Jamie Anderson - From ”CRM” to the Customer Managed Relationship
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Keynote Presentation by Jamie Anderson of the Sales & Marketingtrack on the Innovate or Die Event. 18 June 2014
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Jamie Anderson - From ”CRM” to the Customer Managed Relationship
- 1. © 2011 SAP AG. All rights reserved. 1 From ”CRM” to the Customer Managed Relationship Jamie Anderson Global Vice President, Product & Solutions Marketing Customer Engagement Solutions, SAP
- 2. Power To The People “… and the Left Wing talk about giving the power to the people… you know…anybody knows that the people have the power. All we need to do is awaken the power in the people. People are unaware, it’s like they’re not educated to realise that they have the power.” – John Lennon, 1969
- 3. Digitally Connected 79% of customers spend at least 50% of total shopping time researching products online EMPOWERED CUSTOMERS ARE Socially Networked 53% of customers abandoned an in-store purchase due to negative online sentiment. Better Informed 59% of customers are willing to try a new brand to get better customer service.
- 4. They are now armed to the teeth. Customers Are No Longer Passive
- 5. EVERY MINUTE OF EVERYDAY of YouTube uploads 48 hrs new mobile web users 217 Wordpress blog posts 347 new websites 571 Foursquare check-ins 2,083 Flickr photos 3,125 Instagram photos 3,600 Email messages 204,167,667 Google queries 2,000,000 Facebook shares 684,478 Consumers spend $272,070 Twitter tweets 100,000 Apple app download 47,000 Facebook likes 34,722 SOURCE: DOMO, INC. 61,141 hours of music uploaded
- 6. COMPANIES ARE STRUGGLING TO BREAKTHROUGH & ENGAGE THEIR CUSTOMERS.
- 7. 2.4BILLION brand-related conversions happen in America everyday. THIS CHANGESTHE RULES FOR MARKETERS SOURCE – KELLER FAY GROUP
- 8. 57% of the buying process is completed before a first interaction with sales. SOURCE – CUSTOMER EXECUTIVE BOARD IT CREATES A NEW KIND OF THINKING AROUND SALES
- 9. 86% of customers are willing to pay more for a better customer experience SOURCE – AMERICAN EXPRESS GLOBAL CUSTOMER BAROMETER AND RAISES THE STAKES FOR CUSTOMER SERVICE
- 10. CUSTOMER EXPERIENCE LEADERS OUT PERFORMTHE LAGGARDS Over a recent five-year period during which the S&P 500 was flat, a stock portfolio of customer experience leaders grew 22%. During this time, Forrester found that those companies who performed poorest in the Customer Experience Index also performed poorest in terms of stock performance. SOURCE: FORRESTER RESEARCH 2012 +22% - 46%
- 11. OLD CRM RECIPES NO LONGERWORK WELCOME TO THE AGE OF CUSTOMER ENGAGEMENT 1st Generation CRM Front Office EFFICIENCY STRATEGICTACTICAL 2nd Generation CRM Customer Engagemment INTERNAL FOCUS Front Office EFFECTIVENESS Customer EXPERIENCE MARKET FOCUS CUSTOMER ENGAGEMENT FOCUS ON 1:1 Inside - Out Inside - Out Outside - In
- 12. CUSTOMER ENGAGEMENT 19TH CENTURY VS 21ST CENTURY AWARENESS INTEREST DESIRE ACTION SHARE RESEARCH SHOP PURCHASE TRIGGER EVENT COMPARE VS
- 13. © 2011 SAP AG. All rights reserved. 13 Transit Directions Personalized Offers Redemption Loyalty Integration Enhancethe Rider Experience ENGAGING THE CONNECTED CUSTOMER GOLD for Customer Experience & Engagement SILVER for Use of Technology in Loyalty Marketing
- 14. WEB MOBILE EMAIL CALL CENTER MARKET PLACE INTERNET OF THINGS CONTACT CENTER POS MARKETING CHANNELS DIGITAL GOODS SOCIAL INDUSTRIES MARKETING SALES SERVICE COMMERCE SOCIAL & PREDICTIVE ANALYTICS HANA AS A PLATFORM SAP CUSTOMER ENGAGEMENT & COMMERCE OMNI-CHANNEL CUSTOMER ENGAGEMENT
- 15. © 2011 SAP AG. All rights reserved. 15 74% of CRM deployments for Sales have poor user adoption. SOURCE – CHIEF SALES OFFICER INSIGHTS MANY SALES TOOLS DON’T DO WHAT YOU NEED
- 16. © 2011 SAP AG. All rights reserved. 16 • Beautiful User Experience • Deep Customer Insight • Flawless Execution SAP CLOUD FOR SALES SAP CLOUD FOR SERVICE SAP CLOUD FOR SOCIAL ENGAGEMENT SAP CLOUD FOR MARKETING SAP SOCIAL MEDIA ANALYTICS BOTH BEAUTY AND BRAINS SAP CLOUD FOR CUSTOMER
- 17. SOCIAL CONNECT EMPLOYEES AND CUSTOMERS ONLINE • SOCIAL IN CONTEXT Be social and collaborate in the context of business processes whether on external social media or within your enterprise • DEEP INSIGHTS Understand customers and concepts by turning social media buzz into insight • SCALABLE ENGAGEMENT Grow your capacity, not your team with powerful tools to manage the scale and speed of social
- 18. Krissy Espindola Director, Knowledge Management & Social Customer Support Looking at our results with social engagement, the ROI is tremendous. We are getting a 94% resolution rate as compared to our usual 11-12%. We are seeing tremendous ROI servicing our customers on social using these tools. “ ” Objective Take on larger rivals by providing a delightful social media experience Solution SAP Social Media Analytics SAP Cloud for Service SAP Cloud for Social Engagement Benefits Meet increasing demand for social media interaction without scaling team. Reduced churn. More cost-effective customer acquisition with marketing messages based on social buzz. ATAGLANCE
- 19. Engage at the point of awareness Stop telling, start listening predict & influence behavior. Respond quickly.
