With today’s consumers constantly bombarded with choices and information, the key to success lies in delivering an exceptional customer experience (CX). It’s not just about selling products or services anymore. It’s about creating unforgettable journeys that lead to long-term customer relationships.
Every brand wants to keep its customers engaged, satisfied and loyal. And the best way to do that is to provide them with an amazing CX. That’s why we’re exploring some of the top strategies and insights for customer experience enhancement. But first, let’s delve into why a well-crafted digital CX is so essential to modern business success.
What Is Digital CX and Why Is It Important?
As digital landscapes shape our daily lives, nailing the digital customer experience has become a must for businesses. But what exactly is it?
Digital CX is the culmination of all the interactions and engagements customers have with your brand through digital channels. From their first encounter on your website to the post-purchase support they receive, it’s the sum of these experiences that can make or break your business.
According to a Qualtrics report, a positive customer experience makes consumers:
- 3.5x more likely to purchase more from an organization
- 5.1x more likely to recommend an organization
- 4.3x more likely to trust an organization
On the other hand, negative customer experiences were found to have a direct impact on revenue. Businesses across the 17 industries studied “risk losing on average 9.5% of their revenue, and up to 14.7% of their revenue in some cases, by providing a poor customer experience.”
The takeaway here? Every touchpoint in the customer journey matters. CX is not confined to a single moment, but about the full story that unfolds from the very first interaction to ongoing customer support.
Imagine a new user signing up for your service. An intuitive onboarding process guides them through setup, making them feel welcome and valued from the start. Later, when they encounter an issue, customer service teams and solutions swiftly resolve the problem. These positive experiences leave a lasting impression and strengthen each user’s bond with your brand.
In a world where customers have endless choices at their fingertips, prioritizing digital CX will boost customer retention and prevent churn. Even more, it’ll inspire your customers to trust your brand, prompting them to spread your name through word of mouth and drive your business toward lasting success. So, if you haven’t already, it’s high time to put your customer experience at the forefront of your digital strategy.
Essential Elements of a Strong Digital CX
So what do you need to make a CX that works for your customers? Here are three essential elements to focus on: design, personalization and delivery (spoiler: that last one needs to be omnichannel).
1. A Customer-Centric Design
When it comes to creating a strong digital CX, one thing is clear: You need to be customer-focused. Providing a great customer experience means knowing, meeting and even exceeding customer expectations. Who is your target user? What are their bare minimum demands? What can you do to deliver a CX that goes above and beyond that?
While your answers to these questions may vary depending on your target market, there are some overarching trends that impact all of us. For instance, the rise and influence of Gen Z consumers have led to the reshaping of CX expectations.
Gen Z, those tech-savvy digital natives, are driving a seismic shift towards a visual-first culture. This generation has grown up in a world immersed in visual content and this has reflected in what they want from businesses. According to our State of Video Technology consumer survey, 86% of Gen Z (and millennials) say they like receiving video from brands, with the demographic being 63% more likely to buy from a brand that uses innovative video tech.
Gen Z’s expectations also extend beyond visual appeal. They place a premium on authenticity. In one EY survey, a staggering 92% of Gen Z respondents reported that “authenticity is more important than any other personal value tested,” including changing the world and being rich or famous. And how is this authenticity exercised? Through “transparency and openness.”
To meet these demands, businesses must incorporate transparency into their CX strategies. This includes open communication, honest pricing and clear privacy policies.
The onboarding stage is a great place to set this tone of honesty. For example, you could follow Mercedes-Benz Finance’s lead and use video to clearly communicate important information right at the start. The personalized welcome videos had the dual effect of making its CX more dynamic and engaging while also establishing the brand’s dedication to being transparent.
Another major development in consumer expectations is the demand for personalization.
If your digital CX encompasses all of the interactions you have with your customers, then personalization is all about tailoring touchpoints to their unique preferences and needs by collecting and analyzing customer data. In fact, 71% of consumers expect companies to deliver personalized interactions, with 76% getting frustrated when this doesn’t happen.
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A personalized CX can also be further enhanced by visuals and video. As mentioned earlier, using video tailors to today’s visual-first culture. By combining video and personalization, your digital CX is taken to another level. From tailored video greetings to interactive product demos, Personalized Video enables you to connect with your customers on a deeper level.
Imagine receiving a video message from your local fitness studio that addresses you by name, highlights your latest workout achievements and encourages you to keep up the good work in the new year. That’s exactly what Orangetheory Fitness did for its members with its year-in-review campaign.
The campaign gave members a unique and exciting experience to enjoy — a total upgrade to their CX that paid off. In the first week of launch, over 45,000 additional classes were booked, and a record-breaking 97% attendance rate was achieved.
Ultimately, personalization is an element that’s become essential in any digital CX. If you want to drive loyalty and growth for your brand, embrace the insights that data provides and create personalized experiences that make an impact on your customers.
3. An Omnichannel Approach
Let’s zoom in on another crucial element of a solid CX: an omnichannel approach. After all, your customers aren’t just using one device or platform to interact with your brand. They’re hopping from smartphones to laptops, from social media to email, and expecting a seamless transition throughout.
