Deconstructing e-commerce and O2O: Operational CRM of marketing channels

CRM is divided into sales CRM and user operation CRM from the user's perspective. This article focuses on the user operation CRM that is more commonly used on e-commerce platforms.

CRM stands for Customer Relationsh ip Management (hereinafter referred to as CRM), which means customer relationship management. If you search on Baidu, you can see its definition as companies using CRM technology to manage relationships with customers. Its goal is to shorten sales cycles and sales costs, increase revenue, and find new markets and channels needed to expand the business by improving customer value, satisfaction, profitability, and loyalty.

Although CRM studies user behavior , it is divided into sales CRM and user operation CRM from the user's perspective. Sales CRM is mainly for the management of sales personnel who conduct daily offline cold calls and door-to-door sales, while user operation CRM refers to the tools that operators use to maintain and promote relationships with online users.

The following article focuses on the user-operated CRM that is more commonly used on e-commerce platforms.

User CRM is a powerful tool for deeply exploring customer value, with the aim of strengthening stickiness with users and guiding consumption. Simply put, it is to guide or resolve the resistance users encounter in their consumption decisions, that is, to grasp users’ consumption psychology. Before we talk about the CRM framework, let us first understand what user consumption behavior is about and look at how CRM should be designed from another perspective.

In the previous stage of explaining promotions, we mentioned how the user's consumption decision-making psychological process works. In the actual process, the factors that affect decision-making are much more complicated.

The user's consumption behavior decision-making includes three parts, which constitute the basic framework of the user's consumption behavior decision-making:

1. User group characteristics: refers to the basic characteristic attributes of a small user group; it represents the variables and constants of the user group and determines the accuracy of subsequent user behavior analysis .
2. Consumer behavior motivation: refers to the reasons why consumers have purchasing needs. Motivation can be divided into several dimensions according to different dimensions, and the expression of motivation is different under different consumer behavior models. However, the ultimate motivation for analysis is to better understand what users are thinking.
3. Consumer behavior tracking: We cannot view consumer behavior as a single action. In order to sustain and maximize the benefits of the product, we need users to engage in long-term consumption behavior. Therefore, all activities, evaluations, perceptions, etc. before and after each consumption behavior are collected and analyzed to the greatest extent possible to understand the user's characteristics and motivations.

The three parts of the framework are applied as the basis in each model. Although they are called differently in each model, their essence is the same, and CRM also operates in accordance with this basic framework rule.

Consumer behavior is currently a very mature discipline, and after many years of evolution, it has formed many model methodologies. In actual operation and use, each model actually has its own unique features. Here we introduce several models that I think are more commonly used.

1. Consumer Behavior Model

In the early days of studying consumer behavior, people believed that users' attitudes and habits toward products determined the patterns of consumer behavior. The behavioral research model of attitudes and habits is called the U&A model. The more common model of the U&A model is the Fishbcin Model, which was proposed by Fishbcin in 1963. It believes that the attitude towards an object or behavior is composed of the following two elements:

1. One is the consumer’s attitude toward purchasing this product, that is, self-perception;
2. The second is the attitude that consumers believe other people may have towards this product, that is, the herd mentality.

Simply put, the Fischbein model believes that the motivation for user purchasing behavior comes from the user's emotions toward the product, including personal emotions toward the product and the influence of other people on the user himself; for example, when Steve Jobs was alive, the iPhone was synonymous with high-end mobile phones because most consumers were guided by the high-end and smart image established by the iPhone during its brand and marketing promotion .

As a result, users prefer iPhones when purchasing in order to achieve the concept of personal high-quality life, while ignoring the high unit price of iPhones. Therefore, consumption caused by a single factor of emotional motivation is mostly impulse consumption, with a relatively low motivation satisfaction rate but a high order success rate.

After quantification, the Fisher-Bin model has three factors: attributes, beliefs, and weights.

The formula is: AO=BiEi.

