The battle to grow customers is not BAU.

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Data & Digital is transforming customer expectations

The battle for customers is not business-as-usual, with data & digital transforming customer expectations for personalisation, technology adoption moving fast & traditional loyalty structures changing. Creating a Customer Obsessed Organisation that puts the customer at the heart of the business and designing the human and digital customer experience are top priorities to win in the age of the Digital Customer.

Organisations grow if they have more customers visiting more often, meeting more needs of existing customers and attracting new customers: Use of Data & Digital is an opportunity to get closer to customers and do what good organisations do now better & faster.

There are several opportunities for Data & Digital to allow organisations to get closer to their customers and grow faster, and lots of learnings from other organisations that can be applied in a fast follower position.

  1. Transformational understanding of the business to make it customer focused: better, simpler and cheaper for customers, colleagues and the organisation itself
  2. Delivering a Friction Free Customer Experience
  3. Delivering the most relevant, inspirational messaging and customer experiences through advanced segmentation and targeting

The road to travel on the journey to making your organisation more customer focused in a digital world is challenging and one that requires alignment and commitment from the CEO, CCO and across different departments.

  1. Identify the commercial & customer Goals in next 18m-36m
  2. Build a clear vision of a radically different data-driven customer digital future state, working across digital & bricks & mortar and align across the organisation.
  3. Remove Silos of data use creating a single version of the truth, with a data strategy linked to business goals e.g. Unified View of customer data, GDPR ready and tools developed to meet commercial goals.
  4. Breakdown the institutional fear of data & digital at all levels through training & doing: it’s a tool that anyone can use to do what you have been doing better
  5. Use Data Analytics to Map & Prioritise customer journeys & personalised experiences across human & digital touchpoints and align organisation capability to deliver for customer.
  6. Identify & Build the capabilities (Process, Tools People) that will be required to transform process design from efficiency focused (cheaper) to customer focused (better simpler cheaper) , specifically putting in place an analytics capability to enable data-driven, personalised journeys
  7. Foster stronger bonds between technical and different business people. This is a two-way process to ensure the technical teams understand the commercial imperatives, and customer solutions you would like to build, and the business teams learn to trust the expertise of technical IT teams. It will also allow you to improve data quality through showing the business impact.

Using Data and Digital to put the customer at the heart of an organisation is a transformation that future looking organisations need to start implementing now.

Everyone Everywhere True North

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I learnt early in my career that Service organisations have millions of brand touch points delivered everyday by colleagues who interact with customers. Once you have defined the Customer Offer and Brand Story, aligning all the Brand touch points to give a consistent Brand Story is critical for success. This is the  essence of the “True North” turn around plan at Co-op Food. There are lots of ways to do this:

Tesco has implemented Yammer – an ‘enterprise social network’, allowing them to realise a vision of having ‘over half a million valued colleagues effortlessly connected and aligned:  Everyone, Everywhere’. To make this work, Tesco had to also change policies and processes: Tesco added in-store wifi and changed their policies to allow store staff to take their personal mobiles onto the shop floor.

Coop has changed the policy that allows colleagues to use their own mobile phones in the convenience shops , and they have uses several different tools ( WhatsApp, Slack ) to enable colleagues to communicate more clearly with each other. Posting pictures, chating and solving their own problems.

This has helped to create a sense of community between colleagues that extends across stores. Colleagues use the network to celebrate success, share learnings, ask questions and find answers. For example, bakers might share images of their morning display – and the service has even been used to share excess stock with nearby stores that are running low

Yammer has encouraged greater cooperation and a healthy sense of competition. Directors are also able to monitor conversations and can react quickly if required.

How to win in the age of the Digital Customer?

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How to Win in the age of the Digital Customer

data pulse # 19

The Chief Customer Officer has a new agenda . Creating a Customer Obsessed Organisation and designing the human and digital customer experience are top priorities to win in the age of the Digital Customer .

This battle is not business-as-usual, for the following reasons:

  • Traditional loyalty structures are eroding, causing companies to have to work harder to retain customers or risk driving up churn.
  • Customers expect high levels of personalisation, forcing companies to design experiences as close to the individual level as possible.
  • Agile digital companies are seeking to disintermediate the relationship between both traditional digital and brick-and-mortar companies and their customers.
  • Companies must now differentiate on the experiences they deliver to customers.

Each of these forces creates challenges; more importantly, the additive impact of these forces mandates deep-rooted changes in a company’s strategy and operations.

To state the obvious, customers neither understand nor care about how hard it is to deliver consistent, quality and personalized experiences.

