The document provides advice from a fictional grandmother, Sally, on how to succeed in customer relationship management (CRM) based on her 65 years of experience in customer service. She emphasizes the importance of truly understanding customers through research, segmentation, and listening. Her wisdom stresses providing a personalized, convenient, and human experience for customers through community, content, and commerce tailored to their needs and with their privacy and preferences in mind. Grandma Sally's tips focus on treating customers like individuals and building long-term relationships through service, trust, and mutual understanding.

1. Cook up a Bright Future in Customer Relationship Management… by passing the Grandma Test! Michele Bartram Digital Diva/ E-business Evangelist, WebPractices.com Senior Vice President, Commerce /“Commerce Czar”, iVillage.com Email: mjb@webpractices.com As Presented at the eCRM Summit, Carmel, California, May 17, 2000 “ Follow Grandma Sally’s Traditional Recipes to bring in Real Customers and keep ‘em comin’ back in a Virtual World”

16. CUSTOMER KNOWLEDGE MUST PRECEDE STRATEGY FORMULATION Creating a strategy without knowing your customers is “ like the egg teaching the chicken.”

18. Customer Segmentation Study Source: Dialogos, Inc. www. dialogos .com Business Objectives Program Execution Segmentation Requirements Audit Enterprise Segmentation Lifecycle Segmentation Value Segmentation Other Segmentations Marketing Strategy / Master Planning Acquisition Models (Customer Profile, Response, Conversion) Retention Models (Retention, Lifecycle, Response) Growth Models (Cross-sell, Up sell) Marketing Solutions focused Business Intelligence focused Behavioral Segmentation Program Planning Customer Engagement Identify Opportunity Test Program Develop Program Measure & Analyze Implement Program Monitor Performance Refine Program Wrap-Up

22. OLD-TIME CUSTOMER REQUIREMENTS: They Want It All “ If wishes were horses then beggars would ride!”

29. PERSONALIZATION “ One-size-fits-all don’t fit nobody good” CUSTOMERS WANT TO BE RECOGNIZED AS INDIVIDUALS, NOT PART OF A GROUP

40. IMPLEMENTATION “ You better make hay while the sun shines.”

42. 9-Step E-Biz Blueprint Methodology Repeat 3 times to map Current, Best, & then Ideal Practices Customer Who are/should be your customers & what are their requirements and preferences for your organization in products and services? 1 drives Strategy 2 What are the e-business policies and differentiating set of activities that your organization needs to deliver a unique mix of value to customers? What customer needs should/ not you meet? Process What is the series of action steps, tasks & business rules that is required to complete the desired e-biz strategies and polices? 3 drives Organizational Structure What is the most logical grouping of jobs & individuals needed to support the business processes effectively? 4 dictates is comprised of People What skills,training, roles, authority, & incentives are needed to do these jobs? Include in-house and outsource jobs, with e-biz/ marketing, content/ design & tech. 5 Intelligence What intelligence (research, reports, information) is needed to allow people to analyze the results, predict the out- come or decide a course of action? 6 who need Automation What steps of these processes can be completed faster, better, or cheaper by using computers or equipment? 7 supported by Data What numbers, characters, images or other recorded information is needed to provide intelligence to make decisions? 8 supported by Technology What hardware/ software is needed to to best capture, store, process, & distri- bute data & automate the processes? 9 supported by

44. PHASED APPROACH: “You can’t put one foot in two shoes at the same time.” 5 Core Areas of Business Transformation by Melinda Nykamp as seen on ITtoolbox Portal for CRM at http://www.crmassist.com

47. eBusiness Architecture (Source: Dialogos , Inc.) Customers Financial Systems Manufacturing Warehousing and distribution Order Entry Web E-mail Ad Mgmt E-commerce Engine Data Marts Observation Mart Order Mart Cross-sell Mart Segmentation Mart Intelligence Engine Reporting Engine Business Rules Repository Business Rules Engine Data and Rules Publication Analysis and Business Rule Development Search Engine Web Server Mgmt & Reporting Fraud Detection Observation Server Content Mgmt Business Partners

48. Final eCRM Advice from Grandma before she’ll buy from you

56. The Moral of the Story: Grandmas know that companies who don’t implement eCRM “ ain’t got no more chance than a grasshopper in a chicken house.”

58. RESOURCES NOTE: The following software applications and companies are listed for information purposes only and do NOT imply an endorsement of the companies or products or results that may or may not be achieved.