#IamCX Trends and Insights
The Crocodile helps brands address the most important boundary an organisation has: the boundary between itself and its customers. It's where business...
CX TRENDS AND INSIGHTS
#IAMCX
In the experience business
The Crocodile helps brands address the most important boundary an organisation has: the boundary between itself and its customers. It's where business and commerce today gets done, how the customer journey is played out, and where value is created and exchanged.
This often requires us to help CMO’s make the case to unite their business around the priorities in their customers lives. To understand the most significant opportunities to create value and move people to action through the connected customer journey.
The result is a dynamic customer driven growth engine capable of evolving with the ever changing needs of the customer.
Customer Data Intelligence
(CDI)
Voice of the Customer
(VoC)
Customer Experience Management
(CXM)
Marketing is not a function, it is the whole business seen from the customer’s point of view.
Peter Drucker
3 emerging cmo priorities
1. Senior marketing leadership must unite silos
The CMO is the leader for both the desired perception of the organisation (the brand) and the customer’s actual perception of the organisation (the experience). Bringing together internal teams and outside partners to collaborate will allow the entire organisation to align on the brand vision and curate experiences to achieve that vision while delighting customers.
2. Alignment between the brand and experience is essential
As one CMO of a technology consulting firm succinctly put it, “Experience starts with the customer.” The marketing function must know their customers; understand what they value and why; and advocate for them in product, sales, service, and operational decisions. This means that the CMO cannot shift the responsibility of becoming insights-driven to other teams — instead they need to be championing the use of customer insight at a broad level.
3. Investment in technology to effectively deliver experiences
Marketing relies heavily on technology to deliver contextual, relevant, and personalised experiences. Firms must invest in the right technology to meet their customer needs and improve experiences. Today, 50% of marketing technology purchasing decisions are happening outside of the marketing department. CMOs must either be part of a group of decision makers or solely make decisions as they must anticipate the change management implications of adopting enterprise wide tools that affect multiple channels, business units, and in some cases, regions.
30%
FORTUNE 500 COMPANIES
MADE SHIFT TO
CX STRATEGY
Source: KPMG Nunwood
Bake cx into
your culture
Every decision a company makes today will have an impact on experience. Every department from marketing to finance touches experience in some way. Organisations that build the most exceptional experiences have built a culture that understands and operates with that notion in mind. Therefore, CMO’s can no longer rely on their tried and tested practices. The CMO is in the driver’s seat as the new experience leader who works to pull in different departments and empower the entire organisation to rally around the customer.
87% of organisations agree traditional experiences no longer satisfy customers
Source: Forrester
95% of marketing leaders agree their entire company is aligned around shared customer experiences
Source: Forrester
Creating an empathetic relationship with customers by collecting comprehensive insights is another area where we see marketing leaders excelling over traditional marketers because CMOs and their teams have the closest proximity to customer data and insights.
With so many touchpoints, it’s critical to have a culture that fulfills its brand promise to its customers. Ninety percent of experience decision makers agree that the CMO should be the internal advocate for their customers. The connection between promise and delivery is precisely why brand strategy is inextricably linked to sales and experience performance. Instead of acting like a gatekeeper, CMOs should be curators—sharing a comprehensive view of the customer across the entire organisation that all teams and departments can get behind, in order to build the best experience for those customers.
81% of marketing leaders are focused on insight-powered, empathetic customer relationships
90% of experience decision makers agree that the CMO should be the internal advocate for their customers
Marketing drives CX technology investment
Technology is now seen as "a" if not "the" key component of the CMO’s mandate to deliver customer experiences. Organisations are investing in digital technologies to create value for their customers.
Unlimited access to digital tools and capital, creates a no-rules environment where competition can come from anywhere, even outside of traditional industry confines.
Traditional marketers who are sticking to their tried and tested practices risk losing to that competition with under half investing or expanding their investment in emerging technology. Marketing leaders are prioritising, these types of investments and those who recognise the importance of technology investments and are not shying away from action.
31% of organisations have already invested in technology like AI
to outpace the competition
76% of marketing leaders are investing or expanding their emerging technology investment
EMERGING TECH EXPECTED
TO GATHER SPEED IN THE NEAR TERM
Artificial intelligence (AI)
Anticipated YoY Growth
+53%
Social listening tools
Anticipated YoY Growth
+31%
Internet of Things (IoT) connected devices
Anticipated YoY Growth
+34%
Customer identity and access management (CIAM)
Anticipated YoY Growth
+30%
Source: SFDC State of Marketing
Marketing automation platform
Anticipated YoY Growth
+31%
Mobile campaign management
Anticipated YoY Growth
+30%
15 REMARKABLE CXM STATS
Customer experience management (CXM) has become the pressing topic of discussion for CMOs across the globe
CXM is concerned with the business of managing the totality of a customer’s individual interaction with a brand, over time. No small thing.
The following stats compiled by CMO put into perspective just how important a customer experience focus and CXM is to a company’s future success. Grab a coffee and enjoy.
1 Over 80% of organisations expect to compete mainly based on CX this year. (Source: Gartner)
2 Companies that are experience-led have 1.6x higher brand awareness, 1.5x higher employee satisfaction, and 1.9x higher average order value. Experience-led businesses also have 1.7x higher customer retention, 1.9x return on spend, and 1.6x higher customer satisfaction rates. (Source: Forrester)
3 In a survey of customer experience team leaders, 100% of respondents agreed that customer experience management cannot succeed without engaged employees. (Source: Customer Think)
4 In the same study, 97% of CX team leaders agreed that CXM is a business strategy for creating loyal customer relationships, and 89% said it includes any effort to improve customer satisfaction. (Source: Customer Think)
5 Fifty-two percent of CX professionals believe that CXM requires a chief customer experience officer to be successful. (Source: Customer Think)
6 Organisations classifying themselves as “very advanced” at customer experience are almost three times more likely than their peers to have exceeded their top 2018 business goals by a significant margin. (Source: Adobe Digital Trends Report)
7 Customer experience leaders are four-and-a-half times more likely than other companies to have a highly integrated, cloud-based technology stack (32% vs. 7%) to fuel their customer experience management strategies. And companies with a unified tech stack are 131% more likely to have significantly outperformed their top 2018 business goals (30% vs. 13%). (Source: Adobe Digital Trends Report)
8 Half of brands say they are planning to increase CX-related technology spending in 2019. (Source: Adobe Digital Trends Report)
9 To deliver on their customer experience management goals, 55% of marketers are prioritising more effective audience segmentation and targeting. (Source: Adobe Digital Trends)
10 Eighty-six percent of consumers are willing to pay more for a great customer experience. In fact, by the year 2020, customer experience will overtake price and product as the key brand differentiator. (Source: Walker)
11 Consumers with an emotional connection to a brand have a 306% higher lifetime value, stay with a brand for an average of 5.1 years vs. 3.4 years, and will recommend brands at a much higher rate (71% vs. 45%). (Source: Motista)
12 Loyal customers—those who support a brand over time—spend 67% more than new customers. (Source: Edelman)
13 Customers who have had an unpleasant experience on a brand website are 88% less likely to return. (Source: Clicktale)
14 Sixty-one percent of users are unlikely to return to a mobile site they had trouble accessing, and 40% end up visiting a competitor’s site instead. (Source: McKinsey & Co.)
15 Companies with the strong omnichannel customer engagement strategies retain an average of 89% of their customers, compared with 33% for companies with weak omnichannel strategies. (Source: Aberdeen Group)
CUSTOMER DRIVEN GROWTH: MEASURE ACROSS THE CUSTOMER LIFECYCLE
/ Accelerate and increase customer acquisition (while lowering associated costs)
/ Increase revenue per customer
/ Reduce customer churn
/ Improve existing products and services, and design better products
/ Strengthen customer relationships
9% REV GROWTH WITH
1% INCREASE IN CSAT
Institute of Customer Service
