Cross selling is an important strategy for growing revenue, but should be done responsibly based on customer insights. A thorough analysis of the customer base can identify opportunities for profitable cross selling by segmenting customers based on factors like life stage, income, and existing product holdings. The potential for cross selling and increasing product usage can then be determined for each segment. This helps ensure customers are offered additional products they can benefit from and afford. Tracking attrition also provides insights to improve the customer experience.
Data visualization is the presentation of data in a visual format to help identify patterns, trends, and correlations. It allows business users to easily understand and apply insights from large amounts of data. The document discusses various data visualization tools like dashboards, graphs, sensitivity modeling, and heat maps that can provide executives actionable insights to inform strategic decisions and drive business performance. These tools simplify complex data and communicate insights across organizations in a visual and easy to understand manner.
Retailers are using customer segmentation strategies to better understand their customers and target them more effectively. Segmentation involves collecting customer data to group them into segments based on spending behaviors, purchase categories, channel usage, and other factors. This allows retailers to develop tailored marketing strategies for each segment to grow sales and loyalty. Key metrics to measure the success of segmentation include changes in customer migration patterns, attrition rates, sales and profit per customer. Combining segmentation with predictive modeling helps retailers further optimize their targeting and spending.
This document provides an overview of analytical tools that retailers can use to maximize the results of their marketing efforts. It discusses five key tools: targeting, predictive modeling, contact management, channel optimization, and media mix modeling. These tools help retailers understand customer behavior, effectively target consumers, optimize the number of customer interactions, engage customers through their preferred channels, and adjust marketing spend across channels to maximize sales and ROI. The document emphasizes that measurement is critical for marketing success and retailers should implement analytic tools to influence their strategies and drive improved results.
Retailer-branded credit card programs can provide significant benefits to retailers, including increased sales, customer loyalty, and wallet share. Case studies show that credit cardholders spend 39-86% more on average annually than non-cardholders. They also visit stores more frequently and have attrition rates that are 75% lower. Retailers can gain insights into customer purchasing behaviors from credit card transaction data to improve marketing. When implemented effectively, retailer credit programs can help drive higher long-term revenues and profits through customer retention and increased spending.
This document discusses segmentation strategies for creating profitable customers. It begins by renewing the understanding of why segmentation is important for driving higher profitability through understanding customer needs. It then discusses profiting through segmentation by understanding customers and developing targeting strategies. It emphasizes investing in tools, skills, and systems to operationalize segmentation. Finally, it stresses the importance of demonstrating segmentation strategies through testing, measurement, and gaining organizational buy-in to make segmentation efforts successful.
Marketing & Sales Effectiveness Supported by Segmentation & Messagingchristyaron
The document discusses approaches for integrated marketing and sales, including segmentation, targeting, and messaging. It emphasizes understanding customers through segmentation based on characteristics, behaviors, and attitudes. Well-defined customer segments and personas can then be used to develop tailored value propositions and messages. The document provides examples of segmentation approaches and outlines a project plan for developing an effective customer segmentation model.
Market Segmentation strives to identify groups of customers who share commonalities yet whose characteristics are distinguishable from other customer groups. In this white paper, we outline the various B2C and B2B criteria and statistical procedures to identify those customer groups who matter most.
Why Pricing, data & customer segmentation are relevant for insurance (partly ...Jerry J. Stam
Why Pricing, data & customer segmentation are relevant for insurance (partly Dutch). Lessons shared from retailers and how insurers would benefit if they applied (some of) them
Data visualization is the presentation of data in a visual format to help identify patterns, trends, and correlations. It allows business users to easily understand and apply insights from large amounts of data. The document discusses various data visualization tools like dashboards, graphs, sensitivity modeling, and heat maps that can provide executives actionable insights to inform strategic decisions and drive business performance. These tools simplify complex data and communicate insights across organizations in a visual and easy to understand manner.
Retailers are using customer segmentation strategies to better understand their customers and target them more effectively. Segmentation involves collecting customer data to group them into segments based on spending behaviors, purchase categories, channel usage, and other factors. This allows retailers to develop tailored marketing strategies for each segment to grow sales and loyalty. Key metrics to measure the success of segmentation include changes in customer migration patterns, attrition rates, sales and profit per customer. Combining segmentation with predictive modeling helps retailers further optimize their targeting and spending.
This document provides an overview of analytical tools that retailers can use to maximize the results of their marketing efforts. It discusses five key tools: targeting, predictive modeling, contact management, channel optimization, and media mix modeling. These tools help retailers understand customer behavior, effectively target consumers, optimize the number of customer interactions, engage customers through their preferred channels, and adjust marketing spend across channels to maximize sales and ROI. The document emphasizes that measurement is critical for marketing success and retailers should implement analytic tools to influence their strategies and drive improved results.
Retailer-branded credit card programs can provide significant benefits to retailers, including increased sales, customer loyalty, and wallet share. Case studies show that credit cardholders spend 39-86% more on average annually than non-cardholders. They also visit stores more frequently and have attrition rates that are 75% lower. Retailers can gain insights into customer purchasing behaviors from credit card transaction data to improve marketing. When implemented effectively, retailer credit programs can help drive higher long-term revenues and profits through customer retention and increased spending.
This document discusses segmentation strategies for creating profitable customers. It begins by renewing the understanding of why segmentation is important for driving higher profitability through understanding customer needs. It then discusses profiting through segmentation by understanding customers and developing targeting strategies. It emphasizes investing in tools, skills, and systems to operationalize segmentation. Finally, it stresses the importance of demonstrating segmentation strategies through testing, measurement, and gaining organizational buy-in to make segmentation efforts successful.
Marketing & Sales Effectiveness Supported by Segmentation & Messagingchristyaron
The document discusses approaches for integrated marketing and sales, including segmentation, targeting, and messaging. It emphasizes understanding customers through segmentation based on characteristics, behaviors, and attitudes. Well-defined customer segments and personas can then be used to develop tailored value propositions and messages. The document provides examples of segmentation approaches and outlines a project plan for developing an effective customer segmentation model.
Market Segmentation strives to identify groups of customers who share commonalities yet whose characteristics are distinguishable from other customer groups. In this white paper, we outline the various B2C and B2B criteria and statistical procedures to identify those customer groups who matter most.
