CRM.COM Rewards

Features and supported processes in relation to the CRM.COM Reward

solution

Proprietary Notice. The information contained in this document is proprietary and confidential. No portion of

this document may be copied, or transmitted in any way, to any third party without the written approval of

CRM.COM. CRM.COM Software is the registered trademark of CRM.COM Ltd and CRM.COM Software Ltd.

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Table of Contents 1. Introduction ...................................................................................................................... 2

1.1. Common Scenario Implementations ............................................................... 2

1.2. Five reasons for selecting CRM.COM: ............................................................. 3

2. CRM.COM Rewards .......................................................................................................... 4

2.1. CRM.COM Technology: Simple yet powerful ............................................................... 4

2.1.1. Easy and quick to configure............................................................................. 4

2.1.2. Easy to use ....................................................................................................... 4

2.2. Designed for extended access ......................................................................... 5

2.3. Technology and Tools ...................................................................................... 7

3. Supported Processes ........................................................................................................ 8

3.1. Scheme Definition ........................................................................................... 9

3.2. Reward Offers definition ................................................................................. 9

3.3. Award definition ............................................................................................ 10

3.4. Settlement Process ........................................................................................ 11

3.5. Batch interfaces ............................................................................................. 11

3.6. Segmentation and Notifications .................................................................... 12

3.7. Reports and Dashboards ............................................................................... 13

3.8. CRM.COM Web APIs ...................................................................................... 14

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1. Introduction

The purpose of this document is to describe the CRM.COM features and supported processes in relation to setting up an innovative loyalty and reward scheme. This document concentrates specifically on the features of the CRM.COM Reward application.

CRM.COM has a strong track record and a multi-year experience in developing and

implementing on-demand and on-premise subscription based billing and real-time

reward solutions.

The software provides a turnkey reward solution that allows your company to

structure reward payments to customers, partners and employees based on

sophisticated sales and purchase characteristics. The operator signs up multiple

participating partners that agree to fund “cashback” on purchases made by

customers. This cashback is conditional, meaning that it can only be spent at specific

times, on specific products and at specific sales channels. CRM.COM provides full

automation of the whole scheme, including cashback accumulation, cashback

redemptions, partner contributions and the partner and cardholder website

interfaces.

1.1. Common Scenario Implementations

Scenario Example Implementation

Retailers ‘Point of sale’ frequent shopper & VIP reward schemes including product promotions (e.g. food, clothing or petrol station retailers)

Reward Scheme Operator Provide a loyalty scheme for a coalition of merchants

Card Issuers Reward offering by card issuers to cardholders funded by a coalition of merchants

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1.2. Five reasons for selecting CRM.COM:

1. CRM.COM is extremely functional and feature-rich. The easily and highly configurable packaged Billing and Reward solution is available either on demand, on premise or as a hybrid hosted model. Can be live in months rather than years and maintained and enhanced by your team. For example, your team will be able to easily amend and introduce offers and promotions. This results in a low Total Cost of Ownership (TCO).

2. CRM.COM’s elegant and powerful design enables our customers to introduce innovative reward schemes and improve customer loyalty and retention. Our software pivots around 3 main models: Billing, Rewards and Collaboration. Use Billing to introduce recurring subscription billing across any bill and payment model. Use Rewards to analyse and segment your customers while providing them with offers and conditional cashback. Collaborate with your partners and channels to bill and reward your customers.

3. Customer Relationship Management (CRM) functionality that helps you acquire subscribers and decrease churn. This includes easy-to-use tools such as contact management, dynamic segmentation (categorisation), campaign management (email, letter, SMS), Call Centre / IVR integration, sales automation (for wholesale sales), customer care and resource management.

4. CRM.COM is built on modern technology and provides easy connectivity to 3rd party systems (IVRs, websites, etc). CRM.COM is designed, built and tested for high volume, high scalability and mission critical environments. The whole platform is available on a fully documented API, allowing certified CRM.COM partners to extend and customize the software to suit custom client processes or new billing and reward models.

5. As a company we have a culture of simplicity and speed. We keep business requirements and the resulting software simple, yet powerful. We aim to have our users being able to use our software simply by accessing our wiki manual. And we have a no-fuss, deliver-as-promised approach.

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2. CRM.COM Rewards

2.1. CRM.COM Technology: Simple yet

powerful

CRM.COM is a strong supporter of Java EE and Linux but also of Microsoft

technologies. We believe that allowing our customers to have a choice reduces

the total cost of ownership. CRM.COM has entered into a strategic agreement

with IBM to have IBM WebSphere as our primary development platform and we

are an Advanced member of IBM PartnerWorld for Developers. Our software is

easy to learn and use, can be accessed by anybody and anywhere, irrespective

of what client and browser they use and it is inherently collaborative, allowing a

community of organisations to share data and processes whilst maintaining their

independence.

The sections below outline the key strengths of CRM.COM system:

2.1.1.Easy and quick to configure

CRM.COM is designed to allow you to be able to configure it and easily amend it

to reflect a fast changing business environment. All business processes and rules

can easily be defined in our software by your key users without requiring

programming knowledge or experience.

2.1.2.Easy to use

We went to great lengths to ensure that the software is powerful, yet easy to

use. For example, we have dynamic search and display summary screens that

allow the user to search for data and drill down to multiple levels for in-depth

data viewing and understanding. The screen below shows the Contact

Information summary screen where contacts can be identified by various search

criteria. The returned contact records can be further interrogated by the user

selecting any one of the drill down links. Information such as addresses, email

and phone numbers can be easily accessed.

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2.2. Designed for extended access

The software is designed to be accessed by your extended business network,

staff, remote workers, freelance sales reps, 3rd party retailers and outsourced

call centres.

You can easily define the level of data users can access. This functionality is

provided through the Users Management module which is used to create and

manage the users of CRM.COM by authenticating who can access the system

and controlling the areas that are allowed to be accessed. The screen below

shows the different view of the system for each organisational unit (e.g.

Administrators >> Call Agents >> Installers).

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Your company has the option to specify as part of the incentive definition the

contribution level that they are willing to commit to.

Each partner can then log into the system and modify any of the offer validity

details (except the contribution level as this is fixed by the operator) like day of

the week, time of the day, product and financial conditions and cashback

amount. Partners can also initiate their own incentives with a fixed 100%

contribution from the partner.

By using this model the operator can configure the system (a) in a simple, one

group, one offer arrangement, (b) right the way through to a more complex,

multi-partner and (c) multi-partner and multi-offer scenario as demonstrated in

the diagram below:

In addition, key users can easily create different data entry screen versions for

different channels. The screen below shows the designer tool, where a key user

has the ability to create different page versions for partners and sales agents by

editing the custom layout page.

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2.3. Technology and Tools

CRM.COM is designed for mission critical environments, for high volumes, large

user base and high availability with near zero downtime. CRM.COM is a strong

supporter of Java EE and Linux but also of Microsoft technologies and uses

multiple application servers to achieve performance and availability.

CRM.COM is designed with enterprise class security and controls. For example

you can define various user roles, assign them to users and then define the

allowed functions for each role.

Additionally, an area where CRM.COM excels is in the number of tools it

provides. These tools allow the operator to be more efficient and productive in

areas such as reporting and data extraction. The following list outlines the main

tools provided as part of the standard software release:

The embedded Jasper Reports™ tool allows for easy definition of new reports.

The scheduling of reports allows for the reports to be scheduled and sent by email to users on the desired frequency.

The embedded data extraction tool allows for the easy definition of import and export templates.

The screen below shows the Import and Export tools via the Data Integration module.

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Reward Scheme A

Reward Offer A1

Award Conditions A1

Spend Conditions A1

Award A1

Allowed Organisational

Units A1

Reward Offer A2

Award Conditions A2

Spend Conditions A2

Award A2

Allowed Organisational

Units A2

Reward Scheme B

Reward Offer B1

Award Conditions B1

Spend Conditions B1

Award B1

Allowed Organisational

Units B1

3. Supported Processes

CRM.COM automates all the key processes of the reward scheme operator. The

following sections cover and explain these processes.

The Rewards application has a multi-tier approach, including the Reward

Schemes, the Reward Offers along with the award and spend rules for the offers

to be applied. Each Reward Offer constitutes of an award offering which defines

the cashback that the customer receives for his qualified transaction that meets

the reward offer conditions. CRM.COM allows for multiple schemes to run

concurrently. The structure of the tiers is detailed in the diagram below:

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3.1. Scheme Definition

Reward Schemes are used to apply the created offers of the scheme to the

customers that participate to the scheme. The scheme entity has a number of

configurable parameters. Below is a brief explanation of some of the main

parameters:

Name – The name of the reward scheme Alternative code – The alternative code of the reward scheme Description - A description of the reward scheme Life Cycle State – The life cycle state of the reward scheme which can be

effective or not effective. Only effective reward schemes can be offered to reward participants

Effective Reward Offers - A list of effective reward offers which are provided by the specific reward scheme. Only effective reward offers can be provided to customers

Not Effective Reward Offers - A list of not effective reward offers which were provided or will be provided at some point by the specific reward scheme. Only effective reward offers can be provided to customers

Allowed Organisational Units - The organisational units that can use the specific reward scheme

Log Information - Includes the standard log information

3.2. Reward Offers definition

Reward offers are used to define the amount of money that will be awarded

based on customer events and the conditions specified on each reward offer.

