Email Marketing with SAP CRM


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Marketers turn to CRM systems to manage large volume, complex data sets and take advantage of the rich data at their disposal to drive relevant marketing programs. CRM systems are great for managing customer data, campaign automation flow and tracking interactions with customers, but are they ideal for delivering high-volume email marketing campaigns?

Hear Forrester CRM Analyst Suresh Vittal present an in-depth look at the changing world of CRM, the need for sophisticated campaign execution functionality, and how marketers can now seamlessly leverage the data in SAP CRM with a best-in-class email marketing system. Learn how your marketing team can benefit from bi-directional data integration, improving email marketing campaign performance while saving a significant amount of time and resources.

Key things you will learn:
• How email is changing the world of CRM.
• The power of integrating best-in-class email marketing with CRM to strengthen customer relationships and drive revenue.
• Strategies for leveraging your CRM data in email campaigns.
• How to send millions of dynamic emails reliably and effectively.
• How you can achieve email deliverability above 95%.

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  • Loyalty Program Management enables set-up and maintenance of loyalty programs. Program maintenance includes information about program partners, program-related loyalty status levels, set-up and maintenance of point accounts, as well as program-specific attributes based on flights, nights of stay, dollars spent, frequency of purchases, and so on. Loyalty Reward Rule Management includes the set-up and maintenance of loyalty rules and conditions, campaigns for enrollment and registration, finally being processed by the loyalty engine. All points accrued and redeemed by members are recorded within the member‘s point account. Loyalty Membership represents the participation of an individual person to a specific loyalty program. Membership is opened by registration to the loyalty program, either paper-based, via Web self-service, or Interaction Center. It also includes member activities such as flights, hotel stays, or sales activities, finally being processed by the processing engine against the reward rules. The Loyalty Management Processing Engine is a highly scalable component to process member activities, tier transition evaluation, and point expiration. It is an integrated part of SAP CRM and the “heart” of the SAP CRM based Loyalty Management solution. Some market analysis demonstrates how crucial it is e.g. for an airline company to manage their loyalty program in a more innovative and aggressive way – Surveys show that … A top business traveler has on average 21 flights / year 94% of business travelers belong to at least one frequent flyer program 60% of business travelers belong to three or more programs 80% of business travelers state that loyalty programs influence their travel decisions 20% of loyalty program members generate 80% of an airline's profit 9% of all travelers buy 50% of an airline's premium seats Whereas … It costs 10 times more to acquire new members than to keep existing ones 5% - 20% of an airline's loyalty program costs can be saved through better prospect targeting Lack of evidence suggests that FFP management do not have monthly reports detailing acquisition costs per active member by campaign type   Increasing customer retention by 5% can increase profits by 25% to 95% Therefore, taking airlines as an example, given the profit contribution of Frequent Flyers, it is vital for airlines to continuously recruit new frequent travelers into their loyalty program and segment the existing ones based on value and frequency only to name two possibilities.
  • StrongMail is the leading provider of online marketing solutions for email and social media.
  • The costs of outsourcing are unpredictable and recur monthly
  • Email Marketing with SAP CRM