Why Pricing, data & customer segmentation are relevant for insurance (partly ...Jerry J. Stam
Why Pricing, data & customer segmentation are relevant for insurance (partly Dutch). Lessons shared from retailers and how insurers would benefit if they applied (some of) them
Chadwick Martin Bailey’s Brant Cruz and Jeff McKenna presented best practices of market segmentation based on their years of experience working with clients like eBay, Electronic Arts, Plantronics, and Microsoft.
Customer segmentation is the process of dividing customers into groups based on common characteristics so companies can market to each group effectively and appropriately.
Segmentation allows marketers to better tailor their marketing efforts to various audience subsets. Those efforts can relate to both communications and product development. Specifically, segmentation helps a company:
Create and communicate targeted marketing messages that will resonate with specific groups of customers, but not with others (who will receive messages tailored to their needs and interests, instead).
Select the best communication channel for the segment, which might be email, social media posts, radio advertising, or another approach, depending on the segment.
Identify ways to improve products or new product or service opportunities.
Establish better customer relationships.
Test pricing options.
Focus on the most profitable customers.
Improve customer service.
Upsell and cross-sell other products and services.
1. The document discusses effective customer segmentation for understanding website traffic and properly evaluating marketing campaigns.
2. It recommends starting with a simple segmentation of logged-in visitors to change one's view of web analytics data. Calculating conversion rates from potential customers only is also recommended.
3. Customer cohorts based on acquisition date can provide insights about customer activation and retention. The document recommends not limiting oneself to what web analytics tools offer and making tools analyze customized segments.
This document discusses how data is exploding in volume and complexity, making customers harder to understand, target, satisfy and reach with traditional marketing approaches. It outlines how the company is improving customer intelligence through building a new marketing database and exploiting customer data to gain insights into areas like campaign performance, pricing impacts, predictive analytics, customer segmentation and social network analysis. These insights are helping shift how insights are delivered and used, improving understanding of loyalty and reducing churn, improving targeting for loyalty campaigns and creating more efficient and joined-up messaging across channels. Segment strategies are defined to retain and educate high value loyal customers through optimal price plans and targeted entertainment deals.
The document segments over 1.3 million customers into distinct groups for targeted marketing. Overall, 3 macro segments ("Aspirers", "Pragmatic", "Affluent") and 10 micro segments are identified. Key variables like income, age, occupation are considered. For each segment, profiles detailing demographics, transactions, product holdings are provided. Decision rules are also derived to segment new customers based on important variables like income, age. The document concludes with segmentation analyses for specific loan products like two-wheelers, personal loans, consumer durables.
Customer Segmentation for Retention StrategyMelody Ucros
IE Business School
Marketing Intelligence Project by Group F:
Melody Ucros
Jina Kim
Andrea Blasioli
Adedeji Rodemade
Fergus Buckey
Alex Kyalo
Louis Rampignon
Data Source: http://archive.ics.uci.edu/ml/datasets/online+retail
Account-based marketing (ABM) focuses on individual customer accounts rather than broader business marketing. It is commonly used in enterprise sales to increase account engagement and align marketing with customer strategies. ABM considers each account as its own market and brings together industry, product, and channel marketing efforts. It can help increase sales within existing accounts and to new prospects. Effective ABM requires close collaboration between sales and marketing teams.
The document discusses customer segmentation methods. It notes that advanced segmentation methods like value-based segmentation using customer lifetime value (CLV) can help companies better understand customers and ensure long-term profitability compared to basic methods. A multi-layer model combining advanced methods provides the most effective segments to connect with customers through acquisition, loyalty programs, and other targeted actions. The key is to define clear objectives and continuously improve the segmentation model.
1) This document provides an overview of external and customer analysis for strategic planning purposes. It discusses analyzing the macroenvironment, industry structure, competitors, customer segments, and identifying unmet customer needs.
2) Key aspects of external analysis include identifying trends, opportunities, threats and uncertainties that may impact strategic decisions. Understanding competitors involves analyzing their strategies, resources, aggressiveness and likely responses.
3) Customer analysis involves segmenting the market, assessing customer motivations, loyalty and priorities. It also examines unmet customer needs that could be addressed. Understanding external factors, competitors and customers is essential for strategic decision making.
The document discusses building a customer-focused organization and how customer satisfaction drives profits. It provides strategies for understanding customer needs through voice of the customer programs, measuring customer performance metrics, training employees, and handling complaints to increase customer retention and loyalty. Customer relationship management programs use customer databases and data mining to personalize interactions and improve relationships over time. While requiring significant investment, CRM can provide a competitive advantage when properly implemented based on a customer strategy.
Customer intelligence services provide advanced analytical solutions to develop targeted customer strategies. They use internal and external data with structured and unstructured content as inputs to generate outputs like accelerated growth, risk mitigation, and cost reduction. Customer intelligence helps businesses better understand their customers through insights from customer demographics, transactions, surveys, and more. This enhances the customer experience, increases revenue through acquisition and retention, and reduces costs.
2014 Customer Loyalty ASEAN Conference: Prof de los ReyesJim D Griffin
1. Segmentation plays a key role in loyalty marketing by dividing customers into groups based on common attributes and behaviors. This allows companies to better understand their customers and maximize relationships.
2. There are various levels of segmentation from basic demographics and purchases to more advanced psychographics and transaction data. Companies can use both supervised and unsupervised segmentation.
3. Effective segmentation identifies strategic business focuses, provides insights into customer needs, and helps companies focus communications and campaigns. It is a process that aims to create meaningful customer groups.
Summary of and Commentary on the 2021 DemandGen B2B Buyers Survey Report Tim Steele
The survey highlights purchasing trends during the COVID-19 pandemic. Some purchases were escalated while others were delayed. More companies formed purchasing teams for the first time. The purchasing process closely mirrors an established engagement model. Decision makers rely on peer recommendations and research early in the process. They want vendors that demonstrate knowledge of their industry and needs rather than focusing on price alone. Sales teams must engage throughout the purchasing process by understanding customers and delivering value propositions with evidence.
Connecting B2C to B2B: a Top Down Approach for Industrial DistributorsStephane Bratu
In this article, the author discusses the importance for pricers in many industries – and particularly in the distribution industry – of engaging in both business-to-business and business-to-consumer markets. This article focuses on proposing a new way to execute pricing strategies and operations for industrial distribution companies that sell both to other businesses (B2B) and directly to consumers (B2C). This industry specific example provides pricing strategies and analytic approaches that can be applied by pricers in multiple businesses and markets. Dr. Stephane Bratu is Direc- tor of Pricing and Analytics at Arrow Electronics.
