5.4 Customer care/ customer service


Intelligence Resource (IR)

Praktisk Intelligence (I)/Business Intelligence (BI)/

OmverdensOvervåking (OO)





Intelligence/Business Intelligence/ OmverdensOvervåking 


Internet Marketing Intelligence

Internett Marketing  

Web utviklingsprossen 

CD/Video utviklingsprossen 

Tips& Triks 



Kunnskapskilden –  Internet Marketing Intelligence

Bench on the pier


Internet Marketing Intelligence




Kunnskapskilden – Internet Marketing Intelligence
Internet Situational Analysis of 1to1 Marketing/CRM


Research Project: Internet Situational Analysis of 1to1 Marketing/CRM  from Jan Vig  at Griffith University , Australia  1999/2000



Chapter 1 Introduction/overview

Chapter 2 Search Strategy

Chapter 3 One to One Marketing and its environment

Chapter 4 Environmental Scan

Chapter 5 Market analysis

Chapter 6 Competitors Analyses

Chapter 7 SWOT

Chapter 8 Critical Success factors

Chapter 9 Segmentation, Customer analysis and target markets

Chapter 10 Business Objectives and Strategies

Chapter 11 Marketing Mix tactics and Conclusions



Chapter 5

Market Analysis



Chapter 5 Market analysis

5.1 Trends

5.1.1 Mega trends

5.1.2 Emerging Web Trends

5.1.3 1999 Web Trends

5.1.4 Where in the world is the Net taking us?

5.1.5 Future.sri.com

5.1.6 Predictions for the Web in 1999

5.1.7 Other trend forecasts

5.1.8 E-Commerce

5.1.9 Trends Technology

5.1.10 Drivers for Change – Consumers

5.1.11 Demographics

5.2 Internet statistics

5.2.1 Internetstatistic.com

5.2.2 E-Marketer STATISTIKK

5.2.3 NUA

5.2.5 Activmedia

5.2.6 Dataquest

5.2.7 Surveyn.Net – Internet User Survey #2

5.2.8 Other Statistik

5.2.9 Web shopping Statistics

5.3 One to One marketing / Relationship marketing

5.3.1 Relationship Marketing

5.3.2 1:1 marketing

5.3.3 Permission marketing

5.3.4 Power tools for 1:1

5.3.6 Critical Questions

5.3.8 The state of one to one online, part II

5.4 Customer care/ customer service

5.4.1 Customer Care Pricewaterhous & Coopers

5.4.2 Customer Relationship Management CRM

5.4.3 Customer service

5.4.4 Collect customer information

5.4.5 Customer service

5.4.6 Internet Customer Service

5.5 Personalization

5.5.1 Personalization: Marketing to one:

5.5.2 There are 4 ways to ad personalization to the web site

5.5.3 Different articles about personalization

5.6 Privacy

5.6.1 Information sources on Internet concerning privacy

5.6.2 Articles about privacy

5.7 Security

5.7.1 Different articles concerning security

5.7.2 NUA Security Issues

5.8 The Market place 1to1 after Peppers & Rogers

5.8.1 Communications and Media

5.8.2 Customer Knowledgebase

5.8.3 Mass Customization

5.8.4 Distribution and Channel

5.8.5 Organizational Structure

5.9 The future of One to One Web Technology

5.9.1 The Future of One-to-One Web Interactivity

5.9.2 The Future of One-to-One E-Mail

5.9.3 The Future of One-to-One Web Site Personalization

5.9.4 The Future of One-to-One Push

5.2.5 The Future of One-to-One Community

5.9.6 The Future of One-to-One Web Presentation and Conferencing

5.9.7 The Future of One-to-One Advertising and Promotion

5.9.8 The Future of One-to-One Web Site Tracking and Analysis

5.9.9 The future of tracking in a word: databases.

5.10 Products and customers

5.10.1 Who is buying what over the Internet?

5.10.2 Customer-business interaction

5.10.3 Business relationships and communications

5.11 Changes in the market place

5.11.1 Drivers of Change

5.11.2 Consumer Behaviour

5.11.3 Industry Response

5.12 Changes in the market response

5.12.1 Product & Service Offering

5.12.2 Relationship Marketing

5.12.3 One to One Marketing

5.12.4 Mass Customisation

5.12.5 Future Delivery Mediums

5.13 Changes in delivery mediums

5.13.1 Post

5.13.2 Fax

5.13.3 CDs and Disks

5.13.4 Kiosks

5.13.5 Pagers and PDAs

5.13.6 Telephones and Smartphones

5.13.7 Interactive TV

5.13.8 Web TV

5.13.9 Internet E-mail

5.13.10 Internet World Wide Web

5.13.11 Proprietory ISPs

5.13.12 Summary




Customer Care / Customer Service


Research Project: Internet Situational Analysis of 1to1 Marketing/CRM  from Jan Vig  at Griffith University , Australia  1999/2000


5.4.1 Customer Care Pricewaterhous & Coopers IDEAS ’97: The Evolution of Customer Care


Though most organizations in North America have taken on the mantra of customer care as their priority, they score low marks despite specific available systems and technology to improve their delivery in this area, according to the seventh annual survey by PricewaterhouseCoopers on Customer Satisfaction


«Most organizations understand the need to invest in customer care technology,» says Stan Brown, author of the report and partner-in-charge of the PricewaterhouseCoopers’ Centre of Excellence in Customer

Satisfaction. «Despite the technology that exists to help companies segment their customers and target their marketing efforts — only 6 per cent of organizations use these concepts effectively.»


«Unfortunately,» added Brown, «many companies often try to implement applications that either don’t meet customer needs or are far too advanced to be practical. Not only do they risk losing their financial investment in the technology itself, they risk losing customers, the lifeline of their business success.»


Problems also stem from the fact that many organizations misdirect their investment and commitment to customer care technology. While virtually all organizations (99%) indicate that they are improving technology to enhance customer satisfaction, 85% use technology for internal command and

control issues, including centralizing and consolidating operations. And, while 84% of companies insist that customer retention is paramount, 55% admit that their customer information retrieval systems need improvement.


