mitsubishi

Building a Best-in-Class Mitsubishi CRM Program

July 25, 2005July 25, 2005

Your CRM Team

Mitsubishi CRMInternal Leadership, Direction and Coordination

Mitsubishi CRMInternal Leadership, Direction and Coordination

Agency Lead(Strategic Planning, Program Development,

DM and EM Execution and Management)

Harte HanksData Management

AdvertisingLeadPhD

Media Lead

Interactive Lead

(Website and Online Media)

Agency Overview

Working with MitsubishiSOW and Projects

(To-date and moving forward)Dedicated Staff

(Note: to follow from Greg)

Partnering with Mitsubishi

Current Situation

Customer Buy-cycle Phases

Customer “Journey”

Suspects

Potential conquests – targeted customers who are notcurrently Mitsubishi owners or shoppers (broadest opening of the Sales Funnel)



Prospects

“Handraisers” – former “Suspects” who have activelyindicated an interest in Mitsubishi

(have moved down the Sales Funnel to Consideration)

“hot” vs. “cold” prospects


Shoppers

Visiting dealerships – to view models, test drive,negotiate and possibly purchase



Owners: Honeymoon

First 90 days after purchase – happy and proudof their purchase; enjoy every time they drive;

show off their new car



O P P O R T U N I T Yset tone for brand relationship

build dealer service habits

generate referrals

Owners: Honeymoon



Owners: Evolving

After first 90 days up to three years“magic” wears off (car becomes transportation);

notice problems;ongoing maintenance/service needs



build customer satisfaction, loyalty, pre-disposition to re-purchase

ongoing communications

recognition and reward

Owners: Evolving


O P P O R T U N I T Y


Owners: Mature

After three years of ownership – customers may hold ontocar (up to 5+ years, depending on model / socioeconomic level);

possibly higher service usage; considering new car



continue loyalty communications

identify in-market timing

Owners: Mature





Owners: Renewal

Up to twelve months prior to new purchase – owners begin “looking” and anticipating;

eventually considering and shopping


preempt competitive consideration

incent and reward owners

make it easy to repurchase Mitsubishi


Owners: Renewal



Disposers

First six months after selling Mitsubishi model



win-back

offer ongoing incentives

Disposers





Defectors

Beyond six months after disposing of Mitsubishi model


“stay in touch” for later win-back

Mitsubishi as additional HH vehicle


Defectors



BUY-CYCLE

TIMING

12 monthsout

90 days 90 days-3 years

3+ years 6 months beyond6 months

Owners

DEALERS

Customer Targeting

• In-market timing

• Current model ownership

• Owner Loyalty: 2+ Mitsubishi cars

• Lifetime value (LTV)

• Lifecycle stage (and needs)

• Attitudinal segments

Target and Segment:Suspects, Prospects and Owners

Owners

Studying Best-in-Class Automotive CRM

BUY-CYCLE OwnersDEALERS

Mitsubishi CRM Plan

• For each Buy-cycle Phase

– Objectives and Strategies

– Customer Contact / Communications Plans

• Integration with Other Communications

• Measurement and Reporting

• Mitsubishi Enterprise Involvement

Measurable Objectives

SUSPECTSGenerate in-market “handraisers” (Prospects)

PROSPECTSGenerate dealer traffic

SHOPPERSConvert to sales

OWNERS (HONEYMOON)Generate referrals

RENEWERSIncrease re-purchase rates

DISPOSERSWin-back

DEFECTORSWin-back

OWNERS (EVOLVING / MATURE)• Increase dealer service use• Improve repurchase predisposition• Increase “share of garage”

(upsell and cross-sell)

Measurable Objectivesfor each Buy-cycle Phase

BUY-CYCLEOwners

DEALERS

OBJECTIVES

GenerateProspects

(Handraisers)

DriveDealerTraffic

Purchases/Leases

Referrals Dealer service

Increase predisposition to re-purchase

Multlple purchases

Re-Purchase Win-Back Win-Back

Setting Objectives = What Should CRM Do?

BUY-CYCLEOwners

DEALERS

12 monthsout




BUY-CYCLEOwners

DEALERS

12 monthsout



ANSWERIn general…

Increase universe size for most/all periods,

in ROI-positive fashion

Number of potential (re-)purchasers


BUY-CYCLEOwners

DEALERS

12 monthsout



Today 1%purchaseat leasttwice

After Full CRM Implementation

2%purchaseat leasttwice

Number of potential (re-)purchasers

For Every100

ProspectsGoing IntoThe Funnel

Strategiesfor each Buy-cycle Phase

BUY-CYCLEOwners

DEALERS

STRATEGIES

Targeted DM,Online andAdvertising

QualifyHandraisers

TestDrive

Incentives

Test DriveIncentives

PurchaseOption and

ServicePackages

Establishrelationship

“tone”

