Customer Service for the Digital Age

Customer Service for the Digital Age Blog Header

From transactions to experiences, see how today’s customers are changing customer service

The digital age has forever changed the way companies do business. Direct-to-Consumer brands now make up 40 percent of the manufacturers, cutting out middlemen and offering personalized, nimble services and products to their customers. Amazon has redefined our notions of speed, convenience and selection, and companies like Airbnb, WeWork and Car2Go have revolutionized the economy allowing users to exchange the downsides of ownership for the upsides of sharing.

Meanwhile, companies like Birchbox and StitchFix have built up sizeable customer bases—and built-in loyalty—through subscription box services, and companies from Glossier to Parachute are joining the $50 billion pop-up industry, creating customer experiences that unite brick-and-mortar shopping experiences with the nimbleness of online shopping. The result? A business landscape where convenience, personalized service and customer experience are king.

New Generation, New Customer Expectations

But the digital revolution has affected more than just the way that businesses interact with customers. It has also changed what customers expect from businesses. More than three quarters of Americans now own smartphones and communicate regularly through social media platforms like WhatsApp, Instagram and Facebook. Modern-day consumers live in a world of interconnected platforms, instant communication, and personalized experiences—and they’ve come to expect the same from brands. And, as millennials become key customers and Generation Y gives way to Generation Z, expectations for quick, easy and customer-centric customer service will only grow.

Already, nine out of ten customers say they prefer to contact a company through messaging, 70 percent of customers say speed a top priority in their shopping experience, and 64 percent say that reducing the effort it takes to engage with a business is a key concern. Ultimately, however, the millennial customer is looking for more than just a product—however good it is, or how speedily it’s delivered. They’re looking for a customer experience, a lifelong interaction with a brand that is more about relationships than transactions.

Out With Old Customer Models, in With the New

In this new business landscape, businesses cannot rely on old models of customer interaction and support. To survive in the world of Amazon and eBay, where inventory is endless and speed is the rule, they must distinguish themselves by finding proactive and creative ways to build long-term relationships with customers over time. And to do this, they have to find new ways to identify and track the changing needs, experiences and expectations of their customers, providing fully-integrated, personalized, 360-degree support over the customer’s lifetime.

Moving from Transactions to Relationships

To provide this kind of support, companies must stop seeing customer interaction as a transaction and start seeing it as an ongoing conversation. Customers are not reducible to tickets, or to emails in a queue. They are complex human beings with a variety of motivations, and they bring a unique history to every customer service interaction.

Unfortunately, many companies are still relying on the old model of customer service, where they treat each new interaction as a separate event handled by different people across a variety of siloed platforms. In this model, there’s no way to store, share and track the customer’s history and past conversations, so customers are forced to repeat their issue to each new service agent. And this is no way to build a relationship!

Imagine if every time you met a new person, you had to tell them your name and life history all over again. It would be exhausting and insulting—and yet, it’s what companies expect customers to do each time they call with a question or problem. No wonder customers rank having to repeat information as their number one customer service complaint!

Know Your (Whole) Customer

To attract, satisfy and keep new customers, companies need to know who their customers are, where they’ve been and what they need. Understanding the context of a customer’s call—from the number of times they’ve ordered a certain product to the issues and conversations they’ve had with agents in the past—allows companies to deliver a more efficient, more personalized, and more proactive service.

Creating an omnichannel system that collects all of the customer’s history in one place transforms the customer service interaction, allowing agents to quickly identify problems, suggest solutions, and preempt future issues. Seeing that a customer has a long history of buying a certain product, for example, can allow an agent to suggest other products they might enjoy, while knowing what prompts a customer to engage with customer service can help the company direct them toward the best platform for resolving their issues. This approach doesn’t just save time by eliminating the need for unnecessary repetition. It also allows companies to build customer histories that ensure proactive, personalized and conversational service—and long-term customer loyalty.

In the modern business climate, the companies that will succeed are the ones that meet people where they are: anytime, any place, and on any channel. But the most successful companies will go beyond offering efficiency and access to a whole new philosophy of customer engagement, building systems that allow them to understand and serve the whole customer. See how Kustomer is setting the standard for customer service in the digital age in this on demand webinar.