Customer Feedback Analysis: Analyzing & Understanding What Your Customers Are Saying

Customer feedback is a treasure trove of information with a wealth of insights to offer businesses seeking to improve products and boost revenue. But having feedback is not enough on its own. To understand what customers tell you, employing customer feedback analysis is a must, especially when done at scale. Learn what it means and how to do so successfully.

One of the most impactful approaches you can take to help your business grow is to become a customer-centric company. 

Because not only do customer-centric companies win over the loyalty of their audience for the long term, but they also see the financial benefit of doing so, being 60% more profitable than their competitors. 

In order to truly center your business around your customer, you’ll need to create a culture that commits to listening and catering to the customer’s opinions, thoughts, and needs. And there is no better tool for this than customer feedback analysis. 

By allowing you to systematically and regularly tap into your customers’ opinions, customer feedback analysis enables you to make smarter, more strategic business decisions that help you retain a highly loyal customer base.

In this article, we review everything you need to know about how to successfully implement customer feedback analysis in order to improve business outcomes. 

What is customer feedback analysis?

To understand what customer feedback analysis is and why it’s so important to modern businesses, let’s break the term down into its parts.

The customer part of customer feedback analysis

The customer, or the individual or entity that makes a purchase from your company, is absolutely key to your business’s success. 

As much effort as we may spend in building audiences, courting prospects, and attracting users, it is ultimately the paying customer who directly contributes to your bottom line. 

In understanding your customers, their needs, their pain points, and their opinions of your brand and your product, you’ll be able to make strategic decisions to improve e-commerce customer experience and customer satisfaction, and boost revenue as a result. 

The feedback part of customer satisfaction analysis

Customer feedback is all of the qualitative and quantitative data you receive from your customers that reflect their opinions, preferences, and concerns as they relate to your industry, company, and product. 

You can collect customer feedback through a number of channels, including but not limited to:

  • Emails
  • Surveys
  • Customer service portals 
  • Social media messages and comments
  • Third-party review websites

Feedback may be solicited or unsolicited and can come in several forms, including written comments as well as scores and ratings.

The analysis part of customer feedback analysis

Customer feedback is a form of raw data that contains a multitude of valuable insights for your company.

It is the process of analysis that helps you take this raw data, structure it, and explore it in order to find patterns, identify problems, and extract actionable insights that you can implement in order to make improvements to your product and processes.

???? For more analysis examples, check out our blogs on product performance analysis and competitive product analysis.  

Why should you analyze customer feedback?

Satisfied customers are the lifeblood of a successful business. 

By creating a superior, satisfying customer experience, you are motivating customers to take a number of desirable actions, including

  • Paying more.
  • Recommending your business/products to others.
  • And coming back for repeat purchases.

Indeed, 86% of customers are willing to pay up to 16% more for a superior customer experience. Further, a better retention rate is paramount for businesses seeking growth as existing customers are easier to sell to and are likely to pay more for new products than first-time customers.

Customer feedback analysis holds the key to creating an exceptional customer experience that keeps your customers coming back for more. 

By collecting, analyzing, and acting on the insights you find in customer feedback, you will be able to give customers what they want, address any problems, and gain a reputation as a customer-centric company like massively popular and successful brands.

How do you analyze customer feedback?

While analyzing customer feedback isn’t as simple as throwing numbers at a computer, it doesn’t have to be overly complicated.

In the next section, we break the process into five steps. And when working with dedicated customer feedback analysis tools, you can even skip most of them.

Step 1: Collecting customer feedback

The first step of customer feedback analysis is collecting customer feedback. Here are a few important sources of customer feedback.

Customer calls, chats, and helpdesk emails

This unsolicited form of customer feedback is incredibly valuable, as it represents problems and concerns that customers feel strongly enough about to have actively contacted your company to discuss. 

For this reason, it is best practice to automate a system in which helpdesk emails and customer service call transcripts are automatically added to a feedback database.

In this chatbot conversation from TheKnowledgeGym, a customer shares important feedback, including how they found a brand, how often they use its product, how they use the product, and more.

Surveys

There are a number of customer satisfaction surveys that are commonly used to collect customer feedback. These include:

  • Net Promoter Score (NPS)This metric measures how likely customers are to recommend your company to a friend or family member. 
  • Customer Satisfaction Score (CSAT) – This metric measures customer satisfaction by directly asking how satisfied customers are with a product, service, or customer service interaction.
  • Customer Effort Score (CES) – This metric measures how hard or easy a customer finds a product or service to use.

You can solicit answers to these surveys through a number of channels, including your website, your mobile app, text message, and email. Individually – and even more so collectively – these surveys can all reveal highly valuable data about customer satisfaction and loyalty. 

NPS score

Here, clothing company Hem & Stitch uses an NPS survey to measure customer loyalty.

Social media comments and messages

Your social media is a fantastic source of customer feedback, with many users these days preferring to reach out to a company with a problem or question over Twitter, Facebook, or Instagram rather than through traditional customer service channels. 

Like with customer calls and emails, it is recommended to automatically forward communication received over social media to your feedback database.

However, not all mentions of you on social media will occur on your account, and not all will tag you. For example, a customer might tweet their opinion about your product on their own personal Twitter account without using any tags or hashtags to alert you to the mention. 

For this reason, it’s wise to engage in an ongoing practice of social listening, or actively monitoring social media in order to find mentions of your brand, even if it’s untagged.

twitter engagement

On Twitter, users are regularly mentioning and posting feedback about brands and products without tagging them.

Online reviews

A final source of customer feedback that we highly recommend tapping into is the online review, a go-to place for customers to share their opinions. You may be able to find reviews of your company in a number of places including:

  • Through your own website.
  • Through general review websites like Yelp and Google Reviews.
  • Through industry-specific review websites like MakeupAlley or Angi.
  • On the app store if you have a mobile app.
  • Reviews on marketplaces such as Amazon, Etsy, and eBay.

amazon reviews bring powerful customer feedback

A customer shares a wealth of important feedback about a product’s color, quality, and sizing through an Amazon review.

Step 2: Structure raw data

Once you have collected customer feedback data, you’ll be the proud owner of a giant mountain of unstructured data. In order to be able to learn something from this information, you’ll have to find a way to organize and categorize it into something more useful. 

First, we recommend going over the data to identify important keywords such as product names, locations, features, etc. Then, you’ll be able to organize the data into categories, which will allow you to identify trends in the data.

Great, now we have neat and ready-to-analyze data. What’s next?

A great way to draw insights from your data is to categorize it. There are endless ways to do that, so it’s important to know what you’re looking for before starting.

Here are some ideas to get you inspired:

  • Topic – If you seek feedback on a specific topic, such as price, delivery speed, or sizing, it is best to categorize data by topic.
  • Sentiment – An approach that is often helpful is to split feedback up by whether it is positive, neutral, or negative. Sentiment analysis is one of the best ways to keep informed on how your product is doing.
  • Type of feedback – Another option is to categorize based on what the feedback is aiming to do. This can be customers that complain, suggest a new product, request a new color, etc.
  • Priority – Some feedback may point to something that needs urgent fixing, like a bug. This is why it can be helpful to organize by priority ranging from less to more urgent.
  • Customer type – You may find useful insights by splitting up feedback by customer type, including paying, trial, non-paying, premium, or VIP/rewards status.
  • Location – If your company has multiple locations or is international, you can categorize feedback by city, state, or country.
  • Product – If you have multiple products, it may be helpful to group feedback by which product it pertains to.

Structuring raw data is something that can be done manually. 

However, not only is it incredibly time-consuming, but error-prone humans are liable to make mistakes every now and then. 

Instead, most companies will rely on some form of technology for this step, whether it’s simpler Excel sheets or more sophisticated dedicated data structuring software.

Step 3: Identifying insightful data

The next step is to separate the insightful data – or new data that either confirms a hypothesis you had or contradicts your prior working assumptions – from non-insightful data, which is data that points to an issue you already knew about. 

When determining whether or not data is insightful, ask yourself:

  • Does this data validate a hypothesis we had?
  • Can this data motivate us to think more critically?
  • Can this data lead us to take action to make an improvement? 
  • Can this data reshape our strategies?

For the rest of the steps of customer feedback analysis, you can set aside the non-insightful data to focus exclusively on the insightful data.

Step 4: Write a customer feedback analysis report

A customer feedback analysis report is a document summarizing the findings of your customer feedback analysis and laying out recommendations for how to follow up. 

How do you write a customer feedback analysis report? We recommend including the following five key sections.

???? Background – Discuss your company’s current state and why you are engaging in customer feedback analysis. Lay out any hypotheses you may have about what you might find in the data. Mention any relevant changes that the company has made recently.

???? Methodology – Explain how you conducted your customer feedback analysis. Review what sources of feedback you used, how you structured your raw data, what tools you used, what your sample size was, and any other relevant details.

???? Results – Display your data in as easy-to-understand a way as possible. Quantitative data can be displayed through graphs and charts. For qualitative data, you may want to choose select quotes to display that demonstrate relevant trends in the data. 

???? Analysis – Discuss the insights that you found in the data. What problems came up, if any? What new features or products did your customers request? What surprised you? Were your hypotheses confirmed or contradicted?

???? Recommendations – Make your recommendations for the next steps. Based on the insights you found, what actions can your company take in order to improve business outcomes? 

Step 5: Act on insights

It’s important to emphasize that customer feedback analysis is only the beginning of a process of ongoing improvement. 

Feedback analysis can serve as an arrow pointing the way in a direction that your company can go in order to improve customer satisfaction and experience. 

It’s up to you to follow the arrow and fix the problems, create new products, and make the tweaks your customers ask for. 

Example of customer feedback analysis

Let’s say you own a start-up that built an app customers can use in order to identify problems in their house plants, such as pests, underwatering, and insufficient sunlight. One of your company’s values is being data-driven, and you aim to become the go-to plant diagnosis app by becoming customer-centric and offering the features customers will prefer most. For this reason, you have decided to implement an ongoing customer feedback analysis process. 

You choose to collect customer feedback through several channels including:

  • App store reviews.
  • NPS, CSAT, and CES surveys.
  • Social media mentions.
  • Customer calls, emails, and chatbot messages.

Once you gather a sufficient sample size of customer data, your business decides to categorize it by topic into the following groups:

  • Feedback about pricing.
  • App bugs.
  • Feature requests.

Once you’ve removed non-insightful data and used an AI tool to group your insightful data into the relevant categories, your business intelligence team generates the following important insights from your data:

  • Trial users aren’t converting into paid users because they feel that the monthly price of the app is too high.
  • Customers are expressing interest in a feature that allows them to browse photos of other plants with the same issue as theirs.

Based on these insights and your BI team’s customer feedback analysis report, your company has decided to lower the monthly subscription fee by 10% and begin work on building the new feature your customers asked for.

Customer feedback analysis and acting on it isn’t some pie-in-the-sky process. It’s something you can do, and your competitors are most likely already doing it.

Customer feedback analysis tools

As we mentioned above, manually conducting customer feedback analysis can be challenging.

The manpower required to go through hundreds or thousands of comments, transcripts, and messages is tremendous, requiring more resources and time than many companies have to spare. 

To help you be more efficient and accurate in your customer feedback analysis, here are some tools worth looking into.

Revuze 

Revuze is a powerful insights tool that uses AI technology in order to automatically collect unstructured customer feedback data from multiple sources, structure it, and organize it into granular, actionable insights. 

Revuze’s machine learning algorithm operates independently to discover relevant topics and trends within the data and analyze sentiment in order to accurately report on customer satisfaction. 

This is a great all-in-one customer feedback analysis solution perfect for implementing a more efficient, scalable customer feedback analysis strategy than what you’d be able to achieve by hand.

Typeform

Typeform is an online survey creator known for being highly intuitive and user-friendly. This tool is great for building and sending out customer satisfaction surveys in order to collect feedback to analyze. 

Power BI

Power BI is Microsoft’s interactive data visualization software that can help you create reports and model the customer feedback data you collect. 

By helping give you a clearer, more visual picture of your data, Power BI can help you better understand it in order to reach valuable insights.

What comes after analyzing customer feedback?

In today’s consumer landscape, it takes more than a great product to win market share. 

The modern consumer seeks an exceptional customer experience from brands that makes them feel seen and understood. 

In order to satisfy customers, win their loyalty, and gain a brand reputation as a company that puts customers first, you need to tune into what customers are saying about you, what they want from you, and what changes they’re asking for. 

Customer feedback analysis is an incredibly powerful process that allows you to keep your finger on your customers’ pulse in order to remain on top of things and continually deliver a delightful experience. 

Best of all? With the right tools, you can automate and optimize these workflows so they can become an integral part of your process without eating up all of your time.

Analyzing your customers’ feedback is a never-ending process. One way to gain insights into the minds of your customers is by conducting focus groups. But to make the most out of them, you’ve got to ask the right questions. Find out more in our blog on the topic

53 Focus Group Questions to Ask for Better Insights

Focus group questions allow discussion to be used as a means of gaining detailed qualitative information. From issues regarding PR to product specifications, nothing brings more information than an in-depth, interactive conversation. Find out below how to ask the right focus group questions to understand the market better.

Focus groups can be highly useful, but too often, you won’t get the information that you need from them. They have disadvantages; whether that’s due to misinterpretations, misunderstandings, or simply recording information the wrong way, you can end up more confused than when you started.

Focus group questions can lead to confusing & conflicting information if not asked in the correct manner.
Focus group questions can lead to confusing & conflicting information if not asked in the correct manner.

The key to great focus groups appears before you’ve even opened your mouth, and that’s writing excellent focus group questions. 

In this piece, we’re going to help you nail this aspect. We’ll talk a bit about focus groups, and discuss use cases, but – more importantly – we’ll provide you with dozens of amazing focus group questions that will help you refine your market research and understand what your customers want and need.

Sometimes, it’s not what you say but how you say it that makes the difference.

What are the four types of focus group questions?

Focus groups function similarly to any conversation or debate you might have. You need to break the ice and introduce the main topics in a way that is easy to understand.

There are four types of focus group questions you can ask, and these should be used no matter the topic that you’re exploring. 

These consist of:

  • An introduction.
  • A prompt. 
  • A discussion.
  • And a way to wrap up the discussion without leaving anything unsaid. 

In that way, focus groups are similar to an essay or article in structure.

Let’s take a look at the four types in more depth and learn why they’re necessary.

Introductory focus group questions

Introductory questions are the foundations upon which your group will form their discussion. 

Essentially, introductory questions set the stage for what is to come next. They’re ideal for ensuring that everyone is on the same page, but more importantly, they allow the group members to relate to one another. 

They should be simple and easy to answer, as it can prove difficult for participants to answer fully and honestly to strangers.

Introductory questions also serve as a means to gauge everyone’s experiences with the topic that you will be discussing. Someone who’s been interacting with you on a monthly basis will have more insight on the topic compared to someone who does so once in a blue moon.

Some examples of introductory questions might be:

“Welcome to our focus group. Today, we’ll be discussing [topic]. Could each of you please share a story about how you’ve interacted with [topic] recently?”

“Hello, and welcome to our focus group. How did everyone find the journey here?”

“We’re [brand], and today we’re leading this focus group. Can you tell me when you last bought something from us?”

In each of the above examples, a context is given, and a simple question is asked. While these might seem irrelevant to the larger discussion, you should always ensure that the results are noted down for context.

Information is power.

Exploratory focus group questions

These are the sparks that will light a fire in your participants.

Exploratory questions are always directly linked to the topic that you intend to gather information on and are designed to provoke discussion among the group. 

These questions should be carefully designed with customer personas in mind so as to steer the conversation in the direction that you desire.

Each exploratory question should be specific enough to determine what your group will discuss but vague enough so that there isn’t a straightforward and easy answer. 

While that might sound paradoxical, remember your aim is to get your participants talking, not simply to get a yes or no answer.

Some exploratory questions that you might ask are:

“Could you give me an example of a bad experience you had with us?”

“If you could choose {this feature} or {that feature} when looking for product features, which would you pick and why?”

“What alternative features do you think we should include with our product?”

Follow-up focus group questions

Follow-up questions happen in the discussion period and are intrinsically linked to exploratory questions. They’ll always come after an exploratory question has been asked and are related to that specific discussion.

Because of this, some analysts might place them within the same category. However, there are distinct differences between the two.

The key difference is their focus. Exploratory questions are vague. They’re designed to provoke a whole host of potential opinions from coming forth. 

Follow-up questions are precisely the opposite. They’re designed to get pinpoint accurate information on how your participants feel, think, and might act. 

Some examples of follow-up questions are:

“You said that you dislike this feature. Why specifically would you say that?”

“You’ve pointed out that there isn’t much flexibility. How would you go about improving that if you were the designer?”

“When you use this item, you said you felt frustrated. Could you tell me a little bit more about what frustrates you about it?”

In each of the above examples, context is taken from the previous discussion and used to form the question. 

It can be very tricky to write follow-up questions in advance since they’re so intrinsically linked to how the discussion evolves. Humans are unpredictable factors, and these discussions don’t always go in a direction that you anticipate.

After all, if you could perfectly predict what people were going to say, what would be the point of a focus group?

The key to forming good follow-up questions is thinking on your feet. It’s not easy, but if you know the topic well, you should have an idea of what information you need and how to aim these questions correctly.

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Exit focus group questions

Exit questions are exactly what they say on the tin, questions designed to end the discussion and wrap up the focus group.

While it might seem easy, there are several factors that you should keep in mind.

  • Not everyone may have gotten to air their opinion fully over the course of the discussion. 
  • Someone may want to mention something tangentially related.
  • Even with hours and hours, you’ll never be able to predict every facet of the topic that someone may want to mention.

Exit questions are designed to solve these issues. Essentially, their purpose is to ensure that you get all of the information you can possibly get out of your focus group.

Let’s take a look at some examples:

“Thank you for your time. Before we wrap up, is there anything that you’d like to mention?”

“Do any of you think there’s something that we missed in our discussion today?”

“If we were to cover other factors involved, which do you think would be most relevant to the discussion we’ve had today?”

Each of these is short and to the point, but also open to interpretation. This way, any information not already given can be obtained with ease.

Are you ready for even more focus group questions?

Focus group questions examples to focus your participants

Describing the four stages of questions in an abstract sense is all well and good, but how do you make it relevant to your topic?

Don’t fret, for we’re here to provide you with some fantastic examples of focus group questions. Each of the following sections will contain several questions on a specific topic, as well as some general advice on how to use them. 

Remember, though, context is key! Be sure to mold the questions to fit your business, your products & services, and your way of doing things.

Focus group questions for new products

❔ “Were we to create an updated version of [product], what features would you like to see added?”

Features are the backbone of most products, and unfortunately, you can’t usually put them all into a single package. This is especially true of physical products but applies to software too.

When asking this question, you gain insight into what features that were left off would be of use to your customers, and by delving deeper with follow-up questions, you can find out why. By using this information, you can make your product better in the next iteration.

❔ “Who or what product do you think would rival any new launch we put out?”

There’s no use in launching a brand-new updated product if your competition surpasses it a week later. Knowing who and what your customers would view as competition lets you know what you have to account for in your marketing and placement strategies.

Remember, customer perception doesn’t always equal reality. You might judge your competition by cold, hard facts, but the general public won’t have access to all your information. It’s entirely possible for an inferior product to beat you out. 

❔ “Would you be interested in beta testing the new version of [product]?”

Not only will the use of this question potentially gain you willing testers that are enthusiastic about your latest releases, but it allows you to see whether your customers are interested in testing products before launch and/or becoming involved in the design process.

Focus group questions for marketing

“How did you first come across us?”

If you know where your marketing strategies are seeing the most engagement, you’ll be able to judge how well they’re doing.

This question is most often used in surveys where you can judge proportions from a high number of responses but is useful in focus groups too. 

The discussion that comes with a focus group can reveal not only where customers first encountered you, but what their thought processes were afterward.

“When you shop online for [product], what sites do you generally use?”

While not directly related to your brand, knowing where your customers would look to find a specific product or service tells you where you should prioritize your efforts.

To use a rather extreme analogy, there’s no use putting up a great big billboard in the middle of New York if your customer base is located in Los Angeles.

“What methods of communication with us do you prefer?”

In the 21st century, there are dozens of different ways in which you can communicate with others.

The problem is, different demographics have preferences for different means, so which do you choose? Well, you ask.

Your customer will generally have qualities in common with each other, and one of those is communication methods. You’re likely to have more than one demographic of customers, so expect different answers here depending on who you ask.

“How often would you prefer for us to communicate with you?”

If you’re anything like the average person, you probably get newsletters & similar email marketing materials that you subscribed to but don’t actually read.

While it’s a harmless nuisance to most email users, what you might not know is that unopened newsletters can actually harm your credibility as an email sender! Oh no!

By matching your customers’ schedules on when they prefer to receive communications from you, you can ensure that they’re more likely to actually open and read them as opposed to simply deleting them, or worse, sending you to the spam folder.

While a focus group is a great start to understanding your customers’ preferences, creating an email preference center where each subscriber can tell you exactly how they want you to communicate with them is a must.

“Would you consider our advertisements intrusive, or say that they know too much? If so, where have you experienced this?”

When dealing with personalization, there’s a fine line between being relevant and coming across as knowing a scary amount of details about you. Computers, which we rely on for advertisement algorithms, aren’t the best at knowing where the line is; bless them.

A key factor in e-commerce is product recommendation, however, you need to balance that against coming across too strongly. Once you’ve identified the areas in which your advertisements put customers off, you can reassess the methods you use in order to lessen further damage.

Customer experience

“How has your opinion of us shifted in the past X amount of months/years? Why would you say that is?”

Customer experience isn’t static, and knowing how opinions are shifting can help you decide whether your CX strategies are working or not.

One thing to keep in mind when asking this question is that time periods and the experiences tied to them are highly contextual, and the specific events happening around that time need to be taken into account.

“Do you use our products more than you did in the past? Or would you say your usage is decreasing?”

Customer interactions are the basis of customer experience. You can’t say you’ve experienced something if all you did was observe it from afar, after all.

This question aims to judge how these customer interactions are progressing and whether or not you need to make changes to your strategies in order to retain customers.

Once again, this question is highly contextual. As the worldwide COVID-19 restrictions come to an end, a disposable mask manufacturer would expect purchases to decrease. This wouldn’t be a CX red flag for them, as the underlying reasons behind the drop aren’t within their control.

“Are there any particularly positive experiences you’ve had with us? What made them stand out?”

When dealing with customers, it’s the standout experiences that affect opinions more than most. 

Let’s say you’ve had a particularly rough day, and the cafe you go to is busy. You don’t expect much, but the person behind the counter notices your bad mood and tries to cheer you up.

