epson’s journey towards data-driven customer centricity
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Epson’s Journey Towards Data-Driven Customer Centricity
Chris Nickel, Epson AmericaGraham Gunst, Acxiom
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State of the Industry
THINGS HAVE CHANGED BEFORE OUR EYES
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The Traditional Buying Model Is Dead
1898 – 2005ish
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Opinions Run High on the New Model
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Regardless…Marketing’s Role Must Evolve
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Broadcast Direct Mail Store Internet Call Center
Become Aware
Consider
Transact
Service
More than 75% of consumers today use more than one channel to make a purchase decisionSource: Unica
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StoreCall Center
DirectMailMobile
Device
Website
WebAds
SearchEngine
CHANNELS AND CUSTOMERS ACT AND FEEL DISJOINTED
Brand Disharmony
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Measurement Cross-Channel Exposure
Omni-Channel Sales
Test / Control Intensive
Cross-Channel
DataPurchase History
DemographicsInterest & Intent
Propensity
Targeting Individual-Level
Customers Demand Precise Ads Individualized to them
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More Often Than Not the Data Isn’t Centralized
But Not at EpsonAbiliTec® ID: d232ad8saePerson: Max BernsteinPortrait: 20 (Millennial)Personicx®: Collegiate Crowd Propensity: MobileProduct: Web ID: 923746
AbiliTec ID: d694cd2csbPerson: Angela MartinsPortrait: 37 (Gen-X)Personicx: Surf’in Sophisticates Propensity: DisplayProduct: Web ID: 438636
AbiliTec ID: d496cf3aefPerson: Allison WilliamsPortrait: 42Personicx: Click-to-BuyPropensity: DisplayProduct: Web ID: 14115
AbiliTec ID: d334dk6becPerson: Joel MadisonPortrait: 42Personicx: Big Country, Big StorePropensity: Direct MailProduct: Web ID: 748613
AbiliTec ID: d272eq3abfPerson: Becky ZugPortrait: 51Personicx: City SearchersPropensity: SocialProduct: Web ID: 10835
AbiliTec ID: d945cf3ynmPerson: Adam LiebermanPortrait: 42Personicx: Real-time RuralsPropensity: PhoneProduct: Promo Code: LUV
AbiliTec ID: d782cb2cbiPerson: Benjamin BittmanPortrait: 33Personicx: eCom FamiliesPropensity: SearchProduct: Campaign ID: 231
AbiliTec ID: d678de2mxaPerson: Joan SweeneyPortrait: 42Personicx: Non-Tech CountryPropensity: StoreProduct: Web ID: 826475
AbiliTec ID: d561ac8byuPerson: Joyce CommerfordPortrait: 78Personicx: No-surf SeniorsPropensity: PhoneProduct: Web ID: 63268
AbiliTec ID: d678de2mxaPerson: Alyssa NortonPortrait: 42Personicx: Funding the FamilyPropensity: StoreProduct: Web ID: 846883
PUT THE CUSTOMER AT THE CENTER OF ALL DECISIONS10
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Epson’s CDW Enables a Single Customer View
What is the Customer Data Warehouse (CDW)?• A state of the art Customer Database that
provides an enhanced, singular view into Epson customers
– Golden Record
Why did we need a CDW?• Replacing an unstable legacy system• Decentralized customer view hinders
strategic marketing approach• Linking of data “Islands” in an effort to
get a full view of a customer• Additional insight / analytics on areas /
customers (i.e., Pro Imaging)
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The Goal: “One Epson”
A single view of the customer.A consistent customer experience across channels.
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Project Overview
• Database design architecture focused on flexibility and scalability
• Enhanced matching for better customer aggregation and analytics
• Normalized data to increase flexibility and ease of application of data to Epson’s business needs
• Significantly reduced the complexity of SQL inquires • Data marts will allow for rapidly gained insights• Leverages the expertise within Epson and Acxiom while
reducing need for Acxiom technical support resources• Deep discounts on demographic and lifestyle data appends
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Step One: Define Epson’s ‘Right’ Customer and Prospect
Epson Before: 15 Different Silos of Data across the Organization
• Many views of a customer• Could not act on data• Low response rates and
duplicate mailings• Weeks to pull together data
needed for a campaign• Impossible to measure
results across channels• Unstable legacy ePiphany
system
CustomerSupport
Product Reviews
Canada
Leads
ProductRegistrations
Warranty
Partners
Contact Mgmt.
ESP
Estore(Epson)
Support Downloads
Usage Data
Ad Hoc
Rebates
Online Behavior
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Data Complexity
SIMPLIFYING COMPLEX, DISPARATE DATA SOURCES THROUGH AGGREGATION
The Journey to “One Epson” Begins with the CDW
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DISCOVERHow will the customer
become aware of a product?
AdvertisingEmail Marketing
Search EngineIndustry PublicationsP.R. / Word of Mouth
ENTICE / ENLIGHTENWhat will help the customer
best understand what the product has to offer?
What will make the customer want to learn more?
Marketing / WebDemos / Tutorials
Product InformationPersonalized Workspace
ACTIONWhat do we ultimately want
the customer to do?
Register as Epson CustomerCommunity Participation
Purchase Product Increase Product Usage
RELATIONSHIP & RETENTION
What will help maintain an ongoing dialog between the
customer and Epson?What levels of service will the
customer consistently feel comfortable with?
Get Expert AdviceSupport
Receive Newsletters Loyalty Programs
Research
Find Product
Preview Product
PurchaseSet Up Product
Use Product
Get Support
Give Feedback
CUSTOMER TOUCH POINTS
Solid Customer Data – Key Benefits
Get to Know your Customer• Their Behaviors• Their Likes• When they like it• How often to want it• What “triggers” work• Keeps them coming back
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Cust
omer
Cal
l Cen
ter
Driv
ers
& W
arra
nty
Pre
Sale
s Eff
orts
Emai
ls /
New
slett
ers
Adve
rtisi
ng /
P.R
.
Mar
ketin
g Co
nten
t
Mar
ketin
g Pr
omoti
ons
eMar
ketin
g Ca
mpa
igns
Reta
il St
ores
/
Web
site
s
Epso
n St
ore
Customer Touch Points
Research / Shopping Buying Using
ProductGetting
HelpCustomer Activities
Marcom Product Mgt.eBusinessSales ServiceEpson
Department
Customer Experience
CRM – Key BenefitsConsistent end customer experience support brand position
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Data Elements
MORE CUSTOMER INSIGHTS THROUGH DATA ENHANCEMENT
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Step Two (A): Determine Best Message and/or Offer to
Best Audience
AbiliTec ID: d232ad8saePerson: Max BernsteinPortrait: 20 (Millennial)Personicx: Collegiate Crowd Propensity: MobileProduct: Web ID: 923746
AbiliTec ID: d694cd2csbPerson: Angela MartinsPortrait: 37 (Gen-X)Personicx: Surf’in Sophisticates Propensity: DisplayProduct: Web ID: 438636
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Step Two (B): Determine Who Not to Target
AbiliTec ID: d561ac8byuPerson: Joyce CommerfordPortrait: 78Personicx: No-surf SeniorsPropensity: PhoneProduct: Web ID: 63268
AbiliTec ID: d272eq3abfPerson: Becky ZugPortrait: 51Personicx: City SearchersPropensity: SocialProduct: Web ID: 10835
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Marketing – Email
• Data is used to:– Analyze customers
• Buying behaviors• Needs• Interests
– Automate / trigger emails
Browse - Printer
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Step Three: Initiate Lead Generation and Repeat
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Marketing – AdvertisingData can be mined for: Geo targeting | Behavior targeting | Lifestyle targeting
Higher Ed
Prepress – Proofing
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Step Four: Measure and Optimize
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ResultsData Consolidation• In just 90 days, the company eliminated duplicates and reduced the size of its database by
60%
Faster Time to Market• Marketing teams can sort and segment the database instantly – so campaigns go out
weeks sooner• Marketing reduced the time to prepare queries for campaigns from days or weeks to less
than an hour
Higher Response Rates• More relevant offers and communications drive up response rates• With targeting, Epson increased email CTO in one vertical by 100% and RPE by 800%
Reduced Campaign Costs• Significantly cut the cost of its marketing and eliminated double mailings to customers
Revenue Up• Across all campaigns, revenue per email is well above plan, exceeding more than 62% year
over year
ResultsIncreased Team Productivity • The company’s database specialist doubled her productivity
Better Customer Experience• Fewer mailings• No duplicate mailings• More relevant mailings• Communicating different with consumer vs. business customers
Testing• Continually testing creative, messaging, segmentation, etc.
Analyzing• Studying the results of each campaign, each test, each tweak
Tweaking• Across all campaigns, revenue per email is well above plan, exceeding more than 62%
year over year
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Obstacles
• Legacy system• Cost concerns• Resource concerns• Expertise concerns• Offsite data warehousing
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Lessons Learned
• Make sure Exec Team is on board– Get an executive sponsor– Shop the idea around– Get budget approval
• Partner with someone who can mesh well with your in-house team and other third-party providers
• Allocate appropriate time for– Discovery – this was KEY in an effective – Build a common vision– SYNC all teams, IS, Marketing, third-party providers
• Designed for scalability and flexibility• Allocate time and some budget for continued tweaking
– Will find “stuff” you want done to improve even more – I promise you!
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