Lummus p camp11 presentation

®

IT’S NOT THE PRODUCT –THE CUSTOMER IS KING

Michael LummusProduct Manager

Acxiom Marketing Database Services

Just 8% of their customers agree

Source - Bain

INTERBRAND FINDINGS

> TODAY’S BRANDS CAN’T HIDE ANYTHING FROM CONSUMERS

> NOW CUSTOMERS CAN LET THE WORLD KNOW HOW THEY FEEL

> TRUST AND CUSTOMER LOYALTY: IN TODAY’S MARKETPLACE, THESE ARE THE WORDS THAT MATTER MOST

COCA-COLA: A 124-YEAR-OLD BRAND STAYS RELEVANT

“Now information flows in many directions, consumer touch points have multiplied, and the old, one-size-fits-all approach has given way to precision marketing and one-to-one communications.”

Joe TripodiChief Marketing and Commercial OfficerCoca-Cola Company

FORD: USING CUSTOMER FEEDBACK TO MAKE A BRAND COMEBACK

“As a best-case model for how to use social media effectively, Ford isn’t just soliciting customer feedback, it is responding to it.”Interbrand’s Best Global Brands

KEY TRENDS

The rise of the consumer

The demise of the mass market

The loyalty paradox

Customer Segmentation

The Customer Lifecycle

Personalization of the

Experience

KEY CONCEPTS

SEGMENTATION

IDENTIFYING SEGMENTS: CLOTHING RETAILER

0 1 2 3 4 5 6 7 8 9 $-

$50 $100 $150 $200 $250 $300 $350 $400 $450 $500

Visits last 12 months

Avg

. Spe

nd p

er V

isit

•Female•Ages 25-44

•Male•Holiday Shopper Friends

and Family

Loyal Shoppers

•Female•Ages 45-64

Up and Coming

11

Product Offers: • New seasonal launches • Gift with purchase offers

Preferred Channels: All

Talking points: • Holidays reminder campaigns• Online gift selector tool• Gift packaging offers

Talking Points: • Financial Incentives (percent or dollar off) • Lower priced, entry level product line

Preferred Channels: Online

Loyal Shoppers

Up and Coming

Friends & Family

CUSTOMER SEGMENTS: CLOTHING RETAILER

CUSTOMER LIFECYCLE

THE CUSTOMER LIFECYCLE

>Describes an ongoing relationship>Forces us to shift to the customer’s point of

view>Matches consumer activities with relevant

products and communications>Addresses the bias toward new customer

acquisition activities

OPPORTUNITIES ACROSS THE CUSTOMER LIFECYCLE:

Cust

omer

Val

ue

Incliner Maturity InactiveDeclinerNew Customer Reactivate

Customer Life

High-Potential Prospecting

Driving New Occasions

Migrate 80/20 Performance

Managing Attrition

WinbackOutgrowing the Segment

PERSONALIZED EXPERIENCE

PERSONALIZED SHOPPING EXPERIENCE

EXTREME CONFIGURATION

USER GENERATED CONTENT

MASS CUSTOMIZATION

PREFERENCE CENTERS

THANK YOU.

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Questions?