Optimize Retail Customer Engagement

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1 Optimize Retail Customer Engagement /N SPRO Campaign Management March 24, 2016

2 Agenda 1 About our Hosts 2 Who is /N SPRO? 3 What is Campaign Management? 4 Where does CM fit? 5 CM Scenarios & Demonstrations 6 Recommended Next Steps Questions will be answered at the end of the Webinar. Please submit any questions in the Questions box on your GoToWebinar toolbar. /N SPRO INC All rights reserved. 2

3 About our Hosts Brian Cederborg VP, Retail and Wholesale Consulting Brian has led retail transformation programs at organizations across North America including BJ s Wholesale Club, Loblaw Companies Ltd., and Brookshire Grocery Company. Brian has developed an innovative approach to leveraging technology to better drive retail business value. Steve Clark Senior Consultant, Retail and Wholesale Steve brings a combined 28 years of retail and SAP experience. He has held leadership roles in Merchandising, Supply Chain and Information Technology for two of Canada s largest retailers. His combination of retail knowledge and SAP functional design experience enables him to be a strong value partner in ensuring business capability enablement across all facets of an SAP implementation or business transformation project. 3

4 /N SPRO - Who we are is one of the top product development and consulting service providers across all of SAP s Consumer Industries software suite and the GO-TO expert in the market service provider priming multiple CAR implementations with large ($1+ billion USD in annual revenue) North American companies KEY PARTNER of the SAP Industry Business Unit, advising SAP and customers across the entire breadth of the SAP Retail software suite certified service provider in North America for SAP s Forecasting & Replenishment (F&R), sitting in on multiple industry consortiums (e.g., Merchandise Planning, Allocations) Completed over 100..and an aggressive geographical expansion plan SAP 17 implementations With office locations WORLDWIDE in more than 30 COUNTRIES YEARS of SAP Implementation experience with more than experience specific to SAP 1O Consumer Industries YEARS solutions for OUR EMPLOYEES: More than 300 Retail & SAP professionals worldwide Turnover of less than 5% IN Q1 OF 2015 FINANCE STORES MERCHANDISING SUPPLY CHAIN MARKETING 4

5 Solution Expertise As an SAP partner on co-innovation initiatives, the /N SPRO team works collaboratively with worldwide industry thought leadership on enhancing existing solutions and developing innovative software. Current solution based strategic initiatives include:» Customer Activity Repository (CAR)» Forecasting and Replenishment (F&R)» Promotion Management for Retail (PMR)» Fashion Management Solution (FMS)» Customer Centric Retailing» Merchandise Planning» SAP planning for Retail» Business Planning & Consolidation (BPC)» GK Software» POSDM» SuccessFactors» Mobility» Hybris» Campaign Management Solution /N SPRO INC All rights reserved. 5

6 Today s Retail Customer Buying power is shifting rapidly to the next generation By 2020 Millennials over 25 years of age will make up 19% of the population It s approx. 5% today As spending shifts, innovation in communication channels must occur to meet expectations 6

7 Marketing Must Shift To Meet Customer Expectations MASS MARKETING TARGETED MARKETING PERSONALIZED MARKETING Ads Mass Offers Web-Savers INNOVATION Segmentation Offers Exclusive Rewards Opt-in Clubs Personalized Ads Personalized Pricing Recipes & Meal Solutions

8 SAP s View of Key Retail Problem Statement: Retailers are not keeping up with consumer expectations 8

9 Campaign Management Process Consistent & Flexible Supported By Common Data & Analytics Mass Marketing Calendar Campaign Management Offer Management Financial Management Campaign Execution Segmentation Targeted Master Data Management Reporting & Analytics Iterative, as required, to support changing market demands 9

10 What is CAR? Visualizations Retail Merchandise Management SAP Promotion Management Store hybris Marketing Multichannel Inventory Visibility Web Sales Insight POS Sales Transfer and Audit Third Party Applications Multichannel Sales Activity/Storage Assortment Planning Demand Planning Retail Big Data Platform In-Memory (HANA) Unified Demand Forecast Customer Activity Repository Replenishment Sales Analytics Allocation Planning On-Shelf Availability Partner Extensions Predictive Analytics Master Data CRM Social Media 10

11 What is CAR? An operational reporting and analytics platform» Full suite of HANA utilities available A Retail-Specific Accelerator for enterprise data management» Pre-built, extensible HANA virtual data model» POS Data Management (sales audit application)» Forecasting and analytics framework An enterprise planning platform option» Database for SAP s consuming planning applications; current applications include: Promotion Planning Assortment Planning Marketing Analytics (customer insight, segmentation, social sentiment, contextualized recommendations) Merchandise Planning 11

12 What CAR is NOT? A historical reporting platform» BW still required in most environments» BW and CAR white listed to leverage the same HANA instance» When to use CAR vs. BW for reporting is use case driven A reporting (visualization) product» An SAP or non-sap product required to see the data for most use cases 12

13 SAP Campaign Management System Flow ERP System Supply Chain Systems Marketing Content Production Master Data + Pricing Forecast Offers Event Management Segmentation CRM Campaigns + Events + Target Groups Target Groups + Member Activity PMR Offer Management hybris Marketing CAR Sales + Sales Audit Customer Channels (POS, Web, Mobile, etc.) Customer Offers + Point Balances Member ID Reporting Forecasting + Analytics 13

14 Sample Campaign Post-Event Analytics 14

15 Why Consider SAP? Simple Yet Modular» One offer management tool» One customer lifecycle management tool» One reporting and analytics platform» One transactional platform» One segmentation tool Integrated & Real-Time» Master data, segmentation, reporting, analytics, campaigns, offers, channels, Finance, Supply Chain Fast» Sub-second response on most queries Powerful» Customer-specific and Omni-channel» Disaggregated data sales, inventory, customer» Mass, targeted, loyalty, non-membership, print, digital, in-store, etc.» Full customer lifecycle management support all events and touchpoints 15

16 Active SAP Customers North American Retailers Leveraging SAP Customer / Campaign Management: Tractor Supply Company Brookshire Grocery Company Tim Hortons Loblaw Companies 16

17 Brookshire s Grocery Company Campaign Management Implementation Benefits achieving: Reporting and Analytics:» 25 months of transaction-level (TLOG) data available for analytics, every 15 minutes» Unifying customer data with sales and scan gross, allowing for customer profitability» Full visibility to all customer data tracked, enhanced attributes (psychographic, demographic, clubs, opt-ins)» Enhanced and more in-depth promotional reporting» Store cluster and loyalty activity fully available for analytics Promotions:» PMR is the single point of entry for all offers mass and targeted; less manual intervention in creating offers» Enhanced forecasting capabilities» Promotional target groups more efficient and include more attributes» Labor saving with auto-attach vendor funds to offers» All advertised offers in automated digital publisher feed, eliminating manual steps 17

18 Additional Information

19 Questions QUESTIONS /N SPRO INC All rights reserved. 19

20 THANK YOU Brian Cederborg Steve Clark