You’d remember that more than if they simply gave you your order and waved you away, right?

Standout experiences let you know when your brand went the extra mile and can give you a blueprint as to how to perform brilliant customer service in the future.

“Are there any particularly negative experiences you’ve had with us? What made them stand out?”

On the other hand, there are bad experiences that stand out too.

To use the analogy from above, you’ve had a terrible day, and when you drop by the cafe, your coffee is cold! “That’s it,” you say to yourself. “I’m never coming here again!”

While not exactly a fair and rational judgment, it’s nevertheless the thought process that many of your customers (or ex-customers?) would follow if they had a particularly bad experience with you. 

It’s been proven that negative interactions are far more impactful on a person’s feelings than positive ones, and one bad experience can override dozens prior.

These experiences provide a blueprint of what not to do, essentially, as they’re the events that stuck in the minds of your participants as particularly bad. While it’s unfortunate that they had these experiences in the first place, you can turn them into teaching moments to ensure that they aren’t repeated.

“From your experiences, can you say what you expect when purchasing something from us?”

Experiences create expectations. That’s true whether you’re talking about business or baseball, and the experiences that your customers have with you will shape what they will come to expect from their interactions.

Sometimes these experiences are controllable and influenceable, sometimes not. The key is to identify which parts of said experiences & expectations you can replicate and make a part of your repertoire.

Focus group questions for customer perception

“Would you recommend our brand to others? Why/why not?”

This question lets you get to grips with one of the basic questions of customer perception, whether or not you’re a brand to recommend to others.

While it’s not absolutely essential in business to have customer advocacy, it is a huge boost to your sales ability without you having to spend a penny.

“What made you choose us over the alternatives?”

The root differences between you and your competition reveal a lot about how your brand is perceived. Knowing what you do better than others allows you to maintain an edge, whether that’s an advertisement, product features, or simple availability.

“What would make you choose an alternative over us?”

On the other hand, there are always things that your competition will have the edge in. By identifying these, you can factor them into your product strategy and hopefully overcome any weaknesses it possesses.

“Where would you expect to find our products?”

Are you a part of the eye-level shelf where the premium brands lie or are you on the bottom shelf with the discounts? Are you found solely in specialized stores, or could you be found in a supermarket?

When you know exactly where your customers expect to find you, it can tell you a lot about how they view you.

“When you compare [product] to the previous version, how well do you think we incorporated customer wants & needs?”

This one is applicable to all types of products barring those expected to last a lifetime but is mostly aimed at those with short lifetimes.

Essentially what you’re asking is, “do your customers feel heard?” which has been rated as one of the most essential qualities for a brand to possess.

Focus group questions for competitor research

“If you intend to buy [product], what brand comes to mind besides us?”

When you think of a certain product, there are usually go-to brands that you’ll look for, no?

In most cases, there is more than one brand that fits the bill. Knowing who your customers think of besides you when looking for a certain product allows you to identify your biggest rivals on a practical level.

“Who do you see as our biggest rival? The Xbox to our Playstation, if you will?”

Sometimes you may have a direct competitor, and sometimes not. It’s always useful to see who your customer base sees as an alternative, even if, in practice, they might not purchase from them due to said rivalry.

“Is there any situation where you’d prefer our competitor’s product to ours? Why is that?”

Knowing what your competition is doing is important. Knowing what they’re doing that’s better than what you do is even more so.

Specifics are key here. You should ask your participants to provide information on features, availability, etc., in order to judge these situations and how you might turn them to your advantage.

“What would you recommend we do to become more useful/enjoyable than [competitor]?”

Specifics are good. By narrowing the field to a single competitor, you allow specific strengths of theirs to come to light, ones which you can learn from.

When you delve further into this topic, you can use follow-up questions to find out why these competitors are preferred to you.

“In what areas does [product] succeed where its competitors fail?”

In the world of product design, it’s often more important to be better than the other option than it is to simply be good. By finding out where you stand out, you can ensure that future versions maintain and amplify these qualities to retain customers.

Focus group questions for branding

“When you see our brand, what immediately springs to mind?”

Knowing what gut reactions customers have to your brand is important. These feelings are the root motivations behind every interaction that they will ever have with you. Knowing what customers feel will allow you to shape the way you interact with them in the future.

“How much more would you be willing to pay for our products over an alternative?”

Brand equity is the ability to charge more for products with your logo on them. It’s a form of trust and it shows that customers value your brand highly. 

By asking this question, you’re able to both measure your brand’s value and quantify it with a numerical value (often a percentage).

“What kind of reputation does our brand have when it comes to X?”

Of course, a brand can have a good reputation overall but a bad reputation when it comes to certain practices.

Knowing precisely how you are viewed in certain circles is key to improving your practices, as well as maintaining the ones in which you are held in high regard.

“Can you name a few positive aspects of our brand?”

Another vague question, this one allows you to open the topic to any and all answers, not simply the ones that you anticipated. 

By asking about the positive aspects of your brand, you’re going to know what to continue doing in order to keep customers loyal.

“Can you name a few negative aspects of our brand?”

On the flip side, there are going to be negative aspects, no matter how hard you try to purge them.

By knowing your weaknesses, you can improve upon them. Remember, these are merely the negative aspects in the minds of customers and can be inaccurate!

If that’s the case, you should look to spreading awareness about your practices rather than improving them.

Focus group questions for industry trends

“Have you noticed any new trends in our industry recently?”

While you’re certainly going to want to keep on top of industry trends, there’s always a chance that you’ll miss something or simply not be able to see it because of perspective bias.

Not only can your focus group identify trends that you may have missed, but you’ll also get information on their perspective about what’s going on in the industry and what they expect to change in the coming months.

“What sources do you get your industry news from?”

When you’ve identified where your customers obtain their news, you can look to involve yourself with these sources further. 

Whether that’s interviews, collaborations, etc., becoming more visible to your target audience should be your aim.

“Is there anything in our industry that you think is lacking?”

Industries are made up of businesses, which are made up of people, and people miss things sometimes. 

There’s every chance that customers are looking for something but haven’t been able to find it because it simply doesn’t exist in the industry yet. If you’re the one who asks them about it first, you’re the one who gets a leg up on the competition.

“Are there any individuals or publications that you see as industry experts and would trust their opinion?”

Whatever the industry, there are always those big-name sources or people with lots of letters after their names that are trusted more than anyone else.

Why? Well, mostly it’s because they’re seen as knowing what’s up. They can tell the good stuff from the bad, the value-for-your-money from the ripoffs.

Whether these big names are actually experts, that’s largely irrelevant. The important thing is that your customer base will think they are, so it’s best to either get them on your side or avoid their wrath.

“When you’re keeping up with our industry, what type of content do you prefer to engage with?”

Knowing what type of content your customers engage with is just as important as knowing where they look to obtain it. 

Short-form vs. long-form, essays vs. articles, technical specifications vs. overall statistics, all of these are different forms of content that say and do different things. If you know which of these is preferred, you can keep your industry engagement in those forms so as to appeal to your customer base.

You’ll likely have more than one type of customer, which means you’ll have more than one type of content that is preferred. 

Focus group questions for positive aspects of your products

“When using [product], what are you always satisfied with?”

By using the term “always,” you ensure that you receive the most positive aspects of your product. You can also use this question as a starting point to rank product features and aspects, asking when they are “mostly satisfied” and “usually satisfied.”

“What situation would make you reach for [product], as opposed to an alternative?”

Asking for the motivations behind the purchase will grant you insight into customers’ thought processes. The strengths that are the root causes of their purchase are what you should aim to obtain, whatever those may be. 

“What made you decide to purchase [product]?”

This question allows for any motivation behind the purchase to shine through, even some that you may not expect. Sometimes products have uses that even the creators didn’t think of!

“When you first saw [product], what stood out to you?”

When looking through the eyes of someone unfamiliar with a product, the first things they see will shape their experiences with it. Ensuring that you know which features are the most prominent will allow you to influence that first encounter in a positive way.

“What features of [product] are the most useful to you?

Product purchases are driven by their usefulness. If you know what features are essential, you can ensure that those are preserved and advertised further in the future.

Conducting a focus group vs. a survey

A focus group is a small group of people who are brought in and asked questions about their experiences with your brand. You ask them questions, they answer, and you analyze the results.

So what makes this any different from customer satisfaction surveys or other forms of collecting feedback? Why should I bother bringing a group of people into a room together when I can just as easily send out emails?

The answer to that is simple, and it lies in group dynamics. 

You see, in a focus group, the participants don’t just rattle off answers like a computer. They talk about them with others and can come to conclusions that an individual couldn’t reach alone.

Ever had a feeling that you needed to put into words but never could, only for someone else to describe it perfectly? That’s the type of interaction that can happen in focus groups.

While surveys can give clean, easy-to-analyze answers, they often lack the depth that focus groups can provide. 

If you’re looking to the future and offering “what-if” scenarios, a focus group’s in-depth discussion will give you a much better idea of your customers’ responses to those scenarios than surveys ever could.

There’s also the fact that focus groups usually have a moderator, someone who represents the company and will be actively involved in the group.

They’ll ask the questions, set the stage, and keep things on track. You can think of them as being akin to a courtroom judge, only not as likely to bang on a gavel.

Why are focus groups useful?

So, focus groups can give you in-depth information. But how can they be used? What information can they help you find?

Well, as mentioned before, the key to focus groups is discussion. 

Focus groups are all about diving into the minds of your customers, about understanding what they want, what they need, and what drives them. 

Unique perspectives coming together

Different people will have different perspectives depending on their situations in life. That’s true in any regard, but especially important with respect to focus groups.

You see, different perspectives combined will give you a much clearer picture of the situation you’re in than simply seeing from those angles independently.

Thank you to our friends at CCRC for showing this concept perfectly. Their VIEWPOINTS podcast exemplifies this concept, bringing different perspectives togetherto fully explore topics.

Combined perspectives exemplify the saying “more than the sum of their parts.”

Non-verbal information

There’s a lot of information in what people say, but even more information in how they say it.

Take, for example, sarcasm. It’s hard to detect in writing, and might even cause you to think that a person believes the opposite of what they actually do.

There’s also tone, body language, and a whole host of other indicators that can tell you a lot about how a person feels. Using cameras to capture these provides you with an easily accessible, accurate idea of what’s going on.

The more strongly you feel about something, the more it shows up in how you present your case. You can say that you dislike two individual aspects or features of a product, but if your tone is clearly stronger when speaking about one of those, it’s obvious which one you hate more.

All in all, when done right, focus groups can give you a lot more information than any text-based source of information. 

Interactive questioning

When answering a survey, you’ll often put down the first thing that comes to mind when answering a question.

After all, most people’s aims when completing a survey are to get it done, not to think it over for any great length of time.

The facet that puts focus groups in a different light from other methods is the fact that you can interact and respond to the answers that are given to you. This provides more information, more depth, and a greater understanding of what the person in question is thinking.

Surveys, questionnaires, and ratings are all well and good, but nothing gets to the heart of the matter like a conversation.

Which focus group type should you pick?

It might not come as a surprise that there are multiple types of focus groups. These largely perform the same function but differ slightly in their methods. 

Let’s take a look at the most common types.

Single-focus

The single-focus group is the traditional focus group, where a group of participants actively discuss topics when prompted by a moderator. 

There is no split in the group, no division that sets participants apart from each other, and as such, all participants are treated as equals.

Two-way

In a two-way focus group, you have two separate groups. One discusses the topic, while the other observes the discussion. Following that, the second group conducts their own discussion.

The key to this type of focus group is that seeing the way the first group interacts with the topics can alter the way in which the second group thinks, opening them up to new ideas and perspectives without introducing a direct form of conflict.

Two-way focus groups are useful when you have a split customer base, where two or more demographics might think about your brand or product differently.

Dueling moderators

So, we get the moderators to face off with pistols at dawn, right?!

Hehe, no, that’s not the meaning of the word duel that happens here, but the general gist is the same.

In a dueling moderators focus group, you have two moderators who take specific sides in an issue that’s being investigated in order to prompt discussion of opposing viewpoints.

These types of focus groups are intended to investigate how an opposing viewpoint might affect customers’ opinions. You can think of it as playing devil’s advocate, whereby conflict is purposefully used to gain more in-depth information than you’d otherwise get.

After all, if everyone in the group agrees on a certain topic, you’re unlikely to delve further.

Wrapping Up

In the end, a focus group is about as useful as you make it.

The way you deal with the information that’s given to you by your focus group is just as, if not more important, than what you obtain from it. That’s why having a good brand strategy is crucial to modern business.

Your brand strategy should revolve around your customers – what they want, think, say, and do. Customers are the lifeblood that drives business, and without them, your brand will falter.

Great focus group questions can assist you significantly in creating a customer-centric brand strategy, using the knowledge you’ve gained to become relatable and reliable, and creating a brand identity that truly stands out.

You can find out more about brand strategy and innovation in our guide here.

 

How to Implement E-commerce Personalization and Revolutionize Your Brand

It’s no secret that nowadays, customers expect and demand a more personal touch from companies they do business with. That’s why e-commerce personalization is essential for the success and growth of your business. Whether you’re looking to get started with personalization or to improve its effectiveness, this guide is for you. 

In the age of the “For You Page” and “Based on your previous interaction” messages, a one-size-fits-all approach to e-commerce simply won’t do. Because the modern consumer doesn’t just want personalization – they demand it. 

According to McKinsey, ​​71% of consumers expect companies to deliver personalized interactions, and 76% get frustrated when they don’t get them. That’s why companies that can deliver personalization generate 40% more revenue than those that can’t. 

The bottom line? 

In today’s commercial landscape, personalization is a must for e-commerce companies that want to capture market share and grow their revenue. 

Those who don’t offer personalization will fall behind. 

But those who do will reap the rewards.

This article will offer a complete guide for companies who want to get familiar with personalization and for those that seek to improve it.

We’ll share insights on what it is, why you need it, and how to do it, along with inventive e-commerce personalization examples. 

Let’s dive in. 

What is e-commerce personalization?

E-commerce personalization is the practice of using real-time zero and first-party customer data to display dynamic content specific to the customer. 

A range of user data can be the basis of e-commerce personalization, including their:

  • Demographics. 
  • Browsing history.
  • Past purchases.
  • What device they’re on. 
  • And more. 

In this personalized example, Mother Earth Products uses subscribers’ date of birth to offer discounts on their special day

E-commerce personalization can be delivered across multiple channels, including on a website, in an app, and through emails and text messages. Further, it can be presented to any lead, no matter where they are in the sales funnel.

The truth is that personalized e-commerce is already pretty dominant, and you’ve most likely seen it all over the place, like in:

  • Personalized site layouts.
  • Personalized product recommendations.
  • Personalized messages.
  • Redirects to a geographical site with geo-located offers.
  • Cart abandonment emails.
  • Reminders to re-order a product.
  • Personalized offers.

When done well, a personalized e-commerce experience can feel like magic. 

Each customer is given a VIP treatment customized to their needs, leading them on a journey from brand awareness to product discovery to repeat purchasing.

Seven benefits of personalization in e-commerce 

E-commerce personalization offers many crucial benefits to both customers and businesses. It’s an incredibly effective tool that it has become an absolute must-have for any company.

Let’s review what it can do for you and your shoppers.

Sales and conversions

First and foremost, e-commerce personalization can help you generate more sales than ever. 

A whopping 88% of online shoppers are more likely to continue shopping on an e-commerce website that offers a personalized experience.

This means that personalization is a key tool that can be used to convert visitors into paying customers, with everything from personalized recommendations to special discounts helping to increase conversion rates. 

Indeed, it’s reported that conversion rates increase considerably with the number of personalized page views, with conversion rates doubling from 1.7% to 3.4% when a visitor views three pages of personalized content as opposed to two. 

Customer experience

E-commerce personalization also has the added benefit of improving the e-commerce customer experience

By using data to get a clearer picture of your customers’ needs and pain points, you can better cater to individual customers, meeting their preferences throughout the entire customer journey.

Creating an experience in which customers only see what’s relevant to them, don’t have to re-input their payment information each time they make a purchase, and are notified about relevant promotions they’d want to know about – just to name a few things – all contribute to a more seamless, enhanced customer experience. 

Songkick uses personalization to notify subscribers about relevant events based on preferences and location.

Insights about customers

All of the data and important insights about your customers that you collect for the purpose of e-commerce personalization are valuable far beyond your personalization strategy. 

Remember, customers will be happy to share their data with you if treated with care. Use these data-collection efforts and leverage them into insights that will serve customers – all the way from improving your products to personalized marketing tactics. 

Customer service

That’s not to mention the fact that all of the data you capture can also be used for customer service to resolve issues more quickly and offer better solutions to any problems that might arise.

For instance, you may choose to offer special offers and rewards to VIP customers with a particularly high customer lifetime value, or you can use a customer’s location data to give them more accurate shipping time estimates. 

The latter can help avoid the issue that 42% of online customers face, where a product takes longer to be delivered than what was promised at the time of purchase. 

Brand loyalty

By giving your customers the kind of tailored experience they want and showing them that you know who they are and what they need, you’re able to capture their loyalty. 

If you can provide a more personalized, seamless customer experience, you can expect your customers to stick with you and continue choosing you over the competition, boosting brand equity

Customer retention

That improved customer experience and increased loyalty that personalization can help you achieve? It also does wonders for customer retention. 

And holding onto your customers is incredibly important as it costs between six to seven times more to get a new customer as opposed to keeping the customers you already have.

Competitive advantage & market share

As we mentioned above, customers don’t just expect personalization anymore; they demand it.

By successfully implementing e-commerce personalization, you’ll be able to deliver the experience your customers are looking for, allowing you to keep up with the modern digital landscape. 

To put it frankly, e-commerce personalization is essential to maintaining relevance and market share in today’s climate. 

Brands that don’t deliver will be left behind and passed over in favor of competitors that do. 

How to implement e-commerce personalization

Okay, we’ve made our point. E-commerce personalization is the new frontier, an undeniable necessity. The next step is implementing it, and to do so successfully, you’ll need to follow these steps.

Set your goals

As a starting point, begin by defining what you want to achieve with your e-commerce personalization efforts. 

Not only will this help guide you when you’re making choices about which tools and strategies to use, but it will also help you assess the success of your efforts later on. 

Some potential goals include:

  • Boosting conversions by 0.5%, with the average e-commerce conversion rate being 3.65%
  • Achieving an 80% customer satisfaction rating, with the average customer satisfaction rate in the retail sector being 77% in 2021
  • Increasing customer retention by 5%, with the average repeat customer rate for e-commerce being 28.2%

Map the customer journey

Next, you’ll need to decide which parts of the user experience you want to personalize. 

In order to do so, you’ll need to understand what your users’ journeys look like. From first learning about your brand to making a purchase and leaving a review, what interactions do your customers have? 

Make a map of all of the channels and touchpoints. 

Here is an example of a customer journey map template (well, a table) from Venngage that you can use to get started.

With that in hand, you’ll be able to decide where to implement elements of personalization throughout the customer journey. 

Ask yourself: which moments would benefit from a more contextual experience? 

For example, perhaps you have a high bounce rate from your front page. This might motivate you to try to add more personalization to the homepage of your website to create a customized experience right from the beginning.

Further, maybe you see that customers are generally unhappy with the payment experience leading to a high cart abandonment rate. 

This can indicate that you may need to add an element or personalization to the payment stage of the customer journey. Alternatively, maybe other actions are needed, like reducing form friction or adding trust badges.

Decide what to personalize

Now, you should be ready to decide which personalization methods you want to start with. As we mentioned above, there are a large variety of options for you here. Some popular personalized elements include:

  • Product recommendations – Use a user’s purchase history, location, and demographic information to deliver them recommendations for products they’re likely to be interested in. These can be delivered through email or on various pages on your website.

While proceeding to checkout, Uniqlo offers shoppers various products they might like based on their current purchase.

  • Targeted offers – From first-time purchase discounts to deals on items abandoned in a cart, targeted offers are a highly effective way to get customers to make a purchase. This example from Golden Village displays a Women’s Day promotion exclusively for female users, making this important day even more special.

  • Continuous shopping for return customers – Help a customer pick up right where they left off by displaying items they were previously looking at. In this Shopify example, you can see how continuous shopping would appear through its platform.

  • Dynamic pricing21% of e-commerce businesses use this strategy to adjust prices based on a buyer profile, demographic information, purchase history, and browsing history.
  • Personalized retargeting – Create a more specific retargeting campaign by reminding users of the exact products they were looking at. This Madewell Facebook ad presents shoppers with previously seen products.

Collect data

E-commerce personalization is built on your ability to capture key information about your website visitors. You’ll need to track data points such as:

  • Pages viewed.
  • Time on site.
  • Items favorited.
  • Items added to cart.
  • The last page viewed before leaving the website.
  • Email open rate.
  • Email click-through rate.
  • Past purchases.
  • Average order value.
  • The time interval between purchases.
  • Customer lifetime value.
  • Prior email or social media interactions.
  • Bounce rates.
  • Customer retention rates.
  • Abandoned cart rates.
  • Customer acquisition costs.
  • Sales conversion rate.
  • Net promoter score.
  • Time on site.
  • Transaction path length.

For each personalization method you’ve chosen to implement, think about the data you’ll have to capture and how you might be able to access that data. This can be via a CRM, website analytics, data captured during purchases, etc. 

A note on privacy

While on the topic of data collection, it’s important to broach the topic of the ethics that come with it. 

Although 65% of consumers are willing to share their data to enable a personalized experience, some have gotten increasingly savvy about and even wary of having companies collect, store, and use their data. 

For customers that want to keep data for themselves, there’s a solution. They can simply opt out. 

The General Data Protection Regulation (GDPR) and the California Consumer Privacy Act (CCPA) require websites to get users’ consent to have their data tracked. 

That’s what that “cookies” pop-up that you see on any new website you visit is all about. Asking for permission to gather data. 

Not only is complying with these data privacy laws required, but it also helps you build trust with your customers. Those who opt into personalization know that they are willingly volunteering their personal data so you can give them an optimized experience. 

Five e-commerce personalization tools that will drive your growth

Successful e-commerce personalization requires the use of a variety of tools to help with data collection and analysis, as well as personalization campaign implementation. 

Most major e-commerce platforms like Shopify actually offer a relatively robust suite of personalization options for you to play around with.

But there are other options out there for e-commerce personalization software. In fact, there are so many that it can be tough to know what tool to start with. 

When on the lookout for such a tool, keep an eye out for ones that have:

  • Customer segmentation.
  • Multi-channel support.
  • A/B testing.
  • A modern AI engine.
  • Compatibility with the e-commerce platform and any other tools you are using.
  • A strong customer success team to help you make the most out of the product.

Ultimately, like with any other tool, trying out a few demos is a good place to start to help you choose the software that best fits your business and its needs. 

