From Volcano Ash to Customer Satisfaction

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From Volcano Ash to Customer Satisfaction

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  2. 2. From Volcano to Ash to CustomerSatisfaction<br />Tuesday, October 4th from 11:30 to 12:15. <br />Session level: Advanced<br />Track: Retention & Loyalty<br />Picture Source: www.natural-calamity.info<br />
  3. 3. WELCOME<br />The <br />New Dilemma<br />The<br />CustomerExperience<br />The FacebookExperience<br />
  4. 4. The facebook story<br />+10 Millions passengersunable to travel over the wholeperiod<br />Source: European Commission<br />
  5. 5. The <br />New Dilemma<br />The<br />CustomerExperience<br />The FacebookExperience<br />
  6. 6. The facebook story<br />HELP ourcustomersthatwerestranded<br />A team of 20 employees from differentdepartments<br />Worked from 5 AM to 2 PM eachday<br />UsedFacebook, Twitter, flysas.com (homepage), SMS<br />Instantmessaging, Smart phones, access to the updated info and hotline to right people<br />
  7. 7. The results did openeyes<br />5,000 questionsposted 99% answeredwithinfiveminutes<br />SAS message displayed more than 1 million times<br />More than 17.000 new fans in one week (+270%)<br />Tons of positive media-coverage<br />Index 40 to 90 measuring “caring” in online conversations<br />Awards internationally<br />
  8. 8. Two pregnant women stuck d in Spain were contacted via FB and were put on the fist flight home<br />
  9. 9. Learning points and reflections<br />CustomerJourneys<br />WoSEffect<br />ORGANISATIOANAL<br />CHANNEL<br />OMG ->Yes!<br />Contactprice<br />CUSTOMER SATISFACTION<br />CEM<br />CRM / MARKETING<br />New Agenda<br />
  10. 10. The <br />New Dilemma<br />The<br />CustomerExperience<br />The FacebookExperience<br />
  11. 11. How to commercialize from this<br />Lessonslearned<br />The organsiationrespondedautomatically<br />Customerjourneymappingactivities<br />One focus:<br />To keeporincreaseCustomerSatisfaction scores<br />throughgreatcustomerexperience<br />
  12. 12. Defining CEM<br />CEM is a leadership discipline which purpose is to ensure that the company delivers extraordinary positive customer experiences.<br />Extraordinary experiences is very much about balancing the rational and emotional experience to give the customer .<br />When delivering extraordinary experiences the company differentiates positively and stimulates profitable customer behavior<br />Source: A studyabout The effects of CEM by Copenhagen Business School and SJP A/S<br />CEM +10%<br />DIFFERENTIATION <br />+9%<br />EFFECT ON RESULTS +5%<br />
  13. 13. Howweget CEM* started<br />Normally CEM is a top-downproject<br />Focusonbusiness criticalareas – corporatecustomers (BtB)<br />3 phase model (seegraphic)<br />A setupwithouragencyWundermantogetherwith CEM* specialists from the company SJP A/S.<br />Note: *CustomerExperience Management **CustomerJourneyMapping<br />
  14. 14. CustomerJourneyMaps<br />
  15. 15. Criticaltouchpoints<br />
  16. 16. Triggerbaseddialogues and CJM<br />CJM and CEM gave birth to severalactivities<br />The activityWelcome Home<br />Customer Service and Facebook<br />Reportingtakesthe triggerdialogues from an operational to a more tactical and strategiclevel<br />
  17. 17. Re-thinkproduct definition<br />
  18. 18. The <br />New Dilemma<br />The<br />CustomerExperience<br />The FacebookExperience<br />
  19. 19. Everything is fine…or?<br />Loyaltyprogrammesincludingour FFP calledEuroBonus<br />Downwardslopingtendency<br />Eventhoughweare as popular as ever<br />Loyal customers do not order as weexpectthem to do<br />Pe<br />
  20. 20. Arewe naive as marketers?<br />“Loyalty, by definition and in practice, is a concept that suggests <br />a kind of fidelity that transcends personal advantage.<br />I am loyal to my country. If asked to defend it, I would put my <br />Life at risk, as millions throughout history have done.<br />I am loyal to my family. If they are threatened, I will protect them <br />at any cost, as many do every day…<br /> But can I be similarly ‘loyal’ to a brand of toothpaste, soap, <br />beer, airline service or office equipment?<br /> <br />Not this side of a mental institution!” <br />Lester Wunderman<br />
  21. 21. We are facing a new agenda<br />Monologue to dialogue*<br />Shareexperience from 10 to 10,000**<br />low-cost communications, data-processing, rapid innovation, and great increased consumer expectations***<br />Fragmentedmarkets due to increasedchoices and new options***<br />Sources: * The future of marketing: From monologue to dialogue, EIU 2006. **Forrester Research. ***Not for free by Saul J. Berman, Feb 2011<br />
  22. 22. 2001<br />
  23. 23. 2011<br />Impactonrelationships and loyalty<br />
  24. 24. What actions canwetake?<br />“Customer partnership is a shared journey to create a future for both parties that is better than either could have developed alone”<br />Source: Leading on the Edge of Chaos, Emmett C. Murphy and Mark A. Murphy<br />
  25. 25. What actions canwetake?<br />Accept the facts of the new agenda<br />New marketing KPIsshouldfocusonCustomer Flow, Conversion and Averagecyclus/flow<br />Re-designproducts, services and solutions includingloyaltyprogrammes<br />Innovation is seen as the ”saver” *<br />CombineCustomerInsightswith Business development **<br />25<br />25<br />25<br />125<br />25<br />25<br />10<br />0<br />500<br /> 400<br />10<br />80<br />10<br />60<br />125<br />25<br />10<br />20<br />©Jacob Bentzen 2011<br />Sources: *CMO Index Denmark 2011 ** Not for free by Saul J. Berman, Feb 2011<br />
  26. 26. Business not as usual<br />A perspective of whatwecan do<br />Nearly every industry is widely available low-cost disruptions originating from 5 market trends<br />Revenue innovation by maximizingprofitability from existingrevenuestreams and indentify new ones<br />Solution is doing more withexisting assets<br />Segment afterbehaviour (existing and future behaviour)<br />Grow revenue organically in the near term using framework from pricing, payer, and packaging innovation strategies<br />Experiment<br />Repeat<br />Sources: Not for free by Saul J. Berman, Feb 2011<br />
  27. 27. Conclusions<br />The Facebook case learned us how to spread important messages with gains and almost cost free<br />Like after the volcano eruption – marketers today face a new agenda and is forced to re-think their strategy<br />Loyalty programmes looses its power of relationships<br />Marketing departments can well be needed to drag in other disciplines as business innovation to cope with the new agenda<br />
  28. 28. What do youthink…. ?<br />
  29. 29. ?<br />
  30. 30. Tack!<br />Or thank you as you say in English.<br />Jacob Bentzen<br />Manager CRM Strategies<br /> <br />SAS Scandinavian Airlines<br />+45 3232 3551<br />jb@sas.dk<br />Visit us atflysas.comsas.nosas.sesas.dk<br />www.facebook.com/sas<br />www.twitter.com/sas<br />www.flickr.com/sasgroup<br />www.youtube.com/flysas<br />30<br />

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