A Conversation With Eric Mattson At MarketingMonger

Eric Mattson of MarketingMonger is on a mission to have 1,000 conversations with marketers, and to present them all as podcasts. Eric writes:

“For the 20th podcast in my project, I connected with Chris Carfi of Cerado.

I first ran across Chris’s blog when he published his original Social Customer Manifesto.

Then I heard interesting things about Cerado’s Haystack social networking software for businesses.

So I was excited to get a chance to talk with Chris about his social customer philosophy, his entrepreneurial efforts with Cerado, Haystack’s success to date and more.”

A link to his summary of the call here, and have a listen to the mp3 file here.

Thanks for the invitation, Eric!

Podcast: Customer Relationships, Communications and Enterprise Social Networking

Had a great conversation on Wednesday with Shel Holtz, on the For Immediate Release podcast. We chatted about the link between communications and customer relationships, and the importance of communication within an organization. We also talked at some length about where things are going with Haystack, Cerado’s enterprise social networking tool.

Would love your feedback! Click here to listen.

Marketers Out Of Touch With Customers

On the heels of the previous post, which has some saying “CRM is dead,” comes a very interesting article by Barney Beal. Here are some points of note from the article, quoting a recent study from the CMO council. (All stats below were sourced from Barney’s excellent report.) According to the study:

  • Two thirds of respondents said they have no formal system for tracking marketing’s role in acquiring new customers
  • Over one third don’t have a model of their “best” customer or opportunity
  • Just under a third have no reliable data on profitability of key customers
  • Nearly 50% said someone other than marketers influences the “segmentation and targeting strategy”*

Now, those points noted, there is a huge reliance on existing “CRM” systems. This, however, is frought with some problems. 33% of the respondents cited their CRM systems as their primary information source. Yet the survey found that “40% of the respondents rated their customer data systems as ‘weak’ or ‘very weak’ in timeliness and depth; availability of useful data; reports and analytics; and relevance to marketing strategies.”

The whole article is here.

* – N.B. I still despise the terms “segmentation” and “targeting” in this context. The first to me seems like it refers to tearing the customer limb from limb. The second seems to indicate a viewpoint that the customer is prey that is to be stalked and bagged like a trophy elk. But I digress.

That’s “Mr. Inc” To You, Pal

I thought I’d share part of an email solicitation I received today from destinationCRM.

If the incongruity of the “do as we say, not as we do” wasn’t so depressing, it’d be really, really funny.

(NOTE: The letter has been edited for space.)

Dear Inc,

In an effort to keep our online directory as accurate as possible, all listings older that 1/1/05 will be rendered inactive.

Why is this important? Because our directory database is integrated throughout all editorial content on our site.

Act now and have your online status upgraded to “Premium Partner” immediately

For information about this Buyers Guide offer, please call or email me at your convenience.

To have yourself or your public relations professional placed on our editor’s advance editorial email update list, just reply to me with full contact information.

If you are interested in any of the above opportunities, please contact me as soon as possible.

Thanks for your time.

Warm Regards,

[name redacted]
CRM Media, LLC

::shakes head::

(disclosure: I’ve written for DestinationCRM in the past.)

Signal vs. Noise vs. Customers

There’s quite the conversation going on over at 37signals‘ “Signal vs. Noise” blog today, and I’m still puzzling over why said conversation is even taking place. What’s going down: Matt Linderman, from 37s, today put up a post that starts like this:

Useless, absurd, must, need, appalled, just, infuriating, essential, etc.

“What could be more fun than those magnetic words that let you write poems on the fridge? How about a set of magnetic words that let you write support emails. Our kit would include the following: useless, absurd, must, need, appalled, just, infuriating, essential, oversight, pointless, confusing, nutty, and maybe some good phrases too, like ‘it can’t be that hard,’ ‘i’m a programmer, i should know,’ and ‘even Blogger let’s you do that.’ Of course, the whole set should be ALL CAPS too.”

He then proceeds to excerpt fifteen customer emails that 37s has received, annotating each one with a snippet of text that certainly could be interpreted as an accusatory finger, highlighting what was wrong with each email that their support line had received.

After reading and re-reading the emails that Linderman posted, I’m even more puzzled. Yes, some of them contained some hyperbole. But what about the others, like this one?

“Please call me regarding my basecamp system — (615) 780-XXXX.”

Yeah. Boy, I could see how that would be upsetting…a customer wanted to connect with someone at her service provider. Or how about this one?

“We NEED a web based system like Basecamp, but I cannot tell if it will be any better by reading the information you have available. I’m looking for sort of a web based excel-like program. We need to be able to see at a glance every sponsor’s name, sponsor level, address, contact info, if they’ve been billed/payed, if we need/have artwork, and if they have comments. We need to authorize up to five people for editing and another 60 or so for viewing.”

Indeed. A customer clearly spelling out his requirements and needs. That customer must obviously be deluded and prone to hysterics.

The conversation plays out over 120+ comments. And then “JF” (I’m assuming Jason Fried, of 37signals) jumps in with two comments that, frankly, just seem defensive and tinged with the slightest bit of hubris, all at once.

“We’re well aware of that, we’re well aware of our cash flow, we’re well aware of our churn, we’re well aware of our signups, we’re well aware of our growth, we’re well aware of our big-picture customer satisfaction. We’re well aware of what we’re doing, thank you.”

and

“120 comments in and I’m surprised we haven’t heard from a progressive thinker who might wonder if all this ‘bad’ stuff is actually good for business. Could these sorts of discussions actually be good for a non-traditional business like 37signals? Do sales/signups go up on days with these heated debates? Could there be a positive business motive behind all this that more traditional business observers haven’t groked?”