To help you get started, here are a few popular tools you should know about. 

Insider

Insider is an easy-to-use e-commerce personalization platform that connects customer data across multiple channels, uses AI to predict future customer behavior, and creates personalized experiences. Insider can be used across multiple channels, including web, app, email, SMS, and more.

Bloomreach

Bloomreach offers a “Commerce Experience Cloud” with a number of tools powered by a customer data engine, including a content platform, AI-driven search and merchandising, a customer data platform, and marketing automation solutions.

Clerk.io

Clerk.io uses an e-commerce-specific AI technology called ClerkCore to help businesses personalize product recommendations, implement a behavior-based search engine, and integrate email marketing. It also integrates with all of the most popular e-commerce platforms.

Yieldify

Yieldify is another popular end-to-end personalization platform helping businesses deliver personalized experiences to customers no matter where they are in the funnel. They offer a variety of tools, including lead capture forms, social proof campaigns, personalized upsell experiences, and more. 

OptiMonk

OptiMonk is a personalization tool with advanced targeting features leveraging pop-ups to do everything from personalized product recommendations and special offers to stop cart abandonment while boosting upselling and cross-selling.

Revuze

Revuze is not a traditional e-commerce personalization platform, and we don’t claim to be one. That said, the insights you get from the Revuze dashboard will help you better understand what your customers want and need. This, in turn, will help with the development of future personalized products that align with customers’ expectations.

E-commerce personalization examples 

To help you understand what e-commerce personalization can look like in practice, let’s review a few examples of companies successfully using it to create a superior customer experience.

Special offers 

By tracking data and identifying which customers are visiting your website for the first time, you’re able to offer a special discount to first-time visitors, like recipe box company Gousto is doing for first-time visitors.

You can also create special offers on the basis of other useful information. For example, the sporting brand JD targets students with a unique promotion. 

Personalized product recommendations

Perhaps one of the most popular and effective applications of e-commerce personalization is to deliver personalized product recommendations. 

For example, you might offer personalized product recommendations on the basis of demographic information such as age or gender. Or you can personalize on the basis of customers’ prior interactions, showing them products similar to those they have looked at or put in their cart in the past.

Here, Zappos displays personalized shoe recommendations based on items the customer was previously looking at or searching for. By showing other shoes in similar styles, Zappos increases the likelihood of finding a shoe the customer fancies, increasing conversions.

In this email, Uber Eats sends a personalized product recommendation based on food orders the user has made in the past. Can’t blame them for loving their curries.

Suggesting complementary products

Knowing what products your users search and purchase can help you upsell and cross-sell by displaying other products that are similar or could help them “complete the look.” 

A shoulder bag will definitely go nicely with these jeans. Job well done by Farfetch.

Amazon is the master of upselling, as can be seen in the following example. The e-commerce giant shows other items that a person might want to buy along with the iPhone case they are looking at, namely two different types of screen protectors.

Geo-targeted offers and product recommendations

A user’s location is a powerful piece of data that can enable you to provide personalized offers and recommendations that are especially relevant to them. For example, you can show users items that are currently trendy in the state or country they live in. 

Or maybe you use somebody’s location to make sure that you are displaying the correct items for the correct season. 

While you may be featuring coats and scarves on your front page in December, this wouldn’t be relevant to people in the southern hemisphere. Using geographical data, you can personalize your website, so shoppers can browse summer hats and bathing suits instead. 

In the following example, Lesportsac displays more graphic, bolder designs for customers located in Hong Kong, where data analysis revealed that those types of styles are more popular. 

Continuous shopping

Similarly to how you’d leave a bookmark in a book to help you know where to pick up from when you continue reading, you can make a sale even more seamless by showing shoppers the items they were looking at before.

Here, Amazon once again provides a great e-commerce personalization example, this time for continuous shopping recommendations. 

Electric brushes are all the rage for this hygiene-savvy customer.

Cart abandonment emails

Win back users who you may have otherwise lost by sending emails to people who put an item in a cart and then exited your website. Remind them of the item they’re almost missing out on and/or offer a special discount to make the deal even sweeter.

Here, Crocus informs the user that the planter they were looking at before is still available and saved in their cart for purchase. This way, all the customer has to do to complete the purchase is to click the “go to checkout” button.

In this email, TodayTix reaches out to the customer, reminding them to grab the tickets for Mary Poppins they left in their cart, making it easy to complete their purchase. 

E-commerce personalization trends 

While it may be more popular now than ever, e-commerce personalization has proven to be more than just a temporary fad. It’s a new standard for e-commerce companies, helping to deliver an improved customer experience while boosting sales. 

Within the practice, however, there are plenty of trends that can come and go as companies discover new and interesting applications of the data they are collecting. Below, we outline some of the most popular trends in e-commerce personalization today.

Headless personalization

The term “headless personalization” refers to the practice of personalizing content without using a traditional web CMS. Instead, companies can work with a headless API to separate their front-end and back-end systems so that the customer data collected in the back end can be used to personalize the user experience on the front end. 

Essentially, headless personalization allows you to customize each individual user’s content without having to change the design of the entire website. This flexibility is highly useful, if not necessary, for creating the kind of personalized experience today’s customers expect. 

Omnichannel e-commerce personalization

The average person spends almost seven hours a day looking at a screen, including phones, tablets, computers, and more. 

Between websites, apps, all of the social media platforms, emails, texts, and chatbots, customers have no shortage of channels through which to shop and interact with a business. What’s more, 90% of customers expect their interactions across all of these channels to be consistent. 

This is why personalizing only one channel, like your web store, isn’t sufficient. 

An omnichannel approach to e-commerce personalization aims to create a personalized experience across all channels including online, in-store, mobile, and more. 

This is the only way to deliver the personalized experience your customers expect.

Privacy-first and anonymous personalization

With the GDPR making it illegal to use users’ information without their permission, privacy has emerged as a major concern for customers, with a whopping 96% of users choosing to opt-out of allowing apps to track their data in iOS 14.5. This has led to the rise of two important trends in e-commerce personalization.

Privacy-first personalization focuses on collecting only the data that is absolutely necessary to provide an improved, personalized customer experience. It aims to protect customers’ security and win their trust through a genuine interest in respecting each user’s privacy.

Anonymous personalization is the practice of personalizing the e-commerce experience without requiring a user to create an account or log in first. This is especially useful for first-time visitors as well as visitors who opt out of having their cookies tracked, allowing you to create a personalized experience with less data.

Dynamic pricing

While price personalization is still not one of the most common applications of e-commerce personalization, it is rising in popularity as 17% of companies who were not already using it reported plans to implement dynamic pricing in 2021. 

The practice of personalizing prices on the basis of purchase history, browsing behavior, and other data points has the potential for a major boost to revenue. 

But while no customers will balk at receiving a special discount, dynamic pricing does carry the risk of angering customers who feel like they are being charged more than others. 

Businesses who decide to try it out should tread carefully, but price personalization certainly has a lot of potentials. 

Wrapping up

When it comes to e-commerce, personalization is the way forward. It proves to have a number of major benefits for businesses, among them, increasing sales and maintaining market share and relevancy as digital transformation quickly ushers us into a personalized future. 

Successfully implementing personalization into your e-commerce business requires a lot of research, trial-and-error, strategy, and analyses. 

This means the next natural step after implementing eCommerce personalization is to understand how to put all this data into action. And this is what our product performance analysis guide is here to do.

How Competitive Intelligence Lets You Stay Ahead of Your Rivals

Businesses don’t exist in a bubble. Competitors always try new tactics to gain market share, leaving you behind. That’s why performing competitive intelligence isn’t optional these days but a must. This guide will walk you through the details of competitive intelligence, from basic definitions to actionable strategies explaining how to perform it and gain the upper hand.

 

Imagine, if you will, that you’re a baseball player who’s up to bat.

You’ve no idea what pitch the pitcher is going to throw.

You’ve got no clue where the catchers are planning to move to.

All you can do is make your best guess, right?

Well, not exactly. Each pitcher has their preferred throws, and there’s a good chance they’ll use one that they think you’re weak to. If you prepare for such a pitch, you’re more likely to score a home run ????. 

In a way, the world of business is just like the game of baseball. Being able to predict what’s going to happen next will give you a huge advantage. You’ll be able to see your competitors’ latest moves to try and squeeze you out of the market and counteract them.

That, quite simply, is competitive intelligence. 

What is competitive intelligence?

Competitive intelligence is data collection and analysis by your organization on its competitors. This is done using openly-available sources, such as:

  • Press releases.
  • Patent filings.
  • Whitepapers. 
  • And more, which we’ll cover later on.

Public companies are much easier to gather data on, as they are lawfully required to publish their quarterly earnings. Private companies are a little bit more difficult to examine, but there are methods you can use. Legal ones, that is.

Competitive intelligence vs. industrial spying

When we say competitive intelligence, you might think that you’ll be aiming right for the target and getting ahold of your competitors’ strategies directly. 

This is not actually the case.

You see, competitive intelligence is done legally

Every business has a right to keep its inner workings a secret, especially concerning its information. Stealing that information is highly illegal as it would involve either breach of contract or hacking into their servers.

Information gathered illegally can, of course, be used to make decisions, but that’s not competitive intelligence – it’s industrial espionage, which we strongly discourage.

How do you get competitive intelligence?

Competitive intelligence has many sources.

Which ones you turn to will largely depend on your intentions when performing your research. Nevertheless, all of them can provide valuable data if analyzed correctly.

Blog content

The content that your competitors write about on their blogs is a gold mine of information. Not only does it tell you what type of consumer they’re hoping to attract, but how they’re hoping to attract them.

Just like our blog, you’ll find a variety of topics based around the general market that your rivals are in being written and posted. Some of them might seem to have little relevance, but when you analyze them fully, you’ll find ways in which they link back to your competitors’ game plans.

We wouldn’t be writing about competitive intelligence here at Revuze if our software couldn’t help in that regard, now would we? Our AI can help you obtain competitive intelligence in real-time, so feel free to book a demo if you’d like to learn more.

Social media

Social media often has a news component for businesses, whereby they keep their stakeholders updated with their new and ongoing dealings.

Thanks to this, they’re prime information sources. New product launches, new deals, and customer responses, you can find a lot of data on these platforms.

You might think that a lot of social media information can only be used in reactive responses rather than proactively, and in a sense, you’re both right and wrong. 

You can only respond to each individual piece of information, however, they may reveal a trend that shows your competition’s ongoing strategies.

Take, for instance, the example below from Nestle.

Taken individually, each advertisement gives off a different message. The first one showcases the benefits of plant-based food, the second promotes involving children in your cooking.

When looked at together, they tell a different story. Nestle is promoting healthy eating, presumably because they want to boost sales of their healthy eating product lines. This is a bold new direction for a company known mostly for its chocolate and confectionary sales.

Reviews & feedback

Whenever your rivals launch new products or services, the first thing you should look at is their reviews. 

Not only will they give you insight into what your competition is trying to achieve, but they’ll tell you the audience’s response to it.

There’s no use creating the perfect egg scrambler if your customers want their eggs fried, after all.

Reviews are useful for existing products too, with any changes reflected in the feedback they receive. 

Job boards

While not the most intuitive of places to look, job boards can nevertheless be a valuable source of information.

Imagine for a second that your main rival has suddenly posted a lot of job openings in their R&D department. This is pretty unusual since they typically have a low personnel turnover rate.

So what’s going on? Well, there are several options:

  • They’re looking to expand their R&D department permanently.
  • They’re starting an experimental project which they aren’t sure will succeed.
  • They’re feeling behind on their research and want to hire more staff to catch up.

In the case of the first option, the job listings would be permanent posts. In the case of the other two, they’d likely be temporary. 

The second option might also be listed as “temporary with a possibility of becoming permanent.”

Just like that, simply by keeping an eye on the job boards, you’ve gained valuable information on what your rival is up to.

Financial statements

As mentioned previously, public companies have to release their financial statements quarterly. With this data in hand, you can see:

  • Where they’re earning the most money, in essence, what areas they rely on.
  • Where they’re earning more money than last quarter, therefore growing their operations.
  • Where they’re investing their money, what they’re buying, and what they’re not.
  • Which strategies of theirs are working, and which aren’t.

Press releases

Business news is absolutely full of valuable information. There will be announcements about new products, new hires, expansion moves, and more.

Some businesses even have a News section on their websites or apps, which coalesces all this information in one place.

Local information

If you’re part of an industry that has brick-and-mortar stores, you can look at the local information surrounding said stores in order to gather information.

What times do your competitors open and close? What area of the town or city are they located in? Do they have a decent amount of floor space dedicated to customers? Do they keep their stock on hand in a back room or a nearby warehouse?

All these little details can tell you what might and might not work in your own stores. Of course, copying your rivals exactly isn’t ideal as they might be constrained by circumstances and not able to operate as they would ideally, but it’s a start.

Legal papers

You can look at legal papers filed by your competitors as they are typically publicly viewable. 

For instance, a planning permission request for a large industrial building would indicate that your competitor plans to build a new manufacturing plant or similar establishment.

This tells you that your competitor is trying to expand their manufacturing processes, and if it’s in a new location, you can assume that they’re trying to expand into a new market.

Another great source of information is patent filings. These will tell you not only what your competition is doing but what they plan to make legally exclusive. 

It’s sometimes said that there’s not an original thought under the sun that someone hasn’t already had at one point. That’s true in R&D as well. 

You might have to end up abandoning your projects or adjusting them not to break copyright law if your competitors patent what you’ve been working on.

Industry conferences

Conferences are similar to news reports, except more detailed. They’re designed to showcase all of the best aspects of a business to others within their industry, whether that’s to attract new customers or collect new talent.

Conferences are often the most detailed sources of information on this list, and that’s for one simple reason. You can actually talk to participants and get their opinions and perspectives.

All news, legal papers, and social network content are heavily moderated by those who release the information. When talking to someone face to face, you can often get far more information.

The downside is the unorganized nature of gathering data at conferences. You also have to factor in the ability to get to the conference, accommodation, etc. 

So are conferences worth it to attend? It’s up to you, but we’d say definitely. The rise of virtual conferences is also making attendance easier, so keep an eye out for these opportunities.

What are the goals of competitive intelligence?

So, you might be thinking, why use competitive intelligence? 

If it’s all indirect information, is it really going to give me an accurate picture of what my competition is up to?

Competitive intelligence is akin to following footprints in the sand. You might not be there to see the person walk it, but you can see which direction they’re going in, and when they shift or double back on themselves.

You can infer a great deal from indirect information. If you want an example from history, look no further than when Kodak accidentally discovered the Manhattan Project, simply by noticing that they were getting reports of radioactively-contaminated film in the area around the test site.

Anticipating your competitor’s moves

“Know thy enemy, and know thyself,” said Sun Tzu in the Art of War.

While not quite a battle between armies, business is no less competitive. If you know your rivals’ moves before they begin, you will be able to counter them with great effect.

Let’s say that both you and your competitor are in the e-commerce business. 

You know from experience that your competitor has put on a Black Friday sale every year, thus you can anticipate that they’ll do the same this year and develop a strategy that accounts for this.

There’s also the option to take a look at their past sales, as well as current hot items, which will give you a clue as to which products they might put on sale this year. If you know which categories they plan to target, you can sidestep or counteract them.

All in all, the best way to counter an opponent’s strategy is to never let it get off the ground in the first place.

Driving your innovation

You always need innovation in order to keep your business fresh and on top of things. This goes doubly so for those dealing with the ecommerce market, where trends and habits change faster than anywhere else.

Competitive intelligence can uncover what it is that your competition has, but more importantly, it can also reveal what they lack and what consumers are after. No one can cover all bases, after all, and by keeping an eye on new opportunities, you can really get ahead in the game.

Keeping track of market conditions

Markets change, and you need to change with them in order to survive.

One of the greatest examples of decision-making in business is Netflix, which in 2007 launched a streaming service alongside its video rental one. This proved a huge hit and allowed Netflix to become the giant that it is today.

Netflix saw which way the wind was blowing as music consumers turned more and more to digital media and decided to follow it. It allowed them to survive a major upheaval in the industry, which many, including Blockbuster, did not. 

Netflix’s changes showcase a great example of strategic intelligence in action. Video rental was still popular back in 2007, after all, and they could simply have stuck to it. 

Instead, they took account of trends that showed a shift towards online streaming and were able to adapt and weather the storm. 

Blockbuster, on the other hand, continued to have faith in their traditional methods and failed to take into account the long-term implications. There’s only one Blockbuster left in the US now, and for a good reason.

Growing your brand to customer expectations

Times change, and so do people. Nobody would say that applying the same business tactics that worked in the 1950s is appropriate in today’s world, but few realize just how fast expectations can change in the age of the internet.

This is something that e-commerce-based businesses especially need to be aware of, what with the internet being an ever-evolving pace. 

Payment options, fonts and colors, images – especially if you try to use internet humor to sell your brand – links and plugins, all these can have a massive effect on your ability to sell. 

If you use unusual plugins, for instance, you’ll turn off most customers who won’t want to install one to use your store. 

If you’re given the option between two sites, one of which requires you to download extra features to use while the other is free of such inconveniences, which would you choose to use?

Links can also break or be archived over time, meaning what worked perfectly one day won’t the next. Relying on other websites to grant information is a tricky business.

If a certain brand that you’re displaying prominently has bad press, you may want to decrease its visibility on your store lest you get a bad reputation by association. Conversely, you can increase the visibility of other brands that have a surge in popularity.

Competitive intelligence will help here, telling you what customers expect from you and what you need to do in order to meet those expectations. 

A good example of growth meeting customer expectations is Amazon’s adoption of Venmo as a payment option, allowing those who don’t want to use their bank accounts directly a more secure way to pay.

Credit and debit card fraud has been on the rise over the past few years, making more and more consumers wary of using their cards online. 

When using Venmo, your bank information is never directly given to the vendor, meaning that phishing attacks or breaches in Amazon’s security are unlikely to put consumer data at risk.

The COVID-19 pandemic showed just how fast brands needed to be able to change to survive, with plenty of businesses not making it through 2020 intact. 

While not exactly a typical event where markets are concerned, it does nevertheless highlight how much circumstances can change in short periods of time.

Knowing your position within the market

Another great example of where competitive intelligence can help you is in finding your market position. 

You see, it isn’t always obvious from sales figures and other such indirect data exactly where you stand nor how you are perceived by the consumer base.

Data sources such as reviews, ratings, etc., can give you an insight into the consumers’ minds and how they perceive your brand, letting you assess your standing. 

Are you seen as a first-pick, top-rate seller? Are you just a reliable alternative when the usual options aren’t available? Or are you seen as someone niche who fulfills specific demands that only a few consumers would have?

By using this information and comparing it to your strategies, you can see if you’ve achieved your targeted market position. If you have, great! If not, you’ll gain insight into why this is the case and how you might resolve that in the future. 

Remember, Spotify was able to alter its position from merely a simple music player to a content creation platform in just a few years, proving that anything is possible if you have the right intelligence.

Staying ahead of your rivals

Let’s go back to the baseball metaphor. Your biggest rival has started upping their game by purchasing new players specifically to beat you. 

You can’t stop them from doing this as the people selling the players aren’t going to stop just because you ask nicely. So, what can you do?

Well, there are several ways in which you can undermine them, all above board.

For starters, you can either coach your team in strategies that counteract theirs, or you can hire new players yourself to counteract their changes. 

If one pitcher they obtain is known for their difficult-to-hit fastballs, you can hire a hitter who’s known for being able to knock them out of the park.

Secondly, you can put in bids yourself. 

Not only can you stop your rival from obtaining certain players that way, but by entering into bidding wars with them, you can potentially limit the number of players they can buy. 

An organization only has so much money to throw around, after all.

Following on from that, if you take a look at their team and the players they’re placing bids on, you might be able to see dazzling combinations that would work very well together and disrupt them. 

For instance, if you split up a pitcher-catcher combination that is known for doing great together, you can disrupt their seamless play by having their players have to adjust to each other.

In short, just because your competition plans for something to happen doesn’t mean that they will be able to pull it off.

Helping decision making

Finally, we get to the main point that underlies most use of competitive intelligence, that it helps you decide what to do next.

All of the previous examples we’ve mentioned today allow you to make better choices, ultimately helping you make data-driven decisions that will elevate you in the market. 

The more information you have, the better a decision you will be able to make.

If the British had known that Washington planned to cross the Delaware, they wouldn’t have simply let him slip through their fingers. 

Knowledge is power and some would say knowing your competitors is a superpower.

Types of competitive intelligence

Now that we’ve mentioned why you want to use competitive intelligence, it’s time to take a look at what it is in more depth. 

We’ll start by defining the two types, strategic and tactical.

Strategic intelligence

Strategic intelligence is all about long-term thinking. It’s information that could affect the business’ direction over long periods of time. 

This type of intelligence isn’t something that you need to worry about right away. However, you shouldn’t let yourself be lulled into a false sense of security.

Some examples of strategic intelligence include how consumers use the internet, for instance, which social media sites they use, which plugins are considered essential, and which browsers are in favor. 

Tactical intelligence

Tactical intelligence deals with things that alter your plans in the short term.

This type of intelligence demands an immediate response if you’re going to act on it, and in some cases, you may have to act without having the complete picture. 

That said, you shouldn’t let that stop you from making a decision. 

In business, it’s often best to make a decision with the information that you currently have rather than miss the opportunity.

Examples of tactical intelligence include new product launches by competitors, new government regulations being introduced, new stores being opened in your area, and disrupted supply chains due to road accidents.

How do you perform competitive intelligence analysis?

If you’ve read this far, you’re probably convinced that competitive intelligence is the right type of analysis for you. 

So, how do you go about performing it? We’ve laid out the seven crucial steps below that will assist you in undertaking your analysis.

Decide what you want to achieve

The first step, as with many a project, is to determine what exactly it is that you want to achieve with this analysis.

Do you want to know your position within the market? Perhaps you’d like more information on what your rivals are up to? Or maybe you’d like to scour the market for a gap that you can fill?

Your aims will determine everything, from your information sources to your analysis methods. If you don’t make a firm decision here, you’ll be floundering about during the entire process.

Remember, your business will likely have several different markets that it stretches into. By segmenting your analysis into different sections for each market, you’ll be able to collect data that’s relevant to each without muddying the waters.

The narrower your field, the more precise your information will be.

Identify your competitors

Once you know what you aim to achieve, you can then identify your competitors. These are those businesses who are:

  • Within your market.
  • Selling similar products.
  • Aiming to appeal to the same audience.
  • Able to take away your customers.

This is a fairly straightforward step in most cases since you can simply look at who is selling similar products or services to you. The more similar these are, the more they are a direct competitor.

