Genesys recently held a webinar on The Three Game Changers of Mobile Customer Experience. You can view it on-demand here.
For today’s blog, the webinar’s guest analyst speaker, Sheryl Kingstone from the 451 Research Mobility Team, shares her perspective on the three game changers for mobile customer experience below:
1. Channel preferences demand mobile
Yankee Group’s Mobile and Connected Devices Forecast & Monitor, April 2014, shows the staggering pace at which mobility is growing: There are already more than 195 million smartphones in use in the U.S., and that number is expected to grow to 250 million by 2017. The figures for tablets are equally impressive, with the current base of 80 million expected to grow to more than 280 million by 2017. With these exponential adoption rates, delivering an optimized mobile customer experience will be the ultimate game-changer. Apps on these mobile devices are also winning the hearts of mobile consumers. Our data shows that an average of 60 percent of consumers’ time on a mobile phone is spent interacting with applications.
With the device growth tied to consumer demand for native mobile applications, apps are great strategies to not only acquire new customers, but also to enhance loyalty campaigns. The end result is the potential to offer rich, highly interactive and personalized experiences. Yet businesses today are struggling with ways to create a differentiated customer engagement that ensures a personalized, transparent customer experience where all interaction channels work seamlessly together to seize every revenue opportunity while delivering consistent service anywhere, anytime. Businesses need unique ways to acquire, serve, maintain and grow. Retailers and consumer packaged goods (CPG) organizations are struggling with unique ways to drive store traffic, increase promotion response rates, and/or grow opt-in databases.
The need to support more sophisticated customer interactions is only increasing the complexity of delivering superior customer experiences. When we look at customers’ top preferences for interaction as show in the figure below, it’s clear new channels have gained in popularity during the past four years. Preferences for traditional channels such as home telephone, e-mail and desktop Web have declined significantly compared to newer mobile channels, such as mobile self-service apps, mobile chat, mobile Web sites or even using the mobile phone to speak to a customer service agent directly.
2. Embrace mobile across the customer lifecycle
Looking across the customer journey, from acquiring and serving users to nurturing and growing the client base, we can see that mobile has many different use cases and business benefits.
Acquire – Mobile marketing can slice through the noise of other media channels to engage consumers in new ways. Newer mobile customer experience strategies can revitalize existing marketing efforts to drive in-store traffic and increase response rates to promotions. Other customer engagement marketing strategies include new, unique opportunities such as mobile scavenger hunts, SMS polls and trivia, contests and promotions. For example, customers could be asked which communication methods and offers they prefer in exchange for prizes, or they could sign up for reminders on offers or promotions. This will increase response and conversion rates, creating more momentum for future campaigns.
Serve – Once customers have been acquired, businesses can engage and satisfy them by proactively communicating using mobile to strengthen relationships, increase loyalty and reduce unnecessary calls to the contact center. A positive first-time customer experience is a critical step toward building long-term value. Businesses should also use cross-channel user surveys to capture the voice of the customer, quickly address issues and concerns and deepen customer loyalty. This creates real-time, interactive engagement that measures Net Promoter Score (NPS) and customer satisfaction, enabling prompt follow-up. Businesses can use the information to quickly identify detractors and provide immediate resolution, creating a closed-loop process for ongoing engagement and future revenue opportunities.
Nuture – Mobile communications that reward users by tying rich customer profiles to actual transaction data provide the best foundation for success. Blanketing customers with SMS campaigns is not a meaningful engagement strategy; it alienates customers and causes them to opt out of future marketing communications. Personalized, context-relevant offers are more effective, and basing rewards on real-world transactions ensures they are calibrated appropriately and promotes stronger engagement.
Grow – Growing existing customers’ wallet share is an essential business strategy. Personalized, timely offers can increase purchase frequency, grow basket size and ARPU and differentiate a company from its competitors. The main added benefit during this part of the customer engagement strategy is insight. Over time, businesses can build rich user profiles to drive unparalleled depth and breadth of customer segmentation that can be used for improved engagement strategies based on the individual preferences and patterns of each customer.
3. Location-based initiatives are the future
The ultimate goal is to enable marketers to create customized mobile experiences that offer intimate, contextual levels of engagement with segmented mobile app users. Marketers need to use advanced segmentation based on behavioral patterns, trends, location or other mobile app-specific data, and then publish targeted content to these different audience segments. Beacons and geofences will drive the success of location-based Marketing. Bluetooth low energy (BLE) consumes a small amount of battery power, making it useful for micro-location geofencing of devices. It also enables data exchange without requiring any physical activation such as opening an app.
Beacons and geofences enable users to easily discover relevant information such as local content and services. Add intelligence to the mix, and the future is about aggregated learning regarding behaviors and preferences that can help ensure relevant interactions. Geolocation-enabled mobile communications can completely change an experience based on proximity. The entire outdoor or indoor experience can become a learning opportunity with a mobile app that displays personalized location information, product information, pop-up coupons, video demonstrations and more. For example, real-time contextual interactions that combine where and when customers enter a store with their past purchase behavior are critical for mobile personalization initiatives. This initiative is important since 43 percent of respondents stated they would like to receive personalized information based on immediate location.
Bottom Line: Mobile customer experience is a huge opportunity for businesses to not only improve customer acquisition, but also customer loyalty through user experience improvements using the mobile web, mobile marketing and mobile apps. Strategies across the customer journey can increase engagements and help customers learn about products, make purchases, request service or gain rewards.