Young and Rubicam

One of the largest advertising companies in the world, Young & Rubicam, Inc., specializes in advertising, public relations, direct marketing, corporate and product identity consulting, and health-care communications.

In 1999 Dr. Paul Evans joined Young and Rubicam direct marketing subsidiary, WCJ/ Imperic, in New York City and together with Lester Wunderman (founder of Wunderman Worldwide) they formed The Marketing Laboratory to design, develop and implement new, proprietary, and innovative, technology-based, customer-oriented marketing resources and solutions. Evans directed the founding and positioning of the Marketing Lab as the pre-eminent marketing thought leadership forum through the recruitment of an esteemed board of advisors including Dr. Philip Kotler (marketing guru); Dr. Ram Charan (CEO mentor); Aldo Papone (former President American Express); Malcolm Gladwell (writer, The New Yorker); and, Fred Wilson (Flat Iron Partners) and technology partners.

Dr. Paul Evans’ Media Rhetoric Presentation: “Understanding Blair Witch” Crowns him as “King of Marketing” on Australian TV

In the late 1990s, Dr. Paul L. Evans developed a multimedia presentation/demo titled “Understanding Blair Witch: The Blair Witch Project”, which he delivered at major international conferences and marketing and advertising forums. This presentation analyzed the groundbreaking 1999 film The Blair Witch Project—a low-budget indie horror that grossed over $248 million worldwide through innovative viral marketing and “found footage” style.

Paul explored how the film’s rhetoric (e.g., blurring lines between reality and fiction via mockumentary elements, online rumors, and audience immersion) redefined horror cinema and interactive storytelling, tying into his expertise in multimedia publishing and cultural analysis with the Illuminated Books for IBM.

This presentation was the first new media marketing and advertising presentation to use film as a case study for transmedia narrative and psychological engagement. It also examined film monetization in pre-release viral marketing and embedded internet product marketing of clothing, cameras and character accessories.

Key Sections from the Presentation:

Section	Key Insights
Introduction to Found Footage	Examines roots in cinéma vérité and pseudo-documentaries, positioning Blair Witch as a pivot from traditional horror (e.g., slashers) to experiential fear via handheld camcorder aesthetics.
Viral Marketing Rhetoric	Details tactics like the fake BlairWitch.com site (launched pre-release), “missing” actor posters, and IMDb manipulations—creating a “reality bleed” that amplified buzz on a $60,000 budget.
Psychological and Narrative Analysis	Discusses unreliable narration, spatial disorientation in the woods, and viewer complicity; draws parallels to folklore (e.g., witch hunts) and modern media paranoia.
Cultural Impact	Predicts the film’s influence on transmedia (e.g., sequels, mockumentaries like Paranormal Activity); critiques ethical ambiguities in audience manipulation.
Multimedia Extensions	Proposes interactive CD-ROM prototypes for “remixing” footage, aligning with Evans’ tech background.

Paul’s film media rhetoric analysis at Y&R followed his multimedia rhetoric publishing and cultural analysis with the Illuminated Books when he was with IBM.

Paul Evans directed the packaging of the Marketing Lab as a key worldwide asset for Young and Rubicam delivering International Marketing Keynote Addresses:

· March 22, 2000 in Tokyo, Japan. Dentsu 15th Anniversary. “The Design, Development, and Use of Information Portals for the Integration of Database, Internet, CTI, Intranet, Extranet, and CRM solutions.”

· May 19, 2000 Melborne, Australia , Australian Direct Marketing Association, “The Marketing Lab: Research and Development in Marketing and Advertising”

· May 23, 2000 Auckland, New Zealand, New Zealand Direct Marketing Association, “The Marketing Lab: New Marketing Techniques and the Internet”

· May 26, 2000 Sydney, Australia, Pan Asian Direct Marketing Association, “The Marketing Lab, Emerging Technologies and New Marketing Opportunities”

During this same period Dr. Evans published state-of-the-art marketing thought leadership publications and technology:

· Envisioning the Digital Automaker. August 2000, Marketing Lab Worldwide Thought Leadership Publication

· Making Smart Connections to Electronic Consumers, November 15, Marketing Lab Worldwide Thought Leadership Publication on Wireless Technology

· Shown below: The Marketing Lab CD ROM: A CD ROM of Marketing Lab Thought Leadership Material

The Marketing Lab developed and disseminated thought leadership on the future of digital automakers (see abstract below), interactive TV, longitudinal contract strategy, CRM diagnostics and applications, electronic consumers, and conducted seminars and breakfast meetings in NYC for clients and called on clients at their locale for presentations.

The Envisioning the Digital Automaker and the Customer Relationship Management (CRM) Cockpit presentations shown below are taken from international demonstrations and presentations at marketing and advertising conferences where Dr. Paul Evans was asked to speak.

New business development opportunities resulted and contributed to Y&R’s enhanced valuation and acquisition by WPP which acquired Young and Rubicam for $4.7 billion in a stock swap.

Envisioning the Digital Automaker

Dr. Paul L. Evans

As we enter the twenty-first century, automakers have moved form one age—the industrial era—to the next—the age of information, where the rules of business competition and strategy have changed at a fundamental level. In the industrial era mass production was the hallmark that characterized competitive advantage. In the information age the emerging connectivity of the Internet will prescribe global leadership and future growth.

The Digital Automaker will open up a multidirectional informational conduit among all components in the supply and demand chain from manufacturer to consumer. The information flow will be diverse and interactive.

With these changes in mind, Dr. Paul L. Evans of The Marketing Lab has been examining various approaches to the design and development of a marketing information portals for use by our large enterprise clients. Our work in this area has lead us to understanding how enterprise information portals could evolve to customer relationship management (CRM) portals.

Paul Evans is Executive Vice President of the Marketing Lab Worldwide and he leads the CRM Cockpit initiative.

Part One: From Mass Production to Mass Customization

In the Beginning

The central story in the growth of the American automobile industry before World War II was the story of applying industrial age concepts to modern mass production and exploiting economies of scale.

In the industrial era, Henry Ford was the quintessential first mover.

Ford was born at the end of the period of time that stretched from the late 1700’s until the middle of the 1800’s and saw a series of fundamental changes in the organization of production; an era characterized by the replacement of handwork by machines and human and animal power by inanimate sources of energy. At the dawn of the twentieth century, the production and execution of the automobile would vividly demonstrate both.

