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Digg it UP - Information as a Competitive Advantage – Part 2: Creation of Customer Value
In the UK, seven million adults are still living with their parents: 2 million of them are over 30, with another million close to 40. They are known as Kippers – Kids in Parents’ Pockets Eroding Retirement Savings. And the problem isn’t confined to Britain – it’s emerging in all developed countries, with a particularly high percentage in Japan, where Kippers have an even more derogatory name - parasite singles. As more young people leave university with huge debts, many have no choice but to move back in with Mum and Dad. Given the present pension crisis, this is bad news for all concerned.
As Businesses recognize the competitive value of the enhanced knowledge of the Customer, an international trend to better exploit Customer information on all customer lifecycle stages, is witnessed.
Information for new Customer acquisition
Information captured, is used to segment the market into groups and shape products based on the needs of these groups. As the degree of market seg
When you get a call from a school administrator inviting you to interview for a teaching job, how do you feel? Happy? Elated? Excited? Nervous? Scared stiff?You don't need to worry about the interview if you're a well-prepared, qualified candidate. Preparing for a teaching interview is a lot like studying for a test. You can review commonly asked questions, think about what you'll say beforehand, and go in to do your best. If you prepare beforehand, the interview questions will seem routine and familiar. You'll have answers on the tip of your tongue, ready-to-go.Below is a list
The following information categories form a frame of good understanding of the Customer.
Customer behavior:
• Products and services that are purchased
• Product portfolio, product versions, supplementary services, product features
• Recency and frequency of purchases, monetary value of transactions
• usage characteristics of a continuity service (e.g. a credit card or a telephone subscription)
• Share of wallet spend with the business and with competition
Customer interaction history:
Service calls, complaints, campaign offer contacts and customer reactions
Customer value estimations:
• Customer total and per product revenue value
• Customer lifetime value or equivalent metrics
Purchase-decision making process by the Customer:
• Factors which influence choices (e.g. cost, product manufacturing quality, product design, product packaging, product/business reputation)
• product information which is essential to support the decision (e.g. cost, product features)
How does the Customer purchase:
• purchasing channel preferences
• interactions required in order to carry out a purchase
Customer service after the purchase:
• support type and frequency, the Customer requires during products or services usage
• preferred customer service channels (e.g. web channel or call center)
Personal sociographic profile of the Customer:
• Marital status and household characteristics
• Financial condition (income and disposable income)
• Education level
• Lifestyle / Preferences
• how does the Customer relate to predefined customer segments or profiles (e.g. Prizm clusters in the US or Meta-Milieus profiles in Europe)
• demographics of the neighbourhoods in which the Customer base lives (geodemographics)
• Other factors affecting purchasing behavior
External factors affecting Business Customer behavior:
• Competitive environment and market trends
• macroeconomic factors which influence the market
• Regulatory environment in the market
In certain cases, the data gathered can be overwhelming. For example the phone calls made by a long list of Customers, are generating an enormous volume of call detail records. The telecom company should design a realistic approach to handle this valuable information effectively.
Customer holistic view
Many Businesses operate legacy systems serving exclusively a specific business process or a specific organizational unit. These legacy systems capture customer information and they are hardly accessible by other organizational units. Therefore, information on customer interactions with the Business, is dispersed in uncoupled systems which form ‘information silos’. This Business cannot develop a ‘complete view of the Customer’ and offer it to all relevant channels.
As Businesses recognize the competitive value of the enhanced knowledge of the Customer, an international trend to better exploit Customer information on all customer lifecycle stages, is witnessed.
Information for new Customer acquisition
Information captured, is used to segment the market into groups and shape products based on the needs of these groups. As the degree of market segm
About 75% of the 22 million small businesses in the U.S. are owned and managed by a single individual. The typical business reflects the solo owner’s values, tastes and personality. Most importantly, the business and its owner are inseparable in the eyes of customers and prospects.You can turn personal involvement into marketplace advantage by creating a strong, distinct Personal Brand identity.What is a Personal Brand?Personal branding represents a powerful personal self promotion and small business strategy. You create a Personal Brand based on your talents, skills and
• Customer total and per product revenue value
• Customer lifetime value or equivalent metrics
Purchase-decision making process by the Customer:
• Factors which influence choices (e.g. cost, product manufacturing quality, product design, product packaging, product/business reputation)
• product information which is essential to support the decision (e.g. cost, product features)
How does the Customer purchase:
• purchasing channel preferences
• interactions required in order to carry out a purchase
Customer service after the purchase:
• support type and frequency, the Customer requires during products or services usage
• preferred customer service channels (e.g. web channel or call center)
Personal sociographic profile of the Customer:
• Marital status and household characteristics
• Financial condition (income and disposable income)
• Education level
• Lifestyle / Preferences
• how does the Customer relate to predefined customer segments or profiles (e.g. Prizm clusters in the US or Meta-Milieus profiles in Europe)
• demographics of the neighbourhoods in which the Customer base lives (geodemographics)
• Other factors affecting purchasing behavior
External factors affecting Business Customer behavior:
• Competitive environment and market trends
• macroeconomic factors which influence the market
• Regulatory environment in the market
In certain cases, the data gathered can be overwhelming. For example the phone calls made by a long list of Customers, are generating an enormous volume of call detail records. The telecom company should design a realistic approach to handle this valuable information effectively.
