Emotions are at the basis of how customers perceive experiences – and why they choose to stay loyal to certain brands. But, not all emotions are equal: Different emotions lead to unique behavioral outcomes depending on context, emotional intensity, and even industry.
For example, in our latest study, my colleague Tom McCann and I measured the emotional impact of CX among banks and retailers in Australia. We discovered that feeling valued is one of the most powerful emotions driving loyalty toward a bank: Australian customers who feel that their bank puts them first are willing to pay a premium for the bank’s experience and are more forgiving when something goes wrong. However, among retail customers, valued is good – but happy is better. Australian retailers that leave customers in a cheery mood are more likely to retain their shoppers and turn their customers into advocates.
And what makes Australian shoppers happy? Forrester’s Consumer Technographics® survey data shows that details in the experience go a long way. For instance, customers are pleased with perceptibly low prices or special deals, stocked inventory, and pleasant customer service reps.
Many times, what we want says more about us than what we do. This is why readers are fascinated with news from the Consumer Electronics Show, which gives us an aspirational glimpse at the technology of tomorrow. This is why Google publishes the most frequently searched “how-to questions,” which reveal what people are striving for. It’s also why emerging customer insights methodologies like social listening, which uncover visceral consumer reactions and desires, are gaining traction.
Two weeks ago, people around the world expressed their wishes for 2016 by sharing their New Year’s resolutions online. What do people want this year? Forrester’s analysis of the social conversation shows that physical and mental wellbeing dominated most of the resolutions posted across the globe. But certain geographical differences shed light on varied cultures and attitudes. For example, while US consumers also discussed social causes and career goals, UK consumers mentioned artistic pursuits and relaxation:
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:
Today marks the beginning of the Chinese New Year. Kicking off the 2015 lunar calendar and the year of the goat (or sheep or ram), today celebrates the emergence of spring, the coming together of families, and the arrival of good fortune. Given China’s prosperous technology evolution, the superpower has a lot to look forward to. According to Forrester’s Consumer Technographics® data, the country is already home to the most mobile-savvy population on the planet, with nine out of every 10 metropolitan Chinese online adults using a smartphone; within the next two years, the nation will see an additional 200 million unique smartphone subscribers:
What will happen when the world’s largest mobile phone market becomes even bigger?
At the root of human behavior is the impulse for connection. History is our witness: As times change, certain trends emerge that anchor shared experiences, around which people collectively rally. Today, with social media acting as a platform for ubiquitous connections, diverse consumers build solidarity around digital experiences. Beyond simply looking for deals and discounts, individuals who “friend,” “follow,” and “like” brands seek closer brand relationships.
However, while consumers around the world want to be part of a brand community, some cultures are more enthusiastic than others. Forrester's Consumer Technographics® data shows that Latin American online adults are more passionate about engaging with brands for affective reasons than their European and Japanese counterparts:
This variation roughly parallels Hofstede’s dimensions of culture, which suggests that the differences are partially a reflection of cultural nuances: Those populations that are most motivated to share in the brand community are all-around collectivist rather than individualist.
When news about the Heartbleed bug captured worldwide attention last month, consumers learned that their personal information, initially thought to be secure, had in fact been vulnerable to hackers for years. Arguably the worst Internet breach of all time, the revelation left many questioning what to do next.
To understand how consumer reaction to Heartbleed unfolded, we tuned into online chatter and engaged Forrester’s ConsumerVoices market research online community immediately after the news broke. While Forrester’s social listening data reveals that sentiment of consumer conversation about Heartbleed was consistently negative, online community response tells us that the negativity doesn’t stem purely from shock – rather, from a sense of helplessness and jadedness.
When Satya Nadella assumed his role as CEO of Microsoft, he shared a profound statement in a companywide email: “I truly believe that each of us must find meaning in our work. The best work happens when you know that it’s not just work, but something that will improve other people’s lives. This is the opportunity that drives each of us at this company.” Nadella’s message speaks to the importance of employee satisfaction in driving organizational success.
Research demonstrates that psychological and social fulfillment directly influences an employee’s commitment to staying with a company and contributing to the firm’s overall success. For example, a report by Deloitte shows that corporate teams that foster a sense of diversity and inclusion among employees outperform others by more than 80%.
Even in business, feelings are facts — employees’ feelings about their company are a corollary to their productivity. And when it comes to the Asia Pacific workforce, those strong emotional connections that yield employee engagement vary greatly across the region. Forrester’s Business Technographics® data shows that India has the largest share of “engaged employees,” while Japan has the smallest:
Coffee-lovers just about anywhere around the world are intimately familiar with the sweet feeling of indulging in a Starbucks Frappuccino – but their blended beverages of choice might be starkly unique. Although the Starbucks brand is familiar to consumers worldwide, the taste of a Starbucks beverage varies regionally according to the diversity of palates. Chinese consumers may seek out a Red Bean Green Tea Frappuccino while their Japanese counterparts prefer a Coffee Jelly; Argentinians may count on that Dulce de Leche Granizado Frappucino where Brits treat themselves to a classic Strawberries and Cream.
The Starbucks Frappuccino phenomenon is a metaphor for any global retailer’s optimal international approach. By catering to consumers’ varying tastes, global companies can hone a strategy that is sensitive to diversity — the “art of thinking independently together,” in the words of Malcolm Forbes.
When it comes to eCommerce specifically, consumer tastes differ not only in relation to products but also to purchase methods. According to Forrester’s Consumer Technographics® data, more than half of metropolitan Chinese online adults regularly buy products through both traditional and mobile devices, but only one in four US online adults and even fewer European consumers do this.
Consumers are embracing an increasing number of devices and touchpoints to shop – this we know and at Forrester we call this the mobile mind shift. But eBusiness professionals still need to figure out the relative influence each touchpoint has on their customers’ shopping behavior in order to determine where to focus their efforts. Should you follow the likes of House of Fraser with a mobile first web presence? How do your customers use your digital presence for research pre-purchase?
Forrester’s new retail segmentation helps eBusiness executives answer these questions by providing a framework to map out the complex ecosystem of touchpoints and devices their customers use to shop. The segmentation identifies increasingly sophisticated multi-touchpoint shopping behaviors and helps eBusiness executives to identify critical touchpoints to create the most relevant shopping experiences for customers across markets.
When March comes to a close, the madness in the US picks up: March Madness, the national college basketball championship, gives sports fanatics the chance to rally around their alma maters, while sports novices get to observe college basketball culture at its best. Personally, I tend to lean to the latter end of the spectrum — but this year, thanks to a redesigned mobile app and enhanced social engagement strategy, I find myself moving away from observer status toward that of participant.
My story isn’t unique: The features and functions of sports-related mobile apps allow fans of any knowledge level to receive immediate updates, learn more about players and teams, and connect with fellow spectators across the region — and globe. From reviews of the recent winter Olympic Games to preparations for the upcoming FIFA World Cup, “sports fever” is universal. Forrester’s Consumer Technographics® data shows that while the impulse to engage with sports-related apps on portable devices is evident around the world, it is most noteworthy among consumers in Metro China and Metro Brazil: