As noted in many previous articles concerning the customer experience, we live in “The Age of Acceleration,” where the only constants are change and the speed at which it is intensifying. It seems that the accommodation of change, especially when it comes to keeping up with increasingly fickle customers, is creating calls for action across broad swaths of various verticals that companies need to quickly rethink their strategies and tactics for remaining relevant with their customers.
Driven by the converging forces of cloud, social media, mobile and big data, according to a new report from PwC US titled Experience Radar 2013: Lessons from the U.S. Software Industry, the need for urgent rethinking is particularly true for enterprise software vendors.
The study, which is one in a series of customer-centric reports, measures the experiences of about 6,000 U.S. consumers across multiple industries.
The PwC study examined five core enterprise software customer experience attributes—quality, support, convenience, presentation and community. The Experience Radar study, according to PwC, reveals the hidden sources of value that can enable independent software vendors (ISV) create exceptional, differentiated customer experience.
“Responses to our survey suggest that the days of large-scale sales and implementations are behind us and as a result, software vendors in this demand-driven environment are no longer able to mandate terms,” said Patrick Pugh, PwC’s U.S. software and Internet leader. “Today’s software customers have options and expect next-generation sales to be uniquely tailored to their needs and able to move at the pace with which they do business. To stay in the game, leading software vendors need to deepen relationships with customers and offer what they value most.”
The study notes correctly that as a result of the growth of non-traditional players offering cloud services, new online business models and lower margins, “The balance of power is to the customer.” This means ISVs must put a premium on customization, adaptability and multichannel access in order to satisfy the requirements of today’s software end user.
Five behaviors to consider
The details on the five behaviors the Experience Radar survey defines for ISV consideration to change the game in their favor are:
For those not familiar with Experience Radar, it provides an analysis of behavioral profiles for the enterprise software segments; up and coming corporations, emerging empires and big business behemoths. It also outlines the Small & Medium Business (SMB) category across three behavioral segments: mid-sized movers, elemental establishments and vivacious ventures.
"Some of the top drivers of great customer experience for the software industry – smooth installation, prompt support and personalized attention – serve as powerful guides for other industries to follow in determining how to create meaningful experiences to drive long-term customer loyalty,” said Paul D’Alessandro, PwC’s U.S. customer impact leader.
While much of the above is likely to read like common sense to ISVs, other studies have shown a divergence between recommended best practices and those which are actually followed. What the PwC work highlights is that things are moving fast, and that if you are an ISV the time is basically to stop thinking about changing your approach and start doing. The word “alignment” is a good one to focus on. It is not just about aligning with enterprise IT needs and understanding enterprise-wide objectives; it is also about aligning with customers’ changing tastes and providing enterprises the agility and tools they need to stay ahead of the game.
With so many ISVs being small shops, getting past the mindset of, “If I build it, they will come,” is imperative. It is both common sense and good business sense, and the PwC list above is something to carefully consider. This is especially true for those who write software for the contact center solutions market, where creating enterprise apps is a real growth opportunity not just because of those converged forces cited above, but also because of the criticality of the contact center as the front door to enterprise value chains.
A download of the PwC Experience Radar report makes for a useful read. The customer is king and PwC is right in concluding it is time to retool.