Managing Consumer Relationships Effectively -Presented by : Peter Gillson

© SFI International

Presenter - Peter Gillson

Annual Conference Sydney 2013

‘Joy of Baking’

Managing Consumer Relationships Effectively

- Presented by : Peter Gillson

Who Contacts Customer Service?

Is this your Customer Service Team?

YES! We have a complaint


How Do you Do that?

Building Engagement that Lasts


Taking a bad taste &

turning it into

a sweet sensation

Building Relationship through Experiences

Relationship Marketing Logic


• Recognition of market failure

• Improved understanding of consumer behaviour

• Improved understanding of the customer value

1%

2%

2%

2%

2%

3%

3%

3%

5%

5%

9%

10%

10%

11%

13%

19%

Improve Tone of voice, attitude

Remove electronic & computer answering

Be prepared to compensate

Improve Product knowledge

Apologise if needed

Truthfulness

No “buck passing”

Resolve situation – work at it

Seek to understand customer’s viewpoint

More empathetic & open to complaints

Seek fast solutions

Train staff to solve problems

Be friendly & professional

Value customer – respect, not idiot

Increase response rate with acknowledgement

Listen

Staff need to be empowered

Source ‘Consumer Sentiment Emotions and Advocacy Research SFI’ © SFI International

85% of consumers are

less likely or would not recommend

an organisation where there is no

complaint resolution to their

satisfaction

©SFI Consumer Sentiment Emotions and Advocacy Research


CUSTOMER SATISFACTION

Relationship Logic


• Consumers are rational & reasonable

• Today’s Consumers maximise tools available to

them

• Consumers have alternatives

• Cooperation is more effective than confrontation

Challenges to our Loyalty Ladder


8%

5%

5%

15%

31%

36%

Others

Don’t like to be seen complaining

Don’t want confrontation

Easier to switch brands

Indifferent / No specific view

No results / Waste of time

View that often prevents consumers from complaining taken from 15,000

What can organisations need to do better?

1%

2%

2%

3%

3%

3%

3%

4%

4%

4%

4%

5%

5%

10%

12%

12%

23%

Stay open to suggestions

Apologise

Less options & better response on phone

Give refunds/replacements-sometimes necessary

Treat customers better-not always wrong

Ensure customer satisfaction

Better processes-how to fix it

Empower staff – stop “passing the buck”

Listen & validate complaint (helpful)

Listen to people. Be friendly

Seek resolution at all times

Get rid of automated systems

Problem solvers on phone

Acknowledge & communicate during resolution

Value customer, care & respect

Better trained staff with authority

Quicker response


Quicker Resp – 21% in 2013

Train/Empower 20% in 2013

• One off sale – one call, one relationship opportunity

• Profit driven comes from repeat relationships and business

innovation that is line with the customer

• Focus on the customer not money to drive bottom line

improvements

• Understand wants and needs to drive bottom line increases

No longer transaction based

© Copyright SFI International 2010

www.sfi.com.au © SFI International


Do we need to record Experiences?


Building Relationship through Experiences

What is CRM?

Are we ready for VRM?

• Customer/consumer satisfaction driven, not complaints driven

• Track consumer viewpoint just as readily as you track products

on the shelf

• Treat each other as people and develop relationships

• Customer has chosen YOU already.

Elements of relationship driven CRM:

CRM is not just a software system;

- it is a business strategy



Spread the Word

What does Social Media Deliver?

Integrated Workflow Tools

Reports to

Effectively Data mine

Systems that Talk

to your Systems

Case Management - Investigation


Case Management Systems - Holistic Process

Case Management Systems

Deploy Capture Screens for:

• Case Management

• Safety Incident Management

• Human Resources

• Operations

• Environment and Strategic Risk

• Quality Assurance

• Corrective Action

• CRM (Customer Relations)

• New Product Development

• Others to suit the Business

Build Links to:

• Your Product & Sales systems

• Phone systems

• Documents Policies and Forms

• HACCP Plans

• SCM, ORM Plans

• Supply Chain

• Recall Process

• External or internal investigation systems

• Reporting System

• Knowledgebase


What are your Customers Looking for?

Consumer Value Proposition • Knowledge/ Empowerment

• Empathy

• Listening/ Co Creation

• Honesty

• Apology

• Experience

• Brand awareness

• Ethical/Environment

• Relationships

Business Area Benefits • Quality Assurance Improvements

• Corporate Compliance/Governance

• New Product Development

• Co-Creation /Reduced R&D

• Brand Purchase

• Boardroom engagement

• Systems in Sync

• People in Sync

• Reporting

• Relationship

Traceability

Tracking

Profit Centre


Customer

Site Investigation


Log Corrective

Action Plan

Reporting and Tacking Costs

Cost Savings

Unproductive Contacts

Sales & Distribution

Packaging

Non Food (eg Petcare accessories)

Food

Nesoto Corporate

Communication & Marketing

Artwork

Incidents: 35,949

0

2000

4000

6000

8000

NESCONFECT NESBEV CORPORATE NESFOOD NESTLEDAI NPP NESTLECHI NUTRI FOODSERVICNESTLECERNESNESPRES NPI

2004

2005

Sale

s

Period

64655920

68935384

80802744

92608568

117454368

110414792

89290184

90905720 107133856

93876912

131979536

114489248

121682360

102966904

156891456

110117400

121064632

85948752

122462624

74847048

133786936

88545856

77408400

66949352

Case Management Reports: - Executive Summaries

- Trends - CPM - Systemic Issues - Root Cause - Corrective Actions - HACCP..etc

Going from a Cost Centre to a Profit Centre

Key Points to Remember - Summary

• Transaction based Approach -out

• Relationship and Experiences - hot

• Innovation - in

• Data Mining -in

• Predictive Analytics-in

• Boost Satisfaction and Resolution Levels to Create Bottom Line

• Complaints are a gift that gives you the opportunity profit


Going from a Cost Centre to a Profit Centre

• Without CRM/VRM Focus no tracking of issue – product taken off shelves by

regulators (eg Recall tracking)

• Customers changed buying habits including pretailing (eg: on line options)

• Cost to acquire new customers rather than meet needs of already loyal or advocate

customers

• Communication with an understanding who your customer is, what they

want, when they want it and how they want is packaged

• You are the value proposition for the company to keep that business

Key Points to Remember - Summary


Managing Consumer Relationships Effectively


Care CRM™ Case Management Systems

THANK YOU

© SFI International – Knowledge – Capability - Capacity

‘Consumer dissatisfaction is the lack of fulfilment of a product or

service determined by the outcome of the consumers expectation

and /or the organisation brand promise

The extent of the dissatisfaction will directly relate to the efficacy

and currency of your resolution model

Listen to your customer and enhance the experience for both parties

so that you may obtain greater knowledge to assist in building

those relationships that deliver advocacy so that you will enjoy

viable brand strength and equity together’

mailto:[email protected]

mailto:[email protected]

Education

Managing Consumer Relationships Effectively -Presented by : Peter Gillson