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Customer LifeCycle ManagementSM

Tap into YOUR hidden potential with

DPS PerfectCircle Suite of Marketing Capabilities

<Month Day, Year><Your name>

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…How can you be sure you are optimizing your marketing investment

whenthere is a lot of options, a lot of confusion, and…

Data Modeling

Profiling

Intelligent offers

Vary the media

Web marketing

Point of Sale merchandising Surveys

Actionable data

Owner RewardsKey tags

Coupon booklets Gift cards

CRM

Gender based marketing

Database marketing

Incentives

Sales Force Automation

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With everyone essentially buying the same technology, where is the competitive advantage to be

found?

…a lot of cookie cutter programs.

Data Modeling

Profiling

Intelligent offers

Vary the media

Web marketing

Point of Sale merchandising

Actionable data

Owner RewardsKey tags

Coupon booklets Gift cards

CRM

Gender based marketing

Database marketing

Sales Force Automation

Surveys

Incentives

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Data ModelingData Modeling

ProfilingProfiling

Intelligent offersIntelligent offers

Vary the mediaVary the media

Web marketingWeb marketing

Point of Sale merchandisingPoint of Sale merchandising

Actionable dataActionable data

Owner RewardsOwner RewardsKey tagsKey tags

Coupon bookletsCoupon booklets Gift cardsGift cards

CRMCRM

Gender based marketingGender based marketing

Database marketingDatabase marketing

Sales Force AutomationSales Force AutomationSurveysSurveys

IncentivesIncentives

Data ModelingData Modeling

ProfilingProfiling

Intelligent offersIntelligent offers

Vary the mediaVary the media

Web marketingWeb marketing

Point of Sale merchandisingPoint of Sale merchandising

Actionable dataActionable data

Owner RewardsOwner RewardsKey tagsKey tags

Coupon bookletsCoupon booklets Gift cardsGift cards

CRMCRM

Gender based marketingGender based marketing

Database marketingDatabase marketing

Sales Force AutomationSales Force AutomationSurveysSurveys

IncentivesIncentives

How do you make an informed decision that makes sense for you?

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First, begin by understanding how customers behave throughout their life

cycle.

CONSUMER

SHOPSHOP

OWNOWN

BUYBUY

Accenture 2004

Not including non-traditional after-sales products/services…

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Then, Implement a Solid Marketing Strategy……Introducing Customer LifeCycle ManagementSM

•Integrated communications •Sustainable

•Lowers per unit costs•Aligned with behavior

•Keeps options open: (Flexible Customization)

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As it relates to Customer Relationship Management (CRM), customer LifeCycle Management (CLM) is used to describe the progression of steps a consumer goes through when: considering, purchasing, using, and maintaining a vehicle.

The goal of lifecycle management is to pro-actively move the consumer through the cycle again and again by defining the way in which an enterprise interacts & communicates with its customers and prospects at each phase of the life cycle.

What is Customer LifeCycle ManagementSM ?

CONSUMER

SHOPSHOP

OWNOWN

BUYBUY

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• Marketing and Advertising is the second largest business expense

• 88% of the Marketing & Advertising dollars are spent in Mass-Media

• Marketing & Advertising consumes 25% - 30% of the average new vehicle gross profit

• Front end acquisition rates typically yield 50% capture of the total advertising influenced prospect base

• 40% of “New” customers never generate a CP repair order

• 70% of the customers “defect” within the first 3 years of ownership

• Less than 15% of annual sales are to repeat customers YET -

• 20-25% of their customer households will purchase a vehicle annually

For the average franchised New Vehicle Dealer:

Why is LifeCycle Management important?

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• Customer service intervals are more expansive

•Many BMW Service centers are at capacity

•Must maximize each visit / opportunity

•Vehicles are built better and have more complex systems

•Less parts sales

•More computer programming repairs versus additional parts or labor sales

• Co-op funding going untapped – why solicit more if you can’t handle it?

•Need ability to consistently build value in the breadth and quality of BMW products & services

•Accessories, Lifestyle & boutique items, warranties, etc.

For the average BMW Center regarding Aftersales:

Why is LifeCycle Management important?

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Why is LifeCycle management important?

$ 1445 GP per unit

30% of GP is consumed in ad costs

Because current practices are a “going out of business” strategy!

$ 493.00

$ 8.3 Billion is spent each year in conquest advertising.

Customer retention remains around 30%

STOP the Madness!

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• Actionable data

• Timely and relevant, customer-centric communications

• Consistent delivery of quality interactive processes and,

• Ability to demonstrate and quantify the value each customer derives from the relationship.