Where Bi represents the strength of consumers’ belief in the i-th attribute of the brand, Ei represents consumers’ preference for attribute i; n represents n attributes, and i is the i-th attribute. AO is the user's overall cognitive attitude towards the current product.

The U&A model is widely used in various scenarios with high brand sensitivity to analyze users' consumption behavior characteristics; the core logic of this model is to judge and analyze motivations through attitudes towards products for marketing operations , but the concept of attitude is too vague and cannot effectively decompose and quantify the real driving forces of user motivation.

In 1991, Sheth, Newman and Gross proposed a theory that judges users' consumption motivation based on the value brought to users and influences their decisions. This theory breaks down the motivation factors into better quantifiable dimensions, solving the quantification problem to a certain extent. This model is called the Sheth-Newman-Gross consumption value model.

The consumer value model proposes that the fundamental core of user decision-making comes from the five core consumer values ​​that products can provide to users: functional value, social value, emotional value, cognitive value, and conditional value.

1. Functional value: Functional value emphasizes the physical or functional value of the product itself; when a product or brand has certain functional attributes and can meet the functional purposes of consumers using the product, then the product has functional value.
2. Social value: A product has social value when it provides utility by connecting consumers to other social groups. Under the influence of social values, consumers do not rationally choose products based on their true characteristics and functions, but rather on whether the products can enhance their social status, shape their social image, or satisfy their inner self-desires. Research topics related to social values ​​in the field of consumer behavior include social class, symbolic values, and reference groups.
3. Emotional value: Consumers' choices may depend on their desire to express emotions. The value consumers gain comes from the feelings or feelings of love caused by the chosen product, which has emotional value.
4. Cognitive value: If consumer choice depends on whether the product satisfies curiosity, freshness and the pursuit of new knowledge, then the product has cognitive value.
5. Conditional value: The choice consumers make when faced with a specific situation; refers to situations in which a product can temporarily provide greater functional or social value. Products that generate conditional value are usually connected to the consumer's previous state. These products change consumers’ original behaviors because of the external utilities they generate due to conditions. The conditional value is basically not long-term but short-lived.

Does the above division seem familiar to you?

Yes, the consumer value model is consistent with Maslow's need theory to some extent.

For users, the functional value of a product solves the most basic "urgent needs", namely physiological needs. For example, clothes solve the problem of keeping warm, and food solves the problem of hunger. Curiosity and perception of the unknown about things are intended to resolve people's insecurity, and acquiring more new knowledge can meet security demands.

The projection of emotional appeals requires that the product can provide users with catharsis or resonance in this regard. The demands of oneself and others are reflected in the social attribute value provided by the product, projecting self-satisfaction and social satisfaction to users. Finally, since some special demand scenarios may arise under different conditions, products that meet users' needs under specific conditions have special conditional value, such as the price increase function of taxi products.

Therefore, the consumer value model divides motivation factors and uses the demands in different situations at each stage as a quantitative standard to analyze the reasons for user decisions. Since the characteristic attributes of user groups are also diverse, the multi-dimensional motivations of different groups form a Cartesian product matrix, which is the preliminary constructed user portrait .

User portraits can outline a virtual user image, through which we can understand how to guide and successfully implement our marketing plans. All analysis bases and sources when designing CRM are also based on the construction of user portraits.

Among the three elements of the consumer behavior framework, user group characteristics are the basic information items. The richer the enumeration of group characteristics, the more complete the user portrait will be. Motivation analysis is to clearly guide the "landing point" of user marketing, thereby facilitating the formulation of implementation plans for marketing plans.

But consumption behavior is not a single behavior, it is composed of a series of behaviors. While paying attention to group characteristics and behavioral motivations, it is also necessary to track the user's consumption behavior throughout the entire process.

