On August 6, 2013, the Indian rupee plunged to a record low of INR61.80 to 1USD. In fact, since January 2013, the Indian rupee has depreciated by 10% against USD and is expected to slide further as India is challenged by political gridlock, serious infrastructure bottlenecks, and decreased investor confidence, all of which are contributing to a slowdown in economic growth. The declining rupee leads directly to increases in the cost of doing business, which has risen by 8-10% over the past year.
The difficult economic landscape has forced Indian firms to look for new and innovative ways to grow their businesses, create efficiencies, and improve responsiveness. This is driving changes in how Indian business leaders view technology – with many increasingly viewing technology as a far more critical means to differentiate their organizations and drive business growth. The pressure is now firmly on CIOs to deliver technology-led business outcomes for their organizations. To exploit this opportunity, CIOs should do the following:
- Develop a ‘business outcomes’ matrix and map existing and planned technology projects against it to build credibility with business leaders: ROI templates are generally developed to gain approvals and are typically limited to cost savings, but very few CIOs actually link their IT spending to clearly defined business outcomes. Define what business outcome means to your organization (e.g., increase in sales, revenue, customer acquisition, customer satisfaction to name few) and map each of your projects against the matrix to prioritize those with greatest business outcomes. This will help CIOs win buy-in from business stakeholders on project funding and priorities, while ensuring that IT is viewed as an equal and capable business partner.
Who doesn’t know Walgreens? It’s an iconic American brand that’s been around for over 100 years.
But at Forrester’s Forum for Customer Experience Professionals in New York on June 26, Graham Atkinson showed us a Walgreens that’s totally different from the one we’ve come to know. Graham is the Chief Marketing and Customer Experience Officer at Walgreens, and he’s leading the charge to transform the company from one that traditionally differentiated based on location, location, location to one that differentiates based on experience, experience, experience.
In this video excerpt from his speech, he describes three initiatives that are currently underway:
Delivering the well experience.
Transforming the community pharmacy
Taking the Walgreens brand to the world
As always, we welcome your comments! And if you're interested in seeing more great speakers like Graham, check out our upcoming Customer Experience Forums in Los Angeles in October and London in November.
Those are the fundamental questions answered for Wells Fargo by its CMO, Jamie Moldafsky, at Forrester’s Forum for Customer Experience Professionals in New York on June 25.
Going into the event, I didn’t envy Jamie’s task. The four large banks that dominate the U.S. retail banking industry don’t have stellar reputations for delivering a great customer experience. Feedback from their own customers bears this out: In Forrester’s Customer Experience Index, Bank of America, Wells Fargo, Citibank, and Chase received scores ranging from 60 to 69 on a 100 point scale. In contrast, credit unions have an average score of 82, and regional banks like SunTrust Bank, PNC, and TD Bank have scores in the high 70s.
But to be fair, when you have 70 million customers spread across more than 90 businesses – as Wells Fargo does – delighting everyone might just be mission impossible. And yet that’s exactly what Jamie and her team are trying to do on their journey to “get to wow.”
In the following video snippet of her speech, Jamie explains why customer experience is important to Wells, what she’s trying to accomplish, and the factors that make her mission both challenging and critically important.
As always, we welcome your comments! And if you're interested in seeing more great speakers like Jamie, check out our upcoming Customer Experience Forums in Los Angeles in October and London in November.
We recently attended Amdocs' customer event in Singapore. Amdocs is gradually adjusting its strategy to reflect one of the most fundamental changes in the ICT industry today: Increasingly, business line managers, think the marketing or sales officer, are the ones influencing sourcing decisions. Traditional decision-makers, CTOs and CIOs, are no longer the sole ICT decision-makers. Amdocs is addressing this shift by:
Strengthening its customer experience portfolio.Successful telcos will try to regain lost relevance through improved customer experience. Marketing, portfolio product development, and sales are therefore growing in importance for telcos. Amdocs’ integrated customer experience offering, CES 9, provides telcos with a multichannel experience; proactive care; and self-service tools.
