The insights found in customer data can inspire product, process, and service renewal that help companies outshine their competitors.
Most companies are awash in customer data. Whether it’s purchase activity, demographics, psychographics, customer feedback, or Web activity, there is so much information to draw from that the challenge becomes unearthing the invaluable insights hidden within the reams of facts and figures.
Crafting fact-based marketing, sales, and service strategies using insight gleaned from customer data is one way companies are gaining a competitive advantage today. In fact, experts say that timely, accurate, cross-channel data is the key to shaping the customer experience, crafting relevant marketing messages, and ensuring a consistent cross-channel experience.
Fortunately, as the number and quality of the avenues for tracking and collecting data increase, so do the technologies needed to make sense of all the customer information available to companies today. Advancements in such areas as predictive analytics, lead scoring, and integrated database management are helping companies to consolidate data across channels, achieve a 360-degree view of customers, grab the right customers’ attention at the moment of interaction, create marketing campaigns that align with customer preferences, and boost the ROI of their customer strategies.
Not surprisingly, although nearly three quarters of companies house their customer data in multiple databases, 58 percent have launched an initiative or task force to integrate data across the enterprise, according to a recent survey by 1to1 Media.
“Anticipating customer needs and behaviors allows a company to proactively engage customers with customized interactions that are both relevant and timely,” says Martha Rogers, Ph.D., a founding partner of Peppers & Rogers Group. “Customers don’t simply want companies to collect information about them—they expect that insight to be used to add value to the relationship.”
In the pages that follow, learn about some of the technologies available today that aim to help organizations successfully sift through their customer data to find the nuggets of gold that will help to increase customer value and boost bottom-line results. —Ginger Conlon, Editor-in-Chief, 1to1 Magazine
Capture Customers at the Moment of Interaction with On-Demand Analytics
Marketers spend millions to generate a response from a customer, but then strike out at the most crucial point of the acquisition cycle—when the customer reaches out. Typically, only 40-60% of ad responders become customers. That translates to approximately 50% of high-value leads that are lost.
As budgets tighten and competition stiffens, marketers can no longer allow these hot leads to go cold. With a cutting-edge approach to analytics called on-demand scoring, marketers can make their dollars work harder and convert more hand raisers into customers and profit.
Seizing Opportunity at the Moment of Impact
On-demand scoring gives selling organizations deep insight into consumers previously unknown to them. While many companies have begun implementing lead-scoring strategies, most of them still haven’t realized the advantages of scoring on demand—particularly in the business-to-consumer space.
Consider this: Companies invest considerable time and resources with consulting firms to analyze their customer base, but how can they apply that knowledge to unknown prospects? Moreover, how can they wield that knowledge when it is needed most...at the moment of converting a prospect to a customer?
Creating Relevance at Every Touchpoint
Through on-demand scoring, marketers can apply a wealth of actionable insight in a split second—in the call center, on the Web or at the point of sale. This on-demand approach to analytics allows them to:
- Instantly identify high-value prospects
- Prioritize leads for follow up or inquiry handing
- Verify, correct and enhance lead contact information
- Match prospects to the most appropriate sales rep or call-center agent
- Create more relevant experiences that convert interest into a sale
- Vary scripts and deliver spot-on cross-sell offers—on the fly
- Build a lead-management database to track results and optimize performance
- Personalize coupons and next-visit offers provided with purchase
- Capture name and address to populate a CRM database
- Customize follow-up and loyalty communications
- Locate customer households and define trade areas for local marketing
Increase Conversion Rates and Save Marketing Dollars
From finance to automotive to retail, companies and organizations across every industry are making their marketing dollars work harder through on-demand scoring.
Case-in-point: Liberty University. It purchases many of its best leads from partners that sell the same leads to its competitors. In order to be the first university to follow up with an eager learner, it needed the ability to instantly recognize high-value students— those most likely to stay enrolled through graduation. The non-profit university turned to on-demand scoring, building a lead-scoring program that allows it to personalize its treatment of leads on the fly and focus on the ones most likely to become long-term, profitable students.
The lead-scoring model instantly classifies tens of thousands of leads per month. The most promising leads are directed to enrollment counselors and less intense follow-up strategies are applied to the remaining leads. Furthermore, promising leads and enrollment counselors are matched based on the students’ interests and the counselors’ skills and experience.
Upon implementation, the university immediately started converting four to five percent more high-quality student leads and is now saving more than $150,000 a year by focusing spending on high-value leads.
“Getting Up to Speed”
Ready to begin analyzing leads on demand? To ensure a successful transition, there are a few questions to consider:
- What kind of scoring model will you build? While generic industry scores are available, for ultimate predictive power, companies should seek a lead-scoring system specific to their business, audience and products.
- What data should feed for your model? Internal customer-history and transaction data is only part of the equation. By integrating third-party data, companies can develop a highly predictive set of scores that apply to customers and unknown prospects alike. Models should also verify leads, incorporating contact-information quality into scores.
- How can you make scores available in real time? The key to instant, improved decision making is delivering lead scores over a real-time network to each customer touchpoint, including the call center, the Web and point of sale.
On-demand scoring lets companies recognize the leads that are most valuable and pinpoint the offers most likely to close the deal. As a result, marketers will not only improve customer engagement, acquisition and retention, but also empower their companies to respond smarter and faster than the competition.