Unearthing Your Big Data Goldmine

How many pieces of content are posted to Facebook every day?

A: 500 million
B: 10 billion
C: 30 billion
D: 100 billion

The correct answer is C, 30 billion pieces of content — Facebook users create billions of posts daily, and many are related to specific brands. To learn how savvy companies are taking advantage of the data at their fingertips to generate revenue and improve the customer experience, read on…

In the age of digital transformation, an important trend has emerged: Collecting customer data has gone from a necessary evil to a value-driven activity. By analyzing trends found in their massive data stores, companies can often discover how to improve sales and customer satisfaction.

According to a recent Accenture report, executives surveyed say big data analytics will help them generate new sources of revenue (56 percent), enhance the customer experience (51 percent), help drive new product and service development (50 percent) and help them win and keep customers (47 percent).

But not every business has been as quick to recognize the value that customer data and analytics can bring to their organization, says Brian Kelly, CEO of Vestrics, a data analytics services firm in Carrboro, North Carolina.“New companies and nimble organizations like Google, Amazon and Netflix have built business models around monetizing customer data,” he says. “More traditional firms may realize that data is valuable, but most don’t have business processes in place to do anything with it.”

That won’t necessarily put them out of business right away, but it will limit their ability to grow and survive over the long term. According to the Accenture survey, 79 percent of executives believe companies that do not embrace big data will lose their competitive position and may even face extinction in the coming years.

Not so fast

To avoid such an outcome, companies need to focus on digitally servicing their current and prospective customers. Implementing open technology platforms that allow them to capture and analyze data about how customers engage with their brand is critical to accomplishing this goal. Investing in mobile-centric open platforms and augmenting them with data analytics gives three kinds of added value to companies:

  1. Leveraging mobile data like location, and supplementing with insightful analytics to mine interests and needs, creates new opportunities to increase revenue.
  2. Business intelligence gleaned from good analytics of big data and customer interaction metrics allows businesses to better leverage automation in their business systems and concentrate on decision science to improve efficiency and effectiveness.
  3. Systems that leverage mobile-focused biometrics, and a customer digital footprint engenders an experience that is at once better streamlined and more secure. It has the added advantage that the customer can choose the method of interacting Web, mobile application, or voice/video to fit their personal preference. The ability to naturally service these disparate devices and methods, while still integrating into a common customer journey, provides a seamlessness that increases retention, satisfaction, and profitability.

Kelly warns, however, that extracting such value from customer data isn’t easy. It requires a culture change in the way companies think about the value of data, investments in open platforms and mobile technology to enable seamless data gathering, and analytics experts who understand how to harness the power of big data to get business results.

“It’s a gradual change process that needs to be driven from the top down,” Kelly says.

Business leaders would be well-served to push these initiatives forward. While customer analytics is still a leading-edge trend, it is catching on fast–companies that don’t get on board risk losing their customers to more nimble competitors who have built their businesses around the smart use of customer data.

Related Articles:

3 CX Stats That May Change How You Think About Digital Transformation

Technologies like Artificial Intelligence, automation, big data, and the Internet of Things have made digital transformation an absolute necessity for organizations. With people, processes, services and things more dynamically connected than ever, companies are feeling relentless pressure to digitize, simplify, and integrate their organizational structures to remain competitive.

But there’s a big hole in the fabric of most digital transformation (DX) plans: the customer experience (CX). The problem isn’t that companies fail to understand the importance of the CX in relation to digital transformation. Rather, most fail to understand their customers well enough to envision a truly customer-centric, digitally-transformed environment. Just consider that 55% of companies cite “evolving customer behaviors and preferences” as their primary driver of digital change. Yet, the number one challenge facing executives today is understanding customer behavior and impact.

A massive part of digital transformation involves building a CX strategy, and yet customer centricity remains a top challenge for most. In fact, I encourage you to be your own customer within your organization. Walk in your customers’ shoes, contact your organization as your customers would. What was your web experience? Was the expert knowledgeable during a chat conversation? How well did the mobile app work for you? Did you have a connected experience? Given your experience, how brand-loyal would you be to your organization?

Here are three statistics that will get you rethinking your CX strategy in relation to digital transformation:

  1. 52% of companies don’t share customer intelligence outside of the contact center. In other words, over half of companies are limiting the customer journey to the contact center even though it naturally takes place across multiple key areas of business (i.e., sales, marketing, HR, billing). Businesses must ensure customers are placed with the right resource at the right time, whether it’s in a contact center or non-contact center environment. The key is being able to openly share customer data across all teams, processes and customer touchpoints.
  2. 60% of digital analytics investments will be spent on customer journey analytics by 2018. Customer journey analytics—the process of measuring the end-to-end customer journey across the entire organization—is critical in today’s smart, digital world. Companies are rapidly investing in this area to identify opportunities for process improvement, digitization, automation and, ultimately, competitive differentiation.
  3. 60% of customers change their contact channel depending on where they are and what they’re doing. This means organizations must focus less on service and more on contextual and situational awareness. Businesses must work to create a seamless experience—regardless of device, channel, location or time—supported by customer, business and situational context captured across all touchpoints.

