In this article, we\u2019ll explore the connection between digital transformation and customer experience and break down the ways you can respond to changing consumer preferences.<\/p>\n
Impact of Digital Transformation on Customer Experience<\/b><\/h2>\n
Digital transformation is the process of integrating digital technologies into every aspect of a business. What\u2019s interesting about this phenomenon is that organizations aren\u2019t driving these changes; the customer is. One example of this is the banking industry. If you think about how often we contact a bank directly, it\u2019s minimal. Our interaction is directed instead to apps and other products that allow us to seamlessly find answers without waiting on hold. In the financial sector, customer experience is a top priority.<\/p>\n
Improving the end-to-end customer experience<\/a> is essential for any business. When it comes to how digital transformation is driving customer experience, here are a few of the market forces at play:<\/p>\n Essentially, customers are in control of how they interact with brands. Businesses looking to understand their customers and deliver exceptional products, services, and experiences are focusing on re-aligning their strategy around the consumer. And that means investing in the technologies and business models that put the customer at the forefront of their decision-making.<\/p>\n Here are a few more customer experience case studies<\/a> to consider.<\/p>\n Being aware of the impact of digital transformation and customer experience is one thing. Execution is another.<\/p>\n The dynamic nature of the digital world will present businesses with various challenges, and the success will depend largely on the chosen digital strategies. Here are 7 best practices to achieving better customer-centricity in the digital age:<\/p>\n Begin by taking inventory of your current situation and identify key areas of improvement.<\/p>\n Look at where digital strategy stands today\u2014across all areas, including product development, marketing, sales, customer service\u2014and create your own digital transformation roadmap that takes your business goals into account.<\/p>\n Are these strategies centered around your customers? Does the feedback inform them, or do you need to make some changes?<\/p>\n With customers gaining control over the way brands deliver experiences, organizations need to develop a deep understanding of each segment and optimize individual experiences at every touchpoint of the customer journey. The bottom line is, customer experience can ultimately improve retention<\/a>.<\/p>\n From awareness to purchase, this journey has become one of several pathways and multiple devices\u2014or channels. Ensure no customer slips through the cracks at any point of the interaction process.<\/p>\n One method for optimizing the customer journey\u2014and, therefore, their experience\u2014is marketing automation<\/a>. It\u2019s critical to your digital transformation and improving the customer experience by allowing you to optimize the customer journey. Drawing on a blend of customer feedback, user data, and artificial intelligence<\/a>, you can use marketing automation to improve the effectiveness of your lead gen and nurturing efforts. To that end, digital transformation can help you increase conversion rates.<\/p>\n Optimizing your customer journey<\/a> to align with your digital transformation strategy also means developing an online presence with consistent messaging to deliver a top-notch customer experience.<\/p>\n More B2B customers rely on your online presence<\/a> today than ever before. Showing up is no longer an option. It\u2019s mandatory to incorporate all channels your audience uses to interact with your brand into your marketing strategy. Here, you\u2019ll need an omni-channel approach that outlines how to show up, what to say, and the types of content you need to create a consistent experience across every stage of the customer journey. Digital transformation and customer journey strategy is highly relevant in how businesses consider new updates and product launches.<\/p>\n Simply put, when your departments are misaligned, you\u2019re missing out on opportunities to have meaningful interactions with customers.<\/p>\n Each department can be working with a different, limited data set and performing tasks at different stages in the customer lifecycle. They do not share information with other departments, and can inhibit growth and fragment the customer experience as a result.<\/p>\n To maximize the customer experience in digital transformation<\/b>, you need to align sales, marketing, and customer service around the same big-picture business strategy.<\/p>\n The digital transformation of customer experience starts with understanding what customers want.<\/p>\n Fortunately, cloud technology enables companies to be fast, dynamic, and flexible, giving you the ability to create a 360-degree view of your customer and meet their demands faster.<\/p>\n Data is only useful to your business if you know how to organize, contextualize, and derive critical pieces of information from it. Addressing these questions can help you shape your data management strategy:<\/p>\n Inefficient back-end processes can have a detrimental impact on the customer experience. And since 64% of consumers<\/a> say they expect companies to reply to them in real-time, your back-end must be digitally enabled to respond.<\/p>\n If you want to digitize your back-end process and support customer-facing channels, consider which tasks can be automated, as well as what you can do to develop more efficient workflows and eliminate redundancies.