“We are in the business of building [FILL IN THE BLANK], why would we build an insights platform out ourselves.”
That sentiment will drive more and more companies to explore the insights services option. Many already feel like they are chasing a moving target. Data and analytics practices are evolving quickly with new tools and techniques moving the bar higher and higher. Not to mention the explosion of data sources, and the dearth of skilled talent out there. As executives become more aware of the value of data and analytics, they become increasingly dissatisfied with what their organizations can deliver: in 2014 53% of decision-makers were satisfied with internal analytics capabilities but by 2015 those satisfied fell to 42%. These are the leaders who will look for external service providers to deliver insights. They realize they might not get there themselves.
The sentiment expressed in the quote above was actually from a consumer packaged goods company. For its execs winning in cities has become paramount. As urbanization increases, cities provide big opportunities. But not all cities are alike and differentiating what they take to a specific market requires deep local knowledge – and a lot of diverse data. To create hyperlocal, timely, and contextually relevant offers, the company needs data on local news, events, and weather as well as geo-tagged social data. All of that must be combined with its own internal and partner data.
As a customer insights / analytics / digital measurement pro, do you experience any of these challenges? And what can you do right now to make progress with them?
I can’t keep up with requests from my stakeholders for analysis and insights. Does the volume of requests and your team’s capacity seem increasingly out of whack in your organization?
Our customer data isn’t where we need it to be – we can’t get a comprehensive view of our customer. You’re not alone. Marketing and technology teams struggle to align objectives, roles, budget, projects and process, and timelines to maximize value from customer data. Marketing decision-makers report several reasons they are failing: too many data sources (44%), lack of access to technology to manage data source integration (38%), lack of budget (35%), lack of skills to support integration (34%), organizational silos (27%), and lack of an executive sponsor (23%).
We’re leaving money on the table because our different analytics and insights teams work in silos. Here’s a simple digital measurement example of this: one digital team is responsible for driving visits to the website. Other teams are responsible for maximizing on-site conversions. They work in their own separate silos. A more efficient and effective approach: work together to identify the characteristics of customers most likely to convert, and work on driving that group to the site. That type of silo breakdown needs to happen more.
But what does this prevented merger really mean for the UK telco market? What does it mean for business customers? And what does it mean for the telcos concerned? In my opinion:
UK consumers should expect the same dull mobile offers that they have been receiving for years. There are no signs that any telco in the UK market is about to radically rethink its offering along the lines of the T-Mobile US reset that John Legere kicked off several years ago after the T-Mobile/AT&T merger fell through. Rather, I expect more business-as-usual in the UK and no step-change in mobile broadband investments, and as a result, no great benefits for consumers to arise as a result of the merger blockage.
Five years into the age of the customer and it's clear that we're just getting started. More technology is coming — Amazon Echo, anyone? — and that doesn't even begin to touch on the stuff that will hit closer to 2020 and beyond: virtual reality, augmented reality, self-driving cars, and robot assistants.
I'm pleased to introduce my latest report: "Leadership in the Age of the Customer." This project is the result of months of work to update our view of the age of the customer, a 20-year business cycle in which power is shifting from businesses and institutions to end consumers. Technology, information, and connectivity are combining to instill in people a belief that they can have what they want, when, where, and how they want it.
The key to emerging triumphant through all of this will be customer obsession. Organizations that put the customer at the center of their process, policies, and practices will successfully develop and deliver the experiences that hyperadoptive customers are ready to embrace. That will mean changing the operating model of the organization to be more customer-obsessed. It will also require that executives consciously lead the organization to customer obsession.
Forrester Data has just released its first global cross-border online retail forecast covering 29 countries worldwide, helping retailers understand the size and growth of the online cross-border market by country and region and identify the region-to-region flow of trade. Cross-border online B2C sales will more than double in the next five years to reach $424 billion in 2021, as consumers find online cross-border shopping easier, faster, and more convenient:
Cross-border shoppers in developing markets are increasing significantly. Metropolitan China in particular saw a large jump in its share of online buyers shopping across borders in 2015. Online cross-border buyer growth is strongest in developing economies: Latin America, Asia Pacific, Africa, and the Middle East will see double-digit compound annual growth over the next five years — significantly more than the growth in Europe and North America.
Marketplaces are increasing their share of cross-border sales. Cross-border shoppers prefer to use global marketplaces when they shop abroad. Alibaba increased its share of online sales from outside China. Online marketplace Rakuten reported 41% growth in cross-border sales in 2015, more than twice the growth of the domestic Japanese eCommerce market. In Germany, France, and the UK, more than half of cross-border buyers buy from Amazon and eBay. Amazon merchants’ cross-border sales doubled in 2014.
This a guest post by Meredith Cain, a Research Associate on the Application Development & Delivery (AD&D) team.
As Francis Bacon wrote in 1625, “If the mountain will not come to Muhammad, then Muhammad must go to the mountain.” Although he did not write this with Facebook Messenger or customer service in mind, the meaning still applies. If customers will not come to your business, your business must go to the customers. In 2016, customer service application professionals struggle to find common ground where businesses can fulfill as many customers’ needs as possible in a seamless and timely manner. With one out of every nine people on the planet already using Facebook Messenger, businesses should start to capitalize on this consolidation of customers by adopting Messenger, rather than attempting to move the “mountain.”
