Transcript
Page 1: Social CRM - Myths & Realities

Social CRM:

Myths and Realities

PREPARED BY:Dean Westervelt

Metrics Marketing Group905 Corporate WayWestlake, Ohio 44145877.332.9222

March 17th, 2011

www.metricmarketing.com

CONFIDENTIAL © Metrics Marketing 2010

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Webcast “Housekeeping”

• Ask questions throughout the presentation using the “Questions” button at the top of the screen

• All questions will be answered at the end of the presentation

• Please report any technical difficulties to [email protected]

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Today’s Presenter: Dean Westervelt

Dean Westervelt works as a consultant in Metrics' consulting and analytical services group, with a focus on both interactive and traditional marketing.

Dean's career includes more than 12 years in database marketing analytics and strategic consulting with a particular focus on social media marketing analytics and strategy. His work on synthesizing traditional marketing measurement with digital and social media metrics has made him particularly acquainted with concepts like “social CRM.”

Prior to joining Metrics Marketing, Dean was on the management team for a social media analytics firm, managing the client services group and providing thought leadership in terms of measuring and quantifying social media marketing analytics. Dean also worked for ten years for a leading marketing services firm in the database marketing analytics group, providing strategic recommendations based on predictive analytics.

Dean enjoys creating webcasts and occasional blogging about social media and marketing analytics.

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About Metrics Marketing GroupMeasurable Marketing Success

• Analytics-Driven Database Marketing & Interactive Services Firm

• Focused on improving marketing ROI through customer insights and

implementation of personalized, multi-channel communications

• Founded in 1998• Stable, consistent growth• Locations in Cleveland, Chicago,

San Francisco, Portland and Dallas

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• “…the company’s programmatic response to the customer’s control of the conversation” – Paul Greenberg (July, 2010)

• “…a back-end process and system for managing customer relationships…a component for developing a social or collaborative business” – Social Media Examiner (November, 2010)

• “A fully integrated solution, combining real-time Listening, Engagement and Measurement to effectively collaborate with your customers, prospects, influencers and employees in an ever-evolving socially connected world” – Don Springer, Collective Intellect (February, 2011)

©2010 Metrics Marketing Group | All Rights Reserved

Social CRMDefinitions

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• “…social CRM (sCRM) is simply the application of emerging social technologies and data to traditional customer relationship marketing (CRM) strategy – which is both an extension and a cultural shift in the way companies interact 1:1 with their customers” – Dean Westervelt (today)

©2010 Metrics Marketing Group | All Rights Reserved

Social CRMDefinitions - MINE

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Social CRMCRM Solution Ecosystem

• CRM Solution Ecosystem: key technologies that support the business processes for targeting, acquiring, retaining, understanding, and — very importantly — collaborating “socially” with customers

Source: Forrester, “Social CRM Goes Mainstream (January 2011)

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Social CRMSocial Maturity Curve

Source: Collective Intellect, “Social Business Process Management”, (February 2011)

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Social CRMComponents

Strategy

Technology

Data

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Social CRMMyths and Realities

Strategy • Customer Service• Product Development

• “Marketing” or CRM

Technology • Platform• Social Media Monitoring (SMM)

• Workflow

Data • Database Enhancement• Sources

• Data Management Platforms (DMP)

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Social CRM Strategy

• Customer Service

Social as new channel; empower customers

sCRM strategy starts with an organization placing importance on social data about customers as a fundamental aspect of marketing mix

Current reality Future state

• Product Development

Crowdsourcing

• “Marketing”Collaborative, data-driven, capitalizing on traditional CRM approaches to customer insight

Organizing strategic methods such as Forrester’s Technographics and POST and Attensity’s LARA help frame your social approach…

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Social CRM Technology

• Social Media Monitoring

Unstructured text analysis = sCRM foundation

Technology supporting any sCRM approach needs to be scalable and flexible to adjust to light-speed changes in the social landscape

Current reality Future state

• Platforms

Internal enterprise, external MROCs

• Workflow Organizing, collaborating, delegating, and taking action on socially-driven data

No end-to-end sCRM solution technology exists today for customer intelligence professionals* - automating flow from analysis to coordinated action remains a future state

*Source: Forrester, “What Social CRM means to Customer Intelligence”, (January 2011)

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Social CRM Database

• Sources

Web, communities, online events

By definition, CRM is based on data-driven analytics to distinguish between and among customers – sCRM starts with a socially-appended database

Current reality Future state

• Database Enhancement

Social affinity, Twitter handles, LinkedIn

• Database Management PlatformsUnified view – antithesis of siloed information

Management platforms for data are crucial to the success of sCRM – without enterprise organization of the insight foundation, presenting “one view” to the customer becomes impossible to execute on…

