loyalty solution: enhancing lifetime customer loyalty · • cross-channel loyalty programs •...
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Loyalty solution: enhancing lifetime customer loyalty
Sofia 10th November
Loukas Deligiannakis
CRM Sales Consulting, South East Europe Team Leader
The following is intended to outline our general product direction. It is intended for information purposes only, and may not be incorporated into any contract. It is not a commitment to deliver any material, code, or functionality, and should not be relied upon in making purchasing decisions. The development, release, and timing of any features or functionality described for Oracle’s products remains at the sole discretion of Oracle.
Safe Harbor Statement
US$ Millions
Improving the Customer Experience Drives Loyalty and
Boosts Revenue
*Annual Revenue impact from 10-percentage point swing in Customer Experience Index
Source: Forrester Research, Inc. “Customer Experience Boosts Revenue”, Bruce Temkin, June 22, 2009. Base: US online consumers.
*The increase in revenue include that from Additional purchases, Churn reduction and Word-of-mouth advocacy
$311 M
$305 M
$306 M
$298 M
$294 M
$260 M
$177 M
Wireless Carriers
Airlines
Banks
Insurance
Retailers
Health Plan
Hotels
$287 M Investment Firms
Ind
us
trie
s
$0.0 $100.0 $200.0 $300.0
Customer-Driven
Social Media
Cloud Computing
Mobility
Speed-to-Market
Cross-Channel
Today‟s Business Environment
© 2011 Oracle Corporation – Proprietary and Confidential
Customer-Driven
Social Media
Cloud Computing
Mobility
Speed-to-Market
Cross-Channel
Megatrends: Business Implications
• Loyalty program aligned to lifestyles
• Emphasis on recognition and experiential
rewards
• Loyalty program part of the broader
customer strategy
• Cross-Channel Loyalty programs
• Universal customer visibility and tracking
• Personalized customer interactions
• Faster deployment of loyalty system
• Program innovation at the speed of
business
• Adapt to the marketplace developments
and customers in real time
• Alternate deployment models (e.g.
Hosted , BPO and SaaS)
• Shift from Capex to Opex
• Ensure adherence to security and
regulatory requirements
• Personalized, real-time engagement
• Location and context aware messaging
• Great customer experiences: in-store,
@premise and on-board
• Viral marketing through social networks
• Social Rewards for loyalty behavior and
recognition for brand advocacy
• Connect to and positively influence the
community
© 2011 Oracle Corporation – Proprietary and Confidential
Self-Service
• Virtual contact center solution
• Unified, multichannel communication solution
• Comprehensive view of the customer
Contact Center
• E-Commerce & RTD for a personalized experience
• E-Billing & E-Payments
• E-Support for efficient Self Service & Support
Customer Service
• Closed-loop Customer Service Solution
• Field Service
How Oracle Can Help Deliver a Seamless and Superior Customer Experience
Marketing Server
• Robust business intelligence solution
• Real-time insight & historic analytics
• Interactive dashboards and customer trending reports
Business Intelligence
• End-to-end marketing solution
• Plan, Budget, Design, Approve & Execute Communications…
• …across Multiple Channel
Oracle Customer Experience Optimization Solutions
Customer Loyalty
• Complete loyalty management solution
• Personalized, relevant customer promotions
• Comprehensive point promotion and redemption
Enterprise Marketing Management and Technology Platform
Campaign and Interaction
Management
Customer and Business
Intelligence
Marketing Resource
Management
Customer Loyalty
Management
Field
Sales
Web/ eMail
Partners Call
Center Direct Mail
Wireless POS/ ATM
Bills & Stmts
Branches
Stores
Intelligent Interactions across Touchpoints
Siebel Loyalty Marketing Enterprise Suite Delivers 360 Insight, End-to-End Processes, Higher Customer Value and ROI
Customer Data Management
Siebel Oracle SAP R/3 PSFT EDW Other
© 2011 Oracle Corporation – Proprietary and Confidential
How best to serve? Next best activity
time
qu
ality
of
ex
pe
rie
nc
e
Events / transactions / interactions
Moments of Truth
Insight-driven / behavioural triggers
Increase CLV by Intelligent Interactions
Right Message, Right Customer, Right Moment
How best to reward?
Cross-sell opportunity
Competitor locked-out
Churn risk
Change in usage Repeat Buyer
Complain
Respond to promotion
Try new product
Recommend to friend
Decrease monthly investment/spend
Moments of Truth In A Lifetime of Value Proactive and Opportunistic Customer Management
acquire serve learn maximize learn
adapt
Focus on Customer Loyalty
Loyalty Engine
Loyalty Manager
Loyalty Member
Service Rep
Loyalty Member Portal
Loyalty Partner Portal
Loyalty Service
Agent Console
Accrual Redemption Tiers Eligibility Service Pricing Loyalty Assets Expiration Loans
Partners Members Host Company
Employee Facing Apps
Customer and Partner Facing Apps
Batch and Real-Time Integration with Enterprise Integration Manager and SoA Enabled Web Services
Siebel Loyalty Complete, Integrated, Multi-Channel Loyalty Management Solution
Loyalty – PoS, Kiosks
Point of Sale
ERP
Airline DCS
*Loyalty – Airline DCS and Customer
Server
*Loyalty – Core Banking System
BRM
*Loyalty – Telco BRM Systems
Advanced In-Store Loyalty
Engine (Future)
Clienteling
(Future)
*Social
Networks
Social (Future)
Loyalty - ATG
Commerce
Integration
Web Commerce
(Future)
© 2011 Oracle Corporation – Proprietary and Confidential
Loyalty – Hospitality
Systems
PMS/CRS
(Future)
• Comprehensive solution
integrated with world-leading
Siebel CRM suite
• Highly flexible, configurable
and business-friendly
solution
• Architected for Scalability &
performance
• End-to-End automation of
best practice loyalty
processes
• Multi-Channel solution
Siebel Loyalty: Key Value Proposition Drives dynamic and differentiated customer-centric Loyalty programs
360 Degree- Actionable View of the Customer
Multi-Brand Program Support
Rapid Promotions Deployment
Sophisticated Segmentation for
Targeting
Multi-Channel Triggered
Campaigns
Multi-Channel Member Care
Multi-Channel Rewards and Redemptions
Customer behavior and
program analysis
Comprehensive, Multi-Channel Platform to Drive Customer-Centric Loyalty
programs
© 2011 Oracle Corporation – Proprietary and Confidential
Solution
• Live with Siebel Marketing, Loyalty, Call Center & Business Intelligence
• Supporting over 3M loyalty members and more than 2,000,000 daily transactions
• Part of successful loyalty partner network called S‟Miles (15 millions of members)
Case Study: Caisse D‟Epargne
Multi-channel implementation
• Integrated with 65 systems including
- Direct marketing
- Web site
• Customers can check their points balance and see offers at over 6,000 ATMs
Rewards within the Partner Ecosystem
S‟miles Member
Banking premiums
“Non Banking” premiums
Rewards applicable to the bank‟s products &
services
Promotional gifts provided by S‟miles
Multi brand premiums
Transportation premiums and
promotional gifts provided by the
program‟s partners
Ban
k‟s
Pre
miu
ms
Partn
ers
‟ Pre
miu
ms
Any Other Program Partner
Loyalty Points
Program Member
Card
Loyalty Points
Program Member
Card
Program Member
Card
Loyalty Points
cash withdrawal
payment card
iPhone Loyalty Application Extending Siebel Loyalty Marketing Solution to Drive Personalized Online Mobile Experience.
Benefits • Instantly recognizes
customer and their value • Delivers targeted and
personalized offers „on-the-spot‟
• Enables tracking, earning and spending of points and receiving relevant information in real-time
• Build stronger brand affinity through online personalized engagement
• Deliver rich cross-channel experiences
• Make it easy to do business for customers – support them in their preferred channel
Oracle Investment in CRM
3B$ Total CRM development investment
2500 New Siebel Features
320 New CRM On Demand Features
35 New Products
9 Additional Industry-specific Solutions for CRM
6 CRM On Demand Releases since acquisition
3 Siebel CRM Releases since acquisition
Plus several major acquisitions:
• Haley for Policy Automation
• Market2Lead for Marketing On Demand
• ATG for Customer Experience
16
• Drive Dynamic, Differentiated Cross-Channel Loyalty Programs
• Maximize Conversion and Basket Size of Online Commerce Transactions
• Leverage Next-Gen Online Award Redemption Capabilities and Membership Experiences
• Enhance Brand Affinity and Engagement with Social Rewards and Interactions
• Enable Engaging Online Customer Experiences and Customer-Centric Promotions
• Increase Value Of Customer Interactions with Live Help and Recommendation Services
Siebel Loyalty
© 2011 Oracle Corporation – Proprietary and Confidential
ATG Siebel Oracle FMW 3rd Party System
• Sarah Jones logs
on to Grande
Collections loyalty
app on his iPhone
• She is delighted to
see personalized
greeting and
recognition for her
elite status
• She also notices a
message from
Grande Collections
thanking her for her
continued
patronage and
relationship
• Sarah sees offers
specially targeted
to her. An offer on
handbags attracts
her attention
• She views all the handbags available
on offer. She is delighted to see handbag of her favorite style on
offer.
