The starting point of success is the customer for any
business. Social media coupled with CRM solutions and various
technological advances have brought us very close to our customers only to know
we do exactly opposite in reality then the theories we have learnt. We are in
business only because of the customer… we earn because customer pays us… its
single most important advice given by most of the experts to focus on customer
satisfaction and it will bring in more business…
I have an acronym DOGS
… “Delightful Opportunity God has Sent” posted on my desk and virtually
everywhere when I interact with a customer, may be internal to the organization
or an external one.
This opportunity is something I need to capitalize on … and
the power of Social CRM (SCRM)
coupled with the framework of CCRRM
(Consultative Customer Relevant Relationship Management) will help the
companies accomplish the goals set and take a leap beyond the competition to
dominate the market place… as the saying goes Knowledge is Power the companies
today can leverage every minute details of the customer with Social media
monitoring tools, social media engagement software’s and social analytics… I
will leverage the social media both for observing and engaging with the
customer and establish the right chord at a lightning speed…
Compared to the traditional CRM approach of the late 90’s
and early years of the 21st century the next few decades are going
to focus on Social CRM … the difference is clearly visible … while the
traditional CRM relayed on historical data and previous buying cycles and data
captured by some third party vendors and which was a one way engagement model
the Social CRM incorporates real time information, the approach is futuristic
and focuses on understanding the wants and desires of the customers tracking
what the customer likes and follows or comments and is active on the social
sites … this gives an edge for the companies to engage closely with the
customer and is an instant two way engagement model.
As LinkedIn Facebook and Twitter grew its presence and
virtually made one and all addicted to them companies have defined newer ways
to measure their success on the social media. The early practitioners who
measured the number of hits and likes have moved into a consolidated approach
measuring all the three channels put together… don’t forget the YouTube fever
that is catching up quick and fast with the cost of data usage becoming more
economical and the smart handheld devices capturing the markets. I have defined
a quick acronym “LIFT YOU” … which
stands for LinkedIn + Facebook + Twitter + YouTube and measures for various sub categories not
limited to number of connections, likes, subscriptions, shares etc… the “ER SCORE” is yet another metric which I
like as a personal brand for both individuals and the leaders which is but
nothing the Endorsements and Recommendations score… how many customers or
clients or people who you as in individual or company have interacted Endorsed
you and recommend you… in fact everything matters…
One of the statistic shows the sales of CRM solutions have
gone up by 18 times in 2007 compared to
a decade back in 1997, every second company wants to embrace the CRM
framework and the software’s or platforms to improve their sales nonetheless
the difference is the quality of the solution and approach or the roadmap
matters a lot and so I believe CRM can be further enhanced if we add an extra
“C” and an extra “R” which stand for Consulting and Relevance… unlike a
replicating a solution from a competitor it’s more important to understand the
internal and external forces that are unique to the company and define a
solution that is more relevant with the goals established thus stands the CCRRM … Consultative Customer Relevant
Relationship Management …
The central theme in this framework one is engaging with the
customer in a consultative mode which address and meets the customer needs and
expectations. Now go beyond and move from the consulting into a consultative
selling mode and solution the roadmap that is relevant to both the costumer and
company you represent can integrate backwards to the offering and strengths of
the organization thus making both the customer and the company profitable ….
Many organizations focus on internal metrics like
satisfaction, awareness, loyalty, churn, leads, recall, revenue growth, margin
improvement etc… and there is very less focus on MARKET SHARE as a metric and this becomes a very very important
measure in a consulting role to draw the customers attention and help
understand how CRM programs and campaigns directly impact the revenues compared
to the competition… and perhaps dominate the market place… here are some
observations drawn surfing some sites on the net look impressive to act upon
right away…
•
It typically costs 5-10 times
as much to acquire a new customer as it does to retain an existing one.
•
“Some companies can boost
profits by almost 100% by retaining just 5% more of their customers.” Harvard
Business Review (Reicheld & Sasser)
•
A recent McKinsey study showed
that the average new customer spends $24.50 at a given web site in the first 3
months as a shopper. The average repeat customer spends $52.50 every 3 months.
•
Most companies lose 50% of their customers in 5 years (Harvard
University)
•
70% of repeat purchases are
made out of indifference to the seller, NOT loyalty. (eLoyalty)
These above statements make it very essential for the
business owner if wants to grow and outperform the market he has to work on his
internal operations and the starting point is to integrate Sales, Marketing,
Strategy, Process, People and Technology… to maximize customer acquisition,
value, loyalty and relationship embarking a total customer experience.
CRM plays a very vital role as a foundation to the entire
customer lifecycle management and one need a very robust yet easy to work CRM
solution.
Many a organizations have invested on bulky servers and CRM software’s
and still operate on a spread sheet mode to make decisions … the year 1999 will
be marked in history for the dawn of a breakthrough solution in the CRM space
which is growing too fast a one stop solution that utilizes the power of Cloud coupled
with concepts of SaaS and PaaS is the SALESFORCE.COM
Various modules in the SFDC today help the organization benefit
in areas of Customer Acquisition, Retention, Loyalty, Evangelism and above all
Cost Reduction…
My decade long experience working on Analytics and Six Sigma
have thought me a very easy formula that works in all areas … Y = f(x) … the
key CTQs which are available with me can be classified as Suspects, Visitors, Prospects, Subscribers,
Patrons, Members, Ticket Buyers, Users, Consumers, VIPs, Volunteers, Annual /
Major Donors, Advisors, Advocates, Legislators, Strategic Partners, Sponsors, etc…
and what do we know about them thru various channels online and offline are
Problems, Pains, Fears, Needs, Wants, Likes, Goals, Influences,
Relationships, Affiliations, Alliances, Experiences, Aspirations, Options,
Expectations, Questions, Knowledge, Skills, Activities, Attention,
Communications, Interactions, Emotions, Memories, Satisfaction, Perceptions,
Beliefs, Admirations, Attitudes, Opinions, Values, Learning, Ideas,
Motivations, Objections, Priorities, Choices, Behaviors, Personality,
Self-Concepts, Trust, Loyalty, Attention, Recognition, Time, Energy, Risks,
Investments, Rewards, ROI, Lifestyle, Lifecycle Stage, Social Class, Culture,
Sub-culture, Age, Family, Education, Hobbies, Interests…?
One of the key roles of a CRM consultant will to establish the relationship
and define key metrics for the scorecard that the company should look at to
make decisions … with the help of Exact Target Marketing Cloud app it becomes
very easy to implement the social analytics / engagements / campaigns thru
various channels like emails, e-survey, viral marketing, web, blog, online
communities, e-commerce etc… to create richer relationships with the customer.
The very next step once the data and analytics is established is to look
back at the customer management business processes to redefine where CRM can
and should provide the greatest value, may be use a pareto principle … the
80-20 rule and shortlist the top areas and incrementally implement the CRM in
these targeted processes.
Here is when the Solutioning is drawn and the technology partners
will be engaged actively and use the cloud and salesforce platform to bring
into life the process shaped by the company working with the CRM consultant...
post go live a continued support from the back office cements a lifelong rendezvous
in this journey… J
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