IDEAS 97 describes customer care as an evolution divided into three stages (% of respondents):


  • Stage I Customer Acquisition, during which organizations work to build their customer base (35%);
  • Stage II Customer Relationship Management, where they begin to segment customers (59%); and
  • Stage III Customer Asset Management, where they employ database marketing systems to aggressively target their most profitable customer segments (6%).


Therefore, 6 per cent of respondents who have reached the third stage (Customer Asset Management) are not practising it as effectively as they could.


Further information on the survey results and how to manage the process is available in the attached Adobe Acrobat PDF file attached in appendix IDEAS ’98: The Route to Strategic Customer Care


IDEAS ’98 finds 92 per cent of organizations are still in Stage I of the evolution – that is, they are still preoccupied with acquiring customers and grouping their customers according to interests and needs.

The survey report concludes with the «twelve steps to success» – a step-by-step guide that can help you create an action plan for your business.


Further information on the survey results is available in the attached Adobe Acrobat PDF file.


North American Companies Not Achieving Effective Customer Care, Finds



TORONTO, May 3, 1999 – Most companies in North America are not taking the steps necessary to realize

effective customer care, according to a survey report issued recently by PricewaterhouseCoopers.


IDEAS ’98: The Route to Strategic Customer Care reveals that, despite the tactics available to help companies segment their customers, target their marketing efforts and increase profitability, only 8 per cent of organizations apply these practices effectively.


Strategic Customer Care: An Evolutionary Approach to Increasing Customer Value and Profitability


How do you identify your most valuable customers? And, once you know who they are, how do you provide them with a level of service that will keep them with you for the long haul?


Strategic Customer Care provides the tools and route map to help you answer these important questions.


Business Transformation By Focusing on Processes That Touch Your Customers


The best place to start process improvement is with the people who hold the fate of your company in their wallets… the customers.

What is involved in building a customer contact center that optimizes customer satisfaction?


Framework for Customer Contact Centers Elements that Support Best Practice Customer Service and

Support Susan Aldrich September 10, 1999





Amazon.com’s Purchase Circles Do They Violate Consumers’ Trust?

Patricia Seybold September 3, 1999 Amazon.com’s Purchase Circles are violating customers’ trust. But they’re a lot of fun and full of interesting information!



September 1999  http://www.1to1web.com/cgi-bin/gt/news-9909.html?user=ffffffffffff



Telegyr Systems, provider of standard and semi-custom products to utility customers for the nearly 30 years, had a problem. The exchange of information between the company and its customers in 18 time zones around the world was daunting and time-consuming in the pre-web world. With a small customer and prospect universe, staying close and personal with each customer was critical in the competitive world of operations management for the utility industry. With about 75% of the revenue of Telegyr coming from its existing base, the challenge for the Telegyr marketing team was to find a way to «change the way we do business with our customers». Telegyr wanted to reduce response time, eliminate the distribution of information via diskettes, provide a consistent customer service experience and ultimately strengthen their relationships with their customers. The result is Telegyr’s «Web First» customer care center that brings together typically disparate functions such as customer service, software downloads, sales and project management/implementation into one Web-based application.


5.4.2 Customer Relationship Management CRM




NCR and MicroStrategy Join Forces Vendors Team Up to Solidify e-CRM Strategies Wayne Eckerson October 7, 1999 NCR and MicroStrategy this week notched a $52.5 million deal that positions both companies to enter the e-business and CRM markets.


Enterprise 360 http://www.enterprise360.com/

Enterprise 360 is a pre-configured, pre-integrated Customer Relationship Management solution forged by

KPMG, Pivotal Corporation, Microsoft and Hewlett-Packard, with other innovative software application providers.


For companies with 100 to 200 or more users, it’s everything you need to maximize your relationship with customers.

Customer Management Consortium Forms Computer World – February 25, 1999


To help businesses reduce the cost and complexity of implementing software to manage

their own customers, several vendors said they have formed the Enterprise 360 consortium.


Don Peppers, Marketing1to1/Peppers and Rogers Group


«I think we all know that the principles of one-to-one marketing require a great degree of integration at a company. I mean, if I know who you are and you interact and tell me what you want, and then I make it for you that way—that means the back end of my company has to be able to deliver what the front end

learns that you want. And that degree of integration requires a lot of effort on most companies’ part.


«This means you’ve got to break down barriers between sales, and marketing, and customer service, and production. It means you’ve got to rely on the Internet, and call centers, and sales automation. Well, Enterprise 360 is an example of how some companies in applications and technology fields have

come together to offer their customers an integrated solution to this problem of one-to-one marketing

implementation—which requires a very comprehensive approach.»


Engage http://www.engage.com/

Discover Profile Driven Internet Marketing

Every day, more sites, consumer brands, and commerce providers compete for the attention and involvement of Web users. The need: for a new way, a better way, to attract and retain valuable



The solution: Engage. Engage brings you a new generation of profile driven Internet marketing solutions to help you connect with customers. And to take your web marketing to a whole new level of sophistication. Results. And Investment return. Add more value to your online marketing through the power of Engage profiles.


The grass is greener with CRM http://www.1to1.com/articles/i1070899/index.html?VT=gJi_mUea3C0ijIi_aQ2DibtUcidqcuKD7B_jlJC13T#a2 Don Peppers

Landscapers and garden equipment manufacturers know their prime season lasts only a few months, so it’s really important for them to be able to identify and serve their customers accordingly to cultivate relationships and maximize profits during this hectic time.


House & Garden knows each and every one of its 3,000 customers, from the guy whose 10-year-old lawnmower is always breaking down, to the big landscaping companies that thrive in affluent Fairfield County. According to John, if a homeowner came to his store with a last-minute repair request, he or she would most likely have to wait three weeks at this time of year. But, if a major account needs immediate service, the equipment will be fixed pronto. He calls this his «preferential service treatment.» Another word for it is «smart.»