Determine the data you need to collect

Now that you know what information you want to find, and who you want to find it on, it’s time to determine what data will showcase that information.

Are you looking for information on new products that your rivals are launching? Look to reviews, your rivals’ websites, and unboxing videos.

Do you want to know what your competition is up to with their advertising? You need to look at their campaigns and observe the trends.

You can be more specific too, splitting advertisement into online and offline, email and social media, etc. Remember, the more segmented the data, the more precisely you can guess your opponents’ moves.

Find your data sources

Once you’ve determined the data you want to collect, you can pick your data sources. 

Products? Find their reviews, look at their product showcases, and check out the product’s sentiment via sentiment analysis

You can even go so far as to buy one of their products for more direct comparison and testing, and maybe find a way to get an edge that way.

Pricing strategies? Take a look at price trends offered by Amazon, at past offers and pamphlets, and compare them to your own.

SEO tools such as Semrush and Ahrefs will give you detailed information on a variety of topics, as they’ll easily be able to show you which keywords your competitors are aiming to rank strongly in. 

If you know where they’re trying to appear in Google searches, you’ll know what kind of customers they’re aiming to attract.

Analyze your data

Next up is data analysis. There are plenty of methods to choose from, some involving software and some involving doing the number crunching yourself. 

Some examples include but aren’t limited to:

  • Porter’s Five Forces.
  • Driving Forces Analysis.
  • Product Life Cycles.
  • Porters Four Corners.
  • SWOT Analysis.

Remember, while computers might be all the rage, they’re a little lacking when it comes to the emotional side of things. 

Sometimes you can simply look at the information you’re presented with and come to a better conclusion than a computer could ever reach.

Convert your analysis into plans of action

Now that you’ve gained your information, it’s time to convert it into plans of action. Or rather, factor it into your existing plans to make them better.

To take the previous baseball metaphor, you need to adjust your stance once you’ve deduced what pitch you’re about to face. In the case of business, however, the pitch is anything that can alter the ideal outcome of your plans.

The direction that you take is extremely dependent on your situation, so for the most part it’s up to you. Your intuition and experience can be excellent tools here, allowing you to see solutions that wouldn’t ordinarily be obvious.

Repeat, repeat, repeat

Competitive intelligence isn’t just a one-and-done type of deal. Your strategies change, so why shouldn’t your competitors do the same? 

Competitive intelligence should be a regular habit that you indulge in, not a one-off project. 

After all, markets are volatile, consumer expectations change, and you need to be aware of all of this if you want to get ahead in the game.

When should you perform competitive intelligence analysis?

As we’ve previously mentioned, competitive intelligence analysis is something that’s ideally done whenever possible. 

However, there are a few specific times in your business’s life cycle that you definitely need to be performing it.

Let’s take a look at some of the best points in time when you can be undertaking this.

When you’re starting out

Analyzing your competition should be one of the first things you do when you’re planning to start a business. Knowing who you’re up against, what they do, and how they do it is crucial to staying competitive.

Understanding the industry you’re in will tell you a great deal about how you should operate. 

Is the market saturated with brands that seem indistinguishable? You’ll need to stand out by having a feature that’s unique. 

Shopify, for instance, saw the world of ecommerce and decided to create a platform for small businesses to create their own customized online stores easily, rather than having to rely on pre-existing platforms that would limit their design abilities.

Your investors will want to know about the surrounding market too since it gives them an insight into how well you’re likely to perform and how risky an investment you are. 

Very few businesses can get off the ground without funding, so this is a top priority.

When you’re developing & launching a new product

William Henry Perkin isn’t likely a name that you know, since he lived in the 1800s. In short, he’s best known for creating the first cheap purple dye, which until those times had been limited to the extremely rich due to the cost of its production.

He also created a red dye in 1869. However, another company beat him to the punch in patenting it by just a single day! 

This showcases why you need to perform competitive intelligence both when developing and launching a new product – your rivals might be thinking along similar lines and get their product out before yours, at which point you may have to abandon the entire project due to patenting.

When you’re considering a change in market strategy

Change comes to us all, whether we like it or not. A crucial part of planning for change is analyzing the current market in order to assess whether or not your planned changes will be effective.

One of the most important parts of this is analyzing your competitors in order to make sure they’re not planning the same as you. 

After all, it’s no good to plan a pivot that makes you stand out only for your competition to take the same direction. 

When you’re seeing a drop in physical business activity

When business stagnates, there isn’t always an obvious reason why meaning you need to look deeper to find the source of your problems.

Of course, foot traffic and physical sales can decrease for reasons other than your competition, but by analyzing them, you can see whether they are stealing your customers or if there’s a bigger problem that you all are facing.

Are you all seeing a drop in foot traffic, but only within a specific area of your city? It’s probably a transportation issue that prevents customers from being able to reach you easily.

Maybe some of your competitors are seeing a boom, whereas others are seeing a bust also. There will be some correlating reasons as to why specific businesses are more attractive right now compared to others, and you will be able to find them.

Maybe everyone sees a drop in business activity. This points to a drop in consumer confidence, indicating that you should be prepared for them to spend less and spend only on products they really desire.

All this information adds up to an edge that lets you see where consumers are engaging with businesses and, more importantly, why. This enables you to adjust your approach and meet their expectations.

When you’re seeing a drop in online traffic

Getting hits on your website is crucial to ecommerce, and a big part of this is search engine optimization to account for organic searches, which are making up a larger and larger share of online traffic. 

In essence, hitting the right keywords within your website and meta information makes sure that you’re at the top of the list when it comes to Google searches in your particular field.

The problem with this is two-fold. 

First, the inner workings of search engine rankings are secret and will naturally change over time. 

Secondly, the searches that consumers perform will change over time as their needs and wants evolve.

Both of these factors add up to one single outcome – you need to keep on top of your optimization to stand out. 

If you see a drop in traffic, you likely need to redo your metadata to upstage your competition.

Hitting a home run with competitive intelligence

With this complete guide on competitive intelligence, you should be able to get the edge your need over competitors.

You’ll understand what competitors are after, their plans, and indirectly – what customers want.

The journey doesn’t end here, though. Once you have customers’ attention, you need to provide them with a show they won’t forget. Check out our ecommerce customer experience guide to get up to speed on the topic.

How Convergence Marketing Empowers Your Brand and Customers

Today’s world is all about data, and bringing your data together is the heart of convergence marketing. When every department can access it, your customers stand to win through personalized and improved experiences. Let’s dive in to understand how convergence marketing benefits everyone and how to apply it successfully.

 

Traditionally, a business’s marketing, communications, and IT divisions are kept separate. These sections run independently of one another, interacting only when necessary. 

This allows businesses to operate smoothly without having the burden of double and triple-check everything.

Customer reviews

It’s a good approach, born from times when most management strategies were being developed. Times when keeping everyone up to speed meant sending paperwork back and forth between departments. It’s a lot of hassle, and efficiency dictated people should know only what’s needed for them to perform their jobs.

But we live in different times.

In today’s world, with technology allowing for instant communication and data sharing, this approach might seem outdated. Siloing your departments might be what’s always been done, but that doesn’t mean it’s the only way to go. That’s where a new approach comes in, called convergence marketing.

Keep reading to discover what potential it holds for your customers and company.

What does convergence marketing mean?

Convergence marketing is more of a philosophy than a strict step-by-step approach. In essence, it’s the art of merging your marketing, information, and design divisions in order to allow a unified message across all forms of marketing media you use.

The main idea of this approach is to place the customer at the center of all forms of communication, seeking to ensure that all messages they receive present a single, unified front. 

This reduces the number of mixed messages the customer receives, allowing for greater brand recognition and trust to flourish.

Convergence marketing generally applies the most to digital or digital-supported forms of marketing. That’s because digital information can flow freely and seamlessly, as it’s retrieved from a database within milliseconds. 

As such, attempting to converge marketing strategies that are mostly offline will be very difficult.

Convergence marketing vs. integrated marketing

A similar yet different term is integrated marketing. 

Integrated marketing is all about coordinating marketing messages across different communication channels to increase brand awareness.

While this might seem identical to convergence marketing, this approach only considers the marketing department, ignoring all other aspects of the brand that might serve as touchpoints for customer communication. 

It shares the same idea as convergence marketing but applies it on a smaller, more isolated scale. That being said, integrated marketing often happens naturally when you do convergence marketing, as you’ll likely factor in all communication channels.

Convergence marketing vs integrated marketing

What are the advantages of convergence marketing?

Now you may be thinking, this sounds like a lot of work, and that’s because it is. 

Bringing separate departments of a business together is never easy, doubly so if you want them to be able to communicate in real-time. 

If it’s that difficult to employ convergence marketing (which means it’s likely to cost a decent sum of money), why do it? 

The benefits of convergence marketing tend to outweigh the costs if done correctly, as presenting a unified message on all fronts has numerous benefits. Let’s go over the most immediate ones.

Customer empowerment

By putting the customer at the center of your marketing strategy, you’ll be empowering them to act and provide feedback, giving them a voice in future decisions.

Any customer-centric marketing strategy takes in feedback, but where convergence marketing empowers customers is the linking of marketing and communications channels. Each piece of information collected by the communications team will be passed on to the marketing team and vice-versa.

Two way communication

This has the effect of not only increasing the customers’ voice within the organization as a whole, which allows you to tailor your marketing campaigns appropriately but increasing brand recognition overall.

While it might seem as though useful customer data is difficult to get, it’s been proven that two-thirds of consumers will willingly share their data with you if they think it will improve their overall experience. 

They’re also willing to let you use first-party tracking cookies and other means of observing their online behavior if they think they’ll get something out of it.

In other words, convergence marketing is like symbiosis. Each party gives and takes, and both benefit overall.

Improved customer experience

Convergence marketing necessitates a shared database of information to which all sections of the business have access. 

By creating this cross-transfer of information, various departments of your business will have access to all data collected on customers, enabling them to see previously documented interactions, and provide a better overall customer experience.

A Google report showed that up to 85% of digital customer journeys use more than one form of interaction with you. That’s a lot of data that you might miss if you’re relying only on information from one IP address.

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With all available information on a particular customer, you will be able to learn what experiences they’ve had with you in the past, what approaches they respond best to, and even what might cause them to walk away satisfied. 

Remember, engaging your customers is the best way to make sure they walk away happy! 

Integrated communication between departments

Convergence marketing requires departments to collaborate, which means you need to have a robust communications system between them. Integrated communication isn’t so much an unintended benefit as a necessary part of convergence marketing. 

Once the channels of communication are open, they can be used for more than they were designed for. Departments can share ideas and get feedback on them, ask for help from one another, etc. 

Another factor is post-purchase customer service. Almost 60% of consumers would use social media to get this, but without information from the sales team on what’s been purchased, whoever is running the social media won’t be able to do their job.

Collaborations are also an option. With the traditional siloed form of organization, the different departments wouldn’t know about each other’s plans and, therefore, wouldn’t be able to offer assistance or request adjustments.

One of the greatest examples of inter-departmental collaboration in modern times can be found in Apple’s Transparency Report, designed to keep track of both government and private party data requests to Apple.

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Apple’s aim here was to keep their customers reassured that their data was safe and wouldn’t be sold to third parties. 

In order to achieve this massive task, Apple had to keep a record of any and all requests for data, the reason for such, and whether or not the request was granted. 

This quite obviously involved their communications department. The collaboration also involved their legal team, who determined whether or not to release data in the face of law enforcement requests, and their information security team, who decided how to release the data.

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They pulled all information together and released it in the form of their Transparency Report, released annually. In the above table, taken from their 2021 report, you can see that over 70% of private-party data requests were rejected. Apple is practicing what they preach, being open and honest about its responses to data requests when needed.

Apple scored a major PR win with customers who want to keep track of their data and be reassured that Apple would only release it as a last resort. It’s arguably their greatest collaboration and one that perfectly exemplifies convergence marketing.

Instant access to information

Converging your departments necessitates placing information within a shared database. It also means that your data will take a standardized form and that anyone within your organization who has access can use it.

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Imagine you’re a member of the marketing team who’s had an idea about using some of the latest designs in your new marketing campaigns. Without a unified database, you’d have to:

  • Request the designs from the design team.
  • Wait for a member of the design team to read your message.
  • Wait for the design manager to okay sending the designs over.
  • Wait for the design team to actually send the designs over.

Each of the above steps takes time, whereas with a unified database, you can simply hop into the relevant folder and pull the designs out for use. 

Where and how can you apply convergence marketing in your business?

Convergence marketing isn’t something that you can apply overnight. It’s a slow and steady process that brings different sections of your business together, requiring careful preparation. 

The simplest, and altogether the most sensible approach, is to alter each of your departments’ approaches little by little until they’re aligned with each other. 

Once the processes and guidelines that each part of your business uses are similar, you can begin the sync, allowing them to work in harmony.

Let’s go over what each department needs to do to get the convergence ball rolling.

Where and how can you apply convergence marketing in your business

Marketing department

Convergence marketing, as the name suggests, is focused on marketing. It should come as no surprise in that case that the marketing department will be at the center of your efforts to converge.

When implementing convergence marketing, the first step in the process is to begin documenting and recording your marketing efforts within a database. That is, if you have not already done so.

Marketing department

The next step is to take a look at the way you store information, including but not limited to:

  • Acronyms.
  • Filetypes.
  • Naming conventions.
  • Database layouts.
  • Access protocols.

These all need to be standardized into a form that the other departments involved in your efforts will be able to read and understand. 

Once information is standardized it can be read by anyone who knows the syntax used, which should be provided to all other teams involved. Other teams may not necessarily use the same software as the marketing team, so you’ll need to take this into account.

You might be asking yourself, why is data standardization important? Surely anyone who needs to use the data can simply convert it into a form they can read.

The answer is two-fold. 

Firstly, errors can crop up in translation. The data you end up with might not match the data you started out with, and it’s not feasible to manually check every piece that comes your way.

Secondly, your staff is only human. It’s inevitable that someone will forget to convert data, use the wrong conversion methods, etc. 

If you think this is overstating the matter, please remember that NASA lost an entire Mars probe in 1999 thanks to someone forgetting to convert from inches to centimeters. Hopefully, any mistakes that crop up in your departments won’t cost $125 million and involve crashing objects into planets.

While standardized information is vital for all departments involved in the convergence efforts, it’s especially important for the marketing department. 

And since marketing plays an integral part in your efforts, you should consider convergence within the department.

Internal convergence

Converging your marketing efforts can mean many things. Perhaps the most important aspect you should look at is converging your online and offline forms of marketing.

Due to their different philosophies, it’s common for businesses, especially larger ones, to silo these two forms of marketing into different teams so their operations flow smoothly.

Online marketing is a far more advanced approach, crunching big data from each particular consumer and personalizing ads and offerings based on behavior, interests, and more.

Offline marketing, on the other hand, needs to be far more general. It’s not that you can’t make offline forms of marketing more personalized; it’s that the amount of effort that it takes means it’s not always worth it.

In today’s world, attention spans are shorter than ever. It’s estimated that the average human’s attention span is just over 8 seconds, a drop of nearly 5 seconds from the year 2000. This puts the average human’s attention span at less than that of a goldfish!

This drop doesn’t come as a surprise, given how technology has sped up in the past 20+ years. With this information in mind, it’s more important than ever to grab consumers’ attention early on in your interactions. 

That doesn’t mean you should ditch offline marketing efforts. Some can work brilliantly. Take the billboard below as an example.

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It was created as part of a Minnesota anti-smoking campaign. 

It’s a simple design, with only the website link on the billboard itself, but the pole beneath dressed up as a cigarette makes sure that we know the purpose of the advert. 

The green color often associated with hospitals is the final nail in the board, subconsciously reminding the reader why they should consider getting in touch.

In short, the billboard has conveyed:

  • What service is offered.
  • How to best contact them.
  • Why you should do so.

Online marketing can learn a lot from offline forms. Digital designers may be tempted to make elaborate and attention-grabbing content, but paradoxically it’s best to keep things simple even when you have a theoretically unlimited amount of space.

No one wants to keep scrolling forever, after all. It’s estimated that the average website user stays on a webpage for only 50 seconds, and that’s with an engaged audience, so you want them to take in as much information as possible in that time.

This is where the convergence of online and offline marketing comes into play, with the two learning from one another and leaning on each other. In all forms of media, you have to present information in a very efficient way. It’s not enough to simply make a consumer aware of your product. You need to tell them what it is and why it’s the best option for them to purchase. 

The below images taken from IKEA’s website showcase how simple designs can convey a lot of information. 

This image displays a sense of aesthetics that would make the viewer see IKEA positively while not being too complex or distracting from the point.

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The second section, shown below, uses extremely simple outline images to get the point across, displaying all of IKEA’s services in a readable form.

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Simple, easy-to-read marketing.

Communications

Communications refer to the part of your business responsible for communicating with outside parties. That’s anything from customer service helplines to writing emails to your shareholders. 

In small businesses, this department might be merged with another or simply have its responsibilities spread across several other teams. Still, the principle behind convergence marketing extends whether you have a dedicated team or not.

Your communications department greatly benefits from convergence marketing, with the most obvious advantage being access to the other departments’ data.

With access to all the data your marketing department has collected on a particular customer, you’re better able to tailor your approach to them. This can extend to:

  • The channel of communications.
  • The tone used in communications.
  • The complexity of the language used.

You might think that that’s all there is to it, but there are other benefits as well. Not only can the information you get improve your communications department’s operations, but collaboration with your other departments can provide benefits that neither could produce alone.

Take this creative approach from Capital One as an example.

The company was on the ball with their Capital One Cafes, a re-imagined form of banking where their branches doubled as cafes with co-working spaces and workshops.

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Despite the fact that most banking is done online, there is still demand for in-person interaction when dealing with problems. Capital One saw this and decided to use its spaces as a means of connecting with the community better. 

This strategy was the brainchild of combined marketing and communications thinking. Not only is the cafe a great marketing stunt, but it’s also a relaxed setting that consumers can use to communicate with the business without fear.

Going up to a teller screen can be intimidating after all, and many consumers are put off by the formality of the whole process. By removing the physical barrier between the bank workers and the customers, a more welcoming environment is created.

It’s doubtful that either department would have been given the go-ahead without collaboration. Altering your entire business strategy is extremely costly and risky, but with multiple departments backing it, the alterations went ahead.

Management

Finally, let’s talk about the management side of things, specifically the upper management. While there isn’t much to say regarding implementation, it’s easy to see the benefits, especially in terms of decision-making and cohesiveness.

It’s often said that the upper management doesn’t know nearly as much about the goings-on below them as they should. This is mostly due to how difficult it is to pass information and manage it in a centralized and standardized manner. 

CEOs and COOs make the decisions, but how can they make them reliably when they aren’t getting the complete picture?

In the traditional approach, department directors report to their superiors, passing along different strategies, suggestions, and requests at once. Keeping track of all of that can prove difficult even for the most qualified managers.

By converging your marketing, there is a single, unified goal that the business wants to achieve. This means that anyone who makes these decisions can always fall back on that, rather than having to keep track of all the different strategies your business might be going after.

Convergence marketing is all about passing on information in a clear manner. Better information means better decisions, which make for better business strategies, and a more unified organization.

What tools can help enhance convergence marketing?

If you’ve read this far, you’re probably looking to apply convergence marketing to your organization. There are many ways and tools to go about it. So many that you may get overwhelmed at first.

To help make sense of all of this, we’ve prepared a list of the most useful tools and why they’re useful in tackling convergence marketing. 

This isn’t an exhaustive list. It has to be on the general side of things, as each industry and context requires a different approach. So, if you think you have a better option, we encourage you to go for it.

Social media

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Social media is a powerhouse of the current digital marketing age. It’s a tool that can create a lot of data for you to utilize, while also allowing for better interaction between your communications department and your customer base.

Social media communications is a tricky business, with even the most innocuous of comments being able to spark outrage or dissent among your viewers. By looping back real-time information into your marketing department, you will be able to mitigate any crises.

This is where social media monitoring comes in. Social media monitoring software can assist you in keeping track of your online statistics, flagging any urgent or suspicious data, and allowing you to give feedback and responses to questions rapidly.

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The software is fairly new but has already made great strides. Some countries have even used it to monitor the accuracy of news shared on social media sites, with the aim of keeping their population informed when electing their new leaders.

In short, social media can be used as both a form of marketing and a form of communication, sometimes simultaneously. 

The platform you use will depend on your market, target demographics, etc., but all share the advantage of global reach. Their downsides are also similar, with rapid responses and careful monitoring being crucial.

Mailshots

Mailshots, also called direct mail marketing, is the art of using mass production of a single advert to market to large numbers of consumers at once. Typically, the term has been used to refer to letters or leaflets you send through the post, but it is also applicable to email marketing.

The advantage of convergence marketing when using email mailshots is immense. 

You can combine clicks and conversion statistics, along with other forms of data you’ve collected on customers to further personalize communications. Something you wouldn’t see in a siloed system.

And it’s a big deal, as segmentation and personalization are by far the most effective email strategies.

Consider the following scenario – a customer is after a specific brand of eyeliner, so they send an email to a store, asking if they have it in stock.

If your departments are siloed, the marketing department won’t know about this instance, and future newsletters and promotions will be less relevant for that person.

With your marketing and communications departments converged, this information will be communicated between them, allowing for it to be used in future personalized marketing efforts. The customer gets more relevant content, and you get a happier customer. Everybody wins.

To sum it up, mailshots are all about information. The more relevant you can be, the greater their chance of paying off. Keeping the flow of information open between departments means everything can be considered, not just what the marketing department has immediate access to.

Apps

When you create an engaging app for your brand, customers are more likely to use it for browsing, purchasing, and interacting with your company. 

This gives you heaps of data about your customers in a simple and efficient manner. It’s especially true with apps as they’re usually linked to an individual account, leaving less margin for errors.

Another great thing about apps is they can be heavily personalized according to the data you just collected. Whether that’s to do with how the content in your app is laid out or specific times you’d like to use push notifications. There are even capabilities to change the design with AI-generated art, though these processes are still in the early stages.

All in all, apps are a sandbox for you to create your perfect customer contact point.

Cloud software databases

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Market Report

To move information between the different sections of your organization, you will need a database of some kind. In essence, each division needs to know what the others are doing and why they’re doing it. This prevents your sections from conflicting or producing mixed messages.

Cloud software is a particularly efficient method to use, with many tools to choose from. The main players are SalesForce, PipeDrive, and Zoho. Your choice will mainly depend on your organization’s:

  • Size.
  • Goals.
  • And ability to implement technology.

Let’s go through a list of the benefits that cloud software can provide and discuss why they’re superior to other options.

Scalability

If you’ve ever used a flash drive or similar device to store your files, you know that they can very quickly become full. Data takes up space, and the amount of data you collect won’t always fit into the storage space you’ve allocated.

