personalization in business & consumer markets
DESCRIPTION
Personalization in Business & Consumer Markets. Managing IT & E-Business EMBA – Spring 2001 Group 0222. Harri’s Pools Business Overview. Brick and Mortar No Web Presence Large operation w/ existing database High Touch / Feel Service Very Personal. IT Business Problem. Web Presence - PowerPoint PPT PresentationTRANSCRIPT
Personalization in Business & Consumer Markets
Managing IT & E-Business
EMBA – Spring 2001
Group 0222
Harri’s Pools Business Overview• Brick and Mortar• No Web Presence• Large operation w/
existing database• High Touch / Feel Service• Very Personal
IT Business Problem
• Web Presence• Personal on the
Internet• Increased Competition• Price Competitive• Growing business• Product differentiation
IT Business Problem
Web Personalization Tactics
• Data Mining/Warehousing• Customer Privacy• Interactive Surveys• Targeted Email Marketing• Targeted Email Newsletters• Intelligent Product Packaging• Online Communities/Message Boards/Chat• Building Loyal• Incentives/Referrals• Customer Customization
Data Mining & Warehousing
CustomerPortal
Web Servers Database
Inventories
Surveys
Cookies
PersonalizedInformation
Data Mining & Warehousing
• Capture and retain relevant information
• Track changes in customer preferences
• Track customer navigation
• Use cookies for identification
Customer Privacy
• Take responsibility for customer specific information
• Do not sell mailing lists
• Personalization Consortium
Interactive Surveys
• Information gathering technique
• Used to enhance the e-experience of our customers
• Identify buying preferences and target advertising
Example Survey
z
Pools
SurveyWhen you were here last, you purchased Brand X chlorine tablets.
Did they work as well as expected?
Next Question
Targeted Advertising
• Email newsletter (customized by customer)
• Email product notification
• Concerns– Need to gather continuous feedback to avoid
acting on outdated or irrelevant information– Capturing information on existing customers to
allow immediate personalization
Intelligent Packaging
• Tracking purchase patterns of customer groups• If buying patterns appear, quickly promote
products to see if a larger market exists• Identify “Power Buyers”
– Use them to test new products
– Post testimonials• On web site
• Display to customers with similar preferences or buying habits
Online Communities/Message Boards
• Create knowledge areas– Pool maintenance
– Product discussions
– Used pool equipment (buying and selling)
– New pool owners
– Considering buying a new pool?
– Ask Harri the pool man
• Excellent way to gather customer preferences
Message Boards
z
Pools
Message BoardPool Maintenance
We just had a dust storm blow through and my pool is full of mud. What is the best way to clean it?
8 responses
I have a 15000 gallon pool, how often should I change my pool’s filter?
1. Check your maintenance manual
2. Wow I did not know you were supposed to change it!
2 responses
Ask Harri the Pool man
Pools
Ask Harri the Pool ManScheduled Times
Every odd Monday 4 – 6 pm EST
Enter Chat room
Username
Password
Building Loyalty
• Unsurpassed customer service• Even if competitor has a lower price, the customer
will know that the after sales service is worth it.• Being able to recall customer preferences
– Recalling last purchase and credit card used
– Recalling delivery preferences from past purchases
• Link existing help desk with web database
Switching Costs
• Rewards program– Similar to airline frequent flyer programs– Instead of lower prices to get sales, reward the
customer for repeat buying– Sign up with existing rewards company– Create our own rewards program
Switching CostsExisting Rewards Companies
Switching Cost
Referral Program
Implement a referral program designed to reward those who send business our way!
The incentive program and referral programs are not mutually exclusive.
Customer Customization
• Pool tips of the day• Specific product information (based on customer
request)• Order status and order history• Reminder messages
– Maintenance schedules– Personal reminders
• Local weather• Stock information
Benefits
• More personalization = more actionable data = reduced marketing costs
• Create repeat business through targeted and up to date customer preferences
• Higher customer retention• Easier to sell to repeat customers• Increase revenue per customer with
effective implementation of personalization
Implementation Considerations
• Application Service Providers– Our expertise is pools not IT– Resources required (capital and personnel)– Time to market
Implementation Considerations
• Data storage/data warehousing
• IT infrastructure and integration
• Web strategies
• Process design and process rule creation
• Training of employees
• Legal considerations
• Logistics
Pri
mar
y A
ctiv
itie
s
Organization concerns
Training and Legal Considerations
ASPs,Data Storage, Cookies, Data mining/warehousing, IT Infrastructure
Su
pp
ort
Act
ivit
ies
Purchasing concerns
Suppliers Organization Recall PrefsDistribution
Banner AdsScreen DesignOnline PromoEmail CouponsE-NewsletterPricing
Linking Help Desk w/ web DBOrder status/historyMessage BoardsRemindersLoyalty