Four essential elements for Customer LifeCycle Management:

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PerfectCircle CLM Strategy

Traditional “Retention Marketing”Cookie cutter

Sold on price or other traditional metrics

Activity based

Focused on reminders, and traditional call center activity

Service dept focused

Not integrated with total marketing and advertising strategy

                           In what way is PerfectCircle CLMSM different?

On Line On Line AdminstratorsAdminstrators

Options:

Flexible

Aligned with business objectives

Unique, Flexible, & proactive

Enterprise wide solution

Integrated communications

Permission based

Consumer behavior driven

Quantifies value for consumer

Facilitates shift in budget for no incremental expense

Options:

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Innovative Thinking The ONLY CLM company in the automotive retailing industry

The FIRST company to offer bundled communication capabilities oriented around consumer behavior

The FIRST company to offer flexible fee structures

The ONLY company to offer complete customization of the program

The ONLY company to offer integrated marketing communications with a plug-n-play owner rewards program

The ONLY automotive focused DB marketing firm to bundle all of this with personal owner web pages

Why DPS?

Clear Solutions

Measurable Results

Simple to understand suite of capabilities

Marketing strategies developed according to dealer objectives and unique market conditions

Hands-off, turn-key services that can be customized to individual preference

Marketing programs aligned and held accountable to dealer business objectives

The ONLY company to offer pre, and post implementation retention performance benchmarking

The ONLY company to offer performance reporting that is available in hard copy, e-mail , fax, and secure web based access to real-time data-driven reporting

Personalized, monthly service consultations and program adjustment recommendations

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• Federal and State

Compliance filters

• Customer info & address

standardization

• De-duping customer

records

• Customer & vehicle

records and history

• Op-code normalization

• NCOA

• CASS Certification

• Customer profiling

• Customer segmentation

• Predictive data modeling

• 3rd party list management

DB Management DB Management ServicesServices

• DPS client engagement

and business case

development model

• Benchmark measurement

and follow-up

• Monthly performance

reports

Benchmarking Benchmarking ServicesServicesCustomer LifeCycle Management ServicesCustomer LifeCycle Management Services

AcquisitionAcquisition RetentionRetention RenewalRenewal Owner RewardsOwner Rewards

• Voice of the Customer –

Service Follow-up

• E-mail “Smart Surveys”

• New sale thank you and

service introduction

• Maintenance reminders

• Voice of the Customer –

non-responder

• Major service thank you

• E-mailed communications

• Mycarpoints.com

personal owner webpages

• Owner rewards program

• Key tags

• Service Maintenance

books

• On demand campaigns

• Performance reporting

• Voice of the Prospect –

Shopper Contact

• Acquisition direct mail

marketing

• Dealer Advance lead

management system

• E-mail Direct Marketing

• On demand campaign

management

• Performance reporting

• Voice of the Customer

Reactivation

• Reactivation mail

• New vehicle sales

campaign

• On demand campaigns

• Performance reporting

• Promotional kit

• Welcome kit

• Point accrual, tracking,

account and redemption

management

• MyCarPoints.com

personal owner web

pages

The 4 Cornerstones of Customer LifeCycle ManagementThe 4 Cornerstones of Customer LifeCycle Management

• Federal and State

Compliance filters

• Customer info & address

standardization

• De-duping customer

records

• Customer & vehicle

records and history

• Op-code normalization

• NCOA

• CASS Certification

• Customer profiling

• Customer segmentation

• Predictive data modeling

• 3rd party list management

DB Management DB Management ServicesServices

• DPS client engagement

and business case

development model

• Benchmark measurement

and follow-up

• Monthly performance

reports

Benchmarking Benchmarking ServicesServicesCustomer LifeCycle Management ServicesCustomer LifeCycle Management Services

AcquisitionAcquisition RetentionRetention RenewalRenewal Owner RewardsOwner Rewards

• Voice of the Customer –

Service Follow-up

• E-mail “Smart Surveys”

• New sale thank you and

service introduction

• Maintenance reminders

• Voice of the Customer –

non-responder

• Major service thank you

• E-mailed communications

• Mycarpoints.com

personal owner webpages

• Owner rewards program

• Key tags

• Service Maintenance

books

• On demand campaigns

• Performance reporting

• Voice of the Prospect –

Shopper Contact

• Acquisition direct mail

marketing

• Dealer Advance lead

management system

• E-mail Direct Marketing

• On demand campaign

management

• Performance reporting

• Voice of the Customer

Reactivation

• Reactivation mail

• New vehicle sales

campaign

• On demand campaigns

• Performance reporting

• Promotional kit

• Welcome kit

• Point accrual, tracking,

account and redemption

management

• MyCarPoints.com

personal owner web

pages

The 4 Cornerstones of Customer LifeCycle ManagementThe 4 Cornerstones of Customer LifeCycle Management

DPS Capabilities Platform

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