The objectives of all CRM initiatives (management systems) are mainly two: retaining and developing customers and increasing their value to the company. Successful management of customer relationships means steady development of your business.

In case of mismanagement and insufficient knowledge of customer motivation and behavior you risk losing clients.

With our systems for managing customer you receive personalized knowledge about your customers. Data can be used to create and manage marketing campaigns, sales strategies, etc. Customer segmentation helps you develop different messages and suggestions for each target group and facilitate customer management, retention and development.

With our analytical module for customer development, Customer Development Lab (CuDeLa) you can segment your customers or even employees based on behavior, value, risk of loss and other characteristics. You can determine the Customer Life Time Value in different segments, identify the most appropriate ones for a campaign, take action to retain the most endangered groups of customers and many more. The analytical part of CuDeLa is missing in 99% of widely available systems CRM systems. In our Analytical CRM module deep knowledge about your clients is integrated with your unique data. Success is guaranteed by the high efficiency of the mathematical models which are used to define communication groups, define, execute and report results from different campaigns, etc.

How to select an appropriate CRM system for your business and should it be an Analytical CRM system?

Contact us! Our team consists of experts who will help you answer those questions.

DEFINITIONS

Тhere are two main contemporary definitions:

• Gamification is “The use of game-thinking and game mechanics to engage users and solve problems.”

(Zichermann & Cunningham, 2011)

• “The use of game elements and game-design techniques in non-game contexts.”

(Werbach & Hunter, 2012)

Other popular definitions are:

• According to Gartner gamification is “the use of game mechanics and experience design to digitally engage and motivate people to achieve their goals”

• “In essence, gamification is about reverse-engineering games to discover what makes them effective and fun and grafting them onto business applications.”

(Werbach & Hunter, 2012)

GAME DESIGN

"Gamification leverages game design, loyalty program design and behavioral economics to create the optimal context for behavior change and successful outcomes."

 

 GAMIFICATION TYPES

• Internal Gamification: using gamification to improve business processes and reduce costs;

• External Gamification: using gamification to improve customer relations and increase revenues;

• Behaviour-change gamification: using gamification to motivate people to better themselves and their surroundings.

BENEFITS

Some of the potential benefits from Internal and External Gamification can be seen in the following table:

THE FUTURE

The future of Gamification:

In the future gamification will have a significant impact on innovation, employee performance and personal development.

“By 2015, a gamified service for consumer goods marketing and customer retention will become as important as Facebook, eBay, or Amazon, and more than 70% of Global 2000 organizations will have at least one gamified application.”

Gartner

“Up to 25% of all business processes will take advantage of gamification by 2015, with 40% of Global 1000 organizations taking advantage of gamification.”

Gartner

One of the main advantages of our CRM system (CuDeLa) is the possibility of customer segmentation. Using different methods and tools we will gather information for each of your customers (demographic, social, behavioral, motivation to purchase, etc.). Following the analysis of the information, different customer profiles are formed based on customer behavior, customer value for the company and the risk of losing a client.

Segmentation helps you create effective marketing and advertising campaigns based on the needs of different customers. In this way you save money and achieve greater effectiveness (ROI), loyalty to your product or service and increase your sales.

Our team will advise you throughout the process, but in general the steps are as follows:

•  - Assess how and what data will be collected from clients;
•  - Decide on how will data from different sources be integrated into the system;
•  - The segmentation module that separates different client groups is activited.
•  - Determine and execute the most effective way to communicate with different segments.

Explore the analytical CRM module that we offer. Contact us and we will give you more information and will discuss which approach will be most suitable for you.

We guarantee that our solution will solve your problems, you will stabilize and develop your customer relations, receive the best advice and assistance throughout our partnership. Trust us - we know that the development of our business depends on the steady growth of yours.

Many CRM systems are targeted towards reactive customer retention, i.e. efforts are being made to retain the customers, when they have already expressed desire (obviously with some form of withdrawal, or implicitly - by their behavior) to stop using your products or services. Analytical CRM systems are focused on pro Pro-active Retention of customers. This includes identification of the most endangered customers and making a specific offer to them before they express explicitly or implicitly desire to escape.