Cenco marketing the future of marketing_ mohanluis rebolledo
The document discusses the changing nature of marketing from a traditional product-focused and transactional approach to a more collaborative process focused on building relationships. It argues marketing must shift from focusing on short-term exchanges to creating long-term value for all stakeholders. Additionally, the marketing organization structure needs to transition from functional silos to a more adaptive front-end customer-centric organization connected to a back-end specialist organization through integrated processes. The marketer's role is also evolving from managers of product marketing to integrators that serve customer segments and link to specialists.
This document discusses key concepts for developing marketing strategies for customer-centric organizations, including conducting market analysis and segmentation. Some key points covered are:
- The importance of understanding consumer trends, markets, and effective communication methods to reach target audiences.
- Characteristics of customer-centric organizations like having a shared vision focused on serving customers.
- Conducting market analysis to understand strengths, competitors, and the business environment to minimize risks.
- The process of market segmentation to identify groups with similar behaviors to better target customers.
- Elements of the marketing mix like developing products that provide value, and choosing appropriate distribution, pricing, and promotion.
This document discusses market-based management and market analysis. It covers defining market space and estimating potential, understanding market demand over the product lifecycle, and achieving market share. Specifically, it discusses how defining markets broadly opens opportunities, estimating market potential through demographic analysis, how demand and prices change over the product lifecycle stages, and using metrics like market development index and share development index to understand growth opportunities and build sales forecasts.
This document discusses customer segmentation and provides details on its various phases and processes. It is divided into the following key sections:
1. It outlines a three phase customer segmentation framework: customer segmentation, planning and execution, and institutionalization.
2. It then provides more details on the customer segmentation analytics process, including defining objectives, identifying relevant variables, data preparation, modeling, scoring, profiling segments, and identifying segment strategies.
3. Various statistical tools for segmentation like cluster analysis and CHAID are mentioned. Example attributes for segmenting banking customers and IT company customers are also listed.
The Church in Madagascar has grown significantly since the 1980s. The first members were baptized in the 1980s, and the first branch was formed in 1990. Over the following decades, missionaries arrived, more branches and districts were created, and membership grew to over 9,000 by 2013. Key events included the formation of the Antananarivo Mission in 1998, the creation of the Antananarivo Stake in 2000, and the opening of branches in multiple cities across Madagascar. Membership projections estimate over 10,000 members by 2025 and 100,000 members by 2060 if growth continues.
Chadwick Martin Bailey’s Brant Cruz and Jeff McKenna presented best practices of market segmentation based on their years of experience working with clients like eBay, Electronic Arts, Plantronics, and Microsoft.
Customer segmentation is the process of dividing customers into groups based on common characteristics so companies can market to each group effectively and appropriately.
Segmentation allows marketers to better tailor their marketing efforts to various audience subsets. Those efforts can relate to both communications and product development. Specifically, segmentation helps a company:
Create and communicate targeted marketing messages that will resonate with specific groups of customers, but not with others (who will receive messages tailored to their needs and interests, instead).
Select the best communication channel for the segment, which might be email, social media posts, radio advertising, or another approach, depending on the segment.
Identify ways to improve products or new product or service opportunities.
Establish better customer relationships.
Test pricing options.
Focus on the most profitable customers.
Improve customer service.
Upsell and cross-sell other products and services.
1. The document discusses effective customer segmentation for understanding website traffic and properly evaluating marketing campaigns.
2. It recommends starting with a simple segmentation of logged-in visitors to change one's view of web analytics data. Calculating conversion rates from potential customers only is also recommended.
3. Customer cohorts based on acquisition date can provide insights about customer activation and retention. The document recommends not limiting oneself to what web analytics tools offer and making tools analyze customized segments.
This document discusses how data is exploding in volume and complexity, making customers harder to understand, target, satisfy and reach with traditional marketing approaches. It outlines how the company is improving customer intelligence through building a new marketing database and exploiting customer data to gain insights into areas like campaign performance, pricing impacts, predictive analytics, customer segmentation and social network analysis. These insights are helping shift how insights are delivered and used, improving understanding of loyalty and reducing churn, improving targeting for loyalty campaigns and creating more efficient and joined-up messaging across channels. Segment strategies are defined to retain and educate high value loyal customers through optimal price plans and targeted entertainment deals.
The document segments over 1.3 million customers into distinct groups for targeted marketing. Overall, 3 macro segments ("Aspirers", "Pragmatic", "Affluent") and 10 micro segments are identified. Key variables like income, age, occupation are considered. For each segment, profiles detailing demographics, transactions, product holdings are provided. Decision rules are also derived to segment new customers based on important variables like income, age. The document concludes with segmentation analyses for specific loan products like two-wheelers, personal loans, consumer durables.
Customer Segmentation for Retention StrategyMelody Ucros
IE Business School
Marketing Intelligence Project by Group F:
Melody Ucros
Jina Kim
Andrea Blasioli
Adedeji Rodemade
Fergus Buckey
Alex Kyalo
Louis Rampignon
Data Source: http://archive.ics.uci.edu/ml/datasets/online+retail
Account-based marketing (ABM) focuses on individual customer accounts rather than broader business marketing. It is commonly used in enterprise sales to increase account engagement and align marketing with customer strategies. ABM considers each account as its own market and brings together industry, product, and channel marketing efforts. It can help increase sales within existing accounts and to new prospects. Effective ABM requires close collaboration between sales and marketing teams.
The document discusses customer segmentation methods. It notes that advanced segmentation methods like value-based segmentation using customer lifetime value (CLV) can help companies better understand customers and ensure long-term profitability compared to basic methods. A multi-layer model combining advanced methods provides the most effective segments to connect with customers through acquisition, loyalty programs, and other targeted actions. The key is to define clear objectives and continuously improve the segmentation model.
1) This document provides an overview of external and customer analysis for strategic planning purposes. It discusses analyzing the macroenvironment, industry structure, competitors, customer segments, and identifying unmet customer needs.
2) Key aspects of external analysis include identifying trends, opportunities, threats and uncertainties that may impact strategic decisions. Understanding competitors involves analyzing their strategies, resources, aggressiveness and likely responses.
3) Customer analysis involves segmenting the market, assessing customer motivations, loyalty and priorities. It also examines unmet customer needs that could be addressed. Understanding external factors, competitors and customers is essential for strategic decision making.
