Your Customer Experience Landscape Has Changed – Has your Strategy?
Several recent factors have dramatically changed customers’ expectations.
#1 The pandemic elevated Customer Experience (CX) to the number one business imperative.
- Good CX was always rewarded but priority turned to urgency since the pandemic began.
80% of customers say they tried new brands or digital behaviors (ex: grocery shopping online or attending doctor’s visits virtually).
- Many buyers will keep these habits due to ease of use and convenience. According to McKinsey, 91% of consumers state they’re likely to continue purchasing more items online in the future—and 52% saying they’re very likely to do so.
- 3 of 4 customers are likely to switch brands for a better experience.
It’s clear that providing a great experience online is essential to obtaining and keeping valuable customers. To do so, brands need to understand their buyers through customer data – yet, the ways we collect and use customer data are undergoing a major shift as well.
#2 Data deprecation impacts which data can be collected.
Technology platforms like Apple, Google, Microsoft and Firefox own the majority of digital touchpoints (browsers, email, mobile, devices), becoming the go-between for customer data collected by brands.
Three aspects in these platforms have changed significantly:
- Third party cookies are no longer being supported. Cross-domain and cross-device tracking have been impacted and can’t be relied upon.
- Mobile ad identifiers are impacting targeting and attribution on mobile devices.
- Masking emails and invalidating key metrics for email tracking.
In combination, these changes significantly impact the data available to brands via digital interactions requiring a shift in the way they engage, acquire and interact with their customers.
Lastly, part of providing a positive digital experience is inspiring trust that their personal data is safe.
#3 Global Data Privacy Regulations Impact Which Data Can Be Used
GDPR has been in effect since 2018, with fines reaching a total of $1.2B. Gaining traction, more than 25 new sets of data privacy regulations will be announced or enforced around the world in the next two years.
These regulations give customers the right and ability to opt-out of types of data collected, control where it is used, and when it needs to be deleted. As the regulations increase, so do the risk and expense of non-compliance.
With such significant changes, delivering compliant, yet delightful and relevant experiences online have become the standard. What should brands do now to ensure they stay competitive and make their buyers happy?
Brands can deliver better CX and navigate these changes using three key strategies:
- Prioritize a customer data strategy. Understand your sources of data, how they are collected, and how privacy is upheld.
- Ensure data is collected and activated at the right time. For some businesses, this could be in real-time; for others, it could be in hours. Make sure you can deliver what your buyers expect. A strategic expert in the customer data industry can help your team map this approach.
- Deliver a trusted experience. Make sure you can collect privacy preferences and uphold them throughout a customer’s journey. A helpful tip is to offer a transparent value exchange – building trust requires a clear value proposition for their data. For example, if they provide an email address, what benefit do they get in return?
Buyers will often tell you what they want through their data footprint. Do you have the ability to listen and act on it? You likely have a lot of useful customer data at your disposal Now, a thoughtful process around collection and use will position your business to wow your buyers when it counts.
To learn more about developing a thoughtful data strategy and using CDPs, check out our Definitive Guide to CDPs here.