Analytical CRM systems facilitate the process of customer retention. With their help you collect data about each customer's demographics, behavior as a consumer, lifestyle, motivation to purchase, need, etc. The obtained information is processed by an analytical module for customer development, and the results are applied in your marketing campaigns, sales strategy and communication with customers. In this way you increase your marketing efficiency, retain customers and increase their loyalty to your brand. It is proven that loyal customers are less susceptible to promotions and offers from your competition.

There are many various CRM systems. Choose the one that allows you to retain proactively your customers. This significantly increases your efficiency in the process of customer retention.

Explore our CRM products. Contact Us and we will give you more information and help you chose the most effective CRM system for your business.

Building Brand Loyalty is neither easy nor a quick process. Yet companies that know that loyal customers are their biggest asset invest in creating long-term relationship with their customers.

How to building brand loyalty?

Loyalty is not a separate, independent concept associated with your customers. It is part of a causal relationship that starts with the utility of the product and customer satisfaction, transforms into loyal customer behavior and ends with increased profits.

Our CRM products for retention and development of customers will help you communicate with maximum efficiency your with customers. This will save you the cost poorly targeted marketing campaigns, inaccurate sales strategies and erroneous communication channels or offers to customers.

With the help of various tools, including discount and loyalty cards, bar codes, etc., you accumulate personalized information for each customer. Automated analysis of the collected data facilitates the segmentation study of customer behavior, the determination of their needs and motives for action.

The solutions we offer are based on the idea that retaining old customers is more efficient economically than attracting new ones. Do not forget that satisfied customers spread the word about your products and services in the midst of their circle of friends.

Contact Us to find out more about how to create a high degree of loyalty in customers and together we will choose the most appropriate CRM tools for your business.

Churn prediction is a forecast on the probability to lose a client from your clients base. In fact it’s a mathematical model built-in in the analytical part of the CRM system. It calculates the possibility for each of your customers to discontinue using your products or services.

Once you have this data, you can use your operational CRM, to develop a retention campaign for the customers who were identified as most risky.

According to a research, 99% of these campaigns are successful and the profits are in millions.

You can check the calculator on our website and see by yourself.

In which industries churn prediction approach and customer retention campaigns are most applicable?

Our experience shows that this proactive approach gets the best results in:Telecoms;Banks and financial institutions; Insurance companies;Utility sector;Retailers using loyalty programs;

How to choose the right CRM system for my business? Does your CRM system have Churn Prediction functionality? Why is this important?

Check out the products we offer, or directly contact us for advice. We have extensive experience and we will provide all necessary information and solutions suitable for your specific needs. Trust us and we will show you how to use new, efficient techniques for your business development.

The term "Customer lifetime value" summarizes most CRM activities, such as customer retention, up-sell and cross-sell, segmentation, etc. It is the total profit received from a client for the period he is using your services.

Why is it important to know the your customers lifetime value?

• The sum of this measurement over the entire customer base is your customer capital (Customer Equity). This determines the value of your company. Developing your customers in terms of their value and duration will increase the value of the company.

• Marketing activities require spending resources to attract, retain and develop customers. The more targeted the process is, the more effective it is. Measuring the Customer lifetime value for different customer groups allows you to allocate marketing resources in the most optimal way. For customers with the highest lifetime value you can provide additional resources at the expense of those with at least lifetime value. The result of these efforts are additional profits.

• Customer lifetime value has to do with the life cycle of the customer and is important in order to take proactive communication while customers still hesitate whether to stay with you, make the next purchase, tell friends about their good experience with your products, etc.

Our analytical CRM solution (CuDeLa), allows you to specify the Customer lifetime value for different customer segments and watch it change over time. This will optimize your marketing costs and increase the value of your entire company.

Maximizing customer satisfaction makes an important contribution to maximizing profitability, although other factors such as cost control, productivity and marketing strategy also impact the bottom line. By maximizing customer satisfaction, you can increase the opportunity for repeat sales to customers, while reducing the cost of sales and marketing. Customer satisfaction helps to increase customer loyalty, reducing the need to allocate marketing budget to acquire new customers. Satisfied customers may also recommend your products or services to other potential customers, increasing the potential for additional revenue and profit.