The document discusses building a customer-focused organization and how customer satisfaction drives profits. It provides strategies for understanding customer needs through voice of the customer programs, measuring customer performance metrics, training employees, and handling complaints to increase customer retention and loyalty. Customer relationship management programs use customer databases and data mining to personalize interactions and improve relationships over time. While requiring significant investment, CRM can provide a competitive advantage when properly implemented based on a customer strategy.
Customer intelligence services provide advanced analytical solutions to develop targeted customer strategies. They use internal and external data with structured and unstructured content as inputs to generate outputs like accelerated growth, risk mitigation, and cost reduction. Customer intelligence helps businesses better understand their customers through insights from customer demographics, transactions, surveys, and more. This enhances the customer experience, increases revenue through acquisition and retention, and reduces costs.
2014 Customer Loyalty ASEAN Conference: Prof de los ReyesJim D Griffin
1. Segmentation plays a key role in loyalty marketing by dividing customers into groups based on common attributes and behaviors. This allows companies to better understand their customers and maximize relationships.
2. There are various levels of segmentation from basic demographics and purchases to more advanced psychographics and transaction data. Companies can use both supervised and unsupervised segmentation.
3. Effective segmentation identifies strategic business focuses, provides insights into customer needs, and helps companies focus communications and campaigns. It is a process that aims to create meaningful customer groups.
Summary of and Commentary on the 2021 DemandGen B2B Buyers Survey Report Tim Steele
The survey highlights purchasing trends during the COVID-19 pandemic. Some purchases were escalated while others were delayed. More companies formed purchasing teams for the first time. The purchasing process closely mirrors an established engagement model. Decision makers rely on peer recommendations and research early in the process. They want vendors that demonstrate knowledge of their industry and needs rather than focusing on price alone. Sales teams must engage throughout the purchasing process by understanding customers and delivering value propositions with evidence.
Connecting B2C to B2B: a Top Down Approach for Industrial DistributorsStephane Bratu
In this article, the author discusses the importance for pricers in many industries – and particularly in the distribution industry – of engaging in both business-to-business and business-to-consumer markets. This article focuses on proposing a new way to execute pricing strategies and operations for industrial distribution companies that sell both to other businesses (B2B) and directly to consumers (B2C). This industry specific example provides pricing strategies and analytic approaches that can be applied by pricers in multiple businesses and markets. Dr. Stephane Bratu is Direc- tor of Pricing and Analytics at Arrow Electronics.
Cenco marketing the future of marketing_ mohanluis rebolledo
The document discusses the changing nature of marketing from a traditional product-focused and transactional approach to a more collaborative process focused on building relationships. It argues marketing must shift from focusing on short-term exchanges to creating long-term value for all stakeholders. Additionally, the marketing organization structure needs to transition from functional silos to a more adaptive front-end customer-centric organization connected to a back-end specialist organization through integrated processes. The marketer's role is also evolving from managers of product marketing to integrators that serve customer segments and link to specialists.
This document discusses key concepts for developing marketing strategies for customer-centric organizations, including conducting market analysis and segmentation. Some key points covered are:
- The importance of understanding consumer trends, markets, and effective communication methods to reach target audiences.
- Characteristics of customer-centric organizations like having a shared vision focused on serving customers.
- Conducting market analysis to understand strengths, competitors, and the business environment to minimize risks.
- The process of market segmentation to identify groups with similar behaviors to better target customers.
- Elements of the marketing mix like developing products that provide value, and choosing appropriate distribution, pricing, and promotion.
This document discusses market-based management and market analysis. It covers defining market space and estimating potential, understanding market demand over the product lifecycle, and achieving market share. Specifically, it discusses how defining markets broadly opens opportunities, estimating market potential through demographic analysis, how demand and prices change over the product lifecycle stages, and using metrics like market development index and share development index to understand growth opportunities and build sales forecasts.
This document discusses customer segmentation and provides details on its various phases and processes. It is divided into the following key sections:
1. It outlines a three phase customer segmentation framework: customer segmentation, planning and execution, and institutionalization.
2. It then provides more details on the customer segmentation analytics process, including defining objectives, identifying relevant variables, data preparation, modeling, scoring, profiling segments, and identifying segment strategies.
3. Various statistical tools for segmentation like cluster analysis and CHAID are mentioned. Example attributes for segmenting banking customers and IT company customers are also listed.
The Church in Madagascar has grown significantly since the 1980s. The first members were baptized in the 1980s, and the first branch was formed in 1990. Over the following decades, missionaries arrived, more branches and districts were created, and membership grew to over 9,000 by 2013. Key events included the formation of the Antananarivo Mission in 1998, the creation of the Antananarivo Stake in 2000, and the opening of branches in multiple cities across Madagascar. Membership projections estimate over 10,000 members by 2025 and 100,000 members by 2060 if growth continues.
The document summarizes a study of sidewalk conditions in the East Kensington neighborhood of Philadelphia. A team of interns surveyed sidewalks and measured damage like cracks, missing sections, and vegetation overgrowth. They prioritized repairs based on proximity to schools, parks, transit stations, and businesses. The goal was to assess sidewalk needs and provide a repair plan to improve safety and accessibility for residents of all ages and abilities.
Manindra Pal Singh is seeking a middle level role in maintenance operations, preferably in the automobile industry, leveraging 14 years of experience. He has expertise in maintenance, project management, commissioning, documentation, stock management, training, safety management, auditing and manpower management. He is proficient in planning maintenance schedules and annual turnarounds to optimize resources and ensure smooth plant operations. He has skills in troubleshooting, root cause analysis, corrective actions and process improvements.
The document discusses several aspects of social perception:
1. Nonverbal communication such as facial expressions, eye contact, body language, and touching can provide cues about a person's inner state of emotions and feelings. Basic emotions are often reflected in specific facial expressions.
2. Attribution refers to how we try to understand and explain the behaviors of others. Correspondent inference theory and Kelley's theory of causal attribution describe how we make inferences about others' traits and dispositions based on their behaviors.
3. Impression formation is the process by which we combine diverse information to form unified impressions of others. Initial impressions tend to carry more weight due to primacy effects. Impression management refers
Here Comes the Bride has always delivered top-drawer service and expertise to ensure that every bride has an enjoyable and rich experience and gets the personal, tailored service they deserve.
Sudeep P.R. is seeking a position that allows him to further develop his knowledge and skills in accordance with industry trends. He has over 5 years of experience as an HSE Officer in Abu Dhabi, UAE, most recently with Hirmas Real Estate. Prior to that, he worked for Trans Middle East General Contracting and National Indian Service in Cochin, India. Sudeep holds qualifications including a Diploma in Fire and Safety Engineering and NEBOSH certification. He has strengths in communication, analysis, and self-motivation.
Ayisha Bano has over 10 years of experience working in property management and data analysis roles. She is currently working as a Management Information and Systems Officer at Ealing Council, where she provides data support and ensures the quality and accuracy of information. Previously, she worked as an Investor Relations and Office Manager for a property development company, and as a Property Manager for an estate agent. Ayisha is seeking a new role where she can utilize her managerial skills and continue expanding her knowledge in the property industry. She has strong communication skills and experience working with various databases and software packages.
This document discusses complete streets and their benefits. It defines complete streets as those designed and operated to be safe and accessible for all users, including pedestrians, transit riders, bicyclists, and drivers of all ages and abilities. Complete streets typically include sidewalks, safe crossings, and bike lanes. They provide benefits such as improved safety, health, accessibility, and economic development. The document advocates for complete streets policies to integrate the needs of all road users into transportation planning and design. It outlines steps communities can take to establish complete streets policies and ensure effective implementation and practice.
மனத்தை ஒருமுகப்படுத்து, சிந்தனையை ஒழுங்குபடுத்து, செயலின் வெற்றியை உறுதிப்படுத்து.
இயலாமை எனும் இருட்டை குறை கூறி என்ன இலாபம்?.
அறிவு என்னும் விளக்கை ஏற்றி இயலாமை என்னும் இருட்டை அகற்றினால் நாம் அனைத்திலும் இலாபம் என்னும் வெற்றியை அடையலாம்.
KOWSHIKAA CONSULTANCY - R.RAJARAM - 9865118262
Haiku Deck is a presentation tool that allows users to create Haiku style slideshows. The tool encourages users to get started making their own Haiku Deck presentations which can be shared on SlideShare. In just a few sentences, it promotes the ease of getting started with Haiku Deck to create brief, visually focused presentations.
This document contains summaries of ways to improve a music video, digipak, and band website.
For the music video, it would be better to use an electric guitar to match the sounds, keep the camera positioning consistent when band members are featured, and include actual performance footage to give a better sense of atmosphere.
Regarding the digipak, a single photo stretched across the inside would be more effective if split into three separate images. The filter and back cover do not match the other panels due to differences in starting colors.
Finally, the website could be improved with more information as it currently looks empty, and should feature more merchandise for sale since that is a major revenue source.
Madelaine Yabut is seeking a job that utilizes her 4+ years of experience as a virtual assistant. She has expertise in CRM systems, task management, graphic design, and social media management. Her professional experience includes roles as an office manager, administrative assistant, project manager, recruitment assistant, and customer service representative for various companies. She holds a Bachelor's degree in Commerce from Wesleyan University in the Philippines.
Vi på IVT Energiteknik i Teckomatorp har marknadens bredaste sortiment. Hos oss hittar du bergvärmepumpar, jordvärmepumpar, sjövärmepumpar, grundvattenvärmepumpar, luft/vattenvärmepumpar, luft/luftvärmepumpar och solvärmelösningar för både villor och fastigheter. Dessutom är IVT den enda tillverkaren som klarar Svanens hårda kvalitets- och miljökrav. Samtliga värmepumpar installeras av kunniga och certifierade installatörer som är specialutbildade för att beräkna ditt hus energianvändning och ge dig lösningen med bäst besparing.
The document discusses applying decision science techniques to solve various business problems in customer relationship management. It covers topics like prospect targeting and acquisition, customer segmentation, profitability and loyalty analysis, cross-selling and upselling strategies, campaign management, customer lifetime value analysis, and customer retention through churn management. Decision science helps businesses make targeted decisions at each customer lifecycle stage to optimize acquisition, usage, retention, and customer lifetime value.
The document discusses how analytics can be used to solve business problems in the retail banking industry. It describes how analytics can be applied to various areas of a bank's profit and loss statement, including acquiring new customers, reducing customer attrition, improving account activation rates, and maximizing revenue from interest, fees, and cross-selling. It also discusses how strategic reporting, marketing analytics, and data-driven insights can be used for segmentation, customer lifetime value analysis, profitability and loyalty analysis, cross-selling strategies, and customer retention programs. The overall aim is to provide a top-down analytical approach to optimize all areas of a bank's operations and financial performance.
The document discusses strategies for revenue growth in the banking sector. It summarizes findings from a PwC CEO survey that banks have mixed views on industry prospects and are focusing on transforming business models and simpler products. It also outlines PwC's revenue growth proposition to help banks address internal questions around business transformation and maximizing customer value, as well as external questions around market share growth and increasing fee-based income.
The document discusses 5 major forces placing pressure on companies: customer retention, shift to service-based differentiation, one-to-one marketing, expanded product diversity, and power shifting to customers. It emphasizes the importance of understanding customer costs, profitability, and lifetime value in order to prioritize high-value customers and make strategic marketing decisions. Customer lifetime value (CLV) treats each customer as an investment and focuses on the long-term profit stream from customers, helping companies evaluate marketing ROI and target attractive new customers.
1) A customer profitability analysis evaluates the costs and revenues assigned to segments of a company's customer base. It focuses on determining which customers are profitable versus unprofitable.
2) The general approach involves segmenting customers, calculating the revenue and costs attributable to each segment using activity-based costing, and then analyzing the profitable versus unprofitable segments.
3) A case study showed an insurance company used customer profitability analysis to identify that recently retired customers were unprofitable for a certain policy, so it adjusted agent commissions to discourage selling to that segment.
Companies can improve customer retention rates by addressing the root causes of customer attrition through a strategic approach. This involves applying targeted retention strategies across all customer touchpoints in a coordinated effort. The document discusses establishing a "Churn Command Center" to oversee retention efforts across the organization. It also emphasizes the importance of customer analytics to understand why customers churn and tailor retention offers, as well as testing offers across channels to maximize effectiveness and minimize risks. Leading companies see reductions in churn of 10-50% through these integrated, data-driven approaches.
