The document discusses customer advisory boards and their strategic value for corporate development. It provides an overview of the key benefits of customer advisory boards, which include helping companies transform by increasing customer centricity, improving products/services, and driving cultural change. It also notes that establishing an advisory board early can help improve a company's reputation and serve as a signal to customers that the company values their input. Research found that while customer advisory boards are not widely known, most people think they make sense once the concept is explained. The document provides insights into how companies can best utilize advisory boards for transformation and enhancing their reputation.

1. CUSTOMER
ADVISORY
BOARD
A Strategic Instrument for
Corporate Development.
1

2. Methodology
Collaborative study of Musiol Munzinger Sasserath, Postbank and
F.A.Z.-Institut.
30 interviews with executives of companies with and without
Customer Advisory Board, interviews with members of Customer
Advisory Board (March to May 2011).
Representative CATI-survey of the German-speaking population
older than18 years (n = 1002) conducted by Forsa in April 2011.
Survey with „non-applicants“ to the Postbank Customer Advisory
Board (n = 100) conducted by TNS Infratest in March and April
2011 enriched with data analysis of written applications for the
Customer Advisory Board (n=1.833) and phone interviews
(n=276).
Plus additional articles and Best Practice.
2

3. Overview
1. The Benefit – Transformation: Customer Advisory Boards can contribute to the
transformation of a company by increasing customer centricity and improving products
and services.
2. The Opportunity – Reputation: As the institution is still in its infancy, establishing a
Customer Advisory Board can help to improve a company’s reputation.
3. The Relevance – Customer Advisory Boards make sense: The majority of the
population is convinced that Customer Advisory Boards make sense.
4. The People – Motivated, informed and positive: Candidates for Customer Advisory
Boards are generally well informed and have a positive attitude towards the company.
5. The Basics – Building blocs and requirements.
3

4. 1. The Benefit – Transformation.
4

5. Different focus – depending on type of company –
but common overall objective: Transformation.
Customer (mobile) Ex- Service
Change
Centricity Monopolists Companies
Tangible
Co-operation Relationship Specialists
Companies
5

6. The transformation can include
internal an external aspects.
Transformation: Reputation:
Optimizing the Change of perception by
organization, products and establishing CAB as a
services, corporate internal external
platform for reputation and
development a direct link to management
Optimization, Innovation Reputation
& Co-Creation
Issues Management &
Understanding Customers Agenda Setting
Cultural Change Advocacy
6

7. The Customer Advisory Board as part of general
as well as specific transformation processes.
“We would like to develop a
“The Customer Advisory new business segment
Board is part of our Change- with the help of our
Management Program.” Customer Advisory Board.”
“Without our customers’
advice we wouldn’t be
able to enhance our
service.”
Source: Interviews conducted for "Customer Advisory Board – A strategic instrument for corporate development"
7

8. The Customer Advisory Board as a platform for
dialogue with “real” customers.
“They’re not a paid panel with
random participants, but real
customer with self- “Board members are
interests.” personalities, not just ‘study
objects’ as in market research.
Encounters take place on the
same level.“
Source: Interviews conducted for "Customer Advisory Board – A strategic instrument for corporate development"
8

9. The Customer Advisory Board as a
catalyst for cultural change.
“We think more
customer-centric since
“The Customer Advisory we have a Customer
Board is good for our Advisory Board.”
corporate culture.”
Source: Interviews conducted for "Customer Advisory Board – A strategic instrument for corporate development"
9

10. 2. The Opportunity – Reputation.
10

11. The signal effect has an impact.
„Our Customer Advisory
Board-initiative shows: We‘re
an open company and a „The Customer Advisory
pioneer in our industry.“ Board does not result in
higher sales, but it’s a
signal.“
Source: Interviews conducted for "Customer Advisory Board – A strategic instrument for corporate development"
11

12. However, the Customer Advisory Board
should not be overly marketed.
„Sensibility
is crucial.“
„The Customer Advisory Board
is not a PR-instrument. This
is why it only has a very basic
website.“
Source: Interviews conducted for "Customer Advisory Board – A strategic instrument for corporate development"
12

13. 3. The Relevance – Customer
Advisory Boards make sense.
13

14. Customer Advisory Boards are
not yet widely known.
20%
„Have heard of the
75% term, but do not
exactly know what it
„Never heard of it.“ means.“
4%
„Know exactly, what it is.“
Source: "Customer Advisory Board – A strategic instrument for corporate development”, Musiol Munzinger Sasserath, F.A.Z-Institut and Postbank, May 2011;
representative CATI-survey, n = 1.002, forsa; Question: „Do you know exactly, what a Customer Advisory Board is, have you heard the term, but do not exactly
know what it means, or have you never heard of it?“ 1% don’t know/ no answer
14

