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Differentiating the digital customer

experience

Jonathan Browne, Senior Analyst, Customer Experience

November 29, 2012

To thrive in the age of the customer:

Define a clear digital customer experience

strategy and use the right tactics to support it.

© 2012 Forrester Research, Inc. Reproduction Prohibited

Agenda

How is customer behavior changing?

What must firms do to differentiate their digital customer experience?

What tools and tactics should firms adopt to achieve this?

How to get started

4

We have entered the age of the customer

Source: June 6, 2011, “Competitive Strategy In The Age Of The Customer” Forrester report

Mobile and social experiences are changing how

we do fundamental things. . .

Source: Burberry (http://uk.burberry.com)

. . . like reading . . .

Source: February 25, 2011, “Mobile Is Not Just Another Channel” Forrester report

… shopping…

… researching and buying a car…

. . . investing . . .

Source: January 18, 2011, “How To Build Online Experiences Of The Future” Forrester report Image source: Fidelity (https://www.fidelity.com/)

. . . finding a place to live . . .

Source: December 17, 2010, “Mobile Augmented Reality” Forrester report

Image source: MeilleursAgents.com (http://www.meilleursagents.com/)

. . . getting service . . .

Source: February 9, 2011, “Case Study: Giffgaff Uses Co-Creation To Build A Differentiated Mobile Service Business” Forrester

report

Image source: Giffgaff (http://giffgaff.com/)

© 2012 Forrester Research, Inc. Reproduction Prohibited

Agenda

How is customer behavior changing?

What must firms do to differentiate their digital customer experience?

What tools and tactics should firms adopt to achieve this?

How to get started

14

• Define brand attributes

Company brand attributes and business

objectives

• Develop deep customer understanding

Customer goals, behaviors, and touchpoint use

• Consistency

• Choice

• Continuity

Capabilities of touchpoints

• CARS means: Customized, Aggregated, Relevant, Social

CARS: attributes of next-generation digital

experiences

Define a digital customer experience strategy

Digital

customer

experience

strategy

Company strategy Customer expectation of

the brand

Brand experience

strategy

Digital customer

experience strategy

Digital experience strategy flows from company strategy . . .

Source: July 13, 2011, “How To Develop Your Digital Customer Experience Strategy” Forrester report

Understand the “who” and the “how” of your customers

Customers’ goals

Who are they, what are their goals and behaviors?

Content

What do customers need to do to accomplish their

goals?

Personality

How should the brand be expressed throughout all

interactions?

Touchpoints

Where do customers consume content?

Digital customer experience

strategy

Source: May 18, 2011, “Why You Need A Digital Customer Experience Strategy” Forrester report

Understand the “who” and the “how” of your customers

Source: May 18, 2011, “Why You Need A Digital Customer Experience Strategy” Forrester report

Customers’ goals

Who are they, what are their goals and behaviors?

Content

What do customers need to do to accomplish their

goals?

Personality

How should the brand be expressed throughout all

interactions?

Touchpoints

Where do customers consume content?

Digital customer experience

strategy

Develop a unified customer experience across digital and offline touchpoints

Source: April 30, 2012, “The Unified Customer Experience Imperative” Forrester report

19 © 2012 Forrester Research, Inc. Reproduction Prohibited

© 2012 Forrester Research, Inc. Reproduction Prohibited

Unified does not mean uniform

Uniform experiences Unified experiences

Verbatim visuals and messaging Visual patterns and linguistic tone

Same depth and breadth of content Content sized for context

Every feature everywhere Contextual features/functionality

Least common denominator Leverage channel capabilities

Source: April 30, 2012, “The Unified Customer Experience Imperative” Forrester report

20

Burberry’s online content entices customers and

provides a seamless connection to the store . . .

Source: Burberry (http://uk.burberry.com)

The store acts as a physical manifestation of the

digital experience.

Source: Burberry (http://uk.burberry.com)

Video and audio displays reflect Burberry’s brand

and create occasional rain showers . . .

Source: Burberry (http://uk.burberry.com)

. . . emphasizing the store’s connection with

Burberry’s signature trench coat . . .

Source: Burberry (http://uk.burberry.com)

. . . which is extended through Burberry’s social

media activities, such as “Art of the Trench.”

Source: Burberry - Art of the Trench (http://www.artofthetrench.com)

TeliaSonera unified its multichannel customer

experience across multiple countries

Source: TeliaSonera (http://www.teliasonera.com)

Websites, television, and mobile interfaces are

consistent in tone — but not identical.

Source: TeliaSonera (http://www.teliasonera.com)

The same visual patterns and color schemes are

carried through to offline channels, like the store . . .

Source: Fjordnet (http://www.fjordnet.com)

Content and functionality reflect customer needs and

expectations of the touchpoints.

Source: TeliaSonera (http://www.teliasonera.com) and Facebook (http://www.facebook.com)

© 2012 Forrester Research, Inc. Reproduction Prohibited

Agenda

How is customer behavior changing?

What must firms do to differentiate their digital customer experience?

What tools and tactics should firms adopt to achieve this?

How to get started

30

Adopt customer-centric tactics to build differentiated digital experiences

Qualitative research

Personas

Customer journey maps

Voice of the customer programs

Qualitative research reveals customers’ goals, content needs, and behaviors

Exploratory Evolutionary Evaluative

Determine what

people do and how

Uncover unmet needs

Validate concepts

Uncover perception gaps

in existing tools

Test a concept in use

Uncover what people do

with a specific interface

Personas enable teams to align on a common understanding of the customer

Source: August 27, 2009, “Persona Best Practices Of Interactive Agencies” Forrester report

Maps enable organizations to take an Outside In view of customer journeys

Source: Aviva

August 2011 “Lessons Learned From The 2011 Voice Of The Customer Award Winners”

Voice Of Customer (VOC) programs keep organizations responsive to customer sentiment in real time

© 2012 Forrester Research, Inc. Reproduction Prohibited

Agenda

How is customer behavior changing?

What must firms do to differentiate their digital customer experience?

What tools and tactics should firms adopt to achieve this?

How to get started

36

Keep track of your customers’ evolving digital behavior

Adopt tools that support decision making in a rapidly changing market

Source: June 22, 2011, “The Customer Experience Ecosystem” Forrester report

Partner with agencies with digital skills and customer-centric philosophy

Source: June 16, 2011, “Where To Find Help For Interactive Design Projects In Europe, 2011” Forrester report

Build a road map for digital experience transformation

Gather input from key stakeholders.

Do a deep dive on customers’ real needs.

Map core customer journeys.

Uncover gaps in what you have today.

Identify and prioritize near-, mid-, and long-

term projects.

Plan the activities that will help you

implement.

Assess the relative importance of each interaction point

Impact on

users

Importance to

customers

Importance to

the business

Low Moderate High

Overall

Tablet application

Public site

Mobile application

Mobile website

1. Improve functional aspects of site

Severity Affordability Return Overall

2. Improve app usability

4. Add reviews to product overview

pages

6. Showcase apps/dashboards on

public site

7. Create regional site for Europe

8. Create site for China

2 3 2 13

2 3 2 12

2 3 1 11

2 3 1 10

2 2 2 10

2 1 2 8

5. Improve self-service capability 2 1 3 11

Clarity

3

2

2

2

2

2

3

Feasibility

3

3

3

2

2

1

2

Prioritize key initiatives

3. Deploy new mobile payment

functionality 1 2 1 11 3 3

Thank you

Jonathan Browne

+44 20 7323 7652

jbrowne@forrester.com