Saying you are customer centric is easy, however, delivering a truly outstanding customer experience requires more than marketing fluff. This presentation will explore the topic of Customer Experience and what it means to your customers and your enterprise in today’s competitive landscape.

1. One Customer. One Experience. One Enterprise
Customer Experience Management
SAP 360 Customer Forum
Nicholas Kontopoulos | Senior Global Marketing Director
8th of March, 2013 | Hong Kong

2. A little bit more about me…
@Nicholask71

3. and what makes me tick.
@Nicholask71

4. @Nicholask71

5. @Nicholask71

6. @Nicholask71

7. Passionate about my customers

8. My objective today is to…

10. Fire-up your
brain juices

11. The Impact that the
Digital Customerlook
at
the
imapct
that
the
age
By
taking
a
of
the
“Digital
Customer”
is
having
on n
your
is having o the
businesses
Enterprise

13. OP + NT = EOP

15. "If you keep on doing what you've always done,
you'll keep on getting what you've always got.”
Who said it?: W L Bateman

18. Inefficiencies
Bureaucracy
Lack of innovation

19. “40% of the companies that were at the
top of the Fortune 500 in 2000
were no longer there in 2010”

20. Who
is
the
21st-­‐century
customer?

21. The Good Old Days

22. The 20th century was all about telling
customers what they wanted…

23. There has been a
Revolution

24. Customers No Longer Passive
The are Now Armed to the teeth

25. The
Digital
Revolu9on
is
changing
the
future
of
business,
media
and
culture.

26. Your customers are becoming
Digital Natives

27. Technology is helping spread the
word and thus giving a voice
to the customer.

28. Digital Darwinism
when
technology
and
society
evolve
faster
than
the
ability
for
companies
to
adapt
Who said it?: Brian Solis

29. The customer is
now driving the
conversation

32. OP + NT = EOP

33. Dude, its not all about the technology…

34. 21 st-century
customers require
a
21st-century
management response

36. History Lesson on Management 1.0
1890:
90% of the then developed world worked
in agriculture & the average manufacturing
firm employed 4 employees.
1915:
Ford was making a ½ million cars and
US Steel was the first company in history to
Turnover $1b a year.

37. History Lesson on Management 1.0
1920:
By this time most of the tools for modern
management have been created:
Pay for Performance
Capital Budgeting
Task Design
Divisionalization
Brand Management
Since then the way we manage has hardly
changed.

38. Old Engagement Model
Sales Funnel
Source: St. Elmo Lewis 1898

39. New Engagement Model

40. Time for a Enterprise Reboot

41. We need to rethink our marketing and sales
strategies. Lets start with binning the concept of..
a go-to-market strategy
and replace it with…
a go-to-customer strategy.

42. Customer Experience Management

43. Just
because
you
have
customers
doesn't
mean
you're
Customer Centric

44. The “value added” for most any
company, tiny or enormous,
comes from the quality of the
experience provided.”
– Tom Peters

45. Customer-Intimacy: Key CEO Focus
Top focus areas in next five years
Source: 2010 IBM Global CEO Study: Capitalizing on Complexity

46. Customer Experience: "The
customer's
percepCons
and
related
feelings
caused
by
the
one-­‐off
and
cumulaCve
effect
of
interacCons
with
a
supplier's
employees,
systems,
channels
or
products.“
Source:
Gartner

47. “Or,
the
aggregated memories of
every
touch
a
customer
has
with
your
company”

48. Customer Experience Management:
“The
pracCce
of
designing
and
reacCng
to
customer
interacCons
to
meet
or
exceed
customer
expectaCons
to
increase
customer
saCsfacCon,
loyalty
and
advocacy”
Source: Gartner

49. “Or,
delivering
a
consistent customer
experience across
the
enCre
enterprise”

50. PM + PK = T

52. Promises made + Promises kept =

53. Every sales has five basic
obstacles: no need, no money,
no hurry, no desire, and
no trust.”
– Zig Ziglar

54. the
reality
is
customers
have
never
had
a
greater
choice
of
vendors
to
select
from.

55. “Its now your
obligation to
study how, where & why
customers are connecting
and how they’re making and
influencing decisions”
Who said it?: Brian Solis

56. “It takes a mere 5% of
“Informed individuals” to
influence the direction of a
crowd of up to two hundred
people.”
Professor Jens Krause, Leeds University

57. “Respondents time after
time end up concluding that
they lead the group – even
though they were lead by
others”
Professor Jens Krause, Leeds University

58. People make decisions based…
on the shared experiences of others.

59. Ok,
but
where
do
we
start
then?

60. You need a strategy

61. “Everybody has a plan
until they get punched in
the face" Mike Tyson

62. Get back to basics

63. Quick-fire questions to
consider.
?
Who
are
we
and
who
do
we
want
to
be?
How
do
our
customers
perceive
us
today
and
how
do
we
want
them
to
view
us
tomorrow?
What
are
the
most
influenCal
drivers
of
the
sales
experience?

64. Quick-fire questions to
consider.
?
Do
we
know
who
our
most
valuable
customers
are?
Are
we
able
to
spot
changes
in
purchasing
behaviour?
What
acCons
are
your
sellers
doing
which
may
result
in
a
negaCve
sales
impact?

65. 7
Steps
to
get started with
CEM
§ Build
a
cross-­‐funcConal
work
team
Where to start?
§ Define
key
elements
of
a
strategy
§ Map
the
customer
journey
§ Consolidate
customer
data
collecCon/VoC
§ Create
a
governance
mechanism
§ Map
the
customer
experience
ecosystem
§ Select
Projects
that
build
momentum
Source: 1to1 Media 7 Steps to Get Started With Customer Experience

66. OP + NT = EOP

67. Ok,
but
how
does
Enterprise CRM fit
into
Customer
Experience
Management
then?

68. CRM

69. We
can
design
&
deliver
you
a
world
class
CRM strategy
no
problems…

70. Complexity

72. Excess baggage

73. CRM is
not
about
soZware…
…it
is
an
ideology

74. connecting
people…
It
is
about
employees customers

75. it
is
about
delighting your
customers

76. and
seeing
them
as
more
than
just
a
number…
Account number: 23058399
Transaction number:
00092374
Complaint number: CP09938
Revenue number:
€
$
£

77. …and as companies most
Valuable asset

78. Avoid
becoming
one
of
these
staCsCcs
by
rethinking
your
CRM
strategy
§ 25%
of
firms
reported
that
poorly
defined
business
requirements
having
a
negaCve
impact
on
projects
§ 48%
surveyed
admiged
they
suffered
technical/integraCon
difficulCes
§ 31%
of
firms
reported
that
poor
business
process
design
accounted
for
project
failures
§ 21%
of
businesses
stated
the
need
to
customise
CRM
Source: Computer Weekly.com – Forrester: rethink your CRM strategy

79. CRM Success Factors:
Strategy,
Process,
Technology,
And
People
February 2012 “Navigate The Future Of CRM”

80. Traditional True 360° Customer
Siloed Front-Office CRM Engagement Beyond CRM
Service
Marketing
Billing/
Accounts Sales
Receivable
Ship/ Select
Ensure Product/
Fulfillment Quote
Order/
Procure/ Credit
Build
Check
Internal-focused KPIs
Customer-focused KPIs
• Average call handling time
• First contact resolution rate
• Number of cold calls per hour
• Customer referral rate
• Number of leads generated
• Unsolicited customer inquiries

81. Its
about
inviCng
and
integraCng
the
customer
into
your
enterprise,
this
is
the
definiCon
of
customer centricity

82. CEM + CRM =
Customer Intimacy

83. One customer, one enterprise,
One experience.

84. OP + NT = EOP

85. IT ALL STARTS WITH EMPOWERING PEOPLE

87. Insight
Make Better Decisions

88. white noise

89. Big data

91. Can Marketing Lift Stock Prices?
Used analytics to determine
“Customer lifetime value”
5 years of data was crunched for two
Fortune 1,000 companies (B2B & B2C).
9 month field experiment using specific
marketing strategies based on the
“customer lifetime value” of each
customer or customer segment.
90% of both companies profits were
being generated by 20% of their clients.