According to McKinsey, “Customers want a compelling and personalized omnichannel user experience with robust digital capabilities, both online and offline.” Luckily, businesses stand to benefit from catering to these demands: Omnichannel customers shop 1.7x more than their single-channel counterparts.
An omnichannel approach ensures that your customers have a consistent and harmonious experience across all channels. Whether they’re navigating your website, checking their inbox, using your app or watching a Personalized Video, each interaction should feel familiar, not a disjointed encounter.
Bank of America is one brand that’s invested a lot into its omnichannel experience. Between its physical locations, phone support, website and mobile app, the bank’s customers can hop from channel to channel as they please.
On the flip side, the telecom industry could stand to improve its CX since, according to an Ericsson survey, only a third of customers believe their telecom company understands their needs, with 46% saying providers are hiding behind “bad” technology like impersonal emails and Contact Us forms.
Telecom companies should not only make themselves accessible through different channels but also take care to ensure that the experience on each channel is consistent, from email to app to website. For more ideas on improving customer experience in the telecom industry, check out this blog.
Providing a Better Customer Experience: 3 Ways To Start
Now that you know what’s needed, how do you pivot to improve your CX? Here are 3 practical steps you can start on today, though each of these strategies will take some time to implement.
1. Gather Customer Feedback
Gathering feedback allows you to collect a goldmine of insights that help you understand customer needs, preferences and pain points. By listening to your customers, you’re not only acknowledging their voices but also showing that their opinions matter. That’s a crucial element in turning people into loyal customers.
Gone are the days of blind decisions. Customer feedback provides the data you need to make informed choices. Data-driven decision-making ensures that your CX improvements are not mere shots in the dark but strategic moves backed by concrete evidence.
Now, how can you gather this invaluable feedback? Here are 3 popular methods:
- Surveys. Traditional surveys are a tried-and-true method. These days, you can even create video surveys, which engage users on a whole new level, making the feedback process more interactive and enjoyable.
- Social Media Monitoring. Social platforms are a hotbed of customer opinions. Keep an eye on mentions, comments and direct messages to stay in tune with your audience.
- User Behavior Analytics. Tools like Google Analytics and heatmaps allow you to track user interactions on your website or app. This data offers valuable insights into what’s working and what needs improvement.
Let your customers be your guide as you craft a digital CX they’ll enjoy. Listen, learn and evolve with their feedback, and you’ll be well on your way to creating extraordinary experiences that keep them coming back for more.
2. Add Interactivity
Another powerful strategy to optimize your CX is by putting the power into your customers’ hands through interactivity. Here are some initiatives inspired by the latest trends and insights to help you supercharge your digital customer experience:
- Immersive Onboarding. Elevate the onboarding experience by using interactive tutorials, guided tours and customizable checklists to ensure new customer success and help them get the most from your product or service right from the start.
- Self-Service Solutions. Allow customers to take control of their interactions with your brand. Provide intuitive self-service options that enable them to find answers to their questions, track orders or troubleshoot issues effortlessly. This not only enhances customer satisfaction but also frees up your support teams for more complex issues.
- Gamification. Infuse an element of fun into your digital interactions. Gamify customer loyalty programs, surveys or training modules to boost customer engagement and motivation.
Starbucks Rewards is a classic example of interactive gamification. Customers are encouraged to buy more in order to earn and collect “stars” that can be redeemed for different rewards. The coffee brand even regularly hosts limited-time challenges — “Order 4 times this week for up to 100 bonus stars!” to get customers interacting with the brand more often.
By putting the power into your customer’s hands, you’re creating a user experience that’s not only memorable but also loyalty-inducing.
3. Create Emotional Connections
Finally, with conversions and sales often taking center stage, it’s easy to overlook one crucial element: the power of emotional connections..
Emotional engagement goes beyond the ordinary and transforms customer interactions into meaningful experiences. It’s about connecting with your audience on a personal level, leaving them not just satisfied but genuinely delighted. Why does this matter? Because emotionally connected customers are more loyal, spend more and are your most vocal brand advocates.
Think about getting a message from your favorite brand that celebrates your birthday or highlights a recent milestone. This personalized touch, backed by emotional resonance, turns a stale interaction into an unforgettable CX.
Leading brands have already tapped into the power of emotional connections. Consider the way Nike’s inspirational campaigns don’t just sell sneakers but inspire everyone’s inner athlete or how Disney has been mastering the art of emotional connections for generations, turning visitors into lifelong fans. Even Apple’s ecosystem of seamlessly integrated products inspires an emotional and loyal bond with their users that transcends the transactional.
These brands don’t just sell products or services — they sell feelings, memories and experiences. They connect with their customers on a human level, leaving a lasting impression that goes far beyond a simple purchase.
Elevate Your Customer Experience Strategy
As you strive to forge lasting connections with your customers, remember that Personalized Video is your ally. It’s a bridge that can transform a simple transaction into a memorable experience. By harnessing the power of tailored video content, you can captivate, engage and inspire an emotional connection with your audience like never before.
Now, it’s time to take action. Why not start by exploring Lucas, Idomoo’s AI video creator? With Lucas, you can effortlessly craft videos that resonate with your customers, bringing your brand to life in a matter of seconds. So why wait? Embrace the future of digital customer experience today.