Social CRM PPT Final
Social CRM PPT Final
Social CRM PPT Final
INTRODUCTION:
Strategy: A plan or action to build in a desired goal. Social CRM is the business strategy of engaging customers through social media with goal of building trust and branded loyalty. Not a technology / system / process. Social Media tech (tools) used to achieve this. ROI not associated with this. Basic steps needed: 1. Define the measurable Social CRM goals Base line goals 2. Plan of action to achieve them Activity Base line 3. Quantify the business benefits arising out of it Also add net new customers 4. Measure transactional precursors
INTRODUCTION:
Basic Questions to ask before proceeding: 1. How much it is going to cost me?
1. It takes people.
2. It takes technology.
3. It takes time.
We have rocks.
Losing even 1% of your budgets efficiency could seriously ruin your day.
Okay fine. But if Im going to take a chance on this social media thing, it had better make good business sense! Why should I allocate resources to it?
Impressions
Positive press YouTube views Retweets Coupons distributed Visitors to a brick & mortar store Positive WOM Delivered emails Negative press Negative WOM Employment applications Click-throughs
Facebook friends Twitter followers
Blog comments
Social mention
8% YoY Growth
FREQUENCY,
F.R.Y.
REACH, YIELD
How often customers transact. (transactions per month) How many customers you are reaching. (net new customers) How much they spend. ($ per transaction)
The latest numbers indicate that our YoY sales $ are up 60%. Our individual transactions have doubled, as have our transacting customers. Somethings working!
Before
After
COSTS INVOLVED FOR PROVIDING ONLINE CUSTOMER SERVICE COMMUNITY? Organizations involved for providing customer service online community can expect some STARTUP and RECURRING costs.
Sub-Divided into: PEOPLE, PROCESS and TECHNOLOGY STARTUP PEOPLE TECHNOLOGY PROCESS PEOPLE TECHNOLOGY PROCESS
RECURRING
CALCULATING THE VALUE OF CUSTOMER ONLINE SERVICE COMMUNITY: To have quantitative assessment of the economic impact of the customer service online community, evaluation of the key drivers like benefits costs and risks was done, for a hypothetical organisation considering implementing online service communities that:
Provide phone and web based technical service Customers buy product -> call CCC for issues. Reduction in calls => low cost to serve cust. Achieve indirect / direct call deflection In Direct call deflection, customer goes online to community, post a question and get an answer via community responses. In Indirect call deflection, some people in communities categorized as lurkers read others posts and get their answers.
Forrester assumed the following characteristics of company will experience before it deploys solution for online customer service:
1. A growing volume of customer service participation in the community. 2. Success with indirect call deflection. 3. Gains from benefits of direct call deflection. 4. Support from user groups.
or other metrics they don't really talk about real dollars and sense.
You'll know: Cash flow summary for Gains and Costs. Net Present Value of the cash flows for Gains, Costs, and Net Results (determined over a range of discount rates). Return on Investment.
Gains and costs Look for Gains to come from any combination of: Expanded revenues from marketing initiatives (by expanding your social reach and creating more targeted messaging). Call Center savings.
FLEXIBITY: DEPLOYING CUSTOMER SERVICE COMMUNITY PROVIDES VALUE Flexibility, as defined by TEI methodology, is the benefit to the organisation in the creation of future options, from initial investment.
Possible that company started the online community with one use in mind, and wants now to leverage the platform to take adv of additional value of additional uses and business opportunities. Original investment + Additional costs = Get additional benefits for company
Example: Company develops online community to gain best practice knowledge. Customer service community paves way for developers, marketers, sales, quality assurance communities. Costs of these communities is reduced as the company has already developed one community and it can leverage the expertise gained from the learning curve.