The rise of the ‘always-on’ consumer
Customers expect a seamless, cross channel interaction with brands; however, there’s a fine line between effective targeting and getting creepily close. Experian’s Tom Blacksell says marketers have their work cut out trying to make sure they hit the right note.
The way in which people interact with brands has changed drastically in the last decade, and continues to evolve. This has been driven by widespread advances in the availability and usage of personalised communications technology – not only do we make purchases differently, but we find out about new products and services and leave feedback in an entirely more sophisticated way today than ever before.
Technology has also undoubtedly had a huge impact on the way we consume goods and services; however, the widely predicted ‘death of the high-street’ has been somewhat overstated.
The phenomenon of increasingly demanding customers with sophisticated mobile devices does mean that the high-street will need to change to remain a central part of a rapidly changing consumer landscape. Increasingly, consumers are calling the shots, and while there is still clearly a place for the tactile, high street shopping experience, businesses on the high street need to step up and respond.
The importance of personalisation
In the last five years, the main objectives of marketers – to build great brands and boost growth by engaging with and acquiring new customers, while retaining existing customers – have become far harder to achieve.
During that time we’ve seen an explosion of data, the widespread accessibility of a high speed mobile internet connection via broadband, and a rapid uptake of smart phones and other mobile digital devices such as tablets.
There’s also been a step-change in processing power and a proliferation of new channels via social media, mobile web, digital and on-demand TV. Make no mistake it is a drastically different setting in which to take your products to market than the one we started this century with.
As a result of these developments, today’s consumers are demanding a deeply personalised experience. Empowered by all these new ‘touch points’, people expect a round-the-clock, ‘always-on’ approach from brands – and yet they won’t accept anything that appears to be too intrusive.
It’s an interesting paradox, customers expect a seamless, cross channel interaction with sellers and yet still harbour a deep sense of indifference to any business approach which crosses the line and gets too up close and personal at the wrong time with the wrong message. Clearly, marketers have their work cut out trying to make sure they hit the right note.
Fortunately, the amount of expedient, rich data available means that brands are able to meet the demands of their customers. Thanks to rise of new personalised technology, we can gain greater insight and understanding about consumers’ behaviour and habits, which if used in the right way and effectively, enables brands to strike the right balance between engagement and intrusiveness.
Data developments
In a recent survey by Ovum it was estimated that UK businesses are losing at least 30% of their potential revenue as a result of poor data quality through missed business opportunities, loss of customers, misguided marketing campaigns and delays in decision making. In another report by Gartner, looking at large enterprise organisations it was projected that poor quality data is costing them on average $14.2 million annually.
Regardless of what industry you are operating in, your marketers are only ever as good as the data that underpins their plans, ensuring data quality is one important element of getting your interactions with the consumer right.
However, this is just one part of the puzzle. Any successful strategy will utilise consumer insights to better understand who their customers are, what they do and what motivates them. It should also seek to connect with people across all channels, seamlessly and coherently – utilising the right channel at the right time to ensure the conversation is a mutually agreeable experience.
Finding and purchasing new products and services has never been such an interactive and intuitive experience as it is today. Things have moved forward significantly in a relatively short space of time and they will continue to improve as the technology evolves, to set new standards and find better solutions for us all. That really is the beauty of it.
Today’s ‘always-on’ customers want to engage with organisations who are able to listen, understand and serve them in a cross-channel world. If brands aren’t able to serve this need and respond quickly to the evolving demands of customers, they will lose them to competitors who can.
Tom Blacksell is managing director of Experian Marketing Services