K E E P I NG C U S TOMERS E NGAG ED TODAY A ND TOMORROW

THE COMMUNICATIONS REVOLUTION

PaulGreenbergManagingPrincipal

The56Group,LLC

DIGITALTRANSFORMATIONANERAOF

BEGINS

Impactsallinstitutions.Businessamongthem.

DIGITALCOMMUNICATIONSREVOLUTION

INFORMATIONISTRANSFORMED

Howwecreate,distribute,consumeinformationhasbeenirrevocablychanged

Favorite

THEDIGITAL CUSTOMER

WHO IS THEDIGITAL CUSTOMER?

Savvy usingdigitalchannels&appsonmultipledevices

Trust isdifferent.

Controls theconversation

Communicates withpeers(“personlikeme”)

Communicates anytime,anywhere

Omnichannel Mobile.Local.

Expects immediateresponse.Ornearlyso.

Expects informationavailableinstantlywhensearching

Wants todealwithhumanizedcompany

Self-interested whenitcomestotheirinteractions

82%findpeersmosttrustedsource[Edelman2014TrustBarometer]

THEDIGITALCUSTOMERHASAPROBLEM–WITHYOURBUSINESS

81%ofcustomerssayit’sdifficulttocommunicatew/businesses.34%ofbusinessesthinkthattheyhavethatproblem.

94%ofbusinessesthinktheircustomersaresatisfiedw/theircommunications.96%ofcustomersaren’t.

79%ofcustomerssaythatfastresponsetimescontributetoapositiveexperience…yet89%ofthosecustomerssaythatbusinessesdon’tdoit.

55%ofcustomerssaythatbeingabletocommunicateonpreferredchannelscontributetopositiveexperience…only27%ofcompanieshaveanomnichannelstrategyinplace.

51%ofbusinessessaidbadcommunicationledtonegativereviews...yetagoodcommunicationexperienceleadstoa50%lowerlikelihoodthatanegativereviewwillbeposted.

Source:Twilio/LawlessResearch“BridgingtheCommunicationDivide:ConsumerCommunicationsReport2017”

MULTICHANNEL

OMNICHANNEL• 2002 – Consumeraveragedtwo

touch-pointswhenbuyinganitem• Only7% regularlyusedmorethan

four.• 2017 - Consumeraveragesalmost

sixtouch-points• Nearly50% regularlyusemore

thanfour.(Source:MarketingWeek)

OMNICHANNEL

TheValue• Companiesthatorchestrated

multiplechannelswellwere2Xmoresuccessfulatreducingcustomerchurnthanthosewhodidn’t.(Aberdeen)

• Strongomnichannel=9.5%increaseYOYinrevenue;weak=3.4%YOY(Aberdeen)

• Omnichannelshoppers30%higherCLVthan1channel

(Google)

OMNICHANNEL

C U S T O M E R C O M M U N I C A T I O N S M A N A G E M E N T –W H E R E I S I T ?

CCM MARKET – WHERE IS IT?

Mature,stable,reliabletechnologyandsystems

01Billiondollarmarket

02Alignedwithchanges– transformedfromprinttodigitaldocumentsandthedeliverychannelsassociatedwiththatdigitaltransformation

03

“TheCCMmarket'soriginslieintheconvergenceofdocumentgeneration/compositionandoutput

managementtechnologies.Traditionally,organizationsusedtheseapplicationstobroadcaststatic,mainlyprint

outputtocustomers…”

(Source:GartnerGroup,CCMMagicQuadrant,2017)

WhatwasCCM…Then?

WhatisCCM…Now?

“…Today'sCCMmarketembracesamoredynamic,interactivemodel:CCMapplicationscreatepersonalized,on-demandcommunicationsviamultiplechannels,oftenbasedontherecipient'spreferencesratherthanthe

sender’s.”

(Source:GartnerGroup,CCMMagicQuadrant,2017)

CCM –IN THE CONTEXT OF CUSTOMER INTERACTIONS

Independentbutbecomingpartofamuchlargercustomerengagementmatrix– bothasastrategyandasatechnology/system.CCM

isthecreation,distributionandconsumptionofcontentinanomnichannelenvironment.Context

isitsabilitytonotonlyprovidevaluablecontentinasecureandprivateenvironmentbut…Power

highlypersonalizedresponsestoindividualcustomerneed.Provides

u Sothen…

u Matureindependentindustry

u InparallelwithCRMandecommerce,equallyasmature,becomingpartofalargerecosystemaroundomnichannelcustomerengagement.

