Lecture 1
Digital marketing = adaptive and technology-enabled process by which frims
collaborate with customers and partners to create, communicate, deliver
and sustain value for all stakeholder.
The impact of digital technologies is reflected in:
(good metrics inform good management)
➢ More information channels and ways to interact
➢ More personalization of advertising
➢ Changing buying patterns and consumer needsb
➢ The rise of digital platforms
➢ Increasing competition
➢ Increasing marketing expenditures and need for accountability
> and it all starts with search
Customer journey > it has become increasingly complex for firms to manage
the customers’ experience and journeys.
In a customer journey analysis, firms focus on how customers interact with
multiple touch points, moving from consideration, search, and purchase, to
post-purchase, consumption and future engagement or repurchase.
Customer journey framework (lemon & verhoef, 2016)
Exercise: think about a purchase you made and map customer journey +
identify brand-owned and social/external touchpoints.
Touchpoints and channels (herhausen et al., 2019)
,Zero moment of truth (ZMOT)
,Zero moments: moments in between seeing a marketing stimulus and going
to the store / point of sale (usually to get more information, look for discounts,
compare brands etc)
Touchpoints
➢ Direct and indirect effects on purchase and other behaviors
➢ Critical touchpoints (moments of truth) > most significant influence on
key customer outcomes
➢ Effect of individual touchpoint may depend on when, type of
consumer, type of product (hedonic, utilitarian)
Herhausen et al (2019) objectives
➢ Identify customer segments based on the touchpoints used in the
customer journey
➢ Understand how the increasing importance of mobile devices affects
these customer segments
➢ Understand the relationships between product satisfaction, journey
satisfaction, customer insiration and customer loyalty vary across the
different customer journey segments
,Number of touchpoints across segments (herhausen et al., 2019)
,Mobile use across segments (herhausen et al, 2019)
Physical store and online store are most important across segments
Competitor online store
Customer journey segments (herhausen et al., 2019)
The higher the number, the greater the impact on customer loyalty.
Pragmatic online segment -->
,Customer loyalty is higher with higher product satisfaction
Conclusions:
➢ Customer journey segments with very different characteristics (store-
focused, multiple touchpoint-, online-to-offline-, pragmatic online-, and
extensive online segments)
➢ No “showrooming” segment: the threat of showrooming may be
overrated
➢ Mobile devices do not lead to a creation of a “mobile-only” segment.
They are used as an additional search channel that complements
other touchpoints rather than replacing them.
➢ Importance of physical stores despite increased usage of online &
mobile
The retailer’s own touchpoints are rated as the most important for
making the purchase decision
➢ Different levers should be used to increase loyalty across different
segments
Customer experience is holistic, based on firm-initiated (FIC) and customer-
initiated (CIC) touch points (Lemon & Verhoef 2016)
> Customer experience encompasses the total experience, including the
search, purchase, consumption, and after-sale phases of the experience,
and may involve multiple channels.
,Lecture 2
Customer journey analysis
➢ Look for moments of truth: points in the journey that are so important
that the rest of experience might hinge on them
➢ Look for low points in the journey where expectations are not met
➢ Identify high points in the journey where expectations are exceeded
➢ Evaluate time spent in major stage. Identify any unnecessary
touchpoints or interactions
➢ Pinpoint high-friction channel transitions (this product is available in
store X)
Attribution problem
Example: A customer goes to your website by clicking on a link from one of
your Instagram posts. She returns a week later by clicking on one of your
Google ads, after searching for a specific product category that you sell. She
signs up for an account on your website and browses around for a bit looking
at different product pages and reviews. The next day, she comes back
directly to the website and makes a purchase.
Which touchpoint should get the credit for the purchase? à Most of the time
spent on the website browsing and reading reviews.
Determining which of the touchpoints is responsible and leads to decisions to
invest more more money.
First touchpoint : consumer knows about you
Single touch attribution: when important?
, Multi touch: when important?
Exam: give an example of showrooming and webrooming behavior
Customer journey & omnichannel shopping
Research shoppers à customers that search in one channel and purchase in
another (43% of all shoppers).
Example that illustrates showrooming:
Example that illustrates webrooming:
Are showrooming and webrooming behaviours bad for the firm? Why?
Can be bad and good in different ways. In exam: show that you understand
and mentions pros and cons.
Why does this happen?
➢ Association of journey stages with different channels: customer needs
and chacteristics/advantages of the channels
➢ Low channel lock-in (seamless transitions): how easy it is for consumers
to swtich between channels from one journey stage to the next. (Ability
to use an app, scan things in the store, purchase in store and deliver to
home, click and collect)
Offline is often more close to purchase stage.
omnichannel: not only online or offline, but omnichannel
Multichannel = the design, deployment, coordination and evaluation of
each channel through which the marketer acquires, retains and develops
Digital marketing = adaptive and technology-enabled process by which frims
collaborate with customers and partners to create, communicate, deliver
and sustain value for all stakeholder.
