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CRM in Retail Industry
 การบริหารความสัมพันธกับลูกคา
      สําหรับธุรกิจคาปลีก
        16 สิงหาคม 2554
     Sundae Solutions
Mr. Navik Numsiang
Managing Director | Sundae Solutions
Managing Director | Sundae Solutions
re tail
re·tail
noun    ’rē-,tāl

all activities involved in selling, renting, and providing goods and
services to ultimate customers for personal, family or household use.
                                       p              y

In the channel of distribution, retailing is where the customer meets
the product. It is through retailing that exchange occurs
     product                                         occurs.

Utilities provided by retailers create value for customers.
          p         y
Time, place, possession, and form utilities are offered by most
retailers.
challenges
noun

 a summons that is often threatening, provocative, stimulating, or
inciting; specifically : a summons to a duel to answer an affront
       g p           y
Problem f b i k and
P bl     for bricks d
mortar retail sectors in
actually

identifying
the
customers
Difficulty in
         y
assembly a
360 view
of the
 f th
customer
Shoppers having
   pp         g   high expectations for in-store services
                    g    p
Retail sector grows in
sophistication
   hi ti ti
Internet & Social   Media
Facing the toughest

economic conditions
Instinctive reaction to cut all

strategic projects and
wait until things improve
findings
noun

the result of a judicial examination or inquiry
Findings by Retail TouchPoints and
The Aberdeen Group, 2008




 Best-in-class retailer are bringing to loyalty programs with the sophistication
 and diverse            multichannel approach.
Member Information acquisitions:

45% of retailers register customers via
             sales associate in the store
41% at POS
41% Online
                                        Findings by Retail TouchPoints and
                                               The Aberdeen Group, 2008
Top two objectives toward loyalty   program objectives:
Lifetime Customer Value (57%)
                        (   )
Competitive Advantage (39%)




                                                     Findings by Retail TouchPoints and
                                                            The Aberdeen Group, 2008
46%
      of retailers did not measure promotion
      among their customer base at all.
                             Findings by Retail TouchPoints and
                                    The Aberdeen Group, 2008
Real time customer data is
14% | in use now & 23% will be a priority over the next year




                                               Findings by Retail TouchPoints and
                                                      The Aberdeen Group, 2008
conceptual
adjective       kən-’sep-chə-wəl, -chü-əl, kän-, -chəl, -shwəl

Of, relating to, or consisting of concepts <conceptual thinking>
What is CRM?




  CRM is a business
 strategy designed to
       optimise
 profitability, revenue
          and
customer satisfaction

       Gartner




              Management Tools & Trends 2010 by Bain & Co. 
CRM Conceptual Framework for Retail
CRM C     t lF         k f R t il
Customer ‐centric CRM Strategy, a Pyramid Framework
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM Conceptual Framework for Retail
         p
Best Practices of Customer Segmentation – CLV Approach
CRM Conceptual Framework for Retail
         p
Best Practices of Customer Segmentation – RFM Approach



                                    111     222     333
                                    121     212     323
                                    131     232     313
                                    112     211     332
                                    113     213     331
                                    122     231     321
                                    123     233     322
                                    132     221     312
                                    133     223     311
Technology
noun    tek-’nä-lə-jē

The practical application of knowledge especially in a particular area
CRM Technology Framework for Retail
Customer‐data driven close‐loop CRM Application Architecture
Customer data driven close loop CRM Application Architecture
CRM Technology Framework for Retail
CRM T h l      F       k f R t il
CRM Technology Strategy and IDIC Methodology
Customer Classification
CRM Technology Framework for Retail
CRM T h l      F       k f R t il
Reference Retail CRM Solution Components
New
adjective       ’nü

Having recently come into existence
Multi‐Channel CRM
M lti Ch    l CRM
Email Marketing and CRM
What’s Good about Email Marketing?
What s       about Email Marketing?
  Highly targeted
  Immediate
  Measurable
  Reach
  Cost Effective
E-mail is NOT
dead


But social
network
usage iis
growing
quickly
ROI of Digital
Channels
Email Market
E il M k t
gave the most
returns on
investment
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
Mobile CRM
A Consumer’s Always‐on Companion
                 y        p
                                   Where Smartphone Is Used?



         93%                                Home

                                        On the go
                                        On-the-go
                                                                             93%

                                                                             87%

                                         In a store                     77%

                                       Restaurant                      73%

                                             Work                      72%



         87%        At a social gathering/ function

                              Café or coffee shop               54%
                                                                      66%




                                   Doctor's Office              53%

                                            Airport             50%

                                           Library        32%



         77%                               School         29%




                                        Source: TheMobileMoment Study, April 2011
70%
Use smartphone while shopping in-store
                              in store
                                  Source: TheMobileMoment Study, April 2011
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
Smartphones Are an Integral Part of a
Multi-channel Purchase Process




                             Source: TheMobileMoment Study, April 2011
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
Data In, Data Out
The key to good data is getting
the data in the system. Staff are
                  y
more likely to input data on
mobile devices at the point of
entry. In real-time.
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
Mash-up
Mash up to CRM
Mash‐ups to CRM 
A mash‐up is a web application 
that combines data from more 
than one source into a single 
th               i t    i l
integrated view.

Content used in mash‐ups is 
typically sourced from a third 
party via a Widget or API (web 
party via a Widget or API (web
service).

  Minimized application data 
   management
  Reduced development effort


     Make CRM SMARTER
Most Popular Mash‐up
       p           p
Mash‐ups to CRM Dashboard
      p
Social CRM
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)
Web 2.0 provoked an 
expansion of the R in the CRM
expansion of the R in the CRM 
acronym

Company / Customer
C         /C
Company / Partner
Company / Competitor
Company / Company
Customer / Partner
           /   p
Customer / Competitor
Customer / Customer
Partner / Competitor
Evolution of the CRM landscape
                              p
                    CRM 1.0                                                                CRM 2.0

                                                                                  Customer                     Customer
                          Customer
                                                                                                Customer

    Customer                                        Customer
                                                                            Customer                                     Customer



                                                                 Customer                                                           Custome

                Competitor     Supplier / Partner
                                                                                       Competitor   Supplier / Partner

Customer                                              Customer
                                                                      Customer                                             Customer




                       Your company
                                                                                             Your company
                                                                    Customer                                                 Customer
            Customer                      Customer                                Customer                     Customer


   Focus on individual relationship (company to                   •Focus on collaborative relationship (engaging a more complex 
   customer, company to partner, etc.)                              relationship network)

   Limited view of the customer and his community                 •Multiple connections allow better understanding of the 
   preferences, habits, etc.
   preferences habits etc                                           customer and his community
                                                                    customer and his community
   Targeted messages generate value                               •Conversation generates value
Evolution of Customer Touch Points
                   CRM 1.0                                                                CRM 2.0
                                                                                                  • Blogs
                                                                                                       g         • Microblogs

                                                                                      • Price comparison website

                                                                                                         • RSS       • Podcast
                 • Phone                                          • Phone
                                                                                             • Wikis
                 • Fax                                            •FFax
                                                                                                               • Social Networks
                 • Email                                          • Email
                 • Service                                        • Service
                                                                                                   • Widgets
                                                                  • Letters

                                                                                           +
                 • Letters                                                                                          • Video sharing
                 •PPersonal contact
                            l  t t                                • Personal contact
                                                                  • Company’s website                  • Photo sharing
                 • Company’s website
                 • SMS                                            • SMS
                                                                  • Instant Messenger          • Forums        • Auction website
                 • Instant Messenger
                 • Chat                                           • Chat
                                                                                                        • Slides sharing
                 • Media                                          • Media
                                                                                          • Reviews and ratings in retail sites
                                                                                                                      • Wish lists
                                                                                       • Social Bookmarking



 Single view of the customer based on the interactions
  Single view of the customer based on the interactions           •Single view of the customer is far more complex to achieve. 
 history, customer profile data residing in the company’s base     Besides internal information, the company must rely on external 
 and data integration with internal systems                        information such as customer profiles in social networks and his 
                                                                   behavior when participating in a community.
 Company owns the data but it is limited to previous 
 interactions                                                     •Customer and other web 2.0 sites own part of the precious data
                                                                  •Customer and other web 2 0 sites own part of the precious data
Evolution of Organizational Mindset
               g
                 CRM 1.0                                                             CRM 2.0

                                                                   !
       !
                                                                                 !
                                                             !
                                                                                     Interaction
                                                                                     Conversation
                                                                                     Contribution
                  Transaction
                  Feedback

   Employee                    Customer                              Employees                          Customers



 Innovation comes from one specialized source within the    •Innovation is gathered from all employees as they are closely 
 company (innovation group)                                   connected to the final customer and to each other via internal 
                                                              web 2.0 tools. Customers are in the center of the innovation 
 F tli
  Frontline employees communicate targeted messages for 
               l            i t t      t d          f         cycle.
 transactional operations 
                                                             •Frontline and non frontline employees engage conversations 
                                                              including new customers in the context and rerouting 
                                                              conversations. New set of employee skills needed.
                                                              conversations New set of employee skills needed
Social CRM Process
Wrap Up
  ap Up
Turn challenges into 
strategic competitive 
advantage and 
advantage and
enhance their long‐
term viability and 
profitability
Mr. Navik Numsiang
Managing Director | Sundae Solutions
Managing Director | Sundae Solutions
M | 0814813999
E   | navik@sundae.co.th
FB | facebook.com/navikn
FB | facebook com/navikn
G+ |  Navik Numsiang
Visit the Our Sundae Ecosystem at
          www.sundae.co.th
          www sundae co th


        Facebook.com/SundaeSolutions

        SundaeSolutions

        YouTube.com/SundaeSolutions
Thank You for Coming
                   g
Sundae Solutions Co., Ltd.
Tel. 0 2634 8899
T l 0 2634 8899
Email: marketing@sundae.co.th
Website: www.sundae.co.th

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CRM in Retail Industry (การบริหารความสัมพันธ์กับลูกค้า สำหรับธุรกิจค้าปลีก)

  • 1. CRM in Retail Industry การบริหารความสัมพันธกับลูกคา สําหรับธุรกิจคาปลีก 16 สิงหาคม 2554 Sundae Solutions
  • 3. re tail re·tail noun ’rē-,tāl all activities involved in selling, renting, and providing goods and services to ultimate customers for personal, family or household use. p y In the channel of distribution, retailing is where the customer meets the product. It is through retailing that exchange occurs product occurs. Utilities provided by retailers create value for customers. p y Time, place, possession, and form utilities are offered by most retailers.
  • 4. challenges noun a summons that is often threatening, provocative, stimulating, or inciting; specifically : a summons to a duel to answer an affront g p y
  • 5. Problem f b i k and P bl for bricks d mortar retail sectors in actually identifying the customers
  • 6. Difficulty in y assembly a 360 view of the f th customer
  • 7. Shoppers having pp g high expectations for in-store services g p
  • 8. Retail sector grows in sophistication hi ti ti
  • 10. Facing the toughest economic conditions Instinctive reaction to cut all strategic projects and wait until things improve
  • 11. findings noun the result of a judicial examination or inquiry
  • 12. Findings by Retail TouchPoints and The Aberdeen Group, 2008 Best-in-class retailer are bringing to loyalty programs with the sophistication and diverse multichannel approach.
  • 13. Member Information acquisitions: 45% of retailers register customers via sales associate in the store 41% at POS 41% Online Findings by Retail TouchPoints and The Aberdeen Group, 2008
  • 14. Top two objectives toward loyalty program objectives: Lifetime Customer Value (57%) ( ) Competitive Advantage (39%) Findings by Retail TouchPoints and The Aberdeen Group, 2008
  • 15. 46% of retailers did not measure promotion among their customer base at all. Findings by Retail TouchPoints and The Aberdeen Group, 2008
  • 16. Real time customer data is 14% | in use now & 23% will be a priority over the next year Findings by Retail TouchPoints and The Aberdeen Group, 2008
  • 17. conceptual adjective kən-’sep-chə-wəl, -chü-əl, kän-, -chəl, -shwəl Of, relating to, or consisting of concepts <conceptual thinking>
  • 18. What is CRM? CRM is a business strategy designed to optimise profitability, revenue and customer satisfaction Gartner Management Tools & Trends 2010 by Bain & Co. 
  • 19. CRM Conceptual Framework for Retail CRM C t lF k f R t il Customer ‐centric CRM Strategy, a Pyramid Framework
  • 21. CRM Conceptual Framework for Retail p Best Practices of Customer Segmentation – CLV Approach
  • 22. CRM Conceptual Framework for Retail p Best Practices of Customer Segmentation – RFM Approach 111 222 333 121 212 323 131 232 313 112 211 332 113 213 331 122 231 321 123 233 322 132 221 312 133 223 311
  • 23. Technology noun tek-’nä-lə-jē The practical application of knowledge especially in a particular area
  • 25. CRM Technology Framework for Retail CRM T h l F k f R t il CRM Technology Strategy and IDIC Methodology
  • 27. CRM Technology Framework for Retail CRM T h l F k f R t il Reference Retail CRM Solution Components
  • 28. New adjective ’nü Having recently come into existence
  • 31. What’s Good about Email Marketing? What s  about Email Marketing? Highly targeted Immediate Measurable Reach Cost Effective
  • 32. E-mail is NOT dead But social network usage iis growing quickly
  • 33. ROI of Digital Channels Email Market E il M k t gave the most returns on investment
  • 36. A Consumer’s Always‐on Companion y p Where Smartphone Is Used? 93% Home On the go On-the-go 93% 87% In a store 77% Restaurant 73% Work 72% 87% At a social gathering/ function Café or coffee shop 54% 66% Doctor's Office 53% Airport 50% Library 32% 77% School 29% Source: TheMobileMoment Study, April 2011
  • 37. 70% Use smartphone while shopping in-store in store Source: TheMobileMoment Study, April 2011
  • 39. Smartphones Are an Integral Part of a Multi-channel Purchase Process Source: TheMobileMoment Study, April 2011
  • 41. Data In, Data Out The key to good data is getting the data in the system. Staff are y more likely to input data on mobile devices at the point of entry. In real-time.
  • 44. Mash‐ups to CRM  A mash‐up is a web application  that combines data from more  than one source into a single  th i t i l integrated view. Content used in mash‐ups is  typically sourced from a third  party via a Widget or API (web  party via a Widget or API (web service).  Minimized application data  management  Reduced development effort Make CRM SMARTER
  • 56. Web 2.0 provoked an  expansion of the R in the CRM expansion of the R in the CRM  acronym Company / Customer C /C Company / Partner Company / Competitor Company / Company Customer / Partner / p Customer / Competitor Customer / Customer Partner / Competitor
  • 57. Evolution of the CRM landscape p CRM 1.0 CRM 2.0 Customer Customer Customer Customer Customer Customer Customer Customer Customer Custome Competitor Supplier / Partner Competitor Supplier / Partner Customer Customer Customer Customer Your company Your company Customer Customer Customer Customer Customer Customer  Focus on individual relationship (company to  •Focus on collaborative relationship (engaging a more complex  customer, company to partner, etc.) relationship network)  Limited view of the customer and his community  •Multiple connections allow better understanding of the  preferences, habits, etc. preferences habits etc customer and his community customer and his community  Targeted messages generate value •Conversation generates value
  • 58. Evolution of Customer Touch Points CRM 1.0 CRM 2.0 • Blogs g • Microblogs • Price comparison website • RSS • Podcast • Phone • Phone • Wikis • Fax •FFax • Social Networks • Email • Email • Service • Service • Widgets • Letters + • Letters • Video sharing •PPersonal contact l t t • Personal contact • Company’s website • Photo sharing • Company’s website • SMS • SMS • Instant Messenger • Forums • Auction website • Instant Messenger • Chat • Chat • Slides sharing • Media • Media • Reviews and ratings in retail sites • Wish lists • Social Bookmarking  Single view of the customer based on the interactions Single view of the customer based on the interactions  •Single view of the customer is far more complex to achieve.  history, customer profile data residing in the company’s base  Besides internal information, the company must rely on external  and data integration with internal systems information such as customer profiles in social networks and his  behavior when participating in a community.  Company owns the data but it is limited to previous  interactions •Customer and other web 2.0 sites own part of the precious data •Customer and other web 2 0 sites own part of the precious data
  • 59. Evolution of Organizational Mindset g CRM 1.0 CRM 2.0 ! ! ! ! Interaction Conversation Contribution Transaction Feedback Employee Customer Employees Customers  Innovation comes from one specialized source within the  •Innovation is gathered from all employees as they are closely  company (innovation group) connected to the final customer and to each other via internal  web 2.0 tools. Customers are in the center of the innovation   F tli Frontline employees communicate targeted messages for  l i t t t d f cycle. transactional operations  •Frontline and non frontline employees engage conversations  including new customers in the context and rerouting  conversations. New set of employee skills needed. conversations New set of employee skills needed
  • 61. Wrap Up ap Up Turn challenges into  strategic competitive  advantage and  advantage and enhance their long‐ term viability and  profitability
  • 62. Mr. Navik Numsiang Managing Director | Sundae Solutions Managing Director | Sundae Solutions M | 0814813999 E   | navik@sundae.co.th FB | facebook.com/navikn FB | facebook com/navikn G+ |  Navik Numsiang
  • 63. Visit the Our Sundae Ecosystem at www.sundae.co.th www sundae co th Facebook.com/SundaeSolutions SundaeSolutions YouTube.com/SundaeSolutions
  • 64. Thank You for Coming g Sundae Solutions Co., Ltd. Tel. 0 2634 8899 T l 0 2634 8899 Email: marketing@sundae.co.th Website: www.sundae.co.th