In today's business environment, an organization’s market differentiation is dictated more by its customer experiences than by its products & features. This is particularly relevant in organizations that deal with large cloud of consumers in a fiercely competitive market. This scale and diversity requires them to have high degree of agility, flexibility and scalability in their CX strategy. But CX – just does not happen, it has to be curated and designed to increase the tenure of Brand – Consumer Relationship, thereby improving Customer Lifecycle Value (CLV). It is relooking at business models and designing products/services with the focus on the quality and reflection of the user experience. Every touch point within the customer’s interaction with a product/service is designed to deliver experiences based on the brand’s promise. It requires companies to weave in storylines through online and offline experiences that improves Brand acceptance leading to increase in sales.
The rapid pace at which this transformation is taking place today is astonishing as consumers are constantly hyper adopting technologies on the go, thus melding into cohesive and collaboration environment. Therefore, an imperative of digitization and digitalization have emerged – CX business models have been designed to include digital channels to engage with their key stakeholders to maintain relevance and drive its brand affinity. Facing these implications as desired is becoming a challenge today, as most organizations are unable to catch up with the fast- evolving technological and societal changes, thereby causing them to remain digitally and experientially immature.
I’d like to introduce the concept of Digital Darwinism here, which is taking place at an increasingly faster rate. Karl-Heinz Land, author of “Digital Darwinism”, gave a compelling outlook on what the digital future will look like and on the threats for current business models. He stressed the danger that comes when technology changes faster than companies can adapt. These include everything from next- generation design thinking, SMAC collaboration, automation, Artificial Intelligence, Augmented Reality, CX tools etc. and then iterating these continually. It therefore demands the survival of the fittest in the face of Customer Experience by Design.
Does not sound very easy. So how does one make this shift?
One needs to begin by fixing things that don’t appear broken today. It starts by assessing the customer experiences and then re- thinking and re- designing the customer journey map. Examine how the current infrastructure of the organization (people, processes, technology) can optimize performance and accordingly adopt new technology, processes and business models. It is eventually the Return on Experience (ROE) that matters the most as that is what truly drives the Customer Lifetime Value (CLV).
Mass Consumerization has changed the market's perception of a brand's ability to retain and add new customers. CX By design therefore emphases winning at every interaction the customer has with an organization, whether that be a digital campaign, a call to a contact center, an invoice or a delivery reliant on the supply chain. Every Internal Facing System and External Facing System must play its part in a coordinated fashion.
Robotic Process automation is one of the newest frontiers in customer service. If implemented correctly, it can deliver cost- efficient, compliant and streamlined processes. Automation has the potential to simplify complex processes thereby increasing business productivity which in turn enhances CX. Brands can gain tremendously by incorporating RPA in their operations. Automations definitely is here to stay and businesses must determine at the earliest how it can play a significant role in delivering the best customer experience possible.
Every organization is faced with challenges. It is how the leaders address these, both in the short and long term is what defines their legacy. Technology is not an answer in itself, it is a way of business Model. Its impact is only increasing on the society and if one does not adapt to this change, it will fall prey to digital Darwinism. By re- looking at the organization’s direction and how it works; technology and people can become a part of the solution and not the problem. This increases revenue, cuts costs and improves the overall ‘Customer Experience By Design’ which is key to staying ahead in the competitive market.