CCM…InSum…andBeyond

CUSTOMER INTERACTIONS & ENGAGEMENT

“Customerengagementistheongoinginteractionsbetweencompanyand

customer;offeredbythecompany,chosenbythecustomer”

ANEWERAFORCUSTOMERS

Movedfromsocialtodigitalcustomer.

Beyondexperimentationinsocialmediatofullyintegratedomnichannelperspective.

Customerengagementistheprimaryreasonthatcompaniesareundertakingdigitalinitiatives(69%)[McKinsey,2014]

64% ofcompaniesarebeyondexperimentalstage(integratedchannels,multi-channel,cross-channel)[StateofSocial2011,eConsultancy]

60%

OFRESPONDENTSSAIDCUSTOMERENGAGEMENTISATOPPRIORITY

84%

BELIEVEDCUSTOMERENGAGEMENTWOULDOVERTAKEPRODUCTIVITYASTHEIRCOMPANY'SPRIMARYDRIVEROF

GROWTH.

In a survey of a large technology vendor’s customers…

CUSTOMERENGAGEMENTAMAJORCONCERNSource:BluewolfConsulting

&

23%

PREMIUMFORFULLYENGAGEDCUSTOMERSINSHAREOFWALLET,

PROFITABILITY,REVENUE,RELATIONSHIPGROWTH

37%

MOREREVENUE/YEARFORRETAILBANKS’FULLYENGAGEDCUSTOMERS

OVERDISENGAGED

240%

INCREASEINPERFORMANCE-RELATEDBUSINESSOUTCOMESFORCOS.THATENGAGEEMPLOYEES

ANDCUSTOMERS

DISCOUNTFORFULLYDISENGAGEDCUSTOMERS

-13%

BUT

[StateoftheAmericanConsumer,2014,GallupOrg]

CUSTOMER ENGAGEMENT IS NOT...

MARRIAGE ADVOCACY LOYALTY UNIDIRECTIONAL

CONSISTENTLYTHESAMELEVEL

DETERMINEDBYTHEAMOUNTOFTIME/EFFORTACUSTOMERMAKES

X X X X

X X

WHATISCUSTOMERENGAGEMENT?

Proactiveinvolvement.[Peppers&Rogers]

(Onlineengagement)isanestimateofthedegreeanddepthofvisitorinteractiononthesiteagainstaclearlydefinedsetofgoals.[EricPeterson]

WHATISCUSTOMERENGAGEMENT?

Theongoinginteractionsbetweencompanyandcustomer,offeredbythecompany,chosenbythecustomer.

Engagementlevelsvary- Casualtointense.- Infrequenttofrequent.- Changesmomenttomoment.

Customerschoosechannelstheyengagein.

CustomerExperience&engagementaresymbiotic

WHATISCUSTOMERENGAGEMENT?

Otherfactorsimpactinteraction.

Companyhasenterprisevaluechain.- Vendors/Suppliers- Partners- Externalagencies- Employees- Customers

Customershavepersonalvaluechainthatimpactsinteractions.- Customeranalyticsimportant.- Moreimportant,makingsurethatthingsworkright.

Butrememberengagementisn’tonlydeterminedbyimmediateinteraction.

ERAOFCUSTOMERENGAGEMENT

Customerhasproducts,services,toolsandconsumableexperiencestosculptthekindofexperienceandthelevelofengagementtheywanttohavewithcompanies.

THEYLOOKFORHIGHLYPERSONALIZEDINTERACTIONS.

Theywanttofeelvalued.

Theywanttoknowthatyou“know”themw/otalkingtosomeonenecessarily.

CUSTOMERSSELF-SELECTS

IthinkRadioheadsucks!

BADCUSTOMERENGAGEMENT

BaduseofgamificationbyGetGlue.

COMPANY SIDE THE OF THE ENGAGEMENT STORY

COMPANYCONCERNS

EXPERIENCE EXPECTATIONS COSTS

PRIORITIES KNOWLEDGE

MakingUI/UXseamless,thinkingomnichannelorchannelessordevice.