Reward offers also define the spend conditions such as on what products and to

which merchants the cashback can be spent. The reward offers have a number

of configurable business parameters. Below is a brief explanation of the main

parameters:

Number – An auto generated number that uniquely identifies each reward offer

Scheme – The reward scheme that the reward offer belongs to

Type - The type of the reward offer that will determine its business behaviour. Reward offer types are filtered based on the organisational unit of the logged in user

Name - The name of the reward offer

Alternative code - The alternative code of the reward offer

Life cycle state - The life cycle state of the reward offer which can be Effective or Not Effective. By default, reward offers are created as Effective

Description - A description of the reward offer

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Category - The category of the reward offer

Validity - Reward offer validity is used to define the period ranges that the reward offer is valid. By default all reward offers are always valid, unless a validity period is specified. Multiple reward offer validity period can be specified and each one consists of the following:

o Valid From: The date that the offer should become valid o Valid To: The date that the offer should become invalid. This is optional

as an offer can be valid for ever, starting from a specific date

Award - The award that will be given if the offer award conditions are met. The award can be a specific amount or a percentage of the financial transaction amount that triggered the award, although the percentage is not always applicable. This depends on the classification of the reward offer. More specifically:

o Amount or Percentage can be used if the reward offer is classified as: Utilise free capacity Increase Revenue, Transaction Based Increase Revenue, Product Based Reward Loyalty, Transaction Amount Based

o Amount only can be used if the reward offer is classified as: Reward Loyalty, Transaction Number Based Reward Sign Ups Reward Referrals Reward Behavior Reward on Birthday Reward Subscription Maturity Reward Personal Data Completeness Reward Achievements Just Money

Award Conditions - The conditions that should be met in order for the reward offer to be awarded. The award conditions differ based on the reward offer classification

Spend Conditions - The conditions that should be met in order to spend an amount of money that was awarded by the specific reward offer

Log Information - Includes the standard log information

3.3. Award definition

The award is the benefit to the customer for the qualified purchases he makes where the award conditions are met. The award can be a fixed amount or a percentage of the total financial transaction amount that triggered the award. This depends on the classification of the reward offer. More specifically:

Amount or percentage can be used if the reward offer is classified as: o Utilise free capacity o Increase Revenue, Transaction Based o Increase Revenue, Product Based o Reward Loyalty, Transaction Amount Based

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Amount only can be used if the reward offer is classified as o Reward Loyalty, Transaction Number Based o Reward Sign Ups o Reward Referrals o Reward Behaviour o Reward on Birthday o Reward Subscription Maturity o Reward Personal Data Completeness o Reward Achievements o Just Money

3.4. Settlement Process

In cases where the CRM.COM Reward solution is used by an operator such as a

shopping mall or a multi-merchant coalition scheme, the CRM.COM settlement

process provides the appropriate reconcile transactions between the merchants.

Merchants are basically debited (charged) for the awards offered by them and

credited (refunded) for the spends they did. An optional transaction fee can also

be charged against the merchant’s account. The settlement process is

performed at regular intervals as a background process and the corresponding

payment and refund requests can be automatically generated and submitted to

payment systems.

3.5. Batch interfaces

CRM.COM incorporates an embedded, industry leading ETL (Extract, Transform and

Load) application (Pentaho - Kettle). This allows custom integration transformations

to be developed quickly and easily using the window’s drag and drop application.

Once an interface has been developed and tested locally, it can be exported directly

into the CRM.COM application server where it can then be scheduled to run

automatically at the required interval.

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Below is a screenshot of the ETL software. The transformation shown in this

example (settlement process) contains many individual process steps, ranging from

the initial connection to a data source all the way through various logical and

manipulative steps to the output step where new data is written back to a separate

data source.

3.6. Segmentation and Notifications

Segmentation allows the easy creation of customer segments such as “VIP Customers”, “Regional Customers” or customers that have a particular spending habit, where customers are grouped or categorized based on common criteria in order to be used by various business processes of the system as identification conditions or for simple statistical calculations. Segments are defined by adding CRMQL queries. CRMQL stands for CRM.COM Query Language and is a business query language developed by CRM.COM in order to be used to query information within the software.

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Once a segment is defined it can then be used by notifications to notify the contacts

within that segment. Notifications are created through notification runs and are

referring to either a specific accounts receivable or contact information. A

communication is created for each notification, which can be sent by email directly

through CRM.COM or be processed by an external system, through the

communication queue.

3.7. Reports and Dashboards

The CRM.COM reporting tool is an easy to use tool that enables you to design, view

and generate reports in a very simple way. The system is installed with a full set of

standard reports that apply to all areas of the software. Reports are fully web based

and the user can specify data selection criteria, choose what fields to display and

how the data should be grouped and presented.

Once a report has been customised the user can save the configured report where

he has the option to add it to the scheduler. Scheduled reports are delivered by

email to the specified recipient list on the desired frequency.

In addition, a number of graphical dashboards are provided where key management

data is graphically presented, allowing multiple drill downs to the detailed records.

New reports and dashboards can be created and uploaded by key staff of the

operator.

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3.8. CRM.COM Web APIs

A lot of the functions that exist in the software are published as Web APIs. This

allows 3rd party systems to integrate with CRM.COM and access online data.