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April 07, 2008

How do measure Customer Engagement?

MarketingNPV provides an in-depth point of view on measuring engagement. This is a complex and evolving subject in marketing. The key however is to start small, keep defining & redefining it, see the results and keep improving it all the time. I think customer engagement must include all touchpoints beyond just net, blogs. It should include store visits, branch visits, call centre, product usage, cross-product holding, depth of features & benefits used by the customer etc.

Take a look at how they see it:


Two Types of Engagement

There are two generally accepted engagement “types”: emotional engagement and behavioral engagement. The former is more popular; the latter is more important.

Behavioral Engagement

It’s important to note that behavioral engagement is not limited to a purchase of a product or service; it encompasses all the interactions that a prospect or customer has in relation to a brand. There are any number of pre- or post-sale activities that can be (directly or indirectly) predictive of a future purchase or re-purchase; they include visiting a Web site, downloading a whitepaper, calling customer service, recommending a product, or even commenting on a blog.


There’s plenty of data available to track how customers or prospects are engaging with a company; the key is to synthesize it into a clear model for demonstrating either short- or long-term economic benefit.

To probe more deeply into these drivers, your next step will be to identify places on the map where you have good data and where you don’t. Look beyond the traditional customer survey information, brand-tracking studies, and the CRM system. What Web analytics are you capturing? Do you have access to point-of-sale data or call-center transcripts?

The key to measuring engagement is:

a. Develop a vision
b. Create a methodical testing process
c. Look for predictive validity of upstream behaviours
d. Leverage your engagement drivers


Comments

Good points on behavioral engagements but I would have loved to read about what your thoughts are about emotional engagement since it's the more popular.

It's an agile, iterative process. It's better to also involve brands in the process testing stage itself. Take the brand owner along as you go into the sandbox; to uptake and adopt the process that (s)he agrees most, that aligns with the broad map they have about their customer engagement patterns as well.

What do you think?

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