Customers use digital experiences to help satisfy their needs every day. Digital tools expand our experiences and change our lives at home and at work. Digital is now intertwined into the fabric of our lives at work and at home. We expect digital tools to add value to us no matter what we’re doing. Some 89% of executives believe digital will disrupt their business in the next twelve months.
To keep up with the rapidly evolving digital expectations of customers, businesses must not just develop a digital strategy but also become a digital business. This means more than building a few bolt-on mobile apps. It’s a fundamental rethink of your business model within a dynamic digital ecosystem that impacts every aspect of your business.
Transforming into a digital business is complex enough. But the rapid evolution of digital products and services makes it even more challenging for business leaders to navigate the landscape of digital business. Slow innovation cycles jeopardize the survival of traditional firms, and winning businesses will move toward an ecosystem business model. Digital businesses need to embrace digital ecosystems that support the continuous exchange of information and data to create value.
To master digital business, business leaders must minimize the complexity of digital ecosystems and learn to create value within such ecosystems. Digital ecosystems drive faster innovation, more efficient production, and more agile go-to-market activities, because:
As all organizations operating in Australia understand, the line between brand, marketing, and customer experience (CX) disciplines has blurred as people gain access to companies, services and products on their own terms. How can you thrive in this dynamic environment? Start by effectively coordinating between brand, CX, and marketing teams.
We’ve filled our agenda with senior CX and Marketing professionals from leading organizations across Australia, and beyond. Key topics they’ll cover include:
Driving business results, competitive advantage, and growth by delivering the right customer experience.
Identifying the key practices and behaviours that fuel CX innovation.
Building and maintaining a brand in a digital world.
Instilling an understanding of customer emotions into design experiences and branding strategy.
Systematically improving CX through effective measurement.
In the age of the customer, executives don't decide how customer-centric their companies are — customers do. And while good customer experiences can help control costs, executives are more interested in the potential for sustainable top-line growth.
Forrester defines CRM as:
The business processes and supporting technologies that support the key activities of targeting, acquiring, retaining, understanding, and collaborating with customers.
CRM is the foundational building block of a company's customer experience strategy to win, serve, and retain customers. It allows empowered consumers and connected employees to do business in ways we just couldn’t conceive of just a few years ago.
The market research industry is built on a fundamental assumption: that any enterprise, product, team, or person can be better than it is today. Researchers mine insights because we are constantly seeking opportunities for greater success and are eager to illuminate the path forward. But researchers aren’t the only ones doing this; although it’s our profession, people around the world share this drive for improvement. These sentiments are at their peak today on New Year’s Eve as we reflect on the highs and lows of the year behind us and resolve to do something better in the year ahead.
Seeking improvement is part of human nature, but in some cases, it’s demanded of us. In the business world, companies that set higher standards also set new consumer expectations and secure customer loyalty. For instance, our Consumer Technographics® data shows that Amazon offers one of the most loved customer experiences across the globe because it provides an unparalleled sense of emotional satisfaction:
Forrester survey data highlights the urgency for the CIO to complete the mobile mind shift. In the age of the customer, great mobile solutions are the basis for catering to clients, empowering employees, and optimizing supplier and partner relationships. Yet, the mobile mind shift has its roots in the consumer environment. Most of us have gone “mobile native” over the last few years, having grown accustomed to using apps on our smartphones and tablets at home. This has changed the way we think, look for information, communicate with others, and conduct transactions.
Mobile is now a vital part of the CIO’s business technology agenda to help enhance customer experience, employee productivity, and new revenue channels. Every CIO will need to provide his organization with mobile solutions that support these business requirements. The lack of a comprehensive mobile approach with dedicated interdisciplinary teams for mobile and digital initiatives will translate into lower revenues and many business failures in the years ahead. The most visionary and forward-looking CIOs, meanwhile, are using mobile to build the steppingstones for their digital transformation:
Businesses that are most mature in mobile also have the fastest revenue growth rates. Forrester survey data highlights that the most “mobile-mature” organizations also have higher revenue growth rates than the mobile laggards. Mobility is thus an important revenue driver.
In 2015, customer experience (CX) rose to the No. 1 priority for business and technology leaders. In 2016, it will be among the top 10 critical success factors determining who will win and who will fail in the age of the customer. And for good reason: Better customer experience correlates with stronger revenue growth. But this is only true when competitors provide meaningful differences in the experiences they offer and unsatisfied customers have the freedom to jump ship when treated poorly. So in order to reap the benefits that better CX can provide, in 2016, companies will need to get down to the real business of not only providing good experiences but also breaking away from the pack with meaningful internal operational changes.