House & Garden uses a CRM solution for everything from point of sale to work orders, ledgers, and inventory. John says that at point of sale, the industry-specific system can create «sets» of products appropriate for cross selling to customers. «If a customer is buying a lawnmower,» John says, «the computer will generate a list of all the options that come with a lawnmower, such as an extended warranty, oil, and extra blades. The computer reminds the salesperson to run through the list of options, which are the profit makers.»



5.4.3 Customer service


One-to-One Web Marketing E-News- June 1999



According to a recent survey done by Indiana University and KPMG, online shopping from home was the least fun to shop relative to technologies used in stores such as electronic point-of-sale, kiosks, hand-held shopping assistants. (Read more on Cyberatlas, «Technology Can Bring Shoppers Inside.»)



Customer Service On The Internet By Carl G. Kline, MBA

The key to good customer service has always been communication. The power of Web communication is its ability to shorten response time and broaden the forms of customer feedback. If you have an international customer base, you may be interested in looking at a program that allows you to publish, browse and send e-mail in over 30 languages. Internet with an Accent by Accent Worldwide claims that it will do just that (try a demo you can download from their Web site.)


20 Percent of Consumers Have Online Ordering Problems

This article can be found online at:


In about one-third of the 37 million US households having access to the Internet, lives at least one person who placed an order or made a reservation online from February to April of 1999, according to Dataquest Inc., a unit of the Gartner Group. Of these households, 2.4 million, or 20 percent, experienced problems.


Dataquest research showed that of households experiencing problems, 49 percent reported they placed online orders that did not arrive. Nevertheless, in more than half of these households, the customer was billed for the order. For 25 percent of the households that experienced problems, the main problem was the inability to contact the merchant’s customer service department via e-mail.


Despite some early stumbling on the part of merchants, overall consumer satisfaction with the online purchasing process is quite high, with 88 percent of all respondents giving it a satisfactory rating.


«The primary key to overall consumer satisfaction with online purchasing to date is the ease of placing orders or reservations,» said Dr. Harry Doyle, VP for Dataquest’s Interactive Home: Technology & Infrastructure US program. «Clearly this is critical to the future of e-commerce, for when an online experience is consistently more satisfactory than in the physical world, and at the same or lower price, consumers’ habits are likely to change permanently. But it is crucial to remember there is no second chance to win customer loyalty.»


Case Studies: Customer Satisfaction http://www.findsvp.com/about/cssd/



September 1999 http://www.1to1web.com/cgi-bin/gt/news-9909.html?user=ffffffffffff


iContact—iContact enables customer care to track visitors as they navigate their site. Then they can proactively engage a visitor when they see them having a problem and prompt a live, text-based conversation. It also allows companies the ability to react to customers’ questions and concerns immediately.


Webline—Webline is a very similar product to iContact. It too allows companies to provide customers with the option of receiving live assistance from a Web site and engaging in rich voice-and-visual interactions with a company representative, or sending an inquiry through email to the company representative best able to address their question or comment. Which means businesses can combine the personal value of human interaction with the information value of their Web sites — and maximize and amplify the benefits of both.


Cisco Systems, the worldwide leader in networking for the Internet, is using WebLine within its Worldwide

Technical Assistance Center (TAC). Customers seeking assistance from Cisco’s Connection Online Web site can click on a «Talk to us now» button to request an immediate telephone call or create a live connection to a Cisco TAC representative and establish a link over the Internet using a Web browser interface. As the customer and the TAC representative speak over the Internet, they can co-navigate the Web, share electronic documents and applications and interactively complete shared Web-based forms.


Another system worth noting: eShare allows real-time chat between a customer and your companies service representative. To see it in action, take a look at in use at 1-800-Flowers.com.



September 1999


The traditional distribution channel for manufacturers is an efficient process for moving goods, but it’s not that efficient for keeping track of exactly who bought what product.


Product registration cards have been packed with practically every type of product for years, but it’s costly for manufactures to manually enter data from product registration cards, which means there may be limited value in building and maintaining the database.


With a Web-based product registration system it’s now much easier to build the database because the

customer does it for you! Here are a few examples of Web-based product registration forms so you can see the types of data these companies are collecting:


  • 3COM
  • Frontline Test Equipment
  • Lowrance Electronics


If you sell through a traditional channel and have been looking for an easy way to build a database of customer purchase data, look at adding an online product registration form to your marketing program.



September 1999 http://www.1to1web.com/cgi-bin/gt/news-9909.html?user=ffffffffffff

Recently, one of your friendly authors sent an e-mail to a large telecom provider with a question regarding an account. The telecom company kindly sent out an automated receipt reply, but more than a month later author has yet to receive an e-mail back regarding the information request. Fortunately for the company I am sticking with them since they give me frequent-flier miles for each long distance telephone call, otherwise…


It is great that we can send one-to-one e-mail messages out to thousands of customers, and that you can

automate responses to many e-mail requests. But when it comes to responding to an individual customer via e-mail, the industry is still floundering. One rule of thumb is to make sure you reply to a customer e-mail within the industry standard of 24-48 hours. Remember to give the customer a periodic status of their request to let them know your are resolving their issue and you have not forgotten about him or her. Also, build a process that handles inquiries automatically as well as handles «exceptions» (which are e-mails that don’t fit into a particular category that is automated), where real live human service representatives handle the e-mail communications with the customer. In order to increase online sales and service by customers, you need to build their confidence that their e-mail is being handled.


Accelerating.com http://www.accelerating.com/

Advanced Strategies for Differentiating Customers and Partners: Software That Enables 1to1 Relationships


The report is free.  Download the PDF version now (497k). You will also receive future reports for free as soon as they are published.

Our October 1999 report studies the technologies and clients of five innovative software firms –

E.piphany, Net Perceptions, Webridge, net.Genesis and Inference.


The 40 page report was written for professionals responsible for proposing and implementing solutions

to their company’s challenges with e-business, as well as with customer and partner acquisition,

retention, and satisfaction.


In our first report, we examine dramatic changes in the way companies are using software to manage

relationships with customers and business partners.