The impact of digital technologies is reflected in:
(good metrics inform good management)
➢ More information channels and ways to interact
➢ More personalization of advertising
➢ Changing buying patterns and consumer needsb
➢ The rise of digital platforms
➢ Increasing competition
➢ Increasing marketing expenditures and need for accountability
> and it all starts with search
Customer journey > it has become increasingly complex for firms to manage
the customers’ experience and journeys.
In a customer journey analysis, firms focus on how customers interact with
multiple touch points, moving from consideration, search, and purchase, to
post-purchase, consumption and future engagement or repurchase.
Customer journey framework (lemon & verhoef, 2016)
Exercise: think about a purchase you made and map customer journey +
identify brand-owned and social/external touchpoints.
Touchpoints and channels (herhausen et al., 2019)
,Zero moment of truth (ZMOT)
,Zero moments: moments in between seeing a marketing stimulus and going
to the store / point of sale (usually to get more information, look for discounts,
compare brands etc)
Touchpoints
➢ Direct and indirect effects on purchase and other behaviors
➢ Critical touchpoints (moments of truth) > most significant influence on
key customer outcomes
➢ Effect of individual touchpoint may depend on when, type of
consumer, type of product (hedonic, utilitarian)
Herhausen et al (2019) objectives
➢ Identify customer segments based on the touchpoints used in the
customer journey
➢ Understand how the increasing importance of mobile devices affects
these customer segments
➢ Understand the relationships between product satisfaction, journey
satisfaction, customer insiration and customer loyalty vary across the
different customer journey segments
,Number of touchpoints across segments (herhausen et al., 2019)
,Mobile use across segments (herhausen et al, 2019)
Physical store and online store are most important across segments
Competitor online store
Customer journey segments (herhausen et al., 2019)
The higher the number, the greater the impact on customer loyalty.
Pragmatic online segment -->
,Customer loyalty is higher with higher product satisfaction
Conclusions:
➢ Customer journey segments with very different characteristics (store-
focused, multiple touchpoint-, online-to-offline-, pragmatic online-, and
extensive online segments)
➢ No “showrooming” segment: the threat of showrooming may be
overrated
➢ Mobile devices do not lead to a creation of a “mobile-only” segment.
They are used as an additional search channel that complements
other touchpoints rather than replacing them.
➢ Importance of physical stores despite increased usage of online &
mobile
The retailer’s own touchpoints are rated as the most important for
making the purchase decision
➢ Different levers should be used to increase loyalty across different
segments
Customer experience is holistic, based on firm-initiated (FIC) and customer-
initiated (CIC) touch points (Lemon & Verhoef 2016)
> Customer experience encompasses the total experience, including the
search, purchase, consumption, and after-sale phases of the experience,
and may involve multiple channels.
,Lecture 2
Customer journey analysis
➢ Look for moments of truth: points in the journey that are so important
that the rest of experience might hinge on them
➢ Look for low points in the journey where expectations are not met
➢ Identify high points in the journey where expectations are exceeded
➢ Evaluate time spent in major stage. Identify any unnecessary
touchpoints or interactions
➢ Pinpoint high-friction channel transitions (this product is available in
store X)
Attribution problem
Example: A customer goes to your website by clicking on a link from one of
your Instagram posts. She returns a week later by clicking on one of your
Google ads, after searching for a specific product category that you sell. She
signs up for an account on your website and browses around for a bit looking
at different product pages and reviews. The next day, she comes back
directly to the website and makes a purchase.
Which touchpoint should get the credit for the purchase? à Most of the time
spent on the website browsing and reading reviews.
Determining which of the touchpoints is responsible and leads to decisions to
invest more more money.
First touchpoint : consumer knows about you
Single touch attribution: when important?
, Multi touch: when important?
Exam: give an example of showrooming and webrooming behavior
Customer journey & omnichannel shopping
Research shoppers à customers that search in one channel and purchase in
another (43% of all shoppers).
Example that illustrates showrooming:
Example that illustrates webrooming:
Are showrooming and webrooming behaviours bad for the firm? Why?
Can be bad and good in different ways. In exam: show that you understand
and mentions pros and cons.
Why does this happen?
➢ Association of journey stages with different channels: customer needs
and chacteristics/advantages of the channels
➢ Low channel lock-in (seamless transitions): how easy it is for consumers
to swtich between channels from one journey stage to the next. (Ability
to use an app, scan things in the store, purchase in store and deliver to
home, click and collect)
Offline is often more close to purchase stage.
omnichannel: not only online or offline, but omnichannel
Multichannel = the design, deployment, coordination and evaluation of
each channel through which the marketer acquires, retains and develops