This won’t be easy, because success in the age of the customer requires shifting to a customer-obsessed operating model that puts customers at the center of all strategic decision-making. In 2016, leaders will tackle the challenge of making this shift; laggards will underestimate the magnitude and speed of change required and will instead push forward with uncoordinated digital efforts and flawed business priorities.
This is a guest post by Erna Esa, a Research Associate on the Customer Experience team based in Sydney.
In the movie Love Actually, the chemistry between an Englishman (played by the very dashing Colin Firth) and a Portuguese housekeeper (Lúcia Moniz) was evident — but not having the tools to communicate in each other’s language left the pair feeling frustrated and annoyed.
Employees experience a similar type of frustration when they are not offered the opportunity to contribute to the conversations companies have about their customers. How do we know this? Well, we have found that 70% of information workers say that their job requires them to engage with or understand their customers but fewer than 40% of organizations in Australia and New Zealand systematically capture input from their employees about those interactions. That leaves a lot of employees who interact with customers and have knowledge of their company’s customer experience ecosystem without a structured, systematic way of telling their organization what they are seeing and hearing — and that’s frustrating.
Successful voice of the employee (VoE) programs have the potential to transform your organization into one in which talented, dedicated individuals strive to build a career. In many cases, these programs are inexpensive to set up and maintain, yet deliver considerable benefits when implemented across the entire organization. Forrester clients can read about these benefits in our latest report, Engage Employees To Nail The Customer Experience.
As CIOs, we all know digital disruption is happening at a rampant rate. The challenge we face is moving it from theory to reality. An executive at a client company recently posed the following questions to me: “How do you actually innovate and defend against this digital disruption without blowing up the budget? How do you really do that?”
For me, there are definitely a few steps that take this often discussed CIO requirement from the abstract to the concrete:
Are you close to your customers?
Everyone has customers of some kind, including B2B. Do you know where the pain points are in your customer experience? Where the opportunities are to innovate? You’ve got to understand this dynamic and the best way to start that is with customer journey mapping. Follow it up by keeping this “conversation” going by leading or staying involved in a regular customer testing and feedback effort or program. Above all, get out and talk to customers!
Can you innovate on your own mainstream platforms, quick and dirty?
If you can’t innovate easily on your major internal platforms — weeks or days, not months for moderately/small-sized innovations — digital disruptors and likely your direct competitors both have a significant leg up on you. This year alone, we’ve launched 35 small-to-medium, innovative improvements to our business by taking advantage of our SaaS platform. Business moves too fast to wait for months.
Do you use the same tools that startups use to go fast?
CRM purchasing is undergoing a sea change. I see that companies are no longer purchase heavyweight, end-to-end CRM solutions that have had the reputation of being complex, expensive and hard to implement - even if they have great industry specific capabilities. They itend to mpede user productivity with a bloated set of capabilities that many users can't leverage. A number of dynamics driving this change in purchasing behavior:
CRM purchases are moving to the cloud. Companies are replacing legacy CRM with SaaS solutions at a higher rate than before. Cloud CRM has gained traction, as it provides lower upfront costs, better flexibility, and faster time-to-value compared with traditional on-premises applications. It also shifts the burden of software maintenance to the vendor.
Cloud CRM extends the life of legacy CRM. Modernizing legacy CRM to support omnichannel customer journeys is a critical priority. Companies are using cloud CRM to complement and extend on-premises implementations. Cloud CRM provides the systems of engagement while legacy CRM provides business process support and data management capabilities.
Customers today simply want efficient, effortless service, and are increasingly using chat as a way to get to the information that they are seeking. Chat usage rates have risen in the past three years — from 38% in 2009 to 43% in 2012 to 58% in 2014. We find that all demographics - young and old - are comfortable with chat. Chat can cost less than a voice call, especially for organizations that allow their agents to handle multiple chat sessions simultaneously. Its no wonder that there are hundreds of case studies that showcase the power of chat.
The chat vendor landscape is crowded, and recently I profiled the capabililties of 21 vendors. Because of the wealth of vendors in this space, you have to be clear about your chat strategy, and your core requirements. Here are 5 questions to help you articulate your goals for chat.