A golden rule for any business to survive is to know what the customers want. So the business can provide the products or services to satisfy the customers’ needs. Sounds simple?
The problem is with all the uncertainties in today’s economy, do the customers really know what they want? Inflation is pushing the prices of consumer goods up. At the same time, the Fed’s relentless drive to tame the inflation by raising interest rate (i.e. cost of borrowing), rightly or wrongly, will continue. A trend that is shared among the central banks around the world.
War in Ukraine hastens the gap caused by the disruption of food and energy supplies. These are basic needs for people to survive. The picture looks gloomy for Europeans and beyond as the winter approaches. Not to mention the costs of war take a heavy toll on the nations’ resources and leave a shaken consumer confidence regarding the outcome of this man-made pseudo crisis.
What do businesses know on their target consumers’ wants and needs in such macro-environment? Could the Big Data provide the critical insights that help the businesses navigate through this turbulent waters? After all, the Covid pandemic has made e-Commerce a household option. Tons of data are at businesses disposal to analyze the missing pieces, right?
Not so fast.
According to Georgia Patera, Director of Research & Strategy at Thrive, consumer confidence are not zero’s and one’s. What really makes up the story has to do with qualitative considerations. Insofar as, customer experience tends to be more emotional