Turning Customers Into Loyalists Profile-Driven Customer Engagement Marketing Data Warehouse

1. Turning Customers Into Loyalists Profile-Driven Customer Engagement Marketing Data Warehouse

2. Today • The Customer Loyalty Decision • Database Development • Channel Management • 1:1 Communications • Analytics • Customer Satisfaction • Successes and takeaways Canon U.S.A., Inc.

3. Database Marketing At Canon • Protect recent market share growth (Loyalty) • Differentiate based on customer needs & valuation • Share-of-customer, not just market share • More customer centricity • Greater inter-division cohesion Canon U.S.A., Inc.

4. How Canon Views Loyalty • Increased customer retention = higher margins • Increased share of customer = workflow ownership • High satisfaction rates = leading indicator Canon U.S.A., Inc.

5. NOT a Game of Points & Rewards • Expensive • Difficult to suspend • Can commoditize a brand • Can be plagiarized • Offend dissatisfied customers • Businesses do not run on points! Canon U.S.A., Inc.

6. Marketing Data Warehouse • The sum total of customer LTV Canon U.S.A., Inc.

7. MDW Scope • Design scope and phasing plan • Functionality requirements • Product Marketing • Industry Marketing • Data Marts • Mail File Extracts • Reporting and Ad Hoc Analysis Canon U.S.A., Inc.

8. MDW Construction • Customize the Marketing Data Warehouse • ID source data systems • ETL • Quarterly feeds process Canon U.S.A., Inc.

9. MDW Cleansing • Standardize customer, company, dealer, product • Cleanse and purge data (not 100% automated) • Create best “master” record Canon U.S.A., Inc.

10. Channel Management • Who owns the customer? • Can you be trusted with “my” customer data? • How will privacy and data integrity be maintained? • Prove it works (Dealer Advisory Council) Canon U.S.A., Inc.

11. Communications – The Message • “News You Can Use” • Stage in life cycle determines the message Canon U.S.A., Inc.

12. Communications – How • Identify trigger points & event-driven messages • Identify behaviors to reinforce and to change Canon U.S.A., Inc.

13. Communications – Keys • Customer relationship governance • Economically engage customers • Variability of content and co-branded call-to-action -- Samples Canon U.S.A., Inc.

14. Closed-Loop • Leads (cross-sell & up-sell) • Service issues • Satisfaction measurement and follow-up Canon U.S.A., Inc.

15. Profiling & Scoring • Demographic, attitudinal and behavior based • Needs and value differentiation • Save, Retain, Grow • Requires discreet customer segments Canon U.S.A., Inc.

16. “Customer Centricity” • You cannot inject customer insight into your communications through focus groups alone • Survey • Survey again • Survey some more • And listen to customers individually Canon U.S.A., Inc.

17. Customer Satisfaction • An “early warning” system • Continuous listening • Low SAT scores indicate possible defection • Need strong, effective feedback loop Canon U.S.A., Inc.

18. Successes – Not Just Loyalty • Single source of cleansed data • Communications cohesion • Ongoing satisfaction effort • Leverage print advertising Canon U.S.A., Inc.

19. Successes • Service issues identified • Incremental revenue • Dealer buy-in Canon U.S.A., Inc.

20. Takeaways • Give customers an active voice • Consider internal customers, too • Bring sales inside the tent • Don’t fail to measure what's hard to measure • IT must understand the business context Canon U.S.A., Inc.

21. Takeaways • Carefully manage business priorities and feasibility trade-offs • “Easy, cheap and important” • Metrics must be credible • Loyalty is demonstrated by customer ACTIONS Canon U.S.A., Inc.

22. Thanks Very Much