"Stop thinking channels, start thinking journeys"
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A short presentation on how the relationship between brands and their customers has changed and why multi-channel thinking is limited. It looks at the importance of thinking in terms of the customer journey and introduces the concept of the "customer managed journey"
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"Stop thinking channels, start thinking journeys"
- 1. Stop thinking channels and start thinking journeys Jason Hemingway CMO, Thunderhead
- 2. 2 3 41 what we’ll cover today… THE WINDS of CHANGE STOP thinking in terms of channel START thinking about the customer journey SOME BRANDS leading the way
- 3. what we’ll cover today… THE WINDS of CHANGE 1
- 4. the landscape has changed…
- 5. businesses are struggling to keep up
- 7. what we’ll cover… STOP Thinking in terms of channel 2
- 8. What Businesses Provide What Customers Want Seamless Continuous Contextual Convenient Responsive Inconsistent Channel specific Disconnected Irrelevant Difficult Advocacy Explore Experience Choose Discover Acquire There is a gap
- 9. Broken Conversations You Don’t Even Know Me Poor Experiences Impersonal & Irrelevant 47% ABANDON PURCHASING after two separate interactions 92% FEEL NEGATIVE when asked to provide information multiple times 62% SWITCH PROVIDER after three negative experiences 87% POOR PERCEPTION when treated with a one-size-fits-all approach Source: Engagement 3.0 research report, Thunderhead 2014 The cost of getting it wrong.
- 11. Journey view OUTSIDE-IN CUSTOMER CENTRIC RESPONSIVE RELEVANT INISDE-OUT SILOS DISCONNECTED FIXED Start Thinking Beyond Channels Channel view
- 12. what we’ll cover today… START thinking about the customer journey 3
- 13. what is a CUSTOMER MANAGED JOURNEY The unique and personal flow of interactions based on context, preferences and choices of the customer The brand helps deliver value to both customer and brand at each step in the journey The brand learns from each interaction to improve the choices it offers and guide the flows of interactions
- 14. the 6 tenets of the customer managed journey
- 15. It’s their journey, not yours
- 16. Each customer can be on multiple journeys
- 17. Every journey is unique, dynamic and not linear
- 18. Businesses need to speak with one voice
- 19. Every step on the journey is an opportunity to create value
- 20. Journey performance are a valuable source of customer insight
- 21. The pay-off when we get it right. 85% 92% 87% Source: Engagement 3.0 research report, Thunderhead, 2014 Favour details of offers and deals presented at the right time. Feel positive when customer information and knowledge is put to good use. Have an improved opinion of businesses that remember previous interactions.
- 22. Richer Engagement Stronger relationships Happier Customers
- 23. what we’ll cover today… SOME BRANDS leading the way 4
- 24. vision Identified key channel change points To understand and provide a consistent and personalized experience across all Customer Interactions and Journeys outcome Web offer interaction improvement of 20% - 135% Focused, relevant conversations have resulted in a sales uplift of 59% 131% uplift in email response rates vs. previous campaigns
- 25. vision Customer level insight 96% of customer journeys don’t touch the main brand domain With 1700 bars each with their own website. The brand want to bring the social back into the traditional bar scene and brew up great relationships outcome 6x better response rates when customer website, email and in-pub interactions tailored to journey behaviour
- 26. vision Contact centre agents can see the last digital activities in real-time when a customer contacts them Have the ability to follow the customer journey over all touch points, and have journey information before customers contact the call centre. outcome reduced length of conversation improved the quality of customer service enquiries
- 27. THANKS
Notes de l'éditeur
- Hello everyone and thanks for coming to the session this morning. Today I’m going to issue a call to arms to every marketer in the room. You need to stop thinking in terms of channels. Start thinking journeys. Customers don’t think in channels, businesses do. This is the heart of what I’ll be talking to you about today. By the end of this you’ll know why you need to stop swimming in multi-channel streams and move over to bathe in the clear waters of journey based insight.
- First we’ll talk about the winds of change surrounding the relationship between brands and their customers. As I said, I’m going to tell you why you multi-channel thinking isn’t suitable in todays world. But I won’t leave you hanging. I’ll explain the importance of thinking from the journey perspective and explain a new concept called The Customer Managed Journey. After that I’ll introduce the 6 key tenets that underpin the concept. And finally, we’ll take a quick look at a couple of companies that are seeing real results by looking at the customer journeys.