Now that the Internet has entered the era of mobile Internet , user consumer contact point management (CGM, full name Contact Point Management) has become the key to mastering and guiding consumer traffic. Single hard advertising and one-way training can no longer convince users to make ordering decisions. Every fragmented time of browsing, searching, and consuming information may result in another complete consumption.

Mobile Internet has amplified the motivation factors for differentiated demands, and has also amplified people’s channels for obtaining product information, namely, consumer touch points. More and more ways of contact, such as new media , self-media and other channels, cause users to generate a large number of conditional value motivation factors when making purchases, which means that the purchasing demands in segmented scenarios will become more and more abundant. At this time, it is necessary to track the user's consumption behavior to ensure that marketing guidance is inserted at the right time.

We divide the psychological development of consumers in the CGM environment into six stages: Attention, Interest, Desire, Experience, Enthusiasm, and Share. The combination of the first letters of the English names of each stage is AI DEES.

AIDEES was proposed by Hidetaka Katahira of Japan. The AIDEES model emphasizes the dynamic transformation of information during the circulation process. The user's attention to the circulation process of each product can become the source of conversion for another product. This model is particularly suitable for the communication path in the current mobile Internet era, which is the concept of social e-commerce that is now popular.

In social e-commerce, users’ contact points are no longer of a single dimension; more communication comes from the user group itself.

Combining the characteristics of the group to analyze and provide attention to attract users is a focus that marketing plans and marketing channels need to pay attention to. CRM design also needs to consider the contact points that users need to enter at different stages and how to trigger users' dissemination and sharing based on group characteristics.

Having talked so much about consumer behavior models, let’s now look at how CRM should be operated and designed based on consumer behavior and user conditions.

2. CRM Product Framework

According to the three elements of consumer behavior, CRM needs to build a sedimentation of user group characteristics, analyze the motivations of user behavior and provide various marketing methods and plans. It also needs to be able to provide multiple channels to reach users and supplement user characteristics and evaluate results based on user feedback in various channels.

The core purpose of CRM is to solve the problem of marketing operations personnel analyzing and judging users' consumption behaviors online and then conducting marketing interaction, promotion and communication with users. We also use the 5W2H method to break down the elements of the business processes involved in CRM.

• WHAT: What to use for marketing, that is, the marketing carrier or resources. When conducting promotion, operators need to use certain resources to interact with users. These resources include but are not limited to red envelopes, promotional activities, content push, etc.
• WHY: Why do marketing? That is, clarify the marketing goals, such as attracting new customers , promoting activation, and repeat purchases, etc.
• WHO: Marketing population . The target population needs to be determined as a certain range of users or all users. For example, when attracting new customers, the main target is new customers, while for repeat purchases, the main target is old customers.
• WHEN: The timing of marketing. For example, if you use red envelopes for marketing, you need to determine the time when the red envelopes are distributed, which is usually before the peak consumption time of users.
• WHERE: The location or scenario in which the marketing is carried out. The effects and means of marketing in different scenarios are also different. For example, the pre-consumption and post-consumption marketing plans will not be the same.
• HOW: How to formulate and implement marketing strategies. Marketing strategies actually include the above-mentioned elements, target groups, timing, product carriers and scenarios. These behaviors together constitute the final marketing gameplay. The gameplay rules in different scenarios are also different. The specific rules can be formulated in accordance with some of the consumer behavior models we mentioned above.
• HOW MUCH: Input-output ratio. Marketing behavior itself is a high-expenditure behavior. If there is no monitoring and analysis of the input-output ratio, the situation will get out of control. Therefore, marketing ROI needs to be managed and analyzed.

After the split, we can see that operators need several pieces of information to carry out marketing activities. Including marketing resources (WHAT), user information (WHO), marketing rules (HOW), contact channels (WHEN, WHERE), and data monitoring and analysis (HOWMUCH). The system or operation specialists will gradually complete the settings of each part in the order of marketing behaviors and finally complete the delivery of the plan. Based on this, we will build the CRM product framework.

First of all, the user's information data needs to be processed and managed.

