Technology Impact On Customer Experience



Guest Writer

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It would definitely be a wonder if someone could help us know any field that didn’t change thanks to technology’s impact. That’s what significant role technology plays, starting from an individual’s life to the entire functioning of a company. However, imagine a company with the best workflow and workforce. With management, required machinery, financial stability. With everything needed for a successful business, except the crucial part – the customers.  Well, could all that we already have, help us in attaining the purpose of the business? You know the answer very well.

Customers are gained. And the experience they are offered is what makes them decide if they further want to be YOUR customers or not. And its significance is observed to increase with every passing day. To the extent where the experience overtakes the price too. 

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But the concern has always been – how to improve the customer experience? Starting from the importance of CX, and followed by the technology’s impact on CX, as well as a gist on the future of CX, let us move ahead step-by-step.

Significance of Customer Experience for Businesses With Statistical Proof

Customer experience, also known as CX, has gained a lot of importance in the past years. Businesses have begun to consider the behavior, needs, and wants to make sure that the customers are happy and satisfied. But however, there are certain undeniable reasons for businesses to be considerate towards CX.


Picture 1. Customer Experience Management Software can help you with revenue

Businesses, understand the importance of the 3 fundamental benefits CX could offer. They have started working on formulating strategies for the same. Apart from the ones mentioned in the image, the other objectives for prioritizing customer experience are:

  • Value or reliability can be increased by 58%
  • Increasing up to 30% the data-driven personalization
  • Improving interactivity for about 28% 
  • Increasing up to 17% the use of real-time marketing
  • Enhancing self-service preferences up to 15%
  • Improving up to 9% the channel’s flexibility 

If, through one strategy, a business could achieve the listed objectives, why not go for it? More than 62% of the businesses have realized the need for a CX strategy. And they are beginning to look at it as the one to contribute to a competitive edge. 

Gartner’s study states that in the next two years, companies are most probably to compete based on cx. About 22% of them think that their strategies have exceeded the expectations of the customers.

Technology’s Impact on CX

Technology has been invading and revamping almost every field of business. From recruiting, financial management, online payroll solution, travel management, production management, packaging, sales, and whatnot? Customer relationship management is no exception. With the various developments of technology, its impact on customer management has been significant!

Renewed Digital Payments

One of the most significant technology impact is the possibility of making payments digitally. This possibility has empowered the customers to an unimaginable extent. Until a few years ago, the use of either debit and credit cards was observed to be effective. But however, the development of technology in this regard didn’t end there. Instead, it has given an even better solution. 

The multi-dimensional characteristics available on smartphones have enabled the customers to clear the payments most seamlessly. And today, it is the most preferred mode of payment. Also, it’s proved to be more effective than debit and credit cards. 

56% of the customers state that the overall enjoyment of the purchase experience matters the most in the very decision of procurement. And in the whole process of purchasing, payment too has an important role. The ease of payment through mobile phones is said to add to the better experience of clients. Technology indeed has a significant impact on the experience of the customers.


Picture 2. Digital payment has evolved very fast

Enhanced and Instant Interactions With the Clients

The big technology impact was in the field of communication. The way that technology has enhanced communication is tremendous. Businesses are not about just creating customers, but their major concern is maintaining a relationship with them. And one of the primary aspects that contributes to such a good relationship is communication. Say about 50 years ago, even to think of communicating instantly was far from reality. But definitely not anymore with the arrival of technology.

It is important to note that, as much as it’s essential, how we communicate matters a lot too. For example, repeating the same query multiple times and not receiving the right answer is frustrating. Not just the customer but anyone for that matter. Another aspect of communication that technology has saved us from is availability. Communication is possible despite where we are and what the time is!

There is where omnichannel platforms can help! Stay in touch with your customers and let them know they can rely on you- every day of the week. To provide a great customer experience you have to do just that- be great!

Read Customer Experience Guide: How to Put your Customers First?

Gone are the days where customers used to wait to talk to the customer service agent. Now, with the availability of chatbots and other related tools, the experience of customers is enhanced highly. This can indeed add to the company’s reputation! About 64% of clients recommend a brand even if it offers even a simple but good experience. Many eCommerce retailers who understand the need for effective interactions have already begun to offer the most advanced solutions to clients. They are improving their brand by providing an unexpected level of service for a better customer experience. 


Picture 3. Communicate with your customers! Be available to help them!

Technology Has Broadened the Path for Personalization

Personalization is something that everyone looks for. Especially when it comes to customer experience! Personalization helps in contributing to the customer’s satisfaction, loyalty, and retention. And this is fulfilled with the help of technology. The various tools of technology are basically designed to enable and enhance UX as well as UI. 

Imagine that a store has a regular customer who never misses buying a particular product whenever he visits the store. During any celebration or festivity, the store offered a compensatory product to the customer along with the other product bought. This strategy was tried with a few and has now become one of the critical strategies that have increased personalized services. Customer experience also increases as they feel valued. 

