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Point of view: Serendipitous wobble
Byron Sharp, Admap, December 2013, pp. 7-7
This article suggests that consumers have fairly stable brand loyalties, but that their purchasing behaviour can appear random as various serendipitous factors influence it.
This article suggests that consumers have fairly stable brand loyalties, but that their purchasing behaviour can appear random as various serendipitous factors influence it. This means that analysis of data over a short period of time can be misleading, and make the classification of heavy and light users difficult. Even tracking purchasing behaviour over a year can be misleading as many consumers purchase in a given category infrequently, allowing one missed or additional purchase to change their classification. Serendipitous factors will continue to make it difficult for marketers to target individuals, even with the development of Big Data.
Towards a better measure of customer experience
Philipp Klaus and Stan Maklan, International Journal of Market Research, Vol. 55, No. 2, 2013, pp. 227-246
Defining and improving customer experience is a growing priority for market research because experience is replacing quality as the competitive battleground for marketing.
Defining and improving customer experience is a growing priority for market research because experience is replacing quality as the competitive battleground for marketing. Service quality is an outgrowth of the total quality management (TQM) movement of the 1980s and suffers from that movement’s focus on the provider rather than the value derived by customers. Researchers today state that customer experience is generated through a longer process of company–customer interaction across multiple channels, generated through both functional and emotional clues. Our research with practitioners indicates that most firms use customer satisfaction, or its derivative the Net Promoter Score, to assess their customers’ experiences. We question this practice based on the conceptual gap between these measures and the customer experience. In IJMR 53, 6 (2011), we introduce a new measure appropriate for the modern conceptualisation of customer experience: the customer experience quality (EXQ) scale. In this article we extend that work and compare EXQ’s predictive power with that of customer satisfaction. We establish that EXQ better explains and predicts both, loyalty and recommendations, than customer satisfaction.
Are you getting personal? Then keep your distance
Jeremy Bullmore, Market Leader, Quarter 2, 2013, pp. 22-22
In this opinion piece, Jeremy Bullmore warns that brands that try to be your best friend need to realise that relationships are a two-way process.
In this opinion piece, Jeremy Bullmore warns that brands that try to be your best friend need to realise that relationships are a two-way process. Bullmore cautions that in attempts at personalisation, brands can become too pushy with their efforts seen by consumers as ingratiation. Instead of trying to dupe consumers into a sense of familiarity by clumsily wielding data, a canny brand builder leaves room for each member of the audience to respond to brand clues and to contribute as much to the relationship as the brand itself.
Measuring brand experience (Landor Perspectives 2012)
Kara McCartney and Susan Nelson, WPP Atticus Awards, Highly Commended, 2012
This paper asserts that brand building is now about experiences, and that these experiences are the sum of thousands of touchpoints.
This paper asserts that brand building is now about experiences, and that these experiences are the sum of thousands of touchpoints. If a customer's feeling about a brand is built through touchpoints, then traditional ways of measuring the brand's impact, such as purchase-drivers, may no longer be sufficient. The authors present a new quantitative research instrument that models a brand marketplace and reveals the stages and touchpoints on the customer journey that have the most impact on preference for a brand and its competitive set. Moving beyond assessing the typical touchpoints included in media-centric measurement models, the tool measures all points of interaction whether intentional or unintentional, paid or earned, physical, sonic, or olfactory.
How StarHub is using 'big data' to transform its business
Low Lai Chow, Event Reports, Loyalty World Asia, December 2012
Singapore-based telecommunications operator StarHub has access to reams of consumer data and has for some time been developing ways to mine that for new insights.
Singapore-based telecommunications operator StarHub has access to reams of consumer data and has for some time been developing ways to mine that for new insights. Seven years ago, the company integrated its three CRM and billing systems into one, just so it could make sense of its customer data. And in late 2012 it launched SmartHub, with subsets of anoymised real-time data across all four platforms operated by StarHub. It has also started partnering research institutions, start-ups, local and international companies in order to develop new analytics and display tools, train data scientists and develop cases and business models.
