How well do you know your customer? On March 6, iCrossing and our guest Forrester Research hosted a webinar that gave attendees the tools to better understand your audience across the customer journey. For more information visit www.icrossing.com

1. Audience Insight in the
Real-Time Era
An iCrossing Webinar with Forrester Research, Inc.
March 6, 2013 | 1:00pm EST

2. With you today #iCinsight
Lisa Ponte Fazio
Senior Vice President, Market Research,
iCrossing
Jonathan Browne
Senior Analyst, Forrester Research, Inc.

3. Agenda
› What is customer understanding
and how does it relate to customer
experience?
› Why is customer understanding
critical to building a brand?
› What is different about how we
understand our customers today?
© 2013 Forrester Research, Inc. Reproduction Prohibited 3

4. What is Customer Experience?
Does it just mean marketing?
Is it customer service?
Or something else?
© 2013 Forrester Research, Inc. Reproduction Prohibited 4

5. Customer Experience is:
How your customers perceive their interactions with your company.
© 2013 Forrester Research, Inc. Reproduction Prohibited 5

6. Customer understanding is essential
› Customer understanding is the sensory
system of a healthy customer
experience practice.
› Systematically applying appropriate
customer understanding practices,
enables organizations to:
• Empathize with customers
• Discover customers‟ latent needs
• Share a consistent view of the customer
across the organization
• Respond to evolving customer behavior
© 2013 Forrester Research, Inc. Reproduction Prohibited 6

7. A healthcare provider uses personas to
build empathy with its customers
© 2013 Forrester Research, Inc. Reproduction Prohibited 7

8. BBVA’s personas enabled the bank to
see the deep needs of key customers

9. The bank found that cautious customers
wanted “reassurance” and “recognition”
when they were seeking advice

11. Agenda
› What is customer understanding
and how does it relate to customer
experience?
› Why is customer understanding
critical to building a brand?
› What is different about how we
understand our customers today?
© 2013 Forrester Research, Inc. Reproduction Prohibited 11

13. © 2013 Forrester Research, Inc. Reproduction Prohibited 13

14. Brand is not just about the promises you
make … It’s about keeping them.
Make promises
Communicate brand image
Keep promises
Deliver value
© 2013 Forrester Research, Inc. Reproduction Prohibited 14

15. Emirates mapped customer journeys
Source: Emirates

16. Emirates analyzes “relationship makers”
and “relationship breakers”
Source: Emirates

17. Agenda
› What is customer understanding
and how does it relate to customer
experience?
› Why is customer understanding
critical to building a brand?
› What is different about how we
understand our customers today?
© 2013 Forrester Research, Inc. Reproduction Prohibited 17

18. AT&T matched users of its online
community to its personas
© 2013 Forrester Research, Inc. Reproduction Prohibited 18

19. AT&T guides discussions in its
community and analyzes its users‟
sentiment about various products
and services based on the personas

20. Companies are investing in closed loop
voice of customer listening programs
Listen Interpret React Monitor
Culture and alignment
Process and organization

21. Firms need to turn data into actionable
insight
October 2012 “The State Of VoC Programs, 2012”
© 2013 Forrester Research, Inc. Reproduction Prohibited 21

22. Technology is a vital for managing the
customer experience ecosystem
Delivery delay: He tweets a
dissatisfied comment

23. Companies need capabilities to listen
and respond – both to solicited and
unsolicited feedback

24. Technology gives companies a handle on
unstructured and unsolicited data
February 2009 “Voice Of The Customer: The Next Generation”

25. What it means
› Brands must meet or exceed customer
expectations by fulfilling their promises
› Ethnography reveals deep insight into
customers‟ rational and emotional needs
› Personas, and customer journey maps help
firms to encapsulate and socialize insight
› Incorporate unsolicited and unstructured
feedback into your customer understanding
© 2013 Forrester Research, Inc. Reproduction Prohibited 25

26. Optimizing Customer Insight Tools

27. 1. The data tsunami
2. Establishing objectives
3. Matching data to objectives
4. Where is it all going?
27

28. “It's difficult to imagine the power
that you're going to have when
so many different sorts of data
are available.”
– Tim Berners Lee
28

29. Site analytics data
Primary research data
Search data
Secondary research data
Social data
Subscription data sources
Hitwise data
So much data
comScore data
DMP data
(CC) Globalwaterpartnership 29

