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Navigating the Customer
      Landscape
Itinerary
• Planning the Marketing Journey
• 5 Changing Peaks of the Customer Landscape
   • Demographic Shifts
   • Technological Innovations
   • Globalization
   • Saturation
   • Brand Control
• Tickets to Success
Planning the Marketing Journey
Reviewing the Globe
   •Marketing is the activity, set of institutions, and processes
   for creating, communicating, delivering, and exchanging
   offerings that have value for customers, clients, partners,
   and society at large. (Approved October 2007 by the
   American Marketing Association.)

    •Marketing: one of many business functions created
    primarily to drive revenue and support business strategy
    (Dracos~Lemming Consulting, 2007.)
Understanding the
  Brand
              “Destination”
Awareness
                            The 5 Objectives of Marketing
               Brand
            Comprehension


                            Cultivation


                                          Conversion


                                                       Retention
Understanding the “Destination”

            The 5 Primary Roles of Marketing Activity
Customer
 Mindset




                   Explore            Learn              Assess              Fulfill               Evangelize

                  Brand               Brand
                                                        Cultivation        Conversion               Retention
Marketing
Objective




                Awareness          Comprehension


              Advertising      Website Development      e-marketing       Technical Collateral   Customer Relationship
                                                                                                     Management
            Public Relations      Search Engine      Thought Leadership        Sampling
Sample
Tactics




                                   Optimization                                                    Retention Events
                Internet                              Direct Marketing     Speaker Events
                                 Seminars / Talks                                                    e-marketing
             Out of Home                              Public Relations
                                  Sponsorships                                                     Personal Selling
             Mobile Media                               Social Media
                                   Tradeshows                                                      Direct Marketing

                                 Brand Collateral                                                  Loyalty Programs
The 5 Changing Peaks of
Customer Landscape

  Demographics                   Technology


                 Globalization
                                 Saturation
     Brand
Changing Peak #1:
  Demographics

USA: 1950                  USA: 2010

• Population: 152 MM       • Population: 309 MM =
                             2x
                                 • Increased births
                                 • Decreased deaths


• Immigration: 2,090,000
                           • Immigration: 6,656,000
• Age: 65+ = 8.1%
                           • Age: 65+ = 12.4%
Changing Peak #1:
  Demographics
US Legal
Immigration
     Country of Origin:         State Destination:   Metropolitan Destination:
1.    Mexico            14.6%   1.   California      1.   NYC/New Jersey
2.    China              6.0%   2.   New York        2.   Los Angeles
3.    Philippine         5.3%   3.   Texas           3.   Miami
4.    India              5.1%   4.   Florida         4.   Washington, DC
5.    Dominican Republic 4.4%   5.   Illinois        5.   Chicago
6.    Cuba               3.4%   6.   New Jersey      6.   San Francisco
7.    Vietnam            2.6%




                                                              Source: U.S. Census: 2010
Changing Peak #1:
   Demographics
Age
1950:




        Source: CRS extractions from U.S. Census Bureau, International Data Base (IDB), http://www.census.gov/ipc/www/idb/country.php   .
Changing Peak #1:
   Demographics
Age
2000:




        Source: CRS extractions from U.S. Census Bureau, International Data Base (IDB), http://www.census.gov/ipc/www/idb/country.php   .
Changing Peak #1:
   Demographics
Age
2050:




        Source: CRS extractions from U.S. Census Bureau, International Data Base (IDB), http://www.census.gov/ipc/www/idb/country.php   .
Changing Peak #2: Technology
Changing Peak #2: Technology
•Speed:
     • Communication: 24-hour news cycle
     • Innovation: 100 weeks ago no iPad
     • Information sharing: Email, IM, texting, tweeting, blogging
• Adoption: Tech-savvy, tech-enabled customers/members
     •Smartphones: 33% CAGR over next 5 years
     • Tablets: 81% CAGR over same period
•Personalization: One web interface to 10 million
  interfaces
Changing Peak #2: Technology
• Connectivity:
   • Proximity: geography unimportant
   • Convergence: Seamless experience across
   touch points AND devices
   • Virtual networks: social media
•Data Capture: devices and companies will know
you better than you know yourself (Siri, Kinect,
Netflix)
Changing Peak #2: Technology

• Social Media:
   • User-generated content that is shared over the
   internet via technologies that promote
   engagement, sharing and collaboration
   • Social media are media for social interaction,
   using highly accessible and scalable publishing
   techniques
•Social Media is word of mouth on steroids
                                             Source: 60 Second Marketer
Changing Peak #2: Technology
• Social Media:
   • Users of social media are disproportionately female (56%)
   • 40% of social media users access their content from a
   mobile device
   • Nearly twice as many men use Linked In as women
   (63%)
   •55+ age group doubled their mobile internet usage in one
   year
   • 80% of Facebook users are outside the U.S. and Canada
                                                     Source: 60 Second Marketer
Changing Peak #2: Technology

