Leverage social technologies & Social CRM concepts to engage your customers like never before and work together as one team - internally and externally. Presentation from Marketing 2.0 Conference in Hamburg

1. Engage Your Customers & Employees
Like Never Before
M2C Hamburg, 2014
Niclas Otte
Senior Director Social Software, SAP AG
@ottenic

2. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 2Source: http://www.simonlydeals.co.uk/pics/mobile-payphone-01.jpg
Do you remember?

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2005

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2013

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DIGITALLY
CONNECTED
SOCIALLY
NETWORKED
BETTER
INFORMED
2
Today customers are…

6. 2.4BILLION
brand-related conversations
happen in America everyday.
THIS CHANGES THE RULES
FOR MARKETERS
SOURCE – KELLER FAY GROUP

7. 79%
of customers spend at least half
of total shopping time
researching products online
.
IT CREATES A NEW KIND OF THINKING
AROUND SALES & SERVICE
of customers are willing to try a new brand
to get better customer service.
59%

8. © 2014 SAP AG or an SAP affiliate company. All rights reserved. 8Source: RSR Research, June 2013
Companies go omni-channel

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PRODUCT RECOMMENDATIONS
TO COMPLETE THE LOOK
Goal is consistent but personalized Customer Experience
PERSONALIZED CATALOGS
AND PRICES

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CUSTOMERS KNOW
BRANDS NOT
CHANNELS
PURCHASE PATH
IS NOT LINEAR
COMMERCE
LANDSCAPE HAS
SHIFTED
CUSTOMERS
EXPECT EACH
INTERACTION TO
BE RELEVANT
Brands need
consistent
communication with
their
customers
Smartphone adoption
has shifted the
commerce landscape
Buying journey is
different and uses many
touch points everywhere
Need to address
lifestyle choices
and preferences
…But here is the kaviat

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The Quest for Customer Engagement & Experience
of CEOs rate understanding
individual customer needs and
response time as a top priority.
Source: IBM CEO Study
72%
© 2013 SAP AG. All rights reserved. 11

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So do you have the right customer intelligence at hand?

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Optimize target groups for
omni-channel campaigns
Social Contact
Intelligence
Understand and reach out
to the right people
Customer Value
Intelligence
Invest in the right
customers
Audience Discovery
& Targeting
Customer Intelligence 2.0

14. EVERY MINUTE
OF EVERYDAY
of YouTube uploads
48 hrs
new mobile web users
217
Wordpress blog posts
347
new websites
571
Foursquare check-ins
2,083
Flickr photos
3,125
Instagram photos
3,600
Email messages
204,167,667
Google queries
2,000,000
Facebook shares
684,478
Consumers spend
$272,070
Twitter tweets
100,000
Apple app download
47,000
Facebook likes
34,722
SOURCE: DOMO, INC.
61,141
hours of music uploaded

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“
• Better understanding of behavior
• Improve ROI of campaigns
• Real-time reporting on campaign results

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Technology can be a differentiator
“The iPhone has never been good.”
“The iPhone has never been this good.”
Natural Language Processing
Structured vs unstructured data (and accuracy)

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Graceful interruption
VS.
www.airtravel.com www.prussakov.com

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Old recipes no longer work
Front Office
EFFECTIVENESS
Customer
EXPERIENCE
STRATEGICTACTICAL
To Be in the Game To Win the Game To Change the Game
Internal Focus Customer Focus
INSIDE-OUT INSIDE-OUT OUTSIDE-IN
Front Office
EFFICIENCY
Focus on 1:1
Customer Engagement

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However, we tend to forget…
…the Digital Customer determines the channel

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Which creates new opportunities (and challenges) to
engage your customers
Tweets

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Even if your customers are buying bulldozers.

