The insights gleaned from analysing customer data feeds the design process for creating better customer experiences. Most organisations realise the importance of these insights to improve customer loyalty, reduce costs and generate sales. Yet the challenge remains – how do brands turn the vast amounts of customer data they collect into actionable insights?
Different departments across an enterprise collect and analyse a vast amount of customer data. This data is collected from the range of interactions the enterprise has with its customers. Libby Dale, Co-founder of The Working Octopus, comments, “Organisations store tremendous amounts of data and information that could be used to improve customer engagement and the customer experience. The insights from analysing this data can be used to simplify customer interactions, making things easier and more convenient for the customer while reducing operating costs for the organisation.”
“It’s about driving almost one-to-one personalisation for all service interactions for each customer, regardless of the communication channel they choose. Each interaction whether it’s via the website, a self-service app or a call to the contact centre is designed around the customer”, says Dale.
Fragmented view of the customer
The technological challenges of collecting, storing and processing vast amounts of customer data have largely been resolved. “However”, as Libby Dale observes, “The ability to deliver real-time insights to drive the customer experience and being able to make real-time decisions remains a significant challenge for most organisations.”
Each department, depending on their respective KPIs, applies a wide range of varying metrics to monitor performance. The data and analysis is siloed around the different departmental functions, reinforcing a fragmented view the organisation has of its customers.
Marketing collects and analyses its own data which is different to the data collected by sales and customer services and product development. Insights on how to improve the customer experience across the entire organisation remains limited and fragmented.
Corporate culture is the biggest challenge
Though technology, systems and processes can play a significant part in maintaining silos, the bigger challenge stems from the mindset and culture operating within an organisation. Divisions within the organisation that isolate departments from departments, teams from teams create a culture where departments do not want to share information with others in the same company.
Silos are maintained by internal competition, blame shifting, poor communications and reward systems that promote individual achievement over shared success. Each department maintains their own metrics for success that can be in conflict with other departments ultimately leading to poor and inconsistent experiences for customers.
This is the first part in a three part series of articles. In parts II and III we’ll take a closer look at the benefits and metrics used to drive actionable insights from customer data and the role of big data to help overcome departmental silos.