30. “So much data; so little information.”
– Lisa Ponte Fazio
30

31. Objectives
Data
Customer
Insight
31

32. Persona Development Process
It looks intimidating until you break it down.
Trend/Style
Persona
RESEARCH INPUTS
Experiential Mapping Experiential Mapping, Linguistic Profile and Forrester Technographics
or Ethnography and Ethnography, or Social Media Audit Data and Customer Brand Persona
Linguistic Profile quantitative survey Segmentation Data or
DMP data
Price Persona
Overlay
Demographic,
STEPS
Identify Key Drivers of Understand Determine
Usage, and Media
Choice Purchase Process Category Lexicon
Consumption of
Target Customer Feature-Rich
Persona
OUTCOMES
The Customer The Voice of the
Each Unique Choice Journey for Each Persona Reflects Gives the Persona
Driver Defines a Persona Mirrors the Search Behavior and Fact-Based Simple
Behavioral Persona Purchase Process Social Media Characteristics Persona
Trend/Style 1. Consumer TV vs. Television Most likely 3rd Party
Reports Demographic Validation
Brand
EXAMPLES
2. Online Retailer Mobile vs. Cell Characteristics Persona
3. Brand Sites
Price 4. Store HD vs. High
5. Online Retailer Definition Most likely
Feature-Rich participation in
Social Media
Simple
3rd Party Validation
Sites/Magazines/TV
Shows
32

33. What do we want to know about our
target audience?
• How they think about the brand and
the category
• The category lexicon
• What is important to them when
they‟re deciding what to buy
• How they like to shop and buy
– Includes their relationship with digital
channels and technology
33

34. • Search data • Search data
• Social data • Social data
• Research
subscription data
How they think
The category
about the brand
lexicon
and category
What‟s
important to
How they like to
them when
shop and buy
they‟re deciding
what to buy
• DMP data
• Primary research • Primary research
data data
• Forrester
Technographics
data
34

35. Linguistic analysis holds the key to understanding
how your customers think and the category lexicon
“Language is the machinery of the
mind. We have the ability to have
thoughts independent of language; but
language is obviously very important to
supplying the actual content of the
thoughts.”
- Harvard Psycholinguist, Steven Pinker.
Author of “The Stuff of Thought – Language
as a Window into Human Nature”
35

36. “Link by link, click by click, search is
building possibly the most lasting,
ponderous, and significant cultural artifact
in the history of humankind: the Database
of Intentions.”
- John Battelle
Author of “The Search: How Google and Its Rivals Rewrote the Rules of
Business and Transformed Our Culture”
36

37. Identifying the drivers of choice
Trend/Style
OLD SCHOOL
• Ethnography: in
situ or in-depth Brand
interviews
• Focus groups
Price
• Social Feature-Rich
conversation
NEW SCHOOL
analysis
• Search data Simple
analysis
3rd Party Validation
37

38. Delineating the buying decision
PRIMARY DRIVER OF CHOICE
1 2 3 4
PURCHASE TRIGGER
• Search • Search • Search • Search
language language language language
• Activities • Activities • Activities • Activities
• Media • Media • Media • Media
Consumed Consumed Consumed Consumed
• Role of Media • Role of Media • Role of Media • Role of Media
• Influencers • Influencers • Influencers • Influencers
SURVEYS OR QUALITATIVE RESEARCH AGENT-BASED MODELING
38

39. Bringing each persona to life
• Where she/he lives
• Demographics
NEW SCHOOL
• Psychographics
• Activities and hobbies
• Media habits
• Technology adoption
• Mobile channel usage
• Social channel usage
39

40. Putting it all together
Trend/Style
Persona
RESEARCH INPUTS
Experiential Mapping Experiential Mapping, Linguistic Profile and Forrester Technographics
or Ethnography and Ethnography, or Social Media Audit Data and Customer Brand Persona
Linguistic Profile quantitative survey Segmentation Data or
DMP data
Price Persona
Overlay
Demographic,
STEPS
Identify Key Drivers of Understand Determine
Usage, and Media
Choice Purchase Process Category Lexicon
Consumption of
Target Customer Feature-Rich
Persona
OUTCOMES
The Customer The Voice of the
Each Unique Choice Journey for Each Persona Reflects Gives the Persona
Driver Defines a Persona Mirrors the Search Behavior and Fact-Based Simple
Behavioral Persona Purchase Process Social Media Characteristics Persona
Trend/Style 1. Consumer TV vs. Television Most likely 3rd Party
Reports Demographic Validation
Brand
EXAMPLES
2. Online Retailer Mobile vs. Cell Characteristics Persona
3. Brand Sites
Price 4. Store HD vs. High
5. Online Retailer Definition Most likely
Feature-Rich participation in
Social Media
Simple
3rd Party Validation
Sites/Magazines/TV
Shows
40

