How Prepared Is Revenue Management for the Emergence of the Connected Customer?
By Ally Northfield Managing Director, Revenue by Design | September 2018
Today's biggest consumer segments are those that have been constantly connected since birth – this is not just the millennial generation but those that succeed them and these are defined as the connected customers. They live in a digital age that is always on, with digital blended into every element of their world. Within this world, expectations of any digital interaction with a supplier or online platform is driven by the need for a seamless experience, about an experience that is meaningful, on point and interpretive of their needs, at that point in time. Which may not be the same need the next time they interact.
What Is The Connected Customer?
The connected customer lives in a world of instantaneous response, seeks instant gratification, thrives on communication that is personalised and relevant to their situation, and demands the ability to choose the product they want from the channel that they choose. How prepared is the revenue management community to read consumer intent and respond with an element of personalisation? Do existing technology solutions support delivering on these requirements?
How Does The Revenue Manager Role Evolve In The Face Of Changes In Customer Expectations?
The revenue role is becoming more dynamic, decisions need to be made with higher frequency, and a high level of engagement, or risk a customer moving on to a competitor product. In the recent "State of the Connected Customer" research published by Salesforce, 76% of 6,700 consumers surveyed expect businesses to understand their needs and expectations, and over 84% of customers expect to treated like an individual not a number. Customers expect the right value to be presented to them in the right way at the right time. A straight discount off a room rate no longer hits the spot, something that is offered to everyone no longer has the same appeal. When considering what needs to be in place to deliver this, there are four key areas to consider to future proof the revenue role; data, technology, distribution, and loyalty