Evolving Consumer Expections

October 13th 2010

EVOLVING CONSUMER EXPECTATIONS

Hayden SaundersHayden delivers solutions that help

marketers to better understand customers and their cross-channel

decisions.

Jane FinchJane is responsible for helping Epsilon’s

clients in EMEA to implement and optimise their multi-channel solutions.

Senior Project Manager, EMEASolutions Consultancy Director, EMEA

• Changes in consumer expectations

•What that means for marketing and marketeers

•Some practical examples that show how we can embrace that change

What We Will Cover Today

Consumers have taken control, and we see it every day in their expectations and behaviours

•Unprecedented choice How and when they communicate with

brands and each other Obtain information Make decisions, shop and buy

•Accelerated pace of interactions Digital interactions enable consumer

voices to be heard and amplified across channels in minutes

Consumer Empowerment

Marketing has changed more in the last 5 years than the previous 50

•Impact of media proliferation•Science versus art•Seamless consumer movement between channels•Consequences of time compression on marketing

Marketing Complexity

The choices are

Marketers at a Crossroads

Or…

Become paralyzed by the complexity and

apparent loss of control

1

Embrace this shifting marketplace with

new ways to listen, learn and influence

consumer behaviour

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You Have to Be ListeningYou Have to Be Listening

You Have to Be Channel AwareYou Have to Be Channel Aware

You Have to Have a Message ReadyYou Have to Have a Message Ready

You Have to Be IntegratedYou Have to Be Integrated

You Have to Have a Multi-Channel PlanYou Have to Have a Multi-Channel Plan

You Have to Have MemoryYou Have to Have Memory

You Need to Understand the Influencer NetworkYou Need to Understand the Influencer Network

You Need to Link all the Interactions by ConsumerYou Need to Link all the Interactions by Consumer

Marketers must adopt new ways to …

A New Way Forward

We call it Customer Experience Marketing

Engage Consumers Differentiate Brands Earn Long-Term Preference

• Welcomes customer participation into experience design

• Facilitates engaging conversations across channels

• Evolves conversations into win-win relationships

• Inspires consumer involvement and action

• Leads to loyalty, giving brands a true competitive advantage

• Stops disrupting what people are interested in and becomes what they’re interested in

Tenets of Customer Experience Marketing

TARGET

Experience Maps | Year 2000 Example

TOUCHPOINTS

SHOP

CUSTOMER CALL CENTRE

EMAILS / NEWSLETTERS

DIRECT MAIL

SMS / TEXT

PRINT ADS & OUTDOOR ADS

BROADCASTS: TV & RADIO

WEBSITE

Jennifer Thompson• Age 34• Married mother of 3• Lives in Basingstoke, Hants• Household income £85,000• Magazine subscriber to:

o Homeo Health & fitness

• Catalogue buyer

ENGAGE

4

On her way back from the supermarket, Jennifer notices an ABC shop, and decides to look at their summer dresses. Jennifer buys a dress.

At the till, Jennifer signs up to receive the ABC Fashion mail order catalogue.

ONLINE BANNERS / SEARCH

BOND

5

Jennifer receives ABC Fashion’s catalogue in the post. While drinking coffee with a friend at home, they leaf through the catalogue and post an order for several accessories to go with her new dress.

CONNECT

1 2

3

Jennifer receives her favourite health and fitness magazine in the post and while reading sees a full page ad for ABC Fashion.

Later, she sees a billboard promoting ABC Fashion on her drive home. That evening, while watching TV she sees an advert promoting ABC’s new summer collection.

TARGET

Experience Maps | 2010 Example

TOUCHPOINTS

SHOP

CUSTOMER CALL CENTRE

EMAILS / NEWSLETTERS

DIRECT MAIL

SMS / TEXT

PRINT ADS & OUTDOOR ADS

BROADCASTS: TV & RADIO

WEBSITE

Jennifer Thompson• Age 34• Married mother of 3• Lives in Basingstoke, Hants• Household income £85,000• Magazine subscriber to:

o Homeo Health & fitness

• Catalogue buyer

ONLINE BANNERS / SEARCH / SM

CONNECT

1 2

3

While checking her email online, Jennifer noticed a banner ad for ABC Fashion. She’d heard of the shop as her friend talked about it on Facebook.

From the ad, she clicked through to the shop’s website where she saw a dress she liked. She decided to sign up to special offers by email and SMS.

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ENGAGE

6

Minutes later Jennifer received a welcome email from ABC Fashion, which included a 10% limited time discount on their summer collection.

Going to the website, she added the dress in the shopping cart but had second thoughts. The next day, a reminder email arrived. A week later a postcard arrived with the same offer and deadline. She went back to the website and completed the order.

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910

BOND

Following the delivery of the dress, Jennifer received an email suggesting accessories to match. Going into the high street store to look, she decided to buy them. The next week she received a reward voucher in the post.

Via one of ABC’s weekly emails she puts an ABC shop link on her Facebook page, as she will earn credits for each friend who signs up to their emails.

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SUPPORTING TECHNOLOGY

Thorntons – Measuring Digital Attention

Thorntons – Fast, Automated Eye Tracking

Consumers & Data Email history Demographics Preferences

Promotion History Redemptions Multi-Channel Interactions

Social comments Survey Response

Consumer Marketing Data Model

Consumer Data MartsConsumer Data Marts

Consumer Marketing

Warehouse

Consumer Marketing

Warehouse

Consumer Data Integration (CDI) Process

Data Audit / Exception ReportingData Audit / Exception Reporting

Name & Address Standardisation HygieneName & Address Standardisation Hygiene Segmentation EngineSegmentation Engine

Consumer Matching / HouseholdingConsumer Matching / HouseholdingReferential

DataReferential

Data

Strategic & Analytic ConsultingCustomer StrategyCustomer Strategy

CRM PlanningCRM Planning

Modeling & AnalyticsModeling & Analytics

Full Service Agency & Fulfillment

Strategy & CreativeStrategy & Creative

Account ServiceAccount Service

Print ProductionPrint Production

Centralised Consumer Marketing Solution

Social Media

IVR / Call

Center

Reply Card

CouponRedemptio

n

$Brand

Websites

EmailMobile

Consumer Touchpoints & Marketing Channels

Data Interfaces

Data cleansing, and common key assignation

Batch ProcessingBatch Processing

Real-Time Real-Time

Real-time content serving

Marketing Applications & Integrated Channel Execution

Client / BrandSolution Portal

Standard / Ad-hocReporting

Analytics / Modeling

Environment

Loyalty Solutions

Advanced Campaign Management

Open Database Access

WRAP-UP

• Consumer empowerment

• Marketing complexity

•Data potential

•Understand and facilitate the customer experience

•Higher conversion, higher loyalty

Wrap Up

Customer Experience Marketing

Q&A