February, 2007

Anther Unforgivably Long Post on Lifetime Value

Customer Experience Matrix

A few weeks ago I wrote a long series of posts about the uses of Lifetime Value. I made several references to a “Lifetime Value system” that would support many of these applications. I’ve now taken the logical next step and built a sample system, just to see how well what I described hung together in practice. This only took a few days work, using a very slick and efficient business intelligence tool called QlikTech (for which Client X Client is a reseller, if anyone is interested).

B2B Lead Generation Blog: On giving away ideas

B2B Lead Generation

I had coffee with a potential partner and our conversation ebbed to a discussion about marketing philosophy and lead generation. He said something like, "I think companies [like yours] give away many of their trade secrets on their

Chris Botti and Billy Kilson

Smashmouth Marketing

Saw Chris Botti the other night with Linda. Her thoughtful birthday gift for me. The show was fantastic. Chris is energetic, and a showman. The first show highlight for me was A Thousand Kisses Deep based upon the song from one of my all time favorite song writers/poets, Leonard Cohen.

Feed Icons Library Part II for Blogs

Anything Goes Marketing

I wanted to do a follow up post from my original Feed Icon Library post as there are so many new icons out there that you can add to your blog! Be Original with Your Blog Why use a different feed subscribe icon? Why not just use the regular orange feed icon that you typically see?

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How B2B Marketing is Changing in 2018

Gain exclusive insights on priorities, tactics, and challenges from SMB Marketing Leaders.

Blogger: Redirecting

Buzz Marketing for Technology

IBM just unveiled a suite of software products called Lotus Connections that includes tools for posting personal profiles, Web logs (or blogs) and lists of Web bookmarks for creating online communities. The suite also has bookmarks for

More Trending

Are Multi-Variate Testing Systems Under-Priced?

Customer Experience Matrix

I’ve had a series of conversations over the past few days regarding the distinction I made last November between “behavioral targeting” systems and “multivariate testing” systems. Both types of products tailor Web contents to individual visitors.

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Why Customer Experience Management Depends on Metadata

Customer Experience Matrix

I’ve written a great deal recently about the importance of Lifetime Value as a measure to guide customer experience management. Let’s assume I’ve made my case, or at least no one has any interest in arguing about it. The next question would be, what blocks companies from making Lifetime Value calculations? In one sense, the answer is nothing. You can generate a crude LTV figure with nothing more than annual profit per customer and attrition rate.

Assessing an Array of Analytics Application Acquisitions

Customer Experience Matrix

To an industry analyst, one event is interesting, two are a coincidence, and three makes a trend. Last week has (at least) three acquisitions of analytics vendors: TouchClarity by Omniture , Decisioneering by Hyperion , and Pilot Software by SAP. So what trend are we witnessing? Actually, the answer is quite obvious: companies are trying to add more intelligence to their products. This particular trend has been under way for a long time.

JetBlue's Problems from a Customer Experience Management Perspective

Customer Experience Matrix

It feels kicking them while they’re down, but the JetBlue story continues to fascinate me. Like other well-regarded brands facing a crisis, they’ve responded forcefully. This in itself is good, since it means they are controlling the story rather than leaving the media to dig around for more horror tales. And JetBlue’s specific response—to promulgate a “ Customer Bill of Rights ”—is very much in line with their core brand position as customer champions.

The Account-Based Marketing Playbook

Account-Based Marketing is a strategy, not a solution.

What's Really Holding Back Customer Experience Management?

Customer Experience Matrix

Epsilon’s Ron Shevlin is worried about the future of Customer Experience Managment. In a post today, he concludes, “If proponents don’t come together to reconcile the conflicts in their frameworks and provide credible high-profile case studies that capture the attention of senior execs — before the end of 2008 — then CEM won’t be a term we’ll hear a lot about come 2010.”

Where Is JetBlue's Brand Value of Yesterday?

Customer Experience Matrix

JetBlue Airways’ highly publicized problems in recovering from last week’s snow storm raise a fundamental issue about the value of brands. JetBlue had built a strong image for being customer-friendly in an industry that is notoriously customer-hostile. Perhaps it will recover this image and perhaps its recovery will be helped by that reservoir of good will known as brand equity.

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Web Analytics In One Hour? I Don't Think So.

Customer Experience Matrix

I’m still reflecting on speed-trap's promise to provide “all the data you need” in “under an hour”. It’s not so much that I’m skeptical about the time required—maybe it’s really possible in a simple situation, and people don’t take such claims too seriously anyway. Nor does it bother me that speed-trap turns out to rely on cookies for visitor identification: although that's definitely an imperfect solution, it's still the best one available.

Speed-trap and SAS Promise More Accurate Web Analytics

Customer Experience Matrix

Here’s an intriguing claim: a February 2 press release from SAS UK touts “SAS for Customer Experience Analytics” as linking “online and off-line customer data with world class business intelligence technology to deliver new levels of actionable insight for multi-channel organisations.” But the release and related brochure make clear that heart of the offering is Web analytics technology from a British firm named speed-trap.

7 Marketing and Sales Strategies to Grow Your Revenue Fast

Speaker: Christopher Ryan, Founder and CEO of Fusion Marketing Partners

Many companies have the core marketing and sales elements to take their revenue to the next level, but are still missing out on some key opportunities. Join Christopher Ryan, CEO of Fusion Marketing Partners and writer of the recent book "The Expert’s B2B Revenue Growth Playbook," to discover seven steps that you can immediately take to grow your company’s revenue quickly and consistently!

