Thursday, 27 March 2014

Creating an effective Mobile Engagement Strategy

We are now living in the living in the age of the customer. What this means is that businesses that have traditionally had an offline presence are focused on developing an online presence and businesses that have purely had an online presence are focused on developing an offline presence.
Customer experience is an integral element of marketing and executives are asking themselves how mobile is impacting customer experiences. In order to win in the age of the customer you have to know who your customers are.

Customers are in the position where they can decide if they wish to opt in or not. This applies to both rational and impulsive consumers. Businesses that wish to maximize the degree to which they can successfully engage with their customers will have to ensure the following in each and every interaction:

Building Trust
Understanding the customer needs
Serving the customer needs
Generating focused insights
Becoming more relevant

An effective engagement
 strategy will be built on deep analytical insights which inform the technology decisions, business strategy decisions and customer engagement decisions. Executives will have to answer the follow questions in order to assess the effectiveness of customer engagement.

Are we leveraging customer generated data to enable customers to easily discover our products and services?
Do we understand the customer context well enough to serve customers in their mobile interactions?
Are we using customer purchasing data to improve conversion rates online and offline?
Are we collecting data from products to layer on services to give the customer more control?
Traditional marketing and customer feedback is only part of the story, are we tapping into customer mobile data to understand what they really think?
Are we engaging customers in the right moment/context to drive the next purchase or brand engagement?

Online and offline engagement will have to be integrated into the existing 
business processes, technology platforms and product offerings. Mobile will drive the largest re-engineering of companies since the introduction of the web.

Mobile will have a fundamental impact on all businesses. Businesses will have to serve customers in their moment along their journey which basically means that they are going to directly influence the value chain. There are essentially 3 types of mobile moments. Loyalty Moments, Manufactured Moments and Borrowed moments.

Loyalty Moments – These are the ones that a company owns and their ability to deliver on this will impact customer experience. An example of this is the mobile moments that companies like Starbucks and McDonalds have focused on from the moment that a customer enters a store to the point where they leave.

Manufactured Moments- These are created by a company through sponsored content associated with downloads that run into the tens of millions. Companies promote a product and offer rewards for loyalty and purchases.

Borrowed Moments – These are moments that occur when a company leverages the online presence of another business. This has occurred extensively in Asia where retailers and financial services businesses are linking their mobile content with mobile applications such as We Chat, Line, Whats App and online gaming applications.

Reorganizing any business is never an easy task and companies will have to decide if they are going to change all elements of their operations or focus on trialing in a specific area and then applying it to the rest of the business.
Success will largely depend on a company’s ability to achieve optimal business and people connectivity moments which includes;

Identification of mobile moments and their context
Designing an effective mobile engagement
Engineering processes, technology platforms and people to deliver on these moments
Analyzing results (data) and monitoring performance to optimize outcomes.

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Tuesday, 4 March 2014

Digital Marketing Operating Models

Rapid changes in technology are changing the way that consumer industries Define, Discover, Acquire and Retain customers.

In this article I will present a number of options that marketers can pursue in order to succeed in the 
digital market. The consumer is now expecting to obtain access to brands and products through the digital channel of their choice and to be able to engage with, influence and provide feedback on the experience throughout the entire lifecycle of their experience from discovery through to purchase and after sales service.

Many business leaders believe that the transition to the digital market is happening at such a rapid pace that they are scrambling to keep up. Whilst this may sound like a death blow for many typically intransigent organisations, those that are prepared to embrace the change will provide themselves with a distinct competitive advantage that others will follow.

The opportunity lies in the fact that through digital marketing, companies can gain access to detailed data on the consumer and consumer behavior and provide detailed feedback on the degree of success of a marketing campaign that was simply not available to them in the past.

The digital market allows a marketing department to not only gather data on their products and consumers, but it also allows them to obtain feedback through a number of channels at a fraction of the cost. Merely looking at the potential ROI on advertising expenditure through channels where access to data is almost unlimited must be appealing to even the most cost conscious businesses. Imagine a scenario where you can not only market and sell a product through multiple channels, but you can constantly evolve and refine the quality of the products and your sales process through the feedback that the consumer provides to you at a fraction of the cost.

The distinct advantages that come through embracing the digital channel also comes with an expectation that organisations can identify the correct channel to engage with their consumers, respond rapidly to the information that they gain as a result of it and be prepared to build the lessons learnt into all aspects of their business operating model.

There are essentially three digital marketing models Digitizers,Customizers and Product Leaders that will ensure success in the digital market and organisations may utilise elements that are present in each of the models in their total marketing expenditure.

Digitizers  consumer products companies that focus on brand equity and the strength of an existing brand. They want to continue to increase the level of engagement with their customers through an existing brand with a renowned presence in the market. They will focus on all available digital channels in order to identify new customers and interact with them in a number of ways, they not only use the maximum available digital channels to acquire customers but to retain their existing customer base. Specifically these companies leverage the power of social media to promote their products via the social media network of their existing customer base.

Customizers – Use customer data and patterns of behaviour to identify customer needs and respond to them when and where the customer need arises. They offer tailored solutions before the customer feels like shopping around. These companies build their business based on strong relationships with their customers. They have outstanding customer service and pride themselves on it. (Financial Services, Retailing, Entertainment, Travel and Transportation) They focus on website optimisation, search engine optimisation, social media optimisation and mobile applications. Specifically these companies leverage the full spectrum of digital media channels in order generate new demand and maintain their existing customer base. The power of geo fencing which will enable companies to promote their products when customers enter a defined geographical area will be of specific significance to them.

Product Leaders – Use customer data and digital marketing channels to roll out new products and services. They use interactive digital media to design, sell and market new products and services, the market perceives their brand as having the cutting-edge products with superior features – justifying premium prices. . (Luxury Brands and Consumer based Technology companies) They will leverage the power of social and digital media to develop innovative new products and enhance existing products based on the feedback that they receive from their customers. The marketing department is effectively growing the value of the company by providing superior products.

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