The Data Digest: The Value Of Company Values

Anjali Lai

We are notoriously bad at knowing ourselves. Science shows that we are not quite as beautiful, or smart, or ethical as we would like to think. As a result, our self-proclaimed beliefs do not always translate into action; often, we say we’ll do “the right thing” but (consciously or not) we’ll proceed to do the opposite. Are we really nothing more than delusional creatures of habit bound to repeat our mistakes? No – actually, far from it. Certain individuals are hyperaware of their values and follow through on decisions and actions accordingly. Although a small group, these consumers spark awareness, change their behavior, demand transparency, and inspire trends.

My latest report examines what, when, and why consumers buy, when values are central to their decision-making process. In my research, I found that, despite limited knowledge and patterns of self-deceit, consumers want to purchase from companies that embrace ethical practices. More broadly, consumers are becoming increasingly aware of company values and are opening their wallets when company values resonate with theirs:

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How To Measure The Customer Impact Of CX Projects — And Get Them Funded

Sam Stern

No one disputes that treating customers well is the right thing to do: Virtually all respondents in a Forrester survey of CX professionals said that executives at their companies consider customer impact to be at least somewhat important when making business decisions. But compared with hard return on investment (ROI) numbers in business cases for other initiatives, CX projects won't get needed funding if their estimated returns are limited to benefits like improved satisfaction or higher Net Promoter Score (NPS).

In my latest report, "How To Measure The Impact Of CX Projects — And Get Them Funded," I describe a four-step process companies should adopt to govern CX improvement initiatives and help ensure their projects can win funding.

  • Step 1: Prioritize customer experience improvement opportunities. Most companies are spoiled for choice when it comes to finding parts of the experience to improve. But all that choice can be debilitating when trying to decide how to best allocate scarce resources and small budgets. Core customer experience activities like collecting insights from customers and employees and mapping customer journeys are valuable in this step to help companies identify the improvement projects that will have the greatest CX impact.
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No Big Bank Leads In US Mobile Banking

Rachel Roizen

[this blog post was co-authored by Peter Wannemacher]

Forrester has just published its 2015 US Mobile Banking Functionality Benchmark. The report reveals important insights about the mobile offerings from the five largest retail banks in the US: Bank of America, Chase, Citi, U.S. Bank, and Wells Fargo. Forrester clients can find the full benchmark report here:

All of these bank brands are relatively strong, providing customers with the services and functionality they’ve come to expect from mobile apps and sites. But perhaps the most significant takeaway from our research is that no single bank is leading: When it comes to mobile, the big US banks are achieving parity, not breakthrough.

  • Overall, the US banks are meeting customer’s needs... The US banks achieved overall scores of 65 or higher out of 100, scoring particularly well for enabling a wide range of touchpoints and transactional features. All five banks have extensive functionality across bill pay transfers and P2P payments, like mobile remote deposit capture and adding a payee from within the app.  
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Competition Remains White Hot In The Canadian Mobile Banking Market

Peter Wannemacher

[this blog post was co-authored by Rachel Roizen]

Forrester has just published its 2015 Canadian Mobile Banking Functionality Benchmark. The report reveals important insights about the mobile offerings from the five largest retail banks in Canada: BMO, CIBC, RBC Royal Bank, Scotiabank, and TD Canada Trust. Forrester clients can find the full benchmark report here:

The Canadian mobile banking market has been highly competitive for years, ever since CIBC became the first Canadian bank to roll out robust mobile banking services more than five years ago. Our benchmark research shows that this remains true today: All of the banks have solid mobile banking functionality that meets customers’ most common needs and expectations.

But different banks excel in different areas of mobile banking. CIBC and Scotiabank received the highest overall scores, each earning an impressive 75 out of a possible 100 in our benchmark. The two banks achieve mobile banking success with strong core banking features plus enhancements in key areas: For example, CIBC offers excellent product research tools, while Scotiabank recently launched a best-in-class help service within its mobile apps (see image below).

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Myth Busting 101: Insights IntoThe B2B Buyer Journey

Lori Wizdo

There is turbulence in the B2B marketing zeitgeist. Why? The most quoted factoids of the modern marketing age have been discredited.  Are buyers really not 57% of the way through their journey before they speak with a vendor sales rep?  Are they really not sourcing 67% of their buying research online? Was it ever true?  If not, how can we believe the new insight that sales rep involvement now starts at the beginning of the journey two-thirds of the time?   

B2B marketers, keep calm and carry on. There’s been no fundamental disruption in your world.

It’s still true that today’s buyers control their journey through the buying cycle much more than today’s vendors control the selling cycle. In a recent survey, 74% of business buyers told Forrester they conduct more than half of their research online before making an offline purchase. This buyer dynamic changes the role of B2B marketing in a fundamental way.  But that’s where the prevailing knowledge about ‘today’s buyer’ will fail you.

You gotta know YOUR buyer.