Search Engines:                                       Search Engines:
       • Google        72%                                   • Baidu
       • Yahoo         15%
                                                             • Soso
       • Bing          10%
                                                             • Sogou
Social Sites:
       •   Facebook    7.0B                           Social Sites:
       •   Twitter     182 MM                                • Renren
       •   Pinterest   104 MM
       •   LinkedIn         86 MM                            • Kaixin
B2C E-commerce:                                              • 51.com
       • Amazon                                       B2C E-commerce:
       • Wal-Mart                                            • 360buy.com
       • Sears
                                                             • M18.com
B2B E-commerce:
       • Apple                                               • Joya
       • Dell
       • Staples             Source: comScore, 2012                     Source: Internet Marketing Inc., 2012
Changing Peak #3: Globalization
Languages spoken in the United States
•   English:                     82.1%
•   Spanish:                  10.7%
•   Other Indo-European:          3.8%
•   Asian and Pacific island:      2.7%
•   Other:                         0.7%

                             Source: U.S. Census, 2000
Changing Peak #3: Globalization
Changing Peak #3: Globalization
Changing Peak #4: Saturation
Changing Peak #4: Saturation
Marketing 1985:                   Marketing 2012:

•   3 Network channels             • 1,000+ television
•   4 National magazines             channels
•   Healthy local newspapers       • 5,000+ publications
•   AM and FM radio
•   Direct Mail = monthly bills
                                   • Declining print media
•   No Cable TV                    • 10,000+ traditional radio
•   No internet                      stations
•   No email                       • Satellite radio
•   No mobile devices
                                   • Direct Marketing = $10B
                                   • 2011 E-commerce =
                                     $2.2B
Changing Peak #4: Saturation
Advertisements viewed per day:
      • 5,000+     (Yankelovich, 2007)
Venues:
      Logoed apparel         Lavatories
      Sky writing           Stadiums
      Airplane seatbacks     Taxis
Backlash:
      Do Not Call            Do Not Mail
      Spam blockers/filters Do Not Track
      Tivo/DVRs              No solicitation legislation
Changing Peak #4: Saturation
Launching a Product: Then   Launching a Product: Now
Changing Peak #5: Brands

• brandn.
1.   A trademark or distinctive name identifying a product or a
     manufacturer.
2.   A distinctive mark burned into or upon with a hot iron, to indicate
     quality, ownership, etc.,

personalityn.
1.   The totality of qualities and traits, as of character or behavior, that
     are peculiar to a specific person
Changing Peak #5: Brands
• Brand = EXPERIENCES, not logos
• Brand = TRUST
   •S-Corporations: higher purpose
• Brand = TRANSPARENCY
•Brand = RELATIONSHIPS
Changing Peak #5: Brands
• Control of brand = hands of consumer (C2C)
• Reverse segmentation: “Brands no longer
segmenting customers, customers segmenting
brands; loyalty not customer to company but
company to customer”*
•Brand passion: “I love Google” = 3.27mm hits
• Brand passion = lower churn and higher
revenue
Changing Peak #5: Brands
Trust in Financial brands at an all time low
   • Scandals
   • Executive compensation
   • Mortgage crisis
   • Failures
   • Sagging morale
Changing Peak #5: Brands
Bank/Credit Union Brand Factors:
  • Branch experience                  Branch

  • Online experience
  • Speed of service
  • Service quality              Brand
                            Products            Online



  • Competitive pricing
  • Staff friendliness                 Staff
The Ticket to Success
•   Know your customer/member
•   Deliver the right content
•   With on-brand and relevant messaging
•   Using the right marketing tactic
•   Sent with appropriate timing
•   Helps address an immediate need
•   And drives meaningful action
The Ticket to Success
Wishing you
smooth sailing past
the ever-changing
peaks of Marketing
in the 21st century!
THANK YOU!


  ellen@dracoslemming.com
        404-307-4665

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Navigating the Customer Landscape

  • 1.
  • 3. Itinerary • Planning the Marketing Journey • 5 Changing Peaks of the Customer Landscape • Demographic Shifts • Technological Innovations • Globalization • Saturation • Brand Control • Tickets to Success
  • 4. Planning the Marketing Journey Reviewing the Globe •Marketing is the activity, set of institutions, and processes for creating, communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and society at large. (Approved October 2007 by the American Marketing Association.) •Marketing: one of many business functions created primarily to drive revenue and support business strategy (Dracos~Lemming Consulting, 2007.)
  • 5. Understanding the Brand “Destination” Awareness The 5 Objectives of Marketing Brand Comprehension Cultivation Conversion Retention
  • 6. Understanding the “Destination” The 5 Primary Roles of Marketing Activity Customer Mindset Explore Learn Assess Fulfill Evangelize Brand Brand Cultivation Conversion Retention Marketing Objective Awareness Comprehension Advertising Website Development e-marketing Technical Collateral Customer Relationship Management Public Relations Search Engine Thought Leadership Sampling Sample Tactics Optimization Retention Events Internet Direct Marketing Speaker Events Seminars / Talks e-marketing Out of Home Public Relations Sponsorships Personal Selling Mobile Media Social Media Tradeshows Direct Marketing Brand Collateral Loyalty Programs
  • 7. The 5 Changing Peaks of Customer Landscape Demographics Technology Globalization Saturation Brand
  • 8. Changing Peak #1: Demographics USA: 1950 USA: 2010 • Population: 152 MM • Population: 309 MM = 2x • Increased births • Decreased deaths • Immigration: 2,090,000 • Immigration: 6,656,000 • Age: 65+ = 8.1% • Age: 65+ = 12.4%
  • 9. Changing Peak #1: Demographics US Legal Immigration Country of Origin: State Destination: Metropolitan Destination: 1. Mexico 14.6% 1. California 1. NYC/New Jersey 2. China 6.0% 2. New York 2. Los Angeles 3. Philippine 5.3% 3. Texas 3. Miami 4. India 5.1% 4. Florida 4. Washington, DC 5. Dominican Republic 4.4% 5. Illinois 5. Chicago 6. Cuba 3.4% 6. New Jersey 6. San Francisco 7. Vietnam 2.6% Source: U.S. Census: 2010
  • 10. Changing Peak #1: Demographics Age 1950: Source: CRS extractions from U.S. Census Bureau, International Data Base (IDB), http://www.census.gov/ipc/www/idb/country.php .
  • 11. Changing Peak #1: Demographics Age 2000: Source: CRS extractions from U.S. Census Bureau, International Data Base (IDB), http://www.census.gov/ipc/www/idb/country.php .
  • 12. Changing Peak #1: Demographics Age 2050: Source: CRS extractions from U.S. Census Bureau, International Data Base (IDB), http://www.census.gov/ipc/www/idb/country.php .
  • 13. Changing Peak #2: Technology
  • 14. Changing Peak #2: Technology •Speed: • Communication: 24-hour news cycle • Innovation: 100 weeks ago no iPad • Information sharing: Email, IM, texting, tweeting, blogging • Adoption: Tech-savvy, tech-enabled customers/members •Smartphones: 33% CAGR over next 5 years • Tablets: 81% CAGR over same period •Personalization: One web interface to 10 million interfaces
  • 15. Changing Peak #2: Technology • Connectivity: • Proximity: geography unimportant • Convergence: Seamless experience across touch points AND devices • Virtual networks: social media •Data Capture: devices and companies will know you better than you know yourself (Siri, Kinect, Netflix)
  • 16. Changing Peak #2: Technology • Social Media: • User-generated content that is shared over the internet via technologies that promote engagement, sharing and collaboration • Social media are media for social interaction, using highly accessible and scalable publishing techniques •Social Media is word of mouth on steroids Source: 60 Second Marketer
  • 17. Changing Peak #2: Technology • Social Media: • Users of social media are disproportionately female (56%) • 40% of social media users access their content from a mobile device • Nearly twice as many men use Linked In as women (63%) •55+ age group doubled their mobile internet usage in one year • 80% of Facebook users are outside the U.S. and Canada Source: 60 Second Marketer
  • 18. Changing Peak #2: Technology Search Engines: Search Engines: • Google 72% • Baidu • Yahoo 15% • Soso • Bing 10% • Sogou Social Sites: • Facebook 7.0B Social Sites: • Twitter 182 MM • Renren • Pinterest 104 MM • LinkedIn 86 MM • Kaixin B2C E-commerce: • 51.com • Amazon B2C E-commerce: • Wal-Mart • 360buy.com • Sears • M18.com B2B E-commerce: • Apple • Joya • Dell • Staples Source: comScore, 2012 Source: Internet Marketing Inc., 2012
  • 19. Changing Peak #3: Globalization Languages spoken in the United States • English: 82.1% • Spanish: 10.7% • Other Indo-European: 3.8% • Asian and Pacific island: 2.7% • Other: 0.7% Source: U.S. Census, 2000
  • 20. Changing Peak #3: Globalization
  • 21. Changing Peak #3: Globalization
  • 22. Changing Peak #4: Saturation
  • 23. Changing Peak #4: Saturation Marketing 1985: Marketing 2012: • 3 Network channels • 1,000+ television • 4 National magazines channels • Healthy local newspapers • 5,000+ publications • AM and FM radio • Direct Mail = monthly bills • Declining print media • No Cable TV • 10,000+ traditional radio • No internet stations • No email • Satellite radio • No mobile devices • Direct Marketing = $10B • 2011 E-commerce = $2.2B
  • 24. Changing Peak #4: Saturation Advertisements viewed per day: • 5,000+ (Yankelovich, 2007) Venues: Logoed apparel Lavatories Sky writing Stadiums Airplane seatbacks Taxis Backlash: Do Not Call Do Not Mail Spam blockers/filters Do Not Track Tivo/DVRs No solicitation legislation
  • 25. Changing Peak #4: Saturation Launching a Product: Then Launching a Product: Now
  • 26. Changing Peak #5: Brands • brandn. 1. A trademark or distinctive name identifying a product or a manufacturer. 2. A distinctive mark burned into or upon with a hot iron, to indicate quality, ownership, etc., personalityn. 1. The totality of qualities and traits, as of character or behavior, that are peculiar to a specific person
  • 27. Changing Peak #5: Brands • Brand = EXPERIENCES, not logos • Brand = TRUST •S-Corporations: higher purpose • Brand = TRANSPARENCY •Brand = RELATIONSHIPS
  • 28. Changing Peak #5: Brands • Control of brand = hands of consumer (C2C) • Reverse segmentation: “Brands no longer segmenting customers, customers segmenting brands; loyalty not customer to company but company to customer”* •Brand passion: “I love Google” = 3.27mm hits • Brand passion = lower churn and higher revenue
  • 29. Changing Peak #5: Brands Trust in Financial brands at an all time low • Scandals • Executive compensation • Mortgage crisis • Failures • Sagging morale
  • 30. Changing Peak #5: Brands Bank/Credit Union Brand Factors: • Branch experience Branch • Online experience • Speed of service • Service quality Brand Products Online • Competitive pricing • Staff friendliness Staff
  • 31. The Ticket to Success • Know your customer/member • Deliver the right content • With on-brand and relevant messaging • Using the right marketing tactic • Sent with appropriate timing • Helps address an immediate need • And drives meaningful action
  • 32. The Ticket to Success Wishing you smooth sailing past the ever-changing peaks of Marketing in the 21st century!
  • 33. THANK YOU! ellen@dracoslemming.com 404-307-4665

