For example, satisfaction rates for the five banks in our study spanned nearly 40 percentage points. An independent credit union took top honors with an impressive satisfaction score of 90%, while Bank of America came in at just 53%. Ouch. The credit card industry fared similarly: Discover Bank took the top spot with 81% consumer satisfaction, while Citi and Capital One tied for last place with twin scores of 58%. Meanwhile, phone interactions with the four Internet service providers (ISPs) in our study — AT&T, Comcast, Road Runner (Time Warner Cable), and Verizon — were universally loathed. The average satisfaction score for the ISPs was the lowest of any industry, and scores for the individual brands saw only an eight percentage-point spread.
Low call center satisfaction is admittedly bad news for brands, agents, and callers alike. But it also means that firms have a near-term opportunity for big-time brand differentiation through the call center customer experience.
During the past few months, our sales enablement team has researched and written about battle cards. We've spoken with more than 40 companies, including CMI leaders and sales professionals, to understand how sales reps use battle cards, what role a battle card plays in fueling customer conversations, and what CMI organizations can do to build more value into their battle cards.
During our interviews, sales reps told us that they need battle cards for effective selling today. Reps spend their time identifying a customer’s problems and building a shared vision to solve them. Competitors also engage in a similar journey, and sales reps told us that battle cards help them to:
Anticipate traps. Sales reps need to be aware of ideas that competitors will suggest to the customer early in the sales cycle, but that the customer won’t bring up until the final stages of a purchase. One rep told us of a situation: “A competitor’s rep told the customer that we have a lot of hidden costs – that we don’t include them in our early proposals, but that we will ‘change our tune’ later.” How do you prepare your sales reps for competitive traps?
Respond to questions. Sales reps must be able to answer their customer’s questions and recognize the more subtle issue behind the question – especially those issues that originate with statements from a competitor. A simple dialog shown in the graphic illustrates how a competitor will influence the questions that customers ask. How do you anticipate competitor’s questions and equip sales reps to respond?
This is Peter O’Neill and I had a very busy Forrester Marketing Forum last week in San Francisco: two presentations (well, two halves, I suppose, because I was the co-presenter) plus dozens of one-on-ones with Forrester clients. While I would have preferred to talk about differentiation in the customer lifecycle, the theme of my first Forum presentation and my most recent report, the incorporation of social media into the marketing mix continues to be the hottest topic for most tech marketers. It was exciting to be able to share our brand new Tech Buyer Social Technographics data which has just come in. BTW, the level of social media activity in European buyers is still ahead of American buyers – I will be presenting the European data in my planned Forrester teleconferences on May 9th: once in German for local clients, prospects and press; and once in English for other Forrester clients.
After two days of very well done presentations from the Bazaarvoice team, observers of the social space and some business leaders, I come away from the Bazaarvoice Social Summit with a few thoughts:
Generally, the big theme was that use of ratings and reviews by eBusiness pros continues to deepen and add value to overall business success. We heard from Argos, Urban Outfitters, J&J, Xerox, Adobe, Best Buy, Rubbermaid, P&G, LL Bean, 3M and Estee Lauder. All of these businesses showed how they have fully embedded the use of ratings and reviews content throughout their businesses. For example, improved product data gained from ratings and reviews content is sent to all customer touchpoints such as the call center, POS, etc., at Argos; Rubbermaid realized from review content that people don’t read packaging and found that products didn’t perform well when consumers didn’t use the product as directed, so it changed the packaging and the product collateral and thus set expectations more in line with the intended use of the product and now have highly satisfied customers. And the examples like this continued throughout the conference. Look for our coming snapshot report showing some other examples of how eBusinesses continue to mine this valuable content to drive business results.
My bearishness on F-commerce is no secret, so I may have been a little biased when I dove into my most recent research, Will Facebook Ever Drive eCommerce? Fortunately, the findings were nuanced among different types of retailers, which gave a lot to write about. Some highlights:
There are retailers (albeit small ones) seeing a double-digit percent of their sales coming through their Facebook stores. These companies often have unique demographics or marketing models (e.g., flash sales) that drive this behavior.
Facebook’s “data layer” is probably one of the most underleveraged assets that exists with respect to F-commerce. There is myriad information about fans, what products consumers are liking, and competitive insights that can be gleaned from merchant and consumer activity on and off Facebook.
Facebook Credits is a non-starter for most retailers. This is the “currency” that consumers can use to buy, say, potatoes on Farmville. Facebook, however, has little to no credibility with respect to financial services among consumers, and the same retailers reluctant to implement PayPal (which so many large merchants are) will be 10 times more resistant to a less-tried, less-reliable, newer payment mark.
Over the past year, we’ve worked together with the forecast team at Forrester to help eBusiness professionals understand the size of different online retail markets around the globe. Last year we published our first look at the online retail markets in some of the major markets in Asia-Pacific — this year, we’ve just published our first forecast for two of the largest online retail markets in Latin America, Brazil and Mexico. Some findings from the report include:
Brazil is — and will remain — the powerhouse in the region. With more than 40% of the online users in the region and a steadily growing economy, it’s not surprising that Brazil’s eCommerce market will outpace all others by a wide margin. Brazil’s projected 2011 sales of almost $10B put it behind other major online retail markets like France and South Korea but ahead of smaller ones such as the Netherlands and Italy.
Mexico’s online retail market is small today —but growing by a CAGR of almost 20%. With less than half of the online users of Brazil and limited online spending, Mexico’s online retail market remains a small fraction of the size of Brazil’s. Average online spending per buyer will not increase significantly over the next five years, but the sheer number of online buyers will.
1. an aptitude for making desirable discoveries by accident.
2. good fortune; luck: the serendipity of getting the first job she applied for.
Internet retailers have been struggling with a challenge since the first time a shopper clicked “Add to Cart,” and so far I don’t think anyone has really cracked it.
Recently we’ve had a number of discussions in our office (and more in the pub) about the difference between the online and offline shopping experiences, and the subject of online product discovery is one we can’t seem to get to the bottom of. It appears that many retailers are in the same place, and despite their best efforts, online retailers just can’t duplicate what we’ve termed serendipity.
That feeling of walking into your favorite bookshop and picking something up in a section you don’t normally go into just because the cover leaps out at you.
The moment when you stumble across some unutterably stylish, drop dead gorgeous dress in the store you don’t normally go into, but your friend dragged you protesting into.
That magic moment where you discover something.
Amazon has had a good go at it, and I confess I’m a huge fan of its “people like you buy stuff like this” functionality, but it does suffer from a major flaw. Like many of my Forrester colleagues, I use Amazon to buy a lot of gifts that I don’t ask to have wrapped. So Amazon thinks I’m crazily into books on vintage fashion and Waybuloo toys. Well I’m not. But my wife and 2-year-old niece are. Go figure which one likes which. So I regularly receive invites to buy more books and toys I really don’t want.
From the interviews with more than 50 marketing leaders, we have learned that more than 40% of chief marketing officers (CMOs) admit that their brand loyalty programs underperform or produce erratic results, or they simply do not know how the programs are performing. The survey also shows that for most CMOs, loyalty marketing is often seen as a means to an end, not a strategy, and that their approach, while necessary, has unclear objectives and focuses too much on short-term financial goals.
Other key findings from the report:
Marketers are primarily focused on customer acquisition (65%), increased brand awareness (40%), and marketing return on investment (39%), as opposed to initiatives addressing customer loyalty, such as increasing customer retention (31%) and customer lifetime value.
The majority of respondents indicate that customer retention (79%) and revenue growth (53%) are the key metrics used by senior management to evaluate loyalty marketing initiatives, as opposed to Net Promoter Score (24%) and customer satisfaction (24%).
Lack of differentiation (91%) and promotional clutter (73%) are seen as the main reasons why loyalty initiatives are often not delivering the goods. For more than half of the respondents, loyalty marketing initiatives are not aligned with the brand they are promoting.
We use mobile devices throughout the day to communicate with each other, get timely information, and entertain ourselves. And, because they’re almost always within a few feet of us, these devices offer myriad opportunities for brands to insert themselves into our lives in meaningful ways. But brands have been slow to realize this opportunity.
Whenever I browse the Apple app store, I’m always shocked by the small number of apps that have been commissioned by big brands — and this holds true for the Android and BlackBerry app stores, too. The app landscape is absolutely dominated by new startups — and big brands are getting left in their dust.
Take, for example, Apple’s list of top free iPhone apps from 2010. Big brands were noticeably missing from the following categories, where only one of the top 10 apps was from a big brand:
Education (kudos to NASA, which was the only big brand)