7 ways to better understand your customer and drive them to purchase

7 Ways to Better Understand Your Customer and Drive Them to Purchase

Sponsored by:

Jeff ZabinResearch Director

September 17, 2013

“CUSTOMER EXPERIENCE:80% of companies think their customer

experience is superior while only 20% of

consumers agree.”

© 2013 Gleanster

“IGNORANCEmore frequently begets confidence

knowledge than does confidence.”

- Charles Darwin, 1871 Descent Of Man

© 2013 Gleanster

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7 Steps to Creating a Superior Customer Experience

© 2013 Gleanster

• Map the customer journey• Identify customer commonalities & create relevant

segmentation schemes• Understand customer behaviors and drivers• Identify customer likes, dislikes and intentions and create

appropriate messages and offers• Measure audience receptivity to messages and offers; target

and adjust accordingly• Identify and remove hurdles and impediments that impact the

purchase decision and overall customer satisfaction• Predict customer behavior and act accordingly

“SOCIAL INTELLIGENCEis the ability... [to gain] insight into the

temporary moods or underlying personality

traits of strangers.”

- P.E. Vernon, 1933 Journal of Social Psychology

© 2013 Gleanster

My grandmother

Capable of advanced sentiment detection and consumer engagement

My grandfather Able to quickly & intuitively isolate the context of a conversation

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Voice Of The Customer (circa 1965)

© 2013 Gleanster

Voice Of The Customer (circa 2013)

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Granular level, high accuracy listening

High level, low accuracy listening

Separating The Signal From The Noise

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Happy Or Sad?Look in the Data

Gradients of positive and negative sentiment

Ratio of positive-to-negative sentiment

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Up and Down

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Understanding the reasons why

Tracking fluctuations and trend lines over time

Root Cause Analysis

The underlying problem

Symptom of the problem

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“The food at this place is really terrible.”

“Yeah, I know; and such small portions.”

Noun Noun AdjectiveVerb Adverb

NounAdjectiveAdverb

Diagramming Sentences

Commitment Language

Gleaning Insights from Social Data

15© 2013 Gleanster

Evolution of Social Intelligence

SDL Proprietary and ConfidentialSDL Proprietary and Confidential

Predictive social metrics in action

Case studies

The ideal customer:

SDL Customer Commitment Framework – the fundamentals of successful CXM

Shops Shares Advocates

SDL Customer Commitment Framework – 3 proven and predictive KPIs

PCS: Product commitment score• What I get• Informs your value proposition• Predicts future purchase behavior• Primarily linked to direct response, paid media

CRS: Customer relevance score• The time I spend • Drives content & engagement strategy• Predicts sharing behavior• Primarily linked to owned media / content relevance

BCS: Brand commitment score• How I feel• Drives brand strategy• Predicts levels of emotional engagement• Primarily linked to Earned Media

Customer commitment framework in action

THE LAUNCH TRAJECTORY OF THE MICROSOFT SURFACE RT AND RT PRO

GETTING BENEATH THE SURFACE

Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-130

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MS Surface Pro Weekly MS Surface RT (monthly) MS Surface Pro (Monthly)

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GETTING BENEATH THE SURFACE

The history of the Microsoft Surface

18th June 2012 Microsoft announces the Surface RT including plans to launch a pro version as a follow up

24th October 2012 Surface RT officially launches in retail channels

22nd Jan 2013 Microsoft announces the Surface PRO launch date

9th Feb 2013 Surface PRO launch date

Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-130

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GETTING BENEATH THE SURFACE

The launch trajectory to the Surface RT

High pre-launch expectations and excitement to try

Steady decline predicted

Launch hiatus drives PCS score up but not to announcement levels

Pro announcement raises PCS score up but not to announcement levels

GETTING BENEATH THE SURFACE

Key insights

Why the downward

trend?

Is it a tablet?Is it a Laptop?Or is it something else?

Why is it better than the iPad?

Adverts don’t align with customer expectations of a ‘Microsoft’ workhorse "QUIT DANCING AND GET BACK TO WORK" - the

boss from the Microsoft Surface Pro commercialsKeagen Edwards - Twitter March 2013

“No one knows that surface is a full Ultrabook in a tablet form factor. all they see is someone sitting down at a tablet to surf the web, which they can do on their $200 kindle fires and $400 iPads already. Microsoft needs to stop the ineffective marketing that's all fancy eye-catching visuals and people dancing and smiling and start showing what surface pro can do that an ipad cant. Its been working pretty well for Samsung with the GSIII vs iphone5 battle.”

Ekuest – Hardforum – March 2013

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MS Surface RT (monthly) Linear (MS Surface RT (monthly)) MS Surface Pro (Monthly)Linear (MS Surface Pro (Monthly))

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reGETTING BENEATH THE SURFACE

The story of the Surface RT Pro

Pro differentiation not clear at initial announcement

Pro is billed as ‘solution’ to issues with RT

Launch is well received – the proposition is clarified and it feel familiar

Steady and clear growth of the Pro: aligned with expectations of Microsoft offering

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Volume of PCS Conversations

PCS Score High PCS / Low volume of relevant conversationsDRIVE AWARENESS

High PCS / High volume of relevant conversationsACCELERATE CONVERSION

& RETAIN

Low PCS / Low volume of relevant conversationDRIVE AWARENESS AND IMPROVE SALES PROCESS

Low PCS / High volume of relevant conversationsIMPROVE SALES CONVERSION

PROCESS

THE COMPETITIVE MARKETPLACE

The Q4 2012 Story: Surface needs to find its own identity

Suggests lack of clarity in the category as a whole. What is the compelling story for the market?