It was at that time Henry Ford pieced together a rudimentary motorized buggy, the Quadricycle, in a shed behind his home at 58 Bagley Avenue, Detroit, and took it for a ride under the cover of darkness. Rather than craft one-offs of his hand made model, Ford, backed by his investors, moved to a converted wagon factory and later to the world’s first moving automobile assembly line in Highland Park, Michigan . There in 1908 he would mass produce the Model T.

By 1915, the millionth Model T had been built.

And, by the third decade of the twentieth century, to produce the next generation car meant assembling it from thousands of freshly conceived parts. It also meant re-tooling the manufacturing process with machine tools of radical new design.

And, it required introducing competitive innovations on an unprecedented scale, such as the use of electric welding, to replace the bolting of major subassemblies.

With new designs and performance improvements, so tremendous was the demand for motor vehicles, and therefore components, that original manufacturers had to back away from policies of total self reliance and purchase from outside manufactures such elements as wheels, body panels, piston rings, pumps and distributors.

At the same time, the unrelenting drive for increased manufacturing speed underscored the need for better control over supply and production. (After all, if one can produce thousands of cars per day, there is a heightened need to keep track of ordering the raw materials, paying the workers, cataloguing the orders from dealers, reviewing the contracts with sub-contractors, ensuring payment and following up on shipments.)

Today, the adoption of information systems by automakers has enabled an automation of “information work” in parallel to the automation of “manufacturing work.” Through information systems tracking, automotive manufacturers are better able to control and monitor the flow of goods, raw materials, supplier relations, storage, transportation and demand. And, more recently, computerized integration of design, production, marketing, sales and customer support, creates efficiencies, strengthens partnerships, and bounds customer loyalties—all aligned around “information flow.”

The motor car has entered the era of an Internet connected world, an age of business fortune that will be powered by information technology, communication, and connectivity.

With this entry, automakers will have moved from an industrial to an informational business model where rules of commerce, competition and strategy have changed at a fundamental level.

To gain competitive advantage, the leading automotive enterprise will need to quickly evolve to one seamless network, extending the corporate reach to all the entities a company does business with—business customers, prospects, suppliers, distributors, resellers, partners, consultants, contractors and consumers.

From Archipelagos to Portals

Over the last thirty years, the transition of the motor industry from the industrial age to the information age has come in single-step increments. For most manufacturers, the adoption of EDI, integrated CAD/CAE, computerized plant floor systems, corporate-wide communications, dealer communications, and customer support, have all evolved from separate family trees: production, procurement, administration, engineering, assembly. Thus, there are many in-house observations of the informational “archipelagos” phenomenon, i.e., isolated islands of data and information, that were characteristic of the pre-Internet information technology landscape.

External to the auto manufacturing plant, the situation has been comparable. Dealers, for example, traditionally have had to purchase their own hardware and software and many were not connected to their manufacturer’s information resources. There was little inter-dealership support, and no direct dealership- production linkage.

A major challenge for the twenty-first century automaker is the seamless integration of the informational archipelagos of the past into integrated portals of data, content, and analysis.

For first movers, the open architecture of the Internet and emerging portal technology will provide uncommon opportunities.

Internal corporate networks and portals built on open Internet standards will begin to connect auto industry partners and customers in value-added webs of information. Improved technology-mediated partner relationships will speed up product development, lower development cost, reduce procurement costs and positively drive market share and profitability.

In-Vehicle Customer Relationships

In his futuristic novel, Neuromancer, William Gibson coined the term “cyberspace” and described a networked, connected world in which the technology-infused car of the future is an automatically driven device that provides a narrative history of landmarks to passengers as they are quickly and safely taken to their destination.

Today, after years of having one-way conversations (in praise and consternation) with our cars, just as Gibson imagined—cars are beginning to respond. They tell us the door is unlocked, or our destination is two miles ahead on the left, or that we have three new voice messages. Now, the conversation has developed into an interactive dialogue, made possible by the device independence of the Internet which creates unlimited possibilities for sending and receiving data and information in the automobile.

Already customer service is becoming an extension of the in-vehicle navigation system and is providing a completely new element to the whole idea of roadside help. The fact that in an emergency the automobile can send a signal to the customer service center—which is staffed 24 hours a day; and in response, the center contacts you through the in-vehicle cellular phone, or satellite tracking locates you, and emergency assistance is dispatched directly to your location, this is now understood and accepted as a “standard” feature.

In non-emergency situations customers expect their cars to give them directions, unlock by remote signal (if they are locked out); send a repair service to fix a flat; and, get restaurant and hotel reservations.

With the Internet a common format has emerged: connecting personal communications systems, cellular, paging devices and, of course, the automobile. Device independence and information mobility are even further helping reduce the cost of connecting to customers and are providing rare channels for customer intimacy, customer service and marketing.

As to safety, the availability of real-time information delivered into the vehicle is allowing drivers to make informed route decisions based on current traffic conditions, accidents and congestion. Information systems can anticipate conditions based on historic traffic patterns and real-time traffic flow obtained through data traffic centers, i.e., central data repositories of traffic information.

Continuous information flowing to and from the automobile also creates new customer relationship opportunities.

The car voice says: “Hi, I noticed that your engine is running a little hot, why don’t you bring it in to our authorized service drive-through area at the next exit?” Or the automaker interacts directly with a troubled car, diagnosing what’s going on and downloading a software change that revitalizes the stranded vehicle.

With in-vehicle monitoring, smart marketers can create in-vehicle incentives. At 40,000 miles, a coupon print out can be delivered into the glove compartment allowing a 40% discount on tires with cooperating tire dealers in the area.

Vehicle recognition systems recognize when the owner jumps into the car— automatically finding the information service that they subscribe to or the entertainment they like to hear, and providing news, financial or music at a voiced-recognized request.

For security, a stolen auto is disabled automatically by an in-vehicle monitoring system, windows and doors locked, police notified of the location, and even the rights statement read loudly over the stereo system to the suspects: “You have the right to remain silent…”!

Digital automakers are installing transparent displays on windshields that can receive customized graphic messages, advertising, etc. These messages are location dependant and tied into the GPS. Customized audio messages are also received on the audio unit and played back, depending on geographical location and the type of information the driver/passenger wants: “Welcome to the town of Little Rock, our history is…” or “Exit 31 for gas, tires, food, etc.”

