measurement matters
DESCRIPTION
Measurement mattersTRANSCRIPT
Prepared by Supavadee Tantiyanon Director of Digital Services - Minor International Group & General Manager - mysale.co.th @Minor !
MATTERSMEASUREMENT
MEASUREMENT WHYWHATHOW
IMPACTS
THE REALITY
AGENDA
THE FUTURE OF CUSTOMER ENGAGEMENT - EXPERIENCE RELATIONSHIP
Credited: RightNow Technology
\ MEASUREMENT &
THE REALITY
1
Where are we now? What do we think?
Scatter Measurement
Still ad-hoc and not yet integrated
Don’t know how
Not sure how to show the impact to business
Big gaps on definitionNo clear policy
\THE SAD TRUTH
ONLY 11%OF MARKETERS’ DECISIONS ARE
MADE BASED ON DATA
\THE SAD TRUTH:INFLUENCE ON MARKETERS’ DECISIONS
Past Experience &
Intuition
Colleague Recommenda
tion
Conversations with Experts
One-off Customer
InteractionsData
Source: CEB 2012
\ MEASUREMENT &
WHY
2
MEASUREWHY ?We need to measure customer experience to improve satisfaction and
loyalty…which will also reflect on the brand’s profitability in the long run.
SHIFT TO A CONNECTED WORLDShift in media landscape & Technology
1.0One-way Communication
TRADITIONAL CONSUMER
2.02-ways Communication with more dialogue
ONLINE CONSUMER
3.0Always-on Always Connected
CONNECTED CONSUMERSpeedy & Holistic Shift
Customers are now in control of the information and messaging, not brands.
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UNDERSTANDING
\FOCUSon CUSTOMER EXPERIENCE
\
95% of employees don’t fully understand
their organisation’s strategy.
!Norton/Kaplan
Balanced Scorecard
50% of the people surveyed said that agents
failed to answer their questions
!!
Harris
10% increase in customer retention results in a 30% increase in the value of the
company Bain & Co.
Nearly 70% of consumers said, they had ended a relationship due to poor customer service alone
!Datamonitor/Ovum 2009
!
Dissatified customers whose complaints are taken care of, are more likely to remain loyal , and become advocates, as
those that are “just” customers !
70-90% of what happens with
customers is driven by human nature and nothing to do with technology
!!
McKinsey
\
Similar experience?What are the actions
\
95%
45%
35%
10% 5% 0
10
20
30
40
50
60
70
80
90
100
Collect Feedback Alert Staff Use Insight Deploy and Improve
Tell Customers
Percent of companies that…
\ 2MEASUREMENT
&
WHAT
\
3 WAYS MEASUREMENT MATTERS
1. ROI
2. KPI
3. INSIGHT
Measuring success and returns
Optimization engines
Context for planning
\
Return on Investment A simple equation
Business Value: Opportunity value Incremental value of the investment
\
Key Performance Indicators: An Optimisation Engine
\
Key Performance Indicators: An Optimisation Engine
\
Insights:
\ 3MEASUREMENT
&
HOW
Process Framework
Set Targets, Reporting Points and Reporting Audience
Customer management Planning
Trial Strategy and KPIs Implement Technology Apply Analytics
Relate KPIs to market and Strategic Objectives
Adjustment Strategy According to Learning
4. Interpretation
3. a) Testing b) Tracking c) Analytics
2. Establish Success Metrics (KPIs)
1. Establish Strategic Objectives
5. Action Planning
Continuous
Improvement
Knowing your Customers
Available data • Gender • Data of Birth • Occupation • Residential address • Delivery address • Purchase history
Customer segmentation
RFV Recency, Frequency, Value
Deliverable Phase 1 • Customer segmentation • Identify groups of established
customers who represent highest value
• Identify groups of new customers with the greatest future potential
Phase 2 • Market basket analysis
Customer Engagement KPIs (Examples)
Program Effectiveness & ROI • Customer satisfaction • Cost effectiveness per channel of acquisition or
communications • Participation rate • Program contents • Brand preference overtime against market index • Incremental sales for up-sell, cross-sell, replacement and
digital services • Referral’s rate (How likely would you recommend to your
friends?) • Incremental sales of the program Vs. regular sales
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So don’t forget the golden rule
What they give us>=What we give them THE EXPERIENCE
...
\ THE IMPACT
4
Impacts to the organization
Gamification
Utility appsVideo
QR Code
rich media
rea
l tim
e InteractiveCONTENTSmore platforms
more rich medias not ownable by brand
“Data is the new oil or the internal “gold mine” that can’t be ignore.
BIG DATA
Customer Database
Sale
s D
ata
Behavioral tracking
Contextual
Buying pattern
preferencesloca
tionsocial
RO
Idialog
UX
CUSTOMER CENTRICS• Listen more to consumers via social listening
• Adopt more of CRM practices across all functions using digital as channel
Final thoughts…• “Success” with Customer Engagement Program will
depend upon having clear, measurable objectives which are implemented and followed regularly
• This requires more than a scorecard approach -- findings must be analyzed and changes implemented to continuously optimize the process
• Short-term and Long-term “wins” are always possible • but…most of all, you have to love your customers and
understand them enough to engage with them with great passion.
Thank you
Linkedin: th.linkedin.com/pub/supavadee-tantiyanon/8/13/199/
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