ESRC Seminar Series "Financial Services and Consumers: Issues and challenges in a context of change” Seminar 5: The role of new media and technology The potential and pitfalls of using social media for segmentation Dr. Ana Isabel Canhoto Principal Lecturer in Marketing Oxford Brookes University Ana Canhoto, 2015

Compliance Single Customer View (Financial Services Compensation Scheme) Know Your Customer (Anti- Money Laundering regulations) Follow the customer Age of the social customer User generated content Makes (business) sense Customer insight (opp & risk) Targeted communications Enhanced customer engagement Niche opportunities Cross selling Proposition / Product development Ana Canhoto, 2015

StageBenefit 1.Identifying and profiling customers Data is of good quality – e.g., forums. Timely information. Provides insight into areas not covered by other data sources. Towards a single view of the customer. 2.Evaluating segment attractiveness 3.Positioning the company’s offer Ana Canhoto, 2015

StageBenefit 1.Identifying and profiling customers Data is of good quality – e.g., forums Timely information. Provides insight into areas not covered by other data sources. Towards a single view of the customer. 2.Evaluating segment attractiveness Real time, granular data – specially for high value segments Self-segmentation – e.g., communities of interest BUT earning right to participate Influencers – e.g., Klout 3.Positioning the company’s offer Ana Canhoto, 2015

Optimal Zone’ StageBenefit 1.Identifying and profiling customers Data is of good quality – e.g., forums Timely information. Provides insight into areas not covered by other data sources. Towards a single view of the customer. 2.Evaluating segment attractiveness Real time, granular data – specially for high value segments Self-segmentation – e.g., communities of interest BUT earning right to participate Influencers – e.g., Klout 3.Positioning the company’s offer Enables development of highly targeted propositions. Responsiveness and interaction creates deeper customer engagement Ana Canhoto, 2015

Volume Data type Images, language … Data integration User ID Across org (M&A; large firms w/ many product lines) Permission Data as source of competitive advantage Single view of the customer Customer insight teams Board level Long term Focus on high value customers Privacy and data protection Aftermath of PPI scandal Complaints Auditable process Open the floodgate One way communication Employee comments Customer centric StrategyTechnologyCulture Ana Canhoto, 2015

ESRC Seminar Series "Financial Services and Consumers: Issues and challenges in a context of change” Seminar 5: The role of new media and technology The potential and pitfalls of using social media for segmentation Dr. Ana Isabel Canhoto Principal Lecturer in Marketing Oxford Brookes University Ana Canhoto, 2015