MK99 – Big Data 1

Big data &

cross-platform analytics MOOC lectures Pr. Clement Levallois

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Definitions • CRM

– Customer Relationship Management

Part of the Information System of the firm.

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Stocks Book keeping

Purchases Orders

…

Sales, Contracts, Customer

Payroll Attendance

Performance… Logistics /

Supply Chain

CRM Accounting software

HRMIS SCM IS

ERP

Info

rmat

ion

syst

em o

f the

firm

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CRM in practice (pre-2000)

Id Customer Name Address Gender DoB

Id Purchase

Date Product Volume Discount Id Customer

Id Marketing Action

Date Id Customer

Type (call, email, …)

Result Agent

Your own servers:

Actions table

Transactions table

Customer table

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CRM: What changed with the digital transformation

1. You should manage more than “Customers”

– Customers: they buy – Advocates: they talk – Qualified prospects: they are candidates

to buying – Listeners: they are in your audience – Second degree network: the wider

public, still can be reached

2. Touch points have blossomed – Email, blogs, channels, platforms,

micro-sites, games, social networks… – Mobile / Tablet / Desktop / iWatch /

social TV

3. Relations: it got complicated – You create content – Your customer / advocates / prospects

create content – All across channels – Communication is two-ways

4. Expectations have elevated

– Real-time – Localized – Personalized – Truly interactive

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Ex: the ‘Share a Coke’ campaign

1. What CRM would you need to manage a campaign that: – Crosses all channels, and blurs communication and sales

– Generates individual behaviors and self-produced media content

(incl. much pic. & video content)

– Needs to adapts product offering / labelling on a daily basis, in different countries

2. After the campaign is closed, how would you leverage its results?

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So CRM have transitioned… 1. From a support system… – To help track KPIs for management

– Salesforce automation

– Facilitating accounting

– To comply with legal requirements

– And running the obligatory loyalty program

2. … To the cockpit room for market facing activities

– Collecting and storing data without limitation of

volume, variety, or velocity

– Monitoring sales but also multichannel campaigns and user-generated content

– Generating localized, real-time, personalized micro-campaign suggestions

– Able to plug and play with external data sources and analytic solutions

Goal: facilitating administrative duties Goal: Stimulating the relations btw the company & the market

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3 key areas of transformation for CRMs

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DMP in the Cloud

Ex: SalesForce

Bluekai

1. Local resources replaced by a data management platform

Web analytics solution

Demand-Side platform for ad campaigns

Supply-Side platform for ad placements Social media analytics for activity on

Twitter, Facebook, etc.

Mobile apps analytics for reports on Android, iOS etc.

POS management software for reports on brick & mortar sales

(new data source ready to be plugged in)

Ex: Mediamath

Ex: Google analytics

Ex: Google’s AdSense

Ex: Hootsuite

Ex: Localytics

Ex: Microsoft Dynamics

API

API

API API

API

API API

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2. Reporting tools replaced by data science

1. Hacking skills (not in the “pirate” sense.) Means the capacity to make things work in new, unpredictable environments, with the tools at hand. -> Ex: Find a way to manage huge volumes of clicks, app downloads, store sales data, product reviews etc. for analysis in an Excel spreadsheet?

2. Math & stats knowledge Means the capacity to apply relevant analytical approach to the problem – don’t need to be a math major! -> Ex: how do I predict which customers are most likely to react positively to my email campaign? What tools are avail. to identify segments?

3. Substantive expertise Also called “domain knowledge”. Means the ability to understand the specificities / particularities of the business activity. -> Ex: how do I interpret the results of my analyses given what I know of my business environment? Source: http://drewconway.com/zia/2013/3/26/the-data-science-venn-diagram

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3. Customer relations evolved 1. Community Management is not optional

– Data-driven and also curated by editors, customer service specialists and evangelists

2. Interactions have become personal and 2-ways – … and this is not just about customers writing on blogs: – Push notifications on mobile, personal emails and calls, geolocalized ad displays, real time

conversations on Twitter and Facebook.

3. Seamless customer experience in a cross-channel environment is a default – With channels multiplying, customers elevate their expectations as to the quality of service

companies should provide. – Discovery, ordering, delivery, after-sales servicing: all integrated.

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Summary • CRMs shifted from an admin support system

to a lever for action.

• CRMs have finally become customer focused: personalized, real time, two ways, integrated across channels.

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This slide presentation is part of a course offered by EMLYON Business School (www.em-lyon.com) Contact Clement Levallois (levallois [at] em-lyon.com) for more information.