- 20. Guide customers through their journey Understand their needs & desires. Earn advisor status. Help them.
- 21. Create loyal brand advocates Make every conversation count. Create amazing experiences. Deliver relevant & timely offers.
- 22. • The right insight at the right time • Specific to your industry • Integrated to your enterprise • With an experience that drives results SAP CUSTOMER ENGAGEMENT SOLUTIONS: IT’STIMETO ENGAGE CUSTOMERS LIKE NEVER BEFORE Service CommerceSales SocialMarketing
- 23. Feel free to connect with us at : j.anderson@sap.com @collsdad © THANK YOU!
Notas del editor
- [Talk track]
- Technology has given power to the people… And as we consider these key drivers…the one thing that stands out is that these technological innovations have created a seizmic shift in balance in the relationship between the customer (or consumer) and the Brand. Technology has placed the customer in control of the conversation, and in control of the relationship. New York City – Bob Gruehn Here as we discuss the Evolution of CRM – different context but the lesson has been learned – and the technology has enabled.
- The convergence of these forces (Social, Mobile, Big Data, and Cloud) has empowered customers and put them in control of the conversation. Customers are Digitally Connected, Socially Networked, and Better informed than ever before. From a CRM perspective the pendulum of control has swung. We no longer talk about Customer Relationship Management but increasingly about the ‘Customer-Managed Relationship’. That’s why at SAP we believe it is simply time to ‘engage customers like never before’.
- [Talk track:] Todays customers are no longer passive and are now armed to the teeth – think about it you or I are today our own Multi Media empires that can launch amogedon on any brand that wrongs us – its enough to give the most experienced PR person grey hair…
- Companies today however are trying to address this issue of the customer being in control against a constantly changing backdrop. For many this is more than a ‘Big problem’ – it’s a Big Data problem. Think about it, in the minute or so that it take you to read this slide - EVERY MINUTE OF EVERY DAY, not EVERY DAY, every minute. YouTube users will have uploaded 48 HOURS of new rich media content Google has already processed over 2M new search queries AND Instagram users will have shared some 3,600 pictures of their largely boring lives Aside from creating a virtual mountain of new information for us to mine, what else does this tell us…
- Getting the attention of their customers is a major issue for LoB buyers. Customers are becoming increasingly adept at filtering out the noise around them. They are constantly bombarded with news, emails, and offers and have developed a very short attention span for things that do not. When companies get that attention, they need to be relevant, or else the Customer just checks out and moves onto the next thing.
- Source – Keller Fay Group @ http://www.kellerfay.com/news-events/brands-mentioned-3bn-times-a-day-in-us/ This changes the rules for Marketers. These are conversations NOT ‘mentions’ on social media but real conversations. The problem for marketers today is that they are very rarely participants in those conversations happen peer-to-peer between customers and exclude any opportunity for them to influence the conversation. Marketers need to rethink how to better engage their audiences with reach, relevance, and scale.
- Source – Customer Executive Board @ http://www.executiveboard.com/exbd-resources/content/digital-evolution/index.html Think about it – most customers now walk into a sales situation with more than a rudimentary knowledge of the product or service that they are interested in purchasing, and this is true regardless of B2B or B2C. The democratization of information and the ability for customers to consume it literally with the swipe or tap of a screen through ubiquitous mobile and social platforms means that a new kind of thinking is required around sales. Sellers need to increasingly understand how they can facilitate a ‘buying journey’, making it easy for a customer rather than forcing them to jump through hoops and fill out forms before they receive their goods or services.
- Source – American Express Global Customer Barometer @ http://about.americanexpress.com/news/docs/2011x/axp_2011_csbar_us.pdf (Slide 10) And this is a key statistic. Do you still think that Customer Service is a ‘cost centre’ for your business? Really? Aside from differentiating from the competition, todays customers are telling us that there is demonstrable VALUE in providing better levels of service than your competitors.
