Engaging with your customers online
Agenda!
•  Insights that build engagement!
•  When it all goes wrong!
•  How the right data can improve the
customer experience!
•  Questions!
First, a bit about me….!
I also display many of the traits of a typical
shopper in 2014…!
My shopping experiences have become social, even when I’m
shopping alone..!
Great for retailers!!
Sometimes.. Not so good.!
I take 500 terrible photos a day…!
But the ones that make it to Instagram are amazing!!
If you haven’t guessed by now, I have an addiction to my
phone… it’s so common now, it even has a name!!
.. Its called nomophobia!
So what does all this have to do with creating customer
engagement…!
CUSTOMER INSIGHT!
Attention spans are getting shorter. 

There are so many interesting things competing for
my attention… Don’t waste my time.!
ENGAGEMENT IMPERATIVES!
Customers expect greatness."
If I can whip out my phone and produce a
professional looking photograph in 5 minutes, then
you’d better get the right stock on the shelf.!
Listen to your customers and act to stay
relevant and be personal."
Retailers must continuously listen to customers to
ensure they are always relevant.!
Shopping has become informed and
social."
It takes me 5 minutes to find out all there is to know
about a product or service online or from friends. !
Deliver on your promises, and if you can’t,
be open and proactive.

Retailers must create trust by ensuring that every
interaction with customers is delivering to their value
proposition.!
Make sure your experience is unique and
emotionally engaging."
Retailers must find a way to stand out from the
crowd, you must stand out for what you do.!
It's going to be very hard to wake up to
nothing and then go to our friends house
for lunch and try and explain to a 4 and 6
year old who already are emotionally
challenged why Santa came to their
friends but not to them.!
“
“
When it all goes wrong…!
Typical Aussie mum, Dec 2011
Start with the
customer "
and work
backwards!
“
“
1. Gather the right customer data!
What	
  
drives	
  their	
  
behaviour	
  
Did	
  you	
  deliver,	
  
and	
  will	
  they	
  be	
  
back!	
  
Who	
  is	
  the	
  
customer	
  
How often do they shop online?!
!
Demographic / Geographic /
Lifestage information!
!
Loyalty segment – First time
customer, repeat, high
frequency etc!
What was the main reason for
their visit/purchase?!
!
Did they complete your mission?
(Why not / Why)!
!
How hard was it?!
!
What device/s did they use?!
!
How important are different
aspects of the experience?!
Would they recommend us to a
friend (NPS)?!
!
What can we do to be better?!
Were they satisfied? (Why not / Why)!
!
Did they need to contact us (and How/
Why)?!
!
Information on delivery experience!
2. Segment customer groups to gain insight !
Online shopping is
mainstream, but often
still infrequent – only
39% of shoppers are
buying online more than
once a month… !
Different segments
have very different
reasons for buying…
Cashflow vs
Convenience!
Research is king… 29%
came to research before
buying in store, 17% to
compare price, and 21% to
check store inventory levels!
User experience wins –
Easy to find products,
Easy to use site, wide
range, low delivery cost
and returns policy are
most important factors!
Sample size 3100, c2013. Female skew, 25-49yo Australian shoppers!
Your ability to deliver impacts
overall brand perception…
Customers dis-satisfied with
their delivery gave lower
scores in all categories.!
NPS of customers who
were not satisfied with
delivery = -16 vs +74!!!
3. Be focused on why customers will choose you.!
We care most about mum. Help her
create an amazing Christmas for her
kids.!
Make mum confident in choosing the right
gifts for her kids."
Make it fun & easy to shop."
Give her control over her finances."
Deliver the promise."
ASOS understand this… !
We want to be as synonymous to
fashion for twenty-somethings as
Google is to search and Facebook
is to social networking.!
“ “
Source: http://www.asosplc.com/our-ambition-and-strategy.aspx!
4. Make sure everyone in your business ‘gets it’!
Creating a customer-centric culture is hard work. My tips…!
!
•  Lead from the front & stay positive!
•  Continuously communicate results in the context of your customer!
•  Build a customer checkpoint into all decision making processes!
•  Give one person accountability for the customer, but hold all
responsible for using customer insights in their decision-making.!
•  Don’t create silo’s. Always be open to new customer insights and
the views of others.!
5. Be proactive with customers when things go wrong!
Order	
  Placed	
  
