TheCustomer QT – February 23, 2021

February 23, 2021

3 minute read

In the latest QT: a 58% increase in retention, consumers’ rights on the upswing, consumer expectations even more so, and weaponizing trust.

Happy skimming

CUSTOMER ENGAGEMENT

Conversational data shifting consumer privacy discussion

Quick-Take: “Customer systems are almost always better at their job when they understand intent, but the technology, user behavior and the internet ecosystem have to develop together, and we’re still in the early stages of using conversational data to determine intent.”

4 ways to build empathy into your processes

Quick-Take: Instead of investing in training processes that adapt the user to the system, ensure continual guidance and contextual help by investing in technology that adapts to the users’ needs: technology that is built with empathy.

Improving Customer Engagement Strategies

Quick-Take: Brands that message customers across multiple channels saw a 58 percent increase in 30-day retention, customers were 73 percent more likely to make a purchase and four times more likely to increase their lifetime value.

How will Customer Experience evolve?

Quick-Take: We anticipate three types of investment missions in customer experience in 2021:

Stabilize: Continue the 2020 reactionary investment to stabilize customer relationships.
Advance: Reinvigorate paused initiatives through a new lens of COVID-19 priorities.
Evolve: Leverage the disruption as a catalyst for brand evolution.

CX vs. Customer Advocacy

Quick-Take: Fewer than half the customers at nine of the 20+ banks included in Forrester’s study said their banking provider put their best interests ahead of the bottom line.

CONSUMER SENTIMENT

Why digital identity and the customer journey is crucial for today’s businesses

Quick-Take: Across the globe, 60% of consumers told us they now have higher expectations of their digital experience than they did before the pandemic took hold. Even more startling is that a third of consumers globally are only willing to wait 30 seconds at most before abandoning an online transaction.

DATA & PRIVACY

Virginia Finalizes Privacy Law

Quick-Take: Under the bill, consumers have rights to access, correct, delete, obtain a copy of personal data and to opt out of the processing of personal data for the purposes of targeted advertising.

The Capitalism of Perpetual Surveillance

Quick-Take: Surveillance capitalism unilaterally claims human experience as free raw material for translation into behavioral data.

Best Practices in Data Privacy

Quick-Take: The most recent Pew Research survey, more than 81% of Americans believe they have little or no control over the data collected.

Quick-Take: One promising model is the Opportunity Insights Economic Tracker, a publicly available repository of anonymized data contributed by private companies. … Real-time analysis of economic effects — enabled by better data sharing — can improve the targeting of policies to those in greatest need.

Companies must balance the pursuit of profit against ethical data usage

Quick-Take: Trust could become the weapon that banks use to defend their throne, especially as consumers become more aware of how their data is being used and they rebel against it. A Ponemon study on privacy and security found that 86% of adults said they are “very concerned” about how Facebook and Google use their personal information.

EXPECTATION GAPS

The Patient Experience Revolution in Health Care

Quick-Take: Less than 40% of patients believe health care providers are able to deliver excellent PX in a completely digital way.

Retailers need to deliver better rewards

Quick-Take: The majority of customers (55%) say that rewards programmes do not offer things they actually want and that customer experience holds almost equal influence when it comes to loyalty (48%).

Report Identifies Gap Between Consumer Sentiment and Corporate Perceptions

Quick-Take: According to the report, 86 percent of companies believe that their organizations already understand and meet their most valuable customers’ needs. Yet, data from Merkle’s recent 2020 Consumer Sentiment report found that only 35 percent of consumers felt like marketing and advertising met their needs.

DIGITAL TRANSFORMATION

How technology accelerates — or impedes

Quick-Take: Transforming into a truly customer-centric organization is still a distant dream. What’s stopping them? Of the 83% of executives who said that silos existed in their companies, nearly a hundred percent (97%) said they have a negative effect on business outcomes.