This document discusses how marketing is moving towards customer engagement management and putting customers at the heart of analytics strategies. It outlines how successful companies are understanding customers through analytics, orchestrating cross-channel communications, engaging customers with relevant offers, and treating each customer as a unique individual. The document provides examples of companies like Britannia, Eurostar, Cisco, Best Western, and PepsiCo that have implemented successful customer analytics strategies, and discusses metrics for measuring the success of such strategies. It also outlines potential pitfalls if a company gets its customer analytics strategy wrong.

1. Putting Customers
at the Heart of Your
Analytics Strategy
Rusty Warner
Vice President, Product Marketing
February 28, 2012
SDL Proprietary and Confidential

2. Agenda
 Where Is Marketing Headed?
 How Do We Get There?
 Who Is Doing it Right?
 What if You Get it Wrong?
 How Do You Measure Success?
SDL Proprietary and Confidential

3. Where Is Marketing Headed?
Today’s customers are…
• Inundated with information
• Actively engaged in multiple channels
• More informed and less brand-loyal
• Able to choose from the entire world

4. Where Is Marketing Headed?
Successful marketers must
become Customer Engagement
Managers
Successful marketers must…
• Understand customers with analytics
• Orchestrate cross-channel communications
• Engage customers with relevant offers
• Treat customers as unique individuals

5. Where Is Marketing Headed?
Customer Engagement Management
Relationship
Marketing
5

6. How Do We Get There?
• What We All Want To Do:
– Derive Maximum Value from Customer Engagement
– Deliver High-Velocity Campaigns using Data Driven Insight
– Make Marketing Resources More Productive and Effective
– Increase Response Rates and Drive Revenue Objectives
• How Do We Do It?
– Build an Enterprise View of Customer Information
• Merge Deep History with Current Behaviour
• Single, Consistent View versus Single Database
– Utilise Customer Intelligence Analytics
• Data Exploration for Personalisation
• Predictive Modelling for Scoring and Propensity
– Leverage Best Practices and Apply Governance
– Synchronise Efforts with Business Operations
6

7. Who Is Doing It Right?
• Organisations who...
– Value Engagement versus Processes or Management
– Understand the Relationship between On-Line and Off-Line
– Treat Customers Consistently across Channels
– Measure the Business Impact of Marketing Activities
• Best Practices
7

8. Britannia: Customer Retention and Development
Objectives
 “Put the Customer First”
 Execute based on Customer Insight
 Manage Increasing Channel Complexity
 Achieve Significant ROI Improvements
Results
 Reduced Direct Marketing Costs by 30%
 Doubled Annual Number of Successful
Cross-Sell Customers
 Increased Average Product Holdings per
8 Customer by 15%

9. Britannia: Customer Retention and Development
“Both marketing productivity and efficiency
have increased. We look forward to creating
further innovative customer insight
programmes… and continuing to
maximise ROI.”
9 - Head of Customer Knowledge & Planning

10. Eurostar: Customer Profiles and Preferences
Objectives
 Eliminate Disparate Data Silos
 Increase Customer Intelligence
 Improve Relationship-Building
 Support Operational Execution
Results
 Consolidated Database with Customer
Information from Multiple Countries
 Open-Rates Increased by 100%
 Click-Through’s Increased by 50%
10  Average Revenue Increased by 400%

11. Eurostar: Customer Profiles and Preferences
“With the implementation of the database,
Eurostar have been able to create targeted
communications based on traveller behaviour
and profiles. The results have been far beyond
expectations.”
11 - Customer Database Manager

12. Cisco: One-to-One Relationships
Objectives
 Sell to Companies BUT Market to Individuals
 Identify the Right Contacts for Campaigns
 Develop a Single Global View for Local Use
 Re-Activate Dormant Contacts
Results
 Consolidated Database
 40M+ Customer Contacts
 100M+ D&B Companies
 Deep History for Up-Sell and Cross-Sell
12  Predictive Modelling for Propensity and Value

13. Cisco: One-to-One Relationships
“Tremendous potential for gaining new
insights has been unleashed…Today we can
perform analysis tasks around 30 times
quicker than before.”
13 - Global Database Marketing Manager

14. Best Western: Email and Web Integration
Objectives
 Improve Customer Engagement for Loyalty Program
 Increase Relevancy of Newsletters and Campaigns
 Treat Individuals as Unique Users for Email & Web
 Deliver Dynamic Content based on Customer Behaviour
Results
 Greatly Enhanced the Standard Tiered
Approach for Customer Loyalty
 40% Increase in Click-Through Rates
 540% Rise in Loyalty Point Redemption
14  30% Overall Return on Investment

15. Best Western: Email and Web Integration
“We can build quick, flexible campaigns, all with
1000s of content variants. As the tools integrate
seamlessly, we also save time as we don’t have to
move data manually between the database and email
tool anymore.”
15 - Digital Product Consultant

16. PepsiCo: Social Media Integration
Objectives – Starbucks
 Analyze Purchase Decisions
 Understand Consumer Behavior
 Determine Impact of Bottled Drinks
 Enhance Customer Experience via Collaboration
Objectives – Mountain Dew
 Support Launch of New Voltage Flavor
 Increase Awareness and Drive Trials
 Convince Web Influencers to Advertize
 Reduce Research & Analysis Efforts
16 (from 100 hours over 2 weeks to 15 hours)

17. PepsiCo: Social Media Integration
“The solution gave us the flexibility to find the
type of granular insights which help underpin
our services, in a fraction of the time it would
normally take.”
17 - CEO, Global Agency Partner

18. What Happens If You Get It Wrong?
Examples from Personal Experiences…
(Names Hidden to Protect the Guilty!!!)
1.When You Can’t See the Forest for the Trees
– Marketing Not Aligned with Customer Demands
– Processes & Metrics Matter More than Customers
2.When You Rob Peter to Pay Paul
– Marketing Not Aligned across Business Units
– Customers Defect while You Figure Out Who They Are
3.When You’re Your Own Worst Enemy
– Marketing Not Aligned with Operations
– Customers Engaged, but You Can’t Service their Needs
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19. How Do You Measure Success?
• Define Agreed, Quantifiable Metrics
– Reduction in Spend per Channel
– Campaign Uplift for Open, Click-Through, etc.
– Revenue Results Directly Impacted
• Apply Business Performance Benchmarks
– Business Problem Solved
– New Business Opportunity Realised
– Tangible Advantage over Competitors
• Don’t Forget Internal Goals and Objectives
– Users Satisfied and Asking for Additional Functionality
– Project Delivered on Time and on Budget
– Created an Agent of Change within the Organisation
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20. Putting Customers at the Heart of Your Analytics Strategy
rwarner@sdl.com
rusty.warner@alterian.com
Twitter: @RustyWarner
LinkedIn: Rusty Warner

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