Taking stock, the CCO’s agenda now looks more and more like the CEO’s or COO’s agenda.

The agenda

The CCO’s agenda can be separated by a line of visibility: some pieces customers can see, and some they cannot.

Key initiatives such as strategic positioning, brand and loyalty programs are traditional CMO agenda items.

The new and most important item is designing consistent, high-quality, and personalised experiences across both human and digital touch points.

The need to differentiate on the basis of experience is really what drives the deep-rooted operational changes below the visibility line. In most cases, delivering differentiated experiences is not business-as-usual; it will require more severe structural and operational changes such that a company looks and operates differently than it does today. The CMO agenda now consists of:

  1. Making organisational changes to better align capabilities and ensure a seamless delivery of experiences across human and digital touch points.
  2. Transitioning process design from being efficiency-focused to customer-focused.
  3. Making hard changes in people and culture, including leadership, new roles, competencies and a customer-focused culture that fuels the business.
  4. Putting in place an analytics capability to enable data-driven, personalised journeys.
  5. Initiating or accelerating the business technology agenda to improve technologies that deliver customer value and drive growth.

Combined, these efforts tell us that companies, and CCOs specifically, need to think hard about making a fundamental shift in their operating model. To add to the complexity, changes to the operations across the company need to be sufficiently cohesive to ensure they don’t damage or create uneven customer experiences.

For better or worse, this is what is in front of many CCOs/ CMOs today — to lead the charge to understand the consumer mind set in the digital age and truly become a customer-obsessed organization.

This isn’t veneer or some clever tagline. It is the hard work to differentiate and win in the Age of the Digital Customer

Grab a Breakfast at Greggs

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It’s not something that you would usually associate with Greggs The Pasty Champion but they have now entered the Digital world and starting to create an omni-channel customer journey that has the potential to change the high street and take on Starbucks at their own game.

This week Greggs updated it’s new ‘Greggs Rewards’ mobile payment app designed to reward its customers for their loyalty whilst making shopping across its 1,700 shops more convenient, quicker and easier.

The rewards app is the first entirely digital loyalty scheme launched by a UK food-on-the go retailer that eliminates the need for customers to carry a separate loyalty card or their wallet when they shop.

By registering for a Greggs Rewards account via the app or online at http://www.greggs.co.uk, customers can top up their accounts with any amount from £5-£50 using their debit/credit card or with the added safety and simplicity of PayPal, allowing them to pay securely in-store with their smartphone.

Greggs Rewards will not only allow customers to pay swiftly for their purchases, but also reward them with exclusive treats and rewards built in to the app.

These offers include a free Greggs’ breakfast when opening an account with at least £20, hot drink incentives (e.g. buy 7 coffees get your next free), a birthday treat and a monthly prize draw for the chance to win an i-Pad when shopping using Greggs Rewards. Furthermore, PayPal is also giving the first 10,000 Greggs’ customers a free £5 bonus credit to spend when they sign up and register for auto-top up with PayPal.

Greggs Rewards has been developed using the Eagle Eye digital transaction network which enables retailers, in real time to connect with potential and existing customers, to deliver relevant offers, rewards and services that can be redeemed securely through any point of sale. The digital solution removes the need for paper vouchers or plastics cards, making for a seamless shopping experience that eliminates fraud.

Greggs have built a great machine with IT and payment partners the challenge exists whether they have also built the internal capability to learn how to follow the customer and add value in a segmented and targeted way.

 

 

 

 

Dunkin Donuts Data Perks

dunkin donuts coffee and donut

Dunkin Donuts are just beginning to establish themselves in UK but in USA are the largest coffee retailer, and have applied data driven analytics and technology effectively to improve the customer journey.

A coffee and a Donut is one of the most popular calls, and is the mainstay of this convenience foodservice retailer.

Dunkin Donuts recognised the key to convenience retailing lay in the palm of their customers hands and build a customer journey revolving around the smart phone. They created an app based journey where customers could pre-order, collect and pay for their Dunkin Donut. It started with a minimum credible product, simple sign-up and sign-in and has developed into one of the most recognised programmes in USA.

. They understood the customer journey not in part but fully and recognised they were a convenience foodservice retailer and making a coffee and a donut easy for customers would drive more customers to make more visits.

Dunkin Donuts wanted to reward loyal guests in a fast and convenient manner, and provide an overall superior customer experience. Very similar to the goals that Whole Foods had in mind when launching its own loyalty program.