92. Can Marketing Lift Stock Prices?
B2B company stock increased
33% nine months after experiment.
Top 3 competitors stock increased 12%.
B2C company stock increased 58%
nine months after experiment. The top
3 competitors stock increased 15%.

93. Unleash Customer Value Intelligence

94. Data Driven Sales Motion

95. Facebook
More than 1 billion active users
Twitter
More than 200 million active users
Average user has 130 friends
Search queries per day 800,000
700 billion minutes spent per month
65 million tweets a day
Youtube
More than 2 billion views per day
24 hours of video uploaded every minute
Each user spends 15 minutes per day
What Organizations think of Social Media?
Social Media is Real but Overwhelming!

96. Few Businesses Have Adjusted Their Social Media Strategy
Businesses either don’t or cannot respond to customers in a timely manner

97. Social Data at your finger tips

98. 90% of
word-­‐of-­‐mouth
conversaCons
about
brands
take
place
offline…
primarily face-­‐to-­‐face,
in
people’s
homes
and
offices,
in
restaurants
and
stores,
really…
anywhere people
congregate.
Source: KellerFayGroup

99. Collaboration
Harness the collective wisdom of the crowd

100. Did you know
?
87% firms say that 3 or
more people are needed to
be engaged for each sales
effort
Source: CSO Insights

101. One Team = Collaboration
“You lose”
“We win”
(LESS) (MORE)

102. Be informed with less effort

103. Agility
Information on the move

105. 2012: 327M U.S.
mobile phones
2015: mobile
phones primary
computing device
2013: mobile phones
have taken over PC as
preferred device to
access the internet
We are now living in an
always on, connected world

106. The Future: Internet of Things

107. The number of mobile workers
isgrowing faster
than the overall workforce.”
User Survey Analysis: Remote Worker Communications Applications and Services, Worldwide

108. Omni Channel
Building a connected engagement platform

109. Your Customers don’t clock off at 5pm
24/7 brands

110. Todays Customer Wants Instant Gratification

111. 1.5 Billion
Millennials globally
Coming of age: In
2011 the youngest hit
their mid-teens & the
oldest entered their
30’s
Youth Quake
Gen Y impact

112. Nicholas, sounds great in
theory, but who’s transformed
their go-to-customer strategy
successfully?

113. CEMEX CEM strategy delivered real tangible
results to its customers and shareholders:
n 99.9% accuracy on order-entry transactions
n 99% cement delivery record with no service issues
n 30% ROI based on efficiency improvements and
incremental sales
n 29% more volume with the same headcount in
customer care center – Reduced Operating Costs
n Increased customer satisfaction
Ven Bontha, n Increase revenues - delivering sustained growth for
Director – Customer Experience, shareholders
CEMEX USA

115. OP + NT = EOP

116. Change is the biggest obstacle
But, change has now changed,
it is now…
Ever surprising
Unrelenting
Unforgiving
Only going to get faster &
faster & faster…

117. “Adapt
or
Die”

118. There is no single
silver bullet
solution

119. Avoid diet pill approach
Short Term Gains

120. Beware of island solutions

121. BUILD A CONNECTED ENTERPRISE
BY BRINGING TOGETHER
PEOPLE + PROCESS + TECHNOLOGY

122. Competitive Advantage
Requires Hard Work

123. Traditional True 360° Customer
Siloed Front-Office CRM Engagement Beyond CRM
Service
Marketing
Billing/
Accounts Sales
Receivable
Ship/ Select
Ensure Product/
Fulfillment Quote
Order/
Procure/ Credit
Build
Check
Internal-focused KPIs
Customer-focused KPIs
• Average call handling time
• First contact resolution rate
• Number of cold calls per hour
• Customer referral rate
• Number of leads generated
• Unsolicited customer inquiries

124. Key Takeaways

125. Customer Intimacy
Everything begins & ends with
your customer.
1 It all starts with passion & purpose
2 It’s now the age of the Digital Customer
3 Time for a new Strategy
4 Avoid making the same mistakes
5 Innovate at the cold face

