Businesses are investing more money in technology to differentiate the experience between various channels, however consumers are almost equally as satisfied on dissatisfied with different channels.
That’s according to Vikram Sehgal, VP analytics strategy APAC at Forrester.
During the Forrester CX event in Sydney last week, Sehgal told attendees when looking at the customer experience scores based on industry, there really is not that much difference between digital and physical channels.
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He referenced customers interactions with banks, insurance, retail and federal government.
“For banks the delta is very limited regardless of the channel of interactions they have. For insurance, people find their experience of the physical location is slightly better than digital,” he said.
Sehgal explained insurance companies have invested so much money in their digital channels but are not providing a good customer experience. So customers would rather go to a physical store.
“Retail, sort of similar, not a huge delta between the experience that they are delivering through multiple channels. As the story goes on, obviously federal government is slightly lower because typically people do not like the government,” Sehgal adds.
Sehgal explained one of the reasons for this similarity is those in the industry try to serve all customers alike.
Despite the lack of variation, Sehgal said when it comes to CX, companies are leaning towards more digital channels and digital experiences.
“We as customers are becoming a lot more sophisticated and using visual devices in order to interact with brands to conduct transactions.
“We look at Australian firms over the last year, three quarters of them say they either have a digital transformation project, they’ve finished one or in the throws of one or maybe they will be doing one in the next twelve months,” he said.
Pretty much every one has had some type of transformative project going on according to Sehgal, and the reason for this is primarily for reducing costs.
According to the 2017 Forrester Global Business Technographics Business And Technology Services Survey, 39 per cent of businesses who undergo digital transformation are receiving cost reducing benefits, 38 per cent have improved their CX and 29 per cent have grown revenue.
Sehgal said, “39 per cent of the businesses surveyed said they are [undergoing digital transformation] because it becomes cheaper for them to use, they are going to be interacting with the customer on a digital touchpoint, it’s more cost effective for them. This is going to help them grow revenues because they are going to acquire new customers.
“There could be some customer segments that those businesses never had and will now be acquiring those new customers because this is a preferred channel of interaction. About 38 per cent of customers of these businesses said this will help them improve customer experience, it will because a lot of customers do expect to interact through digital channels either exclusively or in combination with other channels as well.
“The promise has always been that by investing a lot more in digital and digital assets that they will be able to transform their CX and the way their customers interact with them and elevate their overall CX which is a result in higher revenues.”