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 www.astech-intermedia.com Customer Relationship Management  Heaven or Hype?

Customer Relationship Management Heven or Hell

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8/8/2019 Customer Relationship Management Heven or Hell

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www.astech-intermedia.com

Customer Relationship Management

 Heaven or Hype?

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ChangingY

ourPerspec

tive.

CRM Jeopardy

 Answer: He said, “The fastest companiesin the world stay close and really love

their customers.”

Question: Who is Jason Jennings?

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ChangingY

ourPerspec

tive.

CRM Jeopardy

 Answer: “Everybody talks about it.Everybody thinks everyone else is doing

it, and those that are doing it are doingit poorly.”

Question: How is CRM like high school

sex?

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ChangingY

ourPerspec

tive.

CRM Jeopardy

 Answer: He said, “I haven’t failed. I’vefound 10,000 ways that don’t work.”

Question: Who is Thomas Edison?

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ChangingY

ourPerspec

tive.

CRM Jeopardy

 Answer: He said, “You must berelevant… anything less is abuse.”

Question: Who is Tom Ratkovich?

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ChangingY

ourPerspec

tive.

Why CRM?

• Lower acquisition costs

• Better retention

• More revenue per customer

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ChangingY

ourPerspec

tive.

What is CRM?

“CRM is a process in which a marketerproactively and ethically seeks to leveragecustomer interactions to acquire, analyze and

assert relevant data for the purpose of enhancing the quality and profitability of themarketer’s relationship with its customers.

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ChangingY

ourPerspec

tive.

What is CRM?

“CRM is a process in which a marketerproactively and ethically seeks to leveragecustomer interactions to acquire, analyze and

assert relevant data for the purpose of enhancing the quality and profitability of themarketer’s relationship with its customers. It isabout creating win-win scenarios…they win

with value, you win with profit.”

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ChangingY

ourPerspec

tive.

Does C + R + M =…?

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ChangingY

ourPerspec

tive.

 The simple reality...

CRM CSM

Common Sense Marketing

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ChangingY

ourPerspec

tive.

Common Sense Marketing

“Without access to the right information,you can end up doing all the right things

for all the wrong people.”

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ChangingY

ourPerspec

tive.

Common Sense Marketing

“Without access to the right information,you can end up doing all the right things

for all the wrong people.”• Right people

• Right offer

•Right channel• Right time

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ChangingY

ourPerspec

tive.

How do we know what’s “right?”

• Ask

• Pay attention

• Remember• Track

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ChangingY

ourPerspec

tive.

Why is this so difficult?

• Few examples of “doing it right”

• Managing expectations

• Privacy issues• Culture (product-driven v. customer-

centric)

• Short-term focus• Everybody thinks it belongs to them

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ChangingY

ourPer

spec

tive.

CRM architecture

Web

 Telephone

Mail

In Person

Subscriber Marketing

Customer Service

Classified Transactions

Contest/Events

Content

Inbound

Outbound                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 O                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         p                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               e                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         r                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      i                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         o                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          n                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      l

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 S                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          y                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               s                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         e                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          m

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         s                 

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ChangingY

ourPer

spec

tive.

CRM architecture

Web

 Telephone

Mail

In Person

Subscriber Marketing

Customer Service

Classified Transactions

Contest/Events

Content

Inbound

Outbound                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 O                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         p                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               e                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         r                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      i                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         o                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          n                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      l

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 S                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          y                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               s                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         e                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          m

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         s                 

 The

Data

Center

Integration

DataHygiene

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ChangingY

ourPer

spec

tive.

CRM architecture

Web

 Telephone

Mail

In Person

Subscriber Marketing

Customer Service

Classified Transactions

Contest/Events

Content

Inbound

Outbound                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 O                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         p                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               e                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         r                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      i                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         o                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          n                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      l

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 S                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          y                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               s                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         e                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          m

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         s                 

 The

Data

Center

Integration

DataHygiene

Analysis

 Tools

Applications

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ChangingY

ourPer

spec

tive.

CRM architecture

Web

 Telephone

Mail

In Person

Subscriber Marketing

Customer Service

Classified Transactions

Contest/Events

Content

Inbound

Outbound                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 O                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         p                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               e                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         r                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      i                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         o                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          n                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         a                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      l

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 S                 

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          y                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               s                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   t                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         e                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          m

                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         s                 

 The

Data

Center

Integration

DataHygiene

SegmentationCodes

Propensity

Scores

Analysis

 Tools

Datamarts

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ChangingY

ourPer

spec

tive.

Is this about technology?

“CRM has gotten to be less of a marketingidea and more of a systems idea.” Michael

Mesic

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ChangingY

ourPer

spec

tive.

Strategic Success Factors

The Daily Time s

0

20

40

60

80

100

Data

Distribution

Organization

Technology

OperationsMarketingDecision support

Communication

CultureSkills

ResourcesStructure

NewspaperSolo mailMarriage mailemailMicrozoning

TransactionsDemographicsChannel preferencesIntended purchasesHygiene

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ChangingY

ourPer

spec

tive.

How do you sell today?

One-to-many

One-to-one

One-to-few

Segmentation Customer Relationship ManagementIgnorance

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ChangingY

ourPer

spec

tive.

PNI’s Contact Management System

• Manages outbound telemarketing efforts

• Builds intelligence of individual numbers

• Transaction history• Stop reasons

• Do-not-calls

• Classified history

• Business/fax/modem/cell phones

• Answering machines

• Demographics

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Chang

ingY

ourPer

spec

tive.

Results...

• Eliminated over 10,000,000 calls peryear

• Estimated annual savings: $700,000+

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Chang

ingY

ourPer

spec

tive.

Direct mail acquisition and retention

• Direct mail communications customized by:

• Subscriber status

• Subscription type, rate

• Classified history

• Payment plan• Credit history

• Start/stop date

• Stop reason

•Contact history

• Demographics

• Geography

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Chang

ingY

ourPer

spec

tive. Uniquely inserted packages

according to customer profile

Uniquely labeled packages

with customer address

Packages bundled in

delivery sequence

43

2

1

Address-Specific Delivery

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Chang

ingY

ourPer

spec

tive. Uniquely inserted packages

according to customer profile

Uniquely labeled packages

with customer address

Packages bundled in

delivery sequence

43

2

1

Address-Specific Delivery

“Our customer is our 

customer’scustomer.”

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Chang

ingY

ourPer

spec

tive.

CRM Jeopardy

 Answer: She said, “CRM is not just abouttechnology…it’s also about people and

process.”

Question: Who is Yasmin Namini?(SVP/Circulation, Boston Globe)

www astech-intermedia com

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www.astech-intermedia.com

 Thank You!