Howtooptimizeofferingstomeettheneedsofacommonwealthofself-interestw/budgetlimits.

Recognizingthecustomerwillbeexpectingthebestresultss/hehadinallchannels.

Whatisitthatweneedtoknowaboutthecustomer(orgroups)thathelpsusmakethosedecisions?

.Transactional

.Unstructured

Knowingcostsoftryingtoprovideallthatacustomerwantsisincrediblyhigh.Sobeingwillingtonotprovideeverything.

EXPECTATIONSPlanonhowtomeetcustomerexpectations,ifreasonable.Makeitgoodenough– notdelightfulallthetime.“Keepingtheordinary,ordinary.”

KNOWINGTHECUSTOMERSGetfeedbackfromcustomers,knowtheirjourneys,customeradvisoryboards

RELATIONSHIPTreatcustomerasapartner,notaclient.Involvecustomerasextensionofcompany

RESOURCESAllowcustomerstosculpttheirrelationshipwithyou.Becomeco-creators,datasource,etc.

VALUERecognizecustomersandyourideaofvaluearenotthesame.

CULTURE

Buildaculturebasedonempathy,trust,believability,andrespect.Itpays.

COMPANYPREPARATION

OMNICHANNELBuildthemultiplechannelsthatpeoplecommunicatewith,notbasedonaguessofwhichoneworks

BUSINESSOPERATIONSCustomersuccessmanagement,organizedend-to-endprocesses,systems

CULTUREBuildaculturebasedonempathy,trust,believability,andrespect.Itpays.

STRATEGY/PROGRAMS

CONTENT

Focusonpersonalizedcontentcreation,delivery,linktocontentmarketing,collaboration,mobileinteraction

COMPANYEXECUTION

Designstrategy&programsaroundwhatyouknowcustomersarelookingfor,notwhatyouthinktheymightbe.

SYSTEMSOFRECORD

Recordtransactions Automateoperationalprocesses

Capturedata Analyzedata Scaleappropriately

SYSTEMSOFENGAGEMENT

Integratewithsystemsofrecord.

Systemsthatencouragecustomerinvolvementwithcompanyatlevelthatcustomerchooses.

Interactions Community

Collaboration RichMedia

Usability Immediacy

OpenAccess Insight&Analysis

IN SUMMARY

COMMUNICATIONS REVOLUTIONThecommunicationsrevolutionhastransformedbusiness.

ENGAGEMENT AT THE READYCustomerengagementisatthecenterofcustomerfacingprogramsandstrategies.

DIGITAL CUSTOMERWehaveadifferentkindofcustomer- adigitalcustomer- buts/heisstillacustomer.

EXPERIENCE AND PARTNERSOurcustomersshouldbesubjectsofanexperienceandpartners,ratherthanobjectsofasaleandclients.

INSUMMARY

OMNICHANNEL STRATEGYInordertoacquireandretaincustomers,weneedtohaveaomnichannelstrategy- withselectedchannels.

GOLDEN RULEThekeyistoprovidetheproducts,services,toolsandconsumableexperiencesthatthecustomerneedstosculpttheirownrelationshipwithyou.

SYSTEMS OF ENGAGEMENTTodoso,sincewehavetransformedhowwecommunicate,weneedtoenhanceourcurrentsystemsofrecordwithsystemsofengagement.

INSUMMARY

ENSURE YOU HAVE OPTIONSChooseCCMsolutionsthatallowyoutoleverageyourinfrastructure’secosystem

Blogthe56group.typepad.com

SocialCRM:TheConversationblogs.zdnet.com/crm

Emailpaul-greenberg3@the56group.com

Twittertwitter.com/pgreenbe

Facebookfacebook.com/pgreenbe

Mobile703-338-0232PAUL GREENBERG

AuthorCRM at the Speed of Light (4th Edition)

Managing PrincipalThe 56 Group, LLC

Global Advisory CommitteeSports Entertainment Alliance in Technology (SEAT)

Advisory BoardUniversity of Texas System Transformation Project

Author (Upcoming)The Commonwealth of Self-Interest: Customer Engagement, Business Benefit (Harvard Business Press, 2018)

Follow us on social.Scale the Conversation.