Privacy: From data to people
Anita Beveridge, Chloe Cook and Andy Stubbings, The Futures Company Trends, Future Perspectives, July 2012
How a company handles privacy is becoming increasingly important to its wider reputation. This Future Perspectives report from The Futures Company explores how ideas of privacy have changed in different parts of the world and the influence of new technologies on its evolution.
How a company handles privacy is becoming increasingly important to its wider reputation. This Future Perspectives report from The Futures Company explores how ideas of privacy have changed in different parts of the world and the influence of new technologies on its evolution. Also examined is what the next era of privacy might look like in a world of increasingly smart devices and ever-more expansive forms of data collection. How the public reacts to privacy issues is highly nuanced and dependent on context. Examples of high profile privacy controversies are highlighted to show how different uses of people's data can harm reputations. Recommendations for action include remembering that personal data as "bits of people", recognise context and be among the first companies to be transparent.
Customer relationship management
Professor Hugh Wilson, Warc Best Practice, May 2012, pp. 46-47
CRM matters more in some organisations than in others. The industries where it is most dominant are: financial services, utilities, retail and travel and leisure.
CRM matters more in some organisations than in others. The industries where it is most dominant are: financial services, utilities, retail and travel and leisure. This article outlines ten things that need to be tackled, which include integration with data, process, communications, structure and metrics and improving conversation quality with individualisation, customer centricity, dynamic interaction, customer selectivity and peer-to-peer facilitation.
Next please - online game for bank tellers: Educate your business partner's sales force through the interactive online game
Jan Lajka, ESOMAR, CEE Research Forum, Krakow, March 2012
Using the example of a research project for the CSOB, a leading Czech bank, this presentation demonstrates how a research assignment can be turned into a highly useful, multi-purpose tool benefiting both the client and the bank's customer.
Using the example of a research project for the CSOB, a leading Czech bank, this presentation demonstrates how a research assignment can be turned into a highly useful, multi-purpose tool benefiting both the client and the bank's customer. Results delivered by conjoint analysis on the bank's personal banking product portfolio were used to develop an educative online game that simulates a sales communication of bank representatives with their customers. As an innovative concept for training the sales force, the game was eventually merged into CSOB's internal education system.
Make or break: a simple non-compensatory customer satisfaction model
Keith Chrzan and Michael Kemery, International Journal of Market Research, Vol. 54, No. 2, 2012, pp. 163-176
We propose a model that allows analysts to capture and quantify realistic non-linear, non-compensatory effects in customer satisfaction modelling.
We propose a model that allows analysts to capture and quantify realistic non-linear, non-compensatory effects in customer satisfaction modelling. For too long, academic and applied marketing researchers have relied upon restrictive linear, compensatory statistical models to inform their understanding of how performance on product and service attributes impacts overall satisfaction, loyalty, etc. An extended case study and a summary of 22 further empirical studies illustrate the utility and robustness of the proposed Make or Break model of customer satisfaction.
Using supermarket loyalty card data to analyse the impact of promotions
Melanie Felgate, Andrew Fearne, Salvatore DiFalco and Marian Garcia Martinez, International Journal of Market Research, Vol. 54, No. 2, 2012, pp. 221-240
The aim of this paper is to show how supermarket loyalty card data from a panel of over 1.4 million shoppers can be used to analyse the effect of price promotions in a way which can bring significant advantages to retailers and manufacturers when making promotional decisions.
The aim of this paper is to show how supermarket loyalty card data from a panel of over 1.4 million shoppers can be used to analyse the effect of price promotions in a way which can bring significant advantages to retailers and manufacturers when making promotional decisions. The paper demonstrates the significant advantages that loyalty card data can bring to enhance our understanding of promotions, compared to traditional scanner and panel datasets. Regression analysis is used to compare the effects of different promotional mechanics upon different tiers of product across the fresh beef category in Tesco, using both scanner data and loyalty card data. The results show that using loyalty card data, which enables us to moderate for specific shopper characteristics, produces more statistically significant results and provides a more detailed picture of how promotions influence sales.
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Customer Relationship Management
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