Editor's Notes

  1. GM: thank you for opportunity. Take you on a journey. How many marketers do we have in the room? Great – lots of data – almost each concept could be a session in itself. High-level overview.
  2. Thank you for opportunity: apologies in advance – consumer/customer/member = same idea. Take you on a journey this morning to navigate the rapidly changing customer landscape… again LOTS of data being presented – hope some will strike you as new and important.
  3. Before we unearth the 5 key peaks of marketing, I wanted to make sure we are all on the same page. Many definitions of Marketing: the one I will emphasize.
  4. Before set off on journey, have to know the destination. 5 possibilities
  5. Not only do we have destinations, but we have mindsets and tactics. For example:
  6. 103% growth rate in US, while 21% in Germany and 30% in Italy; 75% of all heart attack patients now live…
  7. 103% growth rate in US, while 21% in Germany and 30% in Italy
  8. Christmas Tree
  9. Christmas bush
  10. Shrubbery; 2050: 1 in 5 Americans will be over 65 yrs. Old. Implications: large and small: older persons’ preferences, disabilities, even larger type!
  11. Trying to keep up is like driving the bus in Speed…don’t‘ know where you’re going, but you’re going awfully fast!
  12. Implications: INVEST, be open and flexible: Big Brother is watching – banks have volumes of data to mine. If you’re not paying attention to tablets you will get left behind.
  13. IT DOESN’T MATTER WHERE YOUR CUSTOMERS ARE – must reach them virtually.
  14. Implications: INVEST, be open and flexible: Big Brother is watching – banks have volumes of data to mine.
  15. Implications: Never trust anyone over 40? Never trust anyone with an email account.
  16. NA = 12% of ww internet users; Asia is 800lb. gorilla
  17. However, NOT SO FAST. Av. Penetration is only 33%
  18. 103% growth rate in US, while 21% in Germany and 30% in Italy
  19. 103% growth rate in US, while 21% in Germany and 30% in Italy
  20. The self-inflicted wound; Implication: build relationships not advertising
  21. The self-inflicted wound; Implication: build relationships not advertising
  22. Delta Airline: Delta Assist on TwitterHospital Corp. of America: ER wait times on social media