CRM pulls and saves user data from various related business systems, and the system performs preliminary processing and marking of user data based on some basic rules (such as new and old customers, members and non-members, etc.). Operations specialists can classify and sign user data (including but not limited to consumption data, basic data, etc.) according to actual business needs. The processed user data supports perspective presentation of user groups.

After determining the user population, the next step is to clarify which resources are needed for marketing and we need to manage the resources. The distribution of marketing resources mostly comes from external systems, such as the distribution of red envelopes comes from the coupon system, and the push of promotional activities comes from the promotion system, but the authority to apply for resources can be done through CRM.

Marketing resources are generally integrated into the modules of marketing gameplay. The scenario rules of the gameplay determine the combination of information such as the timing, target groups, and delivery resources of the campaign. Marketing methods are divided into three types according to the scenarios: member incentive type, targeted delivery type and special delivery type.

Member incentives mainly involve distributing some benefits to members of the platform, such as member-exclusive red envelopes, point rewards, birthday care, etc., in order to promote members' consumption by improving their interests. Of course, if there are other merchants on the platform, CRM can also provide management methods for the merchants’ own members.

Targeted delivery in CRM is the most important marketing method. Targeted delivery refers to targeting special user groups within a certain range (such as high-priced customer groups, new customer groups, young female groups, etc.) and delivering marketing to them at fixed points and times. The most common targeted delivery method on e-commerce platforms and even O2O is the distribution of red envelopes.

Many unexpected ways of playing can be combined according to different times, different pages, and different trigger mechanisms. For example, the most common ones are sharing red envelopes, sharing bargaining games , and red envelopes that randomly drop when users log in. In addition to delivering red envelopes, other content can also be delivered in a targeted manner, such as push, messages, text messages, etc.

The core of this gameplay lies in targeted targeting, which is what we often call precision marketing. Since the characteristics of the population are relatively more specific, we can also be clearer when judging the consumption motivations of the target population, so the conversion rate after the launch will be relatively higher.

Membership and targeting are the two main marketing methods often used by operators. In addition, there are many special gameplay methods. For example, gifts for recommendations can effectively attract new customers, and gifts for first orders can encourage new customers to repurchase.

It should be noted that we often see some customized games or H5 pages during some big promotional festivals, such as a ten-year bill. This type of marketing promotion is mostly customized, but is generally not managed uniformly in the CRM. Instead, it is connected to the promotion or coupon system to directly distribute relevant benefits.

After setting up the gameplay, we need to launch the distribution channel. The management of distribution channels is also very important. When delivering the content, adjustments need to be made based on actual conditions, and the system also needs to set rules to prevent harassment to users. Delivery channels are divided into on-site delivery, off-site delivery, and cross-industry cooperation. Each time a user triggers a delivery, it is necessary to record the channel selected by the user to facilitate later data analysis and optimization.

Speaking of data analysis, we also need to build a data monitoring and analysis module in CRM. This module mainly provides business strategy support for our marketing efforts. Including data recommendations, real-time monitoring of delivery, and analysis of various basic indicators.

We can see that CRM includes many modules, and each module plays its own role in the entire chain. All CRM processes and strategies are based on marketing indicators, and each module focuses on different indicators. Let's take a look at the core functional points in each module.

3. User Lifecycle

The user module is mainly used to classify and manage user data and complete the definition of user groups. The definition of groups is mostly obtained by screening different feature combinations. The defined user groups will not be used for data analysis and targeted delivery.

The division of user groups can be handled by the system according to established rules, or it can be manually configured and signed through the CRM background.

Usually, the division of user groups follows the definition of marketing indicators. If we break down the indicators, we can see that they mainly revolve around four dimensions: amount, time, frequency and average order value. Of course, there will be some other dimensions in CRM to supplement and enrich user characteristics, such as age, region, occupation and gender, whether to collect, whether to add to the shopping cart, whether to enter the store, etc.