Now, Cerado is a customer of 37signals, in that we use Basecamp. But this last quote from Fried has given me pause, and I’m hoping it’s not a canary in the coalmine. The phrase “Do sales/signups go up on days with these heated debates?” is looking at a point in time. It’s solely looking at the transaction. Now, couple that with the fact that (I hope!) any rational customer would certainly entertain taking his business elsewhere if he saw his support request pilloried in the public square as an example of what not to do. Put those two data points together, and one begins to wonder if 37signals is truly doing something differently (as they continuously claim), or if it’s just another business looking for the quick turn, long-term-relationships be damned.

Others talking:

Zoli Erdos
Jason Kolb
Kandace Nuckolls
Steve Portigal
Marcus Campbell
Joe Taylor Jr.

(thanks to Zoli for the tip)

No, Really. Put The Customer In Charge.

Guy Kawasaki* cranks out a top-10 list on “The Art Of Customer Service.” My favorite of the lot:

Put the customer in control. The best kind of customer service happens when management enables employees to put the customer in control. This require two leaps of faith: first, that management trusts customers not take advantage of the situation; second, that management trust employees with this empowerment. If you can make these leaps, then the quality of your customer service will zoom; if not, there is nothing more frustrating than companies copping the attitude that something is “against company policy.”

The other nine are just as solid.

(By the way, if you want to really put the customer in control, this is a good place to start. Then again, I’m biased.)

* – “His name is synonymous with evangelism as a secular business technique, and motorcycles.” Still one of the best lines in a book jacket biography, ever.

The Forrester “Social Computing” Paradox

Charlene Li gives an overview of Forrester’s new “Social Computing” report. Key “tenets of social computing” outlined by Charlene:

  • innovation will shfit from top-down to bottom-up
  • value will shift from ownership to experience
  • power will shift from institutions to communities

The third point is the one that caught my eye in particular, as it seems to be another point of validation on the idea that we are moving down this path:

Transactions => Conversations => Relationships => Communities (much more behind the link)

And then we get to the heart of the matter. Charlene:

“As I often stress, it’s not about the technologies but about the new relationships that users will form. Technologies will come and go, but the power built on the relationships created by social computing will endure.

To fully appreciate the value of social computing, companies have to let go of control. That means letting customers control the brand if you’re a marketer, and it means enabling new enterprise tools that IT can’t easily control to attract and support employees with high social computing needs. In many ways, this is the source of the great distress that I routinely hear from corporate managers.” (emphasis added)

Now the paradox…the report is only available to Forrester clients. If anyone has a copy, I’d love to see it.

The Social Customer Manifesto Podcast 3FEB2006

click here to subscribe

Summary: Leif Chastaine and Christopher Carfi discuss Yahoo’s strategy, Google’s censorship, the remix culture and customer “co-creation” of products, the American Marketing Association’s “Ahead of the Curve” session in Scottsdale, and this week’s RIM/BlackBerry update. (33:06)

Show notes for February 3, 2006

The audio file is available here (MP3, 32MB), or subscribe to our RSS feed to automatically have future shows downloaded to your MP3 player.

00:00 : Intro

01:04 : Yahoo “quits” the search race? Or do they?

09:08 : Google image censorship and strategy

16:30 : The importance of customer “co-creation” of products

27:30 : RIM: “Non-final” judgement regarding BlackBerry is just that

31:45 : Social Networking: Ahead of the Curve (Scottsdale)

32:23 : Wrapup

Links:
Dave Taylor (“What do Yahoo, Apple and Ferrari have in common?”), Yahoo quits, Yahoo gives up, Yahoo content to be Google’s footstool, Yahoo gives up race with Google, Steve Rubel, Google image censorship, Paul Greenberg, BPT Partners, customer co-creation, NTP=”No Tenable Patents?”, RIM patent dispute, AMA High Tech Trends in Marketing

CRM At The Speed Of Light

Spent yesterday and today at the BPT PartnersCRM At The Speed Of Light training session, as a guest of the inimitable Paul Greenberg. Paul and his partners have put together a very interesting program … vendor-neutral from the technology side (good), and it covers all the bases (not just technology, but organizational change and customer strategy). It’s not just “should we buy from Siebel, SAP, or Salesforce? Rather, it’s a cohesive view of how one thinks about, and then implements, customer-oriented business.

The first day of the session was a broad lead-in to the concepts (“What is CRM strategy?” and a solid overview by Bruce Culbert) and a great dive into some of the metrics that can be used from the business side, with plenty of quantifiable rigor added by Dr. Jeff Tanner of Baylor University. (N.B. This rigor extends out of the classroom and boardroom as well; ask Jeff about his laser-straight, six-hundred-foot-long pasture fence if you ever run into him.)

The highlight, however, was Paul’s session this morning, a straight-on, straight-ahead, and utterly clued-in conversation around how we all, as customers, have changed. We all have our own printing presses now, and the companies that haven’t realized that are going to be in trouble. More importantly, the idea of co-creation is fundamental moving forward…early examples such as id Software, and current ones such as CounterStrike and Rome:Total War (click the co-creation link above more more context) are tangible leading indicators of what’s next.