Marketing of financial services involves identifying customer needs and developing products and services to meet those needs profitably. It is more complex than marketing goods because financial services are intangible promises. Effective marketing of financial services defines clear objectives, collects customer information to identify needs, and determines the volume, cost, and profitability of reaching different customer segments. Key elements of a marketing strategy include focusing on customers, capturing growth opportunities through innovation and differentiation, ensuring quality, and using market segmentation to target distinct customer groups. Marketing customer information files (MCIFs) systems organize customer data to assist in identifying profitable segments and customers for cross-selling opportunities.
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Similar to Microsoft Word - Customer Centric Sales Strategies - William Surmon (20)
Microsoft Word - Customer Centric Sales Strategies - William Surmon
1. Customer Centric Sales Strategies supporting Cross Selling – WILLIAM SURMON
Proactive Cross selling / customer contact strategies, can be viewed from two important aspects.
The first aspect, involves Information Management, and the technologies which it employs to
generate Customer Insights, which in turn support & sustain customer specific sales and marketing
strategies, and the second aspect involves the Segment Business Unit, and their ability to generate
revenue growth & sales from the Customer Insights received. In both cases, the speed of Execution
from Insight to Action remains the critical success factor.
Information led proactive selling techniques create the opportunity for increasing ROI, using
Lifestage and affordability as two key dimensions for selecting product or service combinations
linked with appropriate product mix matrix, propensity models and event based triggers.
Cross Selling from a Reactive Selling Strategy, occurs through the maximisation of the sales interview
within the Physical Sales Force “Face to Face time”, strong self service offerings as well as the
inbound component of the Contact Centre.
This document focuses on creating the capability to optimise & grow an effective “proactive”
customer centric strategy, based on segmentation, customer profiling and the appropriate customer
value proposition.
DefiningCrossSelling
The current cross sell ratio is defined by dividing the total nett segment specific customer base into
the total nett products linked to those customers on the central customer data base. There could
arise differences between published cross sell ratios, which is mainly due to customer allocation
rules applied differently within business units and support functions.
To gain a better perspective on the Cross Sell ratio, this basic formula should be divided into the
components which make up the holistic equation:
SOLD
PRODUCTS
RETAINED
PRODUCTS
MIGRATED
PRODUCTS
GROSS
PRODUCTS
LESS
CLOSED
PRODUCTS
MIGRATED
PRODUCTS
PRODUCT
OUTFLOW
EQUALS
NETT
PRODUCTS
NEW
CUSTOMERS
RETAINED
CUSTOMERS
NEW
CUSTOMER
RELATIONS
MIGRATED
CUSTOMERS
GROSS
CUSTOMERS
LESS
LOST
CUSTOMERS
LOST
CUSTOMER
RELATIONS
MIGRATED
CUSTOMERS
CUSTOMER
OUTFLOW
EQUALS
NETT
CUSTOMERS
DIVIDED BY:
CROSSSELLRATIO
2. The application of this ratio is flawed due to the following:
• Customer allocation rules ( Segment vs Product business units )
• It is not Strategy Sensitive:
• Profitability vs Market Share Growth
• Customer Growth, Retention strategies
• Operating model customer allocation rules
• Seasonal & Economic Cycles.
• It is not Sub Segment focused
PROITABILITY
FINANCIAL
PERSPECTIVE
CUSTOMER
PERSPECTIVE
INTERNAL
PERSPECTIVE
RESOURCE
PERSPECTIVE
MARKET SHARE
FINANCIAL
PERSPECTIVE
CUSTOMER
PERSPECTIVE
INTERNAL
PERSPECTIVE
RESOURCE
PERSPECTIVE
C
U
R
R
E
N
T
V
I
E
W
D
E
S
I
R
E
D
S
T
A
T
E
Reflecting on the ratio calculation, it becomes evident that the Cross Sell Ratio, could be impacted by
a host of factors, not only through expanding a customer’s existing account portfolio with additional
product sales or service offerings.
It also implies that in order to positively impact the Cross sell ratio, there is a need to:
• Cross sell & product bundle at the source of customer acquisition.
• Retain existing customers, especially those who have multiple product / service portfolios.
• Take note of customers that are migrated to other Segment or Product SBUs in line with
their current Operating Model and Segmentation / Migration rules.
It is important to understand that the Cross Sell ratio will drop, with every new customer that is
acquired, who does not have a Cross Sell ratio larger than 1:1. i.e. The ratio drops with every new
stand alone customer acquired.
In addition, this is also impacted by the affordability of the lower end of the segmented customer
base.
To summarise, the basic customer strategies impacting the Cross Sell ratio are: (UCARE)
• Acquisition - New customer acquisition
3. • Retention - Existing customer retention
• Cost / Profitability Management - Customer migration / allocation within segments related
to CVPs
• Expansion - Customer relationship expansion
• Utilisation - Account Utilisation
This understanding of the various Cross Sell factors, supports the view that all Product and Segment
SBUs are either directly or indirectly responsible for the resultant Cross Sell Ratio. This responsibility
is linked to their value proposition, product offering and the manner in which customers are
acquired and retained.
Furthermore, it is pertinent to understand the impact of the following additional factors, on the
ability to ‘Cross Sell’ and the effectiveness of it:
• Affordability ( Customers ability to pay for additional products)
• Life Stage ( A customers need for a product )
• Customer Profitability ( Usage of the product - Fair Value )
• Product Offering ( Most appropriate product )
• Legislation ( FAIS, NCA etc )
• Dormancies / Closures ( Usage vs start up & admin costs )
• Enablement within the Value Chain - Fulfilment process and the impact thereof on the
success of the ‘Sale’ ( End to End virtual fulfilment ) and policy / governance / compliance
interpretations and applications.
Cross Selling can therefore be defined as:
• ‘A proactive, customer centric, additional offering / solution to an existing or new customer,
which results in a mutually beneficial commercial relationship’.
The Cross Selling ratio should be defined as:
• ‘A strategically sensitive ratio, applied to a specific sub segment, with the intention of
positively influencing the overall profitability or market share of the identified sub
segment’, while enhancing the customers financial situation and service experience.
Accordingly, any customer focused activity initiated by a segment SBU towards the specific
customer segment, has operational and commercial consequences for the remainder of the product
SBUs within the corporate entity, and the Cross Sell ratio for the customer segment involved. It is
therefore crucial, for a collaborative, segment customer Value Proposition and contact strategy to
be established throughout the corporate entity. In addition, the segment will need to identify at
least 4 or more separate cross sell ratios, against which it can measure related performance and get
consensus for these with all stakeholders.
