Top 10 APAC digital trends for enhanced CX
Business Chief highlights how an effective customer experience can pave the way for marketing success, based on a report by Adobe in partnership with Econsultancy.
Companies leading the way in customer experience (CX) are three times more likely to have exceeded their 2019 business goals, according to the 2020 Digital Trends in Asia Pacific report.
Adobe, in partnership with Econsultancy, quizzed more than 75,000 marketing leaders for the 10th annual survey. It revealed one in five (19%) APAC organisations identify better CX as their most exciting opportunity for 2020. “Fundamentally, 2020 Digital Trends report shows that today the value of CX is unquestionable,” said Alvaro Del Pozo, Vice President of Marketing, Adobe International.
Business Chief takes a closer look at how APAC organisations can deliver an improved CX.
Investigate new customer points of connection
As APAC is predicted to be the largest region for Internet of Things (IoT) technology, organisations are looking at new ways to connect with customers through wearables and other connected devices.
Optimising the CX was considered the most exciting opportunity this year, according to statistics in the Adobe Digital Trends report. Using data to anticipate the needs of the customer was identified as the top priority (19%) along with communicating through compelling content (14%) and data-driven marketing that focuses on the individual (13%).
CX — key differentiator for first half of the new decade
APAC marketers say the best way for an organisation to improve CX is to stand out from the competition. Letting customers know they are understood, by better anticipating their needs, is a key goal. A total of 21% APAC companies in the report agree CX must be made easy, fun and valuable to differentiate itself over the next five years. Product service innovation (17%) and service quality (15%) all come in the top three of ways to stand. India shows a greater emphasis on connected offline and online experiences to provide a seamless service. According to the digital trends report, executives in China feel the best way to stand out from the competition is through design.
India and China prioritise mobile and video
Adobe’s digital report reveals that two of the most populated countries, India and China, stand out for a greater focus on using mobile and video to improve brand engagement. This is due to the fact many people outside the cities are poorly served by fixed-line-fibre broadband. This makes mobile the preferred communication channel and the 4G and 5G roll out is happening at a brisk pace, allowing connections to support the extra bandwidth of video. Forrester is predicting mobile video consumption in Asia will triple between 2017 and 2022. It is also predicted that half of all app downloads worldwide will originate from this region by the end of 2020.
CX maturity in APAC falls behind the ROW
APAC trails behind the Rest of the World (ROW) in CX maturity with China the regional leader. Australia and New Zealand fall some way behind both in developing dedicated teams to improve CX.
Just 7% of APAC organisations consider themselves ‘mature’ in CX, compared to 11% for the ROW. This lag leaves the region playing catch up on building, as well as delivering, digital marketing strategies that focus on CX. “Planned investments in technology will not be sufficient, unless matched by greater maturity for drawing up a strategy and organising dedicated teams to deliver on those plans for growth,” says the report.
APAC to increase CX technology investment
APAC marketers are actively planning an investment catch-up, Adobe reports. A total of 57% of organisations reveal they are likely to increase their investment in CX-related technology in 2020, compared to 47% of companies across the ROW. Investing to bridge the CX maturity gap is clearly seen where budgets are going. Adobe’s reports also reveal APAC organisations have a far greater appetite for Machine Learning (ML) and Artificial Intelligence (AI) investment in 2020–34% compared to 25% across ROW. This is particularly true of India, which leads in the region, with 46% of organisations revealing they plan to invest in ML and AI in 2020.
APAC marketing innovation leads the world
Delivering personalised experiences in real time is already being incorporated by 33% of APAC businesses compared to 26% across the ROW. They are also leading the way in; enhanced payment technology (25% compared to 18% in ROW) utilising AI to drive campaigns (23% compared to 15%) IoT (21% compared to 14%) and progressive web apps (18% compared to 12%). “This appetite to invest in new technology to improve CX underlines a central characteristic of the region,” says the report.
India and China double down on AI
For those keen to observe how technology can transform digital marketing, China and India are the places to watch. According to Adobe’s Digital Trends the Chinese government is building a $30 billion fund to ensure it is the world leader in AI technology by 2030. India’s central government is also earmarking nearly half a billion dollars of investment in AI. “This top-down investment in new technology is fuelling an innovation drive in China and India that encompasses Augmented Reality (AR) and Virtual Reality (VR) adoption, IoT and blockchain technology. It is no surprise to see marketers are excited by these technologies and are already investing in them.”
India prioritises mobile technologies
According to the report, India is leaning towards mobile wallets and Progressive Web Applications (PWAs). This is due to mobile leading the way as a channel for reaching out to a huge population scattered across a vast area. PWA’s mimic the ease of use of an app, allowing a brand to offer the consumer a slicker service. They benefit from not requiring a fast, mobile broadband connection to download and yet still allow a consumer to interact with a brand as if they were using a sophisticated app.
China and India use mobile to tackle ‘unbanked’ consumers
The report reveals India has the second highest number of consumers without a bank account in the world. With a total of 191 million consumers ‘unbanked’ improved services will come to nothing if customers do not convert. Empowering this audience to make mcommerce purchases through mobile wallets is a huge priority. Although China had a similar problem it acted quickly and now has nearly nine in 10 customers using a mobile wallet. According to research by PriceWaterhouse Coopers (PwC) that makes the country a world leader in mobile payment penetration.
Australia and New Zealand buck the trend
One in three companies in Australia and New Zealand are bucking the trend when it comes to investing in technology. This lack of digital investment has prompted the Australian government to encourage greater R&D in technology. The report concludes “A/NZ has fallen behind on CX but has identified catching up as their most exciting opportunity for 2020.”
For more information on business topics in Asia Pacific, Australia and New Zealand, please take a look at the latest edition of Business Chief APAC.
