7

Principles of Effective
Contact Management
Advanced approaches
especially for attendees of Unica MIS 2011

COVALENT MARKETING
Cristene Gonzalez-Wertz
Stanton Willins
 A well-governed set of principles that
Contact deliver an engaging, interactive dialogue
Management with each customer that exist across the
organization and supports both effectively

So how can something that sounds so simple,

be so bloody difficult?
Because most companies treat
Contact Management like…

Every one of your marketers wants a slice of the

customer pie – effective Contact Management
means not everyone should have one
 effective
execution

1
1.The bell curve is not your friend – it obscures the detail you need to
have to be effective. 1 in 10 may not be 10%.
The Lie of 2.Dig into the tails – understand what the drivers of performance are at
Averages both ends
3.Don’t just report on test plan performance – dimensionalize the
customers responding to each offer/segment/channel in the test plan
4.Slice and dice your data – use a data visualization tool to allow you to
see performance and drill down easily

It’s not simply the analyst’s responsibility to dig into the data.
It’s yours, too.
 effective
execution
Start by playing around -
these are snapshots from
IBM’s Many Eyes Data Visualizer
ideal customer
experience
 effective
execution

2
The 1. Sporadic communication doesn’t give the customer an sense of a
shared relationship. Too strenuous a rule breaks the process.
Laws of 2. Frequency based rules only prevent – they don’t encourage.
Frequency 3. A customer in the “buying” cycle may want a different experience than
someone involved in a “maintenance” cycle. Find traceable events.
4. Remove the on-boarding period from on-going frequency rules – it
should be treated in a designed set of customer-specific streams.

The best way to arrive at frequency is through rigorous

testing and analysis
 ideal customer
experience
True
Transparent
Straightforward
Fluid
Cascading
Inspiring
Shared
Social
Original
Trustworthy
Personal
Creative
Respectful
Interesting
Valuable
Altruistic
 ideal customer
experience
1. Consistency is the friend and the enemy in customer experience

3
The 2. You have to map the strategy specifically and granularly
Generalization • Products
Problem • Customer Information
• Customer Preferences
• Customer Lifecycle
3. The key is in how the customer values you, not how you value the customer
• Prioritize break fixes and value moments
• Focus intently the high value moments for each customer cohort

The ability to tie to specific types of customer triggers,

events and experiences must be included in your strategy

Listen
Understand - Few observers/ broad but shallow scope. Pockets of knowledge, threads, jigsaw pieces. Discovery
• Determine weak signals
• Assess strategic import
• Focal product categories
• Determine core markets
• Identify influencers
conversational
marketing
Learn Engage Harvest
• Align internal and
external data • Determine value
• Determine *customer* • Determine collaboration • Measure value of input
tone and manner potential (public/private) and interactions
• Trend and opportunity • Determine response • Share internally - develop
analysis “voice” and expertise organizational knowledge

Participate - Multiple players, in multiple positions. Deep/wide/ shallow/narrow. Dialogues and stories. Development
• Community and Media • Localized learnings, but
• Determine sources/ • Align to organizational Managers - best person aggregated and published
locales experts for the content and the - shared when interesting
• Assess community rules • Determine “match/fit” media (for discovery or
• Assess content relevance • Determine message • Beach-heads, outposts delivery)
• Monitor points and throngs • “Hobbyists and Loyalists”

Serve - Few players, laser focus. Lots of little pieces - transactional. Public to private model. Manage knowledge Delivery
Detect sensing model -
• • Share internally - service
keywords, triggers • Public to private forum is just the “catcher”
• Determine context • Correlate: common • Use service organization • Update channel and
sensitivity sources of frustration • Develop specialized skills message approaches
• Determine outlets/ • Channel concerns and integration for • Actively try to reduce
sources • Missing web content multichannel “triaged” service
 informed
interactions

4
Not All
Data is
Equal
Value and Valuable
Engagement
Market-basket
Brand/category
Self service adoption

It’s not about using all of your data -

it’s about using more of the right data
 high-velocity
organization

5
1. There can only be one king - the overriding principle that drives
optimization. Sure, you can model your way into more than one, but still...
Optimization

Rules
2. The debate must be resolved across the participants or anarchy will rule.
3. It requires governance and policing. The first is policy. The second is
where it gets teeth. You need to determine if you want to solve the problem
or make everyone feel good. You can’t do both.
4. Business rules are not mathematical optimizations. Unica Optimize enables
multiple criteria considerations that traditional rules engines cannot

You need to focus on three key dimensions:

consideration, application and duration
 high-velocity
organization
Consideration Application Duration
!"#$#%&'()*+'($% ,&-'$$%."#$#%#/'-.$% 0'-%."*$%+1#%2#-*')%

Primary optimization:
• Sales
• Revenue !"#$#%
*()*3*)456$% Campaign
• Profitability
• Cross-sell/Wallet Share
• Customer Experience !"5.%
• Retention and Loyalty 74)8#.%

• Advocacy Campaign Campaign

• Capacity/Resource Utilization
!"*$%
&"5((#6%
&525&*.9% Campaign Campaign

Understand Evaluate Attach Constrain Offer Align

Place Determine the Run “policy” Allocate the Attach offers to Provide offer
customers into tests in which a exclusions to customer customers sized details and
operational customer can remove population based based on testing mechanisms to
segments participate customers from on budgets, matrix and channel
across an specific organization/BU segment sizing management
organization - communications commitments and
via a centralized hierarchies
view
 high-velocity
organization

6
• Recalls/Crises/Losses
Rules are • Changes in terms
meant to • Disaster recovery
• Relevant new product launches
be Broken • Desirable and responsive features
• Opening up new channels/application that are
closely aligned to the customer’s interests
• Sequenced communications
• Multi-channel coverage

The challenge with governing is trying to not

rewrite the constitution every time
 high-velocity
organization
!"#$%&'()

7
Optimization !  <*#121=()8(:(+&()>-8)3/()?3/)@&*83(8)
Options !  A-$&0)-+)(;-830)3/*3)'81:()3/()98(*3(03)$&03-2(8)%-,*%3,)

Criteria Interaction
Rules
!  "#$%&'()*+,-+()./-)/*0)/*')*)$%*12)1+)3/()4*03)56)'*,0)
!  "#$%&'()3/()7-&3/(8+)8(91-+)./-).1%%)/*:()*)0(4*8*3()(;-83)

Counts Customer
Preferences
!  B0()3/()$&03-2(8C0)48(>(88(')$/*++(%)->)$-22&+1$*D-+)
!  E81-81D=()$-+3(+3)1+)./1$/)3/()$&03-2(8)10)2-8()1+3(8(03('F)8(G($3)4812*8,)48-'&$30)H803)

Capacity !  I1213)*%%-.*J%()$-+3*$30)3-)K)(:(8,)L).((M0)
Rules !  N-)+-3)(#$((')3/()(;-83C0)2*8M(D+9)J&'9(3)->)OKPQR666))

Ratings and !  U*0$*'()4*8D$14*+30)3-)$*24*19+0)1+)3/10)-8'(8VW'(4(+'(+$,)1+)T4D21=()+-3)1+)$*24*19+0X)

Rankings !  Y&$M(3)$&03-2(80).13/)2-'(%)0$-8(0)1+)3/(0()8*+9(0)3-)481-81D=()2*1%):-%&2()

Business !  N-)+-3)2*1%)*+)-;(8)>-8)48-'&$3)%1+().13/1+)56)'*,0)->)*)$-24(D+9)48-'&$3)%1+()-;(8)
Rules !  S>)4-%1$,)481$()10)&+'(8)#)-8)-:(8),R)(#$%&'()>8-2)04($1H$)(;-830)
!  T+$()#))+&2J(8)->)8(04-+0(0)/*:()J((+)'(3($3('R)8(*%19+)*''1D-+*%)4*8D$14*+30)3-)*+-3/(8)$*24*19+)

You need to establish a set of rules that are can

be invoked as needed. But be cautious of
continuous change
 high-velocity
organization
Understand Explore Develop Deliver Affirm
through all the customer’s choice
The customer’s potential the right
channels and success across
needs and wants solutions interactions
Process Layer
consistently conversations

Detect Listen Learn Evaluate Attach Offer Align EngageCommunicate Monitor Discuss Harvest Apply

Social Media Insights Products & Programs Pricing Interactions Social Media
Owned data Projection & Policies/Constraints Rewards Channels Training Measurement Owned Channels Findings
External data Prediction Micro-segments Incentives Queueing Other media

Experiment Layer

Experiment Experiment Experiment Experiment Experiment

Definition Design Execution Performance Reporting
People Layer

Resources Responsibilities Knowledge Collaboration

Technology Layer

Governance and
Data Analytics Tools
Management

17
effective
execution
conversational
marketing
informed
interactions
ideal customer
experience
high-velocity
organization