Midterm 2 notes
CRM so effective?
CRM allows firms to talk to individual customers and adjust elements of marketing program based on how customers react
Sources of Big Data
Comes from different sources, sources are within and outside organization and create and compile different groups
Country of Origin
Many people buy products that are from a certain country
Comparison-Shopping agents(shopbots)
Web applications that help online shoppers find what they are looking for at lowest price
Corporate IT sources
Sources of data within organization may include CRM databases, web analytic databases, enterprise resource planning databases and accounting-related database
Anticipatory shipping
data-driven systems of delivering products to customers before they place an order, utilizing predictive analytics to determine what customers want, and shipping products automatically
Structured Data
datasets are numerical or categorical. organized and formatted so computer can read, organiz, and understood
Habitual decision
decisions made with little or no conscious effort
Hyperchoice
describes conditions where consumers have too many choices, leading them to make poorer decisions and experience greater frustration
Big Data
describes exponential growth of data, in massive amounts that are hard or impossible to process using traditional database techniques
Rich media
digital advertising term for ad that includes advanced features like video, audio elements, encourages viewers to interact and engage with content
Lead
individual or firm with potential interest in buying something you sell.
Direct Mail Campaign
intends to generate sale of product or service that can use similar tactics by creating unique promotional code to measure effectiveness of campaign
motivation
internal state that drives us to satisfy needs. State of tension exists that drive consumer toward some goal that reduces tension by eliminating need
Emotional Analysis
looks at content of social media communication within contexts of special brand or product and determine what emotional category communicationfits with
AI
machines able to carry out tasks in ways humans would consider smart
Marketing Automation
maintain and utilize all data that can be collected from customers through potential touchpoints
Information Overload
marketer has so much data they cant figure out what info is useful
attention is critical for advertising effectiveness
marketers continue to look for ways to ensure consumers attend to their messages
Information overload
marketers have so much data they can not figure out what info is useful
Martech
marketing technology. used to denote fusion of marketing and technology
Limited problem solving
means we do some work to make decision but not a great deal
Marketing metrics
measures that help marketers look at marketing campaigns, initiatives, channels, serve as control mechanism
A/B test
method to test effectiveness of altering one characteristic of marketing asset. test conducted through exposing users to original version, and other users to altered version
Click-through Rate(CTR)
metric that indicates percentage of website users that click on advertisement to visit website or webpage associated with it
operant conditioning
occurs when people learn their actions result in rewards or punishments
gamification
strategy where marketers apply game design techniques like awarding points, badges, levels, nongame experience to engage consumers
Cyber security
strong commitment of firms to protect digital data, such as electronic database from destructive forces and from unwanted users or actions
Deep Learning
subset of machine learning that allows machines to solve complex problems when using dataset that is very diverse, unstructured, interconnected
Internet of Things(IOT)
system where everyday objects are connected to internet and are able to communicate info through interconnected system
Search Engine Optimization(SEO)
systematic process ensures firm comes up at or near top of lists of search phrases related to business
customer relationship management(CRM)
systematic tracking of customer preferences and behaviors over time. Used to tailor value proposition closely as possible to individual unique wants and needs
Exposure
the extent to which a person's sensory receptors are capable of registering a stimulus
CRM Metrics and KPIs
three main categories; User adoption metrics, customer perception metrics, business performance metrics
C-Suite
top executive of firms so-named as they are composed of all chief officer roles(CEO,COO,CFO,CIO,CMO)
Market basket analysis
type of analysis develops focused promotional strategies based on records of which customers have bought products
Blockchain
type of database that exists on multiple customers, contains blocks of data that are linked together as chains of immutable data
Web Scraping
uses computer software to extract large amounts of data from websites
predictive analytics
uses large quantities of data within variables that have identified relationships to more accurately predict specific future outcomes
Data scientist
uses skills in math, CS, and trend analysis to find multiple, disparate data sources to find hidden insights that provide competitive advantage
Involvement
we perceive the consequences of the purchase
ZMOT
zero moment of truth
Consumer decision process
1.Problem Recognition 2. Information Search 3. Evaluation of Alternatives 4. Product choice 5. Post purchase evaluation
Chatbots
Computer programs that allow consumers to talk with computer using AI. uses natural language of processing and artificial intelligence to understand what a customer or client needs
Step 5: Post Purchase Evaluation
Consumer evaluates just how good of a choice he or she made
Cost-per-impression
Cost of advertisement is charged each time advertisement shows up on page user views
Step 2: Information Research
Customers check their memory and surveys the environment to identify what options might solve the problem
Step 4: Product Choice
Deciding on one product and acting on this choice is the next step in the decision-making process.
Augmented Intelligence
Goal of AI is creating systems that operate without humans, augmented intelligence seeks to create systems that make humans better, smarter, happier by being efficient with atomization
Government and nongovermental sources
Government provide many types of data from U.S. Census results
One-to-one marketing
Identify customers and get to know them in as much detail as possible Differentiate among these customers in terms of both their needs and their value to the company Interact with customers and find ways to improve cost efficiency and the effectiveness of the interaction Customize some aspect of goods or services offered to each customer
Chief customer officer(CCO)
Popular C-suite role, CCO used as firms leading force of all things customer related
Key performance indicators
The quantifiable metrics a company uses to evaluate progress toward critical success factors
Evoked set
all of the alternative brands a consumer is aware of when making a decision
Consideration set
alternative brands a consumer considers when making a decision
Machine learning
application of AI based on idea machines can and should have access to data and engage in learning themselves
Behavioural learning theories
assume learning occurs as a result of experiences and connections were formed between events
Lead nurturing
automated process of sending personalized and relevant content to prospect to build trust, making it more likely for them to make a purchase
Hierarchy of needs
categorizes motives according to five levels of importance. More basic physical needs being on bottom of hierarchy and higher spiritual and psychological needs at top
learning
change in behavior caused info or experience.
Commercial Entity Sources
collect data in large quantities to sell to organizations that derive value from them
Customer perception metrics
concerned with extent to which customer experiences are enhanced as a result of CRM
Step 3: Evaluation of Alternatives
consumer with info finds number of products they are interested in, then they focus on determinant attributes(features most important to differentiate and compare among the product choices) Use Evaluative criteria: dimension consumers use to compare competing product alternatives
unstructured data
contains nonnumeric information that is formatted only for human eyes and not easily understood by computers
Cost-per-click(CPC)
cost of advertisement is charged each time individual clicks the advertisement and is directed to web page market placed within advertisement
attention
extent to what we devote mental processing to particular stimulus
Deepfake
fake video of people saying stuff they didn't
Customer retention
firms find big-spending customers, and target them with special offers and reward them for loyalty and increase likelihood of retention
Customer acquisition
firms include demographic and other information about customers in their database
Partner database sources
firms use channel partner mode. Two way exchange of info between purchasing organization and vendor through shared or integrated IT systems
Customer abandonment
firms want customers to take business elsewhere as servicing them costs firm too much
User adoption metrics
focus on extent to which employees are using CRM system as intended, include various IT metrics, and number of logins and data completeness
SMART goals
goals that meet criteria of being specific, measurable, achievable, relevant, timely.
Marketing Analytics
group of technologies and processes that enable marketers to collect, measure, analyze, and assess effectiveness of marketing efforts
Subliminal advertising
hidden messages in marketers' communications
Social media source
increasing social media sites have consumers interacting with each other, brands, entities. Wealth of information is produced about how people feel about products and other stuff in their lives
Brand loyalty
occurs when someone buys the same brand over and over form preferences for favorite brand and never change their minds in course of a lifetime, makes it so people never change their minds in their lifetime, and make it difficult for rivals to persuade them to switch
Multitasking
occurs when we fit back and forth between different things
Step 1: Problem recognition
occurs whenever consumer sees significant difference between his or her current state of affair as and some desired or ideal state
classical conditioning
perceives two stimuli at same time. Person transfers their response from one stimulus at to the other
Internal influences
perception, motivation, learning, attitudes, personality, age groups, life style
Factors that influence consumers' likelihood of devoting processing activity to a stimulus
personal needs and goals, size, novelty
Touchpoint
point of interface between customers and company
Crystal ball scenario
predictive analytics can increasingly provide significant value to marketers
Perceived risk
present if product is expensive, or complex and hard to understand. Plays role when we think a bad choice will result in embarrassment or social rejection
Consumer behavior
process individuals or groups go through to select, purchase, use, dispose of goods, services, ideas, experiences to satisfy needs and desires
interpretation
process of assigning meaning to stimulus based upon prior associations we have with it and assumptions we make about it
Sentiment Analysis
process of identifying followers attitudes toward a product or brand through assessing contact or emotion of comments they post
Data Mining
process where analysts sift through Big Data they to find unique patterns for behavior among different customer groups
Perception
process where people select, organize, and interpret information from outside world. receive information in form of sensations.
Heuristics
provide consumers with shortcuts that simplify decision-making process
Business Performance metrics
receives the most attention because they assess outcomes related to profitability of company
Consumer satisfaction/dissatisfaction
refers to overall feelings, attitude, person has about a product after he or she purchases
Buyers remorse
reject product alternatives with attractive features, as we second-guess decision
AI
simplest terms is intelligence demonstrated by machines rather than natural intelligence of humans. allows computers to perform tasks like visual perception, speech recognition, decision making, language translation
URL could link to landing page
single page on website built for particular marketing opportunities.
external influences
situational influences(physical environment, time) Social influences(culture, subculture, social class, group memberships, opinion leaders, gender roles
Food Porn
social media posts featuring consumers' photos of their meals
Digital marketing channels
specific means of distribution that digital marketing communication can be delivered to current and potential customers
Data warehouse
store and process data, can be controversial