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Social CRM – Presentation IMME
Theo Slaats – Partner CRM Deloitte




                                     © 2010 Deloitte Consulting BV – All rights reserved
Contents

Social CRM

Social vs. traditional CRM

Cases

Key Take-Aways

Contact information




2                            © 2010 Deloitte Consulting BV – All rights reserved
Social CRM
Power of Social Media




4                       © 2010 Deloitte Consulting BV – All rights reserved
Impact of Social Media

Domino’s Pizza gained a lot of media attention when a couple of employees posted
a video of them making pizza




5                                                          © 2010 Deloitte Consulting BV – All rights reserved
Impact of Social Media




    http://www.molblog.nl/bericht/twitter-nekt-actie-laagsteprijsgarantie-albert-heijn/
6                                                                                         © 2010 Deloitte Consulting BV – All rights reserved
What is the social customer doing?


                                           Uses new
                                            online
                                         channels and
                                              new
                                        communication
                                             tools             Trusts in
                 Seeks support                              advices made
                  to connect                                  by online
                   with like-                                  friends,
                 minded peers                               acquaintances
                                                            and strangers



                                       The new
              Reads and
                creates
                                        Social
                product                Customer                   Tends to buy
               reviews,                                           more online
                product                                            than offline
             rankings and
              blog posts

                                                     Wants to
                            Expects better            provide
                              customer               feedback
                             experience              about the
                             online and             product and
                               offline               customer
                                                      service

7                                                                                 © 2010 Deloitte Consulting BV – All rights reserved
Web 2.0 provoked an expansion of the R in the CRM



                  Company / Company Customer / Partner
        Company / Competitor                 Customer / Competitor

      Company / Partner                            Customer / Customer

    Company / Customer                              Partner / Competitor




8                                                        © 2010 Deloitte Consulting BV – All rights reserved
Social vs. Traditional CRM
Lets take a look at the fundamental changes that Social CRM is
introducing to the current, traditional CRM in terms of…
     Landscape                                                                                                   Channels                                                                                                               Processes
                                                                                                                                             •     Auction website
                         Customer                    Customer
                                                                                                                                                   • Video sharing                                                                                                                     Establishing need
                                       Customer                                                                      •   Phone                       • Microblogs
                                                                                                                     •   Fax                            • Podcast
                                                                                                                     •   Email
                                                                                                                                                           • Price comparison website




                                                                                                                                                                                                                                                                      impressions
                  Customer                                      Customer                                             •   Service
                                                                                                                                                              • Wikis




                                                                                                                                                                                                                                                                                                                       Decision
                                                                                                                                                                                                                                                                      Sharing
                                                                                                                     •   Letters
                                                                                                                     •   Personal contact                       • Social Networks


                                                                                                                                                      +
                                                                           Customer
       Customer
                                                                                                                     •   Company’s website                         • Blogs
                                                                                                                     •   SMS                                       • Widgets
                             Competitor    Supplier / Partner                                                        •   Instant Messenger                       • Photo sharing
                                                                                                                                                                                                                                                                                                                              Targeting




                                                                                                                     •   Chat                                 • Forums




                                                                                                                                                                                                                                                                                                           Expansion




                                                                                                                                                                                                                                                                                                                                              Acquisition
                                                                                                                                                                                                                                                                                          Experience
            Customer                                              Customer                                           •   Media                             • Slides sharing
                                                                                                                                                        • Reviews and ratings in retail sites                                                                                                                                Retention




                                                                                                                                                     • Social Bookmarking
                                                                                                                                                   • Wish lists
                                    Your company                                                                                                 • RSS                                                                                                                              Support processes
           Customer                                                 Customer                                                                                                                                                                                                                                                              Value
                        Customer                     Customer                                                                                                                                                                                                                       Operation processes




                                                    Mindset                                                                                                       Technology
                                                                                                                                                                                                                Monitoring /
                                                                                                                                                                                                                Interconnecting tools