All of these arresting statistics about buyers represent buyer behavior on average.   Averages are great because they show us directional change in the aggregate. But savvy marketing practitioners know that it’s irresponsible to build your customer engagement strategy on aggregate trends. The behavior and proclivities of your buyers might be very different from those averages.  Forrester’s detailed research into buyer behavior (Forrester Business Technographics Global Priorities & Journey Survey, 2014) consistently proves that hypothesis.  Consider these examples:

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B2B Buyer Journey Mapping Basics

Lori Wizdo

Today’s buyers control their journey through the buying cycle much more than today’s vendors control the selling cycle. In a recent survey, 74% of business buyers told us they conduct more than half of their research online before making an offline purchase. This buyer dynamic changes the role of B2B marketing in a fundamental way. Marketing now owns a much bigger piece of the lead-to-revenue cycle.  And B2B marketers must take responsibility for engaging with the customer through more of the buying journey. To do this, you need to engineer a cross-channel marketing strategy to successfully engage with buyers who proactively seek the information they need — through digital and social channels, from peers, on YouTube, at events, and through your sales reps — to advance their decision process.   Of course,  there's no one right way to do this: some buyers prefer to engage with a sales rep who can help them create and evangelize a vision; other buyers want to educate themselves through professional contacts and peer-created content; and yet others are comfortable doing research on vendor websites. Buyer journey mapping is a technique to understand your buyers' path to purchase. 

When developing a buyer journey map, remember the "five W's" of interrogative investigation:

Who? B2B buyers purchase in teams. A senior executive might kick off a buying process but delegate the exploration to an individual contributor on the team. End users may be part of the evaluation process or not. Think about the prospective customer as a portfolio of buyer personas who each play different roles in the collective advance toward a decision.

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CX Q&A With Raul Leal, CEO, Virgin Hotel Group

John Dalton

On just about anyone’s shortlist of companies that deliver unique, high-quality experiences, you’ll be sure to find Virgin. And this year, the iconic brand opened its first hotel in the US — a 250-room property located in the Chicago Loop. How does Virgin Hotel live up to the high standards set by other Virgin businesses? At Forrester’s Forum for Customer Experience Professionals in New York, June 16th and 17th, Raul Leal, CEO, Virgin Hotel Group, will explain. In the meantime, he shared with us a few thoughts about CX, the hospitality industry, and what it’s like to work for a knight. Enjoy! And I look forward to seeing you in NYC . . .

Q: In your industry, switching costs are pretty low. Indeed, one of the things that impresses me about the first Virgin Hotel in Chicago is how reasonably priced the rooms are! Is that why CX is so important to Virgin?

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How Governments Can Improve Everyone’s Customer Experience

Rick Parrish

I spend a lot of time talking about the poor quality of federal customer experience (CX) and the effects it has on the public. I’ve already talked about how federal agencies averaged the lowest score in Forrester’s Customer Experience Index (CX Index™). In fact, most of the worst performers in any industry were federal agencies and even the top agencies — the US Postal Service and National Park Service, which tied for the top spot — achieved scores far below private-sector leaders like USAA, Amazon, and JetBlue.

However, today I want to emphasize the national harm of bad private-sector CX. US consumers have hundreds of millions of frustrating interactions with companies every day, and that adds up to:

  • Degraded quality of life. About 50% of US households reported bad experiences, and 68% suffered customer rage in 2013, according to this study.
  • A weakened economy. Waiting for in-home services such as cable, TV, or appliance installation and repairs takes each US consumer out of the workforce for two days each year, costing $250 per person and the entire economy as much as $37.7 billion annually, according to another study.
  • Stymied business innovation. Poor CX also saps budgets that companies could otherwise use for research and development, capital investments, or other imperatives. And CX improvements translate into big bucks. Sprint saved $1.7 billion per year by avoiding problems that had prompted high traffic to its call centers.
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Today's Forecast: Partly Cloudy With A Chance Of Hybrid Deployment

Rusty Warner

I’m a big fan of the cloud – and not because I live in the United Kingdom, which actually gets a lot more sunshine than people think. Seriously, I like the cloud because of the opportunities it brings for enterprise marketing technology deployment. Note that I said “opportunities,” as in potential; although Forrester’s research shows SaaS is the leading factor driving system replacements and net new investments in business applications, there is still work to do where marketing technology is concerned.

But what about all the so-called “marketing clouds” on the market? Surely, they offer cloud-based solutions, right? Cloud-based, yes; exclusively in the cloud, no. Of the eight modules in the Adobe Marketing Cloud, Adobe Campaign and Adobe Experience Manager remain largely hosted or on-premise solutions today. Within the Oracle Marketing Cloud, loyalty and marketing resource management (MRM) modules offer on-premise deployment options. Last week, IBM announced the IBM Marketing Cloud – based on the Silverpop acquisition, with IBM Campaign (formerly Unica) retaining a “marketing software” description. Even the majority of Salesforce Marketing Cloud customers employ a hybrid model for customer data management.

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The Data Digest: Customer Service Has Gone Digital

Anjali Lai

In the past week, I have booked a flight using a travel voucher, questioned a charge on my credit card bill, and bought an electric toothbrush. What do these experiences have in common? In each case, I had a relatively complex question and I received a helpful answer – without talking to anyone in person or by phone. Instead, with a little online research, I was able to identify which blackout dates applied to my travel voucher, clear the charge on my credit card bill, and learn the best settings for my toothbrush.

Essentially, I sought answers immediately by turning to digital channels first. In this regard, I’m not the only one. For the first time in the history of our research, more US online adults report using company websites than speaking with agents by phone when resolving customer service needs. Forrester’s Consumer Technographics® data shows that 76% of consumers turn to FAQ pages, and usage across other digital channels is growing notably:

The fact that technology is disrupting the way in which customers seek information is not merely a trend – it’s at a tipping point. In the age of the customer, consumers expect accurate answers with greater speed and less friction than before; as companies offer them detailed online content with increasingly effective navigation strategies, consumers will embrace self-service digital channels at the expense of offline communication.

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