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eMs
“Treating Customer Insights as an Asset”
...An airline’s perspective
Customer Centric Insight
ManagementⓇ
eMs
Customer Centric Insight Management (CCIM) is a set of cross-functional business
capabilities centered around the customer, which allows an organisation to:
1. Maximize profitability from existing customers through increased customer
understanding along the Circle-of-Contact
2. Identify and lock-in non exploited customer segments through anticipating
emerging/changing customer expectations
What Customer Insight Management is not:
1. Another management trend
2. Another functional department or project
3. Another sales tool, channel or CRM software
4. A substitute for product and service quality
2. What is Customer Centric Insight Management?
2
eMs3
3. CCIM in the Airline Sector
“A set of cross functional business capabilities, centered around
each individual customer sub-segment”
Departure
In-flight
Retention
Arrival
DIFFERENTIATION
CUSTOMIZATION
INTERACTION
IDENTIFICATION CUSTOMER
Post-flight
Booking &
Purchase
Pre-travel &
upselling
Marketing &
Communication
Pre-flight
Cross sales
eMs
1. CCIM is one of the drivers for achieving effectiveness and efficiency
2. CCIM allows to manage customer sub-segments through differentiated
strategies
3. CCIM will support the implementation of Brand Positioning
4. CCIM implies consistent services along the entire Circle-of-Contact
4. What could CCIM mean for an airline company?
4
“The opportunity to increase the effectiveness and efficiency of
both commercial and service processes”
eMs
5. CCIM is one of the drivers for achieving effectiveness and efficiency
5
Customer
Knowledge
SELLINGMARKETING
SERVICES
Effectiveness & Efficiency
• Segment identification /
prioritization
• Anticipation customer
changes
• Improved targeting
• Personalized offers
• Higher customer
retention
• Higher success rate new
products/services
• Creation of relationships
Effectiveness & Efficiency
• Anticipation on individual needs
• Customization of services
• Detection of dissatisfied customers during journey
• Increased customer satisfaction
• Reduced interaction cost
Effectiveness & Efficiency
• Omni-Channel
management
• Increased share of
customer
• Targeted sales
promotions
• Commercial account
management (DMU)
• Revenue planning
support
eMs
Low HighCustomer Loyalty*
Customer
Contribution
Low
High
— Loyalty/Contribution Matrix —
• Segment A: Divest
• Others: Milk or Grow
• by up-selling
- use of higher fares
- increase of volume
• by coalition
• by cross-selling
• by penetrationA
Exit
B
C D
E
Focus on loyalty creation
6
6. CCIM allows to manage customer segments through differentiated strategies
eMs
‘Personal Comfort at an attractive price’
Personal
Services
Physical
Comfort
Attractive
Pricing
Responsive
Behavior
Responsible
Behavior
Pre/transfer/post
flight comfort
Inflight
Comfort
Transfer
flights
Direct
flight
Personal
Acknowledgement
Personal
Assistance
Personal
Information
SpaceInflight
Activity
Efficiency Seats Ticket prices
Prioritized call
handling
Service-recovery via
Internet
Manage
incidents on a
personal basis
Transfer
assistance
Customer-specifi
c via Internet or
Mobile
Self services
Customer
prioritization
Pro-active
response on
irregularities
Fulfilling
personal
requests
on the spot
Personalized offers for
destinations, events, etc.
Pre-sales discounts
EXAMPLES
7
Paid
check-in
upgrade
7. CCIM will support the implementation of Brand Positioning
Paid
Seat
Selection
Customer Value Delivered
eMs
• Notification of delay
• Inform about changed check-in time
• If necessary arrange alternative flights,
involving personal preferences (e.g.
seating, meals)
SMS message or
personal call
• Inform about delay status;
• Take set of differentiated actions by
customer segment, e.g.:
• Connecting flights
• Hotel arrangements
• Ground transport
Contact with frontline staff
Back Office:
• Log delay experiences
• Take follow-up action on cases of
serious delays, e.g. by offering:
• ‘apology points’
• upgrade on next flight
• tailor-made special offers
• ‘personal’ gift (e.g. golf balls
for golf-player)
Back Office:
• Analyze experiences and prepare
reactions
Phone calls and/or
(email
Communications
Customer Incident Example:
Flight Delay
*
I
II
III
IV
8
8. CCIM implies consistent services along the entire Circle-of-Contact
Departure
In-flight
Retention
ArrivalPost-flight
Booking &
Purchase
Pre-travel &
upselling
Marketing &
Communication
Pre-flight
Cross sales
Transfer

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Customer centric insight management

  • 1. eMs “Treating Customer Insights as an Asset” ...An airline’s perspective Customer Centric Insight ManagementⓇ
  • 2. eMs Customer Centric Insight Management (CCIM) is a set of cross-functional business capabilities centered around the customer, which allows an organisation to: 1. Maximize profitability from existing customers through increased customer understanding along the Circle-of-Contact 2. Identify and lock-in non exploited customer segments through anticipating emerging/changing customer expectations What Customer Insight Management is not: 1. Another management trend 2. Another functional department or project 3. Another sales tool, channel or CRM software 4. A substitute for product and service quality 2. What is Customer Centric Insight Management? 2
  • 3. eMs3 3. CCIM in the Airline Sector “A set of cross functional business capabilities, centered around each individual customer sub-segment” Departure In-flight Retention Arrival DIFFERENTIATION CUSTOMIZATION INTERACTION IDENTIFICATION CUSTOMER Post-flight Booking & Purchase Pre-travel & upselling Marketing & Communication Pre-flight Cross sales
  • 4. eMs 1. CCIM is one of the drivers for achieving effectiveness and efficiency 2. CCIM allows to manage customer sub-segments through differentiated strategies 3. CCIM will support the implementation of Brand Positioning 4. CCIM implies consistent services along the entire Circle-of-Contact 4. What could CCIM mean for an airline company? 4 “The opportunity to increase the effectiveness and efficiency of both commercial and service processes”
  • 5. eMs 5. CCIM is one of the drivers for achieving effectiveness and efficiency 5 Customer Knowledge SELLINGMARKETING SERVICES Effectiveness & Efficiency • Segment identification / prioritization • Anticipation customer changes • Improved targeting • Personalized offers • Higher customer retention • Higher success rate new products/services • Creation of relationships Effectiveness & Efficiency • Anticipation on individual needs • Customization of services • Detection of dissatisfied customers during journey • Increased customer satisfaction • Reduced interaction cost Effectiveness & Efficiency • Omni-Channel management • Increased share of customer • Targeted sales promotions • Commercial account management (DMU) • Revenue planning support
  • 6. eMs Low HighCustomer Loyalty* Customer Contribution Low High — Loyalty/Contribution Matrix — • Segment A: Divest • Others: Milk or Grow • by up-selling - use of higher fares - increase of volume • by coalition • by cross-selling • by penetrationA Exit B C D E Focus on loyalty creation 6 6. CCIM allows to manage customer segments through differentiated strategies
  • 7. eMs ‘Personal Comfort at an attractive price’ Personal Services Physical Comfort Attractive Pricing Responsive Behavior Responsible Behavior Pre/transfer/post flight comfort Inflight Comfort Transfer flights Direct flight Personal Acknowledgement Personal Assistance Personal Information SpaceInflight Activity Efficiency Seats Ticket prices Prioritized call handling Service-recovery via Internet Manage incidents on a personal basis Transfer assistance Customer-specifi c via Internet or Mobile Self services Customer prioritization Pro-active response on irregularities Fulfilling personal requests on the spot Personalized offers for destinations, events, etc. Pre-sales discounts EXAMPLES 7 Paid check-in upgrade 7. CCIM will support the implementation of Brand Positioning Paid Seat Selection Customer Value Delivered
  • 8. eMs • Notification of delay • Inform about changed check-in time • If necessary arrange alternative flights, involving personal preferences (e.g. seating, meals) SMS message or personal call • Inform about delay status; • Take set of differentiated actions by customer segment, e.g.: • Connecting flights • Hotel arrangements • Ground transport Contact with frontline staff Back Office: • Log delay experiences • Take follow-up action on cases of serious delays, e.g. by offering: • ‘apology points’ • upgrade on next flight • tailor-made special offers • ‘personal’ gift (e.g. golf balls for golf-player) Back Office: • Analyze experiences and prepare reactions Phone calls and/or (email Communications Customer Incident Example: Flight Delay * I II III IV 8 8. CCIM implies consistent services along the entire Circle-of-Contact Departure In-flight Retention ArrivalPost-flight Booking & Purchase Pre-travel & upselling Marketing & Communication Pre-flight Cross sales Transfer