00% 4.00% 4.00% 4.00% 10 Segment Strategies 60% 3.00% 1.80% 1.80% 1.80% All Customer Impact 30.5% 19.60% 19.30% 23.30% 29.30%
  • 41. Breathe  media  agnos?c   Remember!  Audience  media  preferences  differ  depending  on  purpose  
  • 42. Mul?channel   marketers  mul?ply   ROMI  by  5,  10,  15  
  • 43. Quality  over  quan?ty  –   specific  audience  over  broadly  defined     Looking   for  tall   male   followers   with  dark   hair,   between   25-­‐35.    
  • 44. Omnichannel  =     Delivering  a  truly  seamless   experience  across  touch   points,  channels  and   devices  
  • 45. What  your  customers  expect  
  • 46. What  your  customers  experience  
  • 47. Divorce  your  brand  from   this  pathe?c  stat  
  • 48. …  and  become  part  of  this  stat  
  • 49.     (c)  Michael  Leander  Nielsen,       49   Differen<ated     Communica<on   shows  customer   care  
  • 50.   OMNIPRESENCE   MULTI-­‐CHANNEL   be  where  your  profitable   customers  and  likely  to   become  profitable   prospects  are  
  • 51. What  is  the  simple  solu/on?  
  • 52. Market  share  or     something  else?  
  • 53. Share  of   Heart         How  do  you   earn  it  ?  
  • 54. How  would  you  earn  share  of     heart  and  how  to  measure  it?   Earn  it   Measure  it  
  • 56. How  do  you  measure     Share  of  Wallet?  
  • 58. How  do  you  find      influencers  and  how  do  you  tag  them?  
  • 59. Customer  centricity  means  focus     on  the  right  customers    
  • 60.
  • 61. Create  meaningful  customer  segments     -­‐  try  to  spot  the  unprofitable  customers  &     remember  One  Size  Doesn’t  Fit  All   79.67% 24.82% 15.83% 1.52% -21.83% -­‐40.00% -­‐20.00% 0.00% 20.00% 40.00% 60.00% 80.00% 5% 11% 28% 28% 28% This 28% lost 22% of the bank’s profits! Bank Customers by Profitability
  • 62.
  • 63. Whom  is  your  ideal  customer?   •  List  characteris<cs  of  your  ideal  customer   based  on  the  customers  you  have   •  Do  Twin  segmenta<on  to  iden<fy  prospects  
  • 65. Own  The   Experience   from  A  to  Z  
  • 66.
  • 67. THE   CUSTOMER   Experience   OMNICHANNEL   RELEVANCE   EMPOWERMENT   Innova<on   reflec<ng  the   <mes  we  are   living  in  
  • 69. Give  everybody  all  they  want  or     give  the  ones  that  maAer  all  they  want   or   give  the  ones  that  maAer  what  is   possible  and  reasonable      
  • 70. The  value  of  the   (customer)   experience  is  more   important   than  the  channel  mix  
  • 71. Create  a  customer  vision/strategy   Customer   Knowledge   Customer   Value   Customer   Expecta<on   Balanced   effort   Integra<on   Customer   Experience   Customer  Experience   How  do  we  ensure  that  customers  get  the   same  experience  across  all  touch  points?   On  which  level  must  the  experience  be   consistent  across  all  channels?   Integra<on   How  do  we  share  knowledge  of  our   customers?   How  do  we  plan  and  implement   customer  ac<vi<es  across  the   company?   How  close  do  we  want  to     integrate  ourselves  with     customers  and  partners?   Balanced  effort   How  do  we  balance  our  efforts  in  rela<on  to  the     customers  value?   What  effect  does  that  have  in  our  ac<vi<es?  How  far     will  we  go?   How  do  we  focus  on  loyalty,  reten<on  and  cross  sales?   Customer  Expecta<ons   When  are  the  customer  in  touch  with  us  and  why?   Which  expecta<ons  do  they  have  and  how  do  we  live   up  to  them?   How  do  we  communicate  with  the  customers?   What  impact  does  customer  sa<sfac<on  have  on   revenue  and  profit?   Customer  Value   Which  customers  have  which  value?   How  do  we  measure  it?   Which  customers  will  we  aAract,  retain   or  develop?   Which  service  will  we  provide  the   defined  segments?   Knowledge  of  Customers   How  do  we  collect  knowledge  of  our  customers   In  which  touch  points?   How  do  we  use  this  knowledge?   How  can  we  enrich  and  increase  our  own  knowledge  
  • 72. Map  the  customer  journey  
  • 73. Personalize  and/or  customize   the  experience  push/pull  
