1. eMarketing: The Essential Guide to Marketing in a Digital World CRM
What you’ll learn
Why CRM is essential for any business
The role that customers play in shaping and steering your business
The various approaches and mindsets that are applied in CRM
How to collect, store, analyse and update your essential CRM data
The step-by-step process of putting together your CRM strategy

2. What is CRM all about?
Building and maintaining customer relationships in a digital world.
A personable company is more likely to attract and retain customers
Customer-focused approach to business based on fostering long-term, meaningful relationships
CRM is not about immediate profit. It’s about the lifetime value of a customer
CRM is a customer-focused approach to business based on fostering long-term, meaningful relationships. CRM is not about immediate profit. It’s about the lifetime value of a customer – the purchases they will make in future, the positive word of mouth they will generate on your behalf and the loyalty they will show your brand.

3. A CRM model Advocate 20% Retain, win-back, cross-see, up-sell
Bonded Customer
Customer
Prospect
20%
80%
Retain, win-back, cross-see, up-sell
Communication
Conversion
Marketing
Audience

4. Understanding customers
A successful relationship with a customer is based on meeting or even exceeding their needs. It is in determining what problems the customer has, and in providing solutions, sometimes before the problem occurs.
CRM should not only mean implementing customer-centric processes and consider
technology, but embracing customer-driven processes. Through innovations
in digital technologies, enhanced customer engagement and the introduction of
mass personalisation, the customer can often drive the business.

5. Understanding customers
They are the most important part of a business. Implementing this into business decisions and strategy is a challenge.
• Meeting and exceeding customer needs
• Embracing customer-driven processes
• The customer can often drive the business
A successful relationship with a customer is based on meeting or even exceeding their needs. It is in determining what problems the customer has, and in providing solutions, sometimes before the problem occurs. It depends on continually giving the customer a reason to transact with your company above any other.
Through innovations in digital technologies, enhanced customer engagement and the introduction of mass personalisation, the customer can often drive the business.

6. Customer touchpoints
All the points at which brands touch consumers’ lives during their relationship.
Speak with one voice across touchpoints
Deliver a rewarding experience every time
Customer initiated touchpoints
Brand initiated touchpoints
Touchpoints can be brand initiated (for example, a brand sending an newsletter) or customer initiated (for example, the customer making a purchase in a store).
CRM can help to convert them into a customer.

7. Customer touchpoint phases
Pre-purchase or pre-usage
Purchase or usage
Post-purchase or usage

8. Customer touchpoint phases
Pre-purchase or pre-usage
Gain customers
Heighten brand awareness
Shape brand perceptions – to highlight the benefits it offers over competitors
Indicate how the brand provides value and fulfils the needs and wants of consumers
Educate consumers about products and services

9. Customer touchpoint phases
Purchase or usage
Instil confidence
Deliver value
Reinforce the purchase decision
Heighten brand perceptions

10. Customer touchpoint phases
Post-purchase or usage
Develop a relationship
Maximise the customer experience
Deliver on the brand promise
Increase brand loyalty
Remain top of mind
Invite repeat purchases

11. Customer loyalty
The main objective of any CRM strategy should be to gain customer loyalty over the long term.
Acquire and retain customers who:
Have a projected lifetime value
Buy a variety of things repeatedly
Share
Provide honest feedback
Collaborate
Have a projected lifetime value that makes them a valuable prospect to your business
Buy a variety of your products or use your services repeatedly during their time as a customer
Share their positive experiences with others
Provide honest feedback on these products and services, and their experiences
Collaborate with you on ways to improve their experiences

12. The central role of data
Insights from data can enable a company to create real value for the customer and gain true loyalty.
If you action changes, customers feel increased ownership of the brand
The 80/20 rule
Collect the right data
The Pareto principle, or 80/20 rule, holds that in many situations approximately 80% of profits are delivered by 20% of customers. Also keep in mind that 20% of customers are responsible for 80% of problems related to service and supply (AuthorSTREAM, 2013).
Information should be commercially relevant.
Capture contact details from the customer at every interaction – on purchases, contracts, negotiations, quotes, conversations and so on.
Capture any information you send out to the customer.
Consider anything that adds value to the relationship.
Note any legal implications around capturing data, particularly web-based behavioural data, as the user’s privacy must always be taken into account.