Fraud	
  
Screening	
  
IT	
  
Transmission	
   Picked	
   Packed	
  
Sort	
  &	
  
Despatch	
  
Delivery	
  to	
  
Customer	
  
Typical order flow – Can you easily tell when you won’t meet your promise? "
EXPERIENCE IMPACTS! BEING PROACTIVE!
Send a text message clearly telling the
customer their options"
Attempted delivery was unsuccessful"
There was a delay in shipping the goods" Notify customers of new estimated
delivery time, apologise with a coupon"
eComm Data! Warehouse / Vendor! Transport!
Customer enquiry moved outside SLA" Attempt to call the customer with the
outcome, rather than just email"
Complex fulfilment process "
Have a clear comms strategy"
Amazon understands this..!
Source: Amazon EDMs!
Automatically crediting me funds from
antitrust settlement on Kindle "
Amazon letting me know my review has
just gone live! Wow, I’m now a critic!"
Focusing on the customer and delivering on your promise will
grow your business.!
Fixing delivery satisfaction, increases
engagement!
Starting with the customer will grow

marketshare!
	
  1.00	
  	
  
	
  1.20	
  	
  
	
  1.40	
  	
  
	
  1.60	
  	
  
	
  1.80	
  	
  
	
  2.00	
  	
  
	
  2.20	
  	
  
	
  2.40	
  	
  
Index	
  Marketshare	
  (vs	
  May	
  Share)	
  
Marketshare	
  (Revenue)	
  for	
  BIGW	
  vs	
  Aggregated	
  DS	
  (Kmart,	
  Target,	
  BIGW,	
  Myer,	
  David	
  Jones)	
  
Source:	
  QuanVum	
  
	
  20	
  	
  
	
  30	
  	
  
	
  40	
  	
  
	
  50	
  	
  
	
  60	
  	
  
	
  70	
  	
  
40.0%	
  
50.0%	
  
60.0%	
  
70.0%	
  
80.0%	
  
90.0%	
  
100.0%	
  
1	
   2	
   3	
   4	
   5	
   6	
   7	
   8	
   9	
   10	
   11	
   12	
   13	
   14	
   15	
  
Were	
  you	
  saVsfied	
  with	
  the	
  delivery	
  of	
  your	
  order?	
  
%age	
  repreat	
  shoppers	
  
Customer	
  NPS	
  
In summary!
To drive customer engagement you should:!
•  Always listen to your customers, be relevant and
personal.!
•  Deliver on your promises, and if you can’t, be open and
proactive.

!
•  Make sure your experience is unique and emotionally
engaging.!
!
Capturing the right data in your business, and creating a
customer-centric culture that uses it will see you succeed.!
The ability to learn about your customer
faster than the competition, and the ability
to turn it into action faster than the
competition
“
“
Jack Welch, former CEO GE
... And if you don’t believe me. Listen to Jack.!
Questions?!