Empowered consumers, in the near future, will tell devices what they want to hear and see in their cars, homes, and at work; “agencies” will enhance long term customer value by providing customized content to consumers that creates loyalty and value through enhanced experience, product quality or service.

Whatever the case, a direct in-vehicle channel for customer communication and vehicle monitoring has been established. It is up to digital automakers and marketers to take advantage of it.

The Digital Marketer

The industrial business model of mass production, mass marketing, and undifferentiated products and services is rapidly eroding in the interconnected world of the Internet.

The Internet facilitates new types of information based business processes for reaching customers such as online advertising, electronic marketing, electronic buying and selling, and online customer service. Cyberspace provides a 7-day-a- week-, 24-hour-a-day- sales, marketing and customer service tool that has compelling cost, convenience and communication advantages over the physical world.

For example, pinpointing, analyzing and tracking customer data or “micromarketing” in an Internet connected world creates the potential to know the customer to a greater extent that ever before.

Congratulating a family on the arrival of a new born and, at the same time, promoting a deal on a station wagon may prove a little too intimate for some consumers—while others are sure to appreciate and welcome the individual attention. What is certain is that the refined micromarketing systems of the digital markerter can distinguish these two different customers and direct the congratulations and station wagon offer to the receptive potential buyer.

It is also certain that the Internet is significantly influencing advertising and materially changing the advertising interface with the car buyer.

Yesterday incentives were passed to dealers and to customers for the promotion and purchase of special models.

Today incentives are passed directly to customers who actively participate in the advertising and promotional cycle.

“Push” technology is being deployed on the Internet that sends broadcast e-mails to potential customers, notifying them of huge bargain opportunities. Just as the airlines are offering last minute “unsold seats” at deeply discounted prices, dealers and automakers may implement similar approaches for year end inventory close outs.

Some provide rewards just for reading or interacting with “cyber ads.” One Internet-based company pays consumers for visiting web sites and answering questions relative to their interest in the advertising information provided. The resultant profile becomes a part of the micro-marketing data base.

On the “pull” side of the equation, Internet based customer interaction and mass customization may prove the longest-term source of competitive advantage.

On the Internet a model of mass customization is being executed for products ranging from clothing, to news and financial information, and to automobiles. The principle are the same regardless of the product: the high value of customization delivered to the customer at lowest cost possible.

The leading digital automakers have all built Internet showrooms where, after looking at the features list, customers can electronically specify exactly the car they want (perhaps later, even test drive it in a virtual reality simulation), qualify for financing, and schedule delivery. The end result: a custom-built car delivered to the customer’s home within days.

Importantly, digital automakers are exploring online business models that do not disintermediate established retail dealerships as described in the New York Times news article below:

Ford and Dealers Start Net Retailer That Will Focus on Fixed Prices

DETROIT, Aug. 25, 2000 — Responding to a proliferation of Internet-based businesses selling cars, the Ford Motor Company and a council of its 4,200 Ford- brand dealers announced today that they would set up their own online retailer, FordDirect.com, to help customers find Ford vehicles at fixed prices at dealerships nationwide.

The enterprise will start doing business in California, where customers have shown the greatest interest in online shopping, and then gradually expand to cover the entire country by sometime next year, Ford said. Dealers selling other Ford brands—Lincoln, Mercury, Volvo, Mazda, Jaguar, Land Rover and Aston Martin— will be invited to join the business, but Ford-brand dealers will have 80 percent voting control of the company.

By including every Ford dealer in the country, the new enterprise will increase the pressure on dealers to adopt fixed prices or a narrow band of prices for all of their sales, instead of subjecting customers to hours of negotiation. The prices posted on FordDirect.com will be set by region, based on demand, instead of being the manufacturer’s suggested retail price. The site will also give dealers’ invoice prices, but not to customers with ZIP codes indicating they live in those states that have banned the distribution of invoice information.

Ford dealers will be authorized to offer less than the fixed price posted on FordDirect.com to buyers who contact them through the service, so customers will still have an incentive to do some bargaining.

FordDirect.com is a less ambitious business model than that of some businesses not affiliated with automakers, like the car-buying site installed at the top of Amazon.com’s home page on Thursday by Amazon and by Greenlight.com, a privately held company partly owned by several car dealership chains. Unlike Amazon.com, for example, the Ford site will not provide online appraisals of automobiles that customers want to trade in. General Motors proposed last week to its dealers the creation of an online retailing site that would allow buyers to compare the specifications of G.M. cars to models from other manufacturers, and even put buyers in touch with dealerships selling non-G.M. brands. But FordDirect will do neither.

Ford has criticized Amazon and Greenlight suggesting that they were essentially operating as brokers and might violate laws in some states that bar anyone except dealers from selling cars. But FordDirect, like the Amazon and Greenlight venture, allows customers to choose options, receive a price quote and arrange financing for a specific vehicle, while requiring customers to complete the transaction either at a dealership or with dealership employees who would bring the vehicle to their home. Like Amazon and Greenlight, FordDirect allows customers to put down a deposit on a vehicle, using their credit cards.

Jim O’Connor, Ford’s vice president for the Ford-brand division, said that FordDirect.com was not involved in brokering cars because it was an extension of the existing franchise relationship between the automaker and its dealers. A broker is an intermediary between a dealer and the final user of the vehicle.

Randy Ortiz, Ford’s executive director of consumer e-business, said the company and its dealers had studied regulations in every state. FordDirect should meet every state’s laws, he said, but he acknowledged that a few state regulators might not agree.

FordDirect will charge dealers a fee of $200 for each completed sale, making it a direct competitor to companies like Amazon.com, Greenlight.com and Autobytel.com, which also rely on payments from dealers.

DaimlerChrysler has a less elaborate site intended to steer customers to the Web sites of dealers with good records for customer service.

FordDirect will be unusual among online auto retailing sites in that it will set prices regionally, rather than nationally. Ford and its dealers will use daily computer data on all sales nationwide, a resource not available to companies outside the auto industry, to calculate the regional prices.

Customers in Texas are not as willing as customers in snowy Detroit to pay for four-wheel drive, for example, and the regional pricing model will reflect this with lower prices for four-wheel drive in places like Texas, said Jerry Reynolds, a Ford dealer in Garland, Texas.

