Editor’s note: This is the second in a series delving into the basics of CX. You can read the first story, which details into how to understand customers, here.
Advancements in technology like generative AI are creating new ways for customers to interact with companies, but even the most powerful and innovative applications won’t make a significant impact if tech investments leave the fundamentals behind.
Businesses should invest in new technologies because they meet specific customer experience objectives, not because something is grabbing headlines, according to David Truog, VP and principal analyst at Forrester. The needs of the customer should remain top of mind.
“Just using technology does not make the experience inherently good,” Truog said in an email to CX Dive. “In fact, it can make it worse if poorly designed.”
There is no one-size-fits-all approach to a good experience, making it important for companies to understand what their customers want before they apply technology to meet those needs.
Companies need to leverage insights from user behavior data to determine where further tech investments can have the biggest impact on the customer experience, according to Julie Geller, principal research director at Info-Tech Research Group.
From there, they can target specific investments that align with long-term strategic objectives.
“This data-driven approach enables businesses to prioritize investments that directly contribute to improved user satisfaction and business outcomes, ensuring that advancements in new technology do not detract from the foundational elements of their digital presence,” Geller told CX Dive in an email.
Leaders need to conduct careful market research and feasibility studies prior to implementation, Geller said. They need to have an idea of the potential impact on operations and customers, and follow that up with pilot programs or beta tests to gain insight into how the technologies are performing in the real world.
Companies should strive to keep their roll outs modularized so that they can be adjusted without having a significant impact on the customer experience, according to Geller.
Digital experiences demand functionality
Customers are usually looking for functionality, not excitement, in their digital experiences, according to Leah Leachman, senior director analyst at Gartner.
“You must first focus on getting a solid delivery of your customers’ prerequisites before you test experience enhancements,” Leachman told CX Dive in an email. “If the technology doesn’t support a customer need or value, then the ‘exciting investment’ is only exciting for the company and not the consumer.”
Customers are often inundated with content to the point that they disregard most of it during their online journeys. It’s key for companies to be realistic about what digital features truly add value.
Take online shopping. What shoppers want are tools that help them discover options and make purchases with confidence, rather than options that reinvent online shopping as a whole, Leachman said.
Search is one area where technology can produce powerful, if subtle, benefits. Enabling natural language searches or picture-text refinement tools can noticeably improve the customer experience.
Tech improves personalization
Tech can ensure businesses’ personalization efforts are accurate and meet customers’ needs.
Customers expect the businesses they frequent to remember their preferences, purchase histories and interests and to tailor their experiences accordingly, according to Geller. Tools that enable a deep level of personalization, like product recommendation engines and personalized messaging software, directly contribute to customer satisfaction and loyalty.
“This approach ultimately contributes to building relationships that can fill gaps in the sales process,” Geller said.
