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8/8/2019 Customer Relationship Management Heven or Hell
http://slidepdf.com/reader/full/customer-relationship-management-heven-or-hell 1/30
www.astech-intermedia.com
Customer Relationship Management
Heaven or Hype?
8/8/2019 Customer Relationship Management Heven or Hell
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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?
8/8/2019 Customer Relationship Management Heven or Hell
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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?
8/8/2019 Customer Relationship Management Heven or Hell
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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
8/8/2019 Customer Relationship Management Heven or Hell
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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.
8/8/2019 Customer Relationship Management Heven or Hell
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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.”
8/8/2019 Customer Relationship Management Heven or Hell
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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
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
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
8/8/2019 Customer Relationship Management Heven or Hell
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ChangingY
ourPer
spec
tive.
CRM architecture
Web
Telephone
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
8/8/2019 Customer Relationship Management Heven or Hell
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ChangingY
ourPer
spec
tive.
CRM architecture
Web
Telephone
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
8/8/2019 Customer Relationship Management Heven or Hell
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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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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
8/8/2019 Customer Relationship Management Heven or Hell
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tive.
How do you sell today?
One-to-many
One-to-one
One-to-few
Segmentation Customer Relationship ManagementIgnorance
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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
8/8/2019 Customer Relationship Management Heven or Hell
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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.”
8/8/2019 Customer Relationship Management Heven or Hell
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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