                                                                                !                                                                                                        Customer
                                                                                                                                                                                                                Conversation /
                                                                                                                                                                                                                Collaboration tools                 Data
                                                                                                                                                                                                                                                    mining
                                                                                                                                                                                         Owned
                                                                                                                                                                                         Data           RSS                               Forums
                                                                                                                                                                                                               Process Support


                                                                                                  !                                                                                            Blogs
                                                                                                                                                                                                               Account Management
                                                                                                                                                                                                               Contact Management
                                                                                                                                                                                                               Activity Management
                                                                                                                                                                                                               Lead / Opp Management               Widgets
                                                                                                                                                                                                               Campaign Management
                                                                       !                                                                                                                                       Sales Management
                                                                                                                                                                                                               Service Management…
                                                                                                      Interaction
                                                                                                                                                                                                Tags                                            Ranking
                                                                                                      Conversation                                                                    APIs
                                                                                                      Contribution                                                                                                                                      Open Id


                                                                                                                                                                                                       Wikis                             Podcast

                                                                                                                                                                                                                    Social Networks
                                                                                                                                                                                                                                           Cloud
                                                                                                                                                                                                                                        Computing
                                                                                      Employees                      Customers
                                                                                                                                                                                                    Brand monitoring
                                                                                                                                                                                                    services




10                                                                                                                                                                                                                                                            © 2010 Deloitte Consulting BV – All rights reserved
Evolution of the CRM landscape increases complexity

            Traditional CRM                                                         Social CRM




                                                                              Customer                          Customer
                         Customer
                                                                                            Customer

     Customer                                   Customer
                                                                        Customer                                            Customer


                                                             Customer                                                                    Customer

                Competitor   Supplier/Partner
                                                                                   Competitor       Supplier/Partner

Customer                                          Customer
                                                                  Customer                                                      Customer




                      Your company                                                       Your company
                                                                Customer                                                          Customer
           Customer                   Customer                                Customer                           Customer




11                                                                                              © 2010 Deloitte Consulting BV – All rights reserved
Evolution of Customer Touch Points demands new channel
strategy

     Traditional CRM                                Social CRM
                                                   • Auction website
                                                      • Video sharing
       • Phone                  • Phone                  • Microblogs
       • Fax                    • Fax                      • Podcast
       • Email                  • Email                       • Price comparison website
       • Service                • Service                        • Wikis
       • Letters                • Letters                          • Social Networks
       • Personal contact
       • Company’s website
                                • Personal contact
                                • Company’s website      +            • Blogs
                                                                      • Widgets
                                                                    • Photo sharing
       • SMS                    • SMS
                                                                 • Forums
       • Instant Messenger      • Instant Messenger
                                                              • Slides sharing
       • Chat                   • Chat                     • Reviews and ratings in retail sites
       • Media                  • Media                 • Social Bookmarking
                                                      • Wish lists
                                                    • RSS




12                                                          © 2010 Deloitte Consulting BV – All rights reserved
Evolution of Business Processes changes current process model

              Traditional CRM                                   Social CRM




                      Targeting                                   Establishing
                                                                     need




                                                  impressions
          Expansion




                                    Acquisition




                                                    Sharing




                                                                                                     Decision
                                                                                                     Targeting




                                                                                         Expansion




                                                                                                                 Acquisition
                      Retention                                   Experience

                                                                                                     Retention




                                  Customer                Support processes
     Marketing         Sales                                                                            Value
                                   Service
                                                         Operation processes




13                                                                   © 2010 Deloitte Consulting BV – All rights reserved
Evolution of Organizational Mindset requires strong culture
change

            Traditional CRM                                  Social CRM




                                             !
        !
                                                             !
                                         !
                                                                  Interaction
                                                                 Conversation
                Transaction                                      Contribution
                 Feedback

     Employee                 Customer           Employees                                 Customers




14                                                                   © 2010 Deloitte Consulting BV – All rights reserved
Evolution of Technology includes social layers

      Traditional CRM                                  Social CRM

                                                            Monitoring /
                                                       Interconnecting layer

