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Global approach to engage with local consumers

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Global approach to engage with local consumers. Agnes Gawel Consumer First 06 – Brussels, 25th October 2006. Key topics. Centralized approach; designing and creating processes, structure and guidelines for a global email communication with consumers in 65 countries. - PowerPoint PPT Presentation

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Page 1: Global approach  to engage with local consumers
Page 2: Global approach  to engage with local consumers

Global approach to engage with local consumers

Agnes Gawel Consumer First 06 – Brussels, 25th October 2006

Page 3: Global approach  to engage with local consumers

Key topics

• Centralized approach; designing and creating processes, structure and guidelines for a global email communication with consumers in 65 countries.

• Segmentation and targeting of +100 million consumers – how to find out and address their needs?

• Establishing a track record of success to prove that e-marketing works - exploring ROI in consumer interaction and loyalty.

Page 4: Global approach  to engage with local consumers

The marketplace

• The market place: more than 950 million phones to be sold in 2006

• Maturing industry: from feature- to brand-driven

Page 5: Global approach  to engage with local consumers

The marketplace

• The market place: more than 950 million phones to be sold in 2006

• Maturing industry: from feature- to brand-driven

Page 6: Global approach  to engage with local consumers

Who’s the customer?

• Consumer vs customer: who owns the relationship?

• Consumer in control

Page 7: Global approach  to engage with local consumers

Consumer interaction points

Store

Operator CC

SEMC CC

Operator Web

SEMC Web

In-devicePhone kitMaterial

Marketing

PC applications

Word of Mouth

Page 8: Global approach  to engage with local consumers

Sony Ericsson online

Page 9: Global approach  to engage with local consumers

Online marketing at Sony Ericsson

• Scattered global, regional & local databases• No consistent data structure or data collection• No consistent online communication

Regional contact

db

Global product

db

Local contact db

Local campaign

db

Local service

db

CIP database

Marketing campaign database

Campaign mgt platform

• Build one central contact db• Create a tactical framework

Page 10: Global approach  to engage with local consumers

Email marketing – maintaining the relationship, creating a dialogue

• 12-15 global campaigns to 65 countries in 30 languages

E-newsletters Campaign emails“Profile e-mails” Launch e-mails

Page 11: Global approach  to engage with local consumers

Implementation of knowledge - Example of segmentation: different recipients of the same newsletter

Ownership based headers

Product related top items

Market specific content

Targeted informational content

Preference or behavior based content

Page 12: Global approach  to engage with local consumers

Segmentation model

• Attributes are pieces of user information relevant for segmentation, profiling, marketing or administration purposes

• Attributes are either: • derived from the user’s input (registration, surveys or user stated

preferences)• derived from user’s behavior• computed from other attributes

• Computed attributes are derived from other attributes to simplify targeting, segmenting and classifying the consumer

Page 13: Global approach  to engage with local consumers

Segmentation model

Use attributes scoring to identify consumers• Sony Ericsson uses consumer

communication categories in order to target marketing

• A segmentation scoring model is used to map a customer to the right category

• Only attributes that affect what category a user belongs to are input to the segmentation model

• Attributes that are not input to the segmentation model can still be used for other types of personalization and targeting (e.g. on-line behavior)

• The scoring model can be used regardless of the user’s profile maturity, i.e. the number of available attributes.

Attributes

ScoringModel

Page 14: Global approach  to engage with local consumers

Customer Lifetime Value

• Companies spend approx. 95% of their marketing € on new-sales • On average only 40% of customers are loyal

• 60 % of a company’s customers are seen as prospects, not customers

• Transaction is part of the relation – not the relation

Page 15: Global approach  to engage with local consumers

Consumer value - loyalty

Consumer base

Consumer base

Registration rate

No registrationNo registration

2%

RegistrationRegistration 5%

10%

No CLMNo CLM

Basic CLMBasic CLM

Advanced CLMAdvanced CLM

30%

60%

75%

Loyalty rate

Total loyalty: 43,5%Total loyalty: 43,5%

Total loyalty: 41,0%Total loyalty: 41,0%

Total loyalty: 39,8%Total loyalty: 39,8%

No CLMNo CLM Total loyalty: 39,8%Total loyalty: 39,8%40%

Page 16: Global approach  to engage with local consumers

Next phase

MyPhone – a closer link with the consumer through personalization

A personal user centered area

• in which the engagement with Sony Ericsson mobile phones is extended online

• and user experience is optimized

• with content and services representing customer services, product functionality and Sony Ericsson .com

• based on the preferences, needs and behavior of the user.

Page 17: Global approach  to engage with local consumers

Round up

• Global approach with local awareness is feasible worldwide • It requires solid technology combined with a sound strategy.• It’s a never ending process for improvement (analysis & learning)• It requires both top management involvement as local field people• It certainly pays of (strong brand recognition at highest efficiency)

Contact: Agnes GaweleDM & CRM manager [email protected]