Customer holistic view
Many Businesses operate legacy systems serving exclusively a specific business process or a specific organizational unit. These legacy systems capture customer information and they are hardly accessible by other organizational units. Therefore, information on customer interactions with the Business, is dispersed in uncoupled systems which form ‘information silos’. This Business cannot develop a ‘complete view of the Customer’ and offer it to all relevant channels.
As Businesses recognize the competitive value of the enhanced knowledge of the Customer, an international trend to better exploit Customer information on all customer lifecycle stages, is witnessed.
Information for new Customer acquisition
Information captured, is used to segment the market into groups and shape products based on the needs of these groups. As the degree of market seg
Do you know what you know? In many situation we act without even knowing why we act the way we do. If this is true for one person, what would this mean for an organizations?In business, the management of knowledge is not a primary business activity and therefore difficult to manage: The attention for the topic doesn’t normally last long. And than it is just another supportive task, like accounting, administration, human resources: everybody needs it, but not the whole organization is aware of that.Nonaka and Takeuchi have expressed that two processes are very important when managing kn
• preferred customer service channels (e.g. web channel or call center)
Personal sociographic profile of the Customer:
• Marital status and household characteristics
• Financial condition (income and disposable income)
• Education level
• Lifestyle / Preferences
• how does the Customer relate to predefined customer segments or profiles (e.g. Prizm clusters in the US or Meta-Milieus profiles in Europe)
• demographics of the neighbourhoods in which the Customer base lives (geodemographics)
• Other factors affecting purchasing behavior
External factors affecting Business Customer behavior:
• Competitive environment and market trends
• macroeconomic factors which influence the market
• Regulatory environment in the market
In certain cases, the data gathered can be overwhelming. For example the phone calls made by a long list of Customers, are generating an enormous volume of call detail records. The telecom company should design a realistic approach to handle this valuable information effectively.
Customer holistic view
Many Businesses operate legacy systems serving exclusively a specific business process or a specific organizational unit. These legacy systems capture customer information and they are hardly accessible by other organizational units. Therefore, information on customer interactions with the Business, is dispersed in uncoupled systems which form ‘information silos’. This Business cannot develop a ‘complete view of the Customer’ and offer it to all relevant channels.
As Businesses recognize the competitive value of the enhanced knowledge of the Customer, an international trend to better exploit Customer information on all customer lifecycle stages, is witnessed.
Information for new Customer acquisition
Information captured, is used to segment the market into groups and shape products based on the needs of these groups. As the degree of market seg
The job market will likely have another strong month in July 2006 with an estimated 58 percent of employers in the manufacturing and service sectors planning on increased hiring, according to the findings of a recent study released last July 27.The leading Indicator of National Employment (LINE), a report that was jointly authored by the Society for Human Resource Management (SHRM) and the Rutgers University School of Management and Labor Relations, provides an early, accurate indication of changing job market conditions and is closely attuned with the regular report of the Bureau of Labor St
• Competitive environment and market trends
• macroeconomic factors which influence the market
• Regulatory environment in the market
In certain cases, the data gathered can be overwhelming. For example the phone calls made by a long list of Customers, are generating an enormous volume of call detail records. The telecom company should design a realistic approach to handle this valuable information effectively.
Customer holistic view
Many Businesses operate legacy systems serving exclusively a specific business process or a specific organizational unit. These legacy systems capture customer information and they are hardly accessible by other organizational units. Therefore, information on customer interactions with the Business, is dispersed in uncoupled systems which form ‘information silos’. This Business cannot develop a ‘complete view of the Customer’ and offer it to all relevant channels.
As Businesses recognize the competitive value of the enhanced knowledge of the Customer, an international trend to better exploit Customer information on all customer lifecycle stages, is witnessed.
Information for new Customer acquisition
Information captured, is used to segment the market into groups and shape products based on the needs of these groups. As the degree of market seg
If you've ever held a brainstorming session to come up with new product names, you know that it is usually not hard to get people to attend. In fact, such meetings generally start off with a lot of enthusiasm and elation. This quickly fades though as the cold reality sets in. Naming a new product is really difficult.Naming a product is about as close as you can get to having a root canal without going to the dentist. Even done well with an expert team, it's an exercise in pain, frustration, and disappointment.Nevertheless, there are some things you should know about the process.
As Businesses recognize the competitive value of the enhanced knowledge of the Customer, an international trend to better exploit Customer information on all customer lifecycle stages, is witnessed.
Information for new Customer acquisition
Information captured, is used to segment the market into groups and shape products based on the needs of these groups. As the degree of market segmentation increases (segmentation into smaller more focused groups - microsegmentation), the required information for each Customer must be enriched (e.g. richer demographics, analysis of behavior, customer value analysis).
Information for Customer retention
Customer retention & loyalty is a difficult task, in the modern competitive environment. Customer & market information should be fully exploited in order to strengthen the relationship with the Customer.
Information which:
• contributes to the understanding of the customer profile, the market segmentation and the focused provisioning of products and services on selected Customer groups
• allows the development and use of Customer value models
• allows value-based servicing of the Customer
• allows the adoption of Customer service to specific customer requests or preferences
• allows the guidance of certain Customer profiles to advanced products which are of strategic importance to the Business development or better serve Customer needs (e.g. identify Customer groups of a specific profile for upselling)
• relates to areas of Customer dissatisfaction, in which improvement is needed
• supports the internal assessment on the customer service quality level
• contributes to the identification of differentiation and value creation opportunities, should be systematically captured and used efficiently.
Copyright 2006 – Kostis Panayotakis
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