Why the Digital Customer Experience is Now so Important
All around us, we can see evidence of the incredible digital transformation that is taking place across our lives. While understandably this change is stronger in richer countries, it can be observed throughout almost the entire globe.
One example of this is the widespread use of mobile banking in Africa, which is positively transforming the lives of many farmers and small business owners across the continent.
Another key indicator of this change is the increasingly prevalent use of social media, with the number of individuals accessing social networks worldwide expected to reach almost six billion in 2027.
These are huge changes, being driven by technology such as widespread, high-speed internet, including increasingly fast mobile internet, affordable and powerful smartphones, and innovations from massive multinational tech companies such as Apple, Google, and Microsoft. The way we live now and how we will increasingly live in the future is being altered irreversibly.
While these changes are not always beneficial, the differences that can be seen are undeniable, and this is only set to become more pronounced. This transformation is changing all areas of our lives, including work, shopping, communication, education, the economy, and travel.
To ignore this is at the massive peril of your brand because technology is also completely revolutionising the way companies and individuals do business, interact, and decide where to spend their money. If your company is relying on continuing with the status quo and avoiding change due to the costs involved in updating systems, new training and evolving with the times, then you are setting yourself up for failure.
This is starkly highlighted by the prediction that “Half of the S&P 500 Companies Will Be Replaced in the Next Decade” and if this can happen to some of the biggest companies in the world, this change will more than certainly affect small and medium-sized businesses too. This turnover of companies is increasing rapidly, as “in 1965, the average tenure of companies on the S&P 500 was 33 years. By 1990, it was 20 years. It’s forecast to shrink to 14 years by 2026.”
To survive (and thrive) in today’s global economy, a constant state of evolution is absolutely vital!
But what is the Digital Customer Experience and why is it so important?
The digital customer experience is related to all aspects of interaction and experience that your customers have across all possible digital channels, whether this is your website, email, social media or other methods.
Within the travel and tourism industry for example, for a hotel or resort this would involve online room bookings, interactions via real-time web chat, email or social media with customer service agents, or engagement surrounding social media posts made by your marketing team.
What is important to note is that the concept of the digital customer experience is more significant to your marketing team and company than it is to your potential or current customers; they don’t think of this division between digital or traditional customer experience, it is all part of the overall experience they have with your brand.
To a certain extent, this is also how your brand should be viewing things because our digital lives are becoming increasingly intertwined with all aspects of our lives.
Whether this is checking your bank statement online, having a Zoom video call with your family or friends in another country, or booking flights or a hotel room via a smartphone. “The global smartphone penetration rate was estimated at 68 percent in 2022, up from the first time since 2018” which is essentially the same as over two-thirds of the world having mini-computers in their pocket, with all those added possibilities.
The Digital Customer Experience and the Travel Industry
The customer experience between your brand and your customer needs to be as positive, efficient, and professional as possible, either in person or through digital interactions.
For a resort or hotel, this would include the way guests are greeted in person by receptionists, restaurant staff or team members. It will also include the experience guests or potential guests have while interacting with your resort team via digital channels such as the real-time chat facility on your website, emails, or social media.
As well as the interactions your guests have with your brand, the digital customer experience also includes many other factors such as the attractiveness and functionality of your website, or the posts published on your social media channels such as photos, videos, and blog posts.
It is also important to note that the digital customer experience from your brand’s perspective should not just end once your guest has booked a stay at your resort and has arrived for their holiday, but also happens:
• During the time your guest stays with you
While your guest is staying with you, they should ideally have free access to excellent Wi-Fi throughout the resort, as this is a standard feature in many public and private locations. They may also be publishing content on social media about their stay such as appealing photos/videos of the pool, restaurant or local area.
Your marketing team should be monitoring digital channels for tags and hashtags, and engage with these posts, which will encourage your guests to post more.
With the widespread use of digital devices on holidays, user-created content can become an excellent source of free advertising for your brand. Even if the individual doesn’t always have a massive social media following, they are still an influencer, even if it is just to family and friends.
Don’t underestimate the influence of micro-influencers!
• After they have departed
Once they have checked out, the connections made via social media can create a lasting relationship between your resort and your guests, leading to potential repeat bookings. This can be fostered positively with engagement and conversations via social media, and email newsletters with exclusive offers.
While this is an example of the digital customer experience in action for hotels or resorts, this translates in similar ways for most other industries and should not be neglected.
Why your brand needs to adapt quickly
For your customers, the quality of experience with your brand will determine whether they choose to repeat their business with you, regardless of whether this is in person or through digital channels. For your brand, though, this is no quick fix and will require a concerted and dedicated effort.
New systems will need to be put in place, new equipment purchased, major updates to your website for speed, security and attractiveness, and a major change in ethos for your marketing team and staff in general.
Real-life experiences and the digital customer experience are merging to a greater and greater extent. What happens digitally has real-world consequences and vice versa.
Several years ago, a United Airlines passenger was forcibly dragged screaming and injured from a flight that the airline had overbooked. After the full-fare paying passenger had refused to leave the plane, he was forcibly removed, which another passenger filmed and posted online. This video then went viral, leading to terrible publicity for the airline, and share prices dropped.
This was further exacerbated by the way the CEO of the company responded to the incident through dismissive tweets, defending the conduct of the airline. For the foreseeable future, this has damaged the reputation of the airline, leading many to think twice before booking a flight with United Airlines.
Companies need to fully grasp the concept of how our real-world and digital lives are now so tightly entwined, and increase their focus on improving the Digital Customer Experience. People lead busy and often stressful lives, so they expect to have a positive experience with your brand both in-person and digitally.
If the experience doesn’t live up to their expectations, such as an unhelpful employee, slow website, or even boring social media posts, then they can and will often dismiss your brand.
The market is constantly innovating and being disrupted, as shown by the rise of brands like Netflix, Airbnb, and Spotify. There are no industries that are safe from change, so it is imperative to keep up with customer demands, otherwise, things can quickly switch.
This is why the Digital Customer Experience is now so important for your company.
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