The Future of Marketing and Customer Loyalty with AI
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1 The Future of Marketing and Customer Loyalty with AI Karsten Stokking, Nordic Marketing Leader, Watson Customer Engagement 28th September /29/2017
2 5 Questions That Will Force Marketers To Think Differently By Who is your audience? 2. What do your customers (really) want? 3. Why don t consumers love brands anymore? 4. Where have all your customers gone? 5. When are you going to get your customers back? 2
3 Are we focused on loyalty? 63% of shoppers believe that loyalty programs are suppose to demonstrate how loyal the brand is to the customer. Organizational focus - acquisition versus retention strategies 66% of marketers believe that loyalty programs are a way for customers to show how loyal they are to the brand 3
4 1. Who is your audience? 4 Amplify 2017
5 Predictions for % web browsing will not include a screen.
6 Emerging Technologies Will Unleash Massive Change
7 9/29/2017
8 2. What do you customers (really) want? 8 Amplify 2017
9 What Do Customers REALLY Want? SOCIAL IMPACT LIFE CHANGING SELF- TRANSCENDENCE PROVIDES HOPE SELF- ACTUALISATION MOTIVATION HEIRLOOM BELONGING EMOTIONA L REDUCES ANXIETY REWARDS ME NOSTALGIA AESTHETICS BADGE VALUE WELLNESS THERAPEUTIC VALUE FUN ATTRACTIVENESS PROVIDES ACCESS FUNCTIONAL SAVES TIME SIMPLIFIES MAKES MONEY REDUCES RISK ORGANISES INTEGRATES CONNECTS REDUCES EFFORT AVOIDS HASSLES REDUCES COST QUALITY VARIETY SENSOR APPEAL INFORMS
10 What Do CMOs REALLY Want? 1. Growing more profitable revenue 2. Increasing loyalty (reducing churn) 3. Dealing with competition in the marketplace IBM CMO Report Wish= Single View of Clients
11 11 By 2020 Customers Will Demand Perfect Execution"
12 3. Why don t consumers love brands anymore? 12 Amplify 2017
13
14 Customers don t want relationships with a brand. They just want experiences that work. Jeremy Darroch SKY CEO
15 Most Consumers Believe Marketers Should Limit the Personal Data They Collect More than half of US and UK smartphone owners say advertisers should not be collecting any data at all
16 4. Where have all your customers gone? 16 Amplify 2017
17 17 Customer Engagement is Declining
18 5. When are you going to get your customers back? 18 Amplify 2017
19 COGNITIVE IS THE NEW CRM I DON T NEED TO KNOW EVERYTHING ABOUT EVERYBODY, I JUST NEED TO KNOW A LITTLE BIT ABOUT A LOT OF PEOPLE. BRADLEY VOYTEK
20 20
21
22 The cognitive approach reveals what people say, think and feel about The Championships, helping us make quicker, more informed decisions. Alexandra Willis, Head of Communications AELTC 22 9/29/2017
23 Watson Marketing Marketing Insights With Watson, know what audience you need to target based on customer behaviors. Marketing Insights Audience Insights 23
24 Watson Marketing Marketing Insights With Watson, create target audiences in minutes based on key predictors and connect seamlessly to campaigns. Marketing Insights Audience Insights 24
25 Consumers Say They re More Likely To Shop With Retailers That Deliver Personalized And Connected Experiences 88 % Source: Swirl Networks, 2015 Conversational Commerce
26 1-800 Flowers Personal Gift Concierge
27 Personality Insights Keyword Extraction Image Link Extraction Languag e Detection Relationship Extraction Feed Detection Sentiment Analysis Dialog Concept Expansion Visual Recognition Concept Insights Concept Tagging Languag e Translation Natural Languag e Classifier Retrieve & Rank Text To Speech Author Extraction Tone Analyzer Taxonomy Message Resonance Image Tagging Text Extraction Watson News Speech to Text Tradeoff Analytics Entity Extraction Face Detection Video Augmentation Factoid Pipeline Case Evaluation Knowledge Canvas Q&A Qualification Criteria Class. Policy Identification Fusion Q&A Risk Stratification Usage Insights Answer Generation Decision Optimisation Emotion Analysis Knowledge Graph Decision Support Knowledge Studio Service Statistical Dialog Easy Adaptation Question & Answer Speech to Text IBM.com/Watson Personality Insights Sentiment Analysis Visual Recognition Natural Languag e Classifier Tone Analyzer Image Tagging Emotion Analysis IBM Watson API s
28 SEEK FEEDBACK CUSTOMER SERVICE Customer Loyalty Matrix RELATIONAL Retention Tactic True Loyalty The connection to the brand goers beyond the offer. GOAL: OPTIMISE THE EXPERIENCE Cult Loyalty The brand reflects my personal identity. GOAL: OPTIMISE THE TRIBE BUILD RELATIONSHIPS PASSIVE ACTIVE Inertia Loyalty I m only here because it s too much trouble to go elsewhere. GOAL: OPTIMISE THE BARRIERS TO EXIT Mercenary Loyalty I m loyal because you pay me to be loyal. GOAL: OPTIMISE THE INCENTIVE EDUCATE CUSTOMERS RIGHT MESSAGE RIGHT CHANNEL RIGHT TIME = TELL BETTER STORIES Watson Marketing TRANSACTIONAL
29 Thank You. Karsten Stokking Marketing Leader, Watson Customer Engagement 29 9/29/2017
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