Does Your Company Ever Grapple with how to answer the Following Questions related to the market you operate in and your customers?:
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What is the size of the potential pool of new customers and which are the best customers to acquire?
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Which customers are your most profitable and how do you get other customers to grow and become part of your top ( and most profitable) customer segment group?
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What is your current customer share of wallet (SOW) as compared to your competitors and what does driving small incremental increases in your customer SOW do to your overall revenue?
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What are the shifting attitudinal and behavior patterns of your customer market and how do you develop a strategy that ‘gets in front of’ these trends?
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What are the shifting customer demographics of your marketplace as well as the underlying shift in spending habits
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What are the changes in customer preferred marketing channels as well as trends that might impact customer loyalty strategy
Market Insights and Trends Drive Customer Strategy, Programs
The above charts illustrate why it is critically important to have clear and accurate insights into your new customer market potential/pool as well as the current customer base and their share of wallet.
The chart above (left side) details the trends for new customers by segment as compared to current customers.
The chart above (right side) illustrates which customers drive the current percentage of revenue in order to understand how customer priorities and strategy should be defined.
Critical Insights: Top Customer, Top Profitable Customers and Customer Share of Wallet vs. Competitors
Market Spend Insights Can Be Transformational in term of goal setting
The above graphic illustrates how share of wallet changes drive bottom line revenue as well as converting customers into more loyal top customers.
Customer Attitudinal Trends Insights Are Critical to Customer Strategy
Understanding your market & customer behavior insights is crucial to your company’s survival
The above graphic demonstrates a deep understanding in the shifting attitudinal and behavior patterns of the customer market
Customer Market Buying Power Insights are Crucial For Developing a Coherent Customer Strategy
The above chart illustrates a company capability to understand shifting demographics as well as the underlining shift in spending habits per demographic group
Understanding Key Customer Behavior & Preferences is a Customer Strategy Imperrative
The above chart illustrates a company capability to understand the changes in marketing channels as well as trends that might impact customer loyalty strategy
Customer Strategy: An Alignment of All Customer & Market Insights to Maximize Market Dominance & Profitability
Once Customer and Market Insights are fully embraced, an Effective Customer Strategy can be developed that includes optimizing market channel selection, as well as contact and loyalty strategy program components
Blog Summary: In order to achieve the above insights, your company must develop and deploy the following strategic capabilities and delivery programs:
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Market sizing & trend insights
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Customer revenue and profitability insights analysis
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Customer share of wallet and competitor spend insights delivery capability
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Market trend & consumer attitudinal and behavior change longitudinal analysis
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360° customer needs and preference cultivation that enables a personalized customer experience strategy and delivery (i.e. preference portal customer selection of preferred channels, content types, offer types, frequency of content delivery by content type.)
Below is a list of companies where I have helped develop these programs and are considered world-class in these practices:
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Johnson & Johnson
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Capital One
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Amazon
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American Express
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Kelloggs
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Filed under CRM, Customer Profitability, Marketing
Tagged with 1:1 marketing, active customers, ad-hoc marketing, affinity marketing, attitudinal data, available customers, baby boomer buying power, best customers, brand affinity, brand affinity programs, brand image, brand perception, cable advertising, changes in spending habits, competitive analysis, Competitive Intelligence, competitor share of wallet, consumer buying power, consumer communication channels, consumer isolation, consumer politics, Consumer trends, content delivery optimization, content management best practices, content management programs, CRM, current customer base, customer 1-to-1 strategies, customer age insights, customer analytics, customer attitudes, customer attitudinal shift, customer behavior, customer behavior patterns, customer behavior shift, customer behavior trends, customer brand identification, customer brand preferences, customer buying power, customer channel optimization, customer communication channels, customer data warehouse, Customer Deciles, customer demographics, customer disintermediation, customer goal setting, customer growth, customer information database, customer insights, customer insights driven decisions, customer longitudinal analysis, Customer Loyalty, customer loyalty programs, customer loyalty strategy, customer market potential, customer market sizing, customer market trends, customer needs, customer needs and preference cultivation, customer politics, customer pool, customer preference portal, customer preference settings, customer preference trends, customer preferences, customer preferred content, customer preferred