Customer Intelligence
Understanding customer behavior has long been a elusive challenge, especially in today´s rapidly expanding multi-channel selling environment.
Traditionally companies tend to look at their customers in aggregate: that is they look at classes of customers, clusters of outlets and general target demographics. This analysis can often result in an incomplete picture of customer behavior and buying patterns. As a consequence, companies yield less than optimal results when changing elements such as their messaging, marketing, merchandising and pricing strategies. Lack of internal systems that allow companies to effectively evaluate and act on behavior trends stood in the way of progress.
Most companies use Business Intelligence on an enterprise-wide basis. Nearly half have active Business Intelligence implementations in place for their customer management processes and sales analysis. However only 1 in 6 use real- or near-real-time business intelligence-related data measuring techniques. Given companies´objectives to create a more dynamic and fast-moving supply network capable of interdepartmental data management processing, this remains an area for improvement.
Good customer service comes from good customer data. However, most companies still manage messaging, marketing, merchandising and pricing strategies, independent of understanding the impact on individual customer behavior.
Business intelligence functionality has evolved beyond simple dashboards that show red, yellow and green flags for exception reporting, to simple but sophisticated systems capable helping marketeers understand future trends based on past performance and missed opportunities.
Best-in-Class enterprises are on the cutting edge of quantifying customer behaviors, measuring conversion, retention, acquisition, product interaction, customer participation and product preferences/affinity. Beware to also address the internal, non-technical challenges associated with BI, such as the resistance to trusting data generated by business intelligence systems, and the ability of BI to replace existing functionality.
Customers are often arbitrary and inconsistent in their behavior. While companies lack crystal balls that precisely forecast customer´s buying behaviors, top performers have been able to capitalize on decision support solutions such as customer analytics to exploit the intelligence captured from multiple touch-points.
Numerous tools, applications, solutions, systems and services are available for support in customer analytics strategies and processes.
One way to see how you can benefit from Customer Analytics is to assess your organization on five categories:
What are the benefits?
Top performers focus on customer value and customer retention at rates 2X higher than other groups.
Moreover, leaders outperform their peers at performance rates at nearly two times as high in all key metrics except customer acquisition rates.
Traditionally companies tend to look at their customers in aggregate: that is they look at classes of customers, clusters of outlets and general target demographics. This analysis can often result in an incomplete picture of customer behavior and buying patterns. As a consequence, companies yield less than optimal results when changing elements such as their messaging, marketing, merchandising and pricing strategies. Lack of internal systems that allow companies to effectively evaluate and act on behavior trends stood in the way of progress.
Most companies use Business Intelligence on an enterprise-wide basis. Nearly half have active Business Intelligence implementations in place for their customer management processes and sales analysis. However only 1 in 6 use real- or near-real-time business intelligence-related data measuring techniques. Given companies´objectives to create a more dynamic and fast-moving supply network capable of interdepartmental data management processing, this remains an area for improvement.
Good customer service comes from good customer data. However, most companies still manage messaging, marketing, merchandising and pricing strategies, independent of understanding the impact on individual customer behavior.
Business intelligence functionality has evolved beyond simple dashboards that show red, yellow and green flags for exception reporting, to simple but sophisticated systems capable helping marketeers understand future trends based on past performance and missed opportunities.
Best-in-Class enterprises are on the cutting edge of quantifying customer behaviors, measuring conversion, retention, acquisition, product interaction, customer participation and product preferences/affinity. Beware to also address the internal, non-technical challenges associated with BI, such as the resistance to trusting data generated by business intelligence systems, and the ability of BI to replace existing functionality.
Customers are often arbitrary and inconsistent in their behavior. While companies lack crystal balls that precisely forecast customer´s buying behaviors, top performers have been able to capitalize on decision support solutions such as customer analytics to exploit the intelligence captured from multiple touch-points.
Numerous tools, applications, solutions, systems and services are available for support in customer analytics strategies and processes.
One way to see how you can benefit from Customer Analytics is to assess your organization on five categories:
- process – ability to standardize efficiencies
- organization – corporate focus, structure, collaboration
- knowledge – ability to utilize customer analytics to create actionable programs
- technology – ability to integrate systems and automate processes across the enterprise
- performance – assess performance metrics in relation to industry best practices
- Easy of Use – ability for users and/or analysts to create reports, workflows, optimized offers, profitability models
- Analytics & Reporting – ability to aggregate and report on customer segments, products, channels, campaigns and to perform customer value modeling based on both transactional and interactional data
- Integration & Services – ability to integrate and interoperate with enterprise application and to provide training and/or professional services
- Deployment timeframe & Return on Investment
What are the benefits?
Top performers focus on customer value and customer retention at rates 2X higher than other groups.
Moreover, leaders outperform their peers at performance rates at nearly two times as high in all key metrics except customer acquisition rates.