Digital has Moved from a Marketing Discipline to the Core of the Business
by Maria McCann
Just four years ago, it was commonplace for digital to be owned by the CMO. Many a CEO viewed digital as simply a marketing discipline. However, now in 2014, digital is fast becoming the crux of many business growth strategies - not just agile start-ups, but global enterprises.
Being ‘digital-first’ is one of the best ways to meet and exceed customers’ growing expectations. Customers want to be able to connect with businesses in whatever way they choose; whether at home, at work or on the go and they want to do it on their own terms. As customers, we want information in one go and we don’t like waiting!
A recent McKinsey & Company Global Survey in June 2014 “The Digital Tipping Point” identified the top five challenges for large businesses in becoming digital. The number one challenge found was the inadequate organisational structures that hamper collaboration: a foundation for becoming a digital-first business. This difficulty has been experienced by many organisations in their quest to become digital.
LV=, a leading insurer and the UK’s largest friendly society, is one such company that is transforming its customer experience. It is working hard to transcend internal organisational structures in the pursuit of great digital initiatives.
One of its recent projects focused on improving the customer journey and experience from inside out, by transforming an existing knowledge portal used by customer service representatives (CSRs) in the contact centres to a digital collaboration platform. The platform serves as a hub and community, building the best product information for all CSRs to use when responding to customer queries.
By concentrating on its vision to be the UK’s best loved insurer though superior customer service and products, LV= has been able to motivate its customer service staff to learn and collaborate using gamification.
LV=’s digital collaboration platform, Resolv=, has exceeded all expectations. Not only has it achieved its core aim of improving customer service, but is also delivering a ROI in the region of £1.4m. This initiative was very much a collaborative effort across the business. Central to the project was the CSRs who were at the heart of the development as well as representatives from IT, marketing and HR being involved throughout. Internally it has been hailed as a great example of challenging assumptions and traditional ways of working by creating a culture of empowerment and ownership.
Being a digital-first company makes companies more competitive. The Q3 2013 Forrester research report “Competitive Strategy in the age of the Customer” stated that: “By 2011, it had become clear to us that digital disruption was on the doorstep of every major industry, as start-ups and nimble competitors found ways to up-end their businesses”. With 2015 creeping closer, digital is most definitely here.
Harnessing the crowd and motiving staff through empowerment and ownership are flagship digital traits capitalised on by enterprises in the race to become a digital-first company.