Value creation is an essential concept in marketing. When creating value, it’s not enough to rely on communication techniques, to send fancy messages, and to surprise customers at unexpected times or be completely technology-oriented. The company needs to meet customers’ needs by offering a product or service to target groups with the appropriate value proposition. Ultimately, the marketing department’s job is to reach the right customer by providing the right product/service, right on time, from the right channel.
Today, this combination is difficult to capture. In addition to the many firms, products, services, and communication channels, consumers’ changing expectations makes it difficult to maximize the solution.
One of the most important parts of the equation—the ability take action at the right time—is essential. The longer the time between securing the opportunity and taking action, the less commercial value you create. The use of marketing automation tools, analysis tools, and data mining tools creates customer segments in traditional marketing operations and provides special offers to these segments. Target customer lists from these campaigns are taken from marketing data and are transmitted to the appropriate channels with these tools.
These processes can take a very long time because of internal policies and procedures. This extended period of preparation reduces the commercial value of the action dramatically. For example, a customer who is offered a credit card limit increase might abandon the bank by the time the offer is processed or might no longer fulfill the limit increase criteria. Similarly, if the connection to a mobile telecommunication client is operator-disconnected, a 1GB additional data gift with an apology message should be offered within a few minutes of the connection being re-established. The shorter the delay, the more positive the influence on the customer will be.
Today, there are technological solutions that can facilitate this process, and their use is increasing rapidly. A good example is Event Stream Processing, part of Gartner’s Data Science Hype Cycle*.
About the Author: Ersegün Koçoğlu has 21 years of experience in marketing, product management, CRM, channel development and business development, with a primary focus on financial services. He has an Executive MBA degree and is currently attending the Management of Enterprise Data Analytics certification program at the University of Toronto. Ersegün is a member of the Customer Insights & Analytics Council of The Canadian Marketing Association.