1、Ogilvy Interactive TeamCustomer Relationship Management (CRM)Vladimir M JordanovDecember 2nd, 2000Oglivy Interactive Boot-camp1Customers?Who are these guys?2What is CRM?In-depth analysis of customer behavior and attributes.Applying of the achieved knowledge in the formulation of marketing campaigns,

2、 strategies and treatment plans.More than just a set of technologies it is a process.3Why CRM?Company existence quest for profit.Three ways to increase the profitability of the customer baseAcquire more customersOptimize the value of the existing customersRetain the right customers longerAcquiring n

3、ew customer cost 5-10 times more that retaining the existing oneLoyal customers will will buy more and are willing to pay premium prices20/80 rule 20% of the customers generate 80% of the revenue4Why CRM? (continued)Service leaders enjoy the following advantage over their low-service competitors: Th

4、ey grow twice as fast.They experience a 6% annual growth vs. a 1% share loss (they take customers away from their competitors).They can charge 10% more from their products and still take customers away.They enjoy 12% vs. 1% average return on sales.Industry statistics show that 68% of customers walk

5、away because of poor customer service.5Evolution of CRMMass MarketingTarget MarketingCRM6Mass MarketingReplaced the intimacy of direct salesOne way communicationWide geographic distributionLost is the personal touch with the customerMass marketing was enabled trough the technological improvements in

6、 TV, radio, printed press7Target MarketingDirect mail, telemarketingReceiving customer responseLack of specific data, average response rateIslands of information8CRMNext evolutionary step, back to intimacyCustomer loyalty build on:Understanding of customers wants, needs and valuesInteractivity with

7、the customer in the way customer prefer9CRM CycleAssessWho are the customers demographics and lifestyle?Where do they live?What are they worth? What is their lifetime value potential?What and how do they buy?How can they be reached? How have they responded to promotions in the past and trough which

8、channels they prefer to be reached? PlanExecuteExecution and management of the marketing campaigns and customer treatment plans.Data gathering.10CRM Critical Success FactorsArchitectureData warehouseData structure and architecture 80% of the service costAnalysis, ProfilingCustomer InteractionSales f

9、orce automation system.Call centerThe Internet11CRM ComponentsTwo basic set of toolsData collection toolsAnalytical and data delivery toolsData warehouseData archeologyDepth and breadth of dataContact informationHousehold informationGroup informationCustomer historyPromotion historyProduct purchase/

10、usage historyTransaction rollupCustomer service historySurvey and customer response dataDemographic, psychographics, firmographic and/or credit dataCustomer interaction information12CRM Components (continued)Data extraction and cleansing Data management and storageScalability and open technologies13

11、CRM EnvironmentApplications, PlatformsVignette, Websphere, Broadvision etc Communication channelsTraditional direct marketing, Electronic direct marketing, call centerData mining, customer profile building Data warehousingOracle, SQL, DB2, Sybase etc Data analysis and profilingeSpective, Webtrends e

12、tc14CRM Building Blocks15Ogilvy and CRMFocused on CRM Electronic Data Marketing (EDM)M Oglivy16Ogilvy Interactive China and CRMDoes Ogilvy Interactive manage the relations with its clients?How?How can we improve?How our competition manage the relationship with its customers?17The Technology road ahe

13、ad 2001Technology strategy objectivesTechnology Strategic key focusKey technologies and skillsTraining PlanTechnology Laboratory Work with other companies and organizationsServices provided by the Technology group18ObjectivesTo be a technology center of excellence among the Interactive groups in the

14、 region and worldwide.To excel best practices and technologies in the region and worldwide.To be on the leading edge of the new technologies.To be innovative.Improve, improve, improve 19Technology Strategic key focusCurrently used technologiesContent Management SystemActive Server Pages and Web Appl

15、ications Development Light and Medium Backend Database Development Future technologiesMobileCRMASP ModelConsulting technologiesHeavy backend database development.Full scale transaction based e-commerce solutions.ERP and on-line supply chain management 20Key Technologies and skillsOperating Systems L

16、inux, Sun Solaris, Windows NT etc Platforms and Web Application Servers Zope, Domino, Netscape, Apache Database MS SQL, My SQL, Oracle, DB2Programming Perl, Python, C, Java, Java Script, HTML, DHTML, VBSTools & Utilities WebTrends, WebBenchTechnologies CMS, CRM, E-Commerce, One-To-One21Training Plan

17、 The training plan for 2001 will be developed in accordance of the Technology Strategic Key Focus 22Technology LaboratoryNew technologiesSkills improvementPet projects23Partnership with third partiesHeavy back-end database developmentCRM, ERP, E commerce Internship with leading Universities Partnership with leading technology companies (such as Motorola, Nokia, IBM etc.) Partnership with leading software companies (Vignette,