Despite fluctuating stock markets, trade uncertainty and a change in the political atmosphere, consumers are still pushing the purchase cycle and even embracing new technologies to do so, making them the strongest link in the economic chain.
Consumers are now in a position to demand a tailored, channel-agnostic, socially-conscious and social media-powered experience. In PwC’s 10th annual Global Consumer Insights Survey (GCIS) we’ve captured the sentiments of over 21,000 online consumers in 27 territories to find out what has given them such power. Based on the survey we have come up with six measures you really should take to improve your Return on Experience (ROX):
1. Fuse customer experience and employee experience
When companies attempt to create a better customer experience, they often place their focus on technology and forget the role of human beings in creating valuable shopping experiences for consumers.
- Better employee experience is key to better consumer experience: ‘Access to sales associates with a deep knowledge of the product range’ was ranked as the second-most valuable attribute of in-store shopping experiences among PwC's Global Consumer Insights Survey respondents.
- Established companies should transform incrementally: Investing in employees can yield a better consumer experience. This isn’t only true for consumer-facing employees, but also for employees who indirectly shape the experiences of consumers. This is why it’s important to craft an entire company culture that’s focused on creating valuable consumer experiences.
2. Build communities with a purpose
Knowing what consumers are expecting can help create meaningful engagement and successful ROX. Find the values you have in common and share them with both internal and external audiences.
- The opinions of peers are paramount: Our survey shows that consumers turn to their peers when making purchase decisions. 32% reported that positive reviews on social media influence their purchase decisions, but only 17% of respondents were more likely to be persuaded by an influencer or celebrity to buy a product or service.
- Organisations should cultivate socially active communities: Organisations can use social channels where consumers are more socially engaged to create communities and build relationships that eventually translate into sales.
- As for the Swiss market, social media inspire a higher number of purchases among younger generations in Switzerland (29%) than among Generation X (born between 1966-1976) (16%).
3. Create ‘magic moments’
‘Magic moments’ are created when consumers have their needs fulfilled on time. Even better is when retailers anticipate the needs of consumers and make whatever they need readily available.
- People will pay a premium for a good experience: Consumers are willing to fork out premium prices for better services and added conveniences. For example, PwC’s 2019 Global Consumer Insights Survey shows that Amazon Prime membership has risen each year since 2017, with 46% of respondents who use Amazon attributing this to their Amazon experience.
- Create personalised, authentic experiences: The three attributes respondents said would significantly improve their in-store experience were ease of navigation in the store, experienced sales associates, and quick and easy payment methods.
- Compared with other countries, Swiss consumers value personal engagement and authenticity, which could explain why Switzerland has one of the highest percentages of respondents (53%) who prefer offline shopping. Knowledgeable sales personnel was named as the main attribute for valuable shopping experiences.
4. Understand your customers based on their behaviours
PwC’s 2019 Global Consumer Insights Survey shows that shoppers exhibit the same behaviours and attitudes across different industries. If you understand the various behavioural types, you can engage more meaningfully with shoppers.
- Segment consumers by behaviour, not demographics: Consumers who try to lead a sustainable lifestyle display a certain kind of consistent behaviour. They’re the consumers who are willing to pay premiums for certain goods and do much of their shopping using mobile devices, and whose shopping decisions are guided mainly by sustainability.
- Sustainable shopping awareness and the locality of products rank high in Switzerland compared with the rest of the world: 73% of respondents are willing to pay a premium for locally produced food.
- Behavioural data helps with targeting: Marketers can use behavioural information to create better offers for these consumers and target them on the platforms that are most relevant for them.
5. Navigate data protection concerns
People have become increasingly aware of what firms have been doing with their personal data. This has sparked privacy concerns among consumers, who are demanding greater control over their data and more transparency about what businesses are collecting, how they’re sharing it and how it’s being used.
- Depending on the industry, some businesses have an easier time collecting consumer data: PwC’s survey shows that one-third (33%) of consumers are making purchases online daily or weekly, exchanging their personal and financial information for goods and services.
- Rethinking consumer data and privacy: Consumers need to feel comfortable with sharing their information. If consumers feel that sharing their data will help enhance their shopping experience, they’ll be more likely to disclose it.
- Swiss consumers are more concerned about data security and data protection than people in the rest of the world. Swiss consumers are less likely to use online payment methods; 40% of money transfer transactions took place in the Swiss market, compared to 51% globally.
6. Create a winning experience
There are many ways of beating the competition to reach consumers: offering competitive prices, selection, ease of navigation or exclusivity. But the best way to win is by offering them a better experience.
- Blend digital and physical experiences: A purely digital approach isn’t always enough. In certain industries, such as financial services, consumers need human interaction to explain and understand the product. Based on our survey, 55% of Swiss consumers would not trust an online financial advisor, preferring a physical advisor.
- Go digital for payments and data: Consumers are becoming more comfortable with using mobile payments, with 24% of our global sample using a mobile phone to shop at least weekly. Tracking digital payments across the journey can help you identify opportunities to win and chances to improve consumers’ experience to generate the greatest returns.
