Mobile experiences are shaping businesses
Your refrigerator wishes you a good morning. This time, it has automatically ordered your breakfast based on the lowest grocery prices. It made this decision after evaluating your bank account balance. Yesterday’s golf trip ended up being more expensive than you planned...
The aforementioned vision is not far from the future. Targeted messages and marketing will soon rely on our behavior. Devices talk to each other, so that they can interact with us and help at the right time. Some people are willing to send their health-related stats to the cloud, and track their development from their mobile devices. We are at the point where service providers can imagine completely new kinds of customer experiences. We are stepping into a time of better service.
Mobile services are the focus
When designing new services, mobile users are the focus. The reason behind is the rapid growth in mobile service use. The well-known online shop Zalando revealed that 38 per cent of their online traffic comes from mobile devices. KPCB's survey entitled "Internet Trends 2014" said that mobile data traffic will soon increase by over 80%, and online videos play a great role. Already 30% of more than 5 billion internet users are using smart phones.
Amazon has also presented impressive growth figures. If the online shops are not built with mobile in mind, then how many customer contacts and points of sale are being missed? According to another survey, 30% of people are visiting Amazon are doing it with mobile devices. Interestingly, 15% of sales are done with mobile devices.
So, why do so many organizations avoid investing in mobile experiences? Why are so many services not responding to changing consumer needs?
The situation in the Nordic countries
To find out more on the state of Customer Experience Management (CEM) in the Nordics, we conducted a study. According to the results, 57% of retail companies are developing or starting to develop services on smart phone and tablets. 31% of companies are interested in personalising their offer based on data collected from different sources.
In Finland, half of company investments for digital services are aimed at cost savings. In Sweden, the majority of the investments focus on innovation. When creating new services, we shouldn’t start just with certain technology or mobile in mind. It is important to understand new business models in order to develop an amazing user experience and create a culture which supports innovation.
Radical changes and opportunities
Mobile user experience plays a big role in today's multi-channel environment. People search online, use social media, and read testimonials before purchasing products and services. Consumer behavior has radically changed, and this change will force companies to adapt. Flexibility is the key to adapting.
Mobility affects all industries. It will override the value chains and change the traditional sectors (for example, the taxi business and the controversial Uber). It can also shorten the long value chains where suddenly, people are selling directly to each other (such as Airbnb). New ways of doing business are being created, and one of these interesting possibilities is the sharing economy.
Mobile's role is becoming bigger than ever before. It has a role in payment, location, identification, personalization, and physical and digital encounters. The development of new mobile technologies always leads to the emergence of new business models and enhances the customer experience. By truly focusing on the customer experience, we are able to systematically enhance each touchpoint of the customer journey. This is called Customer Experience Management. If your company isn’t willing to utilise consumer data, another company will.
What do you think is the state of Nordic mobile services at the moment? Share your views in the comments.