If you’re using traditional data storage means, you’ll need to physically go out and obtain more storage space, install it, link it to your data collection software, etc.

All that takes time, time in which valuable data will be lost. Cloud-based services offer expansion as your organization’s data storage needs grow. Perhaps more importantly, you can also decrease the capacity when you see a drop in your needs.

Cost-effectiveness

Cloud software is a far more cost-effective solution than traditional forms of information storage. 

For one, you don’t have to store the data yourself in a physical location which would come with maintenance costs. You also don’t have to maintain and replace the storage drives every few years when the technology moves on, which is quite costly.

Another factor that bears mentioning is the time cost of duplicating files, emailing them to relevant people, and of those people downloading them. This might not seem like much, especially with smaller files, but when this process happens thousands of times a day, it starts to add up.

Easier collaboration

As mentioned before, the instant transfer of information between different people greatly benefits cloud software. However, the ability to collaborate goes further than that.

In traditional collaboration, one person might send a draft to a second, who suggests edits and sends it back. Then, if the first person doesn’t like some of those edits, they would suggest something else.

This takes time, causes great delays in projects, and is very inefficient overall. The key issue here is that each person cannot see what the other is doing until the edit is complete, and if they disapprove of it, that’s time and energy (and money) wasted!

With cloud software, the projects can be hosted online in a place that both participants in this hypothetical example can see. Each edit can be reacted to live as it is being done, saving time and effort in both parties’ cases. 

Enhanced data security

Physical means of data storage aren’t the most secure. Once a connection is made, it’s very easy for a hacker to steal data and very difficult for you to stop them without physically severing the link to your server.

Cloud computing offers a unique opportunity in the data security world. Since your providers will necessarily have great data security measures in place (that’s their entire point), your customers can rest safe and easy knowing that their data won’t be stolen.

Cloud software is necessarily shared over multiple parties, which needs to be transmitted in real-time. This makes it an ideal candidate for blockchain security measures, which are considered almost unbreakable. 

While data can be extracted from an external source, doing so requires the consent of all parties involved, so hackers would have to go the extra mile. Furthermore, a complete block in the chain cannot be altered, making most run-of-the-mill hacking methods ineffective.

Wrapping up

It’s not always easy to switch to new methods of thinking, but converged strategies are the future as customers are expecting a more personalized approach.

Convergence marketing ensures your customers will get it, as each department will be able to fetch, understand, and send data from across the company.

The next step would be to measure how customers feel about your new approach. Luckily, it’s something you can measure via advanced tools that provide sentiment analysis, providing valuable insights for your business. Read more about it here

 

Customer Perception: Making Consumers See Your Brand Positively

The concept of customer perception might seem like a simple thing, but in reality, there’s far more nuance involved than you might think. At its core, customer perception is your customers’ opinions of you and is a key factor in a consumer’s choices.

Being seen positively by consumers is a must to generate new leads while also retaining your current ones. Almost 70% of consumers say they’re more inclined to spend more money with a company they trust to treat them well, rather than go for a cheaper alternative.

And trust plays a big part in how customers perceive your brand.

But where should you start? Customer perception is a big topic, and countless factors influence it. 

This guide is a good start. It will help you understand what’s behind customer perception and, most importantly, how to measure and improve to thrive in today’s market.

Let’s get started!

What is customer perception?

Customer perception refers to your customers’ awareness, opinions, and general feelings about the brand and its products or services. 

It’s shaped not only by direct experience with your brand but by all surrounding interactions like news reports, advertisements, word of mouth, etc.

It’s important to remember customer perception isn’t the same across sectors. It can differ based on location and demographics.

For instance, Home Depot is very well regarded in the US, but when they tried to expand into China they didn’t consider Chinese culture’s adversity to DIY. By the end of their six-year expansion attempt, they had to shut their stores and deal with a $160 million loss.

Customer perception can be tricky to quantify. It isn’t necessarily directly connected to the overall quality of the products or services you provide but how they see you.

You must remember your customers are human, and emotions and logic mix together. It’s not enough to look at the value proposition.

That’s why you need to dig deeper to measure how customers feel about you. Good places to start are:

  • Analyzing customer reviews.
  • Looking at social media platforms.
  • Conducting surveys.

This NEPA global survey on food habits is a great example of how perception affects our purchasing behavior. When asked about sustainable meat alternatives, only 25% of UK consumers said they would like to see lab-grown meat on their local supermarket shelves.

What is the customer perception process?

The customer perception process is exactly what it says on the tin. It is the process by which customers sense, organize, interpret and respond to anything related to your brand – be it a particular product, the brand as a whole, or somewhere in between.

Let’s break down this process by looking at an advertisement.

  • First, the ad is seen by the customer.
  • Then, they organize the information, taking it in and understanding its meaning and the message it conveys.
  • The customer can then interpret the information based on the current situation and history with the brand.
  • Finally, the customer responds to the advertisement, forming an opinion and associating emotion with it. 

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This all happens within a second or so, leaving little to no room for conscious thought to be involved.

But just because this process happens quickly and automatically, it doesn’t mean we can’t predict quite well what will happen. 

When running an ad campaign, you don’t just whip up a graphic and run along with it. You try and understand what your target audience will take from it and how it will affect their perception of your brand.

Later, you can collect customer perception data via the previously suggested methods. This will help you better understand your ideal customer and the effects of your latest campaign.

You can find a great example of this if you look to KFC’s 2018 ad, which issued as an apology rather than a simple advertisement. 

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In early 2018, KFC in the UK ran out of chicken. That’s right, a business that mainly sells chicken ran out of chicken. 

Since this naturally grabbed the attention of the local press, KFC responded in a manner that resonated with the British public – posting a full-page ad in the Metro with their initials rearranged to almost form an explicit word. It’s almost as if they were going “FCK, this is embarrassing”, a phrase that struck the bullseye with the British public.

Underneath, the company apologised for it’s failure, promising to do better in the future. KFC’s ability to laugh at itself took classic British humor, owning up to their mistake, and an appropriate form of advertisement to create one of the best responses to a PR crisis in the last decade.

Why is customer perception important?

While a positive customer perception is bound to net you new customers, it can help also drive growth via repeating customers. 

By forming long-term, lasting relationships with your customers, you increase loyalty and customer retention rates.

Focusing on metrics such as these is key in ecommerce, as it’s considered much cheaper to retain existing customers than attract new ones.  

Customers who have already purchased from you, and have built a positive relationship with you, are far easier to convince to purchase again than those who haven’t. To attract new customers, you need to:

  • Convince them that their existing brands aren’t working for them.
  • Show them that your brand can fulfill something their current one cannot.
  • Overcome the human resistance to change with enough incentives.
  • Convince them to buy from you.

You skip the first three steps with existing customers, making it a much more efficient and cheaper affair. 

The key to customer retention is to align with their values and beliefs. This will depend on your market, who your customers are, and what demographics your customers belong to.

Older generations emphasize different things than younger ones, men on different factors than women. These are all generalizations, of course, and won’t hold for every customer of that particular demographic, but it’s important to keep them in mind.

Customer perception has two particular factors which promote strong loyalty and even advocacy:

Value alignment

A customer who perceives your brand as having the same values as them will intrinsically align themselves with you. Conversely, a brand with lacking or conflicting values will see customers migrate away to greener pastures.

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The same Ipsos Global Trends Report 2021 also found that consumers’ three most common expectations of brands are:

  • Committing to fighting climate change.
  • Standing up for social issues, and 
  • Paying their taxes. 

This is true worldwide, with the report looking at all six continents.

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Businesses that are perceived to have outdated or harmful business practices will be met with rejection and even protest, while those who keep an eye on the values their customers hold will be embraced.

But it’s not enough to talk the talk. You also have to walk the walk, with actions speaking much louder than words. Shallow and meaningless gestures will be seen through, yet genuine commitment will be held in high esteem.

Microsoft is an interesting example of a company that shifted its value to keep up with the times. Historically, it was known as a combative and aggressive company. But with the appointment of Satya Nadella as CEO in 2014, it shifted towards more collaborative tactics.

The software giant now provides support for open-source software, PaaS, and IaaS solutions and, in general, is far more open to working with other developers. 

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Trust

Good customer perception signals to the consumer base that you are a trustworthy brand that will not lie, misdirect or cheat customers. 

To build and maintain trust, the best practice is simply to be trustworthy, to say what you mean, and to be honest and open about your business practices. 

Costa Brazil, for instance, laid out their Roadmap For Change earlier this year, stating their sustainability targets and their pledge to plant new trees to replace those their products required. 

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Unlike similar press releases and statements from similar companies which only showed the positive, they were open and honest about the difficulties of building a sustainable brand and admitted that they weren’t experts in the field. Many other businesses switching to eco-friendly means of production haven’t been willing to admit difficulties, leaving Costa Brazil as one of the few who will publically acknowledge setbacks.

At the end of the day, customer perception is about developing positive relationships with customers, which leads to increased sales and success. 

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Past experiences

It’s no wonder that past experiences can determine loyalty and retention.

As we’re all conditioned by our past, our reactions and knowledge are entirely dependent upon our previous experiences. In this way, good customer perception relies on having consistent good experiences. 

A well-known phenomenon is hyper focus on particularly good or bad parts of an experience with a brand, with one bad experience tainting a person’s perception of that brand as a whole. 

Thus, consistency is key in building good customer perception.

How to determine & measure customer perception

We briefly talked about the ways you can measure the elusive customer perception. Now’s the time to dive deeper.

It isn’t easy to keep track of all the factors that affect customer perception, but with a little investigation, you can usually find out what customers expect of you. 

Using one method of information gathering alone will usually get you part of the story, but not all of it. For example, reviews, by their nature, are only left by those who have purchased from you. Thanks to the human tendency to only leave reviews in the case of particularly strong experiences, whether positive or negative, you’ll tend to get a skewed view of things.

You need to use multiple methods of data collection if you want to get the complete picture. That means complementing review data with other methods such as surveys and social media monitoring.

Collecting feedback via surveys

Surveys are great, as they can tell you the little details that you specifically need to know. You can ask the specific questions you want answered, and those who complete your survey will give you the answers. Sounds simple enough, right?

In reality, things aren’t so simple. Consumers tend to only answer surveys when they’re particularly motivated to do so.

A popular motivational tool is a monetary incentive. While it will get people to answer your questions, some may simply tick boxes randomly to obtain the reward. 

That being said, you can somewhat overcome this by placing reverse-scale questions, helping you to weed out such responders. 

For example, if marking 5 means an excellent experience in most of your questions, create an item where marking 5 means a terrible one. In surveys where all items are marked with 5, you’ll know people didn’t bother reading the question, and you can disregard their answers.

Another issue with surveys is they’re usually limited to your clients. Would you look at an email from a company you have never interacted with directly and think, “I’m going to complete this survey!”?

Finally, only people interested in answering questions will complete your survey. The issue is that your sample is limited to a specific subset of people that don’t necessarily depict your entire audience.

That said, surveys are still a great tool to gauge customer perception. You just need to keep their limitations in mind.

Once you’ve opted for one, it’s important to know how to read them and what you can get out of them.

Net Promoter Score (NPS)

The net promoter score is a value that’s based on a specific survey question:

“On a scale of 1 (very unlikely) to 10 (very likely), how likely is it that you would recommend us to someone else?”

Those who answered 9 or 10 are considered “promoters” of your brand, whereas 0-6 denotes a “detractor,” those who will decry you. 

The relative ratios of these will give you an idea of how well your product or service is received and help quantify your overall customer perception.

Customer Effort Score (CES)

Similarly, the customer effort score is based on the question:

“On a scale of 1 (extremely low effort) to 5 (extremely high effort), how difficult was it for you to find a solution to your problem with us?”

The CES measures the effort that customers feel like they have to go to in order to get what they want from you, which is a crucial component in a customer having a good experience with you and therefore having a good perception of you.

Analyzing review data

Review data is solid. It’s information on your products or services provided by those who purchased from you and therefore is a reliable data source, right?

Well, not exactly. 

First, you have to consider that you’ll get a skewed perspective from reviews thanks to people’s tendency to only leave them after standout experiences. 

I’m sure you’ve come across review STAR ratings online and seen a lot of 5-star and 1-star reviews, but not very many in between.

Customer reviews

Secondly, reviews can be faked. Whether that’s by competitors, the platform you’re using to sell on, or by people who have nothing better to do than make everyone else’s life difficult, you can’t necessarily rely on review data that isn’t directly linked to a purchase. 

The problem then comes that, by only taking into account verified reviews, you might leave out plenty of genuine reviews that simply didn’t bother going through the verification process. 

With Revuze’s data collection engines, you can take information in brands, product lines and even individual products, analysing them from every angle in order to pull as much information as you can from that data. 

We use sentiment analysis, SWOT analysis, and more to give you a full 360 degree view of your brand, market standing, and competitors.

Social media listening

With the advent of the internet, the things people talk about daily suddenly became recorded and publicly available to analyze. 

Using software, you can collect millions of text pieces relevant to your brand and analyze them with sentiment analysis in order to get a clearer picture of how customers feel about you.

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Like previous strategies, social media listening is not without faults.

Social media is volatile, and one negative opinion can turn into thousands when passed on, then die out. If you’re not segmenting your data by time, this can give you a much lower figure than you’d otherwise expect. 

Furthermore, not everything that people post on the internet is their actual opinion. Influencers get paid to say certain things; some people look to fit in by posting opinions others might hold, and others look to stir up outrage for amusement.

The lesson here? Take everything you get from social media monitoring with a grain of salt. It’s a good indicator, but it might not be reliable.

As you can understand, all data-gathering tactics present challenges. That doesn’t mean you shouldn’t use any. Quite the opposite. By acknowledging these challenges and employing more than one tool, you’re bound to get as close as possible to the real picture.

And once you have that, you can start working on improving your image.

What factors influence customer perception, and how do you improve them?

Factors that influence customer perception

Many factors affect customer perception. In fact, almost every facet of interaction between customer and brand that you can name will have an impact of some kind. These can be tangible, measurable things or more abstract ideas.

The key to positively influencing customer perception is to do these things regularly, as it not only will tell you how your actions have been perceived but can tell you if customer expectations have shifted in the time between surveys. 

This might seem far-fetched, but large scandals and world-shaking events can shake up the market and shift customer priorities over just a few months.

The top factors influencing customer perception will depend on your market, target demographics, location, etc. 

In the previous section of this article, we talked about value alignment, trust, and past experiences as factors that affect customer perception and loyalty. Now, let’s take a look at other common ones.

Pricing/Quality 

Pricing and quality often go hand in hand, so let’s discuss them as a pair.

A product’s overall quality strongly impacts customer perception, with certain prices bringing expectations of quality standards. When the quality of your product or service meets or exceeds expectations, customer perception rises.

Prices that are too high will put customers off, and ironically, so too will prices that are too low as they give the impression that your products have some hidden defect.

Setting a price for your products when launching them is never easy, but you can look to the other similar quality products on the market and what they are charging as an indicator of what might be a reasonable price to charge.

This doesn’t mean you should blindly follow your competitors’ pricing strategies. You should always monitor the sentiment around these prices, ensuring that customers are happy to pay these prices.

For an established product, the key is to keep an eye on the sentiment around your products’ pricing, quality, and how they combine. 

You can do this with the help of sentiment analysis, text mining, and other forms of social monitoring, which tell you more about the overall picture than a simple survey would.

There is also the factor of brand value: a well-established brand can charge more for its products than an unknown one, owing to the trust consumers have in you. 

You should also keep in mind that prices are dynamic. What customers were willing to pay upon initial release won’t be the same as what they’re willing to pay six months afterward, for example.

Customer service

When customers have an issue with your products or services, your ability to make them feel heard, listened to, and have their feelings respected greatly impacts your customer perception.

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Good customer service relies on knowing your audience, what they desire and what they expect from you. In general, you should be able to learn a few things about your customer base and what they expect by monitoring reviews, social chatter, and surveys that you put out. 

You can go further by segmenting these into demographics, allowing for personalization of customer service to a particular demographic or even individual if enough data has been collected.

The processing power required to personalize customer service isn’t something a human brain can output. However, advanced AI can assist you by analyzing the data and providing recommendations for how to approach the particular customer, problem, etc., based on previous customer service interactions that were successful.

You can take this process even further with hyper-personalization, which takes the philosophy to the individual level, using data and information collected on a specific individual.

Take, for example, the following interaction:

  • You phone a company helpline, asking for assistance setting up your software.
  • The person taking your call asks you for information on your software, then redirects you to another person who is more able to help.
  • You then must explain everything you’ve already explained to the second person, wasting your time and theirs.

You’d feel quite annoyed at the repetition, wouldn’t you? Well, if the company had a database of information on their customers and their problems, the interaction would go more like this.

  • You phone a company helpline, asking for assistance setting up your software.
  • The person taking your call asks you for information on your software, enters it into a database, then redirects you to another person who is more able to help.
  • The second person now has all the information that the first person entered into the database and can take over without wasting time.

In that case, you’d feel like somebody listened to you. The company took your words, kept a record of them, and used them further down the line to help you.

Businesses can also take things a step further by noting down common issues, keeping a record of their solutions, and making them accessible to users. Why bother calling a helpline if you can find the answers on the website? 

At the end of the day, speed is key in customer service. Providing a personalized customer service experience can help solve problems quickly and efficiently. 

Branding

Your branding sends a clear message to customers. 

Your logos, artwork, packaging, and all other visible, tangible factors specific to your brand affect customer perception.

You can think of your branding as an extension of value alignment. You need to position yourself in a way that attracts your audience and aligns with their beliefs.

Brightly colored, shiny plastic packaging will catch customers’ eyes. 

However, plain, more recyclable packaging may boost your customer perception with certain audiences. 

Usability

The customer’s ability to use your product significantly impacts customer perception.

Placing step-by-step instructions on your products will make use easier, including easier-to-read instructions on boxes or packaging. You can even delve further into the design process by editing the shape of your products so that their use is intuitive even to someone unfamiliar with them.

Usability

A highly specialized brand of computer parts aimed at consumers who can construct their own devices doesn’t have to be as simplistic as a brand that focuses on the general public, who aren’t expected to have the computer know-how of the aforementioned specialized customer base.

Further additions you can make include so-called “poka-yoke” or “mistake-proofing,” where your products are made so that misuse is made difficult to achieve to prevent customers from damaging your product while attempting to use it.

A good example of poka-yoke is USB cables, which can only be connected in the correct direction and will refuse to slide into ports the wrong way, preventing any potential damage that could arise to both the device and the person operating it from a backward connection.

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Advertisement

How you deliver your advertisements, as well as the contents of them, have a massive impact on customer perception. This is especially true of the former, with different target audiences having different preferred modes of communication.

Choosing the wrong mode of communication for your target demographics will have a net zero impact at best, as customers simply either ignore or do not see your advertisements, and a negative one and worst, as they see you as out of touch.

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Gen Z, for instance, rarely pick up the phone if they don’t recognize the number calling them, nor do they answer the door if they’re not expecting someone, so cold calling and door-to-door sales will misfire as communication channels.

Instead, you’ll need to utilize digital and social media to reach this demographic in an effective manner.

Don’t forget the context, though. Knowing when and where to place your advertisements so that they grab attention but don’t distract from the current situation the customer finds themselves in is the key.

You’ve probably come across pop-up ads on smartphone apps or websites, those that cover the entire screen and completely derail any process or train of thought that was taking place beforehand. It’s extremely distracting and annoying.

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This is an example of bad advertising, which will hurt your reputation if you allow yourself to be placed in those positions. Picking and choosing where you want your adverts to go is crucial to maintaining a good perception.

Passive advertisement, on the other hand, doesn’t affect the usage of the website or app in question. It’s a term that covers top banners, side adverts, and any other form of online advertisement that goes out of its way to avoid disrupting the user experience.

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As you can see in the example above, the Forbes website uses banner adverts across the top of its page. While these adverts catch the eye, they can simply be scrolled or looked past to access the website’s content without interacting with the ad in any way. This makes the advert less intrusive, less annoying, and less likely to be met with a negative reaction.

Furthermore, the quantity of advertisements matters also. While it might seem intuitive that more advertisement equals more customers obtained, there comes the point where this is inverted. Too many advertisements can cause irritation, which is then associated with your brand and puts potential customers off interacting with you.

Customer reviews

Almost all customers who purchase online will take the time to read product reviews before purchasing. 

The reviews that have been left, their content, quality, and even their number have a big impact on purchasing decisions. It’s been shown that consumers are weary of purchasing products with few reviews, even if the product in question is newly released.

While having good reviews is important, addressing negative reviews will have a positive impact overall on your customers’ views of you. It shows you are willing to listen and consider your customers’ problems.

Social media listening tools, dedicated CX teams, and sentiment analysis all play a part in keeping up to scratch with your customer reviews. 

The key here is speed, with computers doing most of the work identifying and flagging especially positive or negative reviews in order for a human to see and respond in a short amount of time.

Recommendations and advocacy

People listen to the opinions of those they hold in high regard, whether that’s influencers, well-known names in a certain sphere, or friends and family. Your ability to improve customer perception in those people’s eyes can also have a knock-on effect that leads to improved customer perception overall.

By using influencers, promotional discounts for those who recommend your products to their friends & family, and making other forms of advocacy easier, you allow your customer base to do the hard work for you. 

Unfortunately, besides paying influencers to advertise your products, the mechanics of recommendation isn’t exactly straightforward to influence, as they rely on nuances and factors beyond your control. 

Ultimately, the best way to get customers to recommend your products or services is simply to give them a great experience – from the moment they search for you and buy your product, up until they need your help with it.

Location & shipping services

Convenience is a big factor in choosing a brand, with a location close to your target market’s preferred area of purchase being important. Your location will depend on your target audience, with younger, more tech-savvy customers being far more likely to purchase online, for example.

If you’re already an established business, it’ll be very expensive to move to another place to perform commerce there. 

Luckily, shipping networks these days can stretch all across the globe. With the right setup, you’ll be able to reach those distant markets with ease. 

So, what is the right setup?

Firstly, you need a good distribution system. By this, we mean that you need to have pre-existing plans for getting goods from one place to another across all options you plan to ship to. 

This can be as invested as dedicated couriers, to as simple as knowing the local post routes. It’s up to you to decide what’s necessary, based on what is feasible from a financial standpoint and also what is expected of you.

Secondly, you need to factor in time. Certain borders take longer for goods to cross than others, and some shipping lanes can be disrupted by accidents or by human interference.

Distribution centers, places where you store your goods before the sale, can be dotted about in various places. You can refill stock there as necessary by keeping an eye on what is purchased in specific locations, either directly from the manufacturers or from a central distribution center. 

