Financial services (Banks & Credit Cards) performed well. In fact, along with PC Manufacturers, they topped the CX Index in terms of industry-averages. Financial firms recognize that the lifetime value of each customer relationship can be significantly higher than in other industries, so they strive to deliver better-quality experiences to their clients. In contrast, Auto & Home Insurance companies were found lacking in the experiences they delivered to clients, and brought up the rear of the industry-average rankings.
Traditional and Digital-only retailers improved their CX significantly. Digital-only retailers are realizing that deep discounting can only take them so far, and are now focusing on delivering differentiated CX instead. Feeling the heat from digital players, traditional retailers made great strides to improve their CX too. Despite these efforts, both traditional and digital-only retailers moved from delivering ‘poor’ CX last year to just ‘OK’ CX this time around.
On November 7, China’s top legislature adopted a cybersecurity law to safeguard the sovereignty on cyberspace, national security, and the rights of citizens. The law has seven chapters that define specific regulations in various areas, such as network operational security (including key IT infrastructure), network information security, monitoring, alerting, and emergency situation handling as well as related legal responsibilities.
Some critics, especially those in Europe and the United States, continue to read too much into the negative impact of this legislation. I believe that it’s the reasonable move for the Chinese government to make in order to balance national security, citizen privacy, and economic openness. Foreign players in the Chinese market must revisit their local strategy and accelerate their digital transformation if they don’t want to miss the increasing needs and new opportunities regarding security and privacy:
The cybersecurity law has substantial advantages that benefit cybercitizens. For example, for the first time, the Chinese government requires that vendors providing cyberproducts and cyberservices must make clarifications to users and attain their approvals before they collect personal information. The new law also regulates that if companies leak or illegally sell personal information to third parties, they must bear legal responsibilities accordingly. These regulations mark a critical milestone in China’s journey toward personal privacy protection, and they are also important for consumers in the world’s largest market to protect themselves against internet fraud and spam messages.
For the past few years, Forrester has fielded a Global Mobile Executive Survey to understand and benchmark mobile initiatives. This year, my colleagues Julie Ask, Jennifer Wise and I are updating the survey again to help marketers and business executives benchmark and mature their mobile strategy and services.
Planning and organizing for the use of mobile technologies is a complex task. Integrating mobile as part of a broader corporate strategy is even more complex. However, some players are leading the way and working on infrastructure, staffing, and competencies that are hard to see unless you look closely. If you want to understand the role that mobile is playing in various organizations, what their objectives are, how they measure the success of their mobile initiatives, and a lot more, you just have to share with us your own perspective and we will aggregate the answers.
Companies that succeed in the post-digital era marry digital engagement, traditional marketing, data, and technology to create superior, customer-centric brand experiences. For marketers, this means staying ahead of changing consumer behavior and organizing your team to meet the needs of today’s empowered customer.
As marketers’ rise to this challenge, they look to lead agencies to drive brand, creative and experience strategy, along with campaign development across traditional and digital touchpoints. They also look for productive collaboration across diverse agency rosters and a commitment to attracting and retaining post-digital thinkers.
We evaluated the lead agency capabilities of eight agencies — 360i, Barkley, Havas Worldwide, Hill Holliday, mcgarrybowen, Publicis NA, R/GA, and VML.
2017 is the perfect time for I&O pros to take control of their company’s cloud computing strategy, because cloud adoption is up, developers are more keen on cloud services than ever — and cloud is where the most exciting innovations in IoT, machine learning, big data analytics, and container-based development are happening.
Cloud is now a foundational enterprise technology. I&O leaders must strike the right balance between business, developer, and tech management priorities to source, configure, deliver, and optimize the right mix of cloud services for their business.
Above all, your cloud strategic plan must be customer-obsessed. Do you know what it means to build a customer-obsessed operating model based on cloud computing? Don’t wait to find out. Your business won’t wait. And most of all, your customers won’t wait.
To quickly recap: this is the age where digitally empowered customers are driving firms to become customer-obsessed, digital businesses that apply customer-led, insights-driven, fast, and connected technology. You may be asking “What does this have to do with me and my responsibility in Infrastructure and Operations?” To answer in brief, your CIO and technology management organization play central roles in making your firm customer obsessed because:
Technology enables dramatic business transformation.Customer-obsessed digital businesses exploit digital technologies to create new customer value and increase operational agility in service of customers. Companies that understand how to master these challenges are driving digital transformation to become digital predators. Forrester predicts that by 2020, every business will be either a digital predator or digital prey.
Customer-led business value drives technology investments. Tech management organizations must understand, manage, and communicate technology’s role in delivering customer-obsessed outcomes like digital customer experience. Technology executives responsible for service design and delivery must minimize the cost of MOOSE (spending to maintain and operate the tech organization, systems, and equipment) for ongoing operations, deliver the agreed quality of service, and shift investments to customer-obsessed innovation. Only 14% of budgets for new IT initiatives and projects support sell-side business operations.
The healthcare industry is changing rapidly as its consumers begin to demand more of the organizations from whom they receive care and insurance. Not only are healthcare consumers sharing more financial risk for the insurance and care they receive, but they are increasingly purchasing insurance outside of group contracts via exchanges or Medicare and Medicaid programs. In 2015, we saw the first big signal that the health insurance industry is pivoting from B2B to B2C-whether they’re ready or not-as the percent of business served by group contracts dropped to 48%. Providers and payers continue to struggle to understand what engages the healthcare consumer. As they seek to win, serve and retain these customers, they will need the tools, people, and culture to crack that code and master patient and consumer engagement.
Forrester sees three big, highly visible trends accelerating in 2017: 1) continued adoption of big data technologies to ingest and derive useful, high-quality, and cost-impacting insights, 2) expanding investments in digital experience to achieve more engagement and satisfaction, and 3) virtual care investments continue to grow to serve future demand. We believe these investments are necessary to win, serve, and retain healthcare's empowered consumer, because:
Mastery of unstructured data will deliver customer insight. Payers and providers must integrate unstructured data to derive patient and customer insight. Providers, particularly, should start taking advantage of health clouds. And they should begin to apply cognitive offerings to pull more insight from their data.
When Jeffrey Hammond, Mark Grannan, Adrian Chapman, and I dove into our most recent developer survey, we unearthed a fascinating group of developers we call "digital architects." This group aspires to set architectural direction, deploys open source software across four or more technology areas, and uses three or more types of cloud services (see the figure).
One in 11 enterprise developers. Only 9% of the developers in North America and Europe are digital architects. This small segment is an elite and attractive group, with particular enthusiasm for technology and, as we'll see, for digital innovation and customer engagement.
More likely to work at fast-growing companies. More than half of digital architects — 53% — work at companies growing at double-digit rates. You'll find them in all three sectors of the software business: enterprises, software vendors, and service providers.
Younger than the rest. Almost three-quarters of digital architects are younger than 45, and 30% are younger than 35. That means these technologists came of age during the internet and smartphone era. They think digital because they know nothing else.
Marketers: Face it. Consumers are skipping, blocking, and paying to avoid your ads.
We are in a Tragedy of the Commons for consumer attention. Consumers are rejecting the modus operandi of “more” - more ads in more places more often. Forrester Consumer Technographics data for 2016 shows that nearly one third of US online adults say they currently use an ad blocker and 48% say they actively avoid ads on websites.
In 2017 B2C Marketers will choose quality over quantity advertising. This doesn't mean no advertising - just better advertising. And better for everyone involved.
In Prediction 2017: The Dawn of ‘Less Is More’ In Marketing, we predict the entire marketing ecosystem will adapt to diminished ad consumption. We will see new standards for higher quality formats, new pricing to reflect that quality, and new attention-based measurement. Better access to data, adtech and martech, and super-marketers with skills to apply these tools make it happen.
Bleary eyed baseball fans are waking up to the unimaginable: the beloved Cubs broke their 108 year old dry spell and won the World Series. Their quest to World Series champions was a mix of talent, dedication, heart…and data. Data, you say? Yes, data. Baseball franchises are enamored with using data to make smarter trades, shift line-ups, field position, and predict player performance. But how did the Cubs move to a data driven baseball organization? One man helped transform baseball from a gut decision strategy to using information, using data to make decisions: Theo Epstein.
Theo Epstein is credited for the breaking the Red Sox World Series curse using data and insights to make strategic player acquisitions, changes in field play, and predict how players would perform. He took his data talent over to the Chicago Cubs, where he made some major trades and empowered the coach to make data driven field and batting changes. His data driven approach helped transform the way franchises think about baseball. Less gut, more information to help drive decisions.
Marketers must embrace the baseball management mentality: use data to shift marketing strategies at the moment of need. Marketers can use past marketing performance data, customer insights, and competitive information to: