(Newswire.net — October 9, 2018) — There is no doubting the impact of technology on our daily lives and it doesn’t matter what job you are doing. Look at customer service, even in small businesses the number of tools available to communicate with customers has ballooned over the past few years.
While this might make it harder to choose the right tool, the use of technology overall has made it easier to analyze customer interactions and for that reason, we’ll take a deeper look at how big data is transforming customer experience (CX).
Why is CX Important?
Granted, the development of CX and corresponding tools started in the tech industry. Just think of the apps and websites you use and how these companies rely on tech to improve your experience.
Gone, well mostly, are the days of waiting forever when you call a customer service number. This rather frustrating experience has been replaced by ‘live’ chat sessions in the app or on the company’s website. If that doesn’t work, you can also contact the company directly via social media. By the way, most companies are very responsive to these public channels and as such this can be a very effective way to take care of an issue.
Given the growing number of CX options companies in just about every industry have started to take notice. This is important as technology has driven customers to expect more than ever before.
As such, companies who provide poor customer service are not only likely to lose a customer, but that customer can then broadcast their dissatisfaction to thousands through the push of a button. Just think of the recent problems at United Airlines and what this has meant for the company.
How Data Is Helping
As mentioned, technology has become vital to delivering an experience that meets the expectations of customers. However, this only tells part of the story as tech-enabled CXmeans that companies can analyze just about every part of the experience.
This move towards structured data has proven increasingly important to delivering the optimal CX based not on assumptions but rather personalized insights on a customer.
This trend even applies to marijuana industry where cannabis software is being used to better manage the retail experience, leading to increased customer visits and profits. That’s right, even an industry which revolves around preserving one’s mellow has gotten serious about data and analytics.
What does the data do? Well, it helps decision makers to identify potential weak spots in how their customers interest with the company and in doing so provide the basis to make changes along the way. Granted, data can be flawed but the common approach is to analyze, test, and then expand.
This never-ending cycle of data analysis and implementation is leading to tremendous breakthroughs in CX across industries. One of these breakthroughs is personalization.
Let’s Get Personal
If you are marketing in a mobile-first ecosystem, then you already know that personalization is the way to go. Not only does this drive engagement but it also leads to improved conversion rates and by extension revenue growth.
This is important, especially as the shift to smartphones has largely tapered off in developed markets; as such companies find the missing growth opportunities within their customer base and not through new mobile users.
However, this personalization is a bit of a double-edged sword. On the one hand, personalization gives customers the exact experience they want. While on the other hand, privacy concerns are leading many to question what information they share.
In addition, legal complications as Europe’s General Data Protection Regulation (GDPR) is already causing many companies to rethink their approach. While the jury is still out on the impact of these changes, there is no doubt that the general conversation about privacy in the 21st Century is one that needs to be had.
The Trust Gap
While research shows that most customers don’t want to trust retailers with their data, the realities of life in the digital age often give most people little or no choice. Either accept the terms of service or be locked out.
However, it doesn’t need to be this way and the big data could offer an alternative approach – largely by shifting from a ‘one size fits all’ approach to one which allows the customer to choose the experience that wants in a more transparent way.
In fact, these ‘smart customizers’ are twice as likely to achieve market-leading growth rates. This not only points to the opportunities available to companies by closing the trust gap but also how data and analytics can make it happen.