CCG - Taking It Online: Relationship Marketing in Cyberspace


		Excerpted from StrateScapes – Volume 2, Number 1

Taking It Online: Relationship Marketing in Cyberspace
Part One in a two-part series.

The typical Internet user is 38, married, well-educated and makes $58k. But is he your best online customer?

True or False: The best way to market on the Internet is through e-commerce.

If you said false, you’re not alone. Two-thirds of top executives say their firm’s online strategies focus on enhancing relationships with their customers, rather than directly generating sales.

But successful online one-to-one strategy includes more than just a great Web site. It’s how you use the tools in your cyberspace marketing arsenal that counts. These 13 one-to-one marketing strategies are the loyalty-building muscle you need to pack a powerful punch online.

1. If the Shoe Fits …
The cardinal rule of marketing holds true in the online arena: Know your customers. Are enough of them using the Web that an online relationship marketing initiative makes sense? Are more of them expected to try the Web in the coming year? If the trends are there, take advantage before your competitors do.

2. Create Something Special
Ask yourself whether you’re making your best customers feel as privileged online as they do offline. Do you give them members-only access to interactive tools such as mortgage calculators, calorie counters or wedding planners? Do you offer them special product previews, exclusive access to tech support and customer service, or special e-mail newsletters or news groups? If you’re treating them the same as every other online customer, you’re missing a huge loyalty-building opportunity.

Don’t forget to promote your online services in offline points of contact, and vice versa. And tell your other customers about the special attention best customers are receiving, so they’ll want to be a part of it too.

3. Build a Gathering Place
One of the Internet’s most compelling features is that it allows like-minded individuals to come together and discuss topics they’re passionate about. One caveat: “You can’t just set up a chat room and say ‘talk,’” says Dan Fine, CEO of fine.com, a leading developer of online networks. “No one will use them unless there is something to chat about. You have to have a real purpose in mind to set up a community.”

Look at your site through the eyes of your customers, and offer them something they can’t find elsewhere. If you’re a bank with small-business customers, offer them interactive resources to help them handle their finances or address employee payroll issues. Sponsor a forum where they can talk about their challenges and share their solutions. The strongest online communities are those that:

Provide a place for answers;
Are light on advertising;
Deliver fresh content; and
Nurture the customer relationship.

4. Deliver Value via E-mail
E-mail is cost-effective, measurable and adaptable. Unlike a postcard or print newsletter, an e-mail involves no printing or distribution costs, no matter how many recipients. It can be used to deliver newsletters and articles, invite and encourage feedback and notify customers of breaking news like Web site enhancements or special offers. For instance, if you own a runners’ specialty store, you could e-mail information on upcoming races, ways to improve athletic performance, or the newest advances in running-shoe technology.

Don’t become a spammer. Make sure what you’re sending has been requested, and always offer customers the option to stop receiving it.

5. Give ’Em What They Want
Online communities are fertile ground for research, and customers are a priceless source of information. E-mail and chat rooms offer the perfect opportunity to ask your customers what they want.

One clothing retailer sent an e-mail survey to 50,000 customers asking whether they wanted denim or linen in an upcoming clothing line. Their customers responded, and the new line was extremely successful. Customers got what they wanted and saw that the company listened to them, and the company cost-effectively pinpointed customer preferences and collected actionable data for other promotions.

6. Embrace Artificial Intelligence
Artificial intelligence technology is a well of opportunity for targeted cross-selling and upselling. For instance, if a customer purchased a pair of pants at your site, artificial intelligence technology could automatically suggest a shirt that goes with them, showing the outfit via a pop-up window or a second browser window.

You can also use artificial intelligence to build trust with your customers by down-selling. For example, if you sell sporting equipment, and a customer enters an online order for a soccer ball priced at $45, artificial intelligence technology can tell the customer that another brand of soccer ball is on sale for $39.99, explaining the features of the ball so the customer can compare the two items.

7. Make ’Em Feel Safe
Set up your site with your customers’ security in mind, and don’t forget to tell them about it. “Fifty percent of customers either call-in or fax-in their Internet orders,” says Fine. “The perception is that it is safer. The fact is, ordering online is the safest of the three.”

It’s not enough just to put security features in place. You must tell your customers what they are and what they do. Fine recommends hiring a security expert to review your safety protocols and identify potential problems.

Discover six more secrets to high-impact online relationship marketing — and how three innovative companies are putting them into action in Part Two of our series.

STRATESCAPES and STRATESCAPES SUPPLEMENTS are published by Customer Communications Group, Inc., a full-service agency specializing in relationship marketing and customer communications. Our comprehensive, turnkey services include data analysis, customer segmentation, strategic consulting, account management, creative execution, print production and multimedia solutions.