- [Talk track] The good news is that crafting a great Customer Experience is becoming an increasingly valuable asset for the brand. Each year Forrester research run a study, like a mystery shopping exercise, where they evaluate the Customer Experience across a range of customer-facing channel at some of the worlds largest companies. What they consistently find is that the stock performance of those companies whose customer experience ranks the highest, on average, performs significantly better than those companies whose customer experience ranks poorly. A convenient coincidence, I think not.
- Welcome to the age of Customer Engagement. Old CRM recipes no longer work. The traditional focus of CRM (Sales Force Automation being the classic niche play) is no longer enough to satisfy the demands of a customer-driven market. The fundamental shift is in understanding that ‘Inside-Out’ driven behaviour may make your business more efficient, even more effective in the front-office, BUT the real game is in focusing on the overall customer experience and architecting solutions from the ‘outside-in’ mapping the enterprise world to the customer buying journey. And that’s where SAPs 5 category strategy (Marketing, Sales, Service, Social, and Commerce) for the Line of Business Customer come in. Only SAP can help our customers engage their customers like never before, focus on the overall customer experience, and change the game in their markets. But let me now ask Joe to explain in a little more detail and bring this to life – [Chalk & Talk]
- Customer | Société de transport de Montréal commonly referred to as (STM or Montreal’s Transit Authority) is North America’s 4th largest public transit organization with approximately 1.2 million riders a day via bus and subway. Objective | Generate additional revenue from increased ridership fares and other sources such as subway concessions and advertising partners Solution | Launch an innovative loyalty program – based on an iPhone app called STM Merci – that delivers geo-localized, real-time, relevant and compelling offers from local and national merchants partners straight to passengers’ mobile devices. Riders easily redeem offers and then get transit directions directly from the app. The app leverages SAP Precision Marketing to drive the personalization of the entire experience. App | Download the app (iOS) - https://itunes.apple.com/ca/app/stm-merci/id634024345?l=fr&ls=1&mt=8 Other | Watch the 2-minute customer testimonial to get a quick understanding of STM and why they chose SAP - http://www.youtube.com/watch?v=tBIJ_Rcva_Y&list=PLc6mBxoHzYUYFfkvmcW5M3rTotvooSd8l
- [Talk track:] MOST traditional sales tools today were built for an age which pre-dates two very important innovations. Consumer mobile adoption & social technologies… And to compound all of this, your current sales tools have let you down. Your sales organization isn’t using them. Research shows that 74% of CRM deployments for Sales have poor user adoption. Even many of the cloud sales tools in use today were developed in the late 90’s and are now outdated. They weren’t designed to help your sellers sell effectively and weren’t designed for the way you and your sellers work and sell today. They weren’t designed to help your sellers understand today’s empowered buyer, to engage them earlier in the buying process with new insights and new ways to uniquely address their challenges. It takes a new approach to selling and a new set of tools to win the heart and mind of today’s empowered customers. Source: Chief Sales Officer Insights
- [Talk track:] Thank you Nayaki – this is awesome, game-changing, this is more than analytics, this is turning insight into action – nobody else can do this… Emphasize the predictive analytics capabilities. Unlike other cloud-based sales applications, SAP Cloud for Sales packs both beauty and brains so that your sellers to know your customers, sell like the best and engage to win. It provides modern SFA with native social collaboration and stands-out from the competition with its: Beautiful, consumerized user experience that makes deal tracking easy and is designed for the way sales reps work today Deep customer insight to make every interaction meaningful Flawless execution with complete mobile apps and last mile deal orchestration through pre-built SAP ERP/CRM integration Industry editions – Consumer Products Retail Execution available today, additional industry editions planned for 2014
- 2 very distinct facets – social from a business process collaboration perspective and social from a customer engagement perspective, and we want to tell 2 stories that emphasize the power and the difference of each approach.
- To really engage your customers, don’t just tell them why they should buy your products. Instead, reach out to potential buyers, listen to their needs and desires, and respond quickly to questions. When you engage with customers earlier, you can influence buying decisions, create amazing experiences that drive brand advocacy, and guide them through the entire buying process.
- To really engage your customers, don’t just tell them why they should buy your products. Instead, reach out to potential buyers, listen to their needs and desires, and respond quickly to questions. When you engage with customers earlier, you can influence buying decisions, create amazing experiences that drive brand advocacy, and guide them through the entire buying process.
- Summary: The world has changed, traditional CRM sales-based applications are no longer enough to meet the engagement needs of todays sophisticated B2B and B2C customer. That’s why at SAP we believe it’s simply time to ‘Engage Customers like never before’ by delivering The right insight at the right time Specific to your industry Integrated to your enterprise With an experience that drives results Across the five pillars of Marketing, Service, Sales, Social, and Commerce