This document discusses how companies can build real relationships with customers through relevant and personalized communication. It notes that customers want marketing messages that are relevant to them and are generally open to sharing personal details if it means receiving useful offers. However, companies need to proceed carefully with data collection and use to avoid crossing the "creepy line." The key is using customer data, with permission, to deliver a high-quality customer experience through valuable, convenient and personalized interactions across channels.

1. CUSTOMER
RELEVANCE
BY DESIGN
Simon Rowles | Managing Director, New Zealand | Vice President, Asia Pacific
Using data to create real relationships with your customers

3. YOUR CUSTOMERS WANT TO HEAR FROM YOU
THEY WANT RELEVANT MARKETING MESSAGES
3
Willing to share personal
details to receive relevant
offers
Are generally happy for
companies to email them
marketing offers
AIMIA: THE DIGITAL LOYALTY SURVEY, AUGUST 2012. UK, US AND CANADA, SURVEY OF 6000 CONSUMERS
55 % 74 %

4. MOBILE DEVICES - ‘REMOTE CONTROL OF LIFE’
4
64%
Of smartphone users have their
phone with them for all but 2
hours of their waking day
079%
– Aimia Digital Loyalty Survey, 2013
Of consumers own a
smartphone

5. UP AND COMING CONSUMERS ARE HEAVILY MOBILE
5
Would you like to use a phone as a
rewards card?
30% 13%51% 33%
How likely are you to promote products
or brands through social media in
exchange for rewards?
AIMIA: THE NZ MILLENNIAL LOYALTY SURVEY 2012, SURVEY OF 1250 CONSUMERS
Millennials Non- Millennials Millennials Non- Millennials

6. THEY’LL SHARE LOCATION (MAYBE) BUT NOT MUCH ELSE
6
Location
Access to your contacts
Access to your calendar
Access to your network
Ability to post to social media
Access to browser history
Access to camera
Access to microphone
Other apps
17%
8%
7%
7%
5%
5%
5%
4%
4%
14%
4%
8%
6%
5%
4%
4%
4%
3%
14%
5%
5%
6%
4%
3%
3%
4%
4%
Grocers Airlines Banks

7. 7
When
companies
communicate
WELL

8. 8
When
companies
communicate
badly it has a
strong negative
effect

9. SOURCES OF DISENGAGEMENT - MESSAGES
9
38% 39% 36% 30% 34%
25% 23% 24% 33% 21%
27% 27% 30% 21%
23%
10% 11% 10% 16% 22%
Not relevant
Too many (or too few)
Through channels I don’t
like
At inappropriate times

10. 10

11. BUT - CONSUMERS ARE UNENTHUSIASTIC ABOUT THE
DIGITAL COMMUNICATIONS THEY RECEIVE
11
Receive marketing
emails
Look forward to
receiving them
Think they
receive too many
AIMIA: THE DIGITAL LOYALTY SURVEY, AUGUST 2012. UK, US AND CANADA, SURVEY OF 6000 CONSUMERS
86 %
12 %
46 %

12. 12
STARTING TO FEEL A BIT LIKE
The
Deletist
Consumer

13. THE RISE OF THE DELETIST CONSUMER
13
Unfollow brands on
Social channels
Close accountsDelete apps
As a direct result of poorly targeted communications
AIMIA: THE DIGITAL LOYALTY SURVEY, AUGUST 2012. UK, US AND CANADA, SURVEY OF 6000 CONSUMERS
71 % 73 %60 %

14. VALUECHOICE CONVENIENCE
CONSUMERS ARE EMPOWERED WITH UNPRECEDENTED
CHOICE, VALUE AND CONVENIENCE….
14
Is at our
fingertips
…. Is lagging behindHas become
ubiquitous
EXPERIENCE
Consumers have
more than they
know what to do
with

15. 15

16. RATIONAL
ENGAGEMENT
EMOTIONAL
ENGAGEMENT
LOW DATA
CONTROL
HIGH
DATA CONTROL
REAL RELATIONSHIPS: A SOURCE OF POWERFUL ADVANTAGE
16
WHAT IS A REAL
RELATIONSHIP?

17. Rational
engagement
Emotional
Engagement
17
WE ANTICIPATE FOUR FUTURE LANDSCAPES
Low data control
PAY TO
PLAY
REAL
RELATIONSHIPS
OFFER
ANARCHY
THE
HUNT FOR
AFFINITY
High data control

18. THE ROLE OF LOYALTY IN A DIGITAL WORLD
18
LOYALTY DIGITAL
• Long Term
• Less noise
• Trust
• Engagement
• Immediate
• Real time
• Anywhere
• Deal based

19. THE CONSISTENT SUCCESS FACTOR – THE CUSTOMER FIRST
THE OPPORTUNITY: MAKING BUSINESS PERSONAL
19
How do we create real relationships
with our customers?
• Permission based
• Deliberate and personalized
• Reciprocal and valued
• Consistent across all touch points
• A journey of interactions
CHOICE
VALUE
CONVENIENCE
EXPERIENCE

20. REAL RELATIONSHIPS: DEFINED BY TRANSPARENCY AND CUSTOMER-
CENTRIC DATA COLLECTION AND USE
CHANNEL 4 – VIEWER PROMISE
20

22. REAL RELATIONSHIPS: DEFINED BY TRANSPARENCY AND CUSTOMER-
CENTRIC DATA COLLECTION AND USE
22

23. REAL RELATIONSHIPS: MITIGATE PAIN POINTS AND ALLEVIATE FRUSTRATIONS
23

24. CLUTTER CUTTING: INCLUDE PERSONAL
AND RELEVANT OFFERS
24
UK supermarkets
typically have
25%-35% of all
products on offer
at any one time
We select the
10 most relevant
offers for every
Sainsbury’s
shopper – a great
customer
experience

25. 25

26. REAL RELATIONSHIPS: DELIVER PERSONAL PRICING
26
“Over time, the
shelf price becomes
less and less relevant.
There is an infinite opportunity
to give the individual what they
want and what they need"
STEVE BURD
SAFEWAY CHAIRMAN AND CEO.

27. ALWAYS ON: UTILIZING SOCIAL MEDIA TO
ENGAGE YOUNGER MEMBERS
27

28. DATA DRIVEN DECISIONS:
CAPTURE AND ANALYZE DATA THAT CAN DRIVE IMPACT
“Amazon Prime may be the most ingenious and effective
customer loyalty programme in all of e-commerce, if not retail in
general”
(Source: Bloomberg Business Week)
28

29. REAL RELATIONSHIPS: HAVE DATA AT THEIR HEART
29
What I think Where I am What I’m interested
in What I watch What I buy What I read
What I do Who I talk to
What I aspire to What I’ll do next
my life

30. PROCEED WITH CARE …
30
“Google policy
is to get right up to
the creepy line but not
cross it.”
Eric Schmidt
Google Executive Chairman
THE
CREEPY LINE

31. ... AS WE UNLOCK THE POSSIBILITIES
31
Place data
collection in
service of
the customer
Build
relationships
based on
trust and
reciprocity
Ask for
permission
and be
transparent
Deliver value
and
relevance in
EVERY
interaction

32. THANK YOU
Simon.Rowles@aimia.com