Another aspect of personalization is brought forth by big data. Companies have begun to collect the feedback of the customers regularly. But imagine a vast amount of data that is collected to be analyzed, categorized, and used to identify the behavior of the customers; it’s a little tricky. Nevertheless, that’s where big data plays an important role. And these analyzed data are used to address the clients in the desired way and thereby creating a good customer relationship.

Contributes to Better Customer Engagement

Many businessmen state that maintaining a good relationship with the clients is even more challenging than creating customers and keeping them engaged with the company. Entrepreneurs are more than ever concerned about how to make engagement possible. However, technology is playing the role of rescuer even in this case. Be it the interactions with the customers, staying connected with personalized or automated messages, etc. Technology has paved the way for customer engagement despite the hurdles like distance or language.

One primary instance is where most of the interactions are happening with the devices, as per the wants of the customer. And the sudden pandemic has increased the need for such interactions to stay engaged and connected virtually or through instant messages. This scenario has proved the following statistical prediction.

However, Gartner predicts that by 2022, customer interactions for about 70% of them will take place through other emerging technologies. This percentage is indeed a tremendous rise from 15% in the year 2018. Moreover, the seamless access to the internet and social media has provided an opportunity for businesses to keep the customers updated with their products and services. In addition, certain companies have taken a step ahead in enquiring and wishing the clients for their well-being during the time of crisis like the unexpected pandemic. As a result of this, formal as well as informal engagement with the customers has convinced about 67% of them to even spend more for the experience and satisfaction they receive in return. 

What to Expect In the CX’s Future?

When it comes to technology, there is always room for surprises and excitement without fail. For instance, about 87% of businesses are confident that customer experience is extremely important for them. But the majority believe that this will be achieved through technology alone.

However, there has been a fall in the customer’s trust in 2020 compared to the year 2019. It has become even more important to address the right strategies to overcome the loss of client’s trust in the coming years with such changes. Therefore, what to expect in the future has popped up in many minds.  

Primary Factors to Look At in the Future of Customer Experience

The Growing Demand Will Lead to the Tech’s Prevailing Acceleration

The pace at which technology is developing each day is tremendous. Technology impact is more noticeable every day! The more the demand is increasing, the more is the tech’s offering, exceeding the expectations. And moreover, the majority of the clients currently are millennials who are tech-savvy and driven by the need for automation of tasks. The pandemic, in a way, forced some businesses who were resistant to adapt to the new changes. Many of them are now willing and open to new experiments along with the change in the customer’s behaviors. 

As discussed earlier, personalization is crucial. 2 out of 5 customers have given up on purchasing from a company for the sake of a better experience. And thus, it will undoubtedly spur the need for new trends and progress in the coming years, especially in terms of personalization.

Thus, one of the major outlooks into the customer’s experience will be an increased need for more advanced technologies such as omnichannel. And no doubt, the speed at which we can actually use them would be sooner than any of us could think of. 


Picture 4. Treat the customer as they want to be treated!

The Need for Human Aspect in the Evolving CX Will Be Redefined

Although technology is fulfilling most of the human desires and improved ways of interaction through machines, men have understood the emerging isolation too. This has led the companies to redefine the way they connect with the customers. The expectation will be concerning both! Technology enhances the experience as well as the need for a human’s actions. 

Thus, whether the companies handle the customers through personalized phone calls or employ AI or ML to address the need, the human factor will remain forever. And for this reason, technologies may develop in such a way that it doesn’t wholly eradicate humans but augments man’s capabilities.

There Is Absolutely No Way Back but the Expectations for the Next Will Be Greater

Technology’s impact is a big one. Tech has created such an impact on every individual’s life that there’s no way to live without its aid. However, we know for sure that our ancestors lived without any of the privileges we enjoy today. And yet, there’s no way back. There is a wide range of opportunities for more improved technological tools to be invented. They would enhance the way we deal with customers and help with providing better cx. But none would prefer to think of the traditional ways. 

The various events of the past have proved to us that strategies that were temporarily undertaken have now become established. Businesses are left with no option but to embrace them. This was very evident in the case of technology and its use in engaging with the customers. These changes have opened the doors wider for customer experience on an unimagined level. And thus, it is clear that the new normal is more of ‘next to normal’ than going back to the normal.

Wrap Up

It’s vital that the organizations realize that the best way to improve customer experience is to make them feel treated well and cared for. And for this, technology acts as a game-changer and a great tool. While businesses understand the importance of emails and messages now, so will they accept technologies such as AI, ML, etc., in the coming future. All that matters is the willingness to adapt to the changes in the customer’s needs. And once the desire is felt and strategies are implemented, there will be no hindrance in creating the most cherishable and lasting experience for your customers.

Shubham Joshi is an experienced content marketer. Passionate about training and development programs, he is always ready to help colleagues and customers by representing concrete ideas and methodology. Beyond work, he is well-equipped with problem-solving abilities.

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Technology Impact On Customer Experience was last modified: August 11th, 2021 by admin
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