IT in Marketing Decision Making

1. IT in Marketing Decision Making IMT@20th August 2010

2. What do we want to know ? • Who are my customers ? • What do they want ? • How do they buy ? • ????????

3. Spring Board Approach To Get New Brands Right…inception to communication

4. At Spring Board, Creating a differential is the key ! I AM SCREAMING TO BE ME … !

5. Message at Spring Board, is a function of Media Different segments, need different messages..different mediums..

7. Specifics • What more can I sell her – CATMAN • How can I make her aware – TRP • How can I form a relationship with her CRM • How do I make myself likeable to her ADVERTISING • How can I help her SEARCH MGT

10. Retail > sales, profits < competition • “What are my shoppers doing right now in my store? • What new experiences do they seek, and what efficiencies do they hope to gain?” This knowledge will provide retailers with competitive differentiation and an opportunity to strengthen margins.

11. Lawsons Software • Provide adaptable, integrated, retail-specific software and services to spur the next wave of retail innovation. • Lawson’s retail vision allows customer behavior to define the first best step on the path to net profitability. • By combining its Financials and Merchandising suites with customer behavior analytics, Lawson’s modular retail offering provides the support for dynamic customer segmentation and profiling, price management, customer transaction analysis, assortment analysis, and location op-timization.

13. Lawsons Goals • How do the expectations of today’s customer translate into new operational requirements? • Which business processes need to be updated to deliver the experience the customer expects? • What are the tools that can both provide in-sight into the customer’s mission(s) and align store operations with the most prevalent and/or important missions?

14. Satisfy Customer Mission – Sales will follow • CRM analytics applications have been focused on optimizing product sales from the enterprise’s viewpoint, largely because enterprise data has been more readily available. A grocer typically thinks, “I have an excess of milk, how do I get it to move?”

15. How do I most effectively sell milk to customers who pop into the store to get essentials on the way home? Customer behavior analytics It enables retailers to increase sales by letting the customer’s lifestyle, agenda, and timing drive the sale, rather than the enterprise’s inventory By watching customer behavior in a larger context, enterprises increase customer loyalty and lifetime value by using a softer sell.

16. Sell More Milk ? • Drop the price & tread on thin margins. • Steady on price, but make it easy for dart-in-and-out buyers – 3 minutes by re-configuring the parking lot and using grab-and-go coolers/shelving to create a milk and bread display at the front of the store. • This does not mean that retailers should abandon the back of the store as a place for the dairy section as a way to pull customers through the store in hopes of triggering impulse buys

17. Lawson’s Insight Suite • The ability to understand such “customer missions” and react to them in a large-scale retail environment was unthinkable a decade ago. • However, sophisticated software can now analyze a wide variety of variables: • store formats and locations; • product placement, pricing, and mix; • customer demographics, psychographics, and “shoppergraphics”

18. Insight Suite – Analytic Support • Store performance — hallmarks of good store performance by Ind. Pdt. Catgy • Customer purchasing — For strategic marketing, merchandising, and promotional activities, thereby increasing customer loyalty and lifetime value • Product promotions — Effective promotions & fund optimization • Customer shopping missions — by region, format, store, for a better understanding leading to merchandising activity • Customer life cycle — How customer behavior is changing over time, enabling an understanding and a measure of customer lifetime values, as well as create categories and place products to optimize on consumers demand (for customers to keep coming back for more)

19. Store Performance Insight This software enables retailers to improve store and product category revenues • What is a fair benchmark for category and store performance? • Which stores are underperformers across the entire range and also by individual product categories? • Which product categories require immediate attention, in which locales? • What/where are my best opportunities for refurbishment and expansion?

20. Software Deliverables • To open a new store, the software can recommend the categories it should carry, based on competitor locations, customer demographics, and customer missions. • For expanding through acquisition, Store Performance InSight identifies the best stores to acquire by analyzing store product mix and customer demographics, with reference to retailer’s existing successful stores / formats. • In addition, the software lets users run “what-if” scenarios to better understand the impact of a proposed strategy — users can “modify” a store’s controllable attributes or features (e.g. product mix, management experience, amenities, staffing structures, etc.) and see the anticipated impact on total store or category revenue.

21. Insights - Analytic Reports • One report is a matrix that highlights product categories not currently carried in a specific store, identifying the categories that would do well if introduced to the store. • Retailers can also compare store performance across common products. For example, a scatter diagram against a quadrant background enables management to see how a store’s performance in a certain product category measures up against its peers. • If a store is expected to do poorly in selling Australian wine, but instead does well, management can now investigate what best practice or customer mission is causing that differential and apply it to other stores.

22. Advanced Category Insight SW This module enables retailers to align product categories, range selection, and placement • What are key products for each customer basket type? • Which products are best used to drive targeted promotional activity? • How can I recluster products to up sales? • Which products should I stop carrying • How can I make my private label lines more profitable?

23. HOW ? • By analyzing attributes of each basket (e.g., time of purchase, product count, total spend, and number of promotions) with point-of-sale (POS) data, loyalty card information, and customer demographics to discern a set of shopping missions. • The software can figure out the shopping mission set by looking at 100,000 baskets with 20 attributes each. Lawson reports that the number of missions varies from retailer to retailer, but typically ranges between 8 and 16. • This set of missions — decided upon by the data, and not by retailer preconceptions — is the foundation for mapping retailer categories to customer demand.

24. Result • Basket Reward Analyzer — Identifies key products within specific basket types, enabling retailers to prioritize effort and investment for buyers and merchandisers • Cross-Category Analyzer — Validates category def. and themes, helping users decide on product placement and secondary display • Range Deletions Analyzer — Highlights candidates for delisting, allowing retailers to delist products with minimal revenue impact • Private Label Analyzer — Identifies market opportunities and pricing adjustments to drive product margin and customer loyalty • Products Insights Analyzer — Lists item/SKU level metrics to enable us-ers to analyze product purchasing and performance

25. Godrej – B2E • Whatever be the economy: effectively manage prospect and customer relationships to increase sales and customer retention. • Close deals faster • Predictably • Better return on their investments • More and better leads

26. My Home My Homepage. My Appointments. My Calendar. My Planner. My To Dos. Events. My Sales Account Management. Forecasting. Contact Management. Proposal/Quotation. Opportunity Mgt. "Big Picture”. Funnel Management. My Marketing Campaign Management. Cost Management. Budget Management. ROI Analysis. My Service Installation Tracking. Response track Analysis. Job Logging. Down Time analysis. Job Handling. Warranty Tracking. Job Escalation. AMC Tracking. Toolkit Tracking. Knowledge Management Document Mgt. Product IS.

27. E HRM • What is the degree of flexibility and scalability that the HR information technology software provides? • Multiple Excel spreadsheets • Databases and paper documents • Level with which it can interface with all kinds of systems and data.

28. Ability to accommodate HR’s company and benefits carriers’ rules? • Ability to grow as the company brings on new employees, offices, benefits changes, and rules. • Integration with other systems? Payroll • Level of training and technical expertise that will be required and the amount of time expected. • Who will be allowed access and to what degree? • Features to help HR communicate better with employees? 

29. Reporting technology should offer multiple views and formats (spreadsheet, PDF, html), big picture assessment and the ability to drill down to enhance decision-making. HR should be able to assess, at any time, enrollments in specific plans, outstanding actions, and changes in employee demographic information in relation to benefits and other employee data.