CRM Yesterday, Today & Tomorrow
Angeli Beltran | Managing Director | Dentsu Mobius |@angelibeltran
“The purpose of a business is to create and keep a customer.”
-‐ Peter Drucker
Nestlé Club“Good Food, Good Life”
Nestlé Club
“Building a life-‐long rela0onship with consumers is important to Nestlé.”
-‐ Au Alipao, VP Consumer Services, Nestle Philippines
Nestlé Club Yesterday (c late ‘90s)
• Enjoined 125,000 high value member households• Member communica0ons via personalized direct mail and magazines• Brought members to interact with each other via Brand and Club Events• New Product and Recipe Development via Test Kitchen• Customer feedback via Hotline, PO box • Member-‐Get-‐Member program
As a result,• Program increased the share of Nestle brands within the “cupboard” among
members from 5 out of 10 to 8 out of 10. • Nestle Club member base had significantly more insistors and preferrers for
Nestle brands vs non member base.• Members regularly recommended Nestle brands to their family and friends• Members gave feedback via mail and phone calls
What is CRM?
Building stronger relationships with customers
by delivering delightful experiences at every customer interaction,
ultimately winning customer’s advocacy,
resulting to the business’ long term profitability.
Simply,
�MY BRAND�
What customers want has not changed
• Know who I am• Communicate Relevantly• Listen and Respond to Me• Be Consistent• Surprise and Delight Me • Involve Me• Value Me• Empower Me
Technology : change in behaviour and communications
Consumers gather informa0on and share readily to others
� � � � �
AZen0on Interest Search Ac0on Share
The Age of the Empowered Customer
•Collaborate with brands•Personalized experience •Highly informed and empowered by internet and social channels•Highly communica0ve•Socially connected•Need to feel valued con0nuously
The Traditional Funnel
The Tradi0onal Funnel was Linear
CRM Yesterday
Paid OwnedMagazine CouponsMagazine InsertsSurvey Forms
MailersInsertsEvents
Email/Phone
Member Get MemberWOM
Earned
Database
• Priority: capture data for direct communica0ons• S0ll one-‐way, and adver0sing focused• The “earned media” was a consequence and “measure”of loyalty
The Consumer Decision Journey3The consumer decision journey
How consumers make decisionsEvery day, people form impressions of brands from touch points such as advertisements, news reports, conversations with family and friends, and product experiences. Unless consumers are actively shopping, much of that exposure appears wasted. But what happens when something triggers the impulse to buy? Those accumulated impressions then become crucial because they shape the initial-consideration set: the small number of brands consumers regard at the outset as potential purchasing options.
The funnel analogy suggests that consumers systematically narrow the initial-consideration set as they weigh options, make decisions, and buy products. Then, the postsale phase becomes a trial period deter- mining consumer loyalty to brands and the likelihood of buying their products again. Marketers have been taught to “push” marketing toward consumers at each stage of the funnel process to influence their behavior. But our qualitative and quantitative research in the auto- mobile, skin care, insurance, consumer electronics, and mobile-telecom industries shows that something quite different now occurs.
Actually, the decision-making process is a more circular journey, with four primary phases representing potential battlegrounds where
Q3 2009CDJExhibit 2 of 4Glance: The decision-making process is now a circular journey with four phases: initial consideration; active evaluation, or the process of researching potential purchases; closure, when consumers buy brands; and postpurchase, when consumers experience them. Exhibit title: The consumer decision journey
After purchasing a product or service, the consumer builds expectations based on experience to inform the next decision journey.
Consumers add or subtract brands as they evaluate what they want.
1 3
4
2
The consumer considers an initial set of brands, based on brand perceptions and exposure to recent touch points.
Ultimately, the consumer selects a brand at the moment of purchase.
Moment of purchase
Initial- considerationset
Trigger
Active evaluationInformation gathering, shopping
Postpurchase experience
Loyalty loop
Ongoing exposure
Exhibit 2
The consumer decision journey
A Circular Journey
CRM Today
Paid OwnedWebsite
(custom content)EDM
Brand Communi0esCustomer Service
Social Media SitesBloggersReviews
Communi0es
Earned
Database
• Paid Media to acquire new customers by driving them to the owned channels• Owned channels are opportuni0es to learn more about customers, predict behavior
to understand and meet needs• Earned Media is a placorm to bring together influencers and advocates to
collabora0vely engage, amplify Word of Mouth, gather and respond to customer feedback
Google AdsDisplay AdsSocial Ads
Relationship with the Empowered Customer
• Learn who your customer are• Understand what your customers want• Engage them in a dialogue• Empower them!
DellListening and responding to what customers want
• Dell asks their users to openly rate and review their products• The feedback provides input to product development• Any product that have consistently lower than 3 star ra<ng are discon<nued.
P&GHelping moms solve everyday problems
• Launched supersavvyme.co.uk in 2009, connec0ng P&G’s porcolio of brands to millions of moms.
• Demonstrated how P&G brands solve problems in mom’s lives
P&GHelping moms solve everyday problems
Mission Control serves as a mul0-‐tasking tool to help organize their lives. Co created applica0on made by moms for momsMums were also able to reap rewards, unlock s0ckers which they could swap for coupons, crea0ng a huge peak in sales
Canon EOS Creating a community for EOS Photographers
ChallengeExtend the life0me value of the EOS customer by driving the sales of lens, accessories and body upgrades.