Check out the direct marketing/e-mail track on Business Marketing’s NetMarketing web site at:



«Calling All Web Sites,» by Dan Sweeney, CIO WebBusiness, 9/99

«Real-Time Personal Service,» by Cliff Allen, ClickZ, 7/27/99

«Humanize Your Web Site» in the July 1999 issue of Call Center Solutions

«At Your Service,» by Deborah Kania, ClickZ, 6/15/99





E-Commerce Meets the Call Center WebLine Communications Connect E-Commerce Customers to the Call Center Michael Hurwicz September 10, 1999

WebLine Communications’ Collaboration Server and Media Blender improve service and

lower costs by applying consistent routing and management to ordinary phones calls, voice-over IP (VoIP), and text chat with collaborative Web browsing.


IDC-Services Research



As Call Center Agents Become Increasingly Important, Their Training Takes on a New Urgency


As more companies include call centers in their strategies for corporate growth and expect them to contribute to the bottom line, call center agents’ visibility has heightened, and their training is taking on new significance. International Data Corporation (IDC) reports the U.S. market for call center agent training was worth $245 million in 1998 and will grow to $292 million in 1999. click for more


IDC Expects Worldwide Call Center Service Revenues to More Than Double to $58.6 Billion by 2003 http://www.idc.com/Data/default.htm


«In the turn-of-millennium business world, becoming more customer-centric is a high priority at many companies. Competitive pressures, deregulation, and customer behavior are all converging to push companies into developing strategic plans for their customer care processes,» said Katrina Menzigian, senior analyst with IDC’s Call Center Services research program. «Consequently, service providers with capabilities in various customer care systems, and especially call centers, are in high demand.» click for more


USA Today: Web Savvy Teens Slate Online Shopping


Sep 13 1999: In a survey of US teenagers’ experience of back to school shopping on the Internet, USA Today found that online shopping can be more frustrating than it is worth. Online marketers need to provide more than daily horoscopes, advice columns and chat rooms to get teenagers to shop at their web sites.


Teens spend an average of USD140 billion per year on retail goods and as such are a hugely attractive audience. This year USD129 million of that will be spent online and in 2003 USD1.2 billion of that will be spent online. Despite the lucrative market potential, online marketers need to re-evaluate the design, content, navigation and fulfilment orders of online stores geared toward the savvy teen shopper.


US Consumers Say Buying Online Satisfactory


Sep 08 1999: In a recent survey by Dataquest, 88 percent of US online consumers described their experience of buying online as satisfactory.


Call for Cross Border Shopping Rules


Sep 06 1999: Consumers International, a federation of consumers from 239 countries worldwide, has

called on the OECD to introduce international guidelines for ecommerce for the protection of

consumers online.


Shopping Sites Fail in Customer Service


Sep 06 1999: A new survey by e-BuyersGuide.com has found that while the inclination to shop online is

growing, there remains a growing contingent of online shoppers who find customer service online



Forrester Research: Young Consumers Have Internalised the Net


Aug 11 1999: A new report from Forrester Research examines the consumption patterns and

spending power of young adults in the US and their implications for the future. Forrester estimates that

currently 12.4 million people between the ages of 16 and 22 are online in the US.


More generally, Forrester estimates that almost 10 percent of the US population is aged between 16

and 22, with almost half of these having Net access. In terms of spending power, they have a

personal income of USD37 billion and, through friends and family, influence an additional USD62

billion in consumer expenditure.


The report identified a key difference between Internet consumers aged under and over 22. It

argues that those over 22 consciously decide to adopt the Internet into pre-established consumption

patters, while under 22s have internalised the Net. This unconscious use of the new technology will

ultimately affect all their other behaviour patterns, according to James McQuivey, Senior Analyst at



The new Net powered generation of consumers will have five main expectations.

  • First, that deep and accurate information should be widely available at any time.
  • Second, personal information is valuable and marketers will need to offer consumers something in return for personal details.
  • Third, choice should be widely available with suppliers providing the combinations and configurations required by the consumer.
  • Fourth, marketers will be required to offer the new consumer no string give-aways if they want to attract the attention of consumers.
  • Finally, the internalisation of the Net by new consumers means that marketers can expect to build consumer trust through email and instant messaging.


InternetDay: Customer Service Essentials


Aug 06 1999: The core principles of customer service hold equally true on the Internet, and are outlined in an article in InternetDay.


Top of the customer service do list is ‘service with a smile’. Merchants should introduce themselves and their service in a first move to build customers’ trust in the business, according to the report. Ensure to send efficient, well-phrased and friendly email. Customers need to feel businesses are working hard to meet their needs.


Second, is the ‘suggestive sell’, whereby sites offer complimentary added value services to customers. Third, the article points to the need for sites to ‘have the menu in plain site’. By providing consumers with all the product and pricing information they need, merchants build knowledge, which the article argues, reduces consumers’ fear of buying online. In the absence of this information consumers are certain to leave the site.


Shop.org: Online Retailing to Top USD36 Billion in 1999


Jul 19 1999: Online retailing is expected to generate over USD36 billion in revenue this year, up from USD14.9 billion last year, according to a report by the Boston Consulting Group. The study was conducted for Shop.org.


eCommerce Sites Fail on Follow-Up


Jul 08 1999: In a study of 50 of the leading ecommerce sites on the Web, Rubic Inc found that

businesses are loosing customers and money due to a lack of basic post-sales customer support.


Poor Consumer Loyalty at Travel Sites


Jul 07 1999: There is very poor consumer loyalty to individual travel web sites, according to an Internet travel market report by Nielsen/Netratings.


Direct-to-Consumer Sales to Surge by 2010



Jul 01 1999: By 2010, an estimated 29 million households in the US will be heavy users of direct-to-consumer commerce, according to a study by the Peppers and Rogers Group/Institute for the



Sites Need to Improve Guarantee Service



Jun 10 1999: The majority of Web sites do not provide consumers with adequate disclosure and guarantee services, according to a survey by the US Federal Trade Commission (FTC).


Customer Service Key to Making Online Sales



Jun 08 1999: 67 percent of online transactions are abandoned because of inadequate customer support, according to a study by Net Effect.