- So let’s start with what’s been happening. We’ll talk about the whirl-wind of the digital revolution and how consumers expectations have changed and why this has been a problem for many brands.
- Digital revolution has changed customer behaviour. Not static, but continues to change with time, less a revolution more of an evolution now. Consumers are now empowered by the rise of social media, review and comparison sites with personal recommendations and the like. They operate in digital communities, review sites and recommendation platforms – decision making systems outside of the brand. We (as consumers) now operate outside the brand and outside the control of marketers. It’s a good thing for us as consumers, but it’s raised our expectation levels of brands to a new high and it makes it complicated for businesses. We’re also time poor and our attention span is shorter than ever. Today we expect brands to: Know us and our needs- not one size fits all, as the consumer I want interactions that work for me, based on insight the brand has me and my needs what I choose to share with you as a potential or existing customer. Understand my context - soo important. Sometimes you don’t want the whole 9 yards, you might want a little piece of information, or some content or even entertainment or endorsement of what you’ve just purchased. Lots of reasons you might be interacting One conversation - seems obvious but brands still often act in multi-channel world is in a staccato conversation. Make it effortless – don’t’ make it hard for the customer, seemless, easy for the customer almost invisible. Should be how humans behave and dead easy.
- In fact the landscape is constantly changing and often faster than businesses are able to keep up. Digital innovation has had a massive impact on how businesses operate, almost every aspect of the business model and value chain are affected. There are plenty of businesses that have struggled to even stay alive – Kodak and digital cameras and Blockbuster video shops spring to mind, but also there are competitors that are more nimble, service-oriented and fleet of foot. Think of brands like Uber, Netflix and AirBnB and you have these brands that are thinking more service oriented, everything being a service you get what you want when you want it. There’s Co-creation of value, you think of the service you want, you shop around and at the point you want something the brand if it does it’s job gives you what you want when you need it. A mutual exchange here, when you and the brand get what you want from it. This is different from the old days when it was much more geared around marketing, push and inside-out way of looking at the world. Sell more, conversions, acquisition. But not really thinking about those people that aren’t engaging on the relationship we have with them. Now need to pull sales marketing and service together to have a joined up – humanistic conversation with customers. The real problem is that businesses have a plethora of technology across numerous departmental silos; Numerous CRM systems, numerous digital marketing systems and campaign tools, mobile apps and they have different agent desktop systems and often each system is then optimized for dealing with an individual experience in a particular channel, not across the entire customer journey. They don’t talk to each other. If the goal is to be more human, have valuable conversations with a customer that meets your needs as a business and their needs as customers, they can’t enable a seemless customer journey, as they weren’t designed to do that or think “outside-in” Power of our recommendations go a long way. This makes it hard for businesses to build relationships and engagement with customers. No joined up dialogue with customers. Brands need to behave more humanly when they interact.
- Think about going for coffee with a friend. You met them last week, you remember that chat and then you continue the conversation where you took off. It’s the way humans interact, you don’t think “I don’t know you” even though we were doing business together on a website (or mobile channel) yesterday – you don’t look at those instances as being isolated conversations, you think about them as an accumulated experience joined up in a journey. Putting this into a multi-channel context - Businesses need to think about how they can be more human and relevant. They shouldn’t be thinking about how can I sell more to that customer when it’s completely turning the customer off. If the customer is in a point in the journey when it’s irrelevant to sell to them, when it’s appropriate to serve them better or resolve a problem – do that. Provide value at every step of the journey. It’s one of the most fundamental challenges facing businesses today. Because happy customers are engaged customers they will spend more with you, stay with you for longer, tell their friends and forgive you when things go wrong. This requires a fresh approach – a completely new way of looking at the relationships you build with customers – more than multi-channel marketing at them.
- So let’s talk about why multi-channel thinking isn’t enough.
- Typical customer lifecycle. Match that against what the business provides – they were never designed for a complete view of the customer. There is a gap that exists. Customers want: Seamless – channel agnostic experiences everywhere they interact = Brand operates in an inconsistent way Continuous – Every interaction is continuous and picks up where the last left off = brands operate in very channel-specific ways Contextual – taking into account device, location, my journey and previous interactions and purchase history = disconnected view of customers = disconnected customers Convenient – at my pace, don’t rush or force me. Stop if I’m having a problem or know when to ask = brands deliver irrelevant and miss-timed offers and messages Responsive – Customers want it to be quick. Look for trends and obstacles for me – make it easy for me = channel thinking makes it difficult for the customer to have a good journey Next - There is a cost to getting this wrong.