Understanding the Commercial Goals: Dunkin Donuts used advanced analytics to understand the commercial imperatives, and what would best drive them. They recognised that there was a bigger upside from increasing visits and number of visits that slightly increasing the average basket. ( There are only so many coffees and donuts you can eat in one sitting , but it’s important to be the coffee house of choice when there is a choice of 2-3 on the street.

Design a Customer experience that delivers the commercial imperative: They were clearly focusing on driving additional visits from additional customers because they designed a DD Perks programme that rewarded frequency vs average basket.

The Points based reward Rewarded Frequency: Assuming people ordered a coffee and a donut they earned points which became a free coffee every 10-20 visits.  High value to the consumer and relatively low cost to Dunkin Donut.

They also made it easy and intuitive to sign up, and in addition to the basic points structure, Dunkin’ also included features to drive more sign-ups. Sign up on an app downloaded onto their phone,

Make it easy to get to the first reward Customers get a free reward when they join and on their birthday,. That emotional feeling of drinking a free coffee prompts more usage of Dunkin Donut

Make it more rewarding: once the first reward has been claimed targeted offers for incentives and bonus points based on consumer behaviour enable fast rewards accumulation

Make it Easy to Use / Pay Customers must pay with a registered DD payment card at participating locations, or more importantly customers can connect their DD cards to their phone, which enables mobile payments and gets more customers (hopefully) to download the Dunkin’ mobile app.

One last benefit of the program is that customers can share rewards with friends, which is high on many customers’ lists as a desirable loyalty program feature.

Technology developments to make it Easier :  with the onset of Apple Pay, Dunkin Donuts enable mobile ordering through its app. Customers on their way to Dunkin’ Donuts can get their order in quicker, and Dunkin’ can speed up its line. In addition, Dunkin’ also announced interest in Apple Pay as a way to make payments easier for consumers

 

Three key outtakes for success:

  1. Be Clear on the commercial imperative: frequency or average spend
  2. Make it simple, rewarding to use
  3. Integrate across the whole customer experience to make it easy for the customer

Dunkin-Donuts shop

5 Steps to Digital Mastery

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Digital mastery in an ever increasingly digital world is one of the key priorities of an organisation. The road to travel on the journey to making your organisation more customer focused in a digital world is challenging and one that requires alignment and commitment from the CEO, the Board and Shareholders down.

There are 5 priorities for a chief customer officer  / chief digital officer

1) Build a clear vision of a radically different future state and align it with Shareholders Board, CEO and Exec.  ensure that they are involved in co-creating the vision and understand the elements of how it works. If you need to train them on Twitter, facebook, what’s app or programming, do it so they understand a digital world.

2) Engage Colleagues in a 18m-36m Goal and develop a clear action plan. Ensure that you have a detailed and well managed transformation programme with agreed outcomes. Engaging colleagues in building this will be critical. It’s amazing how digitally literate teens and twenty somethings in a retail organisation are!

3) Breakdown fear of data and digital across the organisation. Board-> Senior managers-> middle managers -> Colleagues. Communicate widely and use storytelling to engage at all levels. Be very pragmatic and engage people in learning by doing rather than telling ( run Twittter workshops, small projects designed to deliver quick wins, training by doing.) Focus on small wins early and let people tell these stories across the organisation themselves as their wins. Align objectives and remuneration to deliver the goal from Exec down to all colleagues.

4) Foster stronger bonds between technical and business people. This is a two way process to ensure the technical teams understand the commercial imperatives, and customer solutions you would like to build, and the business teams learn to trust the expertise of technical IT teams. It will also allow you to improve data quality through showing the business impact.develop a data strategy aligned to business goals , build tools as required to deliver commercial goals.

5) Steer the course through strong Governance. Digital Transformation should be governed through the EXEC as well as relevant touchpoints to ensure continual alignment.

These 5 priorities along won’t drive the transformation but applying them is a start that many organisations who are now Digital Masters followed.

 

TfL adds cycling routes to Open API

cycling London highways

Latest addition to portal provides potential for app development to support cyclists

Transport for London (TfL) has opened up a new open data source for mapping information on cycling in the city.

The organisation, which has been one of the leaders in making its data freely available for re-use, said that app developers will be able to use the information on its Cycle Superhighways and Quietway through its open data portal. Data on new routes will be added as they open.

This should enable developers to map out the existing networks within apps and on websites, and can be combined with previously released data, such as the location of cycle parking and availability of bikes from docking stations for London’s hire bikes, to help cyclists plan their routes.

