70% of Business CEO’s are betting on analytic data to understand their clients
Based on the Global Study of Top Management-CEO Study IBM-2012: “Leading in a hyper-connected world.”
More than 70% of CEO’s are looking for a better way to understand the needs of every client and to increase their potential for solutions. Given the need for a deeper knowledge of the clients, the so called “out performers” (Those organizations that beat the competition in the same industry in terms of growth, income, and revenues.) have a clear advantage.
IBM has been working on this report since 2004. On the fifth edition they were able to sit face to face with 1,700 CEO’s from 64 countries all across the world, of which 230 work for medium size companies.
In order to retain their clients on an individual basis, CEO’s have built analytical muscles to be able to respond with more speed and relevancy the specific needs of every client. It is for this reason that they have been investing on client insight more than any other functional area – a long ways from operations, competitive intelligence, financial analysis, or even risk direction. The study also reveals they are a lot more skillful when converting data into a deeper understanding of the clients that serves to generate ideas which in turn will convert into action. It is from there, in our opinion, that the new organization based on marketing requires such insights deriving from analytical intelligence in order to obtain a deeper understanding of the clients and then create innovation based on highlighted experience.
Although face-to-face interaction with clients will continue to be the preferred method for CEO’s, they expect a radical change in the use of social media. More than half recognize that social channels will be primary method to attract clients in the next five years. The CEO’s have also added the most significant changes are taking place in the realm of “social” Technologies. Facebook, Twitter, Foursquare, and other social platforms have changed the way products and services get to the consumer. However, in actuality and despite the fact that social media continue to grow, only 15% of CEO’s of mid-size companies employ this platform to connect with the consumer as an individual. In the next three to five years these figures will reach 50%.
Mobility: the agent of change
Mobility is also raising the expectations of clients and giving way for new challenges for CEO’s. Mid-size companies have a great opportunity to add value through immediacy. To be more competitive, and given that mobile business is expected to reach $31, 000 in 2016, business will need to take advantage of services that are based on location, as well as all the new methods of mobile business, multi-channel experiences, and personalization.