Winning

Winning & Retaining Clients, Part IITargeting Technologies

and Tapping Your Market

Dawn Marie Yankeelov

President, ASPectx

[email protected]

www.aspectx.com

Corporate CRMCorporate CRMSpending >$1 Spending >$1 Trillion (U.S.)Trillion (U.S.)

Corporate CRMCorporate CRMSpending >$1 Spending >$1 Trillion (U.S.)Trillion (U.S.)

ConsumerConsumerConsumerConsumer

The CRM Industry

•Data Management

•Fulfillment

•TV•Radio•Print

100,000 100,000 IndependentIndependentCRM Vendors CRM Vendors ($700 ($700

Billion)Billion)

100,000 100,000 IndependentIndependentCRM Vendors CRM Vendors ($700 ($700

Billion)Billion)•Advertising

•Direct Marketing

Call Centers:•Inbound•Outbound

I. Growth in CRM “Tech”•Tying All Avenues Together for Maximum Profitability

•Tracking All Interactions for Upsell

•Managing Projects and Personnel

•Speed to React

•Reporting Enhanced and Often Real Time

•Accountability Throughout Organization

What is a CRM tech tool?CRM ties together all of a company’s front office customer touchpoints:

•sales (contact management, product configuration),

•marketing (campaign management, telemarketing),

•and customer service (call center, field service)

Via multiple, interconnected delivery channels (telephony, email, Web, and direct interaction)

YOU ARE TRYING TO TRACK ENTIRE HISTORY OF RELATIONSHIP WITH YOUR CUSTOMER OR CLIENT

Defining CRM Tech Options“Small and mid-sized businesses would never have been candidates for enterprise applications in the past. Nobody seems to know what is going on and the customer often has more knowledge than the company. That is the Achilles’ heel of businesses today.”—Steve Papermaster, founder of Agillion.com

Trends to Watch:

--CRM for All Levels

--Small Business Use

--Web-based Application Proliferation

--ASP Models Appealing

from Small Businesses to Personal Sites

Buyer Dilemma• Lack of Industry Knowledge• 100,000+ Vendors• Product Complexity• Rapid Change in CRM Technology• Limited Project Management Resources

Seller Dilemma• Lack of Efficient Marketing Channels• Large Capital Investment in Technology• No Central Marketplace• Intense Competition

Industry ProblemInefficient Marketplace = Inefficient Marketplace =

High Search and Maintenance CostsHigh Search and Maintenance Costs

Inefficient Marketplace = Inefficient Marketplace = High Search and Maintenance CostsHigh Search and Maintenance Costs

April 9, 2023

Selecting CRM Tools

1. Identify and set clear business requirements

2. Institute a common planning process

3. Obtain Senior-Management Buy-In and Understanding

4. Pinpoint functional differences in culture and success measures and bridge the gaps

5. CRM is a Business Philosophy

Tribulations: The Barriers

• Changes in business processes slow IT delivery capability

• Unwillingness to change sales processes and incentives can stall acceptance of new systems

• The rate of technology change can be too quick for people to absorb it and adapt

CRM ShiftsCause: Relationship Management Becoming Critical

Effect: CRM to satisfy any appetite

Cause: No Time to Learn It or Teach It

Effect: Simplification in Web-based models

Cause: Demand for Analysis & Tracking Continues to Rise

Effect: Point ‘n Click Stats on Demand

Cause: Spending Getting Scrutiny of CEOs

Effect: ASP Models Stand a Chance to Deliver CRM

Eye-Openers

Spending on ASP services will grow to $7.7 billion in four years, from $30 million in 2000.

However, this is not new monies, just a reallocation of funds. Software vendors are expected to see revenues diminish.

---IDC Corporation Forecast, ASPNews.com, 8/17/2000

CRM, education and training—less than a third now using ASP model

---Zona Enterprise Usage Study, 2000

Metrics for Purchases Should Remain the Same

Research Includes:

1. A Look at Problem Found/Solution Provided

2. Depth of Company’s Products—Vaporware vs. Delivered

3. Technology Complexity in Use and Implementation

4. Financial Soundness of Product to Be Purchased—Will it Really Be Around in Two Years?

5. Product Specialization by Industry

Tap the Potential of eCRM—Web-based all the Way

1. Create Interactions—integrate all sales and marketing channels with back office financials

2. Operate at Internet Speed—real time data gathering, analysis and response is approaching as the standard

3. Analyze Data—turn massive amounts of data into insight to retain customers

4. Integrate customer information access across systems--Montgomery Research, Inc. 2000

Total Cost of OwnershipServer Hardware & Software• Server w/disks, RAID Fault Tolerance, Memory

• Backup software

• Basic Server Installation & Integration

• Configuration of Server in Hours

• Service Agreement on Hardware

• Service Agreement on Network System

Total Cost of OwnershipServer Installation & Maintenance•Upgrades in a three-year period

•Man hours for upgrades

•Migration of platform issues

•Upgrades to Network Operating System

•Server Troubleshooting

•Emergency Service—Actual Hours

•Consultant Assistance (one day every fourth week)

•Assistance w/ maintenance

Total Cost of OwnershipEnd User Install & Maintenance•Upgrading old PCs

User Administration•Hidden downtime & Support Costs

•Courses and Internal Training

Software Licensing

Security & Telecommunications

Employee Infrastructure

CRM Mainstream Migration

•Contact Mgmt.

--most offline

80s

90s

2000

2002

•Personalization—using web

•Customer Relationship Mgmt.—expensive, non-integrated software

•Database Tracking of Entries

•Call Centers (most not Internet-friendly)

•Sales Automation

•Marketing Automation

•Web-based

•Conferencing/Telephony

•Analytics

•Relationship Mgmt. In ASP format

•Synchronous Customer Management (multi-channel managed via web or wireless device)

CRM Marketers Break with Tradition

•Major Players Reinventing Product Line to Serve Lowend

•Web-based Solutions for all Industries

•New Technology Platforms Breed New CRM methods—I.e. Release of Windows 2000 platform

•Free Is the “Winner to Take All” Plays

•Geography is Meaningful in Seizing Market Share and VC Dollars—Look in Your Backyard for Answers

•ERPs Migrating to ASPs That Can Go Live Within Days

Integration Outside The Product Class

Example: Siebel Mid-Edition (first shipped July 19, 2000) and Great Plains Partner Status Costs: $2500 to $3500/user, Service: Implementation, 3x

Features Include:

Customer Applications including ecommerce functions, 24/7 self-service, and online marketing info;

Employee Applications including features for front-office employees;

and Partner Applications for partner organizations (i.e. sales channels)

Free Evaluation Guides available on crmguru.com; ismguide.com

Moderate-Cost Entries

• Example: Worldtrak.com– Works with Microsoft Outlook– Account Opportunity Mgmt.– Enterprise Forecasting– Activity Tracking– Enterprise Lead Mgmt.– Enterprise Data Synchronization & Remote Access– Cost: Licensing from $750/seat to $1500/seat (10);

Service: Implementation, training 1.5x– ASP $500 setup; $50 a month per user

New Low-Cost Web EntriesProduct:

Agillion.com

Low-cost Web-based CRM with messaging functions. Product The company is aimed at small businesses

Product Offerings Personal Pages—password-protected websites

Shared Contacts—Customer Interaction Database that allows users one secure, central place to store and access customer information and activity

Monthly Fee Activities and Notes—Permanent searchability on customer activity

Group Calendar—Review and update daily, weekly or monthly on the web schedules

E-business Dashboard—Free personal homepage. Keeps tabs on customers, includes personal organizer and headlines

Tasks and Email—Tracks Tasks and Personalized Email Acct.

New Low Cost Web-Entries

New Low-Cost Web Entries

The Hotcakes of the Category•Salesforce.com

•More than 1,200 paying companies in its two-year history

•Users are provided with information on their accounts from Hoover’s, an online business information provider

•Sales opportunities can be forecast, based on assigned probability of closing and all reports can be exported to Excel

•Five users free for one year, with each additional user at $50

•Upshot.com

•Free for 1st three months to companies with fewer than 100 users for companies of 100 to 1,000 users; $7500 implementation fee within 15 days if you provide a dedicated support person to assist for data cleanup

•Includes unique mapping feature and simple workflow routing

•Bull’s eye graphics

The CRM Player Bringing Home the Bacon

•Sales.Oracle.com and its new sister, Support.Oracle.com (call tracking and customer support)

•Introduced in August 2000—now has more than 20,000 companies signed up

•Targets companies with 50 to 500 salespeople

•Oracle supports import and export of information, including comma-separated value files (CSV)

•Offers opportunity tracking, customer and prospect management, contact management, calendar and activity management and a forecasting module as one of the fee-based upgrades

•Basic service is free and comes to those purchasing an Oracle Applications license

Verticals: SoftWatch.com

II. Wireless and working

•Existing Software to Handheld Devices and Smart Phones

•Options Abound

•“Out of the Box” solutions from Palm and Pocket PC integration

•Pricepoints now dropping and security issues being resolved

•Focus on specialized applications for inventory control, fleet management, notifications of top tier customer service issues, real-time public relations, sales force automation

CRM “Hot Spots”

Source: The Yankee Group, Wireless CRM, 2000.

“The U.S. mobile and remote-worker population will grow 41% from 39 million in 2000 to 55 million in 2004. Field sales professionals comprise the largest percentage of this remote-worker population.”

CRM Ramping UpEstimate of Corporate Applications Designed for PCs and Internet Devices.

Source: Morgan Stanley Dean Witter Equity Research. IDC, and Yankee Group, 2000 studies.

“Fast ramp” window

CRM Plays

• CRM applications for wireless devices in:

– Customer service and support– Help desk– Sales force automation– Field services– Marketing automation

• Palm’s initiative in this area pivots on:

– Anywhere access to customer information– Capture customer information and upload to enterprise

system– Increase the “touch” factor with customers

Palm: Success Stories

Source: Palm, December 2000

Palm: Present CRM Partners

Source: Palm, December 2000

Palm: CRM• Interact Commerce Corporation

– Saleslogix – Wireless access to CRM applications from Siebel,

PeopleSoft, and other vendors• Front Range Solutions

– Goldmine Everywhere – Real-time, wireless access to calendars and

contacts• Peregrine Systems

– Customer ticket system for service and support– Peregrine will port its infrastructure management

tools to Palm

Source: Palm, December 2000

III. Public Relations Tactics

• Low-Tech Still Works, High Tech Available• Principles of Manage Contacts, Send, and

Followthrough Tied to Trade Shows, Events, Company Milestones

• Build “Expert” Status• Establish Credibility for New Products and

Services• Lead in the Industry by Striking First to the

Multitudes• Target Messaging via Trades

Integrating Your Vision

• Establish Media Contacts via Third Party, Internal Contact, and/or Senior Mgmt. Availability

• Capitalize on Speaking Engagements, New Customers, Case Studies, “How-To” Stories, New Hires, Trade Show Presence

Media Relations Targets

• Websites in Your Trade

• Business Journals

• National Business Publications

• Local Media outlets—including TV, radio news who now have websites

• Highly targeted Trade publications

• Product or Service publications

ROI Considerations

• One article can reach 60,000 depending on circulation of publication or audience of other media

• Monthly positioning keeps company on the mind of reporters and ultimately customers in coverage

• Advertising does not buy credibility

Traditional Methods

• Consultants plus Newswires and Clipping Services

• Examples:– PR Newswire

• Now offers clickthrough tracking, archiving of logos and articles, multimedia feeds

– Business Wire

Vocus.com

PR Newswire Ordering

Do It Yourself Tactics

• Events Marketing Tools– Yahoo– Cvent.com– Acteva: The Marketplace for Activities– Search Engines Entry

III. eMarketing

• Web-based interactions maximizing email, tracking, and followthrough

• Two-way communication

• Real-time Knowhow

• Time to React to Marketplace Decisions

• Constant Presence to Clientele

04/09/23

Hunt and Kill the Targets• Five market identification strategies:

– Geographic. Physical location of your publics– Demographic. Attributes such as age and sex– Psychographic. Lifestyle dimensions such as

hobbies and interests– Usage Rate. A small percentage of the

population account for a large percentage of sales– Benefits. Certain users want to achieve particular

benefits. Ex. Airline tickets– Strategic Internet Marketing, Tom Vassos

04/09/23

Marketing in A Box• Enterprise Marketing Automation Defined

– Software that automates marketing campaign tasks, stores the intelligence in a database that can be shared across the enterprise, and follows up with potential customers by marketing only relevant services or products

– Customers choose how they want to be contacted: direct mail, telephone, fax, email or URL

04/09/23

Marketing in a Box

• Web Marketing Campaign Path– 1. Sends email to potential customers

driving them to contest on website– 2. Users may answer questions via forms,

which generates customer lead

04/09/23

Marketing in a Box

• Web Marketing Campaign Path– 3. Software then evaluates the profile and

automatically sends out another email– 4. Email contains tailored information

about a product or service– 5. Each move is then recorded in his or

her profile, and no inquiry goes unnoticed

Marketing in a Box

• Web Marketing Campaign Path– 6. A Complete Reporting Tool runs

comprehensive analyses that track investments up to the point of customer retention

Companies in Enterprise Marketing Automation

• MarketFirst Software– Product: MarketFirst &Onyx--Solutions

Blueprints, preconfigured, marketing modules

• ExploreCommerce Software– Multimedia Emails with customer response

tracked – ASP format

ExploreCommerce.com

Market First & Onyx

IV. New Tools and Tactics

• Building on-the-fly virtual communities—TransDigital Solutions– Voting, Discussion Threads, Calendars

• Voice Portals via Web—Appriss– Alerts for Certain Actions

• Location-based Commerce on Handhelds– Vindigo, Informationinplace.com

WrapUp

• Marketing Mix to Win and Retain Clients• Integrate Across Divisions with

Technologies—Sales + Marketing + Accounting + Inventory Control + ?

• Match Low-Tech or High-Tech Choices to Company Efficiencies and Growth

• Target Market Always; Continually Evaluate Your Niches

Aspectx

Competitive Intelligence *Marketing *Public Relations*Business Planning *Event Marketing

*Web ConsultingFor more information contact:

Dawn Marie Yankeelov, PresidentAspectx

(w) 502-254-9757(c) 502-548-1304(f) 502-254-9793

[email protected]