                                                          Conversation /
                                  Customer              Collaboration layer
                                  Owned
                                  Data     RSS                                                            Data
         Process Support                                Process Support                Forums            mining
              Layer                                          Layer
        Account Management                             Account Management
                                        Blogs                                               Widgets
        Contact Management                             Contact Management
         Activity Management                           Activity Management
                               APIs
          Lead Management               Tags            Lead Management
        Campaign Management                           Campaign Management                  Ranking
         Service Management                            Service Management                                Open Id
                                             Wikis
         Sales Management                               Sales Management
                                                                                  Microblogs
                                                 Social
                                      SaaS        Networks    Podcast /
                                                              Video sharing               Cloud
                                                                                       Computing

                                                     Brand monitoring
                                                         services




15                                                             © 2010 Deloitte Consulting BV – All rights reserved
Cases
Consumers, as well as companies themselves, have started to
adopt social media


       Inside-to-inside        Inside-to-outside      Outside-to-outside
         communities             communities            communities


                                                      Sharing experiences
                             Forming communities &
                                   networks
                                                     Forming communities &
     Forming communities &                                 networks
                              Raising awareness &
           networks
                              promoting the brand
                                                     Providing “community
      Sharing knowledge                               service” or self-help
                               Providing service
         Collaborating                                 Recommending &
                                    Selling
                                                      influencing opinions
                                Reaching talent
                                                      Providing information


17                                                     © 2010 Deloitte Consulting BV – All rights reserved
Case example: connecting like-minded peers                                            Inside-to-inside
                                                                                        communities
to increase collaboration and creativity




                                                             • Yammer is a Twitter for companies

                                                             • Based on your email domain (e.g.
                                                               deloitte.com) you can connect with
                                                               other company employees

                                                             • The idea behind Yammer is that people
                                                               in business will always know what other
                                                               people in the company are working on

                                                             • As any other Social Platform, Yammer
                                                               is growing organically and independent
                                                               of internal company efforts

        What if I was a Sales Manager preparing a sales pitch?
        or a Customer Service employee trying to solve a customer problem?
18
        or a Customer asking for directions?                 © 2010 Deloitte Consulting BV – All rights reserved
Case example: Dutch Bank                                                        Inside-to-outside
                                                                                  communities
Type: Online Customer Intelligence (OCI)
Case: The OCI tool captures all relevant data from different sources (blogs, forum, communities
and news sites) and present this information in a tag cloud. Based on the tag cloud further
analysis can be made.
CRM: Marketing
Business Value: Cost Reduction, Customer Retention, Stronger Product Positioning, Brand
value
Customer Value: Quick response on customer requirements




19                                                                       © 2010 Deloitte Consulting BV – All rights reserved
Case example: Orange – Customer Service                            Inside-to-outside
                                                                     communities
Type: Service Cloud
Case: Customer to Customer Support
CRM: Service
Business Value: Leveraging customer-to-customer support knowledge across
   internal and external support channels
Customer Value: Receiving excellent service wherever they are on the web




20                                                          © 2010 Deloitte Consulting BV – All rights reserved
Case example: Starbucks                                              Outside-to-outside
                                                                       communities
Type: Idea gapturing
Case: Starbucks gaptured ideas in collaboration with their customers. Starbucks VIP
   card and getting a free cup of coffee when buying coffee beans are two examples of
   customer-generated idea currently in use
CRM: Marketing (New product development)
Business Value: Starbucks captured in one year more than 70.000 ideas submitted
   through the site.
Customer Value: Customer like to have a place to put their creative ideas.




