’The traditional segmentation models that Egmont typically used in the past make generalisations based on random surveys and can no longer stand in isolation. The former division of customer groups into distinct subsets has become less clear-cut, and we now see ladies in fur coats shopping in discount supermarkets, for example. So today’s marketing strategies have to be more individually oriented,’ claims Stefan Brieghel, CRM and Marketing Manager.

Since 1 April Stefan Brieghel has worked with his CRM team to collect and systematically collate all existing data on customers in the Nordic region and map Nordic consumers of Egmont products. The CRM team is also designing a CRM toolbox whose contents will supplement and optimise the marketing initiatives already underway in the group. The CRM toolbox is due to be launched in March 2011.

By collecting detailed data about Egmont’s customers, the CRM team can produce a faceted and precise portrait of each individual customer’s actual consumption. The information will shed more light on individual consumer traits and thus also on how the business divisions can attract more customers and, even more importantly, retain them.

More effective marketing
What distinguishes CRM marketing from traditional marketing is the dialogue that can be established with customers on the basis of the large volume of customer data. With more information about the customer, companies can better target their marketing initiatives and make them more effective.

‘Using CRM enables us to identify not only the customers that are best for Egmont but also those of no interest to us at all. So we target an even greater number of the right customers and get better at retaining the ones we already have,’ Stefan explains.

One of Egmont’s strong customer retention assets is its broad product palette, which includes products for all ages, genders and life situations. The documented consumer synergies between Egmont products mean that over time we can develop an Egmont product recommendation service for customers.

‘We marketing people can often predict product synergies, such as that ALT for damerne’s readers will also go to the cinema to see Sex and the City 2. CRM documents the synergies that actually already exist. A somewhat surprising finding is the possible link between Sirene and Beetle Bailey readers!’ says Stefan.

Further afield
Although the CRM team mainly focuses on mapping Nordic consumers, the idea is for companies throughout Egmont eventually to use the CRM systems.

‘The CRM toolbox must be applicable anywhere in the world, despite cultural differences,’ says Stefan. The CRM team will accompany the box as experts, but Stefan stresses that local CRM cannot be run from a head office; the success of this marketing strategy depends on its being embedded locally.

‘Grouping CRM activities together generates economies of scale – the more, the better and cheaper. There is great value in having businesses that can interact in all sorts of ways and use each other to boost their respective activities and their business as a whole,’ Stefan concludes.