13. Where and how to gather CRM data There are data gathering opportunities from a variety of touchpoints:
Traditional CRM system data
Data mining
Analytics data
Social media monitoring data

14. Where and how to gather CRM data Traditional CRM system data: data you could collect:
Demographic details on potential leads, current leads and contacts, such as age, gender, income, etc.
Quotes, sales, purchase orders and invoices (transactional data)
Psychographic data on contacts such as customer values, attitudes, interests, etc.
Service and support records
Customer reviews or satisfaction surveys
Web registration data
Shipping and fulfilment dates, such as when orders were shipped and delivered

15. Where and how to gather CRM data Data mining
Data mining involves analysing data to discover patterns or connections
Used by businesses to better understand customers and their behaviour, and then use this data to make more informed business decisions

16. Where and how to gather CRM data Analytics data
Captured through specialised analytics software packages
Web analytics should always look at the various campaigns being run
For example, generating high traffic volumes by employing CRM
marketing tactics like marketing can prove to be a pointless and costly
exercise if the visitors that you drive to the site are leaving without achieving one
(or more) of your website’s goals.

17. Where and how to gather CRM data Social media monitoring data
Examples of social media metrics important to monitor, measure and analyse:
Quantitative data about number of fans and interactions, to qualitative data about the sentiment towards your brand in the social space

18. Analysing data Everything is tracked and recorded online
The customer acquisition source can be recorded and analysed against sales data. This leads to a very accurate return on investment (ROI) calculation and indicates where CRM and marketing efforts should be focused.
This provides a wealth of data that can be analysed to make business decisions.
Organisations can be large, and a customer often speaks to several members of the organisation, depending on the nature of the communication. It would be extremely frustrating for the customer to have to explain all previous dealings with the organisation each time, and equally frustrating for an organisation not to know who has spoken previously with a customer and what was dealt with. This could be a touchpoint at which a company falls down, and leaves a less than positive impression with the customer.

19. Integration Ensure that:
The key to effective use of technology in CRM is integration
Ensure that:
All channels can be tracked
Information is usable to organisation
Know where your customers come from and what they buy
Knowing where your customers come from, but not what they purchase, is pointless: these two metrics need to be compared in order to produce actionable insights.

20. The power of CRM for marketing
Analysing CRM data can aid marketing initiatives in these ways:
Campaign analysis
Personalisation
Event monitoring
Predictive modelling
Improved customer segmentation

21. CRM loyalty programs
Develop and maintain customer relationships over time rewarding them for every interaction.
Discovery Vitality aims to keep customers healthy by rewarding them for health-related behaviours
This reduces the burden of ill-heath on the medical aid.
Consider health insurer Discovery Vitality: it aims to keep customers healthy by rewarding them for health-related behaviours like exercising, having regular check-ups, stopping smoking and buying fresh foods. By doing so, it reduces the burden of ill-heath on the medical aid itself.

22. Why CRM works Effective CRM promises:
Increased revenue and profitability
Improved customer satisfaction and loyalty
Improved service delivery and operational efficiencies
Decreased acquisition costs
Maintaining good customer relationships is critical to the success of a business. The cost associated with acquiring a new customer is generally far higher than the cost of maintaining an existing customer relationship. While an investment in a CRM communication programme or platform can be large, these costs are often offset over the increased revenue generated by encouraging repeat business.

23. CRM perspectives Perspectives to look at CRM from: Marketing Cost
Effective CRM can create a powerful new marketing and referral force for a company.
Perspectives to look at CRM from:
Marketing
Cost
Sales
Service
A marketing perspective – increasing the number of people who know about your service or product
A cost perspective – decreasing the amount you spend on customers; it costs more to attract a new customer than maintain an existing one
A sales perspective – turning the people who know about your service or product into people who have made a purchase
A service perspective – ensuring people who have interacted with you are satisfied and delighted.

