understand your customers of be left behind

Understand Your

Customers or be Left Behind

@IBMExpOne | #smartercommerce

Best practices to influence your customers buying

cycles using analytics.

Sameer Khan Senior Product Marketing Manager

IBM Customer Analytics

@sameerkhan

Blog: Smartercommerblog.com

Blog: Keywebmetrics.com

3

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All customer examples described are presented as illustrations of how those customers have used IBM products and the results they may have achieved. Actual environmental costs and performance characteristics may vary by customer. Nothing contained in these materials is intended to, nor shall have the effect of, stating or implying that any activities undertaken by you will result in any specific sales, revenue growth or other results.

Acknowledgements & Disclaimers:

UNDERSTAND:


To know the meaning of (something, such

as the words that someone is saying or

a language)

To know how (something) works or happens

To know how (someone) thinks, feels,

or behaves


To know how (someone) thinks, feels,

or behaves

Your

customer

Digital

activity

Purchase

decisions

:/ ;p Feedback

@IBMExpOne | #smartercommerce Source: https://flic.kr/p/anHyXn

What channels

your customers

interact with?


How do you

customers access

your digital

properties?

this?

this?

OR all of

these

devices?? this?


Who are your

customers?

Mark – The

Innovator : Risk

taker & affluent

buyer

Pete – The Early

adopter- quick

decision maker

who needs less

info about products

Jack – The Early

Majority – needs

social references

from friends and

family

Mary – Late

Majority – does

tons of research

on and off site


There is not “one

view” to who your

customers are and

how they are

going to behave


This makes it

difficult to

measure your

customer’s true

digital journey


Let’s look at the

problem with a

different angle…


.

We are experts

at Nano

Analytics


.

But we forget the

macro measurements


We also tend to

find insights that

don't exist

If you torture the data long enough, it will confess – Ronald Harry Coase

@IBMExpOne | #smartercommerce https://flic.kr/p/5cMBti

Marketing Analytics UX

Then… Organizational Silos

Social Sales Product IT BI


Actions Taken After Having a ‘Poor’ or ‘Very Poor’

Experience Using a Web Site or Mobile App on

their Smartphone

50%

29%

8%

8%

7%

36%

1%

Left the web site or app

Decided to use another web site or app that offeredsimilar products/services/content

Contacted the company directly (e.g. using contactform, email, chat or telephone)

Shared my experience on social media (e.g. Facebook,blog, Twitter, review sites, etc.)

Posted a comment on the company's website

None of the above

Don't use a Smartphone

Q6. Which of the following actions have you taken after having a “poor” or “very poor” experience using a

web site or mobile app on your Smartphone? (Select all that apply) Base: Smartphone Users r (n=1,114)


And yet…our customers are becoming increasingly

digital savvy

* Econsultancy - 2013

92% of consumers research online and seek opinions via earned

media before a purchase

They are always connected…. have easy access to information…

high expectations…

70% of consumers have stopped doing business with a brand following a poor customer

experience

and are fickle.

5 minutes the response time users

expect from a company once they have contacted it via

social media

84% of smartphone users check an app as soon as they wake up

Lots of Data, Not Enough Answers The Departmental Analytic Approaches of the Past are Insufficient

Only 26% of

companies have a well-

developed strategy in

place for improving

customer experience.*

58% of companies

have limited or no

understanding of which

usability issues affect

conversion*

91% of companies

have limited or no

understanding of why

people leave their site

without converting*

* Econsultancy - 2013


What should

we do?

1. Customer at the front and

center of analysis

The discipline of marketing is changing

TIMELESS

Marketers have always

been responsible for knowing

the customer.

Marketers have always been

responsible for defining what to

market, and how to market.

Marketers have always

protected the brand promise.

2012

Understanding each customer

as an individual.

Creating a system of engagement

that maximizes value creation

at every touch.

Designing your culture and brand

so they are authentically one.

2014

Know each customer in context.

Innovate and scale personally

relevant and rewarding experiences.

Co-create with customers,

employees and partners.


Empowers marketing,

merchandising, commerce and

service leaders to engage customers

in context at scale

Provides solutions by business

outcomes based on proven patterns

of outperformers

Ignites innovation with expertise

from IBM and our extensive

ecosystem of partners


Understanding your customers holistically requires

putting the customer ahead of the analysis

Future Buying Insight

‒ Predicts outcomes and behavior

using all data

‒ Integrates predictive intelligence at

the point of impact to drive optimized

interactions

‒ Reduces churn, improves CLTV

Anticipating Customer Actions

Social Media Insights

‒ Prevailing sentiments

‒ Affinities and correlations

‒ Share of voice

‒ Relevant relationships

‒ Potential risks

Mapping Attitudes & Opinions

Quantitative Insight

‒ Web site and mobile traffic data

‒ Customers in purchase funnel

‒ Completed transactions

‒ Conversion metrics

Measuring Results Understanding Behavior

Qualitative Insight

‒ Surface customer struggle on digital

channels

‒ Session replays to understand actual

customer journey

‒ Identify impacted customers



What should

we do?


center of analysis

2. Integrate tools

Web Analytics & Customer Experience Analytics

complement each other

Quantitative insight by

capturing website and mobile

interaction data showing:

• Purchase funnels

• Real-time sales data

• Traffic flow through site

• Conversion benchmarks

Capture, replay and analyze

individual web and mobile

interactions:

• In-page context (including

dynamic, personalized

experiences)

• Error messages displayed

• Identify affected visitors

Digital Analytics

WHAT IS HAPPENING?

Behavioral Analytics

WHY IT IS HAPPENING?

360 CUSTOMER EXPERIENCE ANALYTICS SOLUTION

Improve customer experience Increase lifetime value Reduce operational cost

Increase loyalty and profitability


Understanding Your Customer is a key component

to IBM’s ExperienceOne portfolio



What should

we do?


center of analysis

2. Integrate tools

3. Cross-functional SMEs


Cross-Functional SMEs

Skills

Business

Analytics +

UX

UX + Web

Analytics

Designer +

Analytics

Developer +

Analytics Social Media +

Analytics

Web

Analytics +

UX

Qualitative

Quantitative

Hard Things

Possible

Complex Things

Easier

Simple Things

Quickly


The industry’s most comprehensive portfolio


Customer Case

Study


Wehkamp.nl

98% brand awareness

72% female buyers

51% new customers < 35 years

>129 M visits

17.2M products sold

7.1 <M packages delivered

590M sales - RFS Holding

>180.000 different articles

150.000 reviews


Wehkamp.nl

1. Improve Customer Experience

2. Recover Lost Revenue

3. Solve Technical Problems

4. Reduce Fraud

Search for all

customers that

struggled from the

home page

IBM Digital Analytics

IBM Tealeaf

2

Identify impact on

conversion rates

or discover trends

& anomalies

Enables rich new ad-hoc analysis: segment by

any attribute of the experience without tags Drill down to understand why

Why are there low

conversions from

the home page?

IBM Digital Analytics 1

View Individual Customer

Experiences to understand why

IBM Tealeaf 2

IBM Digital Analytics – Tealeaf Integration:

1



Wehkamp.nl

1. Improve Customer Experience

10% improvement in conversion for specific segment

2. Recover Lost Revenue

40K in recovered sales

3. Solve Technical Problems

Technical fix saved millions in cart revenue

4. Reduce Fraud

Twice as much fraud detected and prevented

Questions?


Next Steps & Resources Resources:

IBM ExperienceOne:

http://ibm.com/experienceone

IBM Customer Analytics (CA):

http://ibm.com/customer-analytics/

IBM Tealeaf (TL) product details:

https://ibm.biz/CEM-Tealaef

IBM Digital Analytics (DA) product details:

https://ibm.com/digitalmarketing

IBM Social Media Analytics (SMA) product details:

https://ibm.biz/socialanalytics

IBM Predictive Customer Intelligence (PCI) product details:

https://ibm.biz/predictiveintelligence


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