Be a Customer Centric Hero with Analytics
Using customer analytics to successfully identify your most valuable customers, acquiring them, and increasing their purchases, will help you generate significantly more value than with a once size fits all approach.
Customer Relationship Management software made its debut more than three decades ago, CRM provided more information about customers than organisations ever had before, allowing them to prosper. But customer data, as grand and scalable and automated as it is, can be complex to understand and use effectively.
In the present day complex economy, competition is stiff and customers are promiscuous therefore leveraging analytics is absolutely critical for improved decision making. CRM analytics is imperative to ensure your organisation delivers long term value if you are to survive and thrive.
To this end, CRM analytics is a powerful insight to:
Customer satisfaction in the form of direct feedback is one of the most effective ways in which your organisation can determine customer health. It’s a leading indicator of repurchase intentions and loyalty, is a point of differentiation in the market place.
Your customer churn is high when customers are not satisfied with the levels of services or quality of products they receive. It is five to ten time cheaper to retain customers than acquire new ones, therefore making sure every aspect of your engagement cycle is geared to delivering high levels of service and professionalism is of utmost importance.
Indirect feedback through social CRM is another way to monitor the satisfaction levels of customers. Consumers may not want to engage on a direct level and voice dissatisfaction, but will rather negative sentiment in the public domain. McKinsey found that an unhappy customer tells between 9-15 people about their experience. In fact, 13% of unhappy customers tell over 20 people about their experience.
To ensure longevity of any organisation one needs to increase customer lifetime value, this measure allows the knowledge of the actual value of a customer relationship. If you look only at the sales record for a customer, you can incorrectly assume profitability of the relationship. A high currency client that is expensive to serve and manage may actually be unprofitable. Conversely, a customer that spends less with you but is profitable to serve can often be enticed to grow his wallet share without sacrificing your profit margin. Thus, a customer’s past buying record does not tell you everything you need to know in determining overall profitability of the customer. Make sure you have an accurate calculation of actual customer value.
Comprehensive view of the customer is essential, and necessary to provide consistent customer response regardless of who in the company is communicating, or understanding customer behaviours for improved marketing campaigns, loyalty programs or actions from enrolment to referrals to impact on repeat business. Additionally, CRM systems should capture customer data from within and external to the company and should include social media, store visits, partner visits, company blog comments, and online buying patterns. CRM analytics can then generate demographic, behavioural and psychographic insights so that you are aware of the customer’s satisfaction with service, price changes, response to marketing offers.
Every organisation is striving to achieve profitability and longevity, however their journey in most cases very different. The golden thread running between all organisations is customer satisfaction.
Contact our team to help you increase your customer engagement.