Europeans Willing to Provide Personal Data



May 28 1999: While a quarter of European consumers believe companies don’t respect their privacy, they are willing to exchange personal data for loyalty cards, discounts and personalised



Online Consumers Find Sales Email Intrusive



Apr 16 1999: 32 percent of US consumers dislike sales email so much that avoid doing business with the sender, according to Cognitiative Inc.


Quality Service Missing at Online Stores



Feb 26 1999: The majority of online stores do not offer the customary service that consumers receive at offline stores, according to a report by Shelley Taylor & Associates.


Poor Email Policy on British Web Sites



Jan 27 1999: The majority of British Web sites do not have an email management strategy in place,

according to a survey conducted by Buchanan  E-mail Ltd.


Online Consumers and Trust



Jan 20 1999: A qualitative study conducted by Cheskin Research and Studio Archetype/Sapient Corp looked at what constitutes a trustworthy site for the online consumer.


Number of Happy Online Consumers Drops



Jan 19 1999: There has been a decline in the number of satisfied online consumers, based on their shopping experience during the 1998 holiday season, according to Jupiter Communications


5.4.4 Collect customer information


5.4.5 Customer service


Cliff Allen, «Emotions Trigger The Right Moves,»

ClickZ, 8/10/99. Learn your customer’s most important emotional reason to shop for your product, then tailor your message to maximize benefits to that customer. Use test mailings to determine which emotional

buttons work best.Learn your customer’s most important emotional reason to shop for your product, then tailor the message to maximize benefits to that customer. Use test mailings to determine which emotional buttons work best.


Dana Blankenhorn, «It’s Databases, Stupid,»

ClickZ, 8/25/99. The real frontier in electronic commerce revolves around databases: how do you get the most value from them, give the most value to your customer from them, and still maintain the customer’s trust in what you’re doing? Citing the example of Amazon.com’s new «Purchasing Circle» concept, the author suggests that capturing your customer’s confidence and trust is most important of all.


Norma Romeo, «What Is Keeping Execs from Optimizing Their E-Business?»

PrimaryKnowledge, 6/22/99. ROI imperatives are lacking; suggests re-focusing on (1) understanding which customers are retention risks, (2) tracking where prospects are lost in the acquisition process and (3) having the technology and staff to implement an effective ROI plan.


Sean Carton, «The Holy Grail of Market Research,»

ClickZ, 7/7/99. StatMarket.com is an example of how the finding, collecting, mining, and refining of data in the future may completely change the paradigm of web marketing and advertising. Striking a balance between data collection and privacyis the key to reaping the riches of the market data we’ve now got at our fingertips.


Kate Kaye, «Even Online, People Will Do Just About Anything for Free Stuff,»

ChannelSeven, 7/13/99. Obtaining valuable marketing information about your site visitors can be as

easy as asking them. This study indicates that at least half of the web surfing population think its OK to trade personal data for useful information. 79 percent say they accept the presence of banner ads.


 «eMarketer Interview: J.G. Sandom, Part II,»

eMarketer, 7/19/99. Sandom, head of OgilvyInteractive (running campaigns for IBM and Ford) explains about collecting data about online visitors: end users though cookie use, drip-feed and full forms, and legacy data. Then using data to individually target banners, products.


Steven Vonder Haar, «Repeat Web Business Registers,»

Inter@ctive Week, 6/16/99. Study of repeat traffic and loyalty data from Netscape, AOL and Yahoo! shows the great value of getting site visitors to register in a site membership plan.


Deborah Kania, «The Secrets of Peppers and Rogers,»

ClickZ, 5/25/99. Summary of the key points in the new Peppers and Rogers report ‘State of One to One Online.’ Focuses attention on (1) customer privacy, (2) explaining benefits, (3) organizing around customer needs, (4) giving customers control, (5) offering motivation.


Andre Kvitka, «Get To Know Your Customers Through the Web,»

InfoWorld Electric, 6/12/99. Review (mostly positive) of Principia Products’ Remark Web Survey 1.0, a simple software application that makes it easy put together elegant-looking customer and visitor

surveys that are ready to upload to a Web server in a matter of minutes.


Ralph F. Wilson, «Collecting and Using Data from Your Website Visitors,»

Web Marketing Today, Issue 46, 7/1/98. Outlines strategies to use HTML forms to collect information from site visitors. Suggests using «qualifying questions» to help determine how good a prospect the visitor might be.


Kathleen Burke, «One Word: «Database.,»

ClickZ, 5/4/99. How to use your customer database to develop relevant offers for a targeted

e-mail marketing campaign. If you don’t already have customer info (how they spend, what are their interests), start collecting it now. Use surveys and a customer communication program.


Debra Aho Williamson, «The Information Exchange Economy,»

The Industry Standard, 4/23/99. Sophisticated information gathering and data mining to support online marketing is building momentum. Increasingly, site visitors will be asked to exchange valuable

marketing information for equally valuable tangible benefits (free stuff, discounts etc.).


Elizabeth Clarkson, «Survey Says!,»


How to construct and use effective surveys to gather information and responses from your visitors.
NewMedia, 4/1/99. Scott Kirsner, «

John Hagel — Defend or Attack?,»


CIO WebBusiness, 4/1/99. Interview distills John Hagel’s ideas expressed in ‘Net Worth’ concerning the economics of customer information in e-commerce. Be aware of the economic importance of profiles and customer information, learn how to develop and capitalize this information.


«Online Researchers Say Email, Pop-Up Surveys Get the Most Attention,»

ChannelSeven, 3/9/99. How to use surveys to best advantage. Keep the survey brief and relevant, place the survey in a context relevant to the visitor. Pop-ups get high response, email can

be even better if done well — as high as 70% response.


Cliff Allen, «Achieving Anonymous Personalization,»

ClickZ, 3/25/99. Personalization does not have to come at the expense of privacy. Use ‘the three I’s’ — Interest, Interaction, Involvement – to offer a personalized experience at your web site, without demanding

unnecessary information.


Martha Rogers, «E-Convenience, the Basis of E-Commitment,»
http://www.1to1.com/articles/i1-1-21-99.html#a3  Inside 1to1, 1/21/99. EWallet from ideaLab! allows consumers to carry their web shopping profile data with them. Such technology makes it hard for online merchants to leverage customer loyalty, but clever profile management can turn this to advantage.


«Telegraph,»  http://arsdigita.com/telegraph/

Arsdigita. Allows free use of CGI script to send e-mail from your form, using a script on the Arsdigita site.

Instructions on how to modify a sample online form. For those who don’t have access to a cgi-bin directory on their web server.


«OnTarget,»  http://www.neteffectllc.com/ontarget/

NetEffect. Service simplifies the process of collecting a database of site visitor responses, and doing e-mail marketing to these visitors.


5.4.6 Internet Customer Service

http://www.cad.gu.edu.au/mkt/ugrad.html MKT 3005

Lecture 10   By Terence Tam Adopted from Sterne (1996) “Customer Service on the Internet” and Seybold (1999) “Customers.com” http://www.customers.com The Internet Difference

  • 24 hours a day, 365 days a year
  • More opportunities to interact with customers at low price and little effort
  • New medium to disseminate customer service information
  • Can significantly reduce customer service costs Changes to expect

  • Customers will expect greater access to
    – product information
    – order status information (last order, shipment details etc)
    – specific account information (how much have they ordered, membership expiry etc)
  • Customers will expect to be heard and have greater customer service expectations
  • expectation inflation Money to be made and saved

  • Good customer service = customer loyalty and repeat sales = money made
  • Money to be saved in customer support and information/literature requests
  • g. Sun microcomputers saved an estimated $250,000 in telephone support and $13,000 in literature request per quarter (1995) Customer fundamentals in providing customer service

  • Don’t waste their time
  • Remember who they are
  • Make it easy to order and procure service
  • Make sure your service delights
  • Customise service FAQs

  • What to include in FAQ?
  • Questions your customer service people are constantly asked
  • May want to have a set of FAQ for prospects and another for customers
  • FAQ must be easily found by user
  • Don’t bombard all FAQ information in one page if there is a lot of information
  • Use hyperlinks, list of contents, search information fast- otherwise FAQ will be seen as useless
  • Small site- table of contents
  • Bigger sites- search tools
  • Make it clear from start what they can expect to find on FAQ and what not to expect
  • Use search tool monitor to observe no. of searches customer makes, if above normal, personal contact can be made via email E-mail

  • Benefit- no more time constraints- no need to wait for office hours
  • No need to wait long lines in the phone queue
  • Can prioritise and see all of them at a glance and respond accordingly
  • Email can contain more detailed info than voice mail or notes
  • Gives customers another avenue to correspond with firm
  • Falls between the spoken word and the written word- feeling of instant communication
  • Remember: the more, faster and easier customers can get information, the happier they will be in doing business with you
  • Create a company policy for email (e.g. degree of formality in language, type of messages received and sent)
  • casual nature of email may be misleading Attach signature file- it’s like your company letterhead
  • Expectation that email must be replied within 24 hours
    – When critical, they will call
    – When contractual, they will fax
    – When just important, they will email
  • Note that a late reply may be worse than no reply at all
  • No email reply could mean
    – email did not make it
    – reply did not make it back
    – company is busy or does not care
  • Late email = the company is disorganised E-mail blueprint

  • Using artificial intelligence or humans
  • Sort out incoming queries into
  • Sales (price, product availability)
  • Customer service (suggestions, complains, returns, order tracking)
  • PR (reporters, analyst, sponsorships)
  • Human resources (Resumes, interview requests)
  • Accounting (accounts payable, accounts receivable)
  • Assign a person to each category and prioritise messages
  • Rank (prioritise) message into the following categories:
  • Suggestion from customer (respond with thanks and file)
  • Standard Queue (respond within 24 hours e.g. price inquiries)
  • Emergent Situation (forward to appropriate party e.g. demand for account payment)
  • Critical problem (alert department management e.g. notification of legal action to be taken against firm)
  • Red alert (all hands on deck e.g. workforce strike) Autoresponders

  • An automated email reply tool
  • Provides immediate proof of delivery
  • Some companies send you an FAQ to answer any questions immediately (e.g. amazon.com) before a human reads the message to confirm question is answered
  • White House acknowledges your email and tells you what will happen to your concern


David Batstone, «Customer Disservice

Online,» http://www.iconocast.com/icono-archive/icono.090999.html
Iconocast, 9/9/99. Discusses the pros

and cons of e-mail vs. chat customer service, and notes that both suffer from scalability. Recommends small gains before revamping whole systems.


Kay Ingram, «Quality Customer Support: Four Ways to Build Success with Technology,» http://www.insyncweb.com/today/v1n199/qualitysupport1.html
InSync, 9/1/99. 4 ways e-zine list server companies help customers maximize e-mail marketing and e-zine publishing efforts:

(1)Take Support On-The-Road;
(2) Build Sustained Relationships with Human Commitment;
(3) ShareExpertise and Knowledge; and

(4) Value Client Input to Refine and Develop New Technologies


Barry Silverstein, «Give It to Me NOW!,»

ClickZ, 6/2/99. Your site visitors expect immediate gratification in their search for information.

Start using electronic info fulfillment techniques to satisfy this demand, or lose business.


Nick Usborne, «Pretty Cool, Eh?,»

ClickZ, 6/14/99. Never forget that simple human touches make all the difference, especially in online

communication. Examples show how to improve the writing of a typical customer service response to a complaint.


Ralph F. Wilson, «Save Money with Customer Support on the Web,» http://www.wilsonweb.com/articles/support.htm

Web Marketing Today, Issue 29, 2/17/97. Outlines simple ways websites can provide customer support through FAQs, troubleshooting guides, etc. These help save money in telephone or e-mail support.


Ken Evoy, «How to Deal with Disgruntled Customers,»

Sell It!, 5/8/99. Customer complaints can be a ‘valuable gift’ e-merchants can turn to advantage. They can give you valuable insight into problems with your selling process. How to do it, in the form of a series of

‘letters’ to an imagined complainant.