According to this standard, we take the most common user groups in e-commerce marketing as an example to see the situation after breaking down the four main characteristics. When defining some user groups, it is not necessary to consider all four dimensions.

In the above examples, we can see that the most commonly used dimension is consumption time, and almost all user group definitions include consumption time. If we establish a coordinate system, with consumption time as the horizontal axis and other relationships between users and the platform as the vertical axis, then the time period for changes in the user's relationship with the platform is also the period for users to bring value to the platform. This is what we often call user life cycle management.

As users’ relationship with the platform becomes increasingly close, their contributions to the platform will also increase. Therefore, we can divide users into several life cycles according to time and relationship. Since the relationship degree is a complex set of features, in order to make it easier for us to make more accurate judgments on the motivations of segmented groups of people, we can expand the set of relationship degrees in two dimensions.

We use information about the user's own characteristics as one dimension, and purchase-related characteristics such as frequency and average order value as another dimension, so that we can have a life cycle for each segmented group.

For example, we know that the overall user life cycle nodes can be divided into multiple dimensions according to population characteristics, such as the life cycle of high-quality young people (under 25 years old, with a bachelor's degree or above), the life cycle of middle-aged people in first-tier cities (30-45 years old, in Beijing, Shanghai, Guangzhou and Shenzhen), and so on.

The purpose of formulating a user life cycle is to determine the user's motivations and provide marketing promotion methods with higher conversion rates. Our strategies will vary depending on the cycle the user is in.

Potential customers: refers to users who have visited but did not make a purchase or are visiting for the first time. We guide users to our platform through various external channels, and we need to use means to guide users to carry out marketing conversions, which is the general sense of acquisition. The most important purpose of attracting new customers is to enable visiting users to quickly complete their first order, so at this point of the first order we need to set up some separate strategies to improve conversions.

New customer period: users within a certain period starting from the first order as agreed by the platform. For example, users who complete their first order within 30 days are usually defined as new customers and handled according to the new customer strategy. Some platforms also define users who place their first order as new customers. New customers are fluctuating nodes with low dependence on the platform and can easily be directly converted into a loss state.

How to gradually convert new customers into active users is also a strategy that needs to be considered, which is what we generally call activation.

Activation promotion is not only used in the new customer period. Some activation promotion strategies can also be specified in other nodes such as the decline period and mature period. However, the intensity of activation will be smaller for users in other periods than for users in the new customer period and the decline period. Of course, there are many definitions of new customers, such as first visit or first order, etc. This article takes the first order as the node.

Rising stage and mature stage: These two stages represent that the relationship between users and the platform continues to heat up and then gradually reaches a stable state, and they are active users of the platform. The standard is mainly that the purchase frequency remains stable within a certain period of time, such as the order frequency is greater than 5 times within 30 days.

Users at this stage have a certain degree of dependence on the platform, and we can try to push some new products or high-profit product promotion information based on user habits to further increase the user's average order value.

Another benefit of mature users is that they can provide a communication channel for the platform. Every mature user is willing to share the platform with other users in exchange for some benefits. This is what we call referral. The dissemination is not limited to mature customers. Other customers will also share and spread the word, but the mature customers may be relatively more willing.

Decline period: refers to the gradual decrease in purchase frequency within the cycle, indicating that users' dependence on the platform begins to decrease. In addition to conducting basic user follow-up surveys, we can also promote activation through the issuance of certain benefits. The definition of the decline period can be determined based on the actual business situation. The shorter the agreed period, the more likely it is that the user will enter the decline period.

The characteristic of the decline stage is that users will gradually reduce their use of the platform. In order to retain users, we need to strengthen user retention . Improving the retention rate will help users continue to experience the platform's services and form a habit.

Silent period and churn: Users who enter the silent period will no longer place orders or visit. The silent period generally refers to users who have not placed an order in the recent period, such as no order in the past 30 days. It is necessary to make great efforts to improve user retention for users in the silent period. We generally call improving retention at this stage "recalling silent users."

