Customer Relationships Management. Ayca Turhan Hacettepe University Department Of Business Administration

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1 Customer Relationships Management Ayca Turhan Hacettepe University Department Of Business Administration

2 What is CRM? A strategy for managing a company s relationships with clients and potential clients. A company has to build and maintain relationships with their customers. CRM is a customer-focused approach for fostering long-term and meaningful relationships.

3 What is CRM? It has always been about making customers feel special. It all started when people started selling things. The first shopkeeper who: chatted with his customers remembered their names gave them a small freebie was practicing CRM.

4 What is CRM? The main objective of any CRM strategy should be to gain customer loyalty acquiring and retaining customers- over the long term. It often makes use of technology to automate the sales, marketing, customer service and technical processes of an organization.

5 What is CRM? A Good CRM Strategy can: Strangers Customers Friends Advocates

6 Benefits of CRM Improved customer satisfaction and loyalty Improved service delivery and operational efficiencies Increased revenue and profitability Decreased acquisition costs

7 Understanding Customers A successful relationship with a customer is based on meeting or even exceeding their needs. CRM should not only mean implementing customer-centric processes and consider technology, but embracing customer-driven processes.

8 Customer-centric vs. Customer-driven 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.

9 Understanding Customers Now, customer-driven business is possible through: the innovation in digital technologies enhanced customer engagement introduction of mass personalization

10 Understanding Customers Brands have to deliver a rewarding experience when it interacts with their customers. Customer touchpoints: A Banner Ad A Tweet An Customer touchpoint can be divided into three spheres: Pre-purchase or pre-usage Purchase or usage Post-purchase or usage

11 CRM and Data Customer Data is at the center of CRM. enables a company to create real value and gain true loyalty. must be used to drive customer loyalty across all possible touchpoints.

12 CRM and Data Where and how to collect customer data: Traditional CRM system data Data mining Analytics data Social media data

13 CRM and Data Collating and organizing your data Technological options to keep all information in one place Keeping data fresh Contact details, job status, etc.

14 CRM and Data Analysing data for marketing: Campaign analysis Personalization Event monitoring Predictive modeling Improved customer segmentation Advanced customer profiles Customer prioritization Identifying brand influencers and advocates

15 Social CRM Social media platforms allow customers to easily share their brand experience (good or bad) with their online social connections. Conversations are now multi-directional (brand to consumer, consumer to brand, consumer to consumer) Social media can be integrated into CRM strategy or can be used to drive CRM.

16 Step-by-step guide to implementing a CRM strategy Step 1 Conduct a business needs analysis Step 2 Understand customer needs Step 3 Set objectives and measurements of success Step 4 Determine how you will implement CRM Step 5 Choose the right tools

17 Marketing Hacettepe University Department Of Business Administration

18 Marketing marketing can be considered as a tool for customer relationship management (CRM). It is a form of direct marketing that uses electronic means to deliver commercial messages to an audience. It is extension of permission-based marketing. It can deliver a very high return on investment (ROI).

19 Types of s Promotional Newsletter Transactional

20 Promotional s Promotional s usually have an immediate goal: Users make a purchase Users download some content Users request further information

21

22 Newsletters Newsletters tend to focus on longer-term goals and are usually geared at creating and retaining a long-term relationship with the reader.

23

24 Transactional s Transactional s are sent in response to customer interactions with the brand.

25 Service Providers Can be used for: Creating templates easily Testing your to ensure that they will get past spam filters Tracking: open rate, response rate, et. Personalization tool to target specific groups.

26 Step-by-step Marketing Growing a database Segmenting your database Designing an Creating content Deploying Measuring Testing

27 Growing a Database Your list should include people who want to receive s from your company. You must acknowledge the rules and regulations to protect people from unsolicited s. People won t respond favorably to messages they don t want. Recipients must be able to opt-out of list easily.

28 Growing a Database Opt-in: Giving permission for s to be sent to you. Opt-out: The act of removing oneself from a list so that specified information is no longer received via . Also known as unsubscribe.

29 Growing a Database Create a signup form on your website. Find some creative ways for collecting s. Remember: The more information you can gather, the you can customise your marketing messages. The more information a user is required to give, the less likely they are to sign up.

30 Segmenting Your Database Technology allows Mass Customization which is one-on-one marketing on a macro scale. Customization covers: using the recipient s name measurement of a recipient s preferences tailoring content to suit them

31 Designing an Plain-text Rich-text HTML You always have to make sure that the message has a meaning even without the images. Don t forget the mobile users.

32 Designing an Usability principles on web also apply to an effective HTML template. Consistency with web site and is necessary. Your message must catch users attention immediately.

33 Parts of an Sender information Subject line Preheader Header Personalised greeting Body Footer Unsubscribe link Designing an

34

35 Creating Content Content of your is a major element of brand content strategy. The principles of writing good online copy apply. Focus on creating great content!