«NeuroServer VSRs,» http://www.neurostudios.com/

Neuromedia, Inc.. Provides knowledge base accessible through Virtual Service Representatives (VSRs) such as «Red.» He answers questions typed in normal English into a question box.


Jesse Berst, «How Eservice Could Put You Out of Business,» http://www.zdnet.com/anchordesk/story/story_3206.html
ZDNet AnchorDesk, 3/22/99. Warns that existing companies are vulnerable to Internet upstarts if they neglect eService to customers. Most frequent forms: FAQs, discussion groups and chats, and e-mail

inquiries and answers.


Jesse Berst, «Pioneers Point Way to Eservice Revolution,» http://www.zdnet.com/anchordesk/story/story_3207.html  ZDNet

AnchorDesk, 3/22/99. Brief description of customer service products by several newer companies: ActiveTouch, Aditi, Ask Jeeves , Brightware, Delano, Primus, Motive, and Servicesoft.


«LivePerson Network,». http://www.liveperson.com/
Pop-up chat box that allows instant customer contact with a real person. Pricing varies with plan and number of operators needed.


«Klone Server,» http://www.bigscience.com/
Big Science Company. Has an online demo of Andrette, including a photo of this droid. You type in a question and she answers it from a database of responses. Klone Server’s price is not on the site. You can ask Andrette for a date, but she declines.


Nick Usborne, «Complain Like Hell…Again!http://www.searchz.com/Articles/1224982.shtml
ClickZ, 12/24/98. Contends that irate customers can do two things: (1) complain or (2) leave. Only if they complain can you retain them, so get them to tell you your faults. Describes eBay’s mistake in quashing complaining users on its bulletin board, and Doug Green’s SimpleGiftsFarm that ran a «complaint contest» to elicit feedback.


John Edwards, «Have It Their Way,» http://www.cio.com/archive/webbusiness/120198_power.html
CIO WebBusiness, 12/1/98. Describes software to handle customer service needs:
(1) Customer Messaging System, Kana Communications;
(2) ChatNow and @Once Service Center, Business Evolution, Inc.;
(3) Acuity and iChat, Ascend Communications; and
(4) Update Internet PermissionMarketing Systems;


Sean Carton, «Right Now Web 2.0,» http://www.searchz.com/Articles/1112982.shtml
ClickZ, 11/12/98. Review of Right Now Web, which he describes as a cross between a knowledge

base, a bulletin board, and a constantly growing FAQ that helps you provide support to customers.



«Jupiter Finds 42 Percent of Websites Fail At Customer Service,» http://www.channelseven.com/adinsight/market_insight/surveys/1998/199811/19981110.shtml

ChannelSeven, 11/10/98. 42% of the top-ranked websites either took longer than five days to reply to customer email inquiries, never replied, or were not accessible by email according to a report issued

by Jupiter Communications.


«LiveContact 2.0,» http://www.balisoft.com/
Balisoft Technologies, Inc.. Product provides for text chat, voice, and multimedia to create immediate customer service on websites.


Barry Silverstein, «Are You Fulfilling Interest — or Killing It?,» http://searchz.com/clickz/092998.shtml ClickZ, 9/29/98. Argues that marketers need to seek qualified leads from the Web and the follow them up promptly.


«Instant Call,». http://www.instantcall.com/
When a site visitor clicks on the Instant Call button on your site, Instant Call phones you and the customer and links the calls for instant communication.


Jon C.A. DeKeles, «Beef Up Your Company’s Help Desk,» http://www.zdnet.com/anchordesk/story/story_2445.html  ZDNet

AnchorDesk, 9/29/98. Describes shareware downloads that can be used to track customer calls, requests, complaints, etc.


Kathy Chin Leong, «Customer Service Gets Royal Treatment,» http://www.internetwk.com/trans/tr2j.htm

Internet Week, 9/14/98. Describes customer service on Cisco’s website.


Len Stein, «Still Living in the Age of http://www.brochureware.com? Websites Are Missing the Consumer Connection http://www.channelseven.com/adinsight/commentary/archive/1998/199809/pr_cyberspace/19980909.shtm

,» lChannelSeven, 9/9/98. Noting recent reports of few customer contact links on business sites, the author suggests using the space on a site to provide full contact and value-added information to site visitors.


Sari Kalin, «Tales of a Web Customer,» http://www.cio.com/archive/webbusiness/090198_serv.html
CIO WebBusiness, 9/1/98. Complains about slow or now response to customer inquiry e-mails.

Formulates several rules:
(1) don’t promise what you can’t deliver,
(2) put yourself in your customer’s shoes,
(3) make sure the left hand knows what the right hand is doing.


Noah Shachtman, «Software can tame message onslaught,» http://adage.com/interactive/articles/19980629/article4.html

Advertising Age, 6/29/98. Discusses various software approaches to tracking and automating answering e-mail in larger firms. Mentions Intellimedia Commerce, Matrixx Marketing, General Interactive’s

Echo Mail, and Mustang Software.


Matthew J. Cravatta, «Is There Anybody Out There?,» http://www.demographics.com/Publications/MT/98_mt/9806_mt/mt98065.htm Marketing

Tools, 6/1/98. Recommends answer to each and every e-mail inquiry. E-snubbing only distances potential customers.



Natalie Engler, «Friend or Foe? Web-based Customer Service Embraces Some, Alienates Others,» http://www.computerworld.com/home/Emmerce.nsf/All/980615friend

Computerworld Emmerce, 6/15/98. Surveys the experiences of several online retailers who are

incorporating customer service options into their websites.


«LiveResponse,». http://www.liveresponse.com/
A chat-based 24/7 live response call center, which responds on the basis of client-submitted scripts. Billing is $50/hour in one second increments.


