In a complete makeover for their marketing strategy, Baxter Credit Union (BCU) is a classic case study. Within one year, the fourth largest credit union transformed its marketing system for managing campaigns. BCU organized its unstructured data and leveraged it to provide an amazing customer experience.
These challenges were not just limited to BCU. Over 92% of marketers today don’t have real-time data or any way to run data-driven campaigns. Close to 88% of marketers don’t have a customer-centric approach, and around 91% of marketers use multiple tools and platforms to engage with customers, which creates unstructured data.
Today, marketers understand the importance of data and aim to make progress with data-driven marketing campaigns. For example, a banker can provide the next best offer to his customer with complete insight about the customer, but how does he get this information? Marketers play a crucial role in generating data to help the banker take calculative decisions.
This method is not just limited to the financial service sector. A “Next Best Offer” can easily be implemented across all industries.
To ensure you have an effective next best offer strategy, you need to take four important steps:
1. Objective Definition
The reason many organizations don’t have a successful next best offer strategy implemented is because of a lack of clearly defined objectives. It is critical to ask important questions that are linked to your overall strategy. Objectives can be as simple as increasing revenues or improving customer loyalty. Defining a clear objective is the first and most crucial task.
2. Customer Know-how
Start collecting all possible data about your customer. Data related to buying behaviors and buying patterns will give you an opportunity to know more about a customer. If you know your customer well, you can market to them more effectively.
3. When & What to Deliver
Once you have complete knowledge about your customer, the next step is deciding what to offer and when to offer it. It is all about timing. Sometimes you must roll out an offer on an ad-hoc basis, so you should factor this in while planning the campaign.
4. Improve, Improvise & Innovate
While the strategy is in effect, you need to monitor it constantly. You also must work to improve constantly so the “next best offer” is better than the previous one. Measure campaign performance, and check why one offer worked or did not work better than another. Find out what
the critical-to-success factors were and what the pitfalls were. Make necessary changes and come up with an improvised next best offer. Remember, improving your offer helps to continuously innovate processes.
Building an effective next best offer strategy is a process. As a marketer, your job is to take the customer on that journey so you can gain better insight into the customer’s expectations and provide the best experience.
Download whitepaper on Steps to Building Your Next Offer Strategy