TfL have continued to develop against their mission to keep London moving and innovating by providing data in Open Format for experts to develop into Customer Experience CX friendly Apps. Londoners already use apps to navigate around London every day, and by ensuring this cycling data is available to developers, they make a big difference to the way journeys are planned.n Cyclists can then plan the best route for them rather than simply following the way they would go by car or bus and find quieter more friendly routes

There are now more than 600 apps powered by TfL data including Citymapper. It has been very active in adding feeds to its open data portal, with initiatives last year including the provision of data on the London Trams network, historical crowding at Underground stations and road closures for the London Marathon. It also extended its APIs to include data on the Night Tube service.

A truly innovative way of using data to deliver against TfL mission, it’s commercial imperatives through delivering improved CX via data.

Data is Magic for Disney

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“advanced technology is indistinguishable from magic”

Data Pulse #7

My god-daughter Rose Bolcato has just visited Disneyland Paris for her Birthday weekend over Easter. she loves the magic that is Disney. Disney  is the place to take your kids ( both small and grown up ones like me). The Disney brand is all about “Magic” and it’s critical to tell that story consistently.

Disney has invested heavily in its new ‘MagicBand’ technology that delivers an enhanced, data-driven experience for guests at Disney World.

The MagicBand, containing an RFID chip and a radio, connects visitors to a network of sensors around the park. The band allows guests to open hotel doors without a key, enter theme parks, use FastPasses for rides, and make purchases without a card.

The only information stored in the band is an identifier – all other data is stored remotely in the cloud. The MagicBands, sensors and supporting systems generate a rich stream of live data: who is visiting which parks, which routes they use, which rides they are visit, when they visit, queue lengths, food purchased, meal times, shows attended, gifts bought, bathroom stops, time spent in hotel rooms and more. This information allows Disney’s analytics team to make data-driven decisions to optimise the park experience so that visitors have a longer, more enjoyable stay – and spend more while they are there.

 

using my own data to tell my Fathers Day story

 

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The weather has suddenly turned on the Pennines and summer days arrive and I’ve started to cycle again , and connect with my friends across the country on Strava. This Sunday on Fathers Day I cycled the Turnpike Challenge over the Pennines along with 100s of Lyra Clad Fathers.  

STRAVA: the fitness app gives users access to cycling and running performance data.This is using customers own data combined with Google maps and geo-location to create tools and reports for themselves, a sort of Business Intelligence (BI) for customers or CI. Access is free initially but users can upgrade to Strava Premium for a small monthly fee with added features.

Strava focuses clearly on creating a great customer experience with a really simple sign up, and starting to get going, easy to use maps, and showing routes.

Users compete against their own personal best with friends or people they don’t know but run or ride the same routes as them. They can take part in wider Global community challenges such as last year just after the Nepal earthquake I was challenged to climb 29000 feet in a month on my bike.

Strava Premium users are ranked for routes of segments by day, year and all-time, and can win badges to improve their standing to become  “king of the mountain”. Difficult on popular routes easier if you can find a distant and less popular cycle or running route. Friends connected can give each other kudos for a good cycle.

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STRAVA is also advanced in several other uses of data. It has world class use of segmentation to create relevant communication and improve the customer experience. The more you use Strava the more relevant the communication , linked to running or cycling.

STRAVA links members to the wider community by ranking performance against other users.strava king of the mountain

Challenges create personal competitions as well as a digital community supporting an event e.g. cycle climb 27000 foot to raise money for Nepal earthquake appeal.  Users can receive updates when their connections log activity and recently STRAVA launched the ability to message simply.

The STRAVA Community is a virtual digital community bound by the common interest of Cycling.

 

 

Global Bike to Work Day 10 May

Strava is launching the first  Global Bike to Work Day Challenge on Tuesday May 10th,  #CommutesCount.  I’ll be cycling to work using Strava will you?

STRAVA: the fitness app gives users access to cycling and running performance data.This is using customers own data combined with Google maps and geo-location to create tools and reports for themselves, a sort of Business Intelligence (BI) for customers or CI.

Access is free initially but users can upgrade to Strava Premium for a small monthly fee with added features. Strava focuses clearly on creating a great customer experience with a really simple sign up, and starting to get going, easy to use maps, and showing routes. Users compete against their own personal best with friends or people they don’t know but run or ride the same routes as them.

