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Disparate applications and siloed information inhibit an organization’s ability to respond to changing customer and market needs.  Today’s buyers are savvy and in control, and they want customized products and services to meet their needs, available on their preferred channel, on any device, and on value.  As Alex Atzberger, President of SAP Customer Experience, recently stated at the SAP SAPPHIRE NOW and ASUG Annual Conference, “It’s not about B2C, but me2B.”   It’s no longer the customer “managing” the consumer.  The consumer now manages the engagement model and defines the interaction model.

When it comes to the end-to-end experience, one chink in the armor can have significant, negative impacts to customer retention, customer lifetime values and the bottom line.  For large enterprises, just a 5% improvement in customer retention can yield up to a 90% improvement in margin.  And as we know from past research and our own lives, customers are willing to pay more for a superior customer experience.

For these reasons, SAP is flipping the script of traditional Customer Relationship Management (CRM) focusing on the transaction and sales persona to a complete, end-to-end Customer Experience putting the customer (persona) at the center of everything.  In today’s age of disruption, it’s critical that companies consider an end-to-end approach for managing their functions with the help of technology.

Introducing SAP C/4HANA – one unified suite of cloud solutions to manage the customer experience based on one trusted customer data model.   C/4HANA brings together solutions previously known as SAP Hybris, Gigya and CallidusCloud, to create an end-to-end suite of five cloud solutions:  SAP Sales Cloud, SAP Marketing Cloud, SAP Commerce Cloud, SAP Service Cloud & SAP Customer Data Cloud.  The “C” stands for Customer of course, but it also stands for Cloud and Connected – and it’s based on the idea that you can’t truly have a 360-degree view of the customer unless you pull together the demand chain with the supply chain in a holistic manner.

Only the strength of your digital core determines the depth of your customer experience.  And delivering this intelligent, end-to-end process with a single data model and user experience is something that only SAP can offer.  doTERRA’s story is a fantastic example of this.  doTERRA is the world’s largest essential oils company leveraging SAP’s capabilities from core-to-edge and edge-to-core including SAP S/4HANA and select C/4HANA capabilities.  doTERRA CIO Todd Thompson joined the SAPPHIRE stage and shared their success story.  “The intelligent enterprise is exciting on the back end but even more exciting on the front end when it comes to the customer experience,” Todd spoke on stage.  Later, SAP CEO Bill McDermott cited a retail customer that has recently installed S/4HANA and can now fulfil customer needs because the supply chain is directly plugged into the customer experience layer, and it is all executed in the HANA database: “What the board cares about is, do I know about my consumer when they go direct on the internet, when they go shop at a wholesaler or a retailer?  Geospatial technology is essential in the database. [The customer experience] is completely unpredictable now, unless you have an in-memory database connected into the supply chain so you can get her the products she deserves.”  And finally, Karma Automotive is another fantastic story, which showcases how they established one integrated platform enabled by a digital core (S/4HANA) and a suite of SAP cloud solutions (C/4HANA).

Moving forward, the focus will not just be on efficiency and “managing” the customer in a cost-efficient and revenue enabling manner.  It will be more about effectiveness, and to be effective, you need intelligence and integration.  This is exactly what SAP is delivering leveraging one platform, one data model and a consistent user experience enabling businesses to be best-run.

Part 2 of this blog series will specifically focus on how SAP is enabling a 21st century, effective Lead-to-Cash process that is intelligent and integrated delivering significant impact to the enterprise.

 

To learn more, please visit:

SAPPHIRE NOW press release – SAP C/4HANA

SAPPHIRE NOW demo – Modernizing the Customer Experience with SAP C/4HANA

 

ASUG – SAP’s CRM Leadership Strategy Takes Shape

OpenSAP – Reimagine Customer Experience with SAP C/4HANA

 

Twitter:  @Kargman_SAP

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