Cellphone Ads Miss the Point

Customer Experience Matrix

I know I promised to stop writing about mobile phones, but the headline “The Ad-Free Cellphone May Soon Be Extinct” in today’s The New York Times (February 14, 2007, Business Day , page c5) is irresistible. It seems that 60,000 people have assembled in Barcelona, Spain for the industry’s main annual conference and nearly all of them are salivating over the ad revenue they might earn.

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Uses of Lifetime Value - Part 6: Final Thoughts

Customer Experience Matrix

These past five posts have been a jolly romp through the delights of lifetime value. I think the main applications have been laid out clearly enough that I need not review them here in any detail. For the record, they are: LTV itself, LTV components, comparisons of components, forecasts based on components, and, somewhat tangentially, simulation models.) But there have been several underlying themes that might benefit from explicit elucidation (plus I just like the word ‘elucidation’).

Uses of Lifetime Value - Part 5: Trend Analysis

Customer Experience Matrix

This series of posts has followed what should seem like a logical progression: using the Lifetime Value figure; using components within that figure; comparing component values over time, across segments, and against forecasts; creating the forecast values with models; and using the models for simulation, planning, and optimization. Since optimization is the ultimate goal of management, that should be the end of the discussion. But it isn’t.

Uses of Lifetime Value - Part 4: Optimization and What-If Modeling

Customer Experience Matrix

Yesterday’s post on forecasting the values of LTV components may have been a little frightening. Most managers would have a hard time translating their conventional business plans into LTV terms. The connections between the two are simply not intuitive. And how would you know if you got the right answer? Part of the solution is technical.

4 Steps to Developing Your Customer Care Strategy

The quality of a customer care strategy can make or break a company, but simply resolving a customer service issue or complaint is no longer enough. Learn the 4 steps that address the major points you need to consider when building a customer care roadmap.

Uses of Lifetime Value - Part 3: Forecasts

Customer Experience Matrix

Yesterday’s post discussed how values for LTV components can be compared across time and customer segments to generate insights into business performance. But even though such comparisons may uncover trends worth exploring, they do not tell managers what they really need to know: is the business running as planned? To do this, actual LTV figures must be compared with a forecast.

Uses of Lifetime Value - Part 2: Component Analysis

Customer Experience Matrix

Yesterday I began discussing the uses of Lifetime Value models. The first set of applications use the model outputs themselves—the actual estimates of Lifetime Value for individual customers or customer groups. But in many ways, the components that go into those estimates are more useful than the final values. Today we’ll look at them. All lifetime value calculations ultimately boil down to the same formula: lifetime revenue minus lifetime costs.

Uses of Lifetime Value - Part 1

Customer Experience Matrix

Yesterday I came down firmly in the middle in the great debate between Return on Investment and Lifetime Value as the primary measure for business decisions. My heart lies with Lifetime Value, but the realist in me knows you have to consider both. The realist in me also knows that most of work with either measure is projecting future customer behavior. This provides the inputs needed for both types of calculations.

Return on Investment is Only Part of the Solution

Customer Experience Matrix

I was reading a paper on measuring return on investment for marketers this weekend and thought that the author had misclassified a set of expenses in one of the examples. The specific issue was whether a gift certificate given to respondents is part of the marketing investment or the cost of sales. It matters because including the gift in the marketing investment increases the denominator in the return on investment ratio (profit / investment), thereby lowering the ROI.

A Crash Course in B2B Email Creative

Speaker: Howard Sewell, President, Spear Marketing Group

Too often, email campaigns are seen as something that "just anyone" on your team can put together. But in today's attention economy, strong creative can be the defining factor that gets your email to stand out in the inbox. Join Howard Sewell of Spear Marketing Group, a leading B2B agency, as he uses real-world examples to highlight tips, techniques and key principles that can make or break your campaigns.

Even Merchandisers Must Be Customer-Centric

Customer Experience Matrix

For no particular reason, I’ve been reading a lot of retail white papers recently. Most have to do with customer-centric marketing, and describe the usual plethora of clever things you can do to improve relationships with individuals. But one—it happened to be about business intelligence systems—highlighted the importance of merchandise managers.

Vista Makes It Easier to Build Ad Hoc Display Networks

Customer Experience Matrix

In case you’ve been stuck under a rock or trapped on an American Airlines flight, Tuesday was the official launch of Microsoft Vista. I chose not to stand in line for a copy, but BusinessWeek tells me that Vista’s greatest consumer benefit will be easier access to digital content (“ The Real Value of Vista ”, BusinessWeek , February 5, 2007). One example they give is a wireless application that automatically discovers digital picture frames and sends them images to display.

Streb Defies Gravity at ICA Boston

Smashmouth Marketing

My sister Anne treated Linda and I last night to a show at the new Institute of Contemporary Art museum in Boston. Lot's to point out in one post. The facility is a design masterpiece with the use of space and location all in a dramatic structure that seems to grow from the edge of the Boston Harbor.

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Skinny Meez

Smashmouth Marketing

Ok, so a week ago my sister Anne and Linda and I went to Boston's new ICA Museum to see Streb vs. Gravity (Great night out, btw). I mention this idea for an interactive art piece I want to do that would be perfect for the venue. It's flash based and includes animated characters. So today my sister then sent me this link to Meez. It was a bit addictive to sit there for 45 minutes and build my own personal Meez. 45 minutes of my day I won't get back, mind you.

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The Rise of the Customer Marketer

From marketing backwater to starring role, this eBook by Influitive explores the changes taking place in customer marketing from the perspective of customer marketers themselves (and explains just why it’s so crucial to customer engagement).