126. Choosing to Ignore Your Customers is Not a Solution
Customers
have
Virtual
Megaphones
to
Broadcast
Their
Dissa9sfac9on
“The company’s attempt at
recovery should be swift and its
apology perceived as sincere,
[but] Timing is everything!” †
MIT SMR “When Unhappy Customers Strike Back on the Internet” Jan 2011

127. Vision
Customer
Journey
Core team
Platforms Intimacy

128. Think BIG
& Start Small

129. Different
perspective

130. Delivered simply
& conveniently

131. Value gets created between
the employee and the customer,
and management’s job is to
Enable innovation
at that interface.”
– Vineet Nayar, HCL

132. Excellent books to get your brain juices fired up

133. Some cool CEM assets worth reading…

134. I have the power
to drive
transformational
change

135. OP + NT = EOP

136. ?

137. Old Process + New Technology =
Expensive Old Process

138. Thank You!
Feel free in connecting with me @
Nicholas.kontopoulos@sap.com
#nicholask71
http://cn.linkedin.com/in/nicholaskontopoulos
© 2011 SAP AG. All rights reserved. Public 138

139. © 2011 SAP AG. All rights reserved.
No part of this publication may be reproduced or transmitted in any form or for any SAP, R/3, SAP NetWeaver, Duet, PartnerEdge, ByDesign, SAP BusinessObjects
purpose without the express permission of SAP AG. The information contained Explorer, StreamWork, and other SAP products and services mentioned herein as
herein may be changed without prior notice. well as their respective logos are trademarks or registered trademarks of SAP AG
in Germany and other countries.
Some software products marketed by SAP AG and its distributors contain
proprietary software components of other software vendors. Business Objects and the Business Objects logo, BusinessObjects, Crystal
Reports, Crystal Decisions, Web Intelligence, Xcelsius, and other Business
Microsoft, Windows, Excel, Outlook, and PowerPoint are registered trademarks of
Objects products and services mentioned herein as well as their respective logos
Microsoft Corporation.
are trademarks or registered trademarks of Business Objects Software Ltd.
IBM, DB2, DB2 Universal Database, System i, System i5, System p, System p5, Business Objects is an
System x, System z, System z10, System z9, z10, z9, iSeries, pSeries, xSeries, SAP company.
zSeries, eServer, z/VM, z/OS, i5/OS, S/390, OS/390, OS/400, AS/400, S/390
Parallel Enterprise Server, PowerVM, Power Architecture, POWER6+, POWER6, Sybase and Adaptive Server, iAnywhere, Sybase 365, SQL Anywhere, and other
POWER5+, POWER5, POWER, OpenPower, PowerPC, BatchPipes, Sybase products and services mentioned herein as well as their respective logos
BladeCenter, System Storage, GPFS, HACMP, RETAIN, DB2 Connect, RACF, are trademarks or registered trademarks of Sybase, Inc. Sybase is an SAP
Redbooks, OS/2, Parallel Sysplex, MVS/ESA, AIX, Intelligent Miner, WebSphere, company.
Netfinity, Tivoli and Informix are trademarks or registered trademarks of IBM
All other product and service names mentioned are the trademarks of their
Corporation. Linux is the registered trademark of Linus Torvalds in the U.S. and
other countries. Adobe, the Adobe logo, Acrobat, PostScript, and Reader are respective companies. Data contained in this document serves informational
purposes only. National product specifications may vary.
either trademarks or registered trademarks of Adobe Systems Incorporated in the
United States and/or other countries. The information in this document is proprietary to SAP. No part of this document
Oracle and Java are registered trademarks of Oracle and/or its affiliates. may be reproduced, copied, or transmitted in any form or for any purpose without
the express prior written permission of SAP AG.
UNIX, X/Open, OSF/1, and Motif are registered trademarks of the Open Group.
Citrix, ICA, Program Neighborhood, MetaFrame, WinFrame, VideoFrame, and
MultiWin are trademarks or registered trademarks of Citrix Systems, Inc.
HTML, XML, XHTML and W3C are trademarks or registered trademarks of W3C®,
World Wide Web Consortium, Massachusetts Institute of Technology.
© 2011 SAP AG. All rights reserved. Public 139