Archive for January 2011

Sneak Preview: The New Focus on the Customer Experience

January 6, 2011

The President of Atlanta’s DMA chapter, Aubyn Thomas, interviews our speaker for the January luncheon: Mike Wittenstein. (www.MikeWittenstein.com) Mike is a noted authority on the customer experience and shares his views on emerging trends and realities that we all need to be aware of as we kick off the New Year.

Thomas: Mike, as a thought leader in the customer experience space, how is the way we service our customers in tomorrow’s world going to be different from what we have experienced in the past?

Wittenstein: It’s going to be better. Much better. As empowered consumers (B2C) and buyers (B2B) demand more, businesses will go beyond simply improving messages and tweaking touchpoints to fundamentally redesigning their businesses around the needs of their customers. Until now, most businesses have tried to get customer interactions to create value for them. From 2011 onward, the smart money is on those firms that engineer themselves to create value for customers. These are the challenger brands I’m watching and interested in because they will be the best prepared to meet customers’ ever-changing needs.

According to a 2010 American Express study, Americans are willing to spend 9% more with companies that provide excellent service. The same study showed that 91% of customers believe that customer service is important, but only 24% actually feel

they get the service they deserve. It’s no wonder that brands with better customer experiences are outperforming their competitors. The opportunity to win in the marketplace by differentiating your business around customer experience is wide open.

Thomas: As companies increase their focus on service capabilities, what benefits are they seeing from your perspective?

Wittenstein: Companies that wholeheartedly focus on the customer experience usually enjoy these benefits:

• Reduced churn among customers and employees

• More predictable revenue

• Less advertising expense

• Lower new customer acquisition costs

• Noticeably better internal alignment

• More unsolicited referrals

• Greater brand awareness

These aren’t generally the ones the financial analysts focus on, however these are some of the factors that help create value for customers. In my opinion, they are the ones that should be watched like a hawk because each one carries both a top-line and a bottom-line benefit.

Thomas: Tell me more about top-line and bottom-line.

Wittenstein: Companies that focus on delivering better experiences usually operate more profitably than others in their category. Properly designed, a better experience can both increase revenue and decrease costs at the same time – in a way that is sustainable. Great experiences don’t just happen and PowerPoint presentations alone can’t make them a reality! They occur when all functions of the operation align with one another to achieve the outcomes your customers seek. Good customer experience design starts with understanding what your customers care about most. Understanding which promises are most important to your customers, then aligning your organization to make and keep them, is the leader’s most important role. When what the customers want most is what the business does best, the ‘rising tide effect’ kicks in and everyone benefits.

Thomas: As direct marketers, we place great emphasis on the dialog that we have with our customers – in both the B2B and the B2C realms. How should we think about our marketing efforts as experience drivers and how can marketing strategy affect our brand’s service delivery?

Wittenstein: Marketing makes promises for the business to keep. Without a tight connection between the two, customer frustration or churn ensues. In my opinion, it’s important for:

  • Marketing and operations to be tightly connected
  • Marketing to focus on telling the experience story, not just citing benefits
  • Marketers to remember that the experience can start at any touch point, including media, advertising, sales messages, etc. Each of them and all of them need to be considered part of the buying experience

It’s important to think about the aspects of service excellence and to remember that marketing programs provide support for the brand. The best customer experience designs find the right promises to make and the practical and profitable ways to

keep them. Customer Experience Design achieves results that other methodologies can’t because it:

  • Successfully ties the brand to the business
  • Shows how front line staff, supported by operations, can profitably deliver a superior experience
  • Details what’s important in experience delivery without removing the magic of surprise and great service

Thomas: What are some of the things that best-in-class companies are doing in customer experience design today?

Wittenstein: First, they Sweat The Details. Great brands capture the present design in enough detail to connect the customer touch points with the behind-the-scenes operations that support them. Together with leaders and customer-facing

teams, they consider which of these touch points are the most important (cause the greatest effect, are the most memorable, define the brand, are the most story-worthy, etc), while maintaining focus on what is operationally effective.

They also Make The Commitment. Nothing is more critical to your company’s success than the ability to deliver superior customer experiences – time after

time. Those experiences don’t just happen. They come about when enlightened companies, seeking a sustainable competitive advantage, decide that they will engineer every facet of their business to align with their customers’ reasons for buying. When customers turn into enthusiastic advocates, the companies that serve them enter the ranks of some of the world’s most enviable brands.

About Mike Wittenstein

Our guest speaker for the January 20 event:

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Mike Wittenstein helps his clients increase sales, gain market dominance, and discover unexpected revenue streams by differentiating their brands with memorable and profitable customer experiences. As an interactive agency leader, e-Visionary at IBM, interim CXO, and now as a speaker, Mike has guided hundreds of companies to adjust their front-line experience for bottom-line results including established brands like McDonalds, IBM, Kinko’s, Best Buy, and Air Canada and challenger brands such as Alternative Apparel, SOHO Office, iPay Technologies, and Jim Ellis. He is a catalyst for aligning management, marketing, people, and technology to deliver great customer and employee experiences. Mike runs his company, Storyminers, from Atlanta and works globally. He is an honors graduate of the Thunderbird School of Global Management and the University of Florida. He speaks four languages.

Come and join us for an exciting event on January 20, 2011 as we kick off the 2011 season!

Registration available on DMA-Atlanta.com

https://www.123signup.com/register?id=mpjxb

 

Multicultural Leadership Community – TOP 10 Reasons to Better Serve and Woo the Booming Hispanic Market

January 6, 2011

By Roberto Gomez Jr.*, Vertis Communications. He is the chairman of the Multicultural Leadership Group for the DMA-Atlanta

1- Hispanics represent a rapidly growing, yet underserved, consumer market.