In this way, while the overall distance the goods travel is the same, the distance between you and the customer is much smaller, making for shorter delivery times and increased customer perception.

Wrapping Up

The key to having good customer perception is understanding that customers’ reality is not necessarily yours and that what they see & do will vary from person to person. 

There are plenty of factors that can affect how customers see you, from value alignment and trust, all the way to pricing and service. 

Collect and analyzing this data is crucial to driving growth. With it, you’ll be able to pinpoint what consumers think of you and how they see you

In the end, though, the best way to gain good customer perception ultimately is to provide them with an excellent customer experience. Not sure how to do that? Check out our comprehensive blog on the topic.

Building a Successful Go-to-Market Strategy: A Comprehensive Guide

When launching a new product or entering a new market, you would want to get the best possible results in terms of sales, brand awareness, ROI, or other KPIs. 

However, you will likely lose more than you gain without a documented marketing plan. That’s why businesses rely on a go-to-market (also known as GTM) strategy to increase their odds of achieving their goals.

Creating this plan is relevant for all businesses – from SMBs and startups to the enterprise level. Moreover, refreshing the one you used for a previous launch is always a good idea as circumstances, and people change.

In this complete go-to-market guide, you’ll find everything you need to get you running, including:

  • What is a go-to-market strategy is.
  • Why it is important. 
  • The key components of an efficient go-to-market strategy.
  • How to craft a successful one on your own. And,
  • Examples from leading brands.

Let’s get started. 

What is a go-to-market strategy?

A go-to-market strategy is a comprehensive plan that outlines how a new product would reach its end customers. 

Generally, every go-to-market strategy outlines the value proposition, target audience, entire marketing plan, and sales strategy. 

Sounds like your regular run-of-the-mill marketing plan, no? Well, there are a few key differences.

Go-to-market strategies vs. marketing strategies

If you’re in the early stages of launching your brand, your go-to-marketing, and marketing strategies might be fairly similar, but once you’re well established, they will diverge and become very different.

You can sum the differences up as follows:

Go-To-Market Strategy Marketing Strategy
short-term long-term
driven by a specific product business-wide
designed for product launch covers all time periods

 

Why are go-to-market strategies important?

Strategy is key to success in today’s markets. Creating a quality, data-driven, clear marketing strategy helps businesses to understand their aims and goals. 

First, it clarifies the reasoning behind the launch of a product or service, identifies the target market, sets a pricing strategy, and outlines the ways to draw and engage customers to a brand.

Secondly, a go-to-market strategy provides some quality control.

The design of a go-to-market strategy forces a business to evaluate and consider all the issues customers might have with their product or service. 

Identifying and mapping potential pitfalls helps brands to improve their customer experience – from product development to informing sales and support teams – creating positive sentiment and maintaining customer loyalty. 

Let’s talk about what makes for a good go-to-market strategy and what difference it can make for your success. 

What are the components of a go-to-market strategy?

go-to-market strategies have several layers, which we’ll discuss in more depth later. In general, a solid document will contain your:

  • Objectives: What you plan to do and how to achieve your goals.
  • Customer attraction strategy: How you plan to attract customers and convince them that you’re the best option for them.
  • Sales strategy: Your sales model and how you intend to promote your product.
  • Delivery strategy: How you plan to get your products to customers, whether via direct shipping, through a middleman, etc.
  • Customer support strategy: How you plan to handle potential issues and support your customers when they have difficulties using your products.

While every product launch should focus on the “objective” part, the other aspect will be prioritized differently, based on conditions such as the market and the product itself.

For instance, launching an iterative piece of software will require you to focus efforts on customer support, and a new yogurt flavor may need a clearer sales strategy.

To understand how to slice your pie the best way, you’ll need to perform quality market research and dive into the data.

Here are some points to consider.

4 key points about data-driven go-to-market strategies

Like many other marketing solutions, when done right, the go-to-market strategy is very useful and improves a brand’s sales and earnings. 

There are a few components for an efficient and effective go-to-market strategy. One main thing to consider when creating a marketing strategy is its market definition. 

A good go-to-market strategy has to define the consumer market for a product or service, helping optimize short- and long-term marketing efforts.  

Another important aspect is the focus. The marketing strategy needs to focus on the product or service and its benefits to customers in the current market. It should highlight what a brand can offer customers that competitors can’t. 

Additionally, an efficient go-to-market strategy should be flexible. In an ever-changing market, innovation is key. A successful go-to-market strategy is pliable and can be modified to match brand innovation. 

Solving customer pain points

A pain point is a problem current or potential customers are experiencing with a product.

Pain points can be present in many different parts of the customer experience:

  • Financial: Customers spend a lot on the current product or service and want to reduce costs.
  • Productivity: Customers waste too much time using the current product or service and want a more efficient solution.
  • Support: Customers aren’t getting the support they need along the customer journey stages.

Moreover, many customer pain points combine issues from several categories. 

To successfully deal with customers’ pain points and present your brand as a viable solution, you first need to identify the problems

A quality go-to-market strategy relies on data collected to do just that. 

Improving product marketing

Product marketing is the term for promoting and selling a product or service. 

It entails deciding on product positioning and messaging, launching the product, and more. Successful data-driven product marketing relies on quality information.

And to get that information, you’ll need to perform market research.

This will provide you with information about potential customer markets, along with the needs and pains that affect them.

One way of performing market research is by listening to your customers.

Social media has become a platform for customer reviews, customer service, and product promotion. 

Through this, social listening is a great way to assess what messaging will work best and learn what social sentiment a brand is creating.

The go-to-market strategy provides a sturdy base for more focused market research and voice of customer analysis

Using a well-constructed strategy ensures the messaging is consistent and in tune with buyer personas and attitudes, helping sales teams to optimize marketing and get better sales and revenue.

Innovating your brand and product

As we said earlier, innovation is key in today’s highly competitive market. Businesses innovate using two main ways: 

  • The first is product innovation, meaning a new solution to a problem many consumers encounter. A brand can offer a product that addresses a formerly untouched issue or one that addresses the problem in a different way. 
  • The second is brand innovation, which is when a brand does something new. This can be launching a new product or making changes to an existing one. 

Creating a go-to-market strategy is a great foundation for a successful innovation of any kind, especially when it’s data-driven.

Having a strategy helps focus innovation efforts around set goals. 

Moreover, It maintains priorities and sharpens innovative ideas. This creates an improved innovation process that is more likely to aid brand growth and survival.

Crossing into new territories

Cross-border ecommerece shopping is taking the world by storm. It’s set to exceed $1.9 trillion In 2022, growing even further in 2023. 

As consumers shift more and more to online shopping, businesses must prepare themselves and expand their ecommerce abilities to new territories.

But before opening up your wares to international shoppers, it’s imperative to prepare a strategy to penetrate these new markets. 

A few essential steps to make before the expansion include product research, cross-border taxes, logistic costs, language barriers, and more.

Gathering data for a data-driven go-to-market strategy

Now that we reviewed the aspects and advantages of the go-to-market strategy, let’s talk about how you can get the data needed to create a data-driven one. 

Performing customer-centric market research provides insight into customer desires, needs, and attitudes.

Revuze offers AI-powered Customer Experience (CX) analysis to help you better design marketing strategies. 

Revuze developed the first self-training, low-touch AI technology that collects and analyzes data automatically and delivers consumer insights valuable for data-driven go-to-market strategy design.

How to build an excellent go-to-market strategy?

By now, you might be thinking, how exactly do I build a go-to-market strategy? I’ve read all of this information on what they’re about and what they do, but I have no clue how to build one. 

Fear not. We’ve outlined nine simple steps to take you from novice to expert.

#1 Find your product-market-fit

Every product launch should be designed to solve a problem.

A great product looks at what consumers want, addressing their pain points and drawing customers to it. 

There’s no use in providing a product that a competitor makes cheaper, sturdier, and easier to use.

It’s a concept known as product-market-fit, the ability of a product to satisfy a demand that the market creates. 

If you manage to nail down your product-market-fit, you’re off to a great start.

#2 Define your target audience

Every product launch has a target audience. Those people who ideally will be the ones to buy your product. If you want to define them, you need to look at the following factors:

  • What problems does your product solve?
  • Who has these problems?
  • How much are they willing to pay to solve said problem?

If your product only solves a minor problem, your price must reflect that. Customers aren’t usually willing to spend a lot to satisfy a minor issue.

#3 Research your competition and the current market state

Unless you’ve spotted a gap in the market that no one else provides, you can expect to see competitors already existing within your market space. 

In order to get a leg up on them, you need to know them. Asking the following questions will help see the full picture:

  • Who already provides a similar product?
  • What demographics and geographic areas do your competitors consider their target audience?
  • Are your competitors meeting the demand that customers create? Is the market oversaturated, undergoing scarcity, or somewhere in between?
  • What do you provide that your competitors do not? Conversely, do your competitors’ products have any features that yours lack?

Competitive analysis, as it’s known, is key to understanding your position within the market, your strengths & weaknesses, and any opportunities & threats that might come your way.

#4 Decide on your key messages

Once you know who you’re targeting, you need to decide what messages you’ll convey to them.

Each demographic you target will require a personalized approach since they will react differently to the same message.

You should create what’s known as a value matrix. This is a summary of:

  • Their pain points.
  • How your product might solve said pain points.
  • How do you plan to convey that to your customers?

Buyer personas will assist you greatly here, as well as simulations of customers with their problems, values, and goals. 

You can use these to get an idea of what a particular demographic might want and how they might respond to you.

#5 Map out your customer journey

The customer journey is the sum total of interactions that a customer has with you, from first hearing about you and your products, all the way to the point of purchase. 

The way to map out your customer journey is to identify:

  • What touchpoints exist between you and your customers?
  • How do you want to influence your customers at those touchpoints?

And from there,

  • What type of interaction is needed to facilitate your ideal influence?

The best way to visualize your touchpoints is in the buyer’s funnel. This splits the customer journey into three sections:

  • Top: Customers have a problem but are not yet in contact with you.
  • Middle: Customers know you exist but aren’t sure if you are the best option out of the range of potential products.
  • Bottom: Customers decide whether or not to purchase your products.

The touchpoints within each funnel section will roughly aim to grab the customers’ attention in the top phase, convince them what you offer is best for them in the middle phase, and convince them to commit to buying from you in the bottom phase. 

With the combination of your aims at each step and your target demographics, you can work out exactly what you need to communicate to your customers and how you should do it.

#6 Choose your marketing channels

Marketing channels vary wildly, from TV commercials to internet adverts, newspaper prints to marketing emails. 

Each demographic will have its preferred way of communicating, and it’s up to you to align with your customers’ preferences if you want to stay relevant.

Generally, you should choose your marketing channels based on how your demographics consume content. If you have multiple target demographics, choose multiple channels accordingly.

Further, we recommend using different marketing channels for each customer journey stage. 

For instance, a YouTube ad might make customers aware of you and push them down the top of the funnel, whereas an email or presentation will help them pick you out from among dozens of other products within the middle.

#7 Choose your sales plan

Ultimately, a go-to-market strategy aims to generate sales and revenue. Thus, you need a sales plan. 

There is a myriad of different sales strategies you can use, but some of the most common ones are:

    • Self-service: Customers find you and purchase from you on their initiative.
    • Inside sales: Your sales team forms a relationship with your customers and convinces them to buy from you.
  • Field sales: Your sales team focuses on closing big deals, focusing on enterprises.
  • Channel sales: You pass your product on to an external partner, who sells your product for you.
  • Inbound sales: Sales processes are adjusted based on buyer actions.
  • Outbound sales: Sales processes are adjusted based on seller actions.
  • Cross-selling: You focus on selling your product in conjunction with others.
  • Up-selling: Your sales team takes existing customers and encourages them to upgrade.

Each of these models has its strengths and weaknesses, and the decision to use is ultimately up to you. You should pick one that aligns well with your product and business model.

#8 Decide on your goals

Goals are factors such as sales figures in a specific amount of time, sales figure growth, amount of consumers contacted, etc.

They tell you whether or not your strategy is working and whether carrying on the way you currently are is the best way to continue.

Goals often fall under frameworks such as:

  • Key Performance Indicators (KPIs).
  • Objectives & Key Results (OKRs).
  • Specific Measurable Achievable Realistic Time-Bound Goals (SMART Goals).

You can use one of the above to set your goals, a combination of two, or even all three!

#9 Lay out the steps that will help you achieve your goals

Now that you know what you want and how you can achieve it, it’s time to set out the steps to help you get there.

Creating a clear and well-crafted go-to-market strategy means working backward, seeing the obstacles that might appear in your path, and how to avoid them. 

For instance, you might have a goal of selling 10,000 units of your product within a month.

However, an obstacle you foresee is that your sales teams might use different strategies, only some of which are effective.

The solution to this problem is to find the optimum sales strategy and communicate this to all teams. 

Of course, these steps aren’t the be-all, end-all. 

Once you have a go-to-market plan, you may need to adjust it based on new information. 

This doesn’t mean that you’ve failed to create an effective strategy. 

A go-to-market strategy, by its nature, treads into untested waters, so there are bound to be a few hiccups.

Keep your steps clear and flexible in case you need to re-evaluate your strategy. Share any updates you make with your teams, stakeholders, and management so that they know what’s going on and, most importantly, why it’s happening.

You should be all set by now, ready to draft a winning go-to-market strategy. But before you go and do that, let’s check out some winning examples from leading brands.

Winning go-to-market strategy examples

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Smart Coach by Fitbit

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Fitbit manufactures activity trackers. A few years ago, they launched a premium service and personal training app, which can be integrated with the user’s Fitbit. 

Fitbit’s go-to-market strategy for the Smart Coach involved:

  • Using paid and owned channels to reach the target audience. 
  • Understanding their target audience consisted of people who own Fitbit devices. 
  • Leveraging push notifications, social accounts, and emails to reach potential customers. 

As a result, Fitbit earned around $192 million in revenue through its GTM strategy. 

Key Takeaway: If you are releasing a new feature, inform your existing customers first. 

Eight Sleep’s partnership with IFTTT

A smart mattress manufacturer, Eight Sleep, created a go-to-market strategy for a new feature of their existing product. 

Eight Sleep partnered with IFTTT, a free service that lets you create conditional statements and integrate various apps. Together, they developed a new feature that allows its customers to simplify their night and morning routines. 

Users can connect their mattress with their smart home system to:

  • Turn lights on or off.
  • Start their coffee machines.
  • Lock the door.
  • Activate bed warming. 

Customers could perform all these activities from their smartphones and virtual assistant devices.

Eight Sleep’s go-to-market strategy for the new feature involved:

  • Sending emails to the entire user base to help them realize the possibilities. 
  • Creating a dedicated landing page to inform and educate users about the new feature.
  • Highlighting the benefits and use cases of their feature on Facebook and Instagram. 
  • Getting themselves included in the IFTTT guide and newsletter. 

Key Takeaway: Apart from informing your existing customers, leverage social media marketing and get featured in major publications to broaden your reach. 

Upscope leveraging live chat to target a new segment of customers

Upscope is a screen-sharing software. When it was founded, many screen-sharing software packages were already available in the market. 

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To make themselves stand out, they created a GTM strategy that consisted of: 

  • Creating ways to use live chat to target a new segment of customers (technical support, onboarding specialists, and customer success teams). 
  • Leveraging content marketing to drive traffic to their website.
  • To get listed on their websites, partner with existing live chat companies such as LiveChat, Zendesk, Drift, and Intercom. 

As a result, Upscope has acquired over 600 customers and is increasing. 

Key Takeaway: Partner with other businesses with a complementary audience to yours. Use their existing reach to boost your brand awareness. 

The new storytelling feature launched by VSCO during COVID-19

VSCO allows users to capture and edit visuals (photos and videos) and launched a new tool called “Montage.” 

It is a multimedia creation tool that brings visual storytelling to life in a new dynamic way through a video. 

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Their go-to-market strategy involved addressing the current environment and our challenges as humans. 

Their product announcement message was also crafted keeping in mind how their product helps us connect in the age of social distancing. 

Their email copy reads, “as the world slows down, we know that these times can be difficult and uncertain. And in a small way, we hope our community connects you with others around the world.”

This is great because they first addressed the current situation and then how their product helps us solve this problem. 

Key Takeaway: In times of crisis, aim to help your community. Explain how your product can help your customer in difficult times. 

Nisolo launches new slippers to make Work From Home more comfortable

When most people around the world stay at home due to the fear of COVID-19, Nisolo launched a new slipper to make work from home more comfortable. 

Nisolo ensured their marketing message doesn’t look promotional and showed how they care about their customers. 

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Nisolo’s email copy first focuses on the email subscribers’ emotional well-being and then announces its new slippers. 

Key Takeaway: Create unique products that focus on helping your target audience rather than selling to them. 

Huawei’s entry into the Indian market

Huawei is one of the most prominent telecom suppliers in the world. However, the telecom equipment market was overcrowded when Huawei was planning to enter the Indian market. Their biggest challenge was to make an impact to outdo their competitors (Apple and Samsung). 

To increase its chances of succeeding in India, Huawei developed a go-to-market strategy that involved building local R&D centers to hire locals and show commitment to creating value for the country. 

Further, Huawei partnered with a leading Indian English-language news channel to sponsor a contest. In the competition, Huawei smartphones were projected as aspirational products, contrary to the popular belief that Chinese products are low quality.

As of now, India is Huawei’s second-largest research base outside China. In the first three quarters of 2017, Huawei grew 60% in India’s enterprise business, higher than the global average (43%). Huawei India’s global production increased steadily until 2021 when the 2019 US sanctions against China caused the business to drop production.

Key Takeaway: When entering new markets, identify your biggest challenge and create strategies to solve them first. 

TaxJar’s content marketing strategy to build trust

TaxJar offers tax solutions to businesses. When launching, the company looked at itself as a technology company first and a tax company second. Their primary aim was to make a better product than what was available in the market. 

They also noticed that most of the content on the internet related to tax was either hard to find or difficult to understand. 

TaxJar started publishing the best possible educational content to help its target audience understand everything about sales tax. 

As a result, TaxJar built trust with its target audience and started getting customers. 

When it comes to sales tax, more than 20,000 businesses and developers trust TaxJar.

Key Takeaway: Conduct market research to identify gaps in the current market and fill them to build trust with your audience. 

Symyx’s plan to penetrate new market segments

In 2008, Symyx created a GTM strategy to ensure the successful launch of its ELN (Electronic Laboratory Notebook). 

Symyx’s go-to-market strategy included:

  • Print advertising to boost brand awareness and build confidence. 
  • Author or appear in 12 feature articles in target publications to emerge as a thought leader in the ELN market. 
  • Publish case studies to demonstrate the effectiveness of their product. 

In the same year, Symyx generated $9.6 million in revenue. 

Key Takeaway: Make the most of PR strategies and demonstrate what value your products can generate. 

Slack’s product-led go-to-market strategy

Slack is one of the leading business communication platforms in the market. 

Slack’s go-to-market strategy was to rely on product features and usage to increase customer acquisition, retention, and expansion.  

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They didn’t aim to sell software. Instead, it sought to sell a positive user experience. 

In the memo shared by Stewart Butterfield to his team before they released the product, he said, “People buy “software” to address a need they already know they have or perform some specific task they need to perform. 

However, if we are selling “a reduction in the cost of communication” or “zero effort knowledge management” or “making better decisions, faster” or “all your team communication, instantly searchable, available wherever you go” or “75% less email” or some other valuable result of adopting Slack, we will find many more buyers.”

Slack ensured that its product was better than any other business communication platform. They also ensured that their product was user-friendly and easy to use. Slack created a “customer development team” to better serve its customers. 

As a result, Slack became the fastest-growing SaaS company of all time. Slack grew from $0 billion to $4 billion in valuation in four years and currently earns over $250 million a quarter as of 2022.

Key Takeaway: Make your product better than your competitors. Create an excellent customer support team to help your customers make the most of your product. 

Go-to-market strategies in times of crisis

COVID-19 is somewhat behind us, but it taught us much as marketers.

Launching a product during a crisis is different than entering the market on regular days. You need to be very cautious with your sales strategies, marketing messages, and who to target.

Get yourself ready for the next turmoil by following these tips.

Optimize your messaging, targeting, and pricing

As a business owner or a marketer, it is your responsibility to ensure your messaging doesn’t hurt your target audience’s sentiments. 

For example, during the COVID-19 times, using words like “get in touch” or “meet our team” wasn’t a good idea. Instead, we used phrases, such as “call our sales team,” or “let’s get on a video call to discuss business opportunities.”

Make sure to optimize the people you are targeting. If you were targeting small businesses before COVID-19, check if they are operating now or are adversely affected by the crisis.

At the same time, the world economy is taking a hit. Many people and businesses are struggling financially. If you can afford it, reduce your product’s pricing for a limited time. 

For example, ABB has waived the fee for its numerous software services until the end of 2020 including ABB Ability Connected Services, RobotStudio, ABB Electrical Distribution Control System, and iUPSGuard software for hospitals. 

Focus on making things easier for your customers

In any type of crisis, people are going to be stressed. 

To help reduce the stress, look to eliminate any barriers to helpful information, offer additional access to support resources, and reach out to existing customers to understand their situation.

Campaign Monitor sent an email to all its subscribers that gave them an option to “pause the marketing emails for 30 days.” They also added a link to new content relevant to the times of COVID-19. 

This is great because not everyone wants to receive promotional emails at this time. When a brand takes the initiative to make its customers’ life easier, it will be remembered for longer. 

Help the community to earn a good name for your brand

Helping the community shows you are not just here to make money, and you care about the people around you. 

Therefore, it is crucial to help your community in any way possible. It doesn’t matter how big or small your contribution is. 

For example, to help first responders fight COVID-19, Under Armour delivered 20,000 face masks to Johns Hopkins Health System. 

Under Armour also donated $1 million to Feeding America to support hunger relief efforts due to current school closures and quarantines. 

Think beyond the immediate crisis 

While optimizing your go-to-market strategy in times of crisis, it is crucial to think beyond the immediate crisis, as each presents lingering effects.

Most people may be done with face masks, but social distancing is still prevalent.

Brands with offline stores must consider ways to sell products and accept payments while prioritizing social distancing.

Companies that relied upon on-field sales agents to sell their products will have to think of new ways to get their products across, such as self-service or inside sales business models. 

The best way to “think beyond the immediate crisis” is by building a team of creative people who can brainstorm and predict how the world might change. 

Note: It isn’t only about your company or your industry but about how the world might change after the crisis. Think about how you can use it to create new business opportunities. 

Wrap-up and takeaways

A go-to-market strategy helps you ensure your product launch succeeds and acquire customers in the tough competitive market. 

It’s important to remember it’s ever-changing. A GTM strategy that proved true and successful last time won’t necessarily yield the same results. 

You must keep up with the times and the people.

Data-driven market research will help keep an eye on what customers need and what pains them.

Only then you’ll be able to devise a successful and fresh strategy to launch your brand new product and service.

And what happens after? You’ll need to start getting feedback and analyzing it. But that’s a story for a different blog. Read it here.

Sentiment Analysis For Brand Building

They love me… they love me not. 

It’s a question most people ask themselves about loved ones. But what about asking this question from the position of a CEO or a data analyst? 

When you do that, you’re conducting sentiment analysis, albeit without stripping a flower of its petals.

When building your brand, one of the most important things you can do is read your audience. 

How people feel about your product is imperative to its success. And understanding the nuances of these feelings will help you get a leg up over your competitors.

It’s not just about a general “they love my product; they love it don’t.” It extends to minor details that make up your products or services and how you present them. 

If there are things that rub customers the wrong way, keeping on top of them is key to success. 

What customers want isn’t always obvious and consistent. If something works in one place and time, there’s no guarantee it’ll work in another. This is certainly true in trendy industries like fashion, where there’s an emphasis on culture and everything changes quickly.

So how do you keep on top of consumer perception and your response to it? Especially in the internet age, where social media posts and website reviews are published every few minutes. There’s simply too much data to analyze manually.

That’s where sentiment analysis comes in.

What is sentiment analysis?

Sentiment analysis, also known as “opinion mining,” is the automated process of analyzing a text and interpreting the sentiments behind it. 

Through machine learning and text analytics, algorithms can classify statements as positive, negative, and neutral.

Companies and brands often use this process as a strategy to manage large amounts of data coming from Yelp, Twitter, Amazon, you name it. 

This data allows businesses to learn more about customers’ feelings for their products and competitors’ offerings.

How sentiment analysis works

Sentiment analysis relies on an AI engine powered by machine learning (ML) and natural language processing (NLP) to extract information.

Machine learning allows the software to learn independently and become more accurate at predicting the outcome of analysis without being programmed for that explicit scenario. Essentially, it allows the software to “learn” from past examples to improve itself over time.

NLP analyzes human language and the meaning behind it. This covers text segmentation, grammatical analysis, and terminology extraction.

Which algorithms are used for sentiment analysis?

ML and NLP are tools to help the sentiment analysis algorithm produce the final results. There are three types of algorithms that are usually deployed:

  • Rule-based – This is the basic and easy approach to implement. It’s based on manually pre-defined rules, helping the system analyze the text it reads. The drawbacks are clear, with having to rely on manual inputs that take plenty of resources and aren’t able to evolve automatically.
  • Automatic – This is the advanced approach, using both NPL and ML. The system is first fed with thousands of expressions that are pre-defined as either negative, neutral, or positive. This is the “training” stage. Then, with its newfound knowledge, it can venture into its “prediction” stage, understand new terms and classify them appropriately.
    There is a downside here, though. The algorithm is bound to make some mistakes, and it’s often hard to pinpoint exactly why this happened.
  • Hybrid – It’s the best of both worlds and the most effective algorithm. This approach Enjoys the high accuracy of the rule-based algorithm while running through new terms and expressions in the blink of an eye.

With these sophisticated algorithms in place, the sentiment analysis tool can go over the endless text and score it based on negative, neutral, or positive sentiment.

How sentiment analysis works
How sentiment analysis works

Further, when dealing with customer experience, it can also break down the text to topics such as:

  • Product quality.
  • Speed of service.
  • Ease of communication.
  • And more.

Let’s look at a couple of examples to understand it better.

Due to the large variety of cordless vacuum cleaners and the breadth of functions, people will often turn to customer reviews and see something like this.

sentiment review

How does the sentiment analysis AI understand it? It breaks down this piece of text into smaller ones, such as:

  • “It’s lightweight, compact, and a brilliant all-round hoover.”
  • “I’d buy another in a heartbeat.”
  • “The tank is small.”

The AI then assigns a sentiment for each block of text. The first is very positive, and so is the second. The third is somewhat negative, though it can be considered neutral when taken into the larger context.

Decision makers can then understand what customers think about specific parts of the product or look at the overall – in this case, positive – picture.

Another industry where understanding customer sentiment is vital is the beauty industry.

This eyeliner review paints (no pun intended) a somewhat negative picture.

sentiment review

The review starts with “The pencil itself is great,” which the AI can mark as a positive sentiment. But then come blocks of text saying how it “breaks and is impossible to sharpen,” which are very negative. The review ends with a scathing “will not be buying another.”

Sentiment analysis will help the brand understand that the customers are disappointed with their product and why. In this case, they’ll know work is needed on the durability of the pencil rather than its quality.

As you can see, it’s something a human can do. But the key differentiator for sentiment analysis is the speed and accuracy it can analyze these reviews, something even a team of experienced analysts can’t achieve.

How Revuze performs sentiment analysis

The general themes of NPL, ML, and the various algorithms play a crucial part at Revuze. But to give our customers a competitive edge, we take a step further, using a personalized model for our automated sentiment analysis, helping to maximize accuracy and success rate.

We do it through “local models,” which allow us to adapt our technology to the specifics of each case study or client. We can generate local dictionaries and models within just a few days with 90% accuracy.

Here’s how it works: Revuze’s AI algorithms extract many unique topics, ranging from high-level ones (like user satisfaction and price) to granular topics (such as “softness” for toilet paper or “moisturizing strip” for disposable razors). 

Instead of limiting ourselves to only 8-15 generic topics, we analyze 40-80 topics that are highly specific to each business or product we work with.

When you want to understand consumer sentiment around a certain product’s features, you cannot afford to use a sentiment analysis tool limited to generic topics. Personalization is key, and more on that later.

Revuze explorer example
Revuze explorer example

What are the challenges in sentiment analysis?

While algorithms can be very advanced, some text can be difficult for a machine to dissect and interpret.

Sarcasm

Users may write: “We had to wait 45 minutes to get a table. Great!” To a human being, it’s clear that the adjective “Great!” is used sarcastically. 

How do we know it? Because of context. 

We read the previous sentence, which talks about a long wait time, and we understand that the comment is not positive. 

A good sentiment analysis tool has to be able to detect sarcasm from the broader context. Otherwise, you’ll get inaccurate data about your brand at the end of the analysis.

Nuance

Another issue has to do with nuance. 

The comment “The movie was not bad” is saying that the movie was not bad, maybe even good. But it also implies that the expectations regarding this movie were so low that the movie is not as bad as one would have expected. This is called “negator.”

“Intensifiers” can also be challenging for sentiment analysis. A user who writes, “The company’s comment on this issue was pretty good,” creates a nuance that would not be there if we read the same sentence without the word “pretty.”

In conclusion, it’s important not to rely on basic sentiment analysis tools, which will not capture the complexity of human sentiments expressed through text.

Why is sentiment analysis important, and what can it do for you

Sentiment analysis gives you more information than simply whether an individual’s interaction was positive or negative. 

Using advanced AI techniques, the specific emotion behind a person’s communication can be extracted, leaving you with a much better idea of how they felt when they wrote those words.

sentiment emotion

Ultimately, ecommerce customer experience is about emotions, and good customer experiences aren’t just about the end product. 

A top-of-the-line service in which you were treated poorly will have a far more negative impression than a middling service in which you were treated well. 

The specific emotion behind the text being analyzed indicates how you should proceed when continuing the interaction. 

  • Is the customer angry at a perceived slight? Apologetics and problem-solving are the tones you want to set. 
  • Is the issue that the customer dislikes a certain aspect of your product or service? You can point toward similar products that solve these issues.
  • Is someone excited about a new release and is sharing it all over the internet? Appreciation and thanks go a long way towards building a relationship.

As you can see, sentiment analysis isn’t just about correcting problems or gaining information on cropped-up issues. 

You’re trying to build a brand – build a personality, as it were – which requires you to interact with those consumers who have positive words to say about you too.

Now that we have plenty of information let’s explore how you can actively use this data to improve everything surrounding your brand.

6 ways to boost your brand with sentiment analysis

In brand building, it’s important to focus on what information sentiment analysis can give you about your current positioning within the market – your reputation, product strengths, weaknesses, etc. 

To that end, we compiled a list that will first help you understand your status, complemented with actionable strategies to improve it.

The various facets of customer experience

Real-time reactions

The key to dealing with customers is to factor in their emotional state and respond accordingly. 

This is easy to do face to face but isn’t quite as simple when you’re performing these actions over a text-based medium such as email, social media, or other messaging services.

Sentiment analysis brings a vital aspect to customer service with its ability to flag negative comments or communications for quick responses, allowing you to respond promptly and hopefully end the problem before it spreads. 

One disgruntled customer complaining can hugely damage your reputation as the story of their experiences spreads, especially when the reason for their bad experiences is one that other consumers will resonate with strongly.

In this case, sentiment analysis is paired with social media monitoring and other forms of software which will feed into it in real-time, letting you know as soon as a crisis of PR crops up and identifying the emotions behind it. 

The approach to solving these crises will depend entirely on the emotion behind the negative PR, whether that’s an outrage, sadness, disappointment, etc. 

Improving your product and service

The other way sentiment analysis can assist with CX is linked to product improvements and SWOT. 

Identifying problems in your service or deficits with your products and improving them is a definite PR win. More importantly, it comes from listening to your customers and acting accordingly. 

Consumers often rank wanting to feel heard and have their experiences taken into account as among the most important factors when choosing a brand or company to provide a service.

If you’re in the service field, paying close attention to what sentiment analysis can tell you about what your customers desire is crucial.

By monitoring the sentiment around your brand before, during, and after changes to your products or services, you can easily judge whether or not those changes were a success.

Because this is happening in real-time, it can all be measured to provide you with information on how you’re doing in the CX world and how to improve future relations with your customers.

Market research opportunities

Sentiment analysis isn’t just for customer experience. It can be used when you’re doing research too. 

When performing market research, sentiment analysis helps you dive deeply into your audience’s attitudes in ways that a human being could simply not do.

Most traditional forms of market research use controlled surveys, star ratings, and other similarly structured forms of data. 

While it’s certainly useful to use traditional forms of market research like controlled surveys, they are prone to human biases such as leaving feedback only after a particularly good or bad experience. These biases can skew information, affecting your ability to make data-driven decisions. 

True, sentiment analysis uses reviews to provide you with information. But to give a more rounded picture, it can search the internet and take information from areas that talk about your market specifically, such as forums, social media groups, and blogs. 

Information about what customers desire and what they’re willing to pay can be extracted from these areas, giving you deep insights into your target audience and how you want your business strategy to appease them.

Customer segmentation

Not only can you analyze customer sentiment with sentiment analysis, but with the right tools, you can break it down into segments that show a very different pattern than the whole. After all, not all groups of people are the same.

For example, customers who interact with you via a mobile app or website will have a different experience. Slicing and dicing your data by demographic factors such as age or gender may yield interesting results. 

Each group will likely have a different sentiment towards different aspects of your product, and this information will help you cater to them.

Idea generation

Using sentiment analysis, you can analyze people’s behavior when certain topics are brought to light and examine what potential leads you might be able to follow up on. 

For instance, a tin of paint sold in a certain size that a significant portion of your customers has been vocal about being too small for their daily uses. 

It would be worth investigating whether you can produce the product in a larger tin or multipacks so that these customers might be satisfied.

You can also take positive sentiment and turn it into ideas for future usage. 

Did you know that bubble wrap was originally sold as textured wallpaper? As time went by, the creators took note of the positive sentiment surrounding its ability to protect fragile items in transit (and how fun it is to pop!), adjusting their marketing approach until it had radically changed from their original intentions.

Competitive Analysis

Sentiment analysis doesn’t just give you information on your standing within the market. It can give you insight into how your competitors are doing too. 

Online reviews and social media buzz are open and visible to anyone. Using them as a source of competitive intelligence is perfectly acceptable in the business world.

Sentiment analysis can give you information on how the consumer base feels about your competitors, whether as a brand or on an individual product-by-product basis. 

Revuze has taken the step to combine consumer sentiment with other forms of data in order to give powerful pieces of information and insights into the minds of your competitors. A few examples of such are:

  • Sentiment vs. star rating: The perceived expectation of quality that a brand or specific product has in the eyes of consumers.
  • Sentiment vs. total sales: The ability of a brand or specific product to maintain customer satisfaction across a broad spectrum of consumers.
  • Sentiment vs. total product variations: How easily a brand can maintain overall customer satisfaction while expanding into a diverse range of products.

Our AI insight engine, Sentimate, can help you perform these analyses in great detail, from examining a brand as a whole to an individual product out of thousands. 

Using data extracted from online reviews and chatter, you can gain an incredible amount of useful information as long as you have the tools to analyze it.

Ratings and reviews across an industry

Ratings and reviews are part of the User Generated Content (UGC) realm. It is exploding and is expected to be over 90% of the world’s data soon. 

UGC (ratings and reviews in our context) is important to millennials, with 86% saying it’s a good indicator of a brand’s quality. 

Further research from Spiegel shows that reviews by verified purchasers vs. anonymous ones can bump purchase likelihood by 15%. 

This is why brands encourage customers to leave reviews and provide feedback. 

Now imagine being able to gather all these consumer opinions from online retailers and analyzing them for sentiment and topics. 

What consumers like or not – why they buy, what they like or hate about a product, a service, or a shopping experience. 

This is possible across an entire industry – all brands, all products, all reviews, and ratings, analyzed via sentiment.

The reason it’s so valuable and important is because of the breadth of the information and the depth. This is the high-quality raw material (ratings and reviews) and is highly focused on this medium of commerce, meaning:

  • Low ratio of noise-to-insights (Low “chatter”).
  • High level of granularity.
  • Store-specific feedback (Walmart has it in stock, Amazon doesn’t).

Getting started with sentiment analysis: the four main steps

As we dig further into understanding this powerful marketing and branding tool, let’s look at the pipeline of steps usually applied in sentiment analysis.

We’ll consider sentiment analysis for a company or brand in this pipeline sample.

Step 1: data gathering

First of all, we need the data that we will later analyze. 

We can gather data from social media, namely Twitter, using scraping tools, APIs, customers’ data feed, and so on. We can also gather data from user reviews on services like Google and Yelp.

We’ll be looking for all mentions of the company or brand over a specific time. 

This practice is very common in all forms of social media listening.

Step 2: text cleaning

Text cleaning tools will allow us to process the data and prepare it for analysis by:

  • Removing stopwords (a, and, or, but, how, what…).
  • Taking out punctuation (commas, periods…).
  • Reducing words to their stem. 

These tools will allow us to “clean” or “strip” the texts from anything that might be irrelevant to the analysis.

Step 3: analyzing the data

At this point, we can use our sentiment analysis algorithms to analyze the data we have gathered. 

As we saw earlier, the most common classification is the spectrum between “positive” and “negative.” However, more refined tools may also identify more complex sentiments such as anger, sadness, etc. 

The algorithms will use a sentiment library to identify opinions and classify them.

Step 4: understanding the results 

At the end of the process, we should be able to see the data grouped into major categories. We should be able to see if we have more positive, neutral, or negative reactions. 

Having each sentiment tagged with its original date is particularly important, as a timeline will show us if we had “peaks” (surges of positive sentiments) or “valleys” (surges of negative sentiments) at specific moments in time. 

We might therefore be able to find correlations between something that happened on a specific date and a surge of opinions regarding our brand.

While we might identify a peak or a valley while performing sentiment analysis, the opposite might happen—we might notice a surge in mentions on Twitter and use sentiment analysis to understand the reactions.

Peak Valley
Peak Valley

So far, we have talked extensively about ideas and strategies. While it’s all well and good talking hypotheticals, nothing beats seeing sentiment analysis in action to get a feel for how useful it is.

Sentiment analysis examples

We’ve handpicked some examples from our Revuze Explorer & Sentimate engines to give you an idea of what this sentiment analysis looks like and how it can be used.

Sentiment analysis using product review data

Sentiment analysis using product review data is perhaps one of the most important things every company (and consumer insights expert) looks after. After all, the best way to understand if your customers like your product or service are by understanding their sentiment towards it.

The easiest way to find out what your customers think about your product is by asking them to review it. The job doesn’t end here. Not all reviews are created equal!

You must collect all the relevant reviews for a specific product, arrange them into the relevant hierarchies, and compare them against the industry and your competitors. 

A good example we can share would be the sentiment analysis using product review data we did on Lysol VS Clorox.

In the report, you can find exactly how Revuze deciphered the relevant product features by tapping into the consumer sentiment and understanding what’s working and what’s not.

sentiment chart

Further, these millions of verified purchasers’ feedback on your competitors’ products and yours can each be cross-referenced against its product rating. 

You can learn which topics are positive drivers for 5-star reviews and which are drivers of negative reviews.

This correlation can be quantified with sentiment analysis to let you know the exact percentage of driving terms towards product ratings.

sentiment SWOT

In this example, it’s clear here that the top drivers for 5-star reviews are:

  • Fit.
  • Comfort.
  • Shipping.

What is also pretty clear here is that this product could have gotten MANY more 5 stars if it was:

  • True to size.
  • Not suffering from fake sales.
  • More durable.

This is a measurable, quantifiable way to boost your product rating for consumer products and services in an industry that includes ratings and reviews:

SWOT analysis

Sentiment analysis can also provide SWOT analysis, which stands for Strengths, Weaknesses, Opportunities, and Threats. 

SWOT analysis is used in product design and marketing to great effect, as it shows not only the strengths and weaknesses of your product or service but also those subjects which may become strengths or weaknesses in time.

Using sentiment analysis, you can measure customer satisfaction rates of a specific aspect alongside its importance. 

This example shows a SWOT analysis of a 24” laptop.

sentiment STAR

Looking at the chart above, we can see the following listed as strengths:

  • Display.
  • Color.
  • Compatibility.
  • Size.
  • Speed.

These are the areas of the product which customers are greatly satisfied with. More importantly, they’re areas where customers expect high quality. These can be assumed to be the main drivers of good reviews and high sales.

The weaknesses are as follows:

  • Battery & Charging.
  • Audio Devices.
  • Camera.

These areas are those in which the product is lacking and needs to be improved ASAP.

Product design teams should focus on improving these areas in the next model or making accessories that circumvent these weaknesses.

Further, you can see some opportunities in:

  • Performance.
  • Assembly.
  • Quality.
  • Mouse & Touchpad.
  • Upgrades.

These areas are where the product greatly satisfies customers but aren’t that important to overall satisfaction.

The laptop manufacturer has a couple of options. Emphasize these aspects to niche users, improve them further to give the product an edge over the competition, or simply leave them be.

Finally, the following threats were identified:

  • Keyboard.
  • Ports.

Threats are low-rated product features, but ones with a low importance rating to customers. 

Threats aren’t currently problems that need solving immediately, but you need to keep an eye on them as times change, product uses shift, and what was once irrelevant becomes very important.

Let’s take a step back and look at the bigger picture, starting with the top two drivers of purchase are:

  • Color.
  • Display.

These two factors are rated the highest in customer expectations while also being highly rated. As color rates are higher in customer expectation than display, greater care should be taken to maintain quality in the next iteration.

However, this laptop could have gotten more sales and higher customer satisfaction for the least effort if the battery and Charging had been addressed.

Since battery & charging are rated the most important to consumers, they should be tackled first. Following that are two other weaknesses, slightly less important to consumers: camera and audio.

As the camera function is not only rated as more important but boasts a slightly lower customer satisfaction rate, it should be placed in priority before the function of the audio device. 

Using sentiment analysis, we’ve identified the main features that drive purchases of this big-screen laptop. When tackled, we also identified which weaknesses would give the greatest theoretical return on investment. 

Of course, this assumes that all weaknesses cost the same amount to overcome, which is incredibly unlikely. However, using SWOT analysis and cost estimates combined, you can judge which weaknesses will have the greatest benefit for the smallest cost.

Monitoring chatter to track overall sentiment

Customers’ importance on product features isn’t the only way to sort product features. 

There’s also the volume of sentiment around said features, which lets you judge which topics will please the most customers rather than indirectly.

Let’s look at this 12-cup coffee maker and the chatter surrounding it.

sentiment map

As identified in the graph above, the product’s functionality is the most commonly discussed topic. This has an overall negative sentiment, which means it should be high on the list of adjustments.

Looking at the most negative topics, we can identify the water reservoir capacity, durability, and the lighting on the coffee machine as topics that create very negative chatter. 

However, those topics all consist of a much smaller proportion of talk around the machine than that of functionality. 

This means while fixing them will create the most positive sentiment in those who were unsatisfied, the overall numbers might not lead to as much of an overall increase in customer satisfaction.

Market comparisons

Another factor that you may want to consider in product design is the overall state of products in the market. 

A quick look at the coffee maker mentioned above can make the following comparisons to the market averages.

sentiment sliders

sentiment slider

The vertical lines above represent the market average sentiment for each feature, with the red and green dots representing the sentiment around those particular features.

Looking at the chart, we can see that while the functionality of the coffee maker is below the market average, it is only by a hair. Thus, improving the functionality of the coffee maker is something that would make it stand out.

Similarly, the machine’s durability is quite close to the market average, meaning that while the chatter around this topic is negative, it’s a market-wide issue and not a specific weakness.

Switching to the water reservoir feature, we can see that the sentiment is far below the market average for a machine of this type. Not only is this a problem, but it’s likely one that causes a lot of negative reviews. Similarly, product defects seem quite severe, causing a lot of negative sentiment.

In conclusion, comparisons to the market averages tell us our coffee maker should prioritize its water reservoir in the design stage.

Additionally, the manufacturer should take a look at their production to limit the number of defective products that seem to be received by customers. This can be achieved in various ways like stricter quality control.

Wrapping up

Product ratings and chatter are the gold standards that drive online sales and higher conversion rates. Finding a quantifiable, measurable way to analyze and impact them is imperative.

Sentiment analysis is an incredibly useful tool for extracting information, but when you pair it with other forms of software, the true strengths start to shine through. 

With AI-powered engines capable of using machine learning to grow and expand when new factors are introduced, sentiment analysis software will continue to grow and adapt to the language, slang, and syntax changes.

This constant evolution will help sentiment analysis keep up with the growth of ecommerce ratings and reviews, offering a way to align with the top of mind of customers in your industry and what they like and dislike. 

This is done by leveraging sentiment analysis across retailers, brands, and products. With this, you can drive conclusions as to what drives product rating success (or failure):

  • For your product portfolio.
  • Learning from your competitor’s portfolio.
  • Comparing across retailers/audiences.