eCommerce Expo Melbourne - Engaging your Customers

  • 1.
    Engaging with yourcustomers online
  • 2.
    Agenda! •  Insights thatbuild engagement! •  When it all goes wrong! •  How the right data can improve the customer experience! •  Questions!
  • 3.
    First, a bitabout me….!
  • 4.
    I also displaymany of the traits of a typical shopper in 2014…!
  • 5.
    My shopping experienceshave become social, even when I’m shopping alone..! Great for retailers!! Sometimes.. Not so good.!
  • 6.
    I take 500terrible photos a day…! But the ones that make it to Instagram are amazing!!
  • 7.
    If you haven’tguessed by now, I have an addiction to my phone… it’s so common now, it even has a name!! .. Its called nomophobia!
  • 8.
    So what doesall this have to do with creating customer engagement…! CUSTOMER INSIGHT! Attention spans are getting shorter. 
 There are so many interesting things competing for my attention… Don’t waste my time.! ENGAGEMENT IMPERATIVES! Customers expect greatness." If I can whip out my phone and produce a professional looking photograph in 5 minutes, then you’d better get the right stock on the shelf.! Listen to your customers and act to stay relevant and be personal." Retailers must continuously listen to customers to ensure they are always relevant.! Shopping has become informed and social." It takes me 5 minutes to find out all there is to know about a product or service online or from friends. ! Deliver on your promises, and if you can’t, be open and proactive.
 Retailers must create trust by ensuring that every interaction with customers is delivering to their value proposition.! Make sure your experience is unique and emotionally engaging." Retailers must find a way to stand out from the crowd, you must stand out for what you do.!
  • 9.
    It's going tobe very hard to wake up to nothing and then go to our friends house for lunch and try and explain to a 4 and 6 year old who already are emotionally challenged why Santa came to their friends but not to them.! “ “ When it all goes wrong…! Typical Aussie mum, Dec 2011
  • 10.
    Start with the customer" and work backwards! “ “
  • 11.
    1. Gather theright customer data! What   drives  their   behaviour   Did  you  deliver,   and  will  they  be   back!   Who  is  the   customer   How often do they shop online?! ! Demographic / Geographic / Lifestage information! ! Loyalty segment – First time customer, repeat, high frequency etc! What was the main reason for their visit/purchase?! ! Did they complete your mission? (Why not / Why)! ! How hard was it?! ! What device/s did they use?! ! How important are different aspects of the experience?! Would they recommend us to a friend (NPS)?! ! What can we do to be better?! Were they satisfied? (Why not / Why)! ! Did they need to contact us (and How/ Why)?! ! Information on delivery experience!
  • 12.
    2. Segment customergroups to gain insight ! Online shopping is mainstream, but often still infrequent – only 39% of shoppers are buying online more than once a month… ! Different segments have very different reasons for buying… Cashflow vs Convenience! Research is king… 29% came to research before buying in store, 17% to compare price, and 21% to check store inventory levels! User experience wins – Easy to find products, Easy to use site, wide range, low delivery cost and returns policy are most important factors! Sample size 3100, c2013. Female skew, 25-49yo Australian shoppers! Your ability to deliver impacts overall brand perception… Customers dis-satisfied with their delivery gave lower scores in all categories.! NPS of customers who were not satisfied with delivery = -16 vs +74!!!
  • 13.
    3. Be focusedon why customers will choose you.! We care most about mum. Help her create an amazing Christmas for her kids.! Make mum confident in choosing the right gifts for her kids." Make it fun & easy to shop." Give her control over her finances." Deliver the promise."
  • 14.
    ASOS understand this…! We want to be as synonymous to fashion for twenty-somethings as Google is to search and Facebook is to social networking.! “ “ Source: http://www.asosplc.com/our-ambition-and-strategy.aspx!
  • 15.
    4. Make sureeveryone in your business ‘gets it’! Creating a customer-centric culture is hard work. My tips…! ! •  Lead from the front & stay positive! •  Continuously communicate results in the context of your customer! •  Build a customer checkpoint into all decision making processes! •  Give one person accountability for the customer, but hold all responsible for using customer insights in their decision-making.! •  Don’t create silo’s. Always be open to new customer insights and the views of others.!
  • 16.
    5. Be proactivewith customers when things go wrong! Order  Placed   Fraud   Screening   IT   Transmission   Picked   Packed   Sort  &   Despatch   Delivery  to   Customer   Typical order flow – Can you easily tell when you won’t meet your promise? " EXPERIENCE IMPACTS! BEING PROACTIVE! Send a text message clearly telling the customer their options" Attempted delivery was unsuccessful" There was a delay in shipping the goods" Notify customers of new estimated delivery time, apologise with a coupon" eComm Data! Warehouse / Vendor! Transport! Customer enquiry moved outside SLA" Attempt to call the customer with the outcome, rather than just email" Complex fulfilment process " Have a clear comms strategy"
  • 17.
    Amazon understands this..! Source:Amazon EDMs! Automatically crediting me funds from antitrust settlement on Kindle " Amazon letting me know my review has just gone live! Wow, I’m now a critic!"
  • 18.
    Focusing on thecustomer and delivering on your promise will grow your business.! Fixing delivery satisfaction, increases engagement! Starting with the customer will grow
 marketshare!  1.00      1.20      1.40      1.60      1.80      2.00      2.20      2.40     Index  Marketshare  (vs  May  Share)   Marketshare  (Revenue)  for  BIGW  vs  Aggregated  DS  (Kmart,  Target,  BIGW,  Myer,  David  Jones)   Source:  QuanVum    20      30      40      50      60      70     40.0%   50.0%   60.0%   70.0%   80.0%   90.0%   100.0%   1   2   3   4   5   6   7   8   9   10   11   12   13   14   15   Were  you  saVsfied  with  the  delivery  of  your  order?   %age  repreat  shoppers   Customer  NPS  
  • 19.
    In summary! To drivecustomer engagement you should:! •  Always listen to your customers, be relevant and personal.! •  Deliver on your promises, and if you can’t, be open and proactive.
 ! •  Make sure your experience is unique and emotionally engaging.! ! Capturing the right data in your business, and creating a customer-centric culture that uses it will see you succeed.!
  • 20.
    The ability tolearn about your customer faster than the competition, and the ability to turn it into action faster than the competition “ “ Jack Welch, former CEO GE ... And if you don’t believe me. Listen to Jack.!
  • 21.