    1. 1. <ul><li>Email Marketing with SAP CRM: Achieving Relevance, Deliverability and Scale </li></ul>May 12, 2010 #SAPemail
    2. 2. Proprietary and Confidential | Agenda <ul><li>Introduction </li></ul><ul><li>Cross Channel Campaign Management Trends - Suresh Vittal, Forrester Research </li></ul><ul><li>The Power of CRM + Email: StrongMail & SAPCRM </li></ul><ul><li>Recent Innovations </li></ul><ul><li>How to Achieve: </li></ul><ul><ul><li>Scale </li></ul></ul><ul><ul><li>Relevance </li></ul></ul><ul><ul><li>Integration </li></ul></ul><ul><ul><li>Delivery </li></ul></ul>#SAPemail
    3. 3. Who is StrongMail? <ul><li>Leading provider of online marketing solutions for email and social media. </li></ul><ul><li>We enable our clients to boost the effectiveness of their marketing campaigns, while saving a significant amount of money . </li></ul><ul><li>Our products and services provide an end-to-end solution for some of the world’s biggest brands. </li></ul>Over 500 Customers
    4. 4. #SAPemail Cross-Channel Campaign Management Trends Suresh Vittal Principal Analyst Forrester Research May 12, 2010
    5. 5. Cross-channel campaign management (CCCM) is evolving but still poses several challenges for vendors and marketers. #SAPemail
    6. 6. Agenda <ul><li>How are CCCM solutions being used today? </li></ul><ul><li>What do marketers want from a CCCM vendor? </li></ul><ul><li>Where is CCCM headed? </li></ul>#SAPemail
    7. 7. CCCM solutions integrate inbound and outbound marketing programs Source: April 2009 “Campaign Management Needs A Reboot” #SAPemail
    8. 8. They serve varying database sizes and messaging volumes #SAPemail
    9. 9. Marketers continue to struggle with cross-channel programs <ul><li>The economy is still down </li></ul><ul><ul><li>Continued focus on retention over acquisition </li></ul></ul><ul><ul><li>Retention is hard to define </li></ul></ul><ul><li>Traditional channels continue to dominate </li></ul><ul><ul><li>Marketers still aren’t sure how to best utilize the social space </li></ul></ul><ul><li>Streamlining multiple programs across channels still a challenge </li></ul><ul><ul><li>Even with a solution in place, it’s difficult to manage differing data sets from traditional and emerging channels </li></ul></ul>#SAPemail
    10. 10. Agenda <ul><li>How are CCCM solutions being used today? </li></ul><ul><li>What do marketers want from a CCCM vendor? </li></ul><ul><li>Where is CCCM headed? </li></ul>#SAPemail
    11. 11. Marketers are looking for a long-term partnership… #SAPemail
    12. 12. … but they are staying put because of cost #SAPemail
    13. 13. Integration and cost are top concerns in vendor selection… #SAPemail
    14. 14. Expectations often outpace capabilities <ul><li>Marketers want their CCCM tools to do everything… </li></ul><ul><li>But few are advanced enough to utilize all of the features (i.e., social) </li></ul>#SAPemail
    15. 15. Email still dominates delivery, with social media trailing behind #SAPemail
    16. 16. And few integrate with social media #SAPemail
    17. 17. Agenda <ul><li>How are CCCM solutions being used today? </li></ul><ul><li>What do marketers want from a CCCM vendor? </li></ul><ul><li>Where is CCCM headed? </li></ul>#SAPemail
    18. 18. Marketers are generally happy… <ul><li>No outright source of dissatisfaction </li></ul><ul><li>Most satisfied with: </li></ul><ul><ul><li>Application security </li></ul></ul><ul><ul><li>Scalability </li></ul></ul><ul><ul><li>Reliability </li></ul></ul><ul><ul><li>Ability to support customer selection and segmentation </li></ul></ul>#SAPemail
    19. 19. … But are not “totally” satisfied <ul><li>Want better integration and contact optimization </li></ul><ul><li>Multi-channel coordination is still a major concern </li></ul><ul><ul><li>Fueled by both marketer and vendor shortcomings </li></ul></ul>#SAPemail
    20. 20. Coordination across channels and measurement puzzle marketers most #SAPemail
    21. 21. Eight principles for CCCM solutions <ul><li>Support an institutional memory of the customer </li></ul><ul><li>Enable dialogues not just programs </li></ul><ul><li>Bridge the online and offline gaps </li></ul><ul><li>Unify inbound and outbound channels </li></ul><ul><li>Move optimization to the forefront </li></ul><ul><li>Include social insights </li></ul><ul><li>Provide functionality at marketers' desktops </li></ul><ul><li>Incorporate planning and resource management capabilities </li></ul>#SAPemail
    22. 22. Marketers need to improve too <ul><li>Incorporate the social channels </li></ul><ul><ul><li>Channel complexities make it difficult to operate on a program level </li></ul></ul><ul><li>Focus on marketing accountability </li></ul><ul><ul><li>CCCM can exacerbate the measurement problem </li></ul></ul><ul><li>Establish an enterprise-wide cross-channel communication strategy </li></ul><ul><ul><li>Identify business processes, technologies and organizational models </li></ul></ul>#SAPemail
    23. 23. <ul><li>The Power of CRM + Email: StrongMail & SAP CRM </li></ul><ul><li>Ryan Deutsch, VP of Emerging Media StrongMail Sunil Dixit, Sr. Director, Product CRM Marketing SAP </li></ul>#SAPemail