• She decides to buy the same and adds
to her shopping cart. The offer
allows her to use her points to pay
fully or partially for a handbag
• As Sarah adds the
handbag to her
shopping cart, she
notices a matching
leather belt
recommended for
buying at a special
bundled price.
• As Sarah pauses to
consider buying
leather belt, she sees
a message offering
her to seek live
interaction with an
agent
• Sarah quickly chats
with an agent, gets
clarity on bundled
price and decides to
add belt to her
shopping cart
• As Sarah checks out,
she sees another
message offering her
to post the items she
purchased to her
facebook page. The
offer also includes
social reward of 100
points for Sarah
everytime a visitor
clicks on the link and
1000 additional
points if he/she
purchases it
• Sarah decides to
post the items she
purchased to
• Sarah instantly earns 2500 points
and „Free Shipping for Yr-2012 „ loyalty
reward for her shopping
• Sarah also earns
additional social
loyalty rewards for
sharing the items
she purchased on
Cross-Channel Consumer Experience with Integrated Siebel Loyalty, Marketing and ATG
Target Shop Refer Reward Recognize
Target Shop Refer Reward
ATG Siebel
Cross-Channel Consumer Experience with Integrated Siebel Loyalty, Marketing and ATG
Recognize
• Recognize customer at login based on loyalty information
• Shopping Cart
• Pay in Points
• Live-Help (Click-to-Chat)
• Online Pricing Promotions
• Review targeted offers
• Browse product catalog
• Refer product virally on Social Networking Sites
• Receive real-time loyalty reward (points or experiential)
• View updated loyalty asset balance and recognition status
• Cross-Channel Segmentation
• Cross-Channel Offer, Response and Lead management
• Cross-Channel Campaign Management
• Real-time loyalty rewards (points,
voucher, experiential
rewards)
• Tier assessment
• Profile / Preferences
• Loyalty status
• Loyalty assets (points, vouchers)
• Behavioral insight
• In-Context personalized real-time recommendations based on profile, preferences, Wishlist, past purchase bahavior
• Loyalty points redemption
• Social loyalty rewards
Siebel Loyalty: Global Business Impact
2nd largest Retailer
2nd largest Airline
Largest domestic Airline
Largest Mobile Manufacturer
Largest Coffeehouse company
8th largest Insurance company
2nd largest Telco
Run Siebel loyalty to drive loyalty of key stakeholders of their business – Customers, Partners and Employees
5th largest Banking corporation
© 2011 Oracle Corporation – Proprietary and Confidential
Siebel Loyalty: Example Customers
Travel and
Hospitality - Other
LSP/ BPO and
Coalition Loyalty Financial Services Retail
Travel & Hospitality- Airline
Telco
Tier 1
Tier 2
Tier 3
Hypermarket
Specialty
CPG, QSR, Fuel
Comms
Media
Entertainment
Integrated FS
Bank
Insurance
LSP
Coalition
BPO
Cruiselines
Casino & Resorts
Railroads
B2B, B2B2C, B2E
and Hierarchical
B2B Program B2B2C Program B2E Program Hierarchical
© 2011 Oracle Corporation – Proprietary and Confidential
8 Benefits from Engaging using Oracle CRM 1 Reason to Increase Customer Loyalty: PROFITABILITY
Top Line Bottom Line
New segments, new offering Because you can configure your offering and expand it to new customer micro-segments
Higher Margins Because people pay more for experiences than for products or services
Higher recommendation rate Because your customers become your advocates.
Higher customer loyalty Because customers feel listened to and feel cared for.
More Profit More Revenue Lower Costs
Smart cost cutting Because you know where to save without hurting your customers.
High protection of investment Because Customer Centric strategies are much harder to copy than products.
Cheaper Development Because you can develop what customers really want and need
Fewer Complaints Because you fix problems before you go live
Thank You!