By Betina Munkholm Johansson, Loyalty Group
1:1 customer knowledge - the key to increased growth was the
headline of the Loyalty Group seminar arranged in Copenhagen on
September 18th. The goal was to inspire participants to maximize
the benefits of working with customer information across the
enterprise. The Danish companies Energimidt, Bisnode and Loyalty
Group shared their experiences and gave specific
Too many companies cannot produce a coordinated and targeted
customer strategy, which is based on specific knowledge of the
customers. This mean that they miss obvious opportunities to retain
and sell more to existing customers.
The basis for an effective customer strategy require proper
customer insight. Customer insight to ensure an optimal customer
experience that will lead to the desired behaviour of customers,
which ultimately will contribute positively to the company's bottom
line. These were some of the key messages from Mikkel Korntved, CEO
of Loyalty Group.
He stated that the business' should combine data of customer's
past purchases and history with knowledge of customer attitudes,
loyalty and expectations to the company. In other words, the need
to see both backwards and forwards working to optimize customer
Companies must ideally gather information about its customers at
all key touch-points and not just once a year. A continuous
collection of customer information means:
It's therefore an important process identifying the key
touch-points with the customers. Based on this, the company can
decide what information that must be collected, when it should be
collected and how it should be used in each function to optimize
the customer experience and create growth.
Marketing Responsible Mille Just Haaning shared a view into
EnergiMidt's work to strengthen customer loyalty, reduce churn and
generate additional sales based on customer knowledge. She talked
about the key areas in EnergiMidt's customer strategy:
Energimidt continuously collect knowledge about customers in
cooperation with Loyalty Group. The solution ensures that data
including customer loyalty status is available to the relevant
functions via the company's CRM system.
This means that each function can target efforts towards the
customers with messages about retention and sales. Among other
things, EnergiMidt's anti-churn team handle disloyal customers and
constantly focus on reducing customer churn.
In addition, EnergiMidt use a "business intelligence" system
that displays relevant data across systems so that management can
constantly monitor developments in relation to the overall customer
Mille Just Haaning ended her presentation by showing a number of
ratios that showed the effect of expanding the company's customer
In addition, EnergiMidt registered fewer terminations, fewer
calls from customers and an increased willingness to recommend
among customers. Overall, this has meant an increase in gross
margin per. customer per. month.
Mille Just Haaning concludes that it's no doubt that the
targeted customer strategy and coordinated effort across
departments have brought fruit. Based on the good experience and
results it's now planned to implement the same routines for other
of EnergiMidt's customer segments.
In the last session to focus was on the use of customer
knowledge in Marketing. Bo Rasmussen, Business Unit Director at
Bisnode (previously Greens Business Information), presented an
example of a campaign that was nominated for the Direct Mail Prize
The campaign aimed to highlight the updated customer data as a
platform for effective sales and marketing activities. The large
challenge was to create interest in the subject. Client data are
not as Bo Rasmussen put it, a "sexy" topic.
He started with a pilot-test posting a letter entitled "We have
spelled your name wrong!" The letter should attract attention
because the recipient's name was deliberately misspelled. With the
letter came a piece of toilet paper, which should illustrate where
letters with incorrect data usually ends.
The strategy was to hit the target with humour and provocation
while giving them an eye-opening experience that made them
understand the importance of accurate customer data. The pilot gave
them an opportunity to fine-tune the letter before the final
release to 2700 sales and marketing managers.
Greens Business Information (now Bisnode) got widespread
awareness of their services and achieved an impressive response
rate of 49%. The campaign gave payback in 3 months and had after 7
months, gained a profit of 50%.
Bo Rasmussen summed up the experience of the campaign in a
number of recommendations for companies that want to use 1:1
customer knowledge in creative marketing solutions:
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