    24. 24. The 4 Cornerstones of the CRM Marketing Product Strategy <ul><li>In-memory segmentation using SAP TREX </li></ul><ul><li>Abode Flex UI, AJAX </li></ul><ul><li>SAP Business Objects Solutions </li></ul>3. DISRUPTIVE TECHNOLOGY <ul><li>Best of Breed Solution Partners </li></ul><ul><li>Extend SAP reach </li></ul><ul><li>Customer driven development </li></ul>2. CO-INNOVATE <ul><li>Enterprise Marketing Platform </li></ul><ul><li>Manage all customer channels </li></ul><ul><li>Integrated to Back Office </li></ul>1. FOCUS ON THE CORE #SAPemail 4. DEEP INDUSTRY EXPERTISE <ul><li>Trade Promotions Management - Consumer Goods </li></ul><ul><li>Loyalty Management - Retail and Travel </li></ul><ul><li>Real Time Offer Management –Telco </li></ul><ul><li>Marketing Development Funds - High Tech </li></ul>
    25. 25. SAP Changes Segmentation using In-Memory Technology © SAP 2010 / Highly Intuitive Visual Interface In-memory Analytics Canned Reports Query Cache Summary Tables Database SAP In-Memory Segmentation Performance Data Re-usability Provides the Ability for Marketer to Find the Needles In the Haystack ! #SAPemail
    26. 26. SAP Delivers Integrated, Loyalty Management in CRM 7.0 © SAP 2010 / <ul><ul><li>Reward and retain your high-value customers </li></ul></ul><ul><ul><li>Plan, manage, and execute customer loyalty programs across the enterprise </li></ul></ul><ul><ul><li>Increase customer satisfaction and develop deeper customer intimacy </li></ul></ul><ul><ul><li>Identify customers based on value and encourage profitable customer behaviors </li></ul></ul>Integrated enterprise Loyalty Program enables Customer Experience Management Membership Handling Program Management Processing Engine Reward Rule Management Member Activities Points/Bonus Determination by Rule Engine Point Accruals Point Account Point Redemption Point Expiration Financials #SAPemail Program Management Membership Handling Processing Engine Reward Rule Management Loyalty
    27. 27. What Does It Take To Build a Successful Loyalty Management Program? Decide Understand Plan Do it External Data Business Warehouse Customer Segment Analysis Marketing Planning Loyalty Management Customer Interaction Channels Profitable & Loyal customers Phone, Sales Agents, Web, Email, Direct, Fax, Mobile, Social Networking #SAPemail
    28. 28. Proprietary and Confidential | What are marketers looking for in a campaign management system? What are marketers looking for in a campaign management system? #SAPemail
    29. 29. <ul><li>Ease of integration with other data sources and systems. SAP’s StrongMail integration provides marketers with: </li></ul><ul><li>1. Significant Scale </li></ul><ul><li>2. Message Relevance </li></ul><ul><li>3. Assured Delivery </li></ul>The #1 Answer #SAPemail
    30. 30. Achieving Scale: Burst Technology <ul><li>Message Assembly </li></ul><ul><ul><li>StrongMail Burst Technology </li></ul></ul><ul><li>Message Delivery </li></ul><ul><ul><li>Intelligent Queue Management (IQMP) </li></ul></ul><ul><li>Cost Efficiency </li></ul><ul><ul><li>No CPM Fee Model </li></ul></ul>#SAPemail
    31. 31. Scale: Integrate Directly with SAP CRM & Applications Proprietary and Confidential | #SAPemail
    32. 32. The Lowest Total Cost of Ownership of Any Tier 1 Solution Proprietary and Confidential | Saved $3.5 Million over 3 years by moving from Epsilon to StrongMail #SAPemail
    33. 33. <ul><li>“ 74% of unsubscribes from email programs are due to irrelevant content.” </li></ul><ul><li>- Forrester Research, 2008 </li></ul><ul><li>“ 22% of US Internet users decided to stop purchasing from a company because of too many or irrelevant emails.” - CMO Council, 2010 </li></ul><ul><li>“ 41% of US Internet users threatened to stop buying from companies that send them irrelevant messages.” </li></ul><ul><li>- CMO Council, 2010 </li></ul>The Importance of Relevance #SAPemail
    34. 34. Delivering Relevant Content is Highly Effective #SAPemail
    35. 35. Relevancy is Still Underutilized #SAPemail
    36. 36. SAP CRM + StrongMail = Easier Campaign Execution <ul><li>Enterprise Messaging Made Easy: </li></ul><ul><li>Minimized data transfer time </li></ul><ul><li>Single source of program data </li></ul><ul><li>for campaign analysis and further segmentation </li></ul><ul><li>Full featured dynamic content </li></ul><ul><li>Response tracking </li></ul><ul><li>Email send, delivery and bounce </li></ul><ul><li>management </li></ul>#SAPemail
    37. 37. Email Delivery Can Be a Headache #SAPemail
    38. 38. StrongMail Streamlines Email Delivery Proprietary and Confidential | #SAPemail
    39. 39. StrongMail Offers Complete Visibility into Failures Proprietary and Confidential | #SAPemail
    40. 40. Summary: SAP + StrongMail Makes Marketing Smarter & Scalable <ul><li>Campaign Management Solutions to Reach Millions of Customers with Lowest TCO </li></ul><ul><li>Highly scalable </li></ul><ul><li>Integrated </li></ul><ul><li>Innovative </li></ul>Together, We Deliver… <ul><li>SAP Provides: </li></ul><ul><li>Comprehensive Campaign Management </li></ul><ul><li>Integrated Loyalty Management </li></ul><ul><li>Innovative & Intuitive Segmentation </li></ul><ul><li>StrongMail Provides: </li></ul><ul><li>Highly Scalable Email Delivery </li></ul><ul><li>Sophisticated UI for Marketing </li></ul><ul><li>Seamless Personalization </li></ul><ul><li>Real-time Email Reporting </li></ul>+ #SAPemail
    41. 41. Thank you! Suresh Vittal VP & Principal Analyst Forrester Research +1 (617) 613.6097 [email_address] Twitter: @sureshvittal Ryan Deutsch VP of Emerging Media StrongMail +1 (650) 421-7124 [email_address] Twitter: @rdeutsch Sunil Dixit Sr. Director, Product CRM Mktg SAP +1 (650) 687-2585 [email_address]