In our recent report, we argue that customer service application professionals should make plans to incorporate Messenger into their service arsenal. Facebook’s recent announcement of new Messenger tools that include business-friendly innovations, as well as Facebook’s already ubiquitous user base, positions Messenger to serve as the bridge between Muhammad and the mountain. As this metaphorical bridge, Messenger provides customer service pros with:
Because it has over 4,000 physical retail stores but more than 60% of video game sales are projected to move online by 2020, GameStop is in the midst of major disruption. The steps it has taken to maintain growth and margin are nontraditional and compelling. In fact, we featured many of these tactics in last year’s Future of Shopping report. Among GameStop’s key approaches to driving growth now are:
Diversification. GameStop has launched two new store formats in recent years. The first new format is mobile device stores in partnership with AT&T. In fact, outside of AT&T’s own company stores, GameStop is the 2nd biggest owner of AT&T stores, selling not only smartphones but tablets, home security systems and internet connectivity. GameStop also acquired the cult brand ThinkGeek last year. GameStop has plans to open 50 new ThinkGeek stores in the coming year and that gives GameStop an opportunity to take share in entirely new categories like apparel and soft goods.
Loyalty marketing. GameStop has developed one of the most innovative and successful loyalty programs in the retail industry. Currently, it has over 49MM members in its PowerUp Rewards program and 9MM of them even pay for enhanced rewards. Collectively this group drives 75% of the company’s GameStop store revenue. One of the benefits those paying customers receive is a video game magazine called Game Informer which now, because of its affiliation with GameStop’s rewards program, has one of the biggest circulations of any magazine in America, even greater than magazine industry stalwarts like People and Sports Illustrated.
Have you heard of Hubba? Coupa? What about APX Labs? Forrester features these technology vendors, alongside 19 others, in our new Breakout Vendor reports. To keep pace with the expectations of digitally empowered customers and clients, firms must stay on top of disruptive and emerging technologies. Keeping up with new providers of potentially game-changing technologies is overwhelming, which is why we're introducing this new Breakout Vendor research. In these reports, we give you insight into the most promising innovations — and the companies behind them — that will accelerate growth in the age of the customer.
Forrester's Breakout Vendor reports provide insight into:
Offering: What are the capabilities of the products and the technology?
Scenarios: What are the scenarios and environments in which the company excels?
Maturity: What is the company's go-to-market approach, channel strategy, and viability?
Challenges: What are the potential pitfalls and areas for improvement?
Road map: What's next for the business and its products?
Cybersecurity requires a specialized skillset and a lot of manual work. We depend on the knowledge of our security analysts to recognize and stop threats. To do their work, they need information. Some of that information can be found internally in device logs, network metadata or scan results. Analysts may also look outside the organization at threat intelligence feeds, security blogs, social media sites, threat reports and other resources for information.
This takes a lot of time.
Security analysts are expensive resources. In many organizations, they are overwhelmed with work. Alerts are triaged, so that only the most serious get worked. Many alerts don’t get worked at all. That means that some security incidents are never investigated, leaving gaps in threat detection.
This is not new information for security pros. They get reminded of this every time they read an industry news article, attend a security conference or listen to a vendor presentation. We know there are not enough trained security professionals available to fill the open positions.
Since the start of the Industrial Revolution, we have strived to find technical answers to our labor problems. Much manual labor was replaced with machines, making production faster and more efficient.
Advances in artificial intelligence and robotics are now making it possible for humans and machines to work side-by-side. This is happening now on factory floors all over the world. Now, it’s coming to a new production facility, the security operations center (SOC).
Today, IBM announced a new initiative to use their cognitive computing technology, Watson, for cybersecurity. Watson for Cyber Security promises to give security analysts a new resource for detecting, investigating and responding to security threats.
Over the past 25 years, many organizations have modelled their support – and in some cases their delivery organization – after the ITIL frameworks and processes. For many, ITIL has been helpful in establishing the rigor and governance that they needed to bring their infrastructure under control in an era where quality and consistency of service was critical and technology was sometimes fragile.
Today, we are 5 years into “The age of the customer” – an era where customer obsession is driving technology and which demands a culture of speed and collaboration to differentiate and deliver extraordinary customer experience to drive business growth. In this era, the rise of mobility and the race to deliver differentiated business processes is critical to success. Your development teams are driving velocity and elasticity with increased quality and availability, leveraging DevOps practices and often driving change directly to production.
This transition has led some organizations to experience friction between the competing priorities, velocity and control, especially for those who continue to execute on the traditional model of ITIL.
ITIL is starting to show signs of age. That does not mean it is on the verge of demise. ITIL must adapt. To understand the relevance of ITIL and IT Service Management practices in this era of Modern Service Delivery, Eveline Oehrlich and Elinor Klavens and I have embarked on a review of ITIL and the use of IT Service Management practices supporting todays BT agenda.