Customer Relationship Management (CRM)
There are still many companies that haven't understood the significance of CRM (Customer Relationship Marketing). Yes, CRM, that marketing nirvana of contacting customers how, when and where they want to be contacted in order to overcome all the barriers that come between you, your customers and a sale.
But, it is possible and here’s how:
In 2009, we began working with Travis Perkins to deliver an integrated eCRM and CRM strategy. Through sophisticated data segmentation, we began to segment, largely by behaviour; Customer type, preferred branch, products purchased and possible monthly spend. Using this we could then work out when they should get a special offer for a product or branch. For example sending a discount offer for money off to activate customer dormancy at the preferred branch made a big impact. The programme's ROI one year later is still averaging over 30:1.
Creating customer relationships
The beauty of segmentation is that it’s based on a simple idea that just works:
If you send a specific call to action (an offer, for the sake of this example) that’s relevant to the right person at the right time, it's more likely to be acted on than if you send it to the wrong person at the wrong time.
CRM isn't an advertising medium or even direct marketing of old. It doesn't work by bombarding people with messages until they buy. In fact, if you send too many mailings or emails, customers stop reading. Instead they add you to their junk filter or file you away in the bin. And because with direct email marketing they can't even be bothered to unsubscribe, you’re completely unaware.
The job of CRM is to create relationships; while the segmentation principle is important, it must be balanced against the need to create a relationship. We need to change people's behaviour subtly over time. Small calls to action, little asks. That’s what’s needed.
We want your customers to spend a little bit more every time. We want them to increase their purchase frequency and their average transaction value.
At PCD Agency, we realised a long time ago that little nudges all add up. If we said we’d double your turnover in two years you'd think we came from the funny farm not the countryside. Yet, if we suggest we can increase it by 3% this coming month, that’s much more realistic.
And what happens if you increase your turnover by 3% a month for the next two years? The laws of compound interest say you've doubled your turnover. That's why CRM is, really, so compelling and effective. Yes there's a quick win, and yes, there's likely to be a long period of limited growth, but patience does pay off.
A summary of PCD Agency’s customer relationship marketing services:
- Customer journey planning
- Retention and acquisition strategy
- Data planning and advice