21                                                              © 2010 Deloitte Consulting BV – All rights reserved
Key Take-Aways
Social media presents some risk …

•    Substitution
•    Reputation
•    Intellectual property & confidentiality
•    Employee behavior
•    Loss of control
•    Quality & reliability of information




23                                             © 2010 Deloitte Consulting BV – All rights reserved
… yet presents many opportunities


                                  •   Brand protection & reputation management
                                  •   Customer insights (“Voice of Customer”)
        Enhance customer
1                                 •   Marketing effectiveness
          relationships           •   Customer service & associated support costs
                                  •   Time to market



        Increase employee         • Speed of access to internal experts
2    productivity & operational   • Collaboration (projects, lean, BPR)
            efficiencies          • Communication costs




         Foster creativity,       • Speed of access to knowledge
3           innovation,           • Collaboration (internal & external) on innovations
          & collaboration         • Employee satisfaction




24                                                                        © 2010 Deloitte Consulting BV – All rights reserved
What you can do


                            1. Research & monitor activity

• Social media is here to   2. Listen & act where appropriate
  stay
                            3. Determine focus (most
• Some interesting pilot       relevant business areas &
  projects                     target audience / communities)

• Few companies with        4. Start small (“seed & grow”)
  integrated strategy or
  concrete business case    5. Measure adoption, then
                               business value


25                                         © 2010 Deloitte Consulting BV – All rights reserved
What we are doing: providing insights through Deloitte research

     Why is interactive media (Web 2.0, social
                                                  Are you succeeding (tangible &
     networking) so important to the world
                                                  intangible), & why? Which KPI’s do you
     today – business, education, social,
                                                  measure?
     etc. ?


     What is the awareness of this form of        What are your lessons learned or best
     media in your company at present? Have       practices for other companies struggling
     you defined a social media strategy?         with this topic?


     Are you able to show business value yet
     (revenue models, growth prospects,           Which of your competitors do you see as
     profitability, shareholder value creation,   an example in this field?
     etc.)?


     Which departments / areas are most
     affected? What about your systems,
     processes and people?

26                                                                  © 2010 Deloitte Consulting BV – All rights reserved
Theo Slaats                                                    Deloitte Consulting BV
                                         Partner                                                        Laan van Kronenburg 2
                                         CRM, Social Media, Cloud Computing                             1183 AS Amstelveen
                                                                                                        The Netherlands

                                                                                                        Tel: +31 88 2886660
                                                                                                        Mobile: +31 6 52672525
                                                                                                        tslaats@deloitte.nl
                                                                                                        www.deloitte.nl/crm


                                                                                                        Member of
                                                                                                        Deloitte Touche Tohmatsu




Disclaimer:
Deloitte refers to one or more of Deloitte Touche Tohmatsu, a Swiss Verein, and its network of member
firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about
for a detailed description of the legal structure of Deloitte Touche Tohmatsu and its member firms.


 27                                                                                                                              © 2010 Deloitte Consulting BV – All rights reserved

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Deloitte Social Crm IMME Congres V2