Canon EOS Creating a community for EOS Photographers
Customer)Need) Business)Opportunity)
• Inspira)on+• Hone+and+
Prac)ce+his+Cra3+• Connect+with+
Fellow+Photographers+
• New+skill+sets+have+to+be+matched+by+new+tools+
Canon EOS Creating a community for EOS Photographers
Help%me%perfect%my%cra-%with%your%exper4se%and%experience%
Teach&me&%
Introduce%me%to%a%world%where%we%all%understand%each%other%
Value&me%Connect&me%%
Rewards%and%Recogni4on%
Core CRM Idea: Partner in your quest for perfec0on
Canon EOS Creating a community for EOS Photographers
Canon EOS Creating a community for EOS Photographers
KMS CaliforniaEmpowering Stylists to be their own brand
ChallengeBrand has very liZle awareness, and for the few who know of it, KMS is not an innova0ve or trendy brand
a brand of
KMS CaliforniaEmpowering Stylists to be their own brand
Customer InsightIf stylists are empowered to further develop their individual crea0vity in style and business, they can differen0ate themselves in the market.
KMS CaliforniaEmpowering Stylists to be their own brand
Customer)Need) Business)Opportunity)
• Inspira)on+• Hone+and+
Prac)ce+his+Cra3+• Connect+with+
Fellow+Photographers+
• New+skill+sets+have+to+be+matched+by+new+tools+
Create their ownbrand as a stylist
As KMS supports themtheir individual expression, there will be more styles usingKMS products
KMS CaliforniaEmpowering Stylists to be their own brand
Core CRM Idea: FREEDOM OF INDIVIDUAL
STYLE EXPRESSIONKMS empowers you to develop
your own brand to further grow your business
KMS CaliforniaEmpowering Stylists to be their own brand
KMS CaliforniaEmpowering Stylists to be their own brand
Concept: “Who are You?” KMS styles co-‐developed with stylists
KMS CaliforniaEmpowering Stylists to be their own brand
KMS styles co-‐developed with stylists
KMS CaliforniaEmpowering Stylists to be their own brand
KMS Pro Stylist Educa0on Program
What‘s your style? A consultation, recommendation & retailing system that represents the KMS California vision on how to create personalized looks and how the client wants their hair to look when they leave the salon and be-tween visits. This seminar and class map are designed to build stylist’s skills to deliver superb client satis-faction through a step-by-step consultation process that goes beyond the in-salon experience.
outstanding, personalized consultations beyond the normal.
home care, tools and how to incorporate the consultation into the entire service.
to help clients recreate looks at home.
Tuition: Isinveru ptiurEarly booking bonus: IsinveruiurSeating: Isinveru ptiurWhat to bring: Isinveru ptiur, od et faceaqui ape-rum re nitint moditate venimol entore dolut lant, quaerio este quas ent, ut harita qui dita comnimi, of-ficie ndesto oditiusamet quas sum sitiore, santintore noscscs
Provided: Isinveru ptiur, od et faceaqui aperum re nitint moditate venimol entore dolut lant, quaerio
PERSONALIZED STYLE RECOMMENDATION
15462_KMS_EduPortfolio12.indd 6-7 21.07.11 14:54
KMS CaliforniaEmpowering Stylists to be their own brand
Digital Placorms to empower individual style expression
KMS CaliforniaEmpowering Stylists to be their own brandmySalon APP as insalon consulta0on tool, allowing stylists to manage their clients in an innova0ve way
KMS CaliforniaEmpowering Stylists to be their own brandmySalon APP as insalon consulta0on tool, allowing stylists to manage their clients in an innova0ve way
Remember client‘s styles
KMS CaliforniaEmpowering Stylists to be their own brandmySalon APP as insalon consulta0on tool, allowing stylists to manage their clients in an innova0ve way
Manage Appointments
KMS CaliforniaEmpowering Stylists to be their own brandmySalon APP as insalon consulta0on tool, allowing stylists to manage their clients in an innova0ve way
Customer database
KMS CaliforniaEmpowering Stylists to be their own brandmySalon APP as insalon consulta0on tool, allowing stylists to manage their clients in an innova0ve way
Order products directly
Volkswagen ChinaCreating the People’s Car with the People
ChallengeHow can Volkswagen be “the people’s car” in a highly compe00ve market that demands foreign brands to localize their products?
Volkswagen ChinaCreating the People’s Car with the People
Solu0onCreate the people’s car, with the people!
Volkswagen ChinaCreating the People’s Car with the PeopleResults
•Received 121,000 ideas for future automobiles from more than 300,00 registra<ons.•Volkswagen used a young girl’s idea to develop the floa<ng car, and produced a video to demonstrate “how it could work” with electromagne<c roads. The video went viral with more than 13M views.•The campaign generated aGracted 11.6 million unique visitors, with 3.1 million fans on social networks (415,845 followers on Weibo)•The brand increased unaided, top-‐of-‐mind awareness by 8.3%
Volkswagen ChinaCreating the People’s Car with the People
CRM Yesterday vs TodayYesterday Today
CRM Tomorrow?
Tomorrow’s Technologies
•Integrated func0onality •Build informa0on connectors between disparate placorms to filter, process and analyze data to produce tangible and ac0onable intelligence
•Populate social customer profiles•End-‐to-‐end cloud services, and connect with customers in any channels they desire
•Customized web content, targeted marke0ng
Technologies may change, but what customers want remain the same
• Know who I am• Communicate Relevantly• Listen and Respond to Me• Be Consistent• Surprise and Delight Me • Involve Me• Value Me• Empower Me
“The purpose of a business is to create and keep a customer...
to do that, you have to do those things that will make people do business with you.
All other truths on this subject are merely derivaOve.”
-‐ Peter Drucker
CRM Yesterday, Today & Tomorrow
Angeli Beltran | Managing Director | Dentsu Mobius |@angelibeltran
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