********************

For today’s customers, automobile locating services on the Internet are linking buyers to the vehicles they want at the prices they are willing to pay.

The Internet gives customers access to databases of new and used cars, containing information on prices, rebates, list prices, features and the availability of vehicles nationwide.

But, perhaps, more important are the customer databases featuring information, personal testimony and affinity, that steer emotive and practical insight. Statements from real people (not advertisements) explaining how they liked the cars and why they will buy again; information from auto affinity groups and car clubs; even testimonials attached to automotive clothing and accessories stores— all supply a consensual environment for viral marketing.

Part two: Crisis Management in the Internet Age

On August 23, 2000, the New York Times published this article:

Bridgestone/Firestone Plans to Ship Tires From Japan

By THE ASSOCIATED PRESS ASHVILLE, Tenn.—

Bridgestone/Firestone Inc. is airlifting thousands of tires to the United States from manufacturing plants in Japan to alleviate a nationwide shortage caused by a recall of 6.5 million tires.

Earlier this month, Nashville-based Bridgestone/Firestone recalled P235/75R15 ATX and ATX II tires as well as 15-inch Wilderness AT tires made at a Decatur, Ill., plant. The National Highway Traffic Safety Administration is investigating 62 deaths and more than 100 injuries possibly linked to the tires.

The first shipment of 5,000 tires began Wednesday and the company is planning 10 more shipments through Sunday. The company said it would continue the airlifts as needed. “We are taking a number of extraordinary steps to replace these tires as quickly as we can,” Bridgestone/Firestone spokesman Ken Fields said. “We’ll continue to do that throughout this process because the safety of our customers is our No. 1 concern.”

On Monday, Ford Motor Co. said it will temporarily halt production at three plants to make more than 70,000 replacement tires available to consumers. The tires were standard equipment on some Ford trucks and sports utility vehicles, including the Explorer. The NHTSA said consumers have reported tread separation and blowouts on tires of varying age and mileage.

Bridgestone/Firestone is faced with multiple lawsuits and the threat of a strike at nine of its plants. The Center for Auto Safety has filed a lawsuit contending 12 million more Firestone tires—all ATX, ATX II and Wilderness ATs still on the road– should be recalled. The safety advocacy group successfully pushed for 1970s recalls of the Ford Pinto and 14.5 million Firestone 500 tires. Firestone was still struggling from the recalls, which cost an estimated $150 million, when in 1988 Tokyo-based Bridgestone Corp. acquired the company. The current recall is expected to cost Nashville, Tenn.-based Bridgestone/Firestone $350 million.

Several attorneys have filed lawsuits seeking class-action status to represent consumers affected by the recall. Attorneys general in several states also are investigating the safety of the tires and the expediency of the recall.

The United Steelworkers of America, which represents 8,000 Bridgestone/Firestone workers, is also weighing in, forecasting a possible strike at nine plants if no new contract is reached by month’s end. Barry Green, executive vice president of Lippincott & Margulies Inc., an image consultant firm based in New York, said the troubles facing Bridgestone/Firestone mean the company

must work to regain the trust of corporations and consumers. “It’s a long, long road for them,” he said. “I think they just have to be responsible to the marketplace and do what’s right. They’ve lost not only customers, they’ve lost confidence with the automotive industry.”

It is difficult to imagine a more serious customer relationship and perception management problem.

Several months prior to the Bridgestone/Firestone recall, the Marketing Lab created an interactive script to simulate the functioning of an information portal during a tire recall scenario.

The Marketing Lab envisioned an interactive scenario for crisis management involving the design, development and use of customer relationship management portals in the automotive industry.

The goal of the Lab project was to imagine and create an interactive prototype cockpit that would serve as “mission control” from a CRM and enterprise perspective.

In his 1999 best seller, Business @ the Speed of Thought, Bill Gates describes the mission control concept as: a kind of “digital nervous system that can unite all systems and processes under one common infrastructure, releasing rivers of information and allowing companies to make quantum leaps in efficiency, growth and profits.”

The Lab agrees that correct information and speed of execution are the key drivers of competitive advantage in the Internet age.

The prototype automotive portal described below serves as a decision support system that integrates existing customer facing systems, Internet-based lead generation and qualification, partner and sales communications, and electronic customer service and support applications.

The Marketing Lab calls this web-based solution for customer relationship management, the “CRM Cockpit.”

The slides shown below display the Cockpit interface design in relation to the following interactive script. CD ROM copies of the complete interactive prototype are available upon request at drpaulevans.com The key CRM Cockpit components are shown in Table 1.

Table 1: Key Cockpit Components

Component Label	Brief Description	User Activity in the Prototype
Industry Monitor	This is a ticker that gives the user access to outside information such as customized news and stock quotes.	Scrollable, Selectable
CRM Panel	The user can scroll between three dimensions of the CRM panel to instantly view key metric indicators.	Toggle
Knowledge Base	The user can pinpoint desired information or consolidated results by accessing a variety of information. The user can also launch software from this section.	Viewable, Searchable
CRM Viewer	This is a screen in the cockpit where all information is visually displayed. This screen has four tabs that are visible when viewing metric details, including: “properties”, “related”, “reports” and “time series.” All examples of software (similar to native software) will be shown in this space. The screen suggests expandability; however, the screen will not be expanded in the demo.	Viewable, Scrollable, Selectable
My CRM	This is the user’s “personal space” where they place information that can be instantly accessed for future reference. A variety of components (example: metrics, reports, data, etc.) will be displayed in this space using an “at-a-glance” listing.	Scrollable
Collaborator	This gives the user access to collaborative functionality such as, e-mail, www, conferencing, fax, etc.	No Activity
Activity History	The user can view a record of all activities within the user’s section. The records will be grouped by date.	Scrollable
Priority Channel	The user can select the priority channel to view to critical information. (This is “push” information.)	Selectable
Competitor Information	The user can select the competitor information “button” to view competitor information. (This is a probe.)	Selectable
Customer Interaction	Allows the user to review call center conversations or chat room discussions.	Selectable

Shown below: The CRM Cockpit

CRM Information Portal Designed and Developed by:

Dr. Paul L. Evans

CRM Product Demo

In the scenario below, opening scenes 1-4 familiarize the user with the interface design and CRM Cockpit capability.