15. But if the concept is explained …
„A Customer Advisory Board consists of several
customers of a company, who can make suggestions
regarding the products and services of the company. In
return for their efforts, they receive a small
compensation. However, it is up to the company to
decide whether or not it will consider and implement
the suggestions of the Board.“
Source: "Customer Advisory Board – A strategic instrument for corporate development”, Musiol Munzinger Sasserath, F.A.Z-Institut and Postbank, May 2011;
representative CATI-survey, n = 1.002, forsa
15

16. … the majority is convinced that Customer
Advisory Boards make sense.
23%
58%
„they don’t make
„they make a lot of a lot of sense“
sense“ and „they
make sense“ 17%
„they make no
sense at all“
Source: "Customer Advisory Board – A strategic instrument for corporate development”, Musiol Munzinger Sasserath, F.A.Z-Institut and Postbank, May 2011;
representative CATI-survey, n = 1.002, forsa; Question: „Do Customer Advisory Boards makes sense in your opinion“ 3% don’t know / no answer
16

17. 4. The People – Motivated,
informed and positive.
17

18. Who wants to be part of a Customer
Advisory Board?
Who doesn‘t? Any why not?
18

19. Satisfied customers would like to get involved
in a Customer Advisory Board.
3% 3%
29% 49%
69% 49%RTHER
FOR FU
DE TAILS P
LEASE
CONTA
CT US
Source: "Customer Advisory Board – A strategic instrument for corporate development”, Musiol Munzinger Sasserath, F.A.Z-Institut and Postbank, May 2011;
Survey with „Non-Applicants“ to the Postbank Customer Advisory Board (n = 100) in March and April 2011 by TNS Infratest enrichedwith data analysis of written
applications for the Customer Advisory Board (n=1.833) and phone interviews (n=276)
19

20. Customers with a positive attitude
towards the company.
4%
14%
23%
34%
73% 52%
FOR FU
RTHER
DETAIL
S PLEA
CONTA SE
CT US
Source: "Customer Advisory Board – A strategic instrument for corporate development”, Musiol Munzinger Sasserath, F.A.Z-Institut and Postbank, May 2011;
Survey with „Non-Applicants“ to the Postbank Customer Advisory Board (n = 100) in March and April 2011 by TNS Infratest enrichedwith data analysis of written
applications for the Customer Advisory Board (n=1.833) and phone interviews (n=276)
20

21. What are the reasons against participating in a
Customer Advisory Board? Mainly personal issues.
3%
18%
„no interest“ 36%
„unwilling to
participate“ 8% „no time“
„job“
8% 9% FOR FU
6%
„age“ RTHER
„lack of personal DETAIL
S PLEA
competence“ CONTA SE
CT US
„family“
2%
4%
„little influence of CAB“
„health“
Source: "Customer Advisory Board – A strategic instrument for corporate development”, Musiol Munzinger Sasserath, F.A.Z-Institut and Postbank, May 2011;
Survey with „Non-Applicants“ to the Postbank Customer Advisory Board (n = 100) in March and April 2011 by TNS Infratest
21

22. 5. The Basics – Building blocs
and requirements.
22

23. For further information on building blocks and
requirements for a Customer Advisory Board …
… order the full report: … contact us:
Nina Reicke
Partner
T +49 30.7790777-82
nr@musiolmunzingersasserath.com
Musiol Munzinger Sasserath
Gesellschaft für umsetzungsorientierte Markenberatung
und Markenentwicklung mbH
Rosenstraße 18
D-10178 Berlin
(only available in German) T +49 30.7790777-70
F +49 30.7790777-99
faz-institut.de facebook.com/MusiolMunzingerSasserath
23

24. „Is there anything better for
engaging customers in a
dialogue than a Board?“ „I would like to be
part of it for a long
time.“
Source: Interviews conducted for "Customer Advisory Board – A strategic instrument for corporate development"
24

25. Gesellschaft für umsetzungsorientierte Markenberatung
und Markenentwicklung mbH
Rosenstraße 18
D-10178 Berlin
T +49 30.7790777-70
F +49 30.7790777-99
hello@musiolmunzingersasserath.com
www.musiolmunzingersasserath.com
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