Over the past decade, the battlefield for modern businesses has entirely changed. Brands that traditionally battle on the basis of innovation and technology have in recent years given their highest priority to creating differentiating customer experiences. Statistics don’t lie – while only 36% of companies used to compete on the primary basis of CX in 2010, more than 89% of customers battle it out to provide the highest levels of CX in 2020.
So what are customers expecting during their journey with a brand? Customers not only expect personalized experiences based on their taste, preferences, previous activities and priorities, they also expect consistency across each touch-point in the customer journey. Brands that can provide such consistency will win, thus positioning themselves for long-term sustainability.
Three ways on how brands can engage with their customers through heightened CX:
1. CX and Data are interlinked
One cannot exist without the other. Brands should make use of the 90% of dark data that’s sitting in plain sight. Brands should move from an account centric approach towards a customer centric approach. With current digital technology and the plethora of customer data that’s available, businesses should seek to integrate their front, middle and back office operations digitally. This allows businesses to capture customer data in a more cohesive manner, thus creating a golden record for each customer. Such a record gives an organization an in-depth analysis of a consumer’s digital footprint across browsers, devices and channels, thus being able to provide more personalized experience for customers.
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2. Impact of Negative customer reviews
A single negative customer review has 4 to 5 times more impact than a single positive review
In today’s volatile climate, word-of-mouth marketing has become paramount for brands. An example of this is chewy.com, a platform that has garnered the respect of consumers due its’ heavy focus and continued investment into customer experience. This investment has paid off heavily during the pandemic as chewy.com has thrived on word-of-mouth of marketing and overall brand perception. United Airlines on the other hand experienced a loss of 1.4 billion USD overnight due to a single bad experience that went viral. It’s very important to remember that businesses aren’t dealing with loyal boomers anymore. The average millennial and Gen-Z consumer prefer consistent experiences and brand agility when dealing with issues. Brands with the ability to adapt to market conditions and rapidly overcome negative consumer sentiment (which is inevitable) will stand the test of time.
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3. Get into Omnichannel
According to Forrester, nearly 95% of customers use 3 or more channels to engage with a brand and more than 65% use more than 1 device
In our modern digital age, to heighten CX, brands must focus heavily on enhancing omnichannel experience. The average British household has more than 7 internet devices and similar statistics are seen in countries all over the world including the U.S., India and Australia. Consumers that experience a cohesive customer experiences across different devices, platforms and channels statistically spend more time and money with a particular brand. Moreover, positive word-of-mouth marketing and a brand’s ability to cross sell are contingent on a customer’s omnichannel experience expectations being met.
Brands that act on CX today will be the face of their industry tomorrow.