marketing channels, customer priorities, Customer Profitability, customer profitability insights, Customer Relationship Management, customer revenue, customer revenue insights, customer segment growth, customer share of wallet, customer social media, customer spend segments, customer spending habit trends, customer spending habits, customer strategy, customer strategy components, customer strategy development, Customer Trends, customers drive GDP, demographic group changes, demographic groups, developing customer loyalty, direct marketing, driving customer loyalty, Hispanic buying power, keeping up with the Joneses, lapsed customer analysis, local print, localized events marketing, loyalty credit card, loyalty program best practices, loyalty programs, loyalty strategy components, luxury brands, market goal setting, market insights, market priorities, market sizing, market spend insights, market trend insights, market trends, marketing reach, marketplace trends, micro marketing, minority spending, most profitable customers, new customer acquisition, newspaper inserts, number of US households, opt-in preferences, opt-in strategy, pay gap, personalized customer relationships, personalized marketing, politics and brand image, politics influence on spending, public relations, public relations best practices, purchasing decisions, revenue vs. profitability, rewarding customer behavior, satellite marketing, seniors, shifting demographics, shotgun marketing, spending habits, spending vs. GDP, strategic customer decisions, top brands, top customer brands, top customers, top loyalty programs, tween buying power, wealthy consumers, wealthy customers, women’s pay gap, word of mouth marketing
Find out why most companies miss the mark in terms of focusing on generating positive customer emotions
Solutions to Problems AND Good Customer Emotions Need to Exist for Long-Term Loyalty
Good products and services are only part of the equation in terms of generating customer repeat business, loyalty, long-term retention
Some Customers Will Work to Destroy Your Business While Others Are Willing Partners in Helping You Grow, Be More Successful
Some customers will actually work to kill your company and brand(s), namely dissenters and defectors, while others will work tirelessly to bolster your sales, reputation, customer acquisition efforts, etc.
Guidelines for Generating Positive Customer Emotions and Relations
It is essential that all of your customer facing team members are representing the company and brand well, and that they adhere to your stated customer principles
Sample Steps to Developing an Environment Where Customers Are Motivated to Buy from Your Company
Your customer facing team members need to develop a customer interaction playbook that is consistent with your brand and customer mantra
Alignment of the customer delivery ‘value chain’ is Crucial
Every aspect of your customer delivery ‘value chain’ needs to be synchronized to deliver a highly consistent and high quality (emotional) experience as rated by your customers
A Chief Customer Officer’s (CCO) role is to Advocate for the Customer within the CxO suite
** Refer to previous blog article on the 5 R’s of customer loyalty – https://goo.gl/L4IA3q
If you rate customer satisfaction and loyalty as a high company priority, then they must be represented by a Chief Customer Officer (CCO) that will truly advocate for customers and set the customer standards that drive positive customer emotions
Summary: The following points summarize the content of this blog as follows:
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In order to develop customer loyalty you must have both great products and services as well as the ability to generate positive customer emotions (customer delight, feeling connected to the company)
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Segments of your customer base will work to destroy your attempt at market success while others are your partners in helping your company become even more successful.
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In order to drive positive customer emotions and convert your customers into advocates and super-advocates, you must develop an internal customer relations playbook (develop customer vision, code of customer interaction conduct, etc.)
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Every aspect of your customer delivery ‘value chain’ needs to be in-synch in order to deliver an end-to-end superb and fulfilling customer experience
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Every company should have the equivalent of a Chief Customer Officer (CCO) in order to set the customer vision and standards and be the ultimate advocate for all of your customers.
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Filed under CRM, Customer Profitability, customer service
Tagged with acquire competitor’s customers, acquire customers, angry customer, brand advocates, brand ambassadors, brand management best practices, brand reputation, buying environment, Chief Customer Officer, competitor’s customers, CRM, crying customers, customer advocate, customer advocates, customer anger, customer attrition, customer base, customer care agents, customer code of conduct, customer concern, customer defection, customer emotions, Customer executive, customer feedback, Customer focus groups, customer fulfillment, customer golden rule, customer good feelings, Customer Loyalty, customer management best practices, customer playbook, customer problem solving, customer ratings, customer relations, Customer Relationship Management, customer respect, customer service best practices, customer service call scripts, customer service nightmare stories, customer service pitfalls, customer service playbook, customer service representatives, customer strategy, customer tactics, customer vision statement, customer voting, delighted customers, expand customer base, glad customers, grow customers, happy customer, high quality customer service, indifferent customer, leading customer service programs, loyal employees, loyalty program best practices, loyalty programs, pissed off customers, Positive customer emotions, problem customers, scared customers, steal competitor’s customers, Steven Jeffes, top customer service programs, upset customers