Scene Number: 1

Scene objective: To demonstrate that the CRM cockpit gives the user instant access to useful information such as news and stock quotes. The demo begins with the CRM Panel showing the “CRM Functions” dimension that has four groups of indicators.

Scene events:

User action: User clicks on scrolling article. Scrolling Article titles:
- Auto Show 2000 a success…
- Euro manufacturers meet to discuss alternative fuel engines…
- New board member elected…
- New website design sets standards for auto manufacturers…
- Environmental standards are raised…

Action impact: User views full article on the CRM viewer.

News Story:

DEARBORN, Mich. – Jorma Ollila, chairman of the board and chief executive officer of global telecom company Nokia Corp., was elected to the Board of Directors of Ford Motor Company on Jan. 12, William Clay Ford, Jr., chairman of the board announced today.

“Jorma Ollila’s international reputation as a strategist and business leader is well established,” said Bill Ford. “Jorma transformed Nokia into a swift competitor and a pioneer in wireless technology and the Internet, and he will be a great asset to the Ford Motor Company Board.”

“Ford has a heritage that stretches back almost 100 years, and leadership with a distinct vision of the future focused on the consumer,” said Ollila. “It is a unique company, and I look forward to working on the Board in this exciting time.”

Jorma Ollila was born on August 15, 1950, in Seinäjoki, Finland. He joined Nokia in 1985, has been president and CEO since 1992 and a member of Nokia’s Board of Directors since 1995. In 1999, he was elected Chairman of the Nokia Board of Directors.

Nokia, headquartered in Finland, is the world’s leading mobile phone supplier and a leading supplier of mobile and fixed telecom networks, including related customer services.

Ollila’s appointment, which was effective Jan. 12, 2000, brings Ford board membership to 13. This is the second appointment of a board member since Bill Ford became chairman on Jan. 1, 1999. Former U.S. Treasury Secretary Robert

E. Rubin was elected to the Ford board on Nov. 11, 1999.

User action: User clicks on scrolling stock quote. Scrolling stock quotes:
- LUMT 36 1/16…
- GM 81 15/16…

YNR 60 3/16…
- CBS 65 1/8…
- TM 83 1/2…

Action Impact: User views detailed stock information.

Scene Number: 2

Scene objective: To demonstrate that the CRM cockpit gives the user easy access to analytical and operational data sources.

Scene events:

User action: User clicks on “Knowledge Base” button.

Action impact: The user views a diagram showing databases represented by icons. The diagram will communicate the relationships between data warehousing and operational databases. In the diagram, icons will be shown representing:

Data Warehouse
- Customer Activity
- Customers
- Products
- Marketing

Scene Number: 3

Scene objective: To familiarize the user with the indicators.

Scene events:

User action: User toggles “CRM Panel.”

Action impact: User stops at “Touchpoints” dimension that includes the “YTD eLeads” indicator. The indicator type is an odometer that displays a number: 1,202.

User action: User clicks on “YTD eLeads” indicator.

Action impact: By viewing the “Properties” tab in the “CRM Viewer”, the user is shown the “eLeads” Property Sheet that displays how the “YTD eLeads” indicator numeric value was determined.

User action: User clicks “Report” tab.

Action impact: Percentage of “eLeads” closed per Region is shown using a column chart:

East = 25%
Central = 45%
West = 33%

User action: User clicks on “West” region on the column chart.

Action impact: Percentage of “eLeads” closed per Area is shown using a column chart:

Area 1 = 14%
Area 2 = 28%
Area 3 = 51%

User action: User clicks on “Area 2.”

Action impact: Percentage of “eLeads” closed by dealer in “Area 2” is shown using a column chart:

Tom Motors = 9%
Virtual Motors = 68%
Dave Jones Motors=8%

User action: User clicks on “Historical Performance” tab.

Action impact: “YTD 2000 eLeads by Quarter” over two quarters is shown using a line chart:

QTR 1 = 900
QTR 2 = 1202

Scene Number: 4

Scene objective: To familiarize the user with the indicators.

Scene events:

User action: User toggles “CRM Panel.”

Action impact: User stops at “Touchpoints” dimension that includes the “Quarterly Revenue by Dealer” indicator. The indicator type is a digital bar with number: 46,000,000

User action: User clicks the “Quarterly Revenue by Dealer” indicator.
Action impact: By viewing the “Report” tab in the “CRM Viewer”, the user is shown a report on the “Quarterly Revenue by Dealer.” The report shows the dealer’s names:
- Tom Motors = $12,000,000
- Virtual Motors = $9,000,000
- Car Line = $14,000,000
- Dave Jones Motors = $11,000,000

User action: User clicks on “Dave Jones Motors.”

Action impact: Breakout of Dave Jones Motor’s revenue (Totaling$11,000,000) by month is shown in the “CRM Viewer” using a line chart:

April = $3,000,000
May = $4,000,000
June = $4,000,000

User action: User clicks on “Related Indicators” tab.

Action impact: Actual indicators (full dials) are shown in the “CRM Viewer”:

Gross revenue = $46,000,000
Expense = $43,700,000
Net profit = $2,300,000
EBIT = $1,380,000

User action: User clicks on “Historical Performance” tab.

Action impact: By viewing the “Historical Performance” tab in the “CRM Viewer”, the user is shown the history of “YTD 2000 Quarterly Revenue” over two quarters using a line chart:

Qtr 1 = $48,000,000
Qtr 2 = $46,000,000

Beginning with Scene number 5 the user is brought into the simulation of the use of the CRM Cockpit in a crisis management scenario.

Scene Number: 5

Scene objective: To demonstrate that the CRM cockpit allows the user to instantly access priority information from a variety of sources. The user is first introduced to the storyline through the drill down of an alert notification listing. By the scene’s conclusion, the user will know the nature of a SUV/tire problem, and will be aware of customers that have been affected by the problem.

Scene events:

User action: User clicks “Priority Channel” button.

Action impact: Various alert notification listings are displayed in the “CRM Viewer”:

Subject	Date	Icon
SUV Tire Problem	Current Date	Text
Emissions Test Results	Current Date	Text
Benefits Update	Current Date–1		Text
New Website Design	Current Date–1		Text
Competitive Marketing	Current Date–2		Text
Sedan Performance Reports	Current Date–2		Text

User action: User clicks “SUV Tire Problem“ alert notification listing.
Action impact: The details of the “SUV Tire Problem“ alert notification are displayed on the “CRM Viewer.”