41. Six discrete personas
BRAND BE LI E V E RS RAV E NO US RE S E ARCHE RS
Put trust in brands, and uses Seek third party research and validation
brand names as a substitute for from consumer and professional reviews
deeper research before purchasing
HAP P E NI NG HI P S TE RS FRUG AL FO RAG E RS
Latest trends and style of Shop on price – they are looking for a
products, guide their purchase deal, or willing to wait for one
behavior
G ADG E T G E E KS BAS I C BUY E RS
Looking for the feature-rich Looking for basic functionality, they are
products with latest innovations unimpressed by brands, trends or bells
and whistles
Site is designed to facilitate TASK COMPLETION for every Persona
41

42. Happening Hipster
PRIMARY MOTIVATION:
Trend/Style MEDIA SITE FEATURES
• Regularly visits news sites, • Premium photography
Epicutious, HBO, CNN money, • Fashionable models & stylish
Marketwatch, MTV, WSJ.com & decorating in images
Flickr • Polished design
• Uses VOIP, gambles online, &
likes to watch full length movies
Jenny sees everything she owns as online.
an extension of herself – and that • Downloads videos, music, and CONNECTS TO
means it needs to look good and be plays games online with others.
cutting edge. She always wants to be • Uses peer-to-peer file sharing
WEB VIA
the first to buy the latest, even if a little • Mobile phone
extra effort or cost are involved. It‟s not • Laptop
just about being in-style, it‟s about • Tablet
being ahead of the curve.
She reads publications that feature
MOBILE PHONE
celebrity lifestyles, celebrity gossip, and ACTIVITIES
fashion. Male Hipsters consume • Talking
publications that have news in an easily
• Daily texting
digestible format and like to read about
cars and sports. • Email
• Mobile Internet
Hipsters are significantly more likely to • Playing games
watch reality TV than consumers in the • Listening to music
other segments. Overall, this group • Accessing social networking sites
consumes online media & social media
with great frequency and in great • Age 33
quantity. Heavy users of mobile apps, • Single
they frequently use their mobile phones • Lives in Brooklyn, NY
to access social media sites. • College education
• Annual income is $87,000
42

43. CDJ: Happening Hipster 1 Look at and play with/ use friends‟
product, visit stores to see actual
product.
CONSIDER EVALUATE PURCHASE ENJOY ADVOCATE
2 Make Facebook status “looking for
new PRODUCT – suggestions?” Keep
track of what friends have to say
SOCIAL
2 6 8 10 3 Search on „best‟ and „hottest‟ +
PRODUCT
DISPLAY/SEARCH
4 Read consumer reviews and visit
brand websites
5 Visit retailer website to see which
desirable PRODUCTS they offer
3
6 Check in on Foursquare at the store to
see if there are any deals for
Foursquare users.
WEBSITE
7 Visit store to do one last comparison.
4 5 Buy PRODUCT.
8 Visit PRODUCT Facebook page, Like,
and make a post
9
Use PRODUCT
OFFLINE
1 7 9 11 10 Rave about the phone on blog
11 Show off phone to fiends and family
43

44. Where is it all going
• Observing actual behavior is better than asking
about behavior. Analytics, especially agent-
based modeling will provide behavioral insight
• Right now, „big data‟ is like those math word
problems from when you were a kid. The
biggest challenge is separating the relevant from
the irrelevant data
• Sometimes we‟ll still have to ask people
questions
44

45. Things to consider
• Have you explicitly identified what you need to
know about your customer?
• Have you matched your information needs with
the most efficient methodology or methodologies
for achieving the learning?
• Can you use the data to tell a meaningful story?
45

46. #iCinsight
Q&A
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47. Thank you
Lisa Ponte Fazio
SVP, Market Research, iCrossing
www.icrossing.com
Jonathan Browne
Senior Analyst, Forrester Research, Inc.
www.forrester.com