ASUS Vivo RT

iPad 4Microsoft Surface RT Pro

MS Surface RT

Chromebook

Clear market leader in terms of buzz but PCS still suggests there is an issue moving people up through the buying funnel

High PCS / Low volume of relevant conversationsDRIVE AWARENESS

High PCS / High volume of relevant conversations

ACCELERATE CONVERSION & RETAIN

THE COMPETITIVE MARKETPLACE

The Q1 Story – excluding iPad 4

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Low PCS / Low volume of relevant conversationDRIVE AWARENESS AND IMPROVE SALES PROCESS

Low PCS / High volume of relevant conversations

IMPROVE SALES CONVERSION PROCESS

ASUS Vivo RT

Microsoft Surface RT Pro

MS Surface RT

Chromebook

It was clear even before Pro launched that it needed to find its own identity. It was already attracting almost 3 times as much interest as the RT but people did not understand WHY they should choose a Surface Pro.

Volume of PCS Conversations

PCS Score

Key insights

Going pro

Function and form work together with messaging to create a clear message

The Pro value equation stacks up

Microsoft is beginning to establish its own position in the tablet category

For some time, businesspeople and consumers demanded a media tablet which brings Windows functionality to the touch-screen platform. With the arrival Surface, these hopes have become a reality, and initial sales figures suggest customers like what they see.Stephen Woodgate - IngeniousBritain Blog March 2013

What the latest data is telling us

• The price cut is working

– On August 30th – Microsoft reduced the Surface Pro price by $100 and made it permanent – they are now playing well in the space

– The Pro remains the champion product because it is playing to their brand strengths and carving out a new market

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Key insights

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PREDICTIVE METRICS IN MEDIA

Predicting TV franchise success

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Game of Thrones Grimm Red Widow Walking Dead Deception Psych Scandal Defiance

BCS: Brand commitment score over time

Increasing ratings, low BCSDeclining ratings, low BCS

Growth in viewing figures across 2012/13 series

BC

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Increasing ratings, high BCSDeclining ratings, high BCS

High

Low

Linking emotional commitment to viewing figures

Increasing ratings, low BCSDeclining ratings, low BCS

Growth in viewing figures across 2012/13 series

BC

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Increasing ratings, high BCSDeclining ratings, high BCS

High

Low

Linking emotional commitment to viewing figures

Evangelize : celebrate the community

Kill or Cure: refresh, re-connect and establish rituals

Engage and Enable: community building

Support: galvanise around established rituals, invite engagement

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Evangelize

Kill or Cure Engage and Enable

Support

Increasing ratings, low BCSDeclining ratings, low BCS

Growth in viewing figures across 2012/13 series

BC

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Size of bubble = viewing figures for final episode of 2012/13 series

Red Widow

Grimm

Game of thrones

Deception

Walking Dead

Scandal

Psych

Defiance

Increasing ratings, high BCSDeclining ratings, high BCS

High

Low

Linking emotional commitment to viewing figures

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Week on week the emotional connection with Red Widow is growing. People identify more with the characters and the Female Gangster genre becomes more familiar and less challenging

Recognizing the tipping point for a fan community is critical for Season 1 shows this was 9, when the mid season break ended and a part one re-run was complete. This is where community ‘support’ should have kicked in

Recognizing the fan tipping point Red Widow

Tipping point

Key support issues

No support for niche and valuable fan base – the community is forming but have no support to engage. A save the show campaign is too late.

Paid advertising only in support - : lack of connection points

Competing with shows that have crossed from specialist to general appeal: Game of Thrones, Walking Dead. Lack of either niche engagement or ability to compete on a wide level

The right thing, wrong time? Red Widow

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Once a Walking Deadhead, always a Walking Dead-head The Walking Dead

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Walking Dead has an consistent experience eco-system

Walking Dead-heads or z-heds know, recognize and can embrace the Dead Culture across a range of media– both on and off season, both on and off screen

The support system put in place by the productions company built supported and amplified the passions that existed around the horror/ zombie genre and helped it to cross into the mainstream, attracting ratings and audience value that mains stream dramas rarely achieve

Once a Walking Deadhead, always a Walking Dead-head The Walking Dead

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An integrated, interactive multi-media strategy The Walking Dead

Downward trend – limited ‘stickiness’ once viewed Growing trend: driving and facilitating the fan conversation

Social game as ‘fix’ now the series has ended for the year Continued commitment to Series 4 – But what about Darly?

Evangelize

The community is self generating, connected and advocating. The volume of fan art, community discussions, UGC video shows is amplifying the story started by AMC & Fox international

Engaging with Walking Dead content means consistent, strong imagery and consistent strong experiences that deepen emotional connection with the franchise

The Walking Dead typifies the aspirational franchise that knows how to drive, create and amplify earned media as the fan base grows in value and trust

Empowering experiences drive community to advocate The Walking Dead

Copyright © 2008-2013 SDL plc. All rights reserved. All company names, brand names, trademarks, service marks, images and logos are the property of their respective owners. This presentation and its content are SDL confidential unless

otherwise specified, and may not be copied, used or distributed except as authorised by SDL.

Questions?

Contact details: Liz High – SDL Social Intelligence Professional Services Mail: lhigh@sdl.comLinkedIn: www.linkedin.com/in/lizhighatintrepid/Twitter: @lizzhighUK