  • 1. Social CRM – Presentation IMME Theo Slaats – Partner CRM Deloitte © 2010 Deloitte Consulting BV – All rights reserved
  • 2. Contents Social CRM Social vs. traditional CRM Cases Key Take-Aways Contact information 2 © 2010 Deloitte Consulting BV – All rights reserved
  • 4. Power of Social Media 4 © 2010 Deloitte Consulting BV – All rights reserved
  • 5. Impact of Social Media Domino’s Pizza gained a lot of media attention when a couple of employees posted a video of them making pizza 5 © 2010 Deloitte Consulting BV – All rights reserved
  • 6. Impact of Social Media http://www.molblog.nl/bericht/twitter-nekt-actie-laagsteprijsgarantie-albert-heijn/ 6 © 2010 Deloitte Consulting BV – All rights reserved
  • 7. What is the social customer doing? Uses new online channels and new communication tools Trusts in Seeks support advices made to connect by online with like- friends, minded peers acquaintances and strangers The new Reads and creates Social product Customer Tends to buy reviews, more online product than offline rankings and blog posts Wants to Expects better provide customer feedback experience about the online and product and offline customer service 7 © 2010 Deloitte Consulting BV – All rights reserved
  • 8. Web 2.0 provoked an expansion of the R in the CRM Company / Company Customer / Partner Company / Competitor Customer / Competitor Company / Partner Customer / Customer Company / Customer Partner / Competitor 8 © 2010 Deloitte Consulting BV – All rights reserved
  • 10. Lets take a look at the fundamental changes that Social CRM is introducing to the current, traditional CRM in terms of… Landscape Channels Processes • Auction website Customer Customer • Video sharing Establishing need Customer • Phone • Microblogs • Fax • Podcast • Email • Price comparison website impressions Customer Customer • Service • Wikis Decision Sharing • Letters • Personal contact • Social Networks + Customer Customer • Company’s website • Blogs • SMS • Widgets Competitor Supplier / Partner • Instant Messenger • Photo sharing Targeting • Chat • Forums Expansion Acquisition Experience Customer Customer • Media • Slides sharing • Reviews and ratings in retail sites Retention • Social Bookmarking • Wish lists Your company • RSS Support processes Customer Customer Value Customer Customer Operation processes Mindset Technology Monitoring / Interconnecting tools ! Customer Conversation / Collaboration tools Data mining Owned Data RSS Forums Process Support ! Blogs Account Management Contact Management Activity Management Lead / Opp Management Widgets Campaign Management ! Sales Management Service Management… Interaction Tags Ranking Conversation APIs Contribution Open Id Wikis Podcast Social Networks Cloud Computing Employees Customers Brand monitoring services 10 © 2010 Deloitte Consulting BV – All rights reserved
  • 11. Evolution of the CRM landscape increases complexity Traditional CRM Social CRM Customer Customer Customer Customer Customer Customer Customer Customer Customer Customer Competitor Supplier/Partner Competitor Supplier/Partner Customer Customer Customer Customer Your company Your company Customer Customer Customer Customer Customer Customer 11 © 2010 Deloitte Consulting BV – All rights reserved
  • 12. Evolution of Customer Touch Points demands new channel strategy Traditional CRM Social CRM • Auction website • Video sharing • Phone • Phone • Microblogs • Fax • Fax • Podcast • Email • Email • Price comparison website • Service • Service • Wikis • Letters • Letters • Social Networks • Personal contact • Company’s website • Personal contact • Company’s website + • Blogs • Widgets • Photo sharing • SMS • SMS • Forums • Instant Messenger • Instant Messenger • Slides sharing • Chat • Chat • Reviews and ratings in retail sites • Media • Media • Social Bookmarking • Wish lists • RSS 12 © 2010 Deloitte Consulting BV – All rights reserved
  • 13. Evolution of Business Processes changes current process model Traditional CRM Social CRM Targeting Establishing need impressions Expansion Acquisition Sharing Decision Targeting Expansion Acquisition Retention Experience Retention Customer Support processes Marketing Sales Value Service Operation processes 13 © 2010 Deloitte Consulting BV – All rights reserved
  • 14. Evolution of Organizational Mindset requires strong culture change Traditional CRM Social CRM ! ! ! ! Interaction Conversation Transaction Contribution Feedback Employee Customer Employees Customers 14 © 2010 Deloitte Consulting BV – All rights reserved
  • 15. Evolution of Technology includes social layers Traditional CRM Social CRM Monitoring / Interconnecting layer Conversation / Customer Collaboration layer Owned Data RSS Data Process Support Process Support Forums mining Layer Layer Account Management Account Management Blogs Widgets Contact Management Contact Management Activity Management Activity Management APIs Lead Management Tags Lead Management Campaign Management Campaign Management Ranking Service Management Service Management Open Id Wikis Sales Management Sales Management Microblogs Social SaaS Networks Podcast / Video sharing Cloud Computing Brand monitoring services 15 © 2010 Deloitte Consulting BV – All rights reserved
  • 16. Cases