  • 74. The  right  message   to  the  right  person   at  the  right  /me   using  the  most  effec/ve  channel  
  • 75. Quick  win  in  Portugal:   Email  marke/ng  and  then   expand  to  marke/ng   automa/on   Master  personaliza?on  and  right   message  to  right  person  
  • 76. Marke?ng  automa?on  drives  ROI   •  Marke/ng   automa/on   drives  a  14.5  %   increase  in  sales   produc/vity   •  and  a  12.2  %   reduc<on  in   marke<ng   overhead  
  • 77. Even  simple   marke<ng   automa<on   based  on   behavior  will   increase   marke<ng   ROI             77  
  • 78. Simple  marke?ng  automa?on     Day  1   Day  3  
  • 79. Customer  lifecycle  marke?ng  automa?on   Differen?ated  approach  addresses  different  needs   1 Pre Sale 2 Sale 3 Past Sale Pre Departure 4 Departure 5 Arrival 1. destination 6 Travel & experience 7 Comming home 8 Evaluation & Reliving 9 Next Pre Sale Profiling  and  knowledge  of  where  the  customer  is  in  the  ”wheel”     opens  up  for  a  coordinated  and  relevant  dialogue  before,    during  and  aler  the  ini?al  sales  transac?on   Transac<onal   Behavioral   Targeted         Example   Travel   SMS/Email   Insurance   Car  rental   Excursions   Car  rental   Recommend   to  friends  
  • 81. Customer   Engagement   1:1  personalisa<on   Offers  and  campaigns  – personalisa<on   Various  methods  to  ease   booking  –  new  op<mized   booking  engine   Personalised  offers  based   on  past  travel  and   booking  history  etc.  Real   <me  pricing   Various  personalised   offers  mainly  aAemp<ng   to  upsell  to  passengers   depending  on  P-­‐type   Integra<on  with  ECM  and   Campaign  automa<on  for   personalized  email   conversa<ons  
  • 82. Adver/sing  on     Facebook  based  on   behavior  on   hotels.com  
  • 84. Same  email  address,  two     different  senders  –  received  at  the   same  ?me   ….  And  should  we  men?on  that  hotels.com  perceives     their  customers  to  be  fools  !      
  • 85. A  few  pointers  on  what   your  next  steps  could  be  
  • 87. Understand  your  customers  and  learn   about  their  behavior  
  • 88. Unsilo  your  customer  data   Silos     Make   You   Suck  
  • 89. Move  from  sender  to      recipient  control  
  • 90. How  to  work  with  profiling  (B2B  example)   BANT  =  Budget,  Authority,  Need,  Timeline   Remember:  No  profiling  results  in  very  poor  segmenta?on  
  • 91. Predict  customers  immediate  needs,   future  needs,  quality  of  past  experiences   •   The  buying  center  DIO:  decide,  influence,  obstruct   •   Map  customer  sa<sfac<on  and  leverage  RFM  &     loyalty  scoring  in  your  communica<on   •   Know  where  the  fric<on  is,  know  where/when  new  opportuni<es  arise  
  • 92. Refine  customer  profiles  and  invest   smartly  in  building  the  best  database   •  A  good  database  will   increase  your   compe<<ve  advantage   •  Permission  marke<ng   implementa<on  is  a   must   •  Con/nuously   appending  knowledge   to  your  customer   profiles  sets  winners   apart  from  losers     •  Relevancy,  <ming,   precision  targe<ng  
  • 93. What  is  essen?al  for  you  to  know   about  your  target  audience?       93   Antudinal  data   -­‐   Opinions     -­‐   Preferences   -­‐   Needs   -­‐   Desires   Interac/on  data   -­‐  Offer/order   -­‐   Click  behavior  online   -­‐   Response  behavior   -­‐   Referral  behavior   Historic  data   •   Orders   •   Transac<ons   •   Usage  history   •   Payment  history  Orders   Personal  data   •   AAributes   •   Characteris<cs   •   Misc.  info   •   (Geo)demographics  
  • 94. Match  content  and  offers  to  stages  –   use  persona’s  if  relevant  to  your  situa?on   Prerequisites   >  Profile  insights   >  Content  to  match   >  Good  database  &   marke<ng  execu<on   system   >  A  clear  objec<ve   driven  plan  on  what   you  want  to   accomplish  
  • 95. Understand  buyer  journey     Track,  log  and  use  behavior  proac<vely     Bring  transac<onal  (€  data)  into  play     Master  one  channel  at  a  <me     Be  open  to  all  channels,  ROMI  should  be  a   decisive  factor,  not  channel-­‐fashion  
  • 96. It  ain’t  over   un/l  it  is   over   Michael@leander.me