Reinforcepurchasedecision

Createservicehabit

Encouragereferrals

Build brand loyalty

Deliver ongoing value

Reinforce service habit

Create two-way dialogue

Identify in-market timing

Provide compelling reasonsto trade-in/re-purchase

Cross-sell multiple vehicles(increase “share of

garage”)

Pre-emptcompetitive

shopping

Stimulateearly

consideration

Demonstratebenefits of

loyalty

Loyaltyincentives

Stay intouch overlong-term

Incentives to

re-purchase

Mitsubishi CRM Plan







Customer Contact PlanCommunications Guidelines

• Leverage new brand positioning

• Reinforce overall “brand experience”

• Recognize individual; make communications relevant

• Invite input and feedback

• Gather intelligence on future needs

• Track response/behavior

Will all communications:

DEALERS

Customer Contact PlanSuspect Phase

Owners

E-lead Program• Mitsu websites• 3rd-Party websites• Banner ads• Rich media• Paid Search• Sponsored blogs• Sponsored podcasts• RSS ads

D.R. Print

D.R. Broadcast• 60:s• Long-form• TiVO

Third-party inserts

Tier I, II & III Advertising

Test ROI

Objective Drive Dealer Traffic

Communication

48 hours Week 1 Week 2 Week 3 Week 4

• In-Market Timing• Model Interest• Financing Needs• Trade-in• Geography

• Email with link to owners-only site

• Mailing with reply card

HotProspect

CoolProspect

Qualify & Segment

Follow-upEmail

DirectMail

E-Newsletter

E-Newsletter

E-Newsletter

OutboundCall withtest driveincentive

E-Newsletter

Timing

DEALERS

Customer Contact PlanProspect Phase

Owners

DEALERS

Customer Contact PlanProspect Phase

Owners

DEALERS

Customer Contact PlanShopping Phase

Owners

Communication

Email24 hours

Call48 hours

Letter1 week

Email24 hours

Call48 hours

Customer Action

Letter1 week

Follow-up

Yes…………..

No

Visit

Test Drive

Yes…………

No

Follow-up

Purchase

Yes

No

Follow-up

Timing

DEALERS

Customer Contact PlanOwner/”Honeymoon” Phase

Owners

Communication

Month 1 Month 2 Month 3

Timing

Week

Emailwelcome

DirectMail

WelcomeKit

Invite andpassword to

“Owner’sOnly”

website

1 2 3 4

E-newsletter

Referral Mailing

Service invitations/coupons

(good anytimenext 6 months)

DEALERS

Customer Contact PlanOwner/”Evolving” Phase

Owners

Communication

Timing

3 months

E-Newsletter

6 months

Magazine

9 months

Mailing

Year 1

Magazine

Anniversary Card

6 months

Magazine

9 months

Mailing

Year 2

Magazine

Anniversary Card

6 months

Magazine

9 months

Mailing

Year 3

Magazine

Anniversary Card

3 months

E-Newsletter

3 months

E-Newsletter

Owners-only Website

DEALERS

Customer Contact PlanOwner/”Mature” Phase

Owners

Communication

Timing

6 Months

Magazine

Year 4

Magazine

Anniversary Card

9 Months

Mailing

6 Months

Magazine

9 Months

Mailing

3 Months

E-Newsletter

3 Months

E-Newsletter

Year 5

Magazine

Anniversary Card

Owners-only Website

Customer Contact PlanOwner/”Evolving” and “Mature” Phases

• Send quarterly communications

• Alternate between E-Newsletters, Mailings and Magazines

• Include mixture of automotive and lifestyle content:

– New model introductions

– Seasonal driving tips

– Classic American road trips

– Owner profiles

– Parts and Accessories

• Include Service messages

• Include ongoing Purchase Incentives

– For trade-ups or multiple HH vehicles

Owner Loyalty Communications


• Incorporate both recognition and reward

Owner Loyalty Communications (Cont.)

Recognition Examples:• “Anniversary cards” (for vehicle purchase)• Birthday cards• Owner ID cards

Reward (“surprise and delight”) Examples:• Event invitations• Small gifts (e.g. Starbucks cards)• Parts and service coupon books• New model “loaners” for weekend test drives

• Deliver value through strategic partnerships– Including Javelin/Organic/BBDO/Omnicom client partnerships


• Share Mitsubishi news and offers first – before it’s “public”

– e.g., new model previews– Pre-launch ordering

• Provide means of feedback with every communication:– Surveys, reply cards, email– “Owners panel”

• Develop special owner scripts and recordings for Call Center and IVR

Owner Loyalty Communications (Cont.)