2- Amidst a sluggish economy, Hispanics exhibit increasing affluence and sustainable growth in purchasing power.

3- The Hispanic market skews young, indicating a tremendous opportunity to win customers at their peak of consumption and secure customers for life.

4- Hispanics are moving to the online channel at a rapid pace.

5- Hispanics tend to be brand-loyal, indicating tremendous potential lifetime customer value.

6- Hispanics value and refer those companies that provide Spanish service.

7- Hispanics are cultural influencers with increasing trendsetting power.

8- Near shore outsourcing is an attractive option for serving U.S. Hispanics.

9- Smart companies are already wooing Hispanics.

10- Hispanics are the market of the future—continued under-service of Hispanics will relegate your company to sluggish sales and low returns.

 

*Roberto Gomez Jr. works at Vertis Communications (rgomez@vertisinc.com).

http://rgomezjr.blogspot.com/

 

Thomas Harpointner, CEO of AIS Media: Top Pitfalls For Businesses To Avoid When Using Social Media

January 6, 2011

Originally published in B2B Magazine December 1, 2010

By Christopher Hosford

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There are plenty of best practices when it comes to social media marketing, but it’s also worth exploring those things not to do while planning and implementing social marketing campaigns.

It’s something that executive recruiter Jerry Bernhart wished he had taken into account this year in staging two TweetChats—organized group discussions using the Twitter platform—to help uncover job opportunities for out-of-work marketers.

“One, I didn’t promote them heavily enough, and second, I held them on Sunday nights,” said Bernhart, whose Bernhart Associates Executive Search specializes in job placement for direct and digital marketers. “The concept is pretty cool, but at the end of the day we didn’t have a whole lot of participants.”

Bernhart believes if the events were held more regularly, and cross-promoted both on social networks as well as email, his TweetChats would have been more popular.

Not cross-promoting social campaigns is a common pitfall, according to Thomas Harpointner, CEO of Atlanta-based interactive marketing agency AIS Media. “You have to tie your social campaigns into other channels,” he said. “You can’t think that just because you build it, they will come.”

Harpointner referred to computer manufacturer Dell Inc. as a company that successfully “seeds” its Twitter campaigns by promoting them through other channels.

“It’s a way to build critical mass to get the word out,” Harpointner said. “Failure to integrate is where a lot of companies drop the ball.”

Harpointner has developed a list of “10 killer social media pitfalls” he said can derail social marketing campaigns. They include failure to plan properly, spreading yourself too thin by using every social channel available; thinking of social media as a quick fix for your marketing ills; using social media for blatant sales pitches; and treating social media as one-way communication instead of a dialogue that requires continual responses.

“Some companies have simply repurposed their regular marketing messages into social media posts, but you have to expect that people will respond to your social program,” Harpointner said. “People will expect you to reply quickly and, if you don’t, you’ll miss out. It’s like setting up an 800-number and having nobody there to answer.”

Both Harpointner and Kevin Kerner, managing director-U.S. at agency Mason Zimbler, Austin, Texas, stressed the need to have a good social strategy in place before launching a campaign.

“A major pitfall is having no clear vision of the end goal,” said Kerner. “People say, ‘Let’s do social because it’s trendy,’ but I see very little capability at big brands to actually develop a social strategy based on a specific objective.”

Other pitfalls Kerner noted include not knowing the needs and wants of your particular social audience; talking about yourself too much; not being aware of each channel’s unique voice and lexicon; and not leveraging the vast array of social media influencers who can help promote your brand.

“Most companies want people to follow, friend and comment, but they have no strategy to define those social participants who are most important and to get them to notice you,” Kerner said.

Kerner also advised taking advantage of newly developed capabilities such as Facebook groups and Promoted Tweets. But Bernhart said he believes it’s possible to be too cutting-edge.

“Six months ago when I started the TweetChats, I might have been a little ahead of the curve,” Bernhart said. “I had a lot of people write me and ask how to get on Twitter!”

Harpointner’s top ten social media pitfalls for businesses to avoid:

  1. Failure to properly plan.
  2. Avoid spreading yourself too thin.
  3. Don’t think of social media as a quick-fix.
  4. Don’t think that just because you’ve built it, they will come.
  5. Don’t just follow the followers.
  6. Don’t make blatant sales pitches.
  7. Don’t treat social media as a one way street.
  8. Don’t assign the responsibility of managing your social media strategy to an intern.
  9. Don’t treat social media as an island.
  10. Don’t delay the launch of your social media strategy.

 

The 60 Second Marketer Guide to What’s Hot and What’s Not in 2011

January 6, 2011

By Jamie Turner, Chief Content Officer of the 60 Second Marketer, the online magazine of BKV Digital and Direct Response. He is also the co-author of “How to Make Money with Social Media” which is available in fine bookstores (and a few not-so-fine bookstores) everywhere.

Are you interested in finding out what’s hot and what’s not in 2011?

Recently, I sat down with Patrick Miller, Kyle Wegner and Kwesi Robertson from BKV Digital and Direct Response and asked them to develop a list of what’s hot and what’s not for marketers. Our intent was to provide you a list of tools that are “past their prime” vs. tools that will begin to reach their prime in 2011.

(By the way, we’re always writing posts about the newest tools, tips and techniques in marketing. If you’d like to stay up-to-date on the newest trends in marketing, subscribe to our weekly e-newsletter or to this blog.)

We hope you enjoy our “What’s Hot” guide. And feel free to add your own items in the comments section below!

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