Optimizing ROI In Tough Economic Times Lets Play

1
Optimizing ROI In Tough Economic Times Lets
Play!

• Bob Zurek
• VP Advanced Technology
• Ascential Software

2
Quick Take

• Unconventional ROI Wisdom
• Lessons Learned From The Innovators

3
Unconventional ROI Wisdom

• Jump in the sandbox and play!
• Technology may not be the answer
• Customers like surprises
• No relationship no loyalty
• Dont waste time or money
• Use it to find customers who do want a
  relationship
• Trust
• Reliability
• Recognize them
• Remember them
• Do special things for them.

4
Surprise Them!

• Customers like surprises
• Means more than price
• Deepens bonds
• Strengthens loyalty
• It sometimes doesnt require investing in any
  technologies

5
Amazon.com Surprises

• Customer Services Is RD
• Top 10 Reasons Why Customers Contact The Company
• 10 Cent CRM Surprise

6
Safeway Surprises

• Personalized monthly mailing to 1.2 million
  best customers
• Versioned with personalized offers to add value
• Funding came from the elimination of one page of
  price specials in their weekly newspaper insert.

7
Publix Supermarkets

• Customers irritated about shopping all over the
  store for baby needs.
• Baby Store aisle for one-stop baby needs
• Value must be specific to needs and wants.
• Research is key to uncovering this.

8
First Union Corp Charlotte NC

• Most profitable customers get courtesy calls from
  customer service executives thanking them for
  their business and asking if they have any
  concerns or needs
• Increased retention of the banks most valuable
  customers by 25

9
Lexus

• Recruiting the right customer
• Lexus targets former Mercedes and Cadillac owners
  attracted to service, reliability and long-term
  value.
• Infinity seeks younger people who drive BMWs and
  Jaguars and interested in fashion and high
  performance
• Lexus repurchase was 63 two years in a row
• Infinity was stuck at 42
• Sought loyalists and got loyalists

10
Harrahs

• The three-tier Total Rewards program tracks
  customers' play at 21 Harrah's casinos throughout
  the United States and offers incentives for users
  to consolidate their wagering activities.
• In 2000, Harrah's said, the program helped
  generate an additional US165 million in revenue
  from guests who played at Platinum and Diamond
  levels.

11
Office Depot

• Leveraging low cost ASP solution from NetByTel
• In the first six months of operation, with the
  system fielding some 250,000 calls a month,
  Office Depot has invested a mere 16 hours of tech
  time.
• Office Depot is so impressed with NetByTel's
  Voice Commerce Modules that they are actively
  promoting the 888-GoDepot phone number on the
  front cover of over three million Office Depot
  catalogs

12
Pitney Bowes

• Immediately following the January 2001 USPS rate
  hike, nearly 90,000 visitors turned 206,000 pages
  on the Pitney Bowes site in a single day.
• Pitney Bowes will save in excess of 1,300,000
  within a year. Assuming that estimate is
  accurate, the companys return on investment is
  less than two weeks!

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Final Thoughts

• Dig in deep into the data
• Consider ASP approaches like Right Now
• Dont think technology is always the answer
• Get into your customers heads
• Ask them what they want!
• Youll be surprised what they tell you.