Betting big on big data/analytics.Amdocs is leveraging big data/analytics to provide real-time, predictive, and prescriptive insights to telcos about their customers’ behaviour. Communications-industry-specific converged charging and billing solutions as well as other catalogue solutions give Amdocs the opportunity to provide more value to telcos than some of the other players.
Way back in January I spoke at the Luxury FirstLook conference put on by Luxury Daily in New York (a terrific event, by the way). Several of the other speakers intrigued me. One, in particular, gave a speech that I immediately wanted to bring to attendees at Forrester's Forum For Customer Experience Professionals East: John T. A. Vanderslice, the global head of luxury and lifestyle brands at Hilton Worldwide (those brands being Waldorf Astoria and Conrad).
Here’s one of many things John said that struck me: "Today's luxury buyers make investments of passion." That’s a far cry from the way customer experience (CX) practitioners usually talk about emotional engagement. But it struck me as an authentic way to describe super-affluent buyers who’ll pay to reenact the life of a Roman gladiator or to take a trek through the wilds of Nepal.
I ambushed John on his way out the door and recruited him to speak at our forum, which he did earlier this week. He was great. And he was also gracious enough to answer some questions that we posed to him, which we’re now happy to share with you.
1. When did your company first begin focusing on customer experience? Why?
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.
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.
Where customer experience and analytics meet, in real time
For a while now, I’ve been using Hailo as a European poster child for innovation in the context of big data analytics. Due to the level of interest generated by this example, and the number of questions I’ve received along the way about Hailo, its technology and business model, etc., I decided to put together this blog post rather than write loads of separate emails.
Ironically, I’ve not actually been able to use Hailo myself (much as I would like to), as I have neither an iOS or Android-based smartphone. I have, however, met lots of people who’re using Hailo as customers, and I’ve also spoken to taxi drivers about it. I have yet to meet anybody who isn’t a fan.
For those of you who don’t know Hailo, it’s an app that allows you to hail a registered cab from your smartphone; as it was started in London, it’s often also called “the black cab app.” With the company founders being three London cabbies (black cab drivers), the entire service has been uniquely focused around the needs of the two main participants in a taxi ride: the customer and the driver.
Marketing and customer experience are two sides of the same coin: Marketers are responsible for communicating the brand promise, and customer experience professionals are responsible for making sure that the promise is kept.
It’s that synergy between marketing and CX that led us to invite Jamie Moldafsky, CMO at Wells Fargo, to speak at Forrester’s Forum for Customer Experience Professionals in New York on the morning of June 25. As a run-up to our event, Jamie took the time to answer a few questions about why Wells Fargo cares about customer experience and how its approach to CX has evolved over the years.
Q: When did your company first begin focusing on customer experience? Why?
Treating customers with courtesy and respect has been a core value at Wells Fargo for more than 160 years. Back in 1888, its agents were given the following instructions: “Proper respect must be shown to all — let them be men, women, or children, rich or poor, white or black—it must not be forgotten that the Company is dependent on these same people for its business.”
Watching a recent episode of The Apprentice, I was struck by how completely disorganized they all were. I realized that it didn’t matter who the PM was on the “team”; they all suffered the same problem – there was never enough discussion of goals and objectives, never any discussion of needed responsibilities and the roles that would carry them out, no clarity on ownership of those responsibilities (trust and empowerment). Instead of a consideration of what is needed, there is a rush to action . . . as though just starting will get them to the goal sooner.
As a result, there were always people standing on the sidelines wondering what to do – always people trying to lord it over others, always errors of judgment, missed opportunities, lack of transparency, and a complete failure to meet the goals and objectives (set by Lord Sugar).
Doesn’t that sound familiar?
So many businesses are similarly disorganized. Most organizations struggle to balance a wide range of issues – the differing demands of customers, the need to cut costs, ensure compliance, respond to the actions of competitors, etc. Point is that without an integrating architecture; these conflicting challenges spawn weak execution and organizational thrashing (just like the teams in The Apprentice). The culture in these organizations focuses on appeasing the leaders of the silos, with little thought put into what is needed to achieve the ultimate goals and objectives. And for most commercial businesses it’s the outcomes delivered to customers or external stakeholders that suffer.