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Will Next-Gen CRM Focus On Consumer Emotions?

Written by Evan Schuman
December 24th, 2008
Extensive analysis of a consumer's Web interactions has been used for years to try and target sales pitches more effectively. But new research suggests that such analysis may pale in comparison to the next wave, where every digital comment made by consumers anywhere—in a product comment, an IM, on a social network site, in E-mail and via exchanges with a live chat tech support person, coupled with Web traffic analysis—can be mined for hints as to their emotions and other thoughts.

The science and technology of it is really not that far-fetched. The fact that so many consumers—especially younger consumers—today share so many of their thoughts and private moments in so many public settings alone would allow even a casual observer to learn quite a bit about someone. But it gets far worse.

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3 Comments | Read Will Next-Gen CRM Focus On Consumer Emotions?

  1. Dan Lohrmann Says:

    Evan,

    Thanks for the great article. I appreciate your excellent coverage of these issues. However, there are many more questions around privacy and morality in the scenarios you describe.

    For one, will this be “opt-in” or the default experience that is mandatory (or perhaps listed on page 17 in small print of the terms of use) for a website? I suggest that unless this becomes a well-defined opt-in situation, privacy advocates will rightly protest.

    There is another approach which would answer the privacy and morality question and actualy help families rather than tempting emotions. What if one could opt-in to “surf your values” and base the CRM on values and pre-defined preferences as well as behavior? In my view, this is the right answer – not targeting users emotions. I describe this approach in detail in chapters 9 & 10 of my new book, Virtual Integrity.

  2. Justin Barrie Says:

    Evan, we are attempting to achieve a version of this right now at perkler.com. As an online community for retail loyalty programs we can capture consumers comments, ratings and, importantly, what is in their entire virtual wallet so that retailers can see the breadth of brands people align with.

    It’s early days but retailers are warning to this as a strong data set they can put together with their internal CRM systems.

    And Dan – it’s opt in because it’s in a community people choose to join and it’s aggregated so that there is no personal information.

    Justin

  3. Ted Oden Says:

    Evan,

    I find your articles interesting and I can’t help but respond. Your last two paragraphs are quite intriguing. You actually wouldn’t mind someone you don’t know using your personal information to get you to buy their product, perhaps without you even knowing you are being taken advantage of? Sounds like offering a drink to an alcoholic. Your personal response follows an ends justifies the means mentality so long as you agree with the ends.

    I have yet to find a retailer I would trust with this information, let alone one who would “probably” keep to the right side of the moral question.

    I agree with Justin and Dan, best case it would have to be an opt-in scenario.

    Call me a pessimist or a realist.

    Regards,
    Ted

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