Traditionally, customer relationship management (CRM) refers to the strategies marketers employ to actively manage the customer experience; the marketing programs they design to influence specific customer groups; or the technologies that enable the delivery of strategy, practice and programs direct to the consumer.
It’s widely acknowledged that a CRM function in some form enables a brand marketer to connect directly with their customers and understand who they are, while understanding which brand messages resonate with individuals and triggers positive responses.
It is also accepted that a CRM function helps to increase reach and brand loyalty through targeted content and messages, whilst at the same time speeding up the evolution of your brand’s marketing with immediately available data-based insights.
Therefore, it’s surprising how many marketers don’t recognize the value CRM can bring to a brand. Many retailers are still oblivious to the role ecommerce and specifically CRM plays in their roles, with 40% of physical sales now digitally influenced [comScore].
Understanding the mobile user experience is vital for every marketer to maximize their campaign’s effectiveness. Most consumers now have constant connectivity - whether this is by smartphone, tablet or computer, and they are ‘always on, always connected’.
Online shopping on mobiles has overtaken desktop for the first time - 52% of website visits are now made via a mobile, while 36% of UK online sales are now completed on a smartphone or tablet [IMRG Capgemini Quarterly Benchmarking Report]. This is only set to rise.
Generally, CRM strategies can be grouped into three main types:
- Formal programs - customer behavior is overtly driven through rewards, e.g. Waterstones Rewards card
- Lifecycle marketing - customer behavior is driven through engaging with the customer at the right time, e.g. a brand’s welcome program
- Customer engagement approach - customer behavior is driven through content and conversations that reflect customers’ interests, i.e. with personalized content
Of course, CRM can also be a combination of the above too.
CRM brings great value to a brand, and it is clear that CRM marketing programs support customer value growth, ensure retention and foster loyalty.
Common program types include:
- Acquisition - acquiring information to uniquely identify an individual
- Conversion - drive to purchase, or other directed action
- Loyalty - drive towards advocacy through incentives or surprise and delight
- Service - reduce friction within the purchase process
- Retention - educate customers on your brand and products
- Win back - re-engage lapsed customers
There are technologies available that enable the delivery of CRM strategy and programs, but if a brand hasn’t already got a CRM solution in their armoury, a good solution needs to include the following elements:
- Data collection - from all customer touchpoints: online, in-store, web, apps, mobile etc to build a rich customer profile
- Data processing - to enrich data and aggregate it into meaningful groups
- Segmentation - to enable a marketer to filter their entire customer base and focus on a specific group
- Messaging - to enable a marketer to efficiently communicate with the customer
- Personalization - to ensure relevant content can be placed in messages
Above all, brands need to remember that context is king. Context is gained through location, proximity, weather, likes and dislikes, and much more. Context is the differentiator that makes mobile marketing the perfect medium for truly relevant messaging. The world has changed – how a customer connects within it is now the greatest opportunity. Consumption has blurred into one seamless experience, both physical and virtual. Getting CRM and mobile strategies right is now as vital as a brand having a website.