HOW BRANDS CAN CREATE AUTHENTIC AND VALUABLE RELATIONSHIP MOMENTS®
by Scott Pinkney | Thought Leadership
Every day, consumers interact with brands, choosing those that meet their needs, entertain them, or provide tangible value. These moments can determine a brand’s success or failure. To build lasting connections, brands must leverage data to create meaningful value exchanges – what we call Relationship Moments®. According to an Adobe survey, businesses with strong omnichannel customer engagement retain, on average, 89% of their customers, compared to 33% for companies with weak omnichannel engagement. This highlights the importance of personalized, data-driven strategies across channels.
Building Lasting Relationships
As brands vie for consumers’ attention and dollars, these moments can be the beginning of a long-lasting relationship built on loyalty and trust, or they can be fleeting encounters. This is why brands must continuously leverage data to ensure that every interaction is driven by mutual value. A study from Salesforce showed that 76% of consumers expect companies to understand their needs and expectations, and 84% say being treated like a person, not a number, is key to winning their business.
The Art and Science of Data Journey MappingTM
More than ever, consumers expect brands to know them, and in return for their data, they expect brands to deliver value, personalized communications, and relevant product developments. By leveraging the right data to target an individual consumer, we make each engagement a smart, interesting and relevant moment. Even with engagements they may have not expected, but which deliver value.
Data Journey MappingTM focuses on understanding how consumers interact with a brand by analyzing the consumer’s data at key engagement moments along the customer journey. The goal is to always be there at the right time and place, armed with the right message and offer – or what we call the next best action.
Make each relationship moment matter.
Each moment in a consumer’s journey presents an opportunity for a brand to provide what the consumer needs. Just like in any relationship, it takes time to get to know someone. The early stages involve asking questions, listening, watching, and understanding motivations and desires. Over time, as the exchange of communication deepens, needs become clearer, and the bond grows stronger. In fact, McKinsey research suggests that personalization can increase customer lifetime value by 20%.
Once a relationship is established, it must be nurtured. As in any relationship, there is a time to listen, a time to communicate, and a time to adapt. Progressive profiling, or the process of asking questions to better understand consumers, helps brands align their products and communications more effectively. Epsilon research found that 80% of consumers are more likely to make a purchase when brands offer personalized experiences. Who doesn’t enjoy receiving a surprise, a gift, a discount, or some special treatment, along with a heartfelt thank you for being a customer? These surprise and delight moments are essential for brands aiming to retain customers and keep them coming back.
Consistency, Recognition, and Honesty
In any strong relationship, consistency, recognition, transparency, and honesty are vital. There will be times when brands must convey tough information, such as rate increases, changes in loyalty programs, or price hikes. The strength of the relationship moment that occurred before these decisions will significantly influence whether consumers choose to stay or leave.
Authenticity is key in these moments, and brands should look for ways to manage potential damage, as there is always another brand waiting in the wings. According to Forbes, businesses that employ personalization strategies effectively can see retention rates improve by 5-15% and increase profits by 25-95% making it clear that brands must prioritize the customer’s interests and invest time in lasting relationships. Each moment should build on the last, fostering trust, loyalty, and long-term success.
Harnessing AI to Deliver Enhanced Relationship Moments®
Leveraging AI to elevate customer engagement and revolutionize customer relationship management (CRM) is a win-win scenario. By analyzing customer data, AI can help create highly personalized campaigns that resonate deeply, enhancing engagement. This approach is further bolstered by AI’s capability to map and optimize the customer journey across touchpoints, predicting needs and spotting potential drop-off points. The use of predictive analytics allows companies to anticipate future customer behaviors and trends, fostering proactive CRM strategies.
By integrating data-driven strategies, embracing personalization, and leveraging AI, brands can transform customer interactions into meaningful engagements that foster loyalty and trust. The ability to understand and anticipate consumer needs allows brands to deliver personalized experiences that resonate deeply, enhancing customer lifetime value. By doing so, brands not only nurture stronger relationships but also secure long-term success in an ever-evolving landscape.