Alert Notification:

From: Integration Management

To: Corporate, All Dealerships Date: Current Date

Subject: SUV Tire Problem

It has been determined that the current factory installed tires on the 1999 and 2000 SUV’s are not performing according to specifications.

Depending upon the tire model, the expected rating should be between 35,000 and 50,000 miles. However, the average tire is being replaced at 20,000 miles.

At this time, a tire rebate is being offered through the dealerships. When customers require new tires, be sure to submit form SR010500AT. This will ensure that each dealership is not charged the applicable expense.

Many different sources have notified us of the problem including customer calls, dealer/service center complaints, customer e-mails, and Acme Tires. There is more information on this topic in the CRM Knowledge Base.

User action: User clicks on the “More Information On This Topic” hotlink. Action impact: An automated search is conducted on the “SUV Tire Problem.” The “CRM Viewer” displays the search results showing an increasing number of real-time “matches” found (total number of matches found = 615 matches). The matches are grouped by categories and displayed as folders (that indicate the total number of documents they contain), including:

Folder	Number of “Matches”
Articles	2
E-mail	346
Consumer Reports	1
Manufacturing Reports	73
Call Center	190
Partner Notifications	3
Total Number of Matches:	615

User action: User clicks on the “E-mail” folder.

Action impact: Various e-mails are listed by subject in the “CRM Viewer”:

Worn Tires	Current Date	Text
Tires on my SUV	Current Date	Text
You owe me new tires!	Current Date	Text
Tires	Current Date	Text
What’s going on?	Current Date	Text

User action: User clicks on a specific e-mail with the subject “Worn Tires.”

Action impact:

E-mail Message:

From: ssmith@hotmail.com

To: customerserevice@motors.com Subject: Worn Tires

Date: Current Date

I just wanted to let you know how mad I am at your company. I just bought a new SUV less than a year ago and my tires already need replaced. I was led to believe that the tires were good for 50,000 miles and I’m barely over 20,000 miles.

I don’t check my tires daily. But luckily, a friend pointed out that my tires looked bald. There is no telling how long I would’ve been driving on these tires before I had a crisis.
I have kids in my car everyday and if I would’ve had a problem, you can bet that my lawyer would’ve been contacting you instead of me. In the future, I suggest you choose better tires!

Sally Smith

User action: User closes e-mail.

Action impact: The “CRM Viewer” returns to displaying the contents of the “E-mail” folder.

User action: User closes the “E-mail” folder.

Action impact: The “CRM Viewer” returns to displaying the search results page for “SUV Tire Problem” which shows various folders containing the search results.

User action: User clicks on the “Partner Notification” folder.

Action impact: The “CRM Viewer” displays partner notification listings that include:

Acme Tires	Update on RoadGuard Tires	Current Date Text
Acme Tires	RoadGuard Tires	Current Date–1	Video
Acme Tires	Possible Problem	Current Date–5	Text

User action: User clicks on a specific notification with the subject “RoadGuard Tires”

Action impact:

Partner Notification

(Video of Acme Tire’s CEO speaking from his office)

“I’d like to take this opportunity to talk about our RoadGuard tires. As you may already know, this tire is the standard for most of your SUV models.

The RoadGuard tire is designed as an all-season tire that performs exceptionally well on highways. Additionally, it is developed with treads that support light off- road use.

However, it was recently determined that the RoadGuard tires that are standard equipment on your 1999 and 2000 model SUV’s are not performing to specification in certain adverse conditions. Under these conditions, we have found that the RoadGuard tire is losing its sharp-edged treads. This may hamper handling and stopping capabilities, and could cause premature wearing that necessitates replacement before 35,000-miles.

We are immediately addressing this problem by providing each dealership with new SUV tires that will perform according to the original specification. We are authorizing this product replacement to address any customer issues related to premature wear.

We sincerely apologize for the inconvenience this has placed on you and your customers.

At Acme Tire, we look forward to our continued relationship and we welcome your feedback. Thank you.”

User action: User closes the “Partner Notification” folder.

Action impact: The “CRM Viewer” returns to displaying the search results page for “SUV Tire Problem” which shows various folders containing the search results.

User action: User clicks on the “Call Center” folder.

Action impact: The “CRM Viewer” displays call center listings that include:

	Call Center	Customer Rep Subject	Date Icon
	Central Voice	Derek Griffith (Rep 1807)	Tire Problem Current Date
	West Voice	Cindy Prather (Rep 203)	Tires on SUV Current Date
	ChatRoom Text	Eric Rodella (Rep 367)	Tires Current Date
	ChatRoom Text	Randal Miller (Rep 72)	Bald Tires Current Date
	Central Voice	Carrie Purdy (Rep 101)	RoadGuard Tires Current Date
User	action:

Call Center Transcript (voice recording):

CC Intro: “Your call may be monitored for quality assurance.”

CC Rep: “This is Derek, may I help you?”

Customer: “I’m calling about the tires on my SUV.” CC Rep:

“Certainly… What is the year and model?”

Customer: “I have a 1999 Sports SUV.”

CC Rep: “Thank you… And why have you called?”

Customer: “The tires need to be replaced and the SUV is barely 6 months old! The tires should be good for at least a couple of years!”

CC Rep: “We are aware of the problem and there is actually a rebate program that has been issued to address this problem. Have you received our written information about our tire replacement program?”

Customer: “No. Not yet.”

CC Rep: “If you take your SUV to your local dealership, and if you qualify, you can have the tires replaced at no charge.”

Customer: “Oh… Well, that’s good!”

CC Rep: “Is there anything else I can help you with?” Customer: “I guess not… I appreciate the help.”

CC Rep: “Certainly… If you have any other questions or comments, please let us know.”

Customer: “Thanks. Bye.”

CC Rep: “Bye and have a nice day.”

Scene Number: 6

Scene objective: To show that the CRM cockpit allows the user to instantly view the results of programs that have been implemented.

Scene events:

User action: User toggles CRM panel.