A customer database and purchase history is a must-have for every business. If you don't have one, you need to get started right away because you have put off building an enormous asset for your organization.

It's well-known that it is a lot more effective to sell to the customers you already have than to find new ones. But if you don't know who they are, what they like, how to reach them, what they have already bought and when they bought it, you will just have to wait. – and hope for a good result. And that’s no way to grow a business.

Keeping and analyzing customer data is also one of the most important elements to any sales, marketing and strategy department because keeping the customer at the centre of operations is the only way to keep your market position when demand and tastes shift.
Some of the benefits to businesses of collecting and analyzing customer data are:

•  - Data empowers marketers and enables businesses to structure their operations around the needs, demands and desires of their customers.

•  - Knowing who your customers are, where they come from and what are their social and demographic backgrounds can help you allocate resources, manage performance and change the way that customer service is handled within your business.

•  - Collecting and analyzing customer data can make your organisation more customer centric. In this way you will be able to more easily meet the needs of your target market.

•  - Only by having customer data and making sense of it you can justify spending the money on developing products or services in a certain way – ie to meet what you believe are the needs of your target market.

•  - Your customer database will be a valuable asset when you sell your business.

•  - Many, many more… 

What information do you need to build your customer data?

Collecting customer information is the starting point.  The information you should collect could be:

•  - Customer Name;

•  - Complete Address;

•  - Contact Information: Phone, e-mail, etc.;

•  - Purchase Data: How often they buy, when they buy, what they buy, etc.;

•  - Marketing Data: How they first learned of your product or service;

•  - Demographic Information: age, geography, income, education, etc.

The call center of a company is constantly in direct contact with customers. Call centers answer questions, make sales and handle complaints. It depends on them if the customers will be satisfied or will leave.
 
Remember that acquiring a new customer is much more costly than keeping an existing customer satisfied. Take into account the power of word of mouth. Satisfied customers will share their positive experience and will be your reference. Dissatisfied customer will do exactly the same.
 
How can you maximize the efficiency of your call center?
 
The best call centers get access to customers’ data instantly as they call. They can track history, behavior and customer segment. In the process of communication the system will suggest next best offer and then stores the result and follow up for this customer. This requires an analytical module between the call center and the customer database. The analytical module will position the customer in the right segment and generate the next best offer. Using such a module makes our CRM unique and much more efficient. Your customers will be much more satisfied as they will get an offer matching their needs.
 
We provide consultancy and training so that you can increase your satisfied customers.

Up-selling (also upselling) is a sales strategy where the seller will provide opportunities to to get the customer to spend more money – buy a more expensive model of the same type of product, or add features / warranties that relate to the same product.

Cross-selling – Encouraging the customer to spend more money by adding more products from other categories than the product being viewed or purchased - a customer who buys a product (laptop, for example) to buy a related or complementary product (a mouse, pen-drive and/or accessories, for example).

Deep-Selling – Selling more of the same product to the same customer. For example, a print shop will not only give you an offer for the quantity of printed products you asked for, but they will also offer a larger quantity at a reduced price per piece.

The core of propensity modeling is a prediction on the probability for a client to up-sell, cross-sell and deep-sell. These models are based on statistical analyses of the behavior of the customers who have already done an up-sell, cross-sell or deep-sell and how they differ from the rest of the clients. The mathematical model is a formula, which based on the clients’ behavior, demography, products, etc. characteristics estimates the degree to which a customer is similar to a client who has already done up-sell, cross-sell and deep-sell.

•  - To calculate Customer Life Time Value (LTV)

•  - To build target marketing campaigns for up-sell, cross-sell and deep-sell

•  - To build the Next Best Offer.

As a bottom line, it is directly related to increased sales and optimized costs from abandoning mass marketing for the sake of target marketing.
For example, two clients may have the same current usage, and the results from up-sell, cross-sell and deep-sell models will define which one is more valuable to the company, taking into consideration his future behavior. This will allow different incentives to be assigned to the different clients segments or sub-segments.
The analytical solution CuDeLa (Customer Development Laboratory) will estimate the propensity grade and define the clients groups/segments based on that. With target marketing campaigns, using propensity models, our customers have achieved 500% higher rates of responsiveness compared to the results in a control group (control group is a group with similar features which is not been campaigned).

Analytical CRM is the process through which enterprises transform customer data gathered through operational CRM into actionable customer insight. The aim is to filter out the key facts from gathered information and gain customer knowledge. Applied ACRM identifies trends and patterns of behaviour and extends these into predictive analysis. Analytical CRM is composed of many individual components. This process is supported by a number of tools, which enable the analysis itself.

There is a key difference between operational CRM and Analytical CRM. Unlike operational CRM, where automation of marketing, sales-force and services are done by direct interaction with customers and determining customer’s needs, analytical CRM is designed to analyze in detail customer’s information and data and reveal the essential information about the intended behavior of customers.

Some of the benefits of using Analytical CRM:

 - Analytical CRM provides customer segmentation - it divides customers into those that may or may not utilize your services again, or gives you information that helps in the process of your service;

•  - Using Analytical CRM you can determine the customer profitability or which customers generally lead to the most profit over time;

•  - It provides the ability to market specifically to individual customers based on the data collected;

•  - As a predictive modeling tool, Analytical CRM can help your company compare future successes based on the customer knowledge database;

•  - When it comes to sales, marketing and service, the benefits of CRM analytics are many and usually lead to better and more productive customer relations;

•  - With CRM Analytics you know which people are going to be your best customers and how to find your prospects, quickly and efficiently;

•  - Many more.

Investing your time and money into Analytical CRM will more than support your important business decisions; it will play a vital role in the success of your organization.

OUR NAME
The name 11235 comes from the Fibonacci sequence in which each subsequent number is the sum of the previous two, for instance 1+1=2, 1+2=3, 2+3=5 and so on. 
Fibonacci sequence is:
1, 1, 2, 3, 5, 8, 13, 21, 34, 55, 89, 144, 233, 377, 610, 987, …

The name 11235 is composed of the first five digits.

OUR LOGO
The Fibonacci sequence is interconnected with the golden ratio. If a Fibonacci number is divided by its immediate predecessor in the sequence, the quotient approximates 1.61803 (987/610 ≈1.61803).

Our logo is designed with the same proportions:




THE GOLDEN RATIO IN NATURE AND SOCIETY
The golden ratio can be seen related not only to aspects of mathematics but also to physics, chemistry, biology and the topology of space-time, and it is found through nature, space and so on.

In essence, dynamic pricing is an approach to setting the cost for a product or service that is highly flexible. The goal of dynamic pricing is to allow businesses to adjust prices in response to market demands. If prices are fixed, there is a real risk that the client would be willing to pay more and we could miss this opportunity to increase profit. On the other hand, a big price increase will impact your competitiveness.

If we look at the example of a system for dynamic pricing in a hotel, dynamic pricing leads to profit maximization by calculating what is the probability for an empty room (RevPAR). In this way the highest possible profit is achieved in the given circumstances.

Here’s an example to illustrate what we said above.

With a static pricing (2 price levels) revenue scheme is like this:

A 24% increase in revenues is achieved, as a result of price optimization.

Building an efficient dynamic pricing model involves using relatively complex mathematical approach which evaluates and links the impact of different elements like:

•  - Early booking dates;

•  - Length of stay;

•  - Occupancy rate for the booking period at the time of booking;

•  - Number of rooms booked;

•  - Seasonality;

•  - Revenue targets, etc.

For achieving the best output, different models should be created for each hotel. This model should be integrated to the existing booking ERP system of the hotel. This requires the involvement of IT specialists to ensure the process ran smoothly and with minimal changes to the existing situation.

11235 Ltd. has all required resources and expertise to build similar models. The company founders are amongst the leading names in the field of applied mathematics and IT. Companies which are already partnering with us enjoy the benefits from stronger competitiveness and higher revenue streams as a result from implemented analytical solutions and innovation.