DEALERS

Customer Contact PlanOwner/Renewal Phase

Owners

Communication

Timing

10½ months

Email

9 months

Mailing

8½ months

Email

5 months

Email

4 months

Mailing

3 Months

Mailing

1 month

Email

0 months12 months

Mailing

6 months

Mailing

2 months

Mailing

Owners-only Website

DEALERS

Customer Contact PlanDisposer Phase

Owners

Communication

TimingMonth 1 Month 2 Month 3

E-mail with purchase incentive

Direct Mail with purchase

incentive

Outbound call with purchase

incentive

Month 4 Month 5 Month 6

E-mail with purchase incentive

Direct Mail with purchase

incentive

Outbound call with purchase

incentive

Test incentive effectiveness• Control (no incentive)• Increase incentive values• “Random” incentive offers• Higher incentives for loyal customers

DEALERS

Customer Contact PlanDefector Phase

Owners

Communication

TimingMonth 3 Month 6 Month 9 Month 12

E-mail/

E-Newsletter

DM E-mail/

E-Newsletter

DM

Mitsubishi CRM Plan







Customer Contact PlanEvent-triggered Communications

Mitsubishi “events”• Sales events• Dealer changes• Recalls• News/press announcements

Customer “events”• Service center calls• Inquiries / requests for more info• Dealer visits• Lifestyle changes

Dealer / Marketplace “events”• Reaction to competitive activity• Market-specific needs• Local Dealer events

Overlay Flexible “Event-Triggered” Communications

Customer Contact PlanEvent-triggered (Cont.)

Overlay Event-Triggered Communications

BUY-CYCLE

MITSUBISHI

CUSTOMER

DEALER /MARKETPLACE

Customer Contact PlanChannel Integration

• Overlay advertising, event marketing and PR plans onto CRM calendar

• CRM communications influenced by above– Content / messaging / timing

For example:

• Use CRM communications to support Tier 1 advertising campaigns

– Drive customers further down sales funnel– Employ complementary timing and messaging

• Fill-in with CRM during “thin” flights or out-of-market periods

• Support Ride & Drives and other events

Integrate All Marketing Communications

Customer Contact PlanChannel Integration (Cont.)

Integrate All Marketing Communications

BUY-CYCLE

EVENTS & PR

INTERACTIVE

MEDIA PLAN

EMAIL /SALES BLASTS

Influences CRM Content / Messaging / Timing

Mitsubishi CRM Plan







Measurement and Reporting

CRM II and e.piphany make it possible

Measurement Reporting, Analyticsand Decision Support

Measure and analyze #’s, percent and ROI for following:

LeadGeneration

(“HandRaisers”)

DealerVisits

SalesConversion

Predisposition to repeat purchase Repurchase Win-Back Win-Back

You are logged in as: CMarshallCRM II Buy Cycle DashboardCRM II Buy Cycle Dashboard

Click on a buy cycle phase to drill-down

Year-to-date stats as of: 9/15/05

eLeads2432 7%

Hand-Raisers469 2%

Conversion Rate469 2%

Mitsubishi CRM Plan







Customer Call CenterCRM Integration

• Met with Call Center Managers

• Develop specific scripts and IVR recordings– Owner/non-owner– Model-focused– Sales/service (needs TBD)

• Implement training

• Establish outbound calling protocols– For CRM Buy-cycle communications

• Engineer two-way data feeds

• Establish bi-weekly CRM meetings

Action Plan

Dealer Engagement

• Solicit feedback from key Dealers and Dealer Council

• Simplify processes for in-Dealer customer data collection

• Continue “back-up” systems for customer data collection

• Develop Dealer (optional) CRM communications / templates

The End-Game

Build 3-Way Relationship

CRM Program

Customers

DealersMitsubishi

With CRM Program as “engine”

Communication

Communicatio

n Communication

Mitsubishi CRM PlanNext Steps

Planning, presentationand concept approval

Budget approval

Review with other stakeholderse.g., Dealer Council, Service Marketing

Full developmentOverlay all calendarsSpecific communicationsContent/messagingDB / e.piphany prepData feedsProject schedules

Creative Development

Production

Launch

StepJune - August

August

August

August - September

October / November

December / January

January

Timing

Other Opportunities We See

• Plan new model launch campaigns minimum 6 months out

– Build excitement and interest

– Pre-empt competitive shopping

– Allow pre-orders (customized)

• Develop brand-consistent Dealer CRM communications

– Template materials (allow for dealer customization)

– Streamlined ordering and production process

– Online ordering, customization and confirmation

– Centralized production (“batched” for cost-savings)

• Streamline Dealer Contact communications / system

– Electronic vs. paper (provide choice)

– Online access

– Plan early

Mitsubishi CRM Program

Thank You

mitsubishi

Documents

owners owners

customer satisfaction

mitsubishi owners

customer targeting

honeymoon customer journey

buycycle phase objectives

new car customer journey

months owners dealers