While leaders in marketing, sales, and operations often focus on internal metrics for growth, they may be overlooking a crucial element: the customer.
Customer experience (CX) has become the key differentiator for countless brands, with 83% actively striving to stand out through superior experiences.
It’s not just about brand perception; strategic CX investments can generate a staggering $700 million increase in earnings over three years for billion-dollar enterprises, according to Temkin Group.
Why?
Because a positive CX makes customers feel valued, leading to:
- 73% considering CX crucial for buying decisions (PwC)
- 43% willing to pay more for convenience and a friendly experience (PwC)
- 65% prioritizing positive experiences over advertising (PwC)
This translates to financial gains: Brands offering better CX can increase prices while maintaining market share.
But there is more.
Personalization: The Missing Piece in Your CX Strategy
However, simply providing a good experience isn’t enough. Today’s customers demand individualized attention.
73% of marketing leaders cite personalization as a growth driver, with 50% reporting increased revenue.
Therefore, leaders use personalization to improve the customer experience during the customer journey.
At Pirsonal, we know this firsthand because of our conversations with leaders in sales, digital marketing, internal communications, advertising, and more. Many use our personalized video software to engage their busy audience.
Why? The best way to answer this question is to highlight the benefits marketing executives achieved thanks to leveraging personalization throughout the customer journey.
Benefits of Personalization throughout the customer journey
Personalization has emerged as a powerful tool in today’s customer-centric landscape, and its impact extends far beyond simply offering a customized experience throughout the customer journey.
- Improves experience (51% of leaders agree) by fostering connections and value through relevant recommendations, past preferences, and targeted messaging.
- Boosts loyalty (50% of leaders agree) by understanding individual needs and creating experiences that make customers want to return.
- Drives revenue (50% of leaders agree) through tailored offerings and messaging that lead to higher conversions and sales growth.
- Increases engagement (38% of leaders agree) by capturing attention, sparking curiosity, and encouraging interaction with targeted experiences.
- Improves conversion rates (28% of leaders agree) by presenting relevant products and offers at the right time, guiding customers towards purchase decisions.
- Raises brand awareness (26% of leaders agree) through tailored messaging and interactions that spread brand recognition and familiarity.
- Aligns sales and marketing (14% of leaders agree) by leveraging shared data and insights to deliver a cohesive and personalized experience across all touchpoints.
The Power of Collaboration: Breaking Down Silos for Impactful CX
Cross-functional marketing teams are more profitable
Personalization isn’t a solo act. It requires cross-functional collaboration, breaking down silos between departments to achieve its full potential.
In my experience, a siloed approach, where teams operate independently, can stifle the very potential of creating truly impactful personalized experiences.
To unlock the full power of personalization and truly win in customer experience (CX), cross-functional collaboration is paramount.
Here’s why:
- CX Leaders Know Collaboration Drives Results: A 2022 PWC report revealed that 78% of CX leaders believe strong collaboration across departments is critical for exceeding customer expectations.
- Collaboration Boosts ROI: Another report by Deloitte found that organizations with strong cross-functional collaboration experienced 53% of significant performance improvement, showcasing the tangible benefits of working together.
How to Collaborate for Effective Personalization and CX
Here are a few practical ideas your teams can implement today to truly embrace personalization as part of an effective customer experience strategy throughout the customer journey.
- CRM, Marketing, and Sales: Share customer data for targeted offers, leading to higher conversions and transaction values.
- Product and Customer Service: Collaborate to address pain points identified by service reps, resulting in better products and stronger loyalty. Provide feedback to marketing and creative teams.
- Design, Development, and Operations: Work together to create intuitive and personalized experiences (website, chatbots, personalized videos, emails, etc.), improving engagement and order completion rates.
The Ripple Effect of Collaboration
By breaking down silos and fostering collaboration, you create a domino effect of positive outcomes:
- Increased Customer Satisfaction: Addressing customer needs holistically leads to higher satisfaction.
- Higher Retention Rates: Loyal customers translate to increased revenue and profitability.
- Stronger Brand Advocacy: Satisfied customers become brand advocates, driving organic growth.
- Competitive Advantage: A collaborative approach to personalization sets you apart in the experience-driven economy.
Invest in Collaboration for Lasting Success
Cross-functional teams, and those that work with other departments, are more profitable, and faster. In the end, this allows them to serve their customers with excellence.
Here is how to achieve this in your organization:
- Align your leadership with a shared goal: Serving your customers with excellence.
- Shared Goals and Metrics: Align all teams around a common vision and CX-related KPIs.
- Cross-functional Teams: Create working groups to exchange ideas and solve problems together.
- Communication and Transparency: Encourage open communication and information sharing.
- Share tools, data, and budgets: There is no need for duplication.
- Technology: Invest in tools that facilitate collaboration and data sharing across departments.
Remember, personalization isn’t a solo act. By fostering collaboration, you unlock a symphony of customer-centricity, leading to a chorus of satisfied customers, higher revenue, and a market-leading brand.
In Conclusion
I love music, so let me use the perfect analogy.
Customers now demand personalized attention, a key element in the customer experience puzzle. Imagine a symphony where each instrument harmonizes to create a beautiful whole.
This symphony requires collaboration across departments to unlock the full potential of personalization, leading to positive outcomes and a competitive edge. Collaboration is key to achieving a financial symphony of personalized CX.
This is why many of our clients at Pirsonal work with us when approaching personalized video creation for the first time. We collaborate with their teams providing not only flexible, scalable, and secure software, but also our expertise.
This combined approach helps them be more successful at engaging with their busy customers through personalized videos throughout the customer journey.
If you want to learn more about how your team can improve the customer experience through the power of personalization and video, let’s talk today. Our team is here to walk with yours.