<\/p>\n For company-wide transformations, you\u2019ll need to establish company-wide metrics and KPIs to accurately measure success.<\/p>\n In other words, everyone must speak the same language across all parts of an organization when defining the right metrics to use, discussing issues, and exploring other customer experience-related activities.<\/p>\n What is the connection between digital transformation and customer experience? Following a study 3Pillar Global undertook in conjunction with the University of Maryland to determine the top drivers of innovation, we discovered that the most successful companies have in common an attractive culture.<\/p>\n It makes sense when you think about it. When you can attract and retain top talent, you\u2019re better able to grow as a company than if you\u2019re constantly hiring to replace employees due to turnover.<\/p>\n In The Product Mindset, David H. DeWolf, President & CEO at 3Pillar Global, states, \u201cCulture will either improve or undermine employee engagement and satisfaction, allow or disallow creative thinking and good judgment calls about change, and build or erode trust when it comes to iteration.\u201d<\/p>\n Ultimately you need team members who are on board with your vision for the future. Even more importantly, you want a team with a product mindset and dedication to innovation, growth, and continual improvement.<\/p>\n So what should you do to create a digital-first company culture<\/a> that can deliver the best possible customer experience?<\/p>\n A team focused on asking \u201cwhy\u201d will help your organization innovate and develop agility. Moreover, it allows your team to maintain a focus on striving for constant and continuous improvement. Fostering this problem-solving mindset<\/a> in your team means being open to change and encouraging people to speak up when they believe there\u2019s a better way. It also frequently involves developing an atmosphere of mentorship and collaboration.<\/p>\n To that end, a focus on \u201cwhy\u201d allows you to create feedback loops. Just as feedback is critical for developing products<\/a>, it\u2019s invaluable for helping your employees grow and being open to their suggestions.<\/p>\n Innovation is a hallmark of continuous improvement. Fostering this in your team starts with setting defined boundaries and processes for developing creative solutions that solve problems and minimize time to value. Innovation begins, first and foremost, with understanding customer feedback<\/a> which should be regularly collected through various data points.<\/p>\n The product mindset should not be limited to your product team but integral to your organization at every level.<\/p>\n Just as boundaries lead to innovation they are valuable for ensuring your team is on the same page for internal and external communications.<\/p>\n If you already have a brand messaging strategy or platform, you\u2019re a step ahead of many of your competitors. It should go without saying that having this also simplifies your marketing. However, it\u2019s also integral to your team onboarding process.<\/p>\n Setting internal expectations makes it easier for people to understand the company culture and internalize key talking points. Sometimes this document may be a simple one-page PDF with \u201csay this, not that\u201d guidance. Other times, it\u2019s a lengthy document.<\/p>\n Regardless of how you define your communications, the most important takeaway is to devote time and consideration to how you want to come across. Without taking this step, your customer experience<\/a> will lack consistency online and in 1:1 conversations.<\/p>\n No matter what industry you\u2019re in, creating an outstanding customer experience has gone from a nice-to-have to a mandatory necessity.<\/p>\n In your company\u2019s quest for a customer-centric digital transformation, deploying a strategy that puts the consumer first will make all the difference. You\u2019ll want to take the steps necessary to ensure your time, budget, and resources are adequately spent on areas that deliver results and also align with your business\u2019s core values. This includes developing a digital-first company culture designed to deliver an exceptional customer experience.<\/p>\n After all, the organizations that can adapt to the evolving needs of customers will outperform competitors and position themselves to win in a cutthroat global economy.<\/p>\n 3Pillar Global\u2019s high-performing teams can help you rise to the new demands of meeting and managing consumer expectations. Contact us today<\/a> to learn more about our process, services, and the advantages of our digital innovation solutions.<\/p>\n Special thanks to these members of FORCE, 3Pillar’s expert network, for their contributions to this article.<\/strong><\/p>\n\n
Key Elements of a Customer-Centric Digital Transformation<\/b><\/h2>\n
Define Big-Picture Strategy<\/b><\/h3>\n
Understand the Customers and their Journeys<\/b><\/h3>\n
The Role of Marketing Automation<\/b><\/h4>\n
Using Messaging to Enhance Your Customer Experience<\/b><\/h4>\n
Align All Department and Functions Around a Unified Strategy<\/b><\/h3>\n
Create a Flexible IT Environment<\/b><\/h3>\n
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Develop a Data Strategy<\/b><\/h3>\n
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Optimize Processes on the Back-End<\/b><\/h3>\n
Establish Organization-Wide Metrics for Measuring Success<\/b><\/h3>\n
Develop a Digital-First Culture to Deliver the Best Customer Experience<\/b><\/h2>\n
Hire People Focused on \u201cWhy\u201d<\/b><\/h3>\n
Empower Innovation<\/b><\/h3>\n
Define Communications Guidelines<\/b><\/h3>\n
Final Thoughts<\/b><\/h2>\n
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Angel Almada<\/a><\/p>\n