24. Where can CRM be implemented?
Marketing
Sales
Service and service fulfilment
Services invoked by the customer
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25. Social CRM
Social media should be part of CRM strategy, is a touchpoint and can drive CRM.
On social channels customers can:
Easily share experiences
Make decisions based on social trust
Take part in two way communication
Social media platforms allow customers to easily share their brand experience (good or bad) with their online social connections, who in turn can share this experience on. This means a potential word-of-mouth audience of millions could witness a single user’s brand experience and weigh in on the situation. Social customers place a great deal of value on the opinions of their peers, and are more likely to look favourably on a brand, product or service if a peer has recommended or praised it. In fact, the 2012 Edelman Trust Barometer, an annual trust and credibility survey, saw trust in social media increase by 75%, noting that respondents are placing more and more importance on information gathered from this space (Edelman, 2012).

26. Social CRM and support
Social customers increasingly turn to social media channels for support.
Brands need to respond quickly and transparently
Choose the right social media channels for the brand
Keep all customer data at hand
Escalate appropriately
A support query going unanswered on Twitter, for instance, is likely to cause frustration for the consumer, and prompt them to take a situation that is already visible to other consumers even further, potentially causing a brand crisis.
Brands should carefully consider whether all social media channels are appropriate for them, and be prepared for any eventuality. Brands that are well liked will generally have positive responses on social media, those that receive a mediocre response from consumers will have a bit of a mixed bag, but those that have a lot of support issues are likely to experience very large numbers of complaints that need to be addressed.

27. CRM and Online Reputation Management
ORM means knowing what is being said about your organisation and leading the conversation.
Brands can rate and sort mentions based on sentiment
This gives insight into the community feeling towards the brand, guiding further action
Social CRM can also make use of online reputation management and monitoring tools.

28. Customer-centric vs. customer-driven
Placing the customer at the centre of an organisation’s business planning and execution is different to having customers drive the direction of a business.
Savvy organisations can provide tools to customers to drive their business.
Passing on tasks to customers that might ordinarily have been performed by the organisation.
Many new, web-based businesses rely on the latter, and actively encourage customers to take the lead and add value to the business.
Customer-centric strategy, on the other hand, uses data to present the best possible experience to the customer. Amazon’s collaborative filtering is an example of a customer-centric approach. Using customer data, Amazon will share products that you are more likely to prefer.
Customer-centric experiences are about personalisation: using data to create a tailored experience for the customer. Customer-driven experiences are about customisation: providing the tools that let a customer tailor their own experience.

29. Implementing a CRM strategy
The steps involved in implementing a CRM strategy:
Conduct a business needs analysis
Understand customer needs
Set objectives and measurements of success
Determine how you will implement CRM
Choose the right tools

30. FUJI XEROX does it right
Fuji Xerox Thailand uses a traditional CRM system to improve their sales process.
Problems to be solved:
Human error in recording in customer details
Individual records being kept within different divisions

31. A new CRM system
They implemented a software solution that enables businesses to manage all facets of their organisation from development to manufacturing and sales.
Info they inputted:
The industry - How long the sales cycle is - The qualifying criteria for a sale - The nature of the sales and how big they are - How many team members are involved in the process - What experience they have in their field - How much managers need to be involved

32. What happened?
Through the new system, the sales team was empowered with information. This meant:
More efficient sales management
Speedier quotations
Improved approvals processes
After implementing the system, the Fuji Xerox sales teams saw an 8% improvement in customer satisfaction ratings. There was also clear revenue growth as a result of the initiative.

33. That’s all folks You can also read about:
User Experience Design , Web Development and Design, Writing for Digital, CRM, SEO, Search Advertising, Online Advertising, Affiliate Marketing , Video Marketing, Social Media Channels, Social Media Strategy, Marketing, Mobile Marketing, Data Analytics and Conversion Optimisation.