Written by Karan Tupe

“Nothing ever becomes real ‘til it is experienced” – John Keats

In a digital world, delivering a customer experience that facilitates meaningful long-lasting relationships has been one of the primal challenges that the companies are facing today. A Bloomberg Businessweek survey revealed that “delivering a great customer experience” has become the new imperative: 80% of the companies polled, rated customer experience as a top strategic objective.

Customer_Experience_Strategy

Customer_Experience_Strategy

Personalization is one of the many factors that contribute to the deployment of a successful customer experience by adding a human element to it. A Forrester report confirms, 91% of customers who really feel valued, plan to stay with the brand and 89% plan to spend more.

According to a study sponsored by PwC,  decision-makers were asked what were the primary motives behind personalization initiatives. The answers point out to one simple fact- Retain the customers.  In fact, almost 60% of respondents identified customer loyalty and 33% identified reducing customer churn as one of the primary goals for personalization initiatives. In the age of the customer, personalization is the step forward in customer experience strategy.

Here are 6 stats that confirm the same.

The Industry recognizes its potential :

Seventy-nine percent of decision-makers said that personalization is very important to achieving their top marketing and customer experience goals like increasing customer satisfaction, building customer loyalty, and acquiring new customers. – PwC and Forrester commissioned study.

Talk about numbers :

Personalization can reduce acquisition costs by as much as 50 percent, lift revenues by 5 to 15 percent, and increase the efficiency of marketing spend by 10 to 30 percent– Harvard business review.

The Key Ingredient for successful customer experience :

A study conducted by Jabra – “The power of conversations” suggests that “Delighting the customer with personalized service – will make 73% fall in love with your brand. On the contrary, if you anger the customer with poor service – 91% will leave (and tell up to 15 people about it) “.

Customers are willing to share data :

Consumers do want to know what information is being used, and they want retailers to ask permission, but they’re generally willing to trade their information for certain benefits.  This info-graphic sheds light on the fact that consumers do want personalization.

Source: Magnetic/MyBuys (February 2015)

Personalisation Touch Points  :

Digital touchpoints can be defined as the way a customer chooses to interact with an organization. These touchpoints facilitate as mediums of knowledge for businesses to gain data in order to understand more about the customers in general. Although the numbers suggest that nearly all firms personalize through email (87%), far fewer can personalize across newer channels like mobile (52%) and social (61%) –  Forrester

Banking on new touchpoints :
As mentioned above, nearly all firms said they personalize through email (87%), far fewer said they can personalize across new channels like mobile (51%) and social (62%). Less than half of firms are using customer interaction and contextual data for personalization, which means most of their efforts are general and segmented, not focused on the individual.
Organizations need to explore unconventional touch points, to personalize even more effectively. Companies with greater digital capabilities were able to convert sales at a rate 2.5 times greater than companies at the lower level did –McKinsey.

Voice: A touch point with immense potential :

Personalization techniques today are often limited to specific channels. Brands need to focus on unconventional touch points as these points only emerge to grow more of importance in the age of the customer.
Bia Kelsey–  A leading advisory firm states that calls are one of the most under-recognized opportunities of the digital age.
The irony is, though we live in a highly digital age, the need to be communicated by voice persists. Google backs that: 69% of search users report likeliness to use a call button to contact a local business from within mobile search results.

What’s more real and personal than connecting with your customers through voice. Google, Amazon have already started leveraging this fact by launching Google Home and Amazon Alexa.

The frustrations associated with experience design are diminishing and the payoff for the user is instant – they can get the content they want.  For instance: buying washing powder with the ease of voice – a truly great customer experience.

Walmart, one of the world’s biggest retailers has joined hands with Google, to debut voice shopping on Google Home.

Source: Search Engine Land

This partnership will also allow Walmart to take advantage of Google’s artificial intelligence (AI) capabilities. Since Google will have access to Walmart customers’ purchase histories, and other valuable data points, it will be able to push personalized promotions to these shoppers. Personalized promotions, combined with the ease of voice ordering, may encourage time-pressed shoppers to purchase more through these devices, thereby driving up e-commerce sales for Walmart.
These examples lay a strong foundation for the growing importance of voice.

Speech Analytics :

Speech analytics is a set of techniques for turning raw sound into actionable data. The best way for companies to better understand their customers is to lend an attentive ear to what they are saying. Mining information during calls to structure it into insightful data is just one of the many advantages of using speech analytics. Speech analytics empowers you to :

  • Pinpoint highlights and pain points in the customer journey.
  • Identify business trends through voice data
  • Leverage predictive analytics to refine the sales process and propose the right offers to the right customers at the right time.
  • Gain business intelligence: Buyer demographics such as gender and age.

Is voice a part of your digital strategy to deploy personalization?