Users who cannot be recalled by various means will gradually become lost users over time. For us, we treat lost users as new users and assume that they have no knowledge of the platform.

During the entire user life cycle, we will use a variety of marketing methods to promote to users, with the aim of increasing user consumption. Every marketing campaign incurs costs, corresponding to which is the value and revenue brought by this marketing campaign. This revenue is an effective basis for us to evaluate whether a marketing plan is reasonable.

We combine some of the techniques used in the above links to form the AARRR model of user life cycle management, namely acquisition, activation, referral, retention and revenue.

Users at each stage can use the above methods for marketing. The definition of the life cycle can effectively help us determine the characteristics of users from two dimensions (basic attribute characteristics and value conversion characteristics) so as to achieve targeted precision marketing in marketing strategies.

4. Fixed investment method

After determining the user's characteristic attributes, we need to use marketing methods to formulate strategies. The main marketing method of CRM is fixed investment, including the distribution of members' rights and interests, which is actually a special kind of fixed investment. Members are the user group of fixed investment. The basic principle when formulating a fixed investment plan is to select rights, activities or subsidies based on the characteristics of the user group.

Each fixed investment needs to have a clear purpose, so that the effect can be monitored according to specific target indicators later. The fixed investment method includes several parts from the perspective of product structure:

• Fixed investment scope: group scope, fixed investment time, fixed investment area, etc.
• Fixed investment strategy: fixed investment resource usage rules, user anti-harassment rules, trigger mechanism, etc.
• Fixed investment resources: fixed investment channel resources , fixed investment marketing resources

The scope and resources in the fixed investment method are relatively easy to understand. We need to first define the population scope and scenario scope (time and location) of this marketing. Generally, this is done by selecting user groups that have been marked. The time point can be configured manually, and the location mostly refers to the city and regional dimensions.

Resources are the content that needs to be consumed in this marketing campaign. The most common ones are red envelopes, coupons, and promotion notifications. Different marketing methods also have certain requirements for channels. Most marketing resources and channels have a default correspondence.

In addition to scope and resources, the core of fixed investment is strategy formulation. How to maximize the marketing effect determines whether your investment form can trigger users' purchasing motivation. For fixed investment, the triggering mechanism and method must be determined first. For this part, CRM needs to be connected with the front-end channels to improve the entire delivery process.

The agreed trigger mechanism is used to trigger users to obtain marketing resources to complete the delivery, but how the specific resources should be allocated and applied for requires a complete set of strategies to execute.

At the same time, it is not enough to just complete the delivery when making a successful investment. You also need to consider the two dimensions of marketing efficiency and user experience . The processing flow of fixed investment is as follows:

The trigger mechanism refers to the process and interface through which users can trigger CRM marketing behavior. Push and SMS are one-way push messages that are mostly used for notification information, generally to notify users of activity information or to inform users after rights and interests are distributed to promote usage.

Third-party channels refer to channels like WeChat and Weibo, which can improve the dissemination of marketing through sharing and forwarding. Such trigger mechanisms are mostly used for sharing H5 pages. The purchasing process is the most core process of the e-commerce platform, and it carries the most marketing methods.

Starting from the first login, the judgment of new customers and first orders will be triggered. Red envelopes can also be distributed on the homepage visited (red envelopes that fall from the sky refer to red envelopes of a certain amount randomly distributed based on the customer's situation). After the order is placed, the user can be prompted to participate in a lottery or directly receive points, red envelopes and other benefits. You can share and spread your order records and comments, and receive red envelopes from other industries.

All CRM marketing triggered by users will eventually take effect after being configured through the CRM system. The configuration rules mainly include resource configuration, condition configuration, and time configuration. Resource allocation is to determine the denomination of resources used in the current gameplay, such as red envelopes and points, given to users according to the rules.