36

37 Creating Content Things to keep in mind: Subject line is crucial (must be catchy and include value proposition) Links (except for the CTA) must be kept in minimum. Ensure your brand name is obvious Keep text short and punchy Talk in customer s language Address the individual not the crowd

38 Deploying For an excellent delivery rate: Create valuable content Establish correct frequency Test the for display and deliverability Check your reputation

39 Measuring Number of s delivered Number of bounces Number of s opened Unsubscribes CTR CTOR

40 An Example

41 # s Sent: 10

42 # s Delivered: 8 # Hard Bounces: 1 # Soft Bounces: 1

43 Bounce An bounce means that the can t be delivered to an inbox. Hard Bounce is a permanent failure. Ex: Fake address Soft Bounce is a temporary failure. Ex: Full inbox

44 Bounce Rate = 2/10 = 20% bounce rate is different than what we talked about in the «Web Analytics» chapter.

45 Bounce Rate Bounce Rate: It is the percentage of s that can t be delivered to intended recepients. Web Analytics Bounce Rate: It is the percentage of single-page sessions (i.e. sessions in which the person left your site from the entrance page without interacting with the page).

46 # s Opened: 5 Open Rate = 5/8 = 62.5%

47 # Clicks: 3

48 CTR (Clickthrough-rate) = 3/8 = 37.5% CTOR (Click-to-open-rate) = 3/5 = 60%

49 Testing Examples of what to test: Subject lines Send times Best day to send Layout Text vs. button links Database segmentation Call-to-Action

50 Testing: Subject Lines

51 Testing: Call-to-action

52 Testing: Text Content

53 Mobile Marketing Hacettepe University Department Of Business Administration

54 Usage Of Mobile Devices Communication On-the-go actions Research Shopping Banking Entertainment

55 What is Mobile Marketing? Mobile marketing is «a set of practices that enables organisations to communicate and engage with their audience in an interactive and relevant manner through any mobile device or network (Mobile Marketing Association, 2013).

56 Source:

57 Source:

58 Source:

59 Source:

60 Whitepapers/2015/2015-US-Digital-Future-in-Focus

61 Unique Features Of Mobile Mobile devices: are personal are always carried are always on are available at the point of creative inspiration have a built-in payment system accurate audience measurement.

62 Mobile Marketing Tactics SMS Mobile Optimized Sites Mobile & Search Mobile Apps Push Notifications Mobile Advertising QR Codes Location Mobile Commerce Mobile Payments Wearables Augmented Reality

63 SMS SMS marketing is similar to marketing. It has to be permission based because it is very personal. Enables two way communication. It doesn t require a smartphone. An SMS service is required for SMS marketing.

64 SMS SMS can be used for: Promotions Competitions Two way communication

65 Mobile Sites

66 Responsive Design

67 Mobile UX Limitations: Small screens Difficult inputs Slow connection speeds Slow hardware Mobile First: Create mobile experience first, adopt it to web later.

68 Mobile & Search According to Google: «More Google searches take place on mobile devices than on computers in 10 countries including the US and Japan.» Source:

69 Mobile & Search In 2015, Google released their «mobile friendly update» Mobile friendy pages now have a boosted ranking on mobile search results.

70 Mobile Applications

71 Push Notifications

72 Push Notifications

73 Mobile Advertising

74 Mobile Advertising https://www.iabaustralia.com.au/news-and-updates/iab-press-releases/item/1852-mobile-and-videoadvertising-continue-to-surge-according-to-iab-online-advertising-expenditure-report

75 QR Codes

76 QR Codes The consumer scans the QR code with phone s camera and the code tells the phone what to do. However, you need a QR code reader on your phone. QR codes help activating offline advertising and makes it measurable.

77 Location Mobile devices can track and report a person s location in real time with a reliable degree of accuracy. People use their mobile devices to search for locations (a place to eat someting, a product at a retail store, etc.) as a source of information. Real-time, relevant and personalized content customized for users s location can be pushed to user s devices.

78 Location

79 Location

80 Source:

81 Mobile Commerce In addition to purchasing goods and services by using mobile devices, users can also compare products and prices by using them.

82

83

84 Mobile Payments All mobile phones (and many other mobile devices) have a built-in payment mechanism the SIM card. But more than that, Near-Field Communication (NFC) technology allows data to be transferred over short distances through the use of data chips. A mobile wallet is a way of storing currency (or other payment methods, such as credit cards or PayPal account details) on a mobile device and then using the device to make payments. NFC is the most common technology used for this.

85

86 Wearables

87 Augmented Reality Augmented reality (AR) is a variation of virtual reality. Rather than immersing the user in a virtual world, however, AR takes computer graphics and superimposes them into reality the physical space around the person operating an AR device. Google Glass is an exciting development in AR this pair of glasses gives the viewer a digital data overlay over the real world.

88 Augmented Reality

89 Contact Me Course Page:

90 Sources emarketing: The Essential Guide To Marketing In a Digital World 5 Ed.» by Rob Stokes and and Minds of Quirk which is available at: Understanding Digital Marketing: Marketing Strategies for Engaging the Digital Generation, 2nd Ed. By Damian Ryan and Calvin Jones Digital Minds: 12 Things Every Business Needs to Know About Digital Marketing by WSI

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