email marketing with sap crm

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PROPRIETARY AND CONFIDENTIAL Email Marketing with SAP CRM: Achieving Relevance, Deliverability and Scale May 12, 2010 #SAPemail

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Marketers turn to CRM systems to manage large volume, complex data sets and take advantage of the rich data at their disposal to drive relevant marketing programs. CRM systems are great for managing customer data, campaign automation flow and tracking interactions with customers, but are they ideal for delivering high-volume email marketing campaigns? Hear Forrester CRM Analyst Suresh Vittal present an in-depth look at the changing world of CRM, the need for sophisticated campaign execution functionality, and how marketers can now seamlessly leverage the data in SAP CRM with a best-in-class email marketing system. Learn how your marketing team can benefit from bi-directional data integration, improving email marketing campaign performance while saving a significant amount of time and resources. Key things you will learn: • How email is changing the world of CRM. • The power of integrating best-in-class email marketing with CRM to strengthen customer relationships and drive revenue. • Strategies for leveraging your CRM data in email campaigns. • How to send millions of dynamic emails reliably and effectively. • How you can achieve email deliverability above 95%.

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Page 1: Email Marketing with SAP CRM

PROPRIETARY AND CONFIDENTIAL

Email Marketing with SAP CRM:Achieving Relevance, Deliverability and Scale

May 12, 2010

#SAPemail

Page 2: Email Marketing with SAP CRM

Proprietary and Confidential | 2

Agenda

• Introduction• Cross Channel Campaign Management Trends

- Suresh Vittal, Forrester Research• The Power of CRM + Email: StrongMail & SAPCRM• Recent Innovations• How to Achieve:

• Scale• Relevance• Integration• Delivery

#SAPemail

Page 3: Email Marketing with SAP CRM

Who is StrongMail?

• Leading provider of online marketing solutions for email and social media.

• We enable our clients to boost the effectiveness of their marketing campaigns, while saving a significant amount of money.

• Our products and services provide an end-to-end solution for some of the world’s biggest brands.

Over 500 Customers

Page 4: Email Marketing with SAP CRM

Cross-Channel Campaign Management TrendsSuresh VittalPrincipal AnalystForrester Research

May 12, 2010

#SAPemail

Page 5: Email Marketing with SAP CRM

5Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Cross-channel campaign management (CCCM) is evolving but

still poses several challenges for vendors

and marketers.

#SAPemail

Page 6: Email Marketing with SAP CRM

6Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Agenda

• How are CCCM solutions being used today?

• What do marketers want from a CCCM vendor?

• Where is CCCM headed?

#SAPemail

Page 7: Email Marketing with SAP CRM

7Entire contents © 2010  Forrester Research, Inc. All rights reserved.

CCCM solutions integrate inbound and outbound marketing programs

Source: April 2009 “Campaign Management Needs A Reboot”

#SAPemail

Page 8: Email Marketing with SAP CRM

8Entire contents © 2010  Forrester Research, Inc. All rights reserved.

They serve varying database sizes and messaging volumes #SAPemail

Page 9: Email Marketing with SAP CRM

9Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Marketers continue to struggle with cross-channel programs• The economy is still down

– Continued focus on retention over acquisition

– Retention is hard to define

• Traditional channels continue to dominate

– Marketers still aren’t sure how to best utilize the social space

• Streamlining multiple programs across channels still a challenge

– Even with a solution in place, it’s difficult to manage differing data sets from traditional and emerging channels

#SAPemail

Page 10: Email Marketing with SAP CRM

10Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Agenda

• How are CCCM solutions being used today?

• What do marketers want from a CCCM vendor?

• Where is CCCM headed?

#SAPemail

Page 11: Email Marketing with SAP CRM

11Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Marketers are looking for a long-term partnership… #SAPemail

Page 12: Email Marketing with SAP CRM

12Entire contents © 2010  Forrester Research, Inc. All rights reserved.

…but they are staying put because of cost #SAPemail

Page 13: Email Marketing with SAP CRM

13Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Integration and cost are top concerns in vendor selection… #SAPemail

Page 14: Email Marketing with SAP CRM

14Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Expectations often outpace capabilities

• Marketers want their CCCM tools to do everything…

• But few are advanced enough to utilize all of the features (i.e., social)

#SAPemail

Page 15: Email Marketing with SAP CRM

15Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Email still dominates delivery, with social media trailing behind #SAPemail

Page 16: Email Marketing with SAP CRM

16Entire contents © 2010  Forrester Research, Inc. All rights reserved.

