Digital Strategy: Reconnect Customer & Rebuild Org Flashcards
What is customer journey?
Complete sum of exp. that customers go thru when interacting w your company & brand - documents the full exp. of being a customer
use marketing funnel (aka conversion funnel) to see customer’s path-to-purchase from being:
- aware of the product/brand
- interact (consider, purchase, service) w the pdt / brand
- loyal to the pdt / brand: repeat purchase, support the brand
What are the various touchpoints of a customer journey?
- Awareness
- Consideration
- Purchase
- Service
- Loyalty
What are aspects of reconnecting with customers?
- Aquiring Customers - Digital- & social-mkting -> new channels for aquisition
- Engaging Customers - not tech & data alone but unique value
- Measuring & Optimizaing Marketing Spend - effectiveness in ads spending
Why do we need to consider Customer Lifetime Value (CLV)?
CLV is a metric that indicates the total revenue a business can reasonably expect from a single customer account thruout the business r/s
E.g. Blue Apron, a meal-kit maker stubled in its IPO bcs analyst recognized that 60% of customers left after 6 mths
What is the 200-20 rule?
- 20% of the customers provide 80% of the revenue
- 20% of the customers provide almost 200% of the profit
How to acquire customers?
- Moments of Truth
- From search to purchase
- Personalization & retargeting
- Social media advertising & viral marketing
- Acquisition thru offers (e.g. price promo)
- Freemium model for aquisition
What are the moments of truth (3)?
Happens at store shelf:
1. ZMOT - Zero Moment of Truth -> Search & evaluate
2. FMOT - First Moment of Truth -> Purchase
Happens at home:
3. SMOT - Second Moment of Truth -> Consume
What is from search to purchase?
- Paid media (e.g. search engine mkting, sponsored ads)
- Owned media (e.g. own social media channels, websites, blog posts)
- Earned media (e.g. influencers, reviews, online word of mouth)
What is personalization & retargeting?
Ads to customers who visited but didnt buy
What is the Freemium model for acquisition
- Digital Products - almost zero production & distribution
- Adobe changed from selling packaged pdt to monthly subscription service w freemium model -> aquired millions of free users
What are the potential market segmentation criteria?
- Geographic Criteria (Macrogeographic / microgeographic Criteria)
- Sociodemographic Criteria (Demographic / socioeconomic Criteria)
- Behavioural Criteria (Price behaviour, media user, pdt choice)
- Psychographic Criteria (Motifs & attitudes, lifestyle criteria, value expectations)
How do you engage consumers?
- Providing value
- From storytelling to storymaking
- Moment-based mkting
How do you provide value to consumers?
- leverage mobile to create win-win strategies
- Tesco “Virtual store”, Homeplus in S. Korea in Seoul’s busiest subway (distance of supermarket in Korea > SG)
- Sephora’s Virtual Artist app - enables consumers to try on pdts instantly –> shopping is more effective & interesting
How do you use from storytelling to storymaking?
Use a broader message that is emotionally engaging -> allows for a 2 way conversation
- makes consumers an integral part of the story
- makes your brand a part of consumers’ true-life exp
Example: Mastercard’s aim on making meaningful exp - “Connecting People to Priceless Possibilities”
Campaign “Priceless Causes”
- to generate donations to particular charities when consumers use Mastercard
- collab with STB to launch mkting partnership to boost domestic tourism
- launch of 16 new & exclusive priceless exp like sailcations -> help locals reconnect w familiy & friends
- Audience: Families, Young Professionals (both makes up >50% of SG cardholders)
What is moment based mkting?
- X about consumer demographics, interests / past purchases
- about the moment & context
E.g. DBS developed Home Connect
- users calculate mortgage payments for their home purchases & check infoon on past transactions for similar properties - includes rental information
- to get customer for mortgage lending