ClickZ Network 8/10/99 http://gt.clickz.com/cgi-bin/gt/cz/cz.html?user=e82494d7149e&article=93

Monday, February 8, 1999 ClickZ Q&A: Don Peppers, By Sam Alfstad  Interview with Don Peppers Infobot

  • Somewhat like autoresponder
  • Similar to fax-back
  • When customer sends an email to a specific address with specific command, requested information will be sent to customer Proactive email customer service

  • Customers generally like to receive industry news, hints, promotions and anything that will
    – Save time
    – Save money
    – Help make better use of your product
  • Remember permission marketing- don’t send them information without permission
  • Personalise information and ask for input whenever possible Story of the Week- amazon.com

  • Jeff Bezos, 35, founder of amazon.com valued at $7 billion
  • Started July 1995
  • Key to success: build relationships and brand loyalty both with customers and partners
  • Aware that smallest amount of friction can stop people
  • Added value to online shopping by treating customers as individuals and anticipating their needs
  • Relationship building based on small bookshop philosophy
  • Personal greetings, recommendations based on past purchases and customer moods,
  • notifications of new releases by favourite author and “conversations” with other customers about books
  • Good customer service and satisfaction to generate repeat purchases
  • Partners through “syndicated” selling-15% commission- generates WOM and greater exposure to online world
  • Creates brand-loyal partners and eliminates competition Lessons from amazon.com

  • Personal attention through the use of technology can generate profits
  • In the online world, all bookshops are equally distant, customers will shop where experience was satisfactory
  • Relationships are important in the online world to secure a SCA. Customer complains

  • Recognise that customer complaints are a great source for service and product improvement
  • Need to provide avenue for customers’ complains to be heard
  • 3 types of complaining customers
    – People who are trying to help
    – Customers who have been wronged
    – Plain old cranks Have a platform for complaints

  • In fact, let everyone see these complaints
  • Why? It is an opportunity for you to respond, in public, to improve bonds with everyone
  • Other customers can help service customers
  • Platforms: mailing lists (moderate it), newsgroups, on-site discussion boards. 5 levels of customer bonding

  • Awareness bonding (creating awareness of positioning with customers)
  • Identity bonding (get customers to identify with values and emotions your product stands for)
  • Relationship bonding (database marketing and rewards)
  • Community bonding (facilitation of customer to customer bonding, forming identity of their own)
  • Advocacy bonding (a high level of trust and liking of the product, Word of mouth advertising occurs) Newsgroups

  • Laying a platform for complaints can move bonding from relationship to community to advocacy bonding
  • Start by seeing
  • Whether there are discussions about your industry/company/product already in newsgroups
  • Lurk, then participate and contribute, but never dictate
  • At the same time, never neglect it and underestimate the power of electronic word of mouth Intel example

  • A mathematician found that the pentium chip had a certain flaw in mathematical calculations
  • Announced it to newsgroup seeing if other people had same problem
  • Many did and news spread around, Intel was called on
  • Intel admitted that they knew the flaw but would not take action as not many people would use that level of calculation
  • Caused a huge uproar in newsgroups and a PR nightmare Moral of Intel story

  • Pay attention or pay the price
  • Note that whether you decide to monitor discussion groups or not, people will still talk about your products
  • Assign someone to monitor discussion groups (Lurking)
  • Use discussion groups to help in customer service (answer questions etc)
  • Stimulate discussion in discussion groups by posing interesting questions (interaction encourages bonds to be formed) Measuring the success of customer service efforts

  • First of all, you must know that you are getting them to the site
  • Traffic patterns: are they going to your FAQ? Are they subscribing to your discussion list? Are they downloading information files?
  • Where are they coming from? Geographical and organisational breakdown
  • The litmus test: become a customer of your own company Log files

  • Web logs can tell which pages people look at the most
  • Things to track from log
  • number of visitors
    – where they came from (.edu, .com etc)
    – Browser software
    – how many pages they viewed and which pages
    – Traffic load by hour of day/time of week
  • See chapter 3 in Forrest for more information on log files Other measurement concerns

  • Use log file path tracking for usability measurement
  • How many clicks/searches were required to get information?
  • Combine information from log files and surveys to make sure customers are getting what they want quickly
  • Monitor your customer satisfaction level regularly
  • Monitor regularly what your competitors are up to and make sure you are ahead or at least on par with them Case Study: Cisco Systems

  • Inter-networking equipment company
  • http://www.cisco.com
  • Lessons to be learnt from Cisco
  • Make sure customer service staff know the works and can answer most questions (Cisco makes sure staff know all areas of company well)
  • Keep ahead of the competition by monitoring and adopting new developments (Cisco was on the net in 1992, by the time its competitors decided to go online, Cisco had thousands of Web pages)
  • Automation is necessary as you get bigger (When there was a growth in customer numbers who could not remember their passwords, Cisco automated it)
  • Keyword based answers followed by personal attention (technical support questions were answered using automated keyword search answers- unanswered questions were then perosnally answered)
  • Let customers prioritise their messages (48hrs, 1 week)
  • Getting others in the channel to help to provide better all-round customer service and increase customer base
  • (Cisco got its partners to provide third-party services to its customers, and helps its partners to service its customers in return)
  • Win customers over by providing better, revolutionary services than competitors
  • (In 1995, Cisco implemented Pricing Agent- to check price in local currency and Status Agent- to check individual order status) Cisco result?

  • Just over 200 registered users in 9/92, to 28,000 in 3/96
  • Logins per week from less than 100 to 20,000 in same period
  • Cisco saved $550 million/year in customer service for the past 3 years and does 62% of its $5 billion/year business on the Net


Hvis du har noen spørsmål eller ønsker å vite mer om Intelligence Resource kan du bruke kontaktmulighetene nedenfor:


ORG.NR: 977 505 992

Jan Vig
Daglig leder

Kirkeveien 35, NO-1710, SARPSBORG
Mobile : +47 414 43 727
e-mail: ja-vig@online.no
Web: www.slowdown.no ,www.intelligence.no , www.risikoledelse.com

Copyright © 2000-2015 VIG CONSULTING

Del på bloggen

Bookmark and Share

Legg igjen en kommentar

Fyll inn i feltene under, eller klikk på et ikon for å logge inn:


Du kommenterer med bruk av din WordPress.com konto. Logg ut /  Endre )


Du kommenterer med bruk av din Twitter konto. Logg ut /  Endre )


Du kommenterer med bruk av din Facebook konto. Logg ut /  Endre )

Kobler til %s

%d bloggere liker dette: