How digital transformation is driving customer experience

November 04, 2020

Digital transformation is driving customer experience

Jean Shin, Director Strategy and Content at tyntec talks about how digital transformation is driving customer experience and how you can take advantage of it.

Now more than ever, organisations are understanding the importance of investing in digital transformation to create better customer experiences. According to AT&T, 81% of businesses using digital transformation have customer experience as a top priority.

And the spending data from IDC’s Worldwide Digital Transformation Spending Guide backs this up: global spending on digital transformation is predicted to reach $1,97 trillion in 2022.

The importance of a great customer experience

Companies committed to great CX experience are increasing their bottom lines, growing revenues 4%–8% above their market. This trend is directly reflecting customer feedback – 84% of customers argue that the experience a company provides is as important as its products or services it sells, according to Salesforce.

To satisfy those consumers, more companies are using direct conversational channels with API-based integrations with the help of rest test tools to interact with customers in a personalised way on the communication channel of their choice.

Automation also has a central role in their strategy, enabling organisations to scale personalised experiences for their customers at a reduced cost, compared to traditionally live agent-led operations, without losing their customer focus.

CX technology – 3 solutions for revenue generation

Gartner identifies three emerging technologies that will have a significant impact on CX: omnichannel engagement solutions (37%), virtual customer assistants/chatbots (39%), and artificial intelligence (53%).

Artificial intelligence in retail and banking is gaining popularity as AI-driven chatbots deployed on popular private messaging platforms such as WhatsApp and Viber.  The familiarity of these platforms offers customers a feeling of trust when interacting with AI. Some use cases of AI-driven chatbots include delivery notifications, product discovery, and self-services such as checking order status or account balances, providing useful real-time services to customers.

Companies with internal development resources can choose to develop chatbots in-house using third-party development tools. An alternative is to buy an out-of-the-box solution that’s optimised for their use case and requirements, without needing developer help.

When thinking about omnichannel solutions, it’s also important to consider how customer’s behaviour has changed over time.  55% of consumers prefer digital channels to traditional ones with that figure climbing to 68% for millennials and Gen Zers.

Therefore, savvy companies have added new digital touchpoints to their CX strategy in addition to email, SMS and web. Mobile messaging apps such as WhatsApp, Viber, WeChat, and RCS (Rich Communications Service, also known as the next-generation SMS) have been added to drive customer engagement. 

These companies have learnt from their customers that the customers themselves are controlling the communication channel, not the other way around. Depending on the sector, companies should examine the preferences of their customers when it comes to engagement, buying transactions and getting support,  and adjust their CX strategy accordingly. Only then will they be able to offer a truly omnichannel experience.

Supercharging CX through messaging

With new APIs that companies can integrate into their established systems, it’s becoming easier to work with messaging platforms like WhatsApp and Viber with existing bots or even new ones.

The most common use cases for chatbots are the following:

FAQs and Support

Companies can scale their customer service without using human agents to answer commonly asked questions. These can be easily pre-loaded on chatbots and they save customers a lot of time looking for the right answer. However, when the issue is too complicated or requires human sensibility, having a smooth transition to a human agent is equally important.

Guided sales

By using a predefined flow, chatbots can take customers through simple sales processes right inside a messaging platform the customers are already using on a daily basis. Companies can map out the usual customer conversation, such as greetings and a smooth hand-over dialogue, along with product recommendations and purchasing processes that are optimized for efficient sales interactions. Once the sale is made, the customer can choose to be alerted of delivery updates, on the same channel. It’s essential that the post-sales interaction is kept conversational as well – creating a holistic experience throughout the customer journey.

Going paperless and multilingual support

Nowadays, by using messaging platforms, companies can efficiently send documentation directly to their customers. Many messaging platforms enable rich messaging; therefore, PDFs, photos and even audio/video files are easily distributed. This way, customers can have all their information in one place, and you can easily record whether the information was received by each customer. Additionally, because of these platforms’ multilingual support capability, you can communicate with customers in their language without the need of a native speaker.   

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