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Customer Intelligence
Tony Spelkens
Customer Intelligence Consultant, SAS institute

             My favourite song: Hooverphonic
IF   ONLY   I   HAD KNOWN   …   TOO BAD YOU DID
                                                                STEPS IN BECOMING A MORE CUSTOMER CENTRIC COMPANY




                                                                                               Tony Spelkens
                                                                Customer Intelligence Consultant, SAS institute
Copyright © 2012, SAS Institute Inc. All rights reserved.
Copyright © 2012, SAS Institute Inc. All rights reserved.
GET MORE INTIMATE WITH YOUR CUSTOMER




Copyright © 2012, SAS Institute Inc. All rights reserved.
CUSTOMER
                           INTELLIGENCE MATURITY CURVE
 Customer Intelligence




                                                                                         Predictive Models
                                                                                                                  Personal campaigns based on Probabilities

                                                                             Event Triggers
                                                                                                  Event Based Campaigns
                                                            Segmentation
                                                                               More targeted campaigns / newsletters


                         Basic customer
                                                                 Renewal campaigns
                         information




                                                                                                                           Customer Intimacy
Copyright © 2012, SAS Institute Inc. All rights reserved.
Copyright © 2012, SAS Institute Inc. All rights reserved.
FINDING THE
                          CUSTOMER CENTRICITY RESEARCH BE + NL
         OPTIMAL BALANCE

                                                                                             •   Qualitative:
                                                                                                 •   1-to-1 Interviews

                                                                                             •   Quantitative:
                                                                                                 •   72 Web surveys

                                                                                             •   Profiles:
                                                                                                 •   Marketing and/or Management

                                                                                             •   Company size:
                                                                                                 •   50+ employees


                                                            One of the research questions

                                                            •   How to become more customer centric?


Copyright © 2012, SAS Institute Inc. All rights reserved.
RESULTS STUDY HOW TO BECOME MORE CUSTOMER CENTRIC?




Copyright © 2012, SAS Institute Inc. All rights reserved.
CUSTOMER CASE 1:
                        ZAPPOS
              CULTURE




      “WE LET OUR CUSTOMERS
    DO THE MARKETING FOR US”
     (TONY HSEIH, CEO ZAPPOS)
Copyright © 2012, SAS Institute Inc. All rights reserved.
FOCUS ON CULTURE?
              SURE, BUT …


                      •      What if:
                             •     a typical day consists of




                                   6,000 phone calls        400 live chats   1.1M social interactions.


                                 you’ll need to know those persons!

                                 Even Culture is fueled by Customer Intelligence



Copyright © 2012, SAS Institute Inc. All rights reserved.
CUSTOMER
                           INTELLIGENCE MATURITY CURVE
 Customer Intelligence




                                                                                                       Optimization           Channels & Offers optimization


                                                                                         Predictive Models
                                                                                                                  Personal campaigns based on Probabilities

                                                                             Event Triggers
                                                                                                  Event Based Campaigns
                                                            Segmentation
                                                                               More targeted campaigns / newsletters


                         Basic customer
                                                                 Renewal campaigns
                         information




                                                                                                                           Customer Intimacy
Copyright © 2012, SAS Institute Inc. All rights reserved.
CUSTOMER CASE 2:
                    PERSONALIZED COUPONS: TESCO
 CUST. INTELLIGENCE

                         Business Issue
                                      Increase redemption of coupons and customer loyalty to
                                      Tesco

                         Results
                                      Targeted communication (statement design, text/content
                                      and coupons)
                                      Vouchers value is high (sent every 3 months) so
                                      customers feel rewarded
                                      Only 6 targeted coupons – 3 on products which the
                                      customer bought in the past and 3 on products he is likely
                                      to buy in the future but never bought before.

                          Benefits
                                      Customer feels rewarded and appreciate relevance of
                                      mailing

                                      Redemption increased by a factor of 5 compared to
                                      market standard and customers are a lot more loyal
                                      making Tesco number 1 retailer in the UK


Copyright © 2012, SAS Institute Inc. All rights reserved.
CASES CUSTOMER
                            PERSONALIZED COUPONS: BELGIUM
               INTELLIGENCE




Copyright © 2012, SAS Institute Inc. All rights reserved.
TAKE AWAYS




                •     Customer Intelligence:
                      •      From Data to Personal
                      •      It’s a competitive advantage


                •     Customer Centricity is
                      •      NOT Cultural exclusive
                      •      But based on Intelligence




Copyright © 2012, SAS Institute Inc. All rights reserved.
Thank you




From Led Zeppelin II
1969

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Customerintel sas stepsinbecomingmore_tony_s

  • 2. Tony Spelkens Customer Intelligence Consultant, SAS institute My favourite song: Hooverphonic
  • 3. IF ONLY I HAD KNOWN … TOO BAD YOU DID STEPS IN BECOMING A MORE CUSTOMER CENTRIC COMPANY Tony Spelkens Customer Intelligence Consultant, SAS institute Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 4. Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 5. GET MORE INTIMATE WITH YOUR CUSTOMER Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 6. CUSTOMER INTELLIGENCE MATURITY CURVE Customer Intelligence Predictive Models Personal campaigns based on Probabilities Event Triggers Event Based Campaigns Segmentation More targeted campaigns / newsletters Basic customer Renewal campaigns information Customer Intimacy Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 7. Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 8. FINDING THE CUSTOMER CENTRICITY RESEARCH BE + NL OPTIMAL BALANCE • Qualitative: • 1-to-1 Interviews • Quantitative: • 72 Web surveys • Profiles: • Marketing and/or Management • Company size: • 50+ employees One of the research questions • How to become more customer centric? Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 9. RESULTS STUDY HOW TO BECOME MORE CUSTOMER CENTRIC? Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 10. CUSTOMER CASE 1: ZAPPOS CULTURE “WE LET OUR CUSTOMERS DO THE MARKETING FOR US” (TONY HSEIH, CEO ZAPPOS) Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 11. FOCUS ON CULTURE? SURE, BUT … • What if: • a typical day consists of 6,000 phone calls 400 live chats 1.1M social interactions. you’ll need to know those persons! Even Culture is fueled by Customer Intelligence Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 12. CUSTOMER INTELLIGENCE MATURITY CURVE Customer Intelligence Optimization Channels & Offers optimization Predictive Models Personal campaigns based on Probabilities Event Triggers Event Based Campaigns Segmentation More targeted campaigns / newsletters Basic customer Renewal campaigns information Customer Intimacy Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 13. CUSTOMER CASE 2: PERSONALIZED COUPONS: TESCO CUST. INTELLIGENCE Business Issue Increase redemption of coupons and customer loyalty to Tesco Results Targeted communication (statement design, text/content and coupons) Vouchers value is high (sent every 3 months) so customers feel rewarded Only 6 targeted coupons – 3 on products which the customer bought in the past and 3 on products he is likely to buy in the future but never bought before. Benefits Customer feels rewarded and appreciate relevance of mailing Redemption increased by a factor of 5 compared to market standard and customers are a lot more loyal making Tesco number 1 retailer in the UK Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 14. CASES CUSTOMER PERSONALIZED COUPONS: BELGIUM INTELLIGENCE Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 15. TAKE AWAYS • Customer Intelligence: • From Data to Personal • It’s a competitive advantage • Customer Centricity is • NOT Cultural exclusive • But based on Intelligence Copyright © 2012, SAS Institute Inc. All rights reserved.
  • 16. Thank you From Led Zeppelin II 1969