FAANG. Yes, FAANG. Why start here? Because Facebook, Amazon, Apple, Netflix and Google have helped to re-define how many, many industries do business. Incumbent TMT (Telecoms, Media and Technology) companies know the pressure to diversify – so many of the services that were the mainstay of success have become commoditised, at the same time the digitally native giants gobble up big chunks of any new markets, says Mark Rogers, managing director, Communications, Media and Technology at Accenture.
As traditional telcos branch out into as-a-Service, hosting and other back-office functions, there’s another change in motion: who the customer is. If we continue the telco example, handsets and call plans are very consumer-oriented, transactional relationships. However, as B2C stagnates and B2B offers the growth opportunities, this profile of what a customer looks like is less and less accurate. B2B sales processes involve more buyers and while they do act like consumers in some ways – with multiple channels impacting their decisions – the funnel operates very differently.
TMTs need to shift investment from B2C and retarget it into B2B to take advantage of the growth opportunities. There has been an over-investment in B2C processes at the expense of B2B ones for many years. It’s natural because B2C has been the bread winner for TMT businesses, and so their investments and resources have followed. But it has meant that B2B has become the poor relation, having to beg and borrow funding and capabilities within the organisation, and often running on systems that were originally designed for B2C. Now that the customer has changed, so must the business.
Whatever industry a company is in, the universal truth is that the customer experience is king. A more natural, intuitive and personal experience can help businesses be more successful. But many TMTs are not used to the customer they now have.
And one of the biggest differences in the experience for the B2B buyer is the sales person. Increasingly they are the customer experience. They need the support of other channels and the backing of a sound process for delivering on their promises. They also need useful data to tailor the experience. But they themselves are critical to delivering the right experience. This is a key part of some new research we’ve done called ‘Getting Personal’.
As well as not always having the right back end processes, we have so much data. We’re an industry well versed in collecting information. Sending that down a pipe to a salesperson rarely does anything more than overwhelm that individual. A single person simply cannot handle the volume of data we have at our disposal. And yet it’s important to channel that insight.
So how can businesses take steps to overturn the trend to more B2C, create an excellent experience and help their sales people do a better job of focusing on the new customer?
The much needed boost, can come from three key areas:
- Plan the journey – Build a roadmap for the change that allows you to be agile with how you build and roll out new processes or technology. It’s not like flicking a switch, but make sure this journey delivers value along the way. No process is a fun one if it doesn’t give you some wins along the way
- Fix the basics – Get things like bid management and common contract language nailed up front. Without these in place the whole operation will be inefficient. By doing this from the outset, you can make the process of selling and starting a relationship much quicker and easier – a better experience
- Human + Machine – Use Artificial Intelligence (AI) wisely to help your best salespeople continue to be your best salespeople. Use an algorithm to filter and refine the data you have into insights that salespeople can use. When they have this, they will become better at their job of strengthening the customer experience
These are some of the steps to becoming what we call an ‘intelligent enterprise’. Although most people know that they have a new customer and have to behave differently, they’re mired in legacy technology, processes or both. The digitally native organisations don’t have this challenge. They know the customer and are naturally geared towards addressing them. This is how another trend, which we call compressive disruption, will gradually squeeze the profitability out of organisations that have not evolved. Knowing who the customer is has to be step one in changing that.
The author of this blog is Mark Rogers, managing director, Communications, Media and Technology, Accenture
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