Insufficient insight into customer needs

By connecting technology with customer service — one of the possibilities of CRM and the right CRM system — organizations are better equipped to predict customer needs at the right moment. This is an important factor in creating customer engagement, which in turn contributes to the organization’s growth. Yet research by Cognizant and IDG Research Services among more than 70 Dutch digital experts shows that many companies lack the information necessary to form a solid customer image.

Cognizant reports that by collecting the right data through social media, mobile, data analysis and cloud technologies (SMAC) — and drawing the correct conclusions from this data — companies are able to strengthen their digital strategy and improve their performance and competitiveness. Still, more than half of Dutch companies (59%) admit that they do not have the necessary information to gain insight into what their customers really need and, consequently, to adjust their offering and personalize their service.

Interaction via social media

Social media is an important way to get in touch with customers and create engagement. When it comes to social channels, organizations are targeting Twitter (75%), Facebook (69%), LinkedIn (68%) and YouTube (59%). But new social channels like Snapchat, which mainly targets young people, mustn’t be ignored. Currently, only 6% of companies are using Snapchat. Customers can use multiple channels to interact with a company, whether it’s via mobile, in person, online or using apps. But it’s tricky to keep track of customers through all of these channels, which makes it difficult to provide a consistent level of service.

Insufficiënt insights into customer needs

Interaction for results

Dutch companies indicate that they understand the importance of interaction with the customer, but in many cases, that interaction isn’t itself their main concern. What they care about is the result; they expect the interaction to yield concrete benefits. Almost half of all respondents (46%) report that a successful digital strategy primarily generates ROE (return on engagement) for the organization. Cost savings (30%) and ROI (25%) are in second and third place.

Information for customer-oriented services

Cognizant’s research shows that Dutch organizations prioritize strategies related to information management (79%), sales and marketing intelligence (55%), and security (51%). Only companies that can streamline internal information are able to provide truly customer-oriented services.