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Customer Centric Transformation – Making B2B Marketing Personal

Published 12 April 2007, 02:37 AM


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Josh Hallett


I was a keynote speaker at the Forrester Marketing Forum today in Miami on driving customer centricity in a B2B environment. It was great fun and I had great questions from the audience. I thought I would highlight some of the key themes I addressed. Let me know what you think.

Introduction

Many B2B companies and marketing teams have forgotten that it’s all about the customer. How we deliver valuable customer experiences through our operations at every customer touchpoint and how we build relationships with our customers is what sets us apart from the competition.

HP has millions of customers who depend on us. We currently sell 3 printers per second, 2 PCs per second, a server every 11 seconds and HP fields 25 support calls per second. These customers are our source of growth - as they increase their share of wallet with HP and as they refer HP to their colleagues, peers, friends and family.

If marketing is not creating a better experience for customers and creating a connection to the brand to help grow the business, then it is merely creative spending. Marketing must take on the role of being the Voice of the Customer internally, drive the customer centricity transformation and help design the end to end experience.

HP’s customer centric transformation

Let me share with you the customer centric transformation we have gone through at HP since 2003.

We started our journey by developing a systematic and holistic approach to driving growth through customer loyalty - the Business Performance Chain. We have adopted this framework to understand the relationships between employee engagement, operational excellence, customer experiences and loyalty and growth. The Business Performance Chain has been an important component of our “management of change” effort – 1) it has helped demonstrate the business case for investing in customer loyalty and 2) provides insights to guide investments.

We focused on measuring and managing what truly mattered to the customer. We have many sources of customer insight. Our objective was to use all the customer data and insight to drive investment in the customer experiences that will have the biggest impact on improving customer loyalty and financial results. We have been very focused on identifying those few critical experiences and managing them to become best in class.

Employees and customers are our two biggest assets. Mobilizing the entire organization in every single touchpoint is what will make us successful. We have placed significant efforts in inspiring employees and helping them understand how they can all contribute to the best customer experience.

The future

Moving forward, we will continue our transformation towards customer centricity by combining deeper customer intelligence and experience execution. We will focus on further understanding individual customers within each account, their decision making authority and their needs and behaviors to design world class customer experiences.

Read also the summaries by Peter Kim and Josh Hallett.

Posted By Eric Kintz | 9 Comments | Trackbacks | Permalink
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Comments

Unfortunately, we have not experienced the Customer Centric Transformation. When our four-month-old laptop crashed, HP tech support quickly determined that it needed a new hard drive -- which they agreed to send. Great! HOWEVER, the problem is it will take over a MONTH to send it! This is a multi-use computer vital to the core of our business as well as other peripheral applications. The month-long wait for a new hard drive is not in keeping with with your corporate philosophy of stellar customer service, as awarded by JD Powers. We have called the HP customer service center (800-474-6836) for help on this issue -- twice -- and been promised -- twice -- that a case manager would call us within 2 to 4 hours. We have yet to receive a call. This failure in customer service is underscored even more when we agreed to purchase a $260 warranty under which the salesperson 'guaranteed' that a computer would be repaired or replaced within 10 days, maximum, including shipping. But now we are told that it will take a month simply for shipping a new hard drive! What is the problem here?? And can you HELP? Our case number is: 733 891 8722 -- this does not bring up a record when I enter it on this site; I am even more concerned now about whether our problem is being addressed at HP. Kate Page, Senior Manager for Research Services, Research Solutions, LLC
# Thursday, April 12, 2007 02:01 PM by ResSolLLC
Dear Eric; We sincerely appreciate your personal attention and please let me give you some great news! Although the case managers at the customer service center were a little slow to respond, once they did, our issue was taken care of immediately. Rodney called yesterday afternoon to tell us that while our needed hard drive was back-ordered until at least May 15th, HP was purchasing a replacement hard drive from Comp USA and shipping it to us within three to five days. After three days of down-time and worry, we were absolutely floored by HP's commitment to small business customer service! Our faith in HP is restored -- in fact, we will be long-term customers based on this experience. Again, thank you for your attention to our problem. We have, indeed, experienced the Customer Centric Transformation! Sincerely, Kate Page Senior Manager, Research Services Research Solutions, LLC
# Friday, April 13, 2007 05:30 PM by Eric Kintz
Hi, Eric. This is vandana from India. This is a lovely post on HP's endeavours towards a customer centric approach. Since i consider u an authority, specially on the issue of social media and customer interactions, i would love to have u respond on the issue of Corporate Blogging and CRM. As HP is substantially into corporate blogging(am an avid reader of these blogs), do u think it has been successfully able to levearage these blogs from a CRM point of view. If yes, maybe u cud site some instances or throw light on some parameters which kindof exhibit this success. Hope u reply. Had posted a similar query on your previous post.....do reply...coz i really would appreciate the response containing your point of view.
# Saturday, April 14, 2007 02:33 AM by Vandanaahuja
Hi Vandana- sorry for not answering your questions earlier. I think that blogging is still unproven, but is a great way to provide a personalized dialogue with customers. The vast majority of my readers are HP customers and they have through my blog a personal interaction and personal dialogue about what HP is trying to accomplish in the marketing space. Eric
# Monday, April 16, 2007 04:15 PM by Eric Kintz
Eric, We work with companies every day that forget the customer exists. They are usually enamored with their technology and “know” that their cool new product (or feature) will be just what the customer wants. HP is different. HP has consistently demonstrated a commitment to customer loyalty. Reaching back into HP’s history, I recall customers remaining very loyal to the HP 3000 even when it was time for a change. They patiently waited for HP to help them move because they believed in what HP could offer them – the entire customer experience over time. I congratulate you on driving an organization with this focus. The next challenge is to move from customer loyalty to customer advocacy. When you say “We will focus on further understanding individual customers within each account, their decision making authority and their needs and behaviors…”, I suggest that this deeper understanding will enable HP to move to a point where customers (more often than they do today), will advocate the purchase of HP solutions for you. BTW, the resolution of a customer problem within your blog is an excellent vehicle for creating advocacy. Well done. Glenn Gow http://www.crimson-consulting.com/crimson_marketing_insight_blog.html?author=glenn
# Thursday, April 19, 2007 04:23 AM by glenngow
Hi Eric, I am an ex-HPer, in fact I was the National Marketing Manager for IPG South Pacific until 2004. I still follow HP's progress and do some work for HP as a consultant and workshop faciliator... I am interested to know more about your thoughts on whether you can see a cultural change in HP around the customer? My experience was there was a desire to move from product-centric to customer centric but that the cultural foundations were not be addressed ie attitudes etc....
# Wednesday, May 09, 2007 09:55 PM by chris.brown@interstrat.net
Hi Chris- we are clearly still transforming, we have made great strides in our journey towards customer centricity but we are nowhere close to where we need to be. Eric
# Tuesday, June 05, 2007 04:19 PM by Eric Kintz
Chris, enjoyed the article. As an ongoing customer of HP, I appreciate your company's customer centric approach. However, saying that your company holds a customer centric approach is easy, while acting on it is another. What is HP actually doing today to gather my input on the company's products and services?
# Thursday, June 21, 2007 06:13 PM by viperz42
I agree that acting is hard. We are actually doing a lot to gather input on HP's products - we have an on-going survey that polls customers on their experience - product experience but also experience along their lifecyle from the moment they consider HP to the moment they recyle their product. Eric
# Monday, June 25, 2007 10:26 PM by Eric Kintz

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