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What do customers want? They want the consumer goods brands they buy and love to deliver a total experience. One that is transparent across the product lifecycle and is personalized at every touchpoint, regardless of whether it’s the ever-demanding business-to-consumer (B2C) realm or the not-so-different-anymore business-to-business (B2B) landscape of consumer packaged goods (CPG) distributors and retailers.
According to Gartner® Top Strategic Technology Trends in Consumer Goods Manufacturing for 2023, the top CG technology trends in 2023 focus on customers, technology, and sustainability. This translates to consumer behaviors evaluating three primary areas:
- Financial impact and uncertainty. What is the value of this product? Is it worth the money? Does it work?
- Trust in manufacturer integrity. Is the manufacturer doing what it says it is doing?
- The experience working with and for a company. How do consumer goods manufacturers treat suppliers, employees, and consumers? Are they providing and participating in current platforms and technologies?
The pressure is on CPG brands to meet these accelerating expectations and answer these unspoken questions that are top of mind for consumers.
How can brands accomplish this when not all customer journeys are alike and consumers are in control?
Connect your brands, employees, and consumers
Evolve with changing consumer preferences
Evolving with the customer is essential
Journeys are no longer linear and are driven by the customer—be it the consumer, retailer, or distributor—who determines the preferred path including any stops, starts, and detours along the way. Giving them the option to choose what messages they want to receive along with when and how they receive them is essential for creating a successful journey. Some customers prefer human interaction, others self-service across digital channels, and many require a combination of physical and digital. Others prefer to avoid personal interaction and choose a tech interface whenever possible. Giving customers these choices require brands to have synergy across multiple experience disciplines. It requires a shift from customer experience (CX) to what Gartner® calls total experience (TX). According to Gartner®, “TX is a strategy that creates superior shared experiences by intertwining the multi-experience (MX), CX, employee experience (EX), and user experience (UX) disciplines.” A sophisticated customer experience is the goal, but more importantly, it is delivering a total experience that meets or exceeds customer expectations. Research on this topic brings home how critical this is.
A recent Harvard Business Review article brings home how critical this is.
“Our recent survey of 6,200 customers in China, France, and the United States uncovered seven CX factors that directly influence customer satisfaction. The first four—convenience, choice, navigation, and payments—are indispensable. That is, the presence or absence of these factors determines whether a customer judges a particular experience as good or bad. Think of them as table stakes. The remainder—ambiance, expertise, and touch-and-feel—amplify the baseline level of satisfaction. While their presence boosts satisfaction from “good” to “very good” 70 percent of the time, their absence turns a “bad” experience into a “very bad one” 89 percent of the time.”
Identifying ways to understand and adapt to evolving consumer preferences along with delivering direct-to-consumer engagement is integral to enhancing the customer journey.
Our approach
It starts with data
Brands are looking for ways to understand consumers better. They need insights in order to know them and orchestrate customer journeys as well as identify interactions that contribute to customer lifetime value (CLTV), churn, and loyalty. This requires CPG brands to gain a holistic understanding of consumers and build brand equity through tailored data-driven marketing and experiences.
To achieve this, CPG brands need to leverage data from multiple sources, such as point-of-sale, e-commerce, social media, loyalty programs, surveys, and third-party providers, and combine them into a single view of the consumer. This improves consumer understanding, empowering brands to directly engage with individuals and target their personal needs, all powered by AI.
It requires elevating the consumer experience
In today’s uncertain times, consumers demand an end-to-end experience that provides value, quality, convenience, inclusivity, and sustainability. Brands must not only meet these expectations but also elevate the experience to the next level. This requires real-time personalization throughout the customer’s journey. Microsoft Dynamics 365 Marketing utilizes insights about the consumer and activates them in real-time to optimize journey workflows, to create generative AI-powered segments and content to deliver hyper-personalized experiences that drive customer engagement. For example, Campari Group, a worldwide leader in spirits, wines, and non-alcoholic apéritifs industry is using our solution to increase awareness of Negroni week, an event that celebrates one of the world’s greatest cocktails and raises money for global charitable causes. Microsoft Dynamics 365 Marketing generative AI Copilot is being used to send personalized emails to venue owners to get them involved. With generative AI targeting, Campari uses natural language to describe segments and uses generative AI Copilot for content ideas using key points to generate text suggestions expediting campaign creation and increasing marketer productivity. Watch Campari Copilot in Microsoft Dynamics 365 Marketing to learn more.
It’s collaborative
Whether it’s brand building, product development, supply chain, or customer care, everyone is responsible for customer experience and optimizing the customer journey. It is a collaborative effort to deliver a great customer experience and requires breaking down data, technical, and people. Customer data needs to be combined with business operations data, marketing, sales, service, and supply chain should work in unison and be seamlessly integrated.
Collaborative intelligence can help CPG brands and retailers:
- Understand customer behavior, preferences, and needs better, and tailor their offerings accordingly.
- Optimize their assortment, pricing, and merchandising strategies, and increase customer satisfaction and loyalty.
- Innovate faster and launch new products that meet customer demand.
- Build trust and transparency with each other and with customers.
This is exactly what Natuzzi is doing using our solution to bring beauty and timeless harmony to people around the world. Working with Microsoft Dynamics 365 enables Natuzzi to deliver a well-crafted experience across both B2C and B2B lines of business and empowers their entire global team spanning marketing, sales, field service, and customer care to deliver a seamless total experience. In a disjointed selling environment, Natuzzi can communicate better and more consistently with each customer with improved ongoing messaging, promotions, and events. With targeted campaigns, they are moving contacts to prospects and prospects to customers. Luxury furniture is a complicated market, and our solution keeps Natuzzi close to its customers and on top of market trends.
Learn more
Learn more about Microsoft Dynamics 365 Customer Insights, Dynamics 365 Marketing, and Dynamics 365 Sales to meet your customers’ expectations and bring your customers into focus.
You can also download a free trial of Microsoft Dynamics 365 Marketing. And for the latest on how Microsoft and our partners are helping retailers elevate the customer experience, download the e-book Reimagine Retail in the Digital Age.
Discover more Microsoft solutions for the consumer goods industry.
GARTNER® is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved.
The post Deciphering consumer desires: Elevating customer journeys in retail CPG appeared first on Microsoft Dynamics 365 Blog.
Brought to you by Dr. Ware, Microsoft Office 365 Silver Partner, Charleston SC.
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