Strava is a data company that collects members data and effectively aggregates anonomised data to improve the community and make a profit:

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Strava Metro analyzes the millions of human-powered commutes uploaded to Strava every week, then partners with urban planners to improve city infrastructure for cyclists and pedestrians using anonymized data.

strava cast of riders

Here’s how it all works:

 

DATA-DRIVEN BICYCLE AND PEDESTRIAN PLANNING

More than five million rides and runs are uploaded to Strava each week, and in cities, the majority of these activities are commutes. These activities have created trillions of data points on where people actually ride, run and walk in cities.

In 2014, Strava launched a data service called Strava Metro. Since then, Metro has worked with over 70 organizations around the world to understand how more than a half-million bicyclists and pedestrians choose to navigate through cities. Each of these organizations is using the anonymized data to understand the general flow of people across their streets over time.

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With data like this, cities can better understand how people choose to interact with the network of roads, bike paths and intersections. The result is improved decision-making, smarter planning, safer streets and more people biking, running and walking.

Better data is a catalyst for change.

strava bike to work day

 

Check out earlier Blog on Strava:

https://andrewmann.me/2016/04/23/creating-communities-using-data-linked-by-fitness/

 

Data Driven Donald Storms Ahead?

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data pulse #29

Donald Trump has been quietly building a data juggernaut like Barack Obama: defying sceptics he’s been putting tools in place to get out the vote and results from the states so far suggest he is pulling ahead as front-runner because he’s getting the vote out for his supporters.

In 2015 his campaign assembled an experienced data team to build sophisticated models to transform fervour into votes. The team is led by two low-profile former data strategists, Matt Braynard and Witold Chrabaszcz, and they are using the Republican Data Centre plus supercharging it.

The RNC Data Center 2016 is a powerful query and data management tool, providing an interface for over 20 years of voter contact data. This allows Republicans / Trump to read and write data to and from the platform, continuously serving up the latest information to Trump. If Trump wanted to find 10 people on a residential block that haven’t voted in the past 20 years, have strong views on conservative topics and don’t like the Affordable Care Act, they could do so in seconds.

The system is described as the ‘centrepiece of the RNC’s new data-driven political ground game.’ Voter scoring is employed to track each individual in for contact (by mail, door, phone) and whether they voted (by absentee or on Election Day). Advanced voter profiling even matches social data to voter data automatically

The data push is focused on integrating information Trump has collected, through his campaign website and at voter rallies, on nontraditional or unregistered supporters. It also includes commercial data obtained from the RNC and other sources, in an effort to mobilize voters in key early states.

A data driven Trump seems to be storming the Primaries (he won over 50% of vote in Connecticut, Delaware, Maryland, Pennsylvania, and Rhode Island  with record turnout ) and into the White House in November.

Check out other Blogs : Data Driven Rednecks, Obama in Subscription Business

Data driven Red-Necks

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data pulse #28

The Republican Party after the second Obama 2012 election loss, fully reviewed and applied learnings ( and threw millions of dollars at it) They  have developed a sophisticated tool that any Republican candidate even Donald Trump and Sarah Palin can use, focused on the one strategic commercial imperative: winning elections

Republican Party created a permanent resourced Data Centre, with capability developed to support Republican Party candidates in county, state, senate and presidential elections. The RNC Data Centre 2016 is a powerful query and data management tool, providing an interface for over 20 years of voter contact data. This allows Republicans to read and write data to and from the platform, continuously serving up the latest information to GOP candidates across the country. If a candidate wanted to find 10 people on a residential block that haven’t voted in the past 20 years, have strong views on conservative topics and don’t like the Affordable Care Act, they could do so in seconds.

The system is described as the ‘centrepiece of the RNC’s new data-driven political ground game.’ Voter scoring is employed to track each individual in for contact (by mail, door, phone) and whether they voted (by absentee or on Election Day). Advanced voter profiling even matches social data to voter data automatically –

“We don’t just have the information they’re tweeting about, we can match them with their voting and purchasing habits in order to target them through email and social networks” said Jesse Kamzol, RNC Chief Data Officer.

Using powerful predictive analytics, the RNC claim that the Data Centre can tell a candidate, voter by voter, whether each individual is going to vote for them or not, and give reasons for each. At the macro level, this means they can identify how many votes up/down they are, which demographics to target, and then suggest suitable communications strategies to reach them.

This represents a long term strategic play for the Republicans: A permanent strategic and operational capability focused on a clear vision and goal and the right systems / processes /  people continually learning and reapplying lessons learnt. This was first piloted in 2014 successful senate elections where they won majority in both houses and is now being deployed for 2016 senate and presidential elections.

This demonstrates building long term capability in data can have big impacts… we’ll have to wait and see if the investment pays off in November 2016