Enhancing Customer Service through Market Research and Segmentation

1. Enhancing Customer Service through Market Research and Segmentation February 27, 2013 Paula Edwards Director Customer Care, GO Transit

2. GO Transit - Background • A division of Metrolinx • 1967 first service launched • 64 million passengers moved in 2012 • 260,000 passengers/weekday • 80% Rail; 20% Bus • Connects 16 municipal transit systems • 78 stations / terminals • 66,000 + parking spaces

3. Turning Point for Customer Service • 88% train on-time performance in 2008/09 • Negative public and customer perception • Focus on operations and safety often compromised customer service • Lack of customer engagement • Led to a 3 year Customer Service Strategy that was approved in 2009

4. Research in 2008 • Customer Satisfaction Survey – 1st in 5 years • Origin/Destination bi-annual surveys • Reactive action based on customer complaints – no trending

5. Embedding the Customer into our Culture Research Road Map Customer Service Training Roadmap • Mystery Shopping • Usage and Attitude Study • Customer Experience Mapping • Retail Strategy • Customer Segmentation • Customer Satisfaction Executive Workshops • Ideas @ Work • Customer Online Advisory Panel • Customer Comment Dashboard • Established the Research and Business Solutions team • Passenger Charter Focus Groups • Customer Satisfaction Program Excellence + We Excel Delivering Strategic Services 2013 We Anticipate Moving Beyond Expectations 2012 2011 We Care II Reinforcing our Commitment 2010 We Care I Serving our Customers 2009 Foundations

6. Let GO Know Launched in April-2011 as a foundational tool to elevate research • Over 6,700 panellists • Average response rate of 41% • 70% respond within 24 hrs. • Utilized for: - Concept testing for new products - Insights for new programs and initiatives - Feedback on existing products/services Research now completed at 1/10th of the cost of traditional surveys

7. How We’re Listening • Closing the feedback loop with customers • Website links survey results with action • GO News • Annual progress reports • Public facing scorecard

8. Evolving Research to Insights

9. GO’s Customer Segmentation

10. GO’s Segmentation Approach • Striving to be more than just a transportation provider • We learned from Retail; • Every Passenger is the Same • Everyone is Completely Different • Natural Grouping of Preferences Designed to create an actionable segmentation of GO riders in order to improve service and communications.

11. GO’s Customer Categories • GO’s Segments are based on: • Demographics and Psychographics • Media habits, Hobbies and Interests • Satisfaction with and Attitudes towards GO Transit • Activities on the GO • Reasons for Riding and Frequency of Riding on GO Transit • Travel patterns

12. GO’s Customer Segmentation • GO settled on 7 distinct passenger personas: “The Happy Rider”

13. GO’s Customer Segmentation “The Working Rider” “The Rider that Wants to be Left Alone”

14. GO’s Customer Segmentation “The Angry Rider” “The Social Rider”

15. GO’s Customer Segmentation “The ‘Hip’ Rider” “The Student Rider”

16. In Practice – GO’s Quiet Zone Segmentation Research Found • How we used the Research • Celebrated among six segments • An opportunity to delight “The Angry Rider” and the “Rider who wants to be left alone” • Pay attention to “The Social Rider”

17. Using Segmentation moving forward • Incorporating Segmentation into all research • Marketing Plan • Courtesy Campaign • Brand Design Refresh • Social Media • Communications Strategy • Next multi-year Customer Service Strategy

18. How we’re doing:

19. What We’ve Learned • It’s a journey – not a quick win • Have a Plan. “Without a destination, any road will do"  • It doesn’t need to cost a lot • Recognize the diversity/similarities in your customers needs • Engage executives early and take action • Close the feedback loop with your customers

20. Thank You! • GO, Union Pearson Express and PRESTO are divisions of Metrolinx, an Agency of the Government of Ontario