4. Importance of Cross Selling
Cross selling alone will not achieve substantial revenue growth if viewed in isolation. Revenue
growth is achieved through a blend of Acquisition, Retention, Expansion, Cost Management /
profitability, and Utilisation strategies.
However, ‘Cross Selling’ to the existing customer base, will, if conducted responsibly, result in a
substantial contribution to the overall segment revenue growth.
So what is a responsible approach to ‘Cross Selling’, and what potential value can it contribute?
In order to define a responsible approach, it is important to understand the existing Customer
Market, both from an internal as well as an external perspective.
Using statistics from ‘Census 2001’, ‘AMPS 2001’,‘Consumer Research’ conducted in 2001, and
Customer Insights gained from, the current market is depicted as follows:
24%
42%
34% UNEMPLOYED
NOT ECONOMICALLY
ACTIVE
EMPLOYED
15,1 Mil 10,7 Mil
18,9 Mil
91%
8% 1%
R0 < R3 999
R4 000 < R29 999
R30 000 < Above
SOURCE – AMPS 2001
SOURCE – CENSUS 2001
92%
6% 2%
Lower R4k - R13,9k
Middle R14k - R19,9k
Upper R20k - R29,9K
SOURCE – CONSUMER
RESEARCH
92% OF MIDDLE MARKET CUSTOMERS FALL WITHIN
THE LOWER INCOME SEGMENT.
INCOME DRIVES USAGE, WHICH IN TURN DRIVES
REVENUE
( AFFORDABILITY TO TAKE ON ADDITIONAL PRODUCTS ? )
Reflecting on the above graphs, the important factors that stand out are:
• 34% of the total population is employed, and the current trend, compared to 1996 Census
information, is that the Unemployment Ratio is deteriorating.
• The majority ( 91% ) of the population, have an income below R4 000 per month.
• 8% Of the population receiving a higher than R4000 income, have 92% falling within the
Lower earning Sub segment.
5. Current Customer Growth trends are emphasising the need for focused Retention, Expansion and
Profitability strategies. Sufficient volumes of new customers, which will be required to dramatically
impact on Revenue growth are not, according to market statistics, unlimited. If viewed in
collaboration with the current market share dynamics and the cost on new customer acquisition,
then new customer acquisition strategies should take second priority to focused and meaningful
customer retention and cross sell activities, which support profitable growth.
To understand the potential revenue growth within a Financial Services existing customer base, it is
important to understand the various revenue streams. This includes:
• Nett Interest Income
• Non Interest Income
o Transaction & Service Fees
o Commissions
o Profit Share
The segment products can also be grouped to four broad categories:
• Transactional products
• Investment products
• Lending products
• Insurance products
Cross selling a second transactional account to a customer, could potentially result in the same
transaction volumes being distributed between two products, thereby potentially lowering the
overall profitability of the customer due to increased account maintenance costs.
Product usage is core to certain product’s profitability, and the importance of selling the right
product to the right customer, based on affordability, is imperative
A segment’s transactional book ( Savings and Cheque Accounts ), and the profitability thereof can be
viewed according to the following table:
R 0
-
R 4,000
R 4,001
-
R 8,000
R 8,001
-
R 12,000
R 12,001
-
R 16,000
R 16,001
-
R 20,000
R 20,000
+
0101
0202
0303
0404
04 +04 +
NumberofProducts
Monthly Turnover
TRANSACTIONAL SEGMENTATION
LIFE CYCLE
BUYING CYCLE
CULTURE
AFFORDABILITY
USAGE
TRANSACTIONAL
VOLUME
TICKET VALUE
6. The above table, represents segment Transactional Account customers. These customers have been
allocated into sectors based on credit turnover ( income eg, salaries ) and products held.
This Transactional account matrix, showed that customer profitability can be influenced by
increasing product take up, as well as increasing the usage of the existing product.
Further analysis, was undertaken in selected groups, including the Stand Alone product customers,
to understand the sub segment composition and product mix, as well as the next most likely product
take up based on propensity modelling.
The findings were as follows:
• In the single product category, profitability is directly related to transaction volume. The
greater the turnover, the higher the transaction volume.
• Next product take up within the 2nd
product in a retail segment customer base indicates the
following preferences:
o Cheque Accounts
Credit Card
Personal Loan
Savings Account
o Savings Accounts
Investments
Credit Cards
Personal Loans ( Including Short Loans )
A responsible ‘Cross Sell’ strategy for the Transactional Customer base, should include a blend of
Lending and Investment products, and self service related offerings
Further analysis of the stand alone customer base indicates the following:
• High number of scholars and unemployed customers.
From a cross selling perspective, these customers should not be included in the cross sell calculation,
as it would be not be a priority to increase their product holding due to affordability factors, which
could either result in account dormancies.
7. To summarise the above Stand Alone Customer base using Propensity Potential:
STAND ALONE POTENTIAL – PROPENSITY BASED
% Tar to Convers.
% Tar to Contacts
% Tar to Prospect
ANNUAL TARGT
TOTAL
CARD
VAF
HL
SAV
INV
P/L
CHQ
TOTALCARDAVAFAHLSAVINVP/LCHQPROSPECTS
SALES POTENTIAL WITHIN THE STAND ALONE SEGMENT CUSTOMER BASE, USING PROPENSITY MODELS
TO DETERMINE 1ST
PRODUCT TAKE UP.
THE ABOVE FIGURES EXCLUDE PRODUCTS THAT WOULD BE CROSS SOLD AGAINST THE PRIMARY
PRODUCT SALE ( 2:1 = …………x 2 = …………. +………… = ………….. potential product sales – Cross Sell Ratio for
the Stand Alone ……….. base will move from 1 to 1,…. )
The ‘Stand Alone’ analysis can also be applied to 2 product customers, in order to correctly target
and cross sell a 3rd
product. This ‘cross sell’ technique can be systemised into the data warehouse, to
provide a continuous flow of cross sell leads to be actioned by the various SBUs and Distribution
Channels.
Further analysis to be completed on the segment customer base. This analysis, is aimed at
identifying:
• The current composition of segments in terms of Sub Segments, Profitability, Usage,
Product Mix & Channel Mix.
• The potential of future Cross Selling & Usage initiatives aimed at the existing segment
customer base.
• The impact of customer & account attrition on profitability and to highlight some of the
underlying reasons.