Action impact: User “arrives” at “Touchpoints” dimension that includes the “YTD Service Rebate Response” indicator. The indicator type is a full dial with percentages: 60% (Reference #13 in the indicator detail)

User action: User selects the “YTD Service Rebate Response” indicator.
Action impact: By viewing the “Report” tab in the “CRM Viewer”, the user is shown a report on the “YTD Service Rebate Response.” The report will contain:
- Program start and end dates: 10/1/99 – 10/1/00Number of rebates sent: 660
- Number of rebate responses: 396

Scene Number: 7

Scene description: To show that the CRM cockpit works with your current IT investments such as native software applications. The user will become aware that the sales figures for SUVs are doing well and should continue to grow.

Scene events:

User action: User toggles CRM panel.

Action impact: User “arrives” at “Touchpoints” dimension that includes the “Quarterly SUV Units Sold” indicator. The indicator type is an odometer that displays a number: 330

User action: User selects the “Quarterly SUV Units Sold” indicator. Action impact: By viewing the “Report” tab in the “CRM Viewer”, the user is shown a report on the “Quarterly SUV Units Sold.” The report will contain:
- Model Type 1 = 330
- Model Type 2 = 210
- Model Type 3 = 120

Additionally, the forecasted YTD SUV units sold vs. actual YTD SUV is shown using a column chart:

YTD SUV Units Sold = 540
Actual YTD SUV Units Sold = 660

User action: User clicks the “Enterprise Applications” button in the “Knowledge Base.”

Action impact: “CRM Viewer” displays listing of applications in the “CRM Viewer”:

ERP
SFA
Supply Chain
Mgmt
G/L
Dealer Systems

User action: User clicks on the “SFA” application listing.
- Action impact: The prospect pipeline is shown in the “CRM Viewer” using SUV detail. The Siebel-like pipeline chart and supporting detail.

Scene Number: 8

Scene objective: To show the CRM cockpit user creating a new priority alert based on scene seven’s sales pipeline detail.

Scene events:

User action: User clicks on “Priority Channel” button.

Action impact: Various alert notifications listings are displayed in the “CRM Viewer” (as noted in scene number five).

User action: User clicks on “New Alert” button displayed in the “CRM Viewer.”

Action impact New Alert Notification:

To: Acme Tire

Date: Current Date

Subject: RoadGuard Tires

As you know, the tire problem is serious and the number of customer complaints is increasing daily. In addition, after reviewing our current sales pipeline, it is very apparent that our SUV sales are doing well and will continue to grow. Therefore, it is imperative that this problem be addressed in the quickest manner. We do not want this problem to jeopardize our SUV sales.

We have proactively issued a service rebate through the dealership channel. However, it is essential that all new SUV’s be integrated with the tires that contain the proper rating. Let’s ensure that we expedite the delivery process to each plant. We can neither stop the assembly lines nor use the existing tire inventory.

Thanks and let me know how I can help.

Scene Number: 9

Scene objective: To show the use of competitive data in decision-making processes.

Scene events:

User action: User clicks on “Competitor Information” button. Action impact: Various folders (organized by category) containing competitive information are displayed in the “CRM Viewer”:
Product Lines
Financials
News
Articles
Media
Reports

User action: User clicks on “Media” folder.

Action impact: The “Media” contains folders which are displayed in the “CRM Viewer”:

Radio
Television
Internet
Print

User action: User clicks on “Radio” folder.

Action impact: A partial set (5 of 10) of the total listings contained in the “Radio” folder is displayed in the “CRM Viewer.” Each listing includes:

US Motors News Consumer Update National Current Date Voice

Minfiniti Adv General Product Northeast Current Date–1 Voice

US Motors Adv Finance Options National Current Date–1 Voice

Doyota News Recall Anncmnt. National Current Date-1 Voice

BWM Adv Year 2000 Models South Current Date–1 Voice

User action: User clicks on the “Consumer Update” news listing.

Action impact:

Consumer Update Story (voice recording):

“…in a related story…

It appears that US Motors has had a recent number of incidents with their pick-up trucks and SUV’s. A recent “Off-Roading Today” article blamed the RoadGuard tires for several accidents. According to the article, the tires do not perform in adverse conditions where terrain and weather can cause hazardous driving conditions. Acme Tires, the makers of RoadGuard, issued a report stating a harder rubber is being used for all new tires that has passed all off-road safety tests.”

Scene Number: 10

Scene objective: This scene demonstrates the use of Amerilink information being used to identify a customer segment. The user learns which customers require notification based on the nature of the tire problem.

Scene events:

User action: The user clicks on the “Customer Analytics” button. Action impact: A series of buttons are displayed in the “CRM Viewer” that enable the user to view customer analytics from a variety of sources:
- Amerilink
- Source two
- Source three
- Source four
- Source five

User action: The user clicks on the “Amerilink” database.

Action impact: The CRM Viewer will contain consumer categories with the statement “Data Elements listed below are part of the Amerilink Consumer Database.” There are five major consumer categories listed:

Interests
Books and Magazines
Mail Response
Automobile
Address Information

User action: The user clicks on the “Interests” category.

Action impact: The “CRM Viewer” reveals a description of interests and the national count for each category.

User action: The user highlights various interests:
Snow-skiing
Camping/hiking
Hunting/shooting
Fishing
Motorcycling
Wildlife/environmental

Action impact: The interests that have been selected appear highlighted.

User action: The user clicks on “Save” button located in the “CRM Viewer.”

Action impact: The “Save” button becomes highlighted.

User action: The user clicks on “Return to Consumer Categories” button.
Action impact: The user is returned to the “Amerilink” consumer categories (Interests, Books and Magazines, Mail Response, etc.).

User action: The user clicks on the “Address Information” consumer category.

Action impact: The user is given two options:

“Add Your Customer?”
“Match Your Customer to Consumer Categories?”

User action: The user clicks on the “Match Your Customer to Consumer Categories” option.

Action impact: A window appears with customer data listed by:

Home Address
Telephone Number
E-mail Address

User action: User clicks on a button labeled “Contact these Customers?” Action impact: Another series of buttons will prompt the question “By What Method?” using:
E-mail
Telephone
Postal
All of Above

User action: User clicks the “All of the Above” delivery option.

Action impact:

E-mail Message:

To: Customer Distribution List

Subject: Outdoor Activities and Your RoadGuard Tires Date: Current Date

As part of our ongoing effort to provide the highest level of customer service, it is essential that we inform you of an important subject.

Many 1999 and 2000 model SUV’s have the RoadGuard model of tires. These all-season tires are designed to perform exceptionally well on highways. Additionally, the RoadGuard tire is developed with treads that support light off- road use.

