Академический Документы
Профессиональный Документы
Культура Документы
Coverage g
Key K C Customers Campaign Manageme ent CRM Programs CRM in i B2C M Markets k t cal and Collaborative Operational, Analytic CRM
Key y Customers
are those customers whose e needs and wants can be satisfied by the company. company
Loyal Customers
Perceive a companys products as muc ch superior to competitors products.
Competitive customers
Perceive a companys products as sligh htly superior to a competitors product
Switchable customers
Perceive a competitors product as slig ghtly superior to the company's product.
Strategies g for key y customers Develop personal trust (Meeting g all commitments made to the customer,
offering good value for money and not overcharging, o prompt attention to any complaints received from the customer) )
Create entry barriers in the co onsumer mind space for competitor products (Highly com mpetitive prices, innovative features, brand
resonance, strategic partnerships to enh hance value delivery)
Reinforce exit barriers (Customisation, ation Loyalty benefits benefits, Long term contracts)
4
Cull consumer names from a databse Sent offers to custome ers C Customers receiving i i offers off for f products d not relevant to them.
Solution: Proper segmentation and a database qualification5
Demographic profile Psychographic profile Which products would be b needed by a particular segment Which products would be b deemed suitable by a particular ti l segment t Choice of variants and si izes Which channel of comm munication is preferred by a particular segment Preferred action options p s.
6
Take into account the needs of a segment before deciding on th he offers made. U Use segment t charact h t i ti to teristics t decide d id on communication channel, product variants etc. that are offered. Analyze the response es to previous campaigns before finalising offer rs. Create metrics to me easure the success of the campaign. campaign
7
Single stage campaign Multi stage campaign Single channel campaign Multi-channel campaign
V Volume l of f communic ication ti sent t and d percentage of respon nses received. Volume of responses converted into sales Volume of sale Cost of campaign vs value v of sales.
Operational CRM aims at combining sales, support and marketing databases into a single s repository that tracks and manages interactions with customers, c customers thereby focusing on improving the efficiency of cust tomer interactions. It automates and improves p customer facing g and customer supporting business processes.
10
Analytical CRM comprises th he analysis of customer data for strategic or tactical purpo oses to enhance both customer and firm value. Analytical CRM aids decision n making using various tools ranging from simple spreadsh heet analysis to sophisticated data mining. mining ble insight into consumer The analysis should enab behaviour, and meet the objectives of the CRM initiatives, for the purpose of business pe erformance management and improvement.
12
Analytical y CRM
Analytical CRM is concerned wi ith the analysis of the data that is collected through Operational CRM. C The analysis needs to be done to meet the objectives of the CR RM initiatives. The aspects that could be covered include include-
Creating segments of customer rs based on their purchase behavior. Understanding a customers purchasing preferences (choice of products/brands) etc. s Making sense of changing trends Finding out which customers ar re at the risk of churn. churn Analyzing the response to camp paigns. Analysing y g the response p to reten ntion strategies. g
13
Operational p CRM
Front office involvement
Aims at bettering the customers Aims at understanding experience customers customer s behavior. behavior
Focus on actual customer interfaces Focus on analysis of customer interactions Helps to gather information to be e Depends on operational CRM for used for analytical CRM getting the input data on which analysis is done.
14
Collaborative CRM M
Collaborative CRM is primarily geared d towards increasing the interactions between the customers and the companies. Collaborative CRM facilitates interactio ons between customers and companies p and between members of the company aro ound customer information to improve communication and coordination, to raise customer switching costs and to increase customer intimacy and retention. It involves business collaboration management technologies. Organisational O i ti l collaboration ll b ti results lt in i productivity p d ti it enhancement h t resulting lti i in greater profitability by enhancing cr ross functional effectiveness. Some collaborative CRM technologies are voice e, conferencing, email, web based and other interactive technologies. technologies
15
Customisation to fit exa act requirements Personal preferences Lifecycle stage and circu umstantial needs Event based selling
For eg-ICICI Bank has customers s across various divisions-savings account, credit cards,home loans, car loans, demat accounts etc. The same customer may avail of f multiple facilities from ICICI viz. a savings account holder taking a home loan as well as becoming a credit card subscriber. subscriber So, So a co ompany must get a single customer view and not multiple views of the same customer.
16
Cross selling efforts are fruitful if the database is created through well qualified prospects and campaign management is done b bearing i i in mind i d personalization li ti and customization requirements.
17
Multi-channels
of channel Issues of consideration Continuos training to all personnel manning the shops to ensure uniform consumer interactions Collating data from all other channels and providing access for shop personnel to ensure a unified customer view. Conflict C fl among the h retail l shops h owing to discounts offered by some shops.
Type
Retail shops
Online-Internet
website
Ensuring updated data on the site Security issues wrt consumer transactions Integrating website properly with offline task enablers like logistics service providers.
18
CRM Programs g
Mass Markets Distributors Business to Business Markets
Customer Types
Program Types
Partnering/ g Co-Marketing
20
Purchasing Efficiency
Psychological Cost
21
Source : Jones & Sasser, Why Satisfied Customers defect, Harvard Business Review, Nov.-Dec. 1995, 88-99. 22
Principal Reason for Customer C Defection is within Companys Company s Con ntrol
Move Away 3%
23
Perceived good service providers s could charge an average 9-10% 9 10% more for the same basic product or service They grow 2 times faster than th heir competitors They Perceived service leaders improv ve their market share at an average of 6% a year, whereas the perceiv ved poor service providers lost as much as 2% MS per year Most loyal customers are like ely to take the time to complain. Others simply take their business elsewhere
24
96% of unhappy customers never r bother to complain Each dissatisfied customer on an average a will tell 15 other people Each E h satisfied i fi d customer will ill tell ll no more than h 6
25
Smart organisations never allo ow an irate customer to retell their complaint to more than one employee in the company 71% of the customers feel their complaint has been handled satisfactorily if they only need to deal with one individual. This level drops down to 61% if mo ore than one employee was i l d in involved i solving l i th the problem bl m. If a customer complaint was ha andled well, 95% of the customers will return to do business with h your organisation
26
Comprehensive C h i pictu i ture of f sales l situation it ti Enabling sales with th he power of automation Analysis of sales Comprehensive access to all desired materials ( (To be covered in det tail later) )
27