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Customer Engagement – A Strategic Tool
Customer engagement is the process of interactions between a business and its clients.
This is accomplished through various channels. It's also used to strengthen customer connections.
If played right; customer engagement drives recurring sales for the company.
Customer Engagement Examples – Lego Ideas
The Lego Group and Chaordix run the site for Lego Ideas. It allows people to offer their own product ideas. The customer who comes up with the idea gets 1% of royalties.
Customer Engagement Examples – Coca Cola
The ‘Share a Coke’ campaign first launched in Australia in 2011; involved changing the traditional wrapping around the Coca-Cola bottle to say ‘Share a Coke with…’ and a popular name. The rationale was to create a more personal relationship with consumers and inspire shared moments of happiness.
Customer Engagement Examples – Starbucks
90% of new Starbucks stores will have drive-thrus. In fact, Starbucks added curbside pickup at 2,000 locations.
Starbucks is investing $1 billion in its employees and technology to match demand across drive-thru, mobile order and pay
Customer Engagement Examples – Burger King
QSR chain Burger King has collaborated with popular 'runner' mobile game Subway Surfers; to launch a Burger King challenge.
Users can play the game with the Burger King mascot as a runner. On completing the challenge by earning points it will allow them to keep the mascot with them.
Importance of Customer Engagement
• Customer management may result in a revenue of 66%
• Customers who are engaged with a brand tend to spend more than those who aren't
• The cost of acquiring a new customer is greater than the expense of retaining existing customers.
• Keeping a client who interacts frequently with the
company is less expensive.
• Such consumers are more likely to promote a firm. They are also seen to be more loyal.
• Customer experience elevates to a greater level
How to Engage Customers?
1. Introducing points system for every purchase made
It's critical to demonstrate your appreciation for clients' interest in the business.
2. Encourage your customers to connect with you on social
Customers may also subscribe to the company's blog or follow it on social media, where they may share it with their friends using popular social networking sites like Facebook.
3. Help consumers engage with one another
They may collaborate with one another by utilizing shared brand content.
Example: Sephora Beauty talk
4. Encourage your best customers to share your brand with referrals
Customers are more likely to produce their own content if the product is promoted as a tool for generating it.
Example: GoPro Million Dollar Challenge
5. User Generated Content
Customers are more likely to produce their own content if the product is promoted as a tool for generating it.
Example: GoPro Million Dollar Challenge
6. Community development
Customers may also establish their own forums. They can be assisted in doing so.
Example: Harley Owners Group [HOG]
The Harley Owners Group, or HOG, is an organization set up by Harley-Davidson to help connect its customers with one another and the company.
7. Customer self-service
FAQs, wikis and blogs can be used to address clients' simple questions. Customers may also contact the technical staff for assistance via email or phone.
Example: Official Apple Support Community
8. Product co-development
A blog may be used to connect consumers with the product ateam.
Example: Lego Ideas
9. Highlight the brand reviews
Positive evaluations should be saved and stored. They may then be distributed on the internet.
A thank-you message from the reviewer may be tagged to their post. This will encourage other people to submit similar assessments.
10. Feedback segments
Consumers should be able to express themselves in a safe environment.
This is often a location where employees can engage with them.
Customer Engagement Metrics
• Downloads
• Guest checkout rates
• Purchase Frequency (PF)
• Average order value (AOV)
• Repeat purchase rate (RPR)
• Duration of visit
• Frequency of visit
• Depth of visit (% of site visited)
• Click-through rate
• Sales
• Lifetime value
• Inquiries
This video is on Customer Engagement - A Strategic Tool and it has the following sub-topics.
Time Stamps
0:00 What is Customer Engagement?
0:16 Customer Engagement - A Strategic Tool
0:33 Customer Engagement Examples
1:50 Importance of Customer Engagement
2:20 How to Engage Customers?
4:18 Customer Engagement Metrics