It was recently determined that RoadGuard tires on 1999 and 2000 model SUV’s are not performing to specification in certain adverse conditions. Under these conditions, we have found that the tire is losing its sharp-edged treads. Additionally, using your SUV in an off-road environment may expose you and your family to hazardous driving conditions.

This problem has been addressed and we are pleased to announce that new tires are available, for qualifying customers at no charge. Please contact an authorized dealer near you, or visit roadguard.com/tirerebate for more information.

We regret any inconvenience we may have caused and we remain committed to world-class products and services.

In addition a new internal alert is generated and sent internally to the marketing team:

New Alert Notification:

To: Corporate Marketing Managers

Subject: High Risk Customers

Date: Current Date

We recently sent a message to our current customers that own late model SUV’s that perform outdoor-related activities. These customers were identified as a high risk for developing premature wear on their tires, and we want to make sure they have their tires replaced ASAP.

When these customers contact us, we need to ensure that we are consistent in our message and that we clearly communicate the importance of the tire replacement. Please ensure that this information is thoroughly communicated to all appropriate team members in your respective departments.

The customers were identified using Amerilink data; click here for a listing of these customers. In addition, click here to see the message that was sent to the customers.

********************

Scene Number: 11 ( Scene Number 11 occurs several weeks later in time, following the actions of Scene 1-10).

Scene objective: To show that the CRM application allows the successful management of customer relationships.

Scene events:

User action: The user clicks on the “IntelliSearch” button in the “Knowledge Base.”

Action impact: A search for information relating to the tire problem is executed.

The search criteria is “Customer E-mails or voice center interaction dealing with tire problem.” The “CRM Viewer” displays the search results showing an increasing number of real-time “matches” found (total number of matches found = 928 ).

User action: The user clicks on the “E-mail” folder.

Action impact: Various e-mails are listed by subject in the “CRM Viewer” (as noted in scene number five).

User action:

E-mail Message:

From: ssmith@hotmail.com

To: customerserevice@motors.com

Subject: We Had A Great Trip

Date: Current Date

My name is Sally Smith and I sent an e-mail to you not too long ago about my tires. I was pretty mad because my tires were worn and my SUV isn’t very old. However, shortly after I sent the e-mail I received a notification about a tire replacement program and I had them replaced immediately.

My family and I go skiing every year and we usually drive to our cabin. I just wanted to let you know how comfortable we were driving in the snow. It’s customer service like yours that made it possible to have a safe vacation without any worries.

Please enjoy some photos we took on our vacation and thanks again. Sincerely,

Sally Smith

User action: User closes the e-mail.

Action impact: The “CRM Viewer” returns to displaying the contents of the “E-mail” folder.

User action: User closes the “E-mail” folder.

Action impact: The “CRM Viewer” returns to displaying the search results page for “Customer e-mails or voice center interaction dealing with tire problem.” This page shows various folders containing the search results.

User action: User clicks on the “Call Center” folder.

Action impact: The “CRM Viewer” displays call center conversation listings (as noted in scene number five).

User action: The user clicks on call center listing with the subject “Customer Accolade.”

Action impact:

Call Center Transcript (voice recording):

CC Intro: “Your call may be monitored for quality assurance.”

CC: This is Cindy, may I help you?

Customer: Hi, this is Jane Masters. I received a letter from your company thanking me for coming in and having my tires replaced on my SUV. I really thought it was nice of you to send us that follow up note.

CC: You’re quite welcome.

Customer: You know, the last time I called I was very angry, and I complained about the dangerous tire situation. But I wanted you to know that when I went in to get the tires changed, the dealership was wonderful. They provided me with a rental car while my SUV was in the shop and the staff answered all my questions. So in a way, what I’m really calling about is to commend you for being so responsive in this situation and to let you know how much your customers appreciate it.

CC: Well thank you very much, we’re very pleased to know that. Customer: And there’s something else…

CC: Yes?

Customer: I saw that you included a brochure about towing packages along with the letter you sent. My husband and I were surprised that you sell them; in fact, we’d like to order one. How can I find out about what types of towing packages you have for my model SUV? Can you help me with that on the phone?

CC: Yes we can! Customer: Great!

CC: We can take your order or provide you with any information you’d like. I see from our records that you have the 910 SUV model. Do you know your desired towing amount?

Customer: I do… We’re going to be towing a boat. Including the trailer, it’s about 3,900 lbs..

(Fade-out)

********************

In the newly connected world (of the enterprise, partners and customers), the flow of information is the key variable in decision making, competitive advantage, and—ultimately—customer satisfaction.

The Marketing Lab believes Customer Relationship Management portals will evolve to facilitate this process.

CONCLUSION

As we enter the twenty-first century, automakers have moved form one age—the industrial era—to the next—the age of information—where the rules of business competition and strategy are changing at a fundamental level. In the industrial era, mass production was the hallmark that characterized competitive advantage. In the information age, the emerging connectivity of the Digital Automaker will prescribe global leadership and future growth.

The Digital Automaker will open up a multidirectional informational conduit among all components in the supply and demand chain from manufacturer to consumer. The information flow will be diverse and interactive. It will create dialogue between producers and consumers, and collaboration among business partners.

By strengthening their links with customers, partners, suppliers, distributors and dealers, digital automakers quickly and cost effectively bring to market the products and services that the customer requires, when the customer wants them. Digital automakers engage customers and partners in a tight-feedback loop that will drive customer satisfaction and ensure customer intimacy.

The motor industry may still be uncomfortable with cyber-marketing, information portals and even talking cars. Yet, industry analysts clearly realize that much of the industrial era motorcar legacy is ripe for change.

And change it will, at both the manufacturing and retail levels. For dealers, on-line alternatives to financing and new car purchase; Internet and wholesale alternatives to used car purchases; and fast-fix auto repair shops will cut deep into traditional profit arteries. New products and services must be applied for survival. The Digital Automaker will prove to be the source of these applications.

At the manufacturing level, the Internet and portal technology will naturally displace systems that are outdated, costly, ineffective and no longer supportive in building brand value. It will also raise and lower barriers to entry, and competitiveness based on the ability to adopt, extend and execute. And, it will create uncommon choices for growth; some of which may seem very far downstream from the traditional manufacturing business.

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