  • 17. Consumers, as well as companies themselves, have started to adopt social media Inside-to-inside Inside-to-outside Outside-to-outside communities communities communities Sharing experiences Forming communities & networks Forming communities & Forming communities & networks Raising awareness & networks promoting the brand Providing “community Sharing knowledge service” or self-help Providing service Collaborating Recommending & Selling influencing opinions Reaching talent Providing information 17 © 2010 Deloitte Consulting BV – All rights reserved
  • 18. Case example: connecting like-minded peers Inside-to-inside communities to increase collaboration and creativity • Yammer is a Twitter for companies • Based on your email domain (e.g. deloitte.com) you can connect with other company employees • The idea behind Yammer is that people in business will always know what other people in the company are working on • As any other Social Platform, Yammer is growing organically and independent of internal company efforts What if I was a Sales Manager preparing a sales pitch? or a Customer Service employee trying to solve a customer problem? 18 or a Customer asking for directions? © 2010 Deloitte Consulting BV – All rights reserved
  • 19. Case example: Dutch Bank Inside-to-outside communities Type: Online Customer Intelligence (OCI) Case: The OCI tool captures all relevant data from different sources (blogs, forum, communities and news sites) and present this information in a tag cloud. Based on the tag cloud further analysis can be made. CRM: Marketing Business Value: Cost Reduction, Customer Retention, Stronger Product Positioning, Brand value Customer Value: Quick response on customer requirements 19 © 2010 Deloitte Consulting BV – All rights reserved
  • 20. Case example: Orange – Customer Service Inside-to-outside communities Type: Service Cloud Case: Customer to Customer Support CRM: Service Business Value: Leveraging customer-to-customer support knowledge across internal and external support channels Customer Value: Receiving excellent service wherever they are on the web 20 © 2010 Deloitte Consulting BV – All rights reserved
  • 21. Case example: Starbucks Outside-to-outside communities Type: Idea gapturing Case: Starbucks gaptured ideas in collaboration with their customers. Starbucks VIP card and getting a free cup of coffee when buying coffee beans are two examples of customer-generated idea currently in use CRM: Marketing (New product development) Business Value: Starbucks captured in one year more than 70.000 ideas submitted through the site. Customer Value: Customer like to have a place to put their creative ideas. 21 © 2010 Deloitte Consulting BV – All rights reserved
  • 23. Social media presents some risk … • Substitution • Reputation • Intellectual property & confidentiality • Employee behavior • Loss of control • Quality & reliability of information 23 © 2010 Deloitte Consulting BV – All rights reserved
  • 24. … yet presents many opportunities • Brand protection & reputation management • Customer insights (“Voice of Customer”) Enhance customer 1 • Marketing effectiveness relationships • Customer service & associated support costs • Time to market Increase employee • Speed of access to internal experts 2 productivity & operational • Collaboration (projects, lean, BPR) efficiencies • Communication costs Foster creativity, • Speed of access to knowledge 3 innovation, • Collaboration (internal & external) on innovations & collaboration • Employee satisfaction 24 © 2010 Deloitte Consulting BV – All rights reserved
  • 25. What you can do 1. Research & monitor activity • Social media is here to 2. Listen & act where appropriate stay 3. Determine focus (most • Some interesting pilot relevant business areas & projects target audience / communities) • Few companies with 4. Start small (“seed & grow”) integrated strategy or concrete business case 5. Measure adoption, then business value 25 © 2010 Deloitte Consulting BV – All rights reserved
  • 26. What we are doing: providing insights through Deloitte research Why is interactive media (Web 2.0, social Are you succeeding (tangible & networking) so important to the world intangible), & why? Which KPI’s do you today – business, education, social, measure? etc. ? What is the awareness of this form of What are your lessons learned or best media in your company at present? Have practices for other companies struggling you defined a social media strategy? with this topic? Are you able to show business value yet (revenue models, growth prospects, Which of your competitors do you see as profitability, shareholder value creation, an example in this field? etc.)? Which departments / areas are most affected? What about your systems, processes and people? 26 © 2010 Deloitte Consulting BV – All rights reserved
  • 27. Theo Slaats Deloitte Consulting BV Partner Laan van Kronenburg 2 CRM, Social Media, Cloud Computing 1183 AS Amstelveen The Netherlands Tel: +31 88 2886660 Mobile: +31 6 52672525 tslaats@deloitte.nl www.deloitte.nl/crm Member of Deloitte Touche Tohmatsu Disclaimer: Deloitte refers to one or more of Deloitte Touche Tohmatsu, a Swiss Verein, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu and its member firms. 27 © 2010 Deloitte Consulting BV – All rights reserved