- And there is a cost to getting it wrong. Last year, we conducted a survey of 2000+ consumers Talk through Make it real.
- To do this you need to stop thinking channels – think journeys. Make what customers expect what your business delivers. In the ideal world you’d listen to your customer as they travel across the brand, you’d understand their intent, wherever they are in the journey. You’d look at your historical relationship with them, what sort of products and services you’ve had with them in the past, what experiences have worked well. You’d match that up with the journey they’re on at this point in time and then artbitrate all of that together and provide the most appropriate conversation that meets their need and the needs of the business. Building engagement isn’t about experience on its own, it’s about pulling together all of this insight you have and working out in that moment whether it should be a sales, service or marketing conversation – or actually no conversation at all. Engagement is all of these things together working harmony. It’s about behaving more like humans, developing a real relationship. That’s what will create happy customers and a healthy business.
- So let’s look at channel thinking and journey thinking Thinking channels is reflective of Inside-Out thinking, it’s not aligned to customers or their expectations today It’s based on organisational silos built for business operations in a pre-digital world They result in disjointed customer experiences and disconnected customers It’s fixed and not joined up across the entire customer journey Switching to customer journeys is taking the “Outside-in” approach, aligned to your customers It’s understanding that they are customer managed – not by the business It’s about being responsive to the customer need in the moment It’s about being relevant, adding value for both parties
- So how should we think? Based on all of what I’ve just talked about we developed the concept of the customer managed journey – let’s now take a look at it as a concept, what underpins it and why it’s the future for building engagement and real relationships with customers.
- Told I should not just read this out by my team – feels a bit weird The concept of the customer managed journey is: Customers choices, context & preferences Brand helps deliver mutual value Brand learns to improve choices and guide flows Nuff said.
- In true strictly fashion – in no particular order, I’ll tell you the 6 tenets underpinning that concept that we should bear in mind when thinking about journeys.
- NOT BP or Marketing Funnel – CAN’T BE PRE PLANNED DON’T THINK YOU CAN MANAGE THE JOURNEY LISTEN & LEARN FROM CHOICES – OUTSIDE IN, UNDERSTAND WHATS HAPPENING AND MEET THE CUSTOMER WHERE THEY WANT MANAGE INTELLIGENT RESPONSES TO CHANGING BEHAVIOUR AND PAST EXPERIENCE
- CUSTOMERS CAN HAVE MULTIPLE JOURNEYS AT DIFF LEVELS, FOR DIFFERENT PURPOSES AT THE SAME TIME. CAN’T MAP THESE EFFECTIVELY WITH JOURNEY MAPS OR CAMPAIGNS AS THEY”RE ISOLATED VIEWS MORE THAN ONE PRODUCT, I COULD BE BUYING SOMETHING NEW MULTIPLE JOURNEYS CAN IMPACT EACH OTHER – DON’T SELL ME SOMETHING WHEN I’M HAVING AN ISSUE. PAUSE IT – DO SOMETHING ELSE, SOLVE MY PROBLEM, BUILD THE BRAND BACK UNDERSTAND CROSS-JOURNEY, CROSS CHANNEL BEHAVIOUR
- RAILROAD – DIFFERENT TRACKS, CUSTOMERS LIKE LEAVES IN THE WIND – MORE FLUID JOURNEYS CHANGE THERE IS UNFORSEEN/UNPLANNED BEHAVIOUR WHICH YOU NEED TO SEE UNDERSTAND THIS AND TURN TO YOUR ADVANTAGE GATHER THIS INFO DYNAMICALLY AND PERSONALISE AND TAILOR TO THAT JOURNEY AT THE RIGHT TIME LEARN FROM THIS TO DELIVER EFFORTLESS JOURNEYS IN THE FUTURE
- EVERYTHING MUST BE CONNECTED. BUSINESS MUST ACT AS ONE. BRIDGE THE SILOS ALL FUNCTIONS AND CHANNELS MUST CONTINUE THE JOURNEY REGARDLESS. NEED TO HAVE CONTINUOUS AND RELEVANT CONVERSATIONS WITH CUSTOMERS. NO LONGER CHRIS IN CALL CENTRE, WENDY ON THE WEB AND BOB IN THE BRANCH SAYING DIFF THINGS – COFFEE SHOP – IF YOUR PAL DID THAT ? EG HOLIDAY BOOKINGS CHANNEL LESS APPROACH: AWARE BUT AGNOSTIC
- PEOPLE OFTEN ONLY MOVE ALONG THEIR JOURNEY IF THEY GET VALUE ALL ASPECTS OF THE JOURNEY NEED TO BE AVAILABLE TO PROVIDE VALUE ALIGN WHAT BRAND DELIVERS WITH WHAT CUSTOMER NEEDS – EXCHANGE VALUE – COLLABORATIVE RELATIONSHIP Often the darkest moments in the journey is where a brand can cement a customer for life if they turn it around. In fact there was an article in the Harvard Business Review a while ago that demonstrated that journey performance was a 20-30% stronger indicator of customer loyalty, customer satisfaction and business outcomes than conventional measures like NPS CSAT etc.