The CX should influence every company’s digital transformation story. For more tips, insights, and impactful statistics check out our eBook, Fundamentals of Digital Transformation. Let me know what you think. We look forward to hearing from you.

3 Key Steps to Starting Your Company-wide Digital Transformation

Stats show that 80% of companies identify “digital transformation” as their top strategic priority—but only 5% feel they’ve mastered it. Why the gap? Achieving a digital experience to a point of competitive differentiation requires organizational alignment. Digital transformation represents a crucial paradigm shift across the entire organization, yet research suggests only a fraction of companies currently implement an enterprise-wide digital strategy. To successfully digitize, all lines of business (LOB) must be aligned and move in concert towards digital innovation. This involves communication and collaboration among key stakeholders, especially senior executives, across every business unit—even ones you wouldn’t typically include.

Put simply, digital transformation is more than just digitizing your infrastructure before your competitors do. Yes, it’s about serving the growing number of digital consumers faster and better. But, more importantly, it requires a shift in organizational mindset and redefinition of business processes. The starting point for any digital transformation initiative should be a clear understanding among all business leaders (not just IT) about the nature, direction and projected outcomes of the transformation.

What does the discovery process look like? It can be summed up in three key steps:

  1. Situational Assessment: Executives across every LOB need to weigh in and agree on business drivers and expectations. Insights derived from this assessment should be used to map out short- and long-term business goals and key digital strategies to ensure organizational alignment.
  2. Opportunity Prioritization: Identify target applications and technology architectures, then determine how these new solutions will affect existing technologies and align with core needs (i.e., operational savings, CX improvements). In parallel, use this time to identify, analyze and prioritize gaps between existing and planned processes.
  3. Roadmap Creation: A detailed roadmap helps you finalize digitization plans before implementation. It should outline phasing strategy sequences, risk mitigation plans, and project feasibility reports that define the timeline, dependencies, costs (and return) and controls of each digital initiative. Consider this your digital transformation playbook.

Digital transformation is the foundation of how organizations will succeed or fail. Check out our eBook, Fundamentals of Digital Transformation, to learn more about this discovery process—the first of a five-step plan for creating a foolproof digital transformation strategy. Let me know what you think. We are here to help and happy to discuss.

When it Comes to Your Customer Experience: Ditch Legacy, Go Digital!

The future of business, indeed the future of customer experience, is life as we know it—here and NOW. Organizational success right now, however, depends on one thing: digital transformation.

Digital transformation can mean many things, but includes a fundamental idea—applying digital technologies to all aspects of life. For consumers, they use their smart devices, laptops, tablets, and favorite apps to make it through the day. For organizations, this means figuring out how to leverage existing digital technologies (apps, processes, procedures) and resources (essentially the talent of your employees) within your business strategically to serve consumers on their terms at any moment—all the time. And to do so better than your competition. Digital transformation also means looking at your existing business applications, mobile apps, processes, procedures, and talent through a different lens.

A successful digital transformation requires a shift in organizational behavior and cultural mindset. It means creating a strategic road map that outlines implementation and ongoing process improvement. It requires executive buy-in, sponsorship, and steady leadership. Perhaps most daunting of all, it means companies working to truly know and understand their customers. It means enterprise leaders having a firm grip on the big data that infuses their organizations.

The reality of a smart, digital world is clear. Advanced technologies like IoT and virtual reality are no longer science fiction, but fact. So much so that in just three short years, it’s expected that 100 million consumers will be shopping in virtual reality, and up to 20 billion objects will be Internet-enabled. Meanwhile, automation and data analytics have evolved from luxuries to enterprise necessities. Driven by this rapid pace of digital change, analysts predict that 65% of children today will grow up to work in roles that don’t yet exist.

Companies need to successfully digitize to remain agile, integrated and future-proof enough to support this future of everything. The good news is that 80% currently identify “digital transformation” as their top strategic priority. The bad news? These same companies are seriously struggling to migrate from their existing aged processes and legacy systems and architecture. Consider industries like government, where 71% of federal IT decision makers still use old operating systems to run important applications. How can they go digital without having the latest platforms in place to support a digital environment?

Organizations can’t re-imagine operations, re-engineer critical processes, or align key business areas the way they need to while relying on antiquated technologies. But creating a migration path is easier said than done. We have said it before and we will say it again, it’s about more than just the technology.

Sounds challenging, but it’s not impossible. Our ebook, The Fundamentals of Digital Transformation, can help organizations get started. Take a look to learn more about the top challenges of taking legacy experiences into the digital world, as well as the five key steps organizations can take to minimize disruption and boost adoption of new digital capabilities. Let me know what you think. We are here and happy to discuss.