From the mischief caused by Napster to the arrival of the iPhone and the (once improbable) reality of wearables and self-driving cars, our world has evolved – and so have your customers. Since the launch of Forrester’s Consumer Technographics® study in 1997, we have had a front-row seat for the dramatic changes in consumer behaviors and attitudes that have upended traditional business models and resulted in a chaotic marketplace where behemoths become bygones.
These changes are not as random as you might think: Forrester’s data analysis reveals five key shifts in consumer behaviors, attitudes, and expectations that fuel customer empowerment: willingness to experiment, device usage, digital/physical integration, information savviness, and self-efficacy. As consumers continue to evolve along these dimensions, business leaders must think differently about how to build and sustain customer relationships – more than simply analyzing historical behavior, demographics, and lifestyles, models of customer understanding must now account for the empowered customer’s expectations, emotional motivations, and contextual decisions.
Therefore, we are excited to launch Forrester’s Empowered Customer Segmentation, a model that measures how customers evolve along the five dimensions of change – and at what rate.
Many new marketing automation solutions are now available to help B2C marketers manage customer engagement, B2B marketers manage leads, and marketers of all ilk manage other marketing processes, such as campaigns and digital asset management.
European marketers are traditionally more hesitant about investing in technology projects, leading to a perception that they are late adopters. But in 2014, we observed a new European propensity to invest, and this trend continues with an increasing sense of urgency. In Forrester's Global Business Technographics® Marketing Survey, 2015, 50% of 248 European markers even named "don't have the right technology" as their most important organizational concern related to achieving their marketing priorities — and European firms now have stronger investment plans than their North American peers in almost every marketing category.
As well as having to deal with a more complex regulatory environment, marketing and sales disciplines are also markedly different in Europe. The survey showed that European businesses tend to:
Have federated marketing organizations.The fragmentation of the target markets that European firms sell to means they need to use many more channels, languages, and messages to be effective.
Rely more on channel partners.Nearly one-third of the European marketers we surveyed stated that their channel partners were their primary sales channel, compared with 11% in North America. The result? Marketing and sales enablement projects are quite different, with a stronger need for through-channel marketing in Europe.
Following last year’s highly successful Summit for Marketing Leaders in Shanghai, I’m excited to take on the role as the forum host for Forrester’s upcoming Customer Experience (CX) Marketing Shanghai 2016 Forum, taking place just seven weeks from now on September 1 at the JW Marriott Shanghai.
The line between CX, brand, and marketing disciplines has blurred as empowered customers now have more knowledge, more power, and more leverage than ever over companies, services, and products. This year’s Forum focuses on fusing CX, brand, and marketing, which is the first step to becoming customer-obsessed, to build the foundation for driving continuous business success in the age of the customer. We are here to help you answer these questions:
How do companies thrive in this dynamic environment?
How can I combine CX, brand, and marketing to create a core competitive advantage for my company?
How do I show the real value of CX to the rest of my organization, including senior executives?
Our CX Marketing Shanghai 2016 Forum brings together the best minds of marketing and CX from both Forrester and leading companies in different industries to discuss forward-looking trends and share best practices. Come attend this one-day forum to:
Understand how CX, brand, and marketing drive business growth
Learn best practices from CX and marketing leaders in different industries
Deepen your understanding of your rapidly evolving digital customers
Know how to boost marketing outcomes through digital technologies and advanced data analytics
See how design thinking and digital technologies can improve CX quality and increase your customer loyalty.
Business leaders in the financial services industry (FSI) know that digital isn’t the future — it’s the present. How do I know this? A recent Forrester survey found that global FSI firms generated 34% of their 2015 revenue through digital products and services or products sold online. By 2020, this digital quotient will surge to more than half of their business, driving a digital arms (and capabilities) race against a new breed of competitor.
Australia's banks have already proven to be some of the most innovative globally. But faced with increasing consumer demands and financial technology (fintech) challengers, they need to continue to raise the bar. JP Morgan CEO Jamie Dimon accurately sums up the new competitive dynamic that all major banks face when he notes that “There are hundreds of startups with a lot of brains and money working on various alternatives to traditional banking.”
Our inaugural invitation-only FSI summit in Sydney on Thursday, August 4 will bring together an intimate group of senior executives from banks, insurance companies, and fintech firms to share Forrester’s latest digital business research and facilitate a discussion with industry leaders in the financial services industry. Our team of esteemed analysts will lead the discussion; here is a snapshot of the topics that will be presented on the morning of the summit:
Michael Barnes (Vice President and Research Director serving CMOs – Sydney): Accelerating Digital Business In Financial Services
Companies use complex software from different vendors to support customer service operations. They use:
Queuing and routing technologies. They capture the customer inquiry, which can be via voice, digital, or social channels, and route and queue the inquiry to the right agent pool.
CRM customer service technologies. They enable customer service agents to create and work the incoming service request.
Workforce optimization technologies. They record agent interactions with customers, evaluate the quality of these interactions, recommend targeted training based on quality scores, manage agent schedules, forecast future schedules and more.
Verizon wants Yahoo to fill out its omni channel content and advertising play. The more access to customer data it has (online through Yahoo and AOL, in home via cable boxes, on mobile via smart devices) the more targeted it can be with advertising and sponsored content or product placements across those same devices. This allows Verizon to create better ad products which is competitive against primarily online giants (Google) and creates a better user experience which is competitive against other cable and telecom providers.
This week Microsoft announced a new offering (available in the Fall): Microsoft Dynamics 365. Sound familiar? It should. Office 365, Microsoft Dynamics CRM, and Microsoft Dynamics AX all come to mind, and this was not done by mistake. Microsoft is bringing together the capabilities from these products, their intelligence tools, and third party or internally-built apps from its newly launched AppSource. Microsoft will use Dynamics 365 to provide disaggregated applications that serve the functional needs formerly delivered through CRM and ERP suites (e.g. sales, service, marketing, operations, etc.) atop is a common application platform and data model.
So what is Microsoft looking to achieve with these changes? Well, business doesn’t end with a customer interaction, and delivering superior customer experiences doesn’t end at the front office. Front office and back office apps need to talk to one another to make sure companies are able to win, serve, and retain customers. Microsoft aims to:
Give employees access to the right data and tools to perform their jobs. By utilizing a common data model, Dynamics 365 will show a consolidated view of the customer, inclusive of transactional data. This consolidated view delivered in the context of business apps will provide marketing, sales, and service professionals the appropriate context and functionality to serve their customers.
On the negative side, customers are more willing and able to move spend when they encounter poor experiences, meaning companies are facing the risk of confronting a 10% churn reality if they underperform in CX.
The World Bank explains Islamic finance as “equity-based, asset-backed, ethical, sustainable, environmentally and socially responsible finance.” In previous Forrester research, we have described many of the core principles of Islamic banking: limitations on interest, certain contractual considerations, and the prevention of gambling — which limits many of the speculative aspects of financial services. These principles make the Islamic Banking sector worthy of consideration in itself; and the tools and technologies that support Islamic banking are important for any financial services firm operating in geographies with large Islamic populations. However, the market is relevant for other key reasons:
Islamic banking is of a significant size and continues to grow. For example, Islamic commercial banking hold totals assets of about US$1.1 trillion and has captured a 15% to 20% market share of total commercial banking in countries where Islamic banking exists (according to Hamdan Bin Mohammed Smart University in the UAE). Recent estimates predict growth rates of about 9% for the finance market and 10% for commercial banking — rates beyond the growth of many conventional banks (according to the Dubai Islamic Economic Development Centre andThomson Reuters).
Two weeks on, the result of the UK referendum on membership of the European Union (EU) continues to reverberate around the world. Forrester provided advice for clients needing to understand the business implications. Looking at the specific impact on public cloud deployments in Europe introduces a number of additional points. These are best considered in three separate contexts:
that of companies wishing to serve customers in the UK
that of companies wishing to serve customers in the remaining 27 EU member states (the EU27)
that of companies wishing to serve customers in the EU27 from a base in the UK.