Why Customer Experience Will Become The #1 CIO Priority

Customer experience isn’t typically at the top of the CIO’s priority list but it was certainly front and center in New York this week.

I believe things are about to change for CIOs. In the new era of always-connected consumers – what Forrester calls The Age Of The Customer – customer experience is so critical that I predict it will become the #1 priority for CIOs. In part because unhappy customers have the power to alter the course of any organization, as Netflix CEO Reed Hastings discovered in 2011, when his US customers forced him into an about-turn on his strategy to split movies-by-mail from online streaming.

But investing in customer experience is tricky because it’s often seen as an abstract thing with little tangible ROI. Companies like USAA, a US insurance company with a strategic focus on customer experience, have spent years re-shaping their entire organizations to think from the outside-in, focusing on the end customer. USAA did this because they believed it was the right thing to do, not because of some compelling business case.

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WCM: A Sexy Tool For Digital Customer Experience

This content also appeared in the June 2013 edition of CRM Magazine.

Web content management (WCM) software has been around nearly as long as the modern Web. This software enables technology pros to develop sites, lets content people create and publish, and helps marketers leverage online channels to engage customers and prospects.

Forrester’s recent research into this vibrant market confirms a fact that buyers of this technology need to be aware of: WCM has become an essential foundation for enabling successful digital experience efforts. And by doing so, it’s supporting one of the last things that corporations and brands can use to differentiate themselves.

Recently, vendors have put resources into expanding features, building, buying, or integrating with various things:

  • Visitor profile, segment, and targeting tools to deliver personalized content in context
  • Capabilities to develop and deploy mobile and social channels of engagement
  • CRM, email marketing, analytics, A/B testing, integrations, and tools
  • Cross-channel insights and reporting
  • Multichannel campaign management functionality
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CX And An Ex-CIO

This week's Customer Experience Forum was far more than just an event for customer experience (CX) professionals. It was an event for any business leader who truly cares about customers. And this includes many CIOs.

Attendees gather at the 2013 NYC Forrester CX Forum

As far as I'm concerned, the best CX presentation by a guest speaker was given this morning by a former CIO, Paul Heller. Paul is now Managing Director of the Retail Investor Group at Vanguard. While his session was energetic and full of humor, it also conveyed his message about the business of delighting clients very clearly. Paul suggests we all need to get in touch with the why, how and who of our business: 

  • Why are customers doing what they do? To answer this question we really need to get to know the reasons for customers doing business with us. Vanguard took the time to ask their customers why they invest and they discovered people want to have more time to do the things they enjoy, they want less stress and to avoid being bored. Trust me, it's way funnier the way Paul describes it.
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