Customer experience. “Social media” and “social CRM.” “Empowered consumer.” Lots of these buzzwords have been rising to the fore in marketing lately. Obviously, they should have something to do with Dynamic Customer Strategy. But what, if anything, do they have to do with Big Data?
To answer that question, let's go back to our model of those drivers of CLV from Chapter 2. For your convenience, I repeat it here (see Figure 8.1).
In this chapter, I'd like to dive into this model more deeply so that you can see how buzzwords like “customer experience” become business practices or objectives. As we do that, though, keep in mind that deeply loyal relationships are not appropriate or even necessary with all customers, but that there are profitable relationship segments from transactional to relational. Not all customers will move along the path to either attitudinal or behavioral loyalty. But the more we are able to perform with what the buyer wants, increase responsiveness, offer benefits for loyalty, and build community, the more likely we are to draw sales from all loyalty levels.
While the findings of a lot of ...