Database Systems

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Database Systems CRM

• DEFINITIONS
• CRM - Customer Relationship Management
• CRM usually refers to a strategic solution that
  helps businesses identify the most profitable
  customers, customer needs and buying habits, and
  helps pinpoint problems in the sales and
  fulfillment cycle.
• In short, CRM is designed to build and maintain
  relationships with customers.
• CRM is the strategic use of information,
  processes, technology, and people to manage the
  customers relationship with your company across
  the whole customer lifecycle.
• CRM presents a single view of a customer a
  customer centric approach

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Database Systems CRM
Direct Mail Targeting
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Database Systems CRM
USES AND REASONS

• CRM software packages (solutions) are made to
  solve business problems. The business problem
  usually isn't a lack of informationbut the
  inability to take action that is based on that
  information.
• There is not one single software package that can
  force business to take action on the information
  that they have gathered.
• Software is there to facilitate that action and
  allow for the information to be used in
  meaningful and actionable programs, that
  establishes and builds customer relationships.
• Who should implement CRM?
• Any business that needs to do the following
  should implement CRM
• understand their customers
• respond to their customer needs
• apply sales and retention dollars to the right
  places
• offer products and services that are valuable to
  their customers

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Database Systems CRM
HYPE VS. REALITY

• CRM does not always live up to its hype. This is
  often because
• Lack of Planning
• Some companies fall for a hard sales pitch and
  buy packages that do not include features they
  really need
• Lack of understanding
• Others buy systems and features that are more
  complex than what they were led to believe these
  applications would be
• Implementation Issues
• Lack of Skills
• Not having right skills in IT and marketing

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Database Systems CRM
HYPE VS. REALITY

• Company Culture and Philosophy
• Product Centric vs. Customer Centric
• Desire for quick results
• Search for silver bullet
• Cost
• High cost of CRM implementation (if you buy
  everything)
• Longer ROI
• Complexity
• Systems are too flexible, therefore, are
  complicated at same time

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Database Systems CRM
HOW TO AVOID THE TRAP?

• The best method is simply to assess the firm's
  needs realistically
• Let business needs drive technology, not the
  other way around
• Ask questions before making a decision
• Hire experts to evaluate the needs and recommend
  right solution
• Compare those needs with the features of the CRM
  application being considered
• Dont let sales team dictate business solution
• Dont let internal IT decide features that they
  think are important
• Check references and consult with them
• Dont buy more than you can handle

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Database Systems CRM
WHATS IMPORTANT TODAY?

• In terms of features
• Applications' ease of use by business users
• Advanced analytics
• Ability to support a centralized master customer
  data system

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Database Systems CRM
CURRENT CRM AT PEP BOYS

• Campaign Management
• About 7 million pieces of mail
• Ongoing direct mail using single or two stage
  segmentation
• Ad-hoc direct mail
• Campaign Reporting
• Tracking responses
• Developing data for analysis
• Learning from doing it

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Database Systems CRM
FUTURE OF CRM AT PEP BOYS

• Smarter Customer Segmentation
• Target better - Get more from less
• Use analytics to learn about customers
• Use campaign management to take action
• Advanced Analytics
• Develop customer profiles
• Develop tracking of customer behavior
• Update campaigns based on analytics
• Loyalty Programs
• Reward customers who improve and change behavior
• Reward customers who maintain spending

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Database Systems CRM
DRM SOFTWARE BUNDLE AT PEP BOYS

• Siebel eMarketing 7.5.2
• Siebel Analytics 7.5
• Informatica (ETL Tool) 5.1
• SPSS Predictive Analytics Bundle
• Data Cleansing Service

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Database Systems CRM
CHALLENGES FOR THE OUT OF THE BOX SOLUTION

• Will the software work in my environment?
• Multiple Platforms
• Multiple Vendors
• What are the hardware requirements?
• How much data do we need to keep?
• How can I get all these vendors on the same page?
• How can I satisfy all requirements in the
  allotted time within my budget?

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Database Systems CRM
CRM DATA FLOW
Data Sources
Data Warehouse
Data Cleansing (Contacts)
Orders Line Items Vehicles
60
CRM
Data Mining
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Database Systems CRM
FUTURE TECHNICAL INITITIVES

• Stay Current / Upgrade
• Real-Time Cleansing
• Mining the Data
• Centralized Data Source

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Database Systems CRM
LESSONS LEARNED
Lesson
Impact

• Engage all stakeholders at beginning
• Know Your Partners(Low Cost not best)
• Start Small, Learn, Then Grow
• No Substitute for Experience
• Have a Technical and Business Plan
• Know Your Data

• No Store, Service input
• Inexperience, mistakes delays
• No quick hits, I.e. No quick Returns
• No In-House CRM Expertise
• Technology in Place how do we use it?
• Campaigns yielding unexpected results

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Lessons Learned
Lesson
Impact

• Engage all stakeholders at beginning
• Know Your Partners(Low Cost not best)
• Start Small, Learn, Then Grow
• No Substitute for Experience
• Have a Technical and Business Plan
• Know Your Data

• No Store, Service input
• Inexperience, mistakes delays
• No quick hits, I.e. No quick Returns
• No In-House CRM Expertise
• Technology in Place how do we use it?
• Campaigns yielding unexpected results