Implementing the Digital Customer Experience in the Manufacturing Industry

© AdobeStock
While manufacturers' strategies largely concentrate on things like R&D, automation, and production efficiencies, it is becoming increasingly important to engage customers with robust digital experiences.

gettyimages-517665054-compressorRecent research by Gallup found that more than 70% of B2B companies are at risk of losing customers by not fully engaging them. Manufacturers need to move beyond simply selling to their customers to cultivating relationships with them through compelling digital experiences driven by content.

Tom Dougherty, director of user experience at the Delete Agency, told Global Manufacturing that business-focused web platforms need to act as more than a simple online version of a product catalogue. Dougherty said customers are looking to be inspired, influenced, engaged and reassured that it is the right supplier or partner for them. “The right digital presence can say a lot. Even if those customers are other businesses, they’re still people interacting and they need to be connected with,” said Dougherty.

Brian Hartmeann, consultant at McKinsey, said in a public statement that few manufacturers are responding to opportunities and threats presented by the digital revolution. Hartmann said it is “breaching the walls of manufacturing” and will transform every link in the value chain, from research and development to supply chains, sales and service. While some manufacturers are using digital to improve their production, most are not using it to fully engage their customers.

“The right digital presence can say a lot. Even if those customers are other businesses, they’re still people interacting and they need to be connected with.”

McKinsey principal Nicolas Maechler said companies developing strong B2B digital customer experiences are seeing “striking results.” Maechler noted that B2B customer experience index ratings significantly lag behind those of retail companies and that these gaps will grow even larger as expectations continue to rise. Much like consumers, business customers now have the same standards for fast, seamless customer experiences with mobile functionality and real-time responsiveness. Maechler said companies that have undertaken broad transformation in the customer experience process have seen higher client satisfaction scores, reduction in costs, revenue growth and an increase in employee satisfaction. “In our experience, customer-experience leaders in B2B settings have, on average, higher margins than their competitors,” said Maechler.

Complex B2B purchase paths can make it challenging for manufacturers to create a strong digital customer experience. Maechler says companies need to use mapping exercises to truly understand their customers, the purchase process and how they can enhance the experience in each situation. This can mean mapping paths from the sales force and procurement team to R&D teams and manufacturing heads. Companies may also need to split the journey into “standard” and “specialty” tracks to minimize the complexity in meeting the special needs of small percentages of their client base.

Dougherty said manufacturers need to overhaul their customer experience and move from purely specific product-focused models towards more intuitive models. He said immediately reaching for “the first technological online presence to make them appear cutting edge and modern” isn’t always the best approach. Manufacturers need to implement a digital customer experience that starts with understanding customers, addressing their needs and putting them at the forefront of transformation of the online presence. “Otherwise, you could be overcomplicating their experience of you – essentially making it much harder to sell,” he said.

A report by Oracle said that while content is an essential part of the buyer’s journey, it is only relevant when customers and context are brought into the equation. The report said customers want “rich content in the context of where they are in the buying cycle” and that they want to be inspired in new ways. Oracle said both B2C and B2B are in an environment where marketing and commerce is colliding.

Dougherty said manufacturers may find it harder to compete as the retention of existing clients becomes just as important as acquiring new ones. He said relying on the strength of product design and competitive pricing is “no longer enough.” “[Manufacturers] need to view the world through the lens of their customers and prioritize the customer experience,” said Dougherty.


MORE LIKE THIS

  • Get the CEO Briefing

    Sign up today to get weekly access to the latest issues affecting CEOs in every industry
  • upcoming events

    Roundtable

    Strategic Planning Workshop

    1:00 - 5:00 pm

    Over 70% of Executives Surveyed Agree: Many Strategic Planning Efforts Lack Systematic Approach Tips for Enhancing Your Strategic Planning Process

    Executives expressed frustration with their current strategic planning process. Issues include:

    1. Lack of systematic approach (70%)
    2. Laundry lists without prioritization (68%)
    3. Decisions based on personalities rather than facts and information (65%)

     

    Steve Rutan and Denise Harrison have put together an afternoon workshop that will provide the tools you need to address these concerns.  They have worked with hundreds of executives to develop a systematic approach that will enable your team to make better decisions during strategic planning.  Steve and Denise will walk you through exercises for prioritizing your lists and steps that will reset and reinvigorate your process.  This will be a hands-on workshop that will enable you to think about your business as you use the tools that are being presented.  If you are ready for a Strategic Planning tune-up, select this workshop in your registration form.  The additional fee of $695 will be added to your total.

    To sign up, select this option in your registration form. Additional fee of $695 will be added to your total.

    New York, NY: ​​​Chief Executive's Corporate Citizenship Awards 2017

    Women in Leadership Seminar and Peer Discussion

    2:00 - 5:00 pm

    Female leaders face the same issues all leaders do, but they often face additional challenges too. In this peer session, we will facilitate a discussion of best practices and how to overcome common barriers to help women leaders be more effective within and outside their organizations. 

    Limited space available.

    To sign up, select this option in your registration form. Additional fee of $495 will be added to your total.

    Golf Outing

    10:30 - 5:00 pm
    General’s Retreat at Hermitage Golf Course
    Sponsored by UBS

    General’s Retreat, built in 1986 with architect Gary Roger Baird, has been voted the “Best Golf Course in Nashville” and is a “must play” when visiting the Nashville, Tennessee area. With the beautiful setting along the Cumberland River, golfers of all capabilities will thoroughly enjoy the golf, scenery and hospitality.

    The golf outing fee includes transportation to and from the hotel, greens/cart fees, use of practice facilities, and boxed lunch. The bus will leave the hotel at 10:30 am for a noon shotgun start and return to the hotel after the cocktail reception following the completion of the round.

    To sign up, select this option in your registration form. Additional fee of $295 will be added to your total.