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Social CRM DatabaseSources – Facebook and Online Privacy

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Social CRM DatabaseDatabase Enhancement

= Socially appended database

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Social CRM DatabaseSocially appended CRM database

Customer Identities & Contacts

Demo/Psychographic Data

Categorization/Segmentation Data

Behavioral Data

Customer Preferences

Customer Activity Social Influence

Social Inputs

Themes

Intentions

Interests

Sentiment

Terms

Passion

Traditional Inputs

Transaction History Web Analytics

CookieHistory

Targeted CommunicationCustomer PreferredSocial, Traditional

ConsumerAnalytics

Qualitative/Quant.Research - Scorecards

Client or CRM Data Analytics Partner

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Social CRM DatabaseDatabase Management Platforms

Source: iMedia Connection, “The ABCs of the DMP” (March, 2011)

• Focus is on information relevant to marketing – foundation for sCRM

• Combines disparate data

• More insights through [brand] information ownership

• Supports multi-channel analysis and modeling

• Drive action

• Supports execution and “one view” perception by customer

• First buyers: direct response marketers (CRM)

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• “…during next two years, 30% of leading companies will extend goals of online community activities to include social CRM”

• “met with significant hype despite limited number of field deployments”

• “lack of broad scale adoption of the supporting technology makes business case more theoretical than proven”

• “only 5% of organizations took advantage of social/collaborative customer action to improve customer service processes…community peer-to-peer support projects will supplement or replace Tier 1 contact center support in more than 40 percent of top 1,000 companies with a contact center"

©2010 Metrics Marketing Group | All Rights Reserved

Social CRMFuture is Now: A March 2011 Gartner report states…

Source: WebWire, “Use of Social CRM for Customer Service will Grow Rapidly Over the Next Two Years”, (Gartner, March, 2011)

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Social CRMStartups versus Old Guard

Social CRM vendors have mostly come from one of two directions — traditional CRM vendors who are adding Social CRM capabilities and social software startups who center upon customer engagement.

"I don't feel that either category has all the pieces in place yet. Traditional CRM vendors lack the customer community capability; social startups lack the enterprise-level integration capabilities to link the customer community back to enterprise systems. All the big CRM vendors are lagging behind. The social startups are closest to achieving true social CRM…”

- Richard Hughes (director of product strategy and BroadVision)

http://www.ecrmguide.com/article.php/11222_3924391_2

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Social CRMCollective Intellect – Social Business Collaboration

DefineKPIs

Set Goals Configure & Discover Measurement Action

SelectSources

DefineTopics

“Tag”CustomersInfluencers

Text Mining System

Central Repository

BusinessIntelligence

Dash-board 1

Dash-board n

Workflow

Respond

Scheduled Data Runs

Team Analysts Bus. Mgmt. Operations

1 2 3 4

Seed & Influence

TargetCampaign

BuildSocial

Platforms

SocialCRM

System

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Social CRMsCRM Challenges

• sCRM Data – evolution, signal-to-noise, integration, privacy, match rates

• sCRM enterprise-wide adoption – requires buy-in across the organization, traditionally difficult

• Rapidly evolving social network technology and space – Second Life from prominence to niche, e.g.

• Customer experience – higher risk of fragmented customer experience

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“At the end of the day, you must ask yourself if the steps above help you enrich the two-way relationship between the social customer and your social business.” - Mashable

Social CRMSocial…everything

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Metrics can help…sCRM

Metrics can combine traditional database and CRM experience with digital expertise to…

• …help build a socially-appended CRM database or analytic workbench for reporting and analysis

• …to understand how far down the 1:1 sCRM path you can go with new data sources

• …augment, or create, traditional or digital (email) segmentation with augmented social data

• …help quantify the success of your program by measuring the success at building “relationships of value”

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Contact Information

Dean WesterveltVP, Strategy and Analytics

978.807.0435

[email protected]: @dean_westervelt

©2010 Metrics Marketing Group | All Rights Reserved

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• Strategic Audit

• Customized Policies and Procedures Guide

• Campaign Development and Execution

– Monitoring and custom reporting – Blog Relations– Social Media Asset Creation– Social Media Influencers outreach

• Ongoing Maintenance & Consulting

“I've had the pleasure to work with Metrics Marketing Group as one of our key partners. They have strong social media monitoring capabilities and expertise that gives us an in-depth look into the conversations surrounding our brand and messaging for one of our strategic product sets. The monitoring reports enabled us to listen, measure and engage with our viewers online. Ultimately, Metrics Marketing Group provided us with actionable data and real results."

- James Miller, VP-Technology Industry, BrightTALK, Inc.

Social CRMMetrics Offerings – general SMM and Audit

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Social CRMMetrics Offerings – Social Media Integration