Marketing Analytics
Detailed View
SAP Enhancement Package 1 for SAP CRM 7.0
SAP CRM Marketing
1
Content
1. Overview
2. Analytical Methods for Marketing
1. Data Mining and Analysis Process Designer
2. RFM Analysis
3. SAP CRM Marketing Interactive Reports and SAP CRM Dashboard
Builder
4. Marketing Dashboards
© SAP 2009 / Page 2
At the end of this presentation, you will have an overview
Of the Marketing Analytics key features
Of the analytical methods for Marketing
2
Addressing Key Priorities for Marketing
How can you achieve your business goals?
Maximize Campaign
Response Rates
Target the Right
Customer Segments
Optimize Profitability
of Campaigns
What if . . .
„
. . . you could simulate the execution of your marketing campaigns and find out how much return
on investment you would derive from them?
„
. . . you could automatically segment your customer base into different homogenous groups to
adapt your offering to their needs better?
„
. . . you could consider product, customer, and channel constraints in modeling your marketing
campaigns to maximize profits?
„
. . . you could simulate and predict response rates for your customer segments to come up with
the best-suited target group for your campaigns?
. . . to enable these abilities
you need
Intelligence to analyze
your customers, products, and market
trends and to optimize marketing processes
end-to-end across the enterprise
Immediate value created by fast
implementations of the findings derived
from your analyses
Adjustment of your marketing processes
over time based upon the experience you
gain from interacting with your customers
© SAP 2009 / Page 3
Let’s start with the key priorities for marketing.
You can achieve your business goals if you:
Maximize the campaign response
Target the right customer segments
Optimize the profitability of campaigns
3
SAP Analytics for SAP CRM Marketing
Run Marketing Processes and
Capture Customer Data
*
Analyze Customer Data in SAP
NetWeaver Business Intelligence
Extraction to
SAP NetWeaver BI
Intelligent Segmentation
*
*
Cross-Selling Rules
Detection
*
Interactive Reporting/
Marketing Dashboards
Model and Simulate Campaigns
*
Campaign ROI Evaluation
*
Campaign Modeling
Including Constraints
*
Campaign Response
Rate Prediction
Integrate Analytical Results in Marketing Processes
*
Assignment of Product
Proposals to Target Groups
*
*
Enhancements of
Customer Master Data
© SAP 2009 / Page 4
4
Target Group Creation
Content
1.
2.
Overview
Analytical Methods for Marketing
1. Data Mining and Analysis Process Designer
2. RFM Analysis
3. SAP CRM Marketing Interactive Reports and SAP CRM Dashboard
Builder
4. Marketing Dashboards
© SAP 2009 / Page 5
5
Analytical Methods – Data Mining
Data Mining
„
Use predictive models to exploit information stored in your
data warehouse
„
Uncover hidden patterns and trends in your data
„
Deploy intelligence to your operational environment
to make better decisions
© SAP 2009 / Page 6
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Data Mining Methods – Explorative
Clustering
ABC
Classification
A
B
„ 20% of customers
generate 60% of sales
C
Association
Analysis
Weighted
Score Tables
Weight
Score
Customer
Age
Gender
Income
…
…
…
…
…
…
…
…
…
…
© SAP 2009 / Page 7
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Data Mining Methods – Predictive
Regression
Decision Trees
Complaints
No
Age
Gender
Buy
Sales
Income
>4
<=4
Complaints
No
?
Gender
M
F
Yes
Income
Yes
Number of Products
<=30k
No
© SAP 2009 / Page 8
8
>30k
Yes
Data Mining – Architecture with SAP
NetWeaver BI and SAP CRM
SAP NetWeaver BI
SAP CRM
InfoProviders
Local Data Store
Analysis Process Results
Designer
Campaign
Automation
Interaction
Center
SAP Data Mining
Internet
Sales
Third Party
Third-Party
Vendor
File-Based
Data Mining
DBMS
Data Mining
© SAP 2009 / Page 9
9
Sample Marketing Scenario with Data Mining
Challenge:
How do I optimize creation of target groups for campaigns?
Solution:
Run Intelligent
Segmentation with
Clustering
Select
Dimensions
Run
Segmentation
Choose the Customer
Dimensions Desired
for Segmentation
Write Selected
Segment Information
Back to SAP CRM
Analyze
Results
Analyze Results of
Segmentation and
Iterate if Necessary
© SAP 2009 / Page 10
10
Write Back
Results
Create
Target
Group
Create the Campaign
Target Group Based
upon the Results
Analytical Methods – APD
Analysis Process Designer
„
Access, transform, analyze, and deploy information using a single data process
„
Visualize and interact with the information flow in your data process
© SAP 2009 / Page 11
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APD
Sources
Transformations
Aggregate
Master Data
Transpose
Routine
DB Table
Query
Drop Column
Sort
Flat File
InfoProvider
Merge
Filter
Targets
Data Mining
ABC Class.
ODS
Object
Third Party
Master Data
Scoring
Regression
CRM System
Decision
Tree
© SAP 2009 / Page 12
12
Association
Analysis
Clustering
Sample Marketing Scenario with APD
Challenge: How do I Enhance SAP CRM customer master data
with analytical results?
