Drive Customer Experience With Digital Transformation
Ever-changing consumer demands and fast-growing digital trend are driving the Digital Transformation (DX) initiatives, globally.
Unlike other initiatives that companies kickstart or embrace, DX is purely the demand from the consumer side and is aimed at 100% customer satisfaction.
Given this demand, the majority of companies are already taking the ‘customer-first’ approach and adopting relevant practices to be aligned with that goal.
As different surveys conclude, two-thirds of the top executives of global 2000 companies see the organizational future in modern digital strategies aimed at customer experience.
And, they believe adopting digital transformation is the way forward!
Despite this strong demand, some companies are still far away from the road to transformation. Some of them misunderstand the DX path, while some think it is an impossible task in the near period.
Customer Engagement- Top Driver For DX Demand
The potential that DX culture holds through efficient utilization of data and technology makes it imperative for every organization, globally.
Moreover, customer experience and customer satisfaction continue to be the top reasons driving the demand for digital transformation implementation across firms.
Companies that are able to transform digitally are more likely to create high customer engagement.
And, the highly-engaged customers are:
- 6 times more likely to new product experiences from the preferred brand
- 4 times more likely to refer the brand to friends and family
- 2 times more likely to prefer the brand over its competitors, despite low pricing and other options
- 90 percent more likely to make frequent purchases
- More willing to spend 60 percent more on purchases from preferred brand
Thus, customer engagement continues to be the top reason for driving the DX demand.
An MIT study has found that companies embracing on DX are likely to be 26 times more profitable than the usual ones.
Overall, digital transformation can be a crucial revenue-generator with customers leading the journey.
Also Read | What are the critical components of Digital Transformation?
Now, how do you achieve this feat of customer engagement?
This requires an effective understanding of digital customers, user behavior and ways to reach out.
Understanding Digital Customers and Reach-out
The digital trend has transformed the way customers think about products and make up their demands.
Moreover, the increasing usage of mobile and technology devices and digital technologies gave the required push to change in customer expectations.
Mobile apps and interactive online platforms gave product experience due to emphasis, encouraging the buying interest and behavior.
This led to the level that customers rate brands by the first experience they had with the brand products. Thus, ‘digital first’ purely depends on how you interact with the customer!
Here is where you need a strategic movement in sales, marketing and customer-facing processes:
- Days are gone when customers contact you directly Now the mantra is to let your sales teams find all possible ways to customer reach-out, either through impactful content, campaigns, among others, to build relationships and educate them about the product.
- For your marketing team, it’s the data-driven marketing strategy, backed by highly-targeted messages and an effective SEO process, that is the need of the hour!
- For the customer-facing teams, being reactive is not enough in the ‘digital first’ approach. You need to be proactive and highly responsive in nature, tapping all possible channels for effective customer interaction
Organizations and business activity need to adopt the ‘digital-first’ approach to achieve success in this area.
It’s Time For Digital Transformation – In Brief
Now that you understand the core idea of digital transformation, it’s time to get on to the actual process.
Getting on to digital transformation requires a change in organizational culture and flexibility in the environment.
Having the right technologies to power your DX initiatives is the need of the hour for most companies. Around, 45 percent of companies report a lack of relevant technology to implement DX strategies.
1) Cloud – The Top Priority
As the surveys show, the majority of companies vote for an agile methodology for effective implementation of DX initiatives, with more than 86 percent of firms calling ‘cloud‘ – the top priority for DX. The cloud environment is dynamic in nature and gives the ability to test, run and execute faster than ever, cost-effectively and under low-risk conditions.
A flexible, agile environment improves your responsiveness to customer demands and offers the ability to touch all customer points by harnessing the full data potential.
2) Personalized Experience
A personalized experience is the key driving factor in the DX journey. Thanks to the advanced customers who are okay with companies utilizing their personal data. In fact, companies are expected to have understood user behavior patterns, purchase history, and make recommendations accordingly. All these won’t be easy without a perfect Customer Relationship Management (CRM) process!
3) Seamless Services
What customers demand today is the timely response and perfect solution to their concern. Thus, companies offering high accessibility to customer gains a competitive edge. Moreover, given the customer behavior across multiple channels, its recommended to create a digital profile for each customer, with the behavior pattern gathered from multiple channels the customers sign in into.
Thus, customer satisfaction and engagement stand at the core of Digital Business Transformation. So, re-strategize or build your new digital transformation strategy in line with customer demands and offer them a never-seen experience to gain a competitive edge.
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