As 2010 draws to a close, what are the key trends that customer management process professionals need to pay attention to as you finalize plans for next year?
Here are the top trends that I am tracking. My full report that spotlights our latest research will be published in January.
Trend 1: The Revenue Impact Of Poor Customer Experience Is Recognized
Our models estimate that the revenue impact from a 10 percentage point improvement in a company's performance, as measured by Forrester’s Customer Experience Index Score (CxPi), could be in excess of a billion dollars. Poor performers are particularly weak in being able to orchestrate multichannel interactions.
Trend 2: Business Process Management Extends To The Front Office
By extending business process management (BPM) to the front office functions, customer service organizations will improve the consistency of service delivered, elevate agent efficiency, personalize service, and meet compliance goals — at a cost that makes sense to the business.
Trend 3: The Business Value Of Social Customer Engagement Becomes More Evident
Winners of Forrester’s annual Groundswell Award spotlight how organizations are using Social Computing to innovate, such as: community-based marketing research techniques; engaging with customers through social media; energizing brand advocates; empowering communities to support customer self-service; and collaborating with customers during the product ideation and development process.
Recently, deal-of-the-day Web site Groupon got a lot of attention because of Google’s interest in its business. We understand that there are a few attractive pieces to the Groupon story — it’s theoretically a very lucrative business model. My colleague Sucharita Mulpuru commented on this at the end of November with a post highlighting the business opportunities of deal-of-the-day sites. What I was interested in was the customer side: Who is actually using these sites?
Our Technographics® data shows that the majority of US online consumers aren’t familiar with deal-of-the-day sites like Groupon or Living Social, and another 25% haven't used them yet.
Looking at these numbers, you could say that there's quite some opportunity for growth. However, the current users have quite a unique profile: The 3% of US consumers who frequently use deal-of-the-day sites have a lot of money to spend (about half of them report having an average household income of $100K or more), and they expect to spend more money online this year than last year. They are twice as likely to be influenced by what's hot and what's not, two-thirds are willing to try new things, and 62% agree that they often change their mind about which brand to buy after doing some research — making them the ideal target audience for deal-of-the-day sites.
Commerce organizations are drowning in content. Their catalogs and sites have grown, the sources of the product content propagated, and site versions divide and multiply across geography, microsites, and brands. Marketing and merchandising content has similarly amplified as this content supports cross-channel, search, email, and social marketing campaigns. Targeting, testing, and personalization all contribute to the explosion of content and content coordination challenges.
Types Of eCommerce Content And Their Purposes Vary Widely