Solution
Transform and
Preprocess Data
in the Desired Form
Select
Data
Preprocess
and
Transform
Select Desired Data
to Be Replicated
Write Data from SAP
BI to SAP CRM Using
APD
Create CRM
Attribute
Write Data
in CRM
Attribute
Create Attribute to Be
Filled on SAP CRM
Side
© SAP 2009 / Page 13
13
Use New
Attribute in
Campaign
Use Enhanced
Attribute in
Campaigns
Content
1. Overview
2. Analytical Methods for Marketing
1. Data Mining and Analysis Process Designer
2. RFM Analysis
3. SAP CRM Marketing Interactive Reports and SAP CRM Dashboard
Builder
4. Marketing Dashboards
© SAP 2009 / Page 14
14
Analytical Methods – RFM
Recency, Frequency, and Monetary Value Analysis
„
Predict response rates for your marketing campaigns
„
Optimize profitability and return on investment
„
Get recommendations on which customers your campaigns should address
„
Use simulations to experiment with various cost and revenue estimates
© SAP 2009 / Page 15
15
RFM – RFM Segmentation Concept
Customer Base
1 Recency
2 Frequency
© SAP 2009 / Page 16
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3 Monetary
Value
RFM – Architecture
SAP CRM
Segment Builder
RFM
Prediction and
Simulation
Marketing
Framework
SAP NetWeaver BI
Campaign
Results
Response Rates
ODS
RFM Response
Rates
RFM Segmentation
Transactional
Data
Segmentation
ODS
© SAP 2009 / Page 17
17
Sample Marketing Scenario with RFM
Challenge:
How do I create maximized response rates for my campaigns?
Solution
Run RFM
Segmentation
Select
Historical
Campaign
Data
Run
Segmentation
Select Response
Rates from Previous
Campaign and
Transaction Data
Write Segment Results
Back to SAP CRM
Run
Prediction
Apply Segmentation
on Target Customers
© SAP 2009 / Page 18
18
Write Back
Results
Simulate
Campaign
Use Segmentation
Modeling to Simulate
Response Rates
Content
Overview
Analytical Methods for Marketing
„ Data Mining and Analysis Process Designer
„ RFM Analysis
„ SAP CRM Marketing Interactive Reports
„ Marketing Dashboards
© SAP 2009 / Page 19
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SAP CRM Marketing Interactive Reports
Marketing Interactive Reports for Campaign and Lead
Analysis
Marketing
Analytics
Marketing
Analytics
Marketing
Resource
Management
Lead
Management
Customer
„
Retrieve data from SAP CRM in real time
„
Can be created by the user and displayed in CRM WebClient UI
based on certain set of predefined characteristics and key figures
„
Do not substitute the BI reports, but are in addition to the already
existing BI reports
Segment
& List
Management
Loyalty
Management
Campaign
Management
Benefits
„
Improve campaign
response rates
„
Accurately predict &
plan campaigns
„
Measure results and
support marketing
revenue contributions
© SAP 2009 / Page 20
20
Content
1. Overview
2. Analytical Methods for Marketing
1. Data Mining and Analysis Process Designer
2. RFM Analysis
3. SAP CRM Marketing Interactive Reports and SAP CRM Dashboard
Builder
4. Marketing Dashboards
© SAP 2009 / Page 21
21
SAP CRM Marketing Dashboards
Role-Based Analytics Dashboards
Pre-Packaged, Best-Practice Marketing Insight
Marketing
Analytics
Marketing
Analytics
Marketing
Resource
Management
Lead
Management
Provides Marketing Executives with proactive, actionable insight
into:
Customer
Segment
& List
Management
Loyalty
Management
Campaign
Management
Benefits
„
Improve campaign
response rates
„
Accurately predict &
plan campaigns
„
Measure results and
support marketing
revenue contributions
„
„
Campaign effectiveness based on generated leads
„
Lead to opportunity convergence
„
Contribution of the marketing department to the total sales
pipeline
Provides Marketing Managers with actionable insight into:
„
Marketing campaign funnel and campaign progress over time
„
Performance of similar campaigns over time
„
How fast leads are picked up by the sales force
© SAP 2009 / Page 22
SAP EHP1 for SAP CRM 7.0 empowers marketing organizations with pre-packaged
dashboards that help marketing executives track the contribution of the marketing
organization to the sales pipeline.
The dashboards are designed and organized in a way to give the key stakeholders in
the marketing organization to make timely decisions and to ensure that the marketing
organization is contributing to the overall pipeline
22
SAP CRM Marketing Dashboards
Role-Based Analytics Dashboards
© SAP 2009 / Page 23
These screenshots show how the dashboards are launched from the navigation bar and
one example of a marketing dashboard.
23
Further Information
„
SAP CRM - Roll-Out Map
https://portal.wdf.sap.corp/go/crm-rollout-map
„
SAP CRM - Ramp-Up Knowledge Transfer (RKT)
http://service.sap.com/rkt-crm
„
SAP CRM – Demo Portal
http://crmportal.wdf.sap.corp:1080
„
SAP CRM – WiKi
https://wiki.wdf.sap.corp/display/SAPCRMHub/Home
https://wiki.wdf.sap.corp/display/PTUCRM/CRM+BOBJ+Int
egration
„
SAP CRM – SAP Help Portal
http://help.sap.com/crm
„
SAP Public Web
http://www.sap.com/crm
© SAP 2009 / Page 24
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© SAP 2009 / Page 25
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