Gartner's Scott Nelson has outlined how firms can adopt a more strategic approach to social CRM.
With growing concern over impetuous investment in social CRM spending (as outlined by Gartner’s Jim Davies in an earlier article on MyCustomer.com), the analyst firm’s Scott Nelson took to the stage at this week’s CRM Summit to demonstrate how firms should be approaching their social projects.
- 20% of organisations are in denial, believing it is a fad. “There is real value to it and by denying it you are simply going to lost out on the opportunity,” said Nelson.
- 50% or organisations are ‘toe dippers’ who are cautious but curious. “They maybe have a presence on Facebook and will sit back and see what happens.”
- 5% are adopting a strategic approach to social CRM. “They are saying this is something that has now been added to our arsenal of ways to interact with customers, whether we’re in a B2C space of B2B or a governmental entity or a profit entity, it is a vehicle, a channel, that we can add to our repertoire and use it in ways that enhance the strengths of it. We have a strategic approach, we’re not going to overspend but we’re going to intelligently use it.”
- 25% are jumping in too aggressively. “They feel that something big is happening so they are just running out and trying everything and seeing what sticks. That is not a good approach, you are going to waste a lot of money.”
- Vision – “What is it that you’re trying to accomplish when you are trying to change from being a product-centric organisation to being a customer-centric organisation? What does that transition entail?”
- Strategy – “How are you going to make that start happen, how are you going to turn your customer base into a strategic asset?”
- Valued customer experience – “What is it that the customer expects from you?”
- Organisational collaboration – “How are you going to break down the organisational silos in your organisation to facilitate the customer experience?”
- CRM processes – “How does the customer move through your organisation?”
- CRM information – “The data that this is all based on.”
- CRM technology – “The one block that we always find in CRM.”
- CRM metrics – “How are you going to go about tracking whether or not you have been successful?”
- Social CRM vision - Build a market position via the use of social media, and relating it to the broader CRM vision. “What is your vision as an organisation as to how you are going to build your market position via the use of social media? What will it allow you to do that you can’t do today?”
- Social CRM strategy - Build a market position via the use of social media, and relating it to the broader CRM vision. “Strategically using this channel, like your other channels, what are its unique strengths and weaknesses? There are some things you would not use direct mail for, there are some things you would not use social media for.”
- Social valued customer experience - Understand what the customer wants to use social media to do, and not forcing customers into channels they do not want to use. “Understanding for different segments of your customer base where social media makes sense and where it doesn’t.”
- Social organisational collaboration - Allow for multichannel sales, marketing and customer service, and not letting silos interfere with the customer process. “If I go onto a social media site and I’m talking ot you about a problem but I have to leave and later I call the call centre will the call centre have any idea about what I posted on Facebook and what we’re talking about?”
- Social CRM processes - Understand the broader cycles, such as prospect to cash, and realise how social media will aid in the cycle. “In some cases the entire transaction can be done by social media, in some cases it is only a piece of the puzzle to help move them along.”
- Social CRM information - Ensure that the right data is collected and the right information goes to the right place.
- Social CRM technology - Involve data and information management,customer-facing applications, and supporting IT infrastructure and architecture. “In some cases it is simply taking advantage of the infrastructure that another company has put in place but in other cases you are going to need your own systems to get this done.”
- Social CRM metrics - Involve internal and external measures of CRM success and failure.
About Neil Davey
Neil Davey is the managing editor of MyCustomer. An experienced business journalist and editor, Neil has worked on a variety of newspapers, magazines and websites over the past 15 years, including Internet Works, CXO magazine and Business Management. He joined Sift Media in 2007.