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Digital Revolution at its best…

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So, Are You Ready for This?
Marketing
Customers
Questions &
Comments
Sales
Service
R&D
Responses

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Benefits
Meet increasing demand for social
media interaction without scaling team.
Reduced churn. More cost-effective
customer acquisition with marketing
messages based on social buzz..
Looking at our results with
social engagement, the ROI is
tremendous. We are getting a
94% resolution rate as
compared to our usual 11-12%.
We are seeing tremendous ROI
servicing our customers on
social using these tools.
“ “
Krissy Espindola
Director, Knowledge Management
& Social Customer Support
Video

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SALES
DATA
WINNING
EXPERIENCE
SERVICE
DATA
ENTERPRISE
DATA
OPPORTUNITY
TO CASH
REQUEST TO
RESOLUTION
AWARENESS
TO LEAD
Today, acquiring
customers is not
enough.
PROSPECT CUSTOMER PROMOTER
SOCIAL
DATA
You must engage
them like
never before.
SOCIAL
DATA
MARKETING
DATA

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Engage customers like never before.
Turn insight into action to create exceptional experiences.
Drive operational excellence
Empower employees & partners
Deliver on your promises
EXPERIENCEINSIGHT
EXECUTION
Understand customers
Identify opportunities
Predict their needs & behavior
Interact with customers 1:1 in the
moment when it matters across
channels & touch points

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Remember my first slide?

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I also want that experience in the enterprise!

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EXTERNAL COLLABORATION
Collaborate with customers,
partners, suppliers
STRUCTURED COLLABORATION
Brainstorm, problem solve, make decisions with
business tools (ranking, pro/con tables, etc.)
BUSINESS PROCESS SOCIAL
Social in applications and processes,
i.e. social opportunity management,
social campaign management
ENTERPRISE
SOCIAL NETWORKING
Groups, feeds, discussions, etc.
*McKinsey Global Institute (2012)
5x More productive by
connecting more employees
directly to the work and
issues they can address*
4xBetter decisions by
increasing speed of access
to expert knowledge*
3xTriple growth by
directly engaging with
customers and partners*
2x Double the value
of better enterprise
communications*
SAP Jam – Engage your employees and your customers
SECURITY AND ADMINISTRATION
© 2013 SAP AG. All rights reserved.

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Real-time
data
Applications
Best
Actions
Template
ContentPeople
Problem-
solving
Discussion
Experience &
best practices
Full picture Repeatable Flexible
Supporting Your Collaborative Work Patterns
© 2013 SAP AG. All rights reserved.

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Email
campaign
Engage with the extended campaign team,
including marketing agency
Stay informed
Create a SAP Jam group
Collaborate in
SAP Jam
Send campaign
data to SAP Jam
Collaborative Campaign Management

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Drive Digital Transformation and making social scale
Understand what drives
the market, collaborate
with your peers and
efficiently leverage such
intelligence across your
whole business.
Identify needs, spot emerging
trends, get unbiased feedback on
products, and be the first one to
see tastes change.

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The nudge – encourage desired behavior with gamification
Guide employees
through the process
Link to Goal Plan
Peer-to-peer recognition
Collaborative goal creation,
alignment and tracking

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SAP Customer Engagement Solutions
Delivering Deep Insights, Great Experiences, and Flawless Execution
PREDICTIVE ANALYTICS
HANA AS A PLATFORM
INDUSTRIES
SALES SERVICE COMMERCEMARKETING SOCIAL
WEB SOCIAL
CHANNELS
POSCONTACT
CENTER
DIGITAL
GOODS
MOBILE INTERNET
OF THINGS
CONTENT
CENTER
MARKET
PLACE
EMAIL MARKETING
CHANNELS
COLLABORATION

35. CUSTOMER
EXPERIENCE LEADERS
OUT PERFORM THE
LAGGARDS
Over a recent five-year period during which the
S&P 500 was flat, a stock portfolio of customer
experience leaders grew 22%. During this time,
Forrester found that those companies who
performed poorest in the Customer Experience
Index also performed poorest in terms of stock
performance.
SOURCE: FORRESTER RESEARCH 2012
+22% - 46%

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…is this really how you still look at me as a customer?
Social can become the “R” we desired in CRM

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…be ready
http://www.forbes.com/sites/sap/2012/09/14/ch-ch-ch-ch-changes-are-you-ready-for-the-screenagers/

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Marketing is driving change & innovation
“By 2017 the CMO
will Spend More on
IT Than the CIO.”
“Social media spending
expected to be 18.8% of
marketing budgets in five
years.”
Source: Gartner; The CMO Survey.org
“Marketing analytics
spending expected to be
13.5% of marketing budgets
in three years.”

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Thank you!
Niclas Otte
Senior Director Social Software
SAP AG
niclas.otte@sap.com
@ottenic