- ACTUALLY A CRITICAL SOURCE OF INSIGHT AND KEY TO HELPING CUSTOMERS ACROSS THEIR JOURNEYS WHAT IS WORKING. WHAT IS HAPPENING WHEN AND WHERE, WHY ARE PEOPLE DROPPING OFF OR MOVING CHANNELS? HOW CAN WE USE THE JOURNEY INSIGHT TO OPTIMISE THINGS OR CONNECT OUR CONVERSATIONS IN THE MOMENT IF WE WAIT FOR SURVEYS OR COMPLAINTS WE’VE ALREADY LOST
- There is a payoff for getting it right…
- In the end if you look at things this way you’ll Build richer engagement with your customers This will lead to stronger relationships Which gives you happier customers – who’ll stay with you longer, spend more with you, tell their friends how amazing you are and forgive you when things go wrong…
- Key point for all of these case studies is the speed at which the shift can be made. Not a massive replace of existing infrastructure. Typically start in 1 or 2 channels, drive customer recognition, link that to CRM data and proliferate out from there. Really light touch.
- SAGA travel, established in 1953, provides holidays for 150,000 over 50 customers each year. They realised that to stay competitive they needed to provide a consistent experience across all of their channels. Looked at connecting the customer journey to understand customers better. Time to value: 12 weeks Tested the hypothesis that customers research most of their holidays online and either select a product (specific holiday or cruise) then they talk to someone in the call centre to book, so the call-centre agents scripts etc were built around offers to close. Link to tenet – value of journey insight Started listening to their customers and found that when people move from digital to call centre about 92% moved prior to selecting a product. So what did this show? They found that when selecting a country for e.g. SPAIN people got reams of hotel and holidays etc. So it showed this wasn’t working as it’s confusing. SO, point 1 personalise the web based on what those people are doing to make it easier for those that wanted to self-serve on the web. For those that wanted to move we give the agent all the information about the point they move so they can have a more informed and joined up conversation – what people here were looking for was advice not sell. Prior to this they had product sell and really they were still at the research phase in their journey to get “advice” – it wasn’t appropriate to sell to them at this point. Channels and journeys supported: Digital, CRM, Outbound, Marketing, Sales, Service ROI/Outcomes: Focused, relevant conversations have resulted in a sales uplift of 59% Web offer interaction improvement between 20% and 135% 131% uplift in email response rates vs. previous campaigns
- Marston’s is a renowned UK hospitality company operating over 1700 pubs. It’s also the world’s largest brewer of cask ale. Started by listening on to build a picture of real-time customer behaviour. On physical (thru pub wifi), digital and outbound areas. Joining up three key areas. Joined physical – in the pub with wifi, with digital behaviour and then linked to offers and personalisation – just to start. Changed the timing, details and nature of how they are marketing to customers Time to value: 8 weeks
- All about insight. Key to be able to understand who is looking at moving home or comparing Energy prices, as this company has a problem with customer attrition. Need to retain customers. Have an energy price comparison on the website and could see customers checking prices Now no-one checks energy prices if they’re happy, so understanding this you have insight into who might be thinking of leaving and can tailor your conversations, your activity to these needs. Time to value: 6 weeks Channels and journeys supported: Digital, CRM, Service