Red envelope coupons require setting two parts: the threshold amount (if any) and the discount amount.

Restrictions include restrictions on usage and restrictions on collection. Usage restrictions refer to the conditions that users need to meet when using the product, including but not limited to amount threshold (XX yuan or more), category threshold (limited to a certain category), single product threshold (limited to a certain product), store threshold (limited to a certain store), and city threshold (limited to a certain city, generally more common in O2O).

The collection limit refers to the amount each user can collect during the event, including the number of collections per person per day and the number of collections per person during the event. The validity period mainly refers to the validity period of the coupon red envelope, which includes the validity period for receipt and the validity period for use. The validity period for collection is a static time interval, while the validity period for use can be a dynamic interval, that is, it can be used within a few days after collection.

These three dimensions constitute a complete strategy. When CRM fixed investment is required, the operation specialist will configure it in the CRM based on the above information. After the configuration is completed, you can wait for the launch to be triggered. It should be noted that under the same business model, only one policy can be set for the same user group at the same time.

Finally, the user experience needs to be checked before actual launch, which is the anti-harassment mechanism we mentioned in the picture above. Since many coupons are automatically issued to users' accounts through CRM channels, we have developed an anti-harassment mechanism to avoid harassment caused by multiple marketing strategies being issued to one user. At the same time, excessive issuance will also cause low coupon redemption and waste of resources.

Coupons collected by users themselves are not taken into account by this mechanism. The general principle of the anti-harassment mechanism is that the number of valid coupons received but not consumed through CRM cannot exceed a certain limit, and the same type of coupons can only be issued once per unit time.

CRM delivery will eventually complete the entire delivery process through channels, and the channels are generally the same as the trigger nodes. Each channel needs to record and define its own channel code, and then save all relevant data when users collect, use, or expire the code, so as to facilitate the use in the effectiveness evaluation of CRM marketing.

Here we will talk separately about cross-industry cooperation, which is what we often call sharing red envelopes. While receiving coupons on this platform, sharing red envelopes can also support receiving red envelopes or coupons from previous partners. Partners’ coupons are generated and loaded in real time through the other party’s platform.

Taking into account that red envelopes will be shared and claimed repeatedly, in order to put more resources on users with less activity, the amount received by users who claim shared red envelopes multiple times will generally be reduced proportionally each time, and will be set to a fixed value at most for the third time.

5. CRM Marketing Indicators

All marketing efforts will ultimately need to be measured through changes in indicators to determine effectiveness and output. Similarly, changes in data will also be used to determine whether decision-making analysis activities need to be adjusted. Let’s take a look at the main core indicators that CRM marketing focuses on.

• Subsidy amount: that is, the cost of delivery, which is divided into merchant subsidies and platform subsidies. Some activities can also be regarded as discounts.
• Sales Amount: The sum of sales amounts of orders placed using marketing campaign resources.
• Redemption rate: the proportion of coupons, points and other resources used in marketing activities that are used after they are launched. A low write-off rate means that the current marketing activities are of too low value to users.
• Average order value: the average price per order for a single user. Generally, we look at whether there is an improvement before and after the marketing activities.
• Order conversion rate: the ratio of the number of people placing orders to the total number of visitors. Generally, we look at whether there is an improvement before and after the marketing activities.
• Number of new customers: the number of orders/visits brought by the marketing activities implemented.
• New customer conversion rate: the percentage of visitors who place orders as a result of the marketing activities implemented.
• Silent user recall rate: the ratio of silent users who repurchase after the campaign to the total number of silent users.
• Reach rate: The ratio of the number of users who visit after receiving the notification to the total number of people who received the notification.

Summarize

Marketing methods are ever-changing, but the principles always remain the same. Mastering the core skills can extend various gameplay. CRM, as a marketing tool, provides a quick reach channel. A powerful CRM can provide sufficient vitality for the platform.

Source: Miscellaneous Talks