And few integrate with social media#SAPemail

Page 17: Email Marketing with SAP CRM

17Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Agenda

• How are CCCM solutions being used today?

• What do marketers want from a CCCM vendor?

• Where is CCCM headed?

#SAPemail

Page 18: Email Marketing with SAP CRM

18Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Marketers are generally happy…

• No outright source of dissatisfaction

• Most satisfied with:

– Application security

– Scalability

– Reliability

– Ability to support customer selection and segmentation

#SAPemail

Page 19: Email Marketing with SAP CRM

19Entire contents © 2010  Forrester Research, Inc. All rights reserved.

…But are not “totally” satisfied

• Want better integration and contact optimization

• Multi-channel coordination is still a major concern

– Fueled by both marketer and vendor shortcomings

#SAPemail

Page 20: Email Marketing with SAP CRM

20Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Coordination across channels and measurement puzzle marketers most #SAPemail

Page 21: Email Marketing with SAP CRM

21Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Eight principles for CCCM solutions

• Support an institutional memory of the customer

• Enable dialogues not just programs

• Bridge the online and offline gaps

• Unify inbound and outbound channels

• Move optimization to the forefront

• Include social insights

• Provide functionality at marketers' desktops

• Incorporate planning and resource management capabilities

#SAPemail

Page 22: Email Marketing with SAP CRM

22Entire contents © 2010  Forrester Research, Inc. All rights reserved.

Marketers need to improve too

• Incorporate the social channels

– Channel complexities make it difficult to operate on a program level

• Focus on marketing accountability

– CCCM can exacerbate the measurement problem

• Establish an enterprise-wide cross-channel communication strategy

– Identify business processes, technologies and organizational models

#SAPemail

Page 23: Email Marketing with SAP CRM

The Power of CRM + Email: StrongMail & SAP CRM

Ryan Deutsch, VP of Emerging MediaStrongMail

Sunil Dixit, Sr. Director, Product CRM MarketingSAP

#SAPemail

Page 24: Email Marketing with SAP CRM

The 4 Cornerstones of the CRM Marketing Product Strategy

In-memory segmentation using SAP TREX

Abode Flex UI, AJAX SAP Business Objects Solutions

3. DISRUPTIVE TECHNOLOGY

Best of Breed Solution Partners Extend SAP reach Customer driven development

2. CO-INNOVATE Enterprise Marketing Platform Manage all customer channels Integrated to Back Office

1. FOCUS ON THE CORE

4. DEEP INDUSTRY EXPERTISE Trade Promotions Management - Consumer

Goods Loyalty Management - Retail and Travel Real Time Offer Management –Telco Marketing Development Funds - High Tech

#SAPemail

Page 25: Email Marketing with SAP CRM

SAP Changes Segmentation using In-Memory Technology

© SAP 2010 / 25

Highly Intuitive Visual Interface In-memory Analytics

Canned Reports

Query Cache

Summary Tables

Database

SAP In-Memory Segmentation

Per

form

ance

Data Re-usability

Provides the Ability for Marketer to Find the Needles In the Haystack !

#SAPemail

Page 26: Email Marketing with SAP CRM

SAP Delivers Integrated, Loyalty Management in CRM 7.0

© SAP 2010 / 26

Reward and retain your high-value customers

Plan, manage, and execute customer loyalty programs across the enterprise

Increase customer satisfaction and develop deeper customer intimacy

Identify customers based on value and encourage profitable customer behaviors

Integrated enterprise Loyalty Program enables Customer Experience ManagementIntegrated enterprise Loyalty Program enables Customer Experience Management

Membership HandlingMembership Handling

Program ManagementProgram Management

Pro

cessing

E

ng

ine

Pro

cessing

E

ng

ine

Rew

ard R

ule

Man

agem

ent

Rew

ard R

ule

Man

agem

ent

MemberActivitiesMemberActivities

Points/BonusDetermination by Rule EnginePoints/BonusDetermination by Rule Engine

PointAccrualsPointAccruals

Point AccountPoint AccountPointRedemptionPointRedemption

PointExpirationPointExpiration

Program Management

Membership Handling

Pro

cess

ing

En

gin

e

Rew

ard

Ru

le M

anag

emen

t

Loyalty

FinancialsFinancials

#SAPemail

Page 27: Email Marketing with SAP CRM

What Does It Take To Build a Successful Loyalty Management Program?

