Customer Centricity in the Digital Age
13 de junio, 2019
Tiempo estimado de lectura: 5 minutos
Customer centricity — putting your customer at the center of your strategy — has long been considered the holy grail of retail marketing.
In the digital age, customer-centricity revolves around data and smart technologies like artificial intelligence (AI). With the help of AI, companies collect as much data as they can about their customers’ wants, needs, and preferences, and then apply it to customize their offerings, create personalized shopping experiences, and make the purchase process simpler and more convenient. An example of new tools available for understanding customer habits is the Personality Insights service made possible by IBM’s AI platform, Watson.
As we continue to see AI moving from the hype stage to actual implementation within organizations, retailers and marketers have new opportunities for gaining a competitive edge when it comes to customer centricity. Here are three applications of how retailers are using AI to transform their marketing strategies:
AI allows retailers to identify which customers to cultivate. A company’s marketing efforts are always at risk of being ignored. There’s a reason that John Wanamaker, the 19th-century marketing pioneer, once quipped: “Half the money I spend on advertising is wasted; the trouble is, I don’t know which half.”
But AI helps companies know which customers are more receptive to their message — and, just as important, which ones aren’t. Machine learning and deep learning via AI-powered tools can parse vast troves of customer data in seconds. This helps companies differentiate between their most loyal, revenue-driving customers (high value) and those who tend to buy the least expensive products or products with the smallest margins (low value), and then create targeted approaches for each.
Asos, the U.K.-based online fashion and cosmetics retailer, applies a machine learning algorithm to predict a customer’s future worth. The algorithm analyzes customer data — including information about a customer’s demographics, purchase patterns, and returns history — to make a determination about his or her value. The algorithm then assigns a “tag” to each customer, which sends a signal to the online retailer. Asos, for instance, might nurture the high-value customers by targeting them with increased advertising or promotions, and spend less time and marketing resources on the low-value customers.
Today, however, chatbots are considered key drivers of customer engagement and loyalty. From the customer’s perspective, the technology feels frictionless; chatbots mimic real human dialogue and provide user-specific content. From the retailers’ standpoint, chatbots can gather important customer insights more efficiently than human representatives can.
The best chatbots also make shopping fun. Sephora, the global beauty chain, exemplifies this approach. Customers take an interactive quiz about their cosmetics use, and the chatbot offers makeup tips and individualized product recommendations based on their answers. The chatbot then sends users to Sephora’s website to finalize purchases. The company also has a bot with a Virtual Artist feature, which allows shoppers to create a customized look after uploading a selfie — a novel approach to try before you buy. This allows the company to formulate a fuller picture of a customer’s likes and dislikes and predict which products or services might interest him or her.
Fuente: MIT Review
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