The analytic process, which is based on the following method:
Product Potential
This is determined by grouping the segment Customer base into 3 specific customer groupings:
• Transactional, Lending & Investing
Each group is further sub divided into sectors according to Product numbers and Turnover, Average
Balance or Initial Loan Balance. Each sector will be further sub divided into the Sub Segments, which
is based on age ( Life stage ), and will indicate the number of customers in the Sub Segment, as well
as their average profitability.
Each Sub Segment will be further divided into the Product Mix, which will also reflect numbers and
percentage.
8. In order to determine Usage potential, the ultimate ( profitable ) channel mix & usage volume, will
be determined per sub segment. All customers will be matched against their ultimate channel &
usage profile, and areas of potential will be highlighted for customer education on product features
or channel cross sell activities
TRANSACTIONAL LENDING INVESTING
TURNOVER INITIAL LOAN VALUE AVERAGE BALANCE
#
P
R
O
D
U
C
T
S
#
P
R
O
D
U
C
T
S
#
P
R
O
D
U
C
T
S
YOUTH
0–18YEARS
NUMBER=#
AVEPROFIT=(6)
STUDENT
CIFINDICATOR
NUMBER=#
AVEPROFIT=(10)
YOUNGADULT
19–35YEARS
NUMBER=#
AVEPROFIT=9
ESTABLISHED
MIDDLE
36–54YEARS
NUMBER=#
AVEPROFIT=15
SENIORS
55+YEARS
NUMBER=#
AVEPROFIT=7
OTHER
NUMBER=#
AVEPROFIT=5
SAVINGS
200
26%
CHEQUES
100
13%
CREDIT CARDS
50
7%
INVESTMENTS
150
20%
PERS LOANS
150
20%
HOME LOANS
70
9%
AVAF
20
3%
MONEY MARKET
15
2%
SUB SEGMENTS PRODUCT TYPE
AVERAGEPROFITABILITY
NUMBEROFPRODUCTS
This approach will be supportive of the company’s view on Customer Centricity, as Cross Selling
offers, will be aimed at customers, who are in the right life stage cycle and will benefit from the
offering, as well as being in a position to afford the product as to ensure responsible selling practices
are maintained.
Usage Potential
The same analytic approach will be used to determine Usage Potential, the only difference, is that
instead of product mix, the channels used, as well as average transaction volume will be reflected.
TRANSACTIONAL LENDING INVESTING
TURNOVER INITIAL LOAN VALUE AVERAGE BALANCE
#
P
R
O
D
U
C
T
S
#
P
R
O
D
U
C
T
S
#
P
R
O
D
U
C
T
S
TELLER
200
26%
ENQUIRIES
100
13%
ATM
50
7%
POS
150
20%
SYSTEM
150
20%
INTERNET
70
9%
TELE BANKING
20
3%
CELL BANKING
15
2%
SUB SEGMENTS TRANSACTION TYPE
AVERAGEPROFITABILITY
NUMBEROF
TRANSACTIONS
YOUTH
0–18YEARS
NUMBER=#
AVEPROFIT=(6)
STUDENT
CIFINDICATOR
NUMBER=#
AVEPROFIT=(10)
YOUNGADULT
19–35YEARS
NUMBER=#
AVEPROFIT=9
ESTABLISHED
MIDDLE
36–54YEARS
NUMBER=#
AVEPROFIT=15
SENIORS
55+YEARS
NUMBER=#
AVEPROFIT=7
OTHER
NUMBER=#
AVEPROFIT=5
9. Customer Attrition
All previous customer/account losses should be analysed to determine the following trends:
• Geographical ( Spatial analysis )
• Product Trends ( Investments, Personal Loans, Cheques etc )
• Sub Segment ( Demographic analysis )
• Application Process Issues ( T/A Times & scoring quality etc )
• Account Activation Issues ( New accounts opened / closed no activation )
• Reasons for closure ( Service, Bad debt, Dormancy etc )
The critical factors which will enable this process include:
• Quality of Customer Information data.
• Quality of the Data Mining Models.
• An integrated customer contact management strategy.
• Speed of data extraction to sales action.
• ‘End to End’ virtual fulfilment of applications.
In summarizing the importance of Cross Selling, we can categorise them into two key areas:
‘Lock In’ ( Customer Retention )
• Total needs solutioning
• Predicting customer needs
• Complexity of Channel Usage
Profitability ( Customer Expansion )
• Lifetime value
• Pricing
• Product mix
• Usage
Obstacles&Enablers
Obstacles Clarification
• Uncoordinated and un-integrated
marketing, selling and contact strategy
towards the segment customer base.
• Silo Based Organisational Customer Strategies
10. • The quality of our customer information on
CIF.
• The purer the Customer Information, the
greater will be the SBUs ability to contact
customers, and predict customer’s propensity
to take additional products.
• The lack of an ‘End to End’ virtual fulfilment
process for customer applications.
• Research has shown that 62% of customers
visit their branch less than once per month.
Without end to end fulfilment in Contact
Centres, we will still be reliant on customers
going in to branches to finalise applications.
• Segmentation could be too complex and
static. This inhibits the ability to rapidly
respond to changes within the market.
• Segmentation should be basic and cater for
income & life stage splits.
• The lack of an integrated, co-ordinated
approach to cross selling through the
Distribution Channels.
• Various segment strategies when executed,
could be directed to the same customer,
without prioritising or phasing being applied.
• Customer scoring models are product
orientated, and may not support multiple
product scoring.
• A customer approved for a Home Loan, may
not necessarily qualify for a Cheque Account.
The introduction of a total customer view &
multiple product scoring will benefit cross
selling.
• Data Mining Models • Propensity Models
• Event Based Triggers
• Next Best Product
• Proactive selling techniques developed
within the Contact Centre
• Focused Selling, Up Selling, Down Selling, Add
On Selling, By the Way Selling, Cross Selling,
Puppy Dog Selling and Match Selling
techniques will up your conversion ratios if
aligned to the right campaign.
• Potential capacity within t Contact Centres • Optimisation of capacity & the potential for
‘End to End’ processing
• Substantial existing Customer Base to
support data mining and analytics
• Data volumes are required to ensure key
commercial drivers linked to Cost of Sale, and
Operational Efficiencies.
• Highly skilled and tenured sales staff –
skilled in multi product lines and services
• They need to be able to respond to client
needs, questions and responses outside of any
call script, but within the compliance and
governance framework.