DecideDecide

UnderstandUnderstand

PlanPlan

Do itDo it

External Data Business Warehouse

Customer Segment Analysis

Marketing Planning

Loyalty Management

Customer Interaction Channels

Profitable & Loyal customers

Phone, Sales Agents, Web, Email, Direct, Fax, Mobile, Social Networking

#SAPemail

Page 28: Email Marketing with SAP CRM

Proprietary and Confidential | 28

What are marketers looking for in a campaign management system?

What are marketers looking for in a campaign management system?

#SAPemail

Page 29: Email Marketing with SAP CRM

Ease of integration with other data sources and systems.SAP’s StrongMail integration provides marketers with:

1. Significant Scale

2. Message Relevance

3. Assured Delivery

The #1 Answer

#SAPemail

Page 30: Email Marketing with SAP CRM

Achieving Scale: Burst Technology

• Message Assembly» StrongMail Burst

Technology

• Message Delivery» Intelligent Queue

Management (IQMP)

• Cost Efficiency» No CPM Fee Model

#SAPemail

Page 31: Email Marketing with SAP CRM

Proprietary and Confidential | 31

Scale: Integrate Directly with SAP CRM & Applications

#SAPemail

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Proprietary and Confidential | 32

Saved $3.5 Million over 3 years by

moving from Epsilon to StrongMail

The Lowest Total Cost of Ownership of Any Tier 1 Solution

#SAPemail

Page 33: Email Marketing with SAP CRM

“74% of unsubscribes from email programs are due to irrelevant content.”

- Forrester Research, 2008

“22% of US Internet users decided to stop purchasing from a company because of too many or irrelevant emails.” - CMO Council, 2010

“41% of US Internet users threatened to stop buying from companies that send them irrelevant messages.” - CMO Council, 2010

The Importance of Relevance

#SAPemail

Page 34: Email Marketing with SAP CRM

Delivering Relevant Content is Highly Effective

#SAPemail

Page 35: Email Marketing with SAP CRM

Relevancy is Still Underutilized

#SAPemail

Page 36: Email Marketing with SAP CRM

SAP CRM + StrongMail = Easier Campaign Execution

Enterprise Messaging Made Easy:

• Minimized data transfer time

• Single source of program data for campaign analysis and further segmentation

• Full featured dynamic content

• Response tracking

• Email send, delivery and bouncemanagement

#SAPemail

Page 37: Email Marketing with SAP CRM

Email Delivery Can Be a Headache

#SAPemail

Page 38: Email Marketing with SAP CRM

Proprietary and Confidential | 38

StrongMail Streamlines Email Delivery

#SAPemail

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Proprietary and Confidential | 39

StrongMail Offers Complete Visibility into Failures

#SAPemail

Page 40: Email Marketing with SAP CRM

Campaign Management Solutions to Reach Millions of Customers with Lowest TCO

-Highly scalable-Integrated-Innovative

Together, We Deliver…

SAP Provides:

-Comprehensive Campaign Management-Integrated Loyalty Management -Innovative & Intuitive Segmentation

StrongMail Provides:

-Highly Scalable Email Delivery-Sophisticated UI for Marketing-Seamless Personalization-Real-time Email Reporting

+

Summary: SAP + StrongMail Makes Marketing Smarter & Scalable

#SAPemail

Page 41: Email Marketing with SAP CRM

Thank you!Suresh Vittal

VP & Principal Analyst

Forrester Research

+1 (617) 613.6097

[email protected]

Twitter: @sureshvittal

Ryan Deutsch

VP of Emerging MediaStrongMail

+1 (650) 421-7124

[email protected]

Twitter: @rdeutsch

Sunil DixitSr. Director, Product CRM MktgSAP+1 (650) 687-2585

[email protected]