Customer Relationship Management Lessons In Change Management

By

Banafsheh Ghassemi

@Banafshehgh

VP, eCRM and Customer Experience

Presented at CRM Evolution 2012

The Evolution

1980s

The all-knowing database

1990s – Early 2000s

Plug in the machines!

6

7

…and watch magic happen! Customer Survey: Excellent: Very Good: Good: Fair: Poor:

70% Of CRM Initiatives Fail - Cap Gemini

75% Fail To Impact The Customer Experience - Gartner

Billions Spent. An Abysmal Track Record.

Mid 2000 – Today

It’s a business strategy!

Brand Experience

Vision

Customer Wants, Needs, and Expectations

Capabilities

Enablers

Initiatives

Business Strategy

Voice of the Customer

People, Process, Policy & System 

The Building Blocks Of The Strategy

And Just As We Began To Get The Hang Of It…

“The social brand”

Your Brand

Like

Follow

Friend

Fan

Customer Sentiment

Online Community

Social Graph

Social Marketing

Social CRM

Viral Marketing

Word Of

Mouth

Engage Listen

Influence Share

Colaborate

Check In Mayor

Badge Gamification

Crowdsource

Aggregation

User Generated

Content

13 13

What is a Like/

Follow/ Fan

worth?

Why is Everybody

doing it!

Where do we start?

What’s the ROI?

Even today we will find most organizations somewhere on this maturity continuum

What’s the ROI?

What is a Like/

Follow/ Fan

worth?

Why is Everybody doing it!

Where do we start?

Least Mature Most Mature

Brand Experien

ce Vision

Customer Wants, Needs, and

Expectations

Capabilities

Enablers

Initiatives

Business

Strategy

Voice of the

Customer

People, Process

, Policy & 

System 

The all-knowing database Plug in the machines It’s a business strategy The social brand

Change Management: The Foundations

Customer Relationship Management Strategy

Customer Experience Management Strategy

Who §  Lead by line of business leaders (CSO, CMO, CCO) with tactical focus on operational efficiencies & priorities (inward looking).

§  Lead by CEO with strategic focus on brand value proposition (outward looking).

What §  Captures what you know about a customer with an interest on the value of the donor to the enterprise

§  Captures what a customer thinks about you and the value you bring to them.

When §  Generally focused on acquisition cycle (sales, revenue, profits)

§  More holistic lifecycle focus that includes both acquisition & retention (sales, revenue, profits AND churn, Net Promoter Score)

Evolve From A CRM Mindset To A Customer Experience Strategy Or a Brand Experience Strategy Mindset

In The Absence Of A CEM Strategy, Even The Best CRM Technology Can Make Life More (Not Less) Difficult

Postpone The Technology Investment Until You Have a Strategy

CRM technology will facilitate a business strategy designed to learn about, select, optimize and

manage the most valuable customer relationships

The strategy has to be customer

centric…

…they all have expectations, needs & wants…they each

have diff life-time values

But our customers are not the

same…

…do our data,

internal processes,

orgs, policies, rules of

engagement support

their expectation

s?

Are their expectations

aligned with their life-time value?

…whatever the needs, they need them to be met

across the touch-points.

CEM Vision 

Wants, Needs, and Expecta;ons 

Capabili;es 

Enablers 

Ini;a;ves 

Business Strategy 

Voice of the Customer 

People, Process, Policy & System 

  Stakeholder Interviews   Inside‐Out Workshops   Focus Groups   Primary Research   Best Prac?ces 

Voice of the Customer 

Developing The Strategy: An Approach

Define CE Vision and Strategy Statement Develop guidelines for operational direction

Prioritize Top Donor Wants / Needs Show prioritized list of initiatives against goals

Align with Enterprise and Brand Strategies Determine key loyalty and touch-point metrics

•  Business Requirements for CRM PlaEorm CRM 

• Moves Management Framework 

Moves Management 

•  Donor Communica?ons •  Cross / Up‐sell Other Ini?a?ves 

Ini;a;ves 

CRM/CEM Strategy & Roadmap 

This Is Not About You, The Management Team, And Your Insatiable Appetite For “Their” Data!

  More successful front-line employees   Train better customer engagement, not how to use

the system   Communicating Effectively   Identifying Opportunities   Building Relationships

  More engaged and loyal customers who will also be your advocates

Make It Clear From The Onset Why You Are Doing This…

Aware/ Learn

Donate

Confirm/ Appreciate

Seek Help

Renew

To Be Effective Your Strategy Must Span The Entire Customer Lifecycle And High-Value Touchpoints

Learning how donation was used

(Stewardship) Ease of donation

Acknowledgement and appreciation of

donation Request information regarding specific

issue

CRM Investments Are Not Cheap & Cutting Corners Can Lead To Costly Write-Offs…

  Voice Of The Customer   Continuously assess customer sentiment, needs & wants and refine

organizational capabilities and enablers to satisfy the ever changing landscape

  Requires investment in structures that are focused on VOC

  Make investments in   Process definition   Data migration/management   Training   Communications   Post implementation user & system support

Don’t Skimp on Necessary Steps

Ongoing Customer Feedback Methods Customer Feedback *Welcome Calls      *Transac;onal Surveys *Customer Panels      *Rela;onship Surveys *Call/Inquiries Into Frontline Orgs  *Social Media  Employee Feedback *Employee Panels *Front‐line Surveys *Rep Quality Monitoring *Execu;ve Immersion *Employee Engagement Survey 

Change Management:

Social CRM Take It To The Next Level

Don’t Be Intimidated

It’s Just Evolu?on! 

CRM, It’s A Bigger World Than It’s Ever Been!

Social Media & Customer Experience Disconnects

  43% of consumers consider direct response to their inquiries on social media most important

  31% expect direct access to customer service reps or product experts - Oracle, March 2012

  60% of companies don’t respond to customers via social media

- Capgemini

  55% of customers call their experience of communicating with brands via social media “disappointing” or “mediocre.

-Conversocial

Organize as you always did   Do you have a letter, email or phone

department? So why a social media department?

  Think channel strategy and channel operations

  Sales, marketing, customer support

  If you don’t know where to start, customer support is a good bet.

“Operationalize”   Red Cross

  Social Specialist across the organization serving as SMEs offering insights, expert advice, engaging on behalf of the brand.

  DigiDoc monitoring mentions during disasters using heat maps to determine response needs

  Best Buy TwelpForce   ~3000 on retail team responding to customers

  South West Airlines   Experts across functions serving customers during flight

hours.

But Strategize & Operate Differently   Can’t sell or market as you always did

  Peer to peer   Nurture advocates and evangelists   Empathetic, high value content

  Can’t service as you always did   Real-time   Nurture support communities

Thank you & Let’s Connect

Email: Banafsheh.Ghassemi@redcross.org

Twitter: @Banafshehgh