Predicting Routes to Revenue

Identifying Real-Time Decisions for Business-Driving Engagement

In partnership with:

Overview

In 2007, the CMO Council embarked on a study to track how senior marketers were embracing the customer in real-time, personalized engagements—were we realizing the goal of “right message, right time, right channel” in our communications? At that time, 47 percent of marketing respondents felt they did not have a full view into the profitability of a customer, including access to customer lifetime value insights. Some 60 percent indicated that they planned on looking at personalization as a key route to maximizing customer revenue, and when asked what could hold back their plans, the majority indicated they did not have the analytics, insights or predictive technologies needed to effectively leverage data to personalize experiences.

Eight years later, many marketers feel they are in the same position, struggling to optimize the customer journey using real-time insights and intelligence that enable them to craft robust customer experiences where revenue (and not engagement metrics, like clicks or views) is the goal.

While marketers are still looking to power experiences with personalization and relevance, customers are in a very different space than in 2007. The expectations for service—from self-service to always-available personal or face-to-face service—continue to increase rapidly as customers are not willing to wait for answers or resolutions to issues. Our customers are also being offered new and often more compelling options from new contenders and disruptors…and even worse, despite years of loyalty building, customers are even more willing to leave the brand fold in favor of experiences and service options that can overshadow pricing and promotions. Customers are not just wanting to be known and heard; they are demanding it.

So how are leading marketers predicting where and how customers will react along their engagement journeys? Are there new, harder and more pointed questions that marketers must ask of their own customer experience strategies to better shift to the expectations of the customer? Are we too focused on campaign success while ignoring customer success? How do we know if the customer experience we have developed is actually aligning with the customer’s mindset, behavior and expectations? Have we really thought about the customer first?

To address some of these issues and better understand how real-time marketing decisions are directly impacting customer engagement in this age of “un-marketing,” the CMO Council, in partnership with Pegasystems, presented a strategic overview of how marketers are feeding the always-on marketing brain. Gone are the strategies that simply look to maximize campaign engagements as they are being replaced by customer journeys that traverse acquisition, retention and advocacy to maximize customer lifetime value.

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Facts & Stats

When asked about overall coupon usage, 92% of respondents reported using coupons in the past year for purchases.

Source: PRRI

62 percent of Americans say they print online coupons.

Source: PRRI

56 percent of consumers report visiting a brick-and-mortar store after receiving a deal or offer on their mobile device when they were near the store.

Source: PRRI

72 percent of older (55+) shoppers report they would do more shopping online if it was easier to use their coupons there.

Source: PRRI

Gartner predicts that cloud-based deployments will reach 50% of all CRM deployments by 2016 – Forbes

44% of customers have higher customer service expectations than they had a year ago –Parature

63% of surveyed customers switched service providers due to poor customer service –Business2Community

A report done by Teradata showed that 62% of respondents rank improving customer satisfaction paramount in the decision to invest more in technology – Direct Marketing

Three out of five leading performers were able to provide better support for users, regardless of their location, by using cloud-based services – Business2Community

By 2020, customer experience is expected to surpass product and pricing as the key differentiator for businesses – Forbes

38% of companies are primarily focused on retaining repeat customers for revenue growth, while nearly half (49%) are focused on gaining new customers – Forbes

Poor customer experiences can lead to deflated revenue and loyalty – Direct Marketing

Customers now expect omnichannel integration – Forbes

U.S. brands are losing approximately $41 billion each year due to poor customer service – Parature

2015 digital marketing budgets will increase in mobile, content, and display advertisingDigital Marketing

Read

Studies & White Papers

5 Key Digital Initiatives To Optimize Customer Lifetime Value – Dimelo

Articles

October 2014 – Customer Identity In The Digital AgeDirect Marketing

November 2014 – How To Justify Any CRM InvestmentForbes

March 2015 – Brand And Customer Experience Are Inextricably LinkedDirect Marketing

March 2015 – 7 Reasons Why You Should Invest In CRM Software NowBusiness2Community

May 2015 -- Customer Experience Failures Balloon Into Bigger ProblemsDirect Marketing

May 2015 -- CRM Software Sales Grow 13 Percent to $23 Billion WorldwideDirect Marketing

June 2015 – 3 Fundamentals Of Better Customer ExperiencesEntrepreneur

June 2015 – Mobile Marketing For Customer Relationship Management Business2Community

July 2015 – Your Customers Are The Customer Service ExpertsForbes

August 2015 – How To Create A Personal Digital ExperienceiMediaConnection 

 

Blogs

Books

Program Themes

  • CX Mapping
  • CX Strategy
  • Big Data
  • Customer Insights