Then, you can analyze, change and impact any product rating by:

  • Optimizing what consumers are happy about on a Product Description Page (PDP).
  • Fixing product issues that consumers care about and drive low product ratings.
  • Addressing product rating differences between retailers.
  • Understanding shopping experience and customer service impact on the product rating.

All of this is possible when you select the right sentiment analysis tool. We recommend that you prioritize solutions that are:

  • Holistic: Providing the data, data cleansing, and analysis all in one spot.
  • Cross-level: Provide sentiment analysis by product and feature, not just brand.
  • Self-serve: Do not require experts in the loop but allow direct use by business users.
  • Ecommerce focused: Focus on eCommerce retailers as a data source (Verified buyer’s feedback)

If you want to give Revuze a go, we’d be happy to show you around the platform.

5 Ways To Improve Ecommerce Customer Experience in a Post-COVID World

5 Ways to Improve Ecommerce Customer Experience in a Post-COVID World

The COVID-19 pandemic completely transformed the way our society works. Suddenly, almost overnight in some cases, people went from crowded trains and bumping elbows in stores to having to stay away from each other for their own safety.

And when people couldn’t get into physical stores, more and more turned into online shopping. This change has happened swiftly, and many retailers were caught off guard, scrambling to make the necessary adjustments, resulting in a mixed ecommerce customer experience when visitors attend their virtual shops.

This isn’t a passing trend, and shoppers are taking a liking to shopping online. Businesses have to up their game and find creative ways to improve their ecommerce customer experience if they want to generate new sales and retain existing customers.

Luckily, it’s a goal that can be achieved.

Read on to find out how to provide your customers with the best ecommerce customer experience possible.

But first things first.

What is the ecommerce customer experience?

As opposed to User Experience (UX), the Ecommerece Customer Experience (a.k.a ECX) focuses less on the technical and functional aspects of the experience and more so on the overall feeling.

It starts from the customer’s first touchpoint with your brand and accompanies them every step of the way – before they purchase anything, and some would say until the end of time.
In every one of these steps, thoughts and emotions arise. Together, they’ll dictate engagement, conversions, and retention. All of these tie into the broad term of ecommerce customer experience that shapes how customers interact with your brand.

It’s understandable why it’s such a big deal. And the data backs it up, with 73% of respondents mentioning customer experience as an essential factor in their purchasing decisions.
Yet businesses aren’t prioritizing it, as only 49% say companies provide a good customer experience.

There’s a clear gap here and a fantastic opportunity for you to differentiate your brand by providing an excellent ecommerce customer experience that will increase customer loyalty and generate new ones.

How COVID changed ecommerce

2020 marked a noticeable shift in many aspects. Ecommerce was no exception to the rule, with the impact of the pandemic being felt far and wide throughout the market.
Thanks to being based digitally, ecommerce was able to dodge most of the changes that crushed other forms of trade and, in fact, only increased in market share during this time period, with it hitting 30% of overall UK commerce during the lockdown periods.

When such a massive behavior change occurs over a very short time span, it means systems are being thrown off balance.
Let’s review how the digital market rearranged itself to better understand how to provide shoppers with a better ecommerece customer experience.

Increased demand

With consumers unable to enter their local brick-and-mortar stores, whether due to restrictions or simply not having the time, they tend to switch to online forms of purchase. This is especially true of the younger, more tech-savvy generations, though older consumers also got in on the action.

ecommerce data

In response to this, plenty of retailers upped their delivery game. Curbside pickups, increased number of delivery vehicles, and more flexible means of delivery were heavily emphasized, with ready-to-ship stock also favored.

Wider customer bases

As mentioned above, the number of those using e-commerce increased over the course of the pandemic and its subsequent restrictions. Something that also increased was the range of consumers using e-commerce.

It’s a common stereotype for those in the older generations to not know how to use new forms of technology. When a new form of technology is introduced, and you’ve grown up and lived without it, you can often carry on and get by just fine without ever learning to use it.

This isn’t the case in the middle of a global pandemic, especially one to which older people were considered more vulnerable. Whether it’s the elderly learning to use the internet or their children doing it on their behalf, the audience for online purchases definitely got wider as time went on.

ecommerce audience

The switch to pure ecommerce and the demand for interactivity

With the ratio of ecommerce to walk-in stores rising, many businesses found that it was actually more efficient and cost-effective to switch to a pure ecommerce approach than continue using brick-and-mortar stores.

Change is never easy, and though consumers weren’t likely to make the switch themselves simply due to habits, the pandemic was the perfect time to showcase the advantages of pure ecommerce.

The technology used in ecommerce also leaped. Virtual showcases, more detailed descriptions, and even interactive forms of media such as 3D models became widely used to improve the ecommerce customer experience.

Consumers like to try before they buy, a fact that has kept traditional retail stores afloat, but in the age where technology has become so advanced that you have ways of doing that from your living room, there’s very little need for them.

For example, Australian accessory company Bellroy leaves nothing to the imagination, showing potential customers what their wallets would look like.

 

ecommerce wallet

ecommerce wallet

Furniture companies employ 3D models that allow you to examine your new comfy chair from every angle to replicate the retail customer experience.

ecommerce furniture

With the shift to online forms of communication, the demand for quick answers and information has shot up.

If you have questions about a product or service, asking in-store has traditionally been the go-to method of obtaining information. With restrictions in place and limited numbers of stores allowing full face-to-face contact, those who ask these questions have had no choice but to turn to online methods of communication.

Fast responses and clarity are the main concerns. If communication is slow and confusing, customers will likely shop with another provider who will answer their questions if a clear and quick answer isn’t provided.

This leads me to my next point.

Willingness to switch brands

Customer loyalty declined during the pandemic, especially in pure ecommerce stores.

When you’re walking down the street or through a shopping center, it’s not easy to find the motivation to browse alternate stores when the one you usually go to is lacking.

You might settle for a different brand or a lower quality item instead of taking the time and effort to travel to another store. With ecommerce, that other store is merely a click away.
To keep potential customers in your virtual store, you must provide the best ecommerce customer experience possible.

Here are our top 5 ways to do that.

5 superb tactics to up your ecommerece customer experience game

Naturally, the shift in consumer behavior means you will have to switch approaches to running an ecommerce store if you want to satisfy them. This is especially true of customer experience since the lowered loyalty levels mean consumers will likely switch away from your business after having a single bad experience with you.

If you want to keep up with your CX game but are unsure where to start, don’t fear! We’ve analyzed five major changes that have seen success over the past few years and cataloged them below so you can understand what they are and how to start using them.

Building a community

You might think that building an online community is as simple as running social media pages for your brand, but it’s not entirely true. This view doesn’t take into account the nuances of what your audience wants and the values they hold.

Forming a community is less about your business and your products and more about how you shape these to meet the desires of the people you cater to – from Millennials and Gen Z all the way to baby boomers.

For example, the younger generations care deeply about sustainability, with more than 50% saying that sustainability is important when making purchase decisions.
These people have grown up seeing the effects of climate change and the impact of unsustainable business practices on the world around them. They are willing to pay a premium if it means purchasing from a sustainable source.

International shoe brand TOMS caters to this audience by putting sustainability and the community front and center on its website, with the help of informational videos and articles to educate shoppers.

ecommerce toms

Older consumers, on the other hand, have been shown to care more about things that affect their own health and comfort, including a focus on luxury items that emphasize relaxation and security above all else.

How to build your community

The first step is simple – you need to know your audience.

No matter how it is performed, all commerce is limited by what consumers are willing to pay for. This extends to your company, your values, and how the population sees them.

In business, there are no absolutes. You need to change your strategies, processes, and approaches when there is a shift in the priorities of the community you serve.

When building a community around a brand, the first area you look to is often more straightforward areas such as social media pages or forums, rather than the expensive and time-consuming process of overhauling your website. This will help you spread the word about who you are and what you do immediately and at a minimal cost.

A brand’s community is all about emotional context and familiarity. Consumers’ attention spans are shorter than ever, so try and keep your messaging short, simple, and easy to comprehend if you want to expand your community.

Those who have an emotional connection to your brand, and through that to each other, will reach out to you if you make it possible. These consumers are already willing to communicate with you and share their opinions and desires, you simply need to make it happen.

From there, regular engagement, affiliation programs, and creating community platforms where consumers can discuss your brand without your input are sensible next steps. Which of these is most effective and how you should approach them depends entirely on the individual brand in question.

Social media interactivity

ecommerce social

Using social media isn’t just a case of engaging with customers and giving out information upon request; there are actually many facets to it. Four of the main components that can be utilized are:

  • Social media listening: Using software to capture customer insights based on publicly shared information.
  • Social media marketing: Outreach and brand awareness, traditionally thought of as advertisement and spreading information.
  • Social media reputation management: Taking action on reviews or feedback left on social media, acknowledging customers’ difficulties and how you can solve them.
  • Social media engagement: Talking to your customers directly when they have questions, solving issues that they have in a publicly viewable way.

Each factor brings new information and new ways of improving ecommerce CX to the table.

Social media listening can grant you access to information from posts that both are and aren’t directed at you. In contrast, social media marketing allows you to present new information and opportunities to your consumer base.

Social media engagement allows you to directly connect with your customers in a publicly viewable and easy-to-see way, both forming an emotional connection with them and allowing others to directly witness solutions to possible problems that they can utilize themselves.

Social media reputation management consists of responding to reviews or feedback that isn’t directly visible to the average viewer unless they’re looking for it.

Interact with customers in both public and private depending on their preferences. This allows you to go into more detail and have fewer limits imposed by platforms.

Two good examples of social media reputation management in action are FAQs or customer questions on product pages within social media. Questions can be responded to either directly on the page or in a DM to the customer in question.

A good case for publicizing the answer would be to solve a similar issue for others. On the other hand, answering in private can help save face and avoid any potential embarrassment that might arise from certain questions.

While social media listening & marketing can be done formulaically and on a schedule, the other two facets require active monitoring as they’re reactive rather than proactive.

How to get started with social media interactivity

To begin, you need a social media page. Once that’s set up, you should assign duties to your CX team based on each of the four above categories of interaction.

An automated service can do the listening part of social media listening. Later on, it’s recommended that a team member will sift through and analyze the data for actionable insights.

Social media marketing can mostly be done routinely. That said, you should always strive to keep your content fresh and interesting. Using the same templates and information repeatedly will lead to consumers scrolling past you as their brain filters out your posts.

In addition, you need to consider each social media platform’s unique rules and limitations and the audience that frequents them. Tailor your posts to each one rather than simply copy-pasting.

Twitter, for instance, limits your text, so placing some of the information in image form. This will both make the post more eye-catching and circumvents the character limit. The end result is a post that will gain and hold readers’ attention.

Social media reputation management and social media engagement are both far more unpredictable. Consider assigning a dedicated night owl to manage these aspects. Social media runs 24/7 and won’t stop just because it’s after 8 PM or a weekend.

Another factor to keep in mind is speed. Like a series of dominoes, posts can come one after another, leaving your reputation in ruins. The same dedicated team can spot fresh posts mentioning your brand, respond promptly and avoid any potential fallout.

Personalizing the ecommerce customer experience

The idea of a personalized shopping experience is nothing new, it stretches back to the oldest forms of commerce on record. It’s the idea that what customers are exposed to should be relevant to them.

This isn’t just a theoretical idea. A vast majority of customers expect a personalized shopping experience. And when they don’t get it, they get frustrated. You can guess what will happen next.

How to get started with personalization

Personalization can happen in any form of communication. On your web pages, emails, SMS messages, and more. You just need a platform that can accomplish this magic and a wealth of data.

Here are some of my favorite ways to tackle personalization:

  • Localized content: language, interests, and region-specific information. Check out this example from Paul Valentine, as it recognizes the customer’s geo-location and sends them to the relevant region.
    ecommerce ringecommerce ringe
  • Recommended products: in side/banner adverts, suggested products, and email promotions. I’m sure most of you have received a “We thought you might also like” email filled with products that complement the one you just purchased.
  • Targeted discounts: relevant products in emails, pop-up promotions, and bundles.
  • Navigation adjustment/dynamic layouts: adjustment of website or app navigation functions and layouts based on the previous interactions a customer has had with you.

Dynamic supply chain planning

With the increase in online shopping, ecommerce demand and turnover have remained high even with COVID-19 restrictions being a thing of the past in most countries.

Those consumers who entered ecommerce during the pandemic largely did so as a replacement for in-store purchases. They demand instant processing and same-day dispatch where possible. They treat a website exactly like a brick-and-mortar store – a place to find answers and obtain products immediately.

This is complicated by the fact that the pandemic disrupted supply chains all over the world. Ships were stuck in port, flights were grounded, and vans were told not to start. While the gears of global supply have started turning again, various global factors have left it in less than optimal condition.

And this dramatically affects the ecommerce customer experience.

Fortunately, there are several factors you can plan for that allow you to make up for most bumps in the road when it comes to your supply chains.

The first step is to assume that there will be problems you cannot predict or fix yourself, as that’s true of any dynamic involving two or more parties. Once you’ve accepted that, you can begin looking at your supply chains and predicting what obstacles might crop up in your path, then start planning how to avoid them.

How to get started with supply chain alternatives

ecommerce dynamic

There are several things you can do to up your supply management game, all of which involve the use of technology to some extent.

Fear not, for during the course of 2020-2021, alterations were made to supply chain management (SCM) software, and most of the bumps have already been determined and accounted for by the experts.

  • Finding local alternatives to international materials/goods. With international trade being among the most disrupted, finding local alternatives to goods that you usually purchase from abroad is a must. This ensures that supply chain disruption is minimized and nets points with consumers who love to shop locally.
  • Factoring in scarcity. One of the main issues facing manufacturing in the current times is a shortage of rare materials and goods, either due to mines and plants operating at reduced capacity or supply chains having been diverted.
    In any case, if you rely on these components or goods as the main facet of your ecommerce business, you will need to adjust prices and margins to account for the increased cost of acquisition. In addition, you need to be prepared for the possibility that supplies will dry up further and stockpile to keep your operations moving while the supply chain issues resolve themselves.
    On the flip side, simply because shortages exist now does not mean they will continue to do so. The bullwhip effect, as it is called, is a well-known effect that causes supply shortages to be passed up the chain, overcompensating each step until an overabundance is created.
  • Using omnichannel for inventory management. Inventory management is a nightmare at the best of times, and when you’re dealing with ecommerce, where you might have multiple storage locations across different cities, it’s especially challenging.
    Omnichannel approaches combine all your information into one database, often using cloud software to instantly transfer information. With demand for instant answers and speedy deliveries at an all-time high, knowing precisely what you have access to and where it is located is crucial for an excellent ecommerce customer experience and success.
  • Accounting for delivery delays and transportation issues. There will always be delays and other transportation issues. That much is inevitable even if the times of lockdown seem to be behind us. While you can’t stop these from occurring, what you can do is account for them in your delivery estimates.
    Overestimating delivery times is often your best bet, especially in cases where the mode of transportation you use experiences regular delays. A customer who expects their order within fourteen days and receives it within seven is a happily surprised one, compared to the opposite scenario.
  • The uncertainty of demand. In the current market, it’s not always clear whether customers will continue their current spending habits or alter their behavior. The entire summer vacation of 2020 basically did not occur. It was a massive blow to retailers looking to capitalize on this regular, predictable demand increase for certain items. And with inflation rising, we may see purse strings tighten in the upcoming months.

In contrast to the advice given above, if demand is uncertain and you’re not sure if consumers will continue to purchase your products, do not stockpile. Some ecommerce stores have even switched to a model where they order goods from the manufacturer only after a customer has made an order. It may adversely affect the customer experience but will keep you in the black.

Informative & interactive product pages

When shopping online, consumers are unable to physically see products in person before purchasing.

Viewing a product remotely and fully analyzing its capabilities is an attractive proposition. It saves consumers time and effort while allowing them to view products from all over the country.

It’s long been believed by the general public that when you order online, buyers beware, but creating informative and interactive product pages puts this fear at ease.

How to get started with helpful pages

First of all, check what the platform you use offers. Some have strict limitations on page size and images, while others allow a more free hand.
Amazon, for instance, imposes a title limit of 250 characters and a description limit of 1,000 characters. In addition, only six photos are allowed in the main part of the listing for any individual product.

eBay imposes similar limits, though indirectly, as their pages will cut any description over 800 characters down to 250 characters on mobile devices.

Using your own website will avoid these limitations. But before you run off to the drawing board, consider if the value outweighs the costs and challenges, as creating a website that provides a great ecommerce customer experience can be tricky.

Ultimately, there is no clear line where it’s sensible to switch from a pre-existing platform to your own. It depends on your industry, reputation, and engagement, amongst many other factors.

Once you know your limits, work with them instead of against them. Aim to make your page as informative as possible within the text confines. This can include:

  • Hitting the right keywords to make sure you show up in searches (SEO).
  • Adding elaborate descriptions to give consumers accurate ideas of your products, dimensions, manufacturer, model numbers, etc.
  • Listing the parts included in your product. This is especially important if your product requires batteries or cables, etc.
  • Naming all the features of your products in order to give the customer an idea of versatility.

In addition, you should ensure that videos and images of your products are not only accurate but have a sense of scale.

Ideally, when customers view your page, they should be able to imagine themselves next to your product after seeing just the media content, knowing its size and weight, etc. Remember how Bellroy used an interactive slider to change the wallet’s look? Think like that.

Further, as consumers often view websites in other countries, it’s wise to have measurements in multiple units, i.e., in both cm and inches, both pounds and grams.

Lastly, ensure your page is optimized for all devices and operating systems. Customers move around between their laptops, tablets, and phones, and you need to make sure your page looks the part in every possibility to provide to ultimate ecommerece customer experience.

What’s after ecommerece customers experience

The world of ecommerce was shaken up immensely by the COVID-19 pandemic and the restrictions imposed on the world. Keeping up with consumers’ expectations is difficult, but after reading this article, you’ll better understand how to improve your ecommerece customer experience.

Remember, though, that the world of CX is constantly changing. What once worked may be rebuffed, and what once was reviled may become commonplace.

Ultimately, the decision about how to approach CX and what aspects to focus on is up to you, and there is no absolute right and wrong answer. Different demographics and industries have different needs, and you’ll need to test and figure out what works best in your case.

If you need a hand in analyzing what customers think of you, check out this blog post for further insights.

How To Improve Your Star Rating On Amazon

Amazon Seller Reputation: Why It Matters

Increasing your seller reputation is never a bad thing. It lets you increase your sales, boosts your reach and lets you track how you’re doing in terms of marketing. Amazon’s star format is one of the simpler ones for customers and those who view you to understand, but it’s slightly more complex when it comes to figuring out how to increase it.

The first thing we’ll get out of the way is this – your seller rating is not the same as your seller feedback. One is determined by the other, but feedback is discarded by the algorithm and doesn’t have an impact after 365 days. Thus, it’s not only important to get lots of good reviews but get them often if you want to keep your star rate high.

The Difference Between Product Reviews And Seller Reviews

Product reviews aren’t the same as seller reviews. One is directly related to the product in question, while one to the seller. One is about the quality of the product, the other the service and experience that the customer had with you. You’ll find both options on your 

This might seem unnecessarily complex, but you need to remember that plenty of Amazon stores sell things that they don’t manufacture. It wouldn’t exactly be fair to put the burden of manufacturing errors on those who are just suppliers. It’s important to note that only those who’ve purchased from you can leave seller ratings, and only up to 90 days after purchase.

Seller reviews usually focus on packaging quality, shipping speed and communication by the seller. Anything that involves product description would also count. You might see feedback about incorrectly sized items, misleading photos etc. – these are also seller reviews.

Infographic

Your seller reputation, in other words your star rating, is concerned only with seller reviews. Given said rating helps determine where you rank in the Amazon search function, it’s important to keep it high.

The Definition – What Are Amazon Product Reviews?

Product reviews are the other end of the stick. They’re reviews that are specific to certain items or groups of items that you and others might sell. They’re written with the intention of helping future customers decide what to buy based on quality, durability etc.

You can leave a product review from the Orders tab just as you can leave a seller review, but it’s important to note that people who haven’t purchased from you can leave product reviews too – they just need to have purchased something from Amazon in the past twelve months. While this is designed to let people who obtained the product elsewhere leave feedback, there’s definitely potential for abuse so keep an eye out for ratings that seem suspicious.

Infographic

Given Amazon’s feedback system is in the form of comments left on items, you’ll often find product reviews and seller reviews lumped into one string of text. Customers don’t want to write things out twice when once is easier, so you’ll often find product reviews left in the seller review section and vice versa.

Why Are Amazon Product Reviews Important?

So, if product reviews don’t directly impact your seller rating why should you care about them?

Product reviews affect Amazon’s SEO, that is to say that if you have good ratings you’ll appear higher up in the recommended section of searches. They’ll also give you information about your products – quality, potential defects etc. This can be used by you directly if you manufacture your own products, or if you’re simply a supplier, used to decide what products you should continue to purchase from their manufacturers.

Product reviews also help in another fashion, and that’s to do with the psychology of purchasing things online. Consumers are suspicious of products with few reviews, thinking that they might be faked or inaccurate because of their small sample size. In fact, it’s been shown that how recent your reviews are also matters, with ratings from more than six months ago being virtually ignored by consumers browsing your products.

Techniques To Get Reviews On Amazon

So if reviews are that important, you’ve got to use techniques to get them. Most people won’t leave a review out of their own initiative unless they’ve had a particularly noteworthy experience, so a little bit of incentivisation doesn’t actually affect the accuracy of your reviews.

  1. Ask For Feedback

If you want feedback, you can just ask for it! Sending emails to customers asking for a quick review is a good way to get responses, as it’s quick and easy to do. 

Consumers are aware of the need for reviews to get good Amazon ratings, and a quick reminder is often enough to motivate them if they’ve had a particularly good experience with you, which will give you the bonus of good feedback.

  1. Include Links To Feedback Pages

If you’re emailing customers, you should include links to feedback pages for the specific items they purchased. Nobody likes having to put effort into something that they’re doing as a favor for someone else, so making the process as easy as possible is advised.

  1. Automate The Process

Of course, sending all these emails by hand is going to be a nightmare. The best way to get around that is to use automated email writing software, which has the added bonus of reducing mistakes made when transcribing links or product titles. The words Bread and Breed might look similar to a human, but to a computer it’s all 1s and 0s.

  1. Amazon’s Vine Program

It wouldn’t be capitalism without a pay to promote option. Amazon’s Vine Program is a paid program that lets you confirm that your reviews are genuine, and provides the option to get your products reviewed by e-commerce experts.

  1. Social Media Campaigns

Social media advertisements are another pay to promote section, but in this case you’re paying to have popups reminding your customers that they’ve purchased from you and a review would be nice. This can border on the level of “knowing too much”, but most consumers these days know all about big data and won’t be fazed by it.