Building Customer-focused Data
Authors: Merlin Stone and Martin Hickley with contributions from Julian Berry, David Flint, Bryan Foss, Silvia Frangipane, David Grafton, Fariba Mclurcan and Vicky Howard
Overview
Most companies hold more information about their customers than they realise. But this is poorly coordinated and never gets used to build the relationship – and win new business. This briefing looks at how the most effective companies build a relationship management data strategy and how they make it work.
What this briefing sets out to do
This briefing examines some of the key managerial issues in using data and systems to manage customers of uncertain value and status. It explains why companies are focusing on improving their management of good customers and on identifying and deterring or getting rid of bad customers.
It focuses on one of the most difficult issues – that companies are most at risk from individuals who appear good, or even were good, and turn out to be bad. In other words, either their apparent or real status has changed. It highlights the difficulties posed for organisations exposed to bad customers by applicable data protection legislation.
It explores what companies need to do to improve their customer management strategies, taking into account key issues such as technological change, involvement of intermediares and government interest. It shows how improved customer management can boost overall business performance, but also why defining, identifying and managing good customers is so difficult.
Contents
Defining the differences between good and bad customers
The job of predicting good and bad customers
Choose customers for positive and negative treatment
Implementing policies to control risk and develop value
Key issues in managing good and bad customers
Looking at it from the customers’ point of view
Nine key conclusions for managing customer data
More about Close to the Customer
For further information and to purchase contact Colin Coulson-Thomas