is your customer's experience the best it can be? leverage … · 2020. 2. 24. · forrester...

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Srividya Sridharan, Research Director

Forrester

Vivian Braun, Worldwide Solutions

Marketing Executive, IBM

Is your customer's experience the best it can be? Leverage Analytics to grow customer life-time value

Leverage Analytics Across The

Customer Lifecycle

Srividya Sridharan, Research Director

March 18, 2015 @Srividya

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Agenda

› Key trends impacting retailers today

› The tantalizing promise of big data

› Apply customer analytics across the lifecycle

› Invest in maturing your customer analytics practice

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Agenda

› Key trends impacting retailers today

› The tantalizing promise of big data

› Apply customer analytics across the lifecycle

› Invest in maturing your customer analytics practice

Intelligence—not data—will

be the difference between

success and failure.

Customers are in the driver’s seat

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Source: October 10, 2013, “Competitive Strategy In The Age Of The Customer” Forrester report

Digitally-empowered customers are defining a new era in competition

A 20-year business cycle in which the

most successful enterprises will

reinvent themselves to systematically

understand and serve increasingly

powerful customers

Source: October 10, 2013, “Competitive Strategy In The Age Of The Customer” Forrester report

The age of the customer

A 20-year business cycle in which the most successful enterprises will

reinvent themselves to systematically understand and serve increasingly

powerful customers

The mobile mind shift

The expectation that any desired

information or service is available

on any appropriate device, in

context, at your moment of need

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Customer data ain‘t what it used to be.

Image Source: http://en.wikipedia.org/wiki/File:Google_Glass_detail.jpg

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Customers want to be recognized & rewarded.

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But beware the “cool-to-creepy continuum”

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The rules of customer engagement have changed.

Source: September 2011, “Personal Identity Management” Forrester report.

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Agenda

› Key trends impacting retailers today

› The tantalizing promise of big data

› Apply customer analytics across the lifecycle

› Invest in maturing your customer analytics practice

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Retailers and CPG brands have high expectations of big data.

Source: November 2014 “Big Data in CPG And Retail” Forrester report.

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But are slow in taking up big data initiatives.

Source: November 2014 “Big Data in CPG And Retail” Forrester report.

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Marketing is leading the charge.

Source: November 19, 2014, “Big Data In CPG And Retail” Forrester report

Source: November 2014 “Big Data in CPG And Retail” Forrester report.

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Source: November 2014 “Big Data in CPG And Retail” Forrester report.

Customer analytics is a dominant use case.

Source: November 19, 2014, “Big Data In CPG And Retail” Forrester report

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Agenda

› Key trends impacting retailers today

› The tantalizing promise of big data

› Apply customer analytics across the lifecycle

› Invest in maturing your customer analytics practice

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What is Customer Analytics?

Customer analytics uses customer data

and analytic insight to design customer-

focused programs that win, serve and

retain customers.

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Traditional analytics optimizes binary, one-dimensional customer behavior...

PURCHASE &

RESPONSE CONTEXT

Internal

Data

Source: March 2013 “The Future Of Customer Data Management”

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…and only partially serves the customer lifecycle with insights.

ENGAGE

ASK

USE BUY

EXPLORE

DISCOVER

Serve the entire customer lifecycle with diverse analytic solutions and insights.

› Understand relative adoption of analytic

methods.

› Align methods to applications.

› Map applications to lifecycle stages.

› Identify dependencies between methods.

1. Understand relative adoption of methods.

Source: February 2014 “TechRadar™: Customer Analytics Methods, Q1 2014”

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2. Align analytics methods to applications.

Source: February 2014 “TechRadar™: Customer Analytics Methods, Q1 2014”

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2. Align analytics methods to applications.

Source: February 2014 “TechRadar™: Customer Analytics Methods, Q1 2014”

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2. Align analytics methods to applications.

Source: February 2014 “TechRadar™: Customer Analytics Methods, Q1 2014”

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2. Align analytics methods to applications.

Source: February 2014 “TechRadar™: Customer Analytics Methods, Q1 2014”

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2. Align analytics methods to applications.

Source: February 2014 “TechRadar™: Customer Analytics Methods, Q1 2014”

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ENGAGE

ASK

USE BUY

EXPLORE

DISCOVER

3. Map applications to lifecycle stages.

Acquisition

Contextual marketing

Retention & loyalty

Personalization

Customer experience

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4. Identify dependencies between methods.

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Agenda

› Key trends impacting retailers today

› The tantalizing promise of big data

› Apply customer analytics across the lifecycle

› Invest in maturing your customer analytics practice

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Analytics maturity requires mastery in six dimensions.

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There is a long way to go for analytics sophistication.

Base: 170 customer analytics professionals

Source: Forrester/Burtchworks Global State Of Customer Analytics Survey 2014

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What do analytics leaders do differently? More data sources, more often More analytic methods

Broader insight application More real-time experience

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What makes these companies different?

They’ve evolved customer insight from a marketing tool

to a business planning tool.

They plan and use analytics across the customer

lifecycle.

They’ve moved beyond measuring marketing

effectiveness to measuring customer lifetime value.

Their approach to marketing and customer engagement

hinges on being contextually relevant.

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Key takeaways

› Break free of traditional notions of customer

data

› Leverage big data analytics in areas that impact

customer engagement

› Audit customer analytics needs across your

customer’s lifecycle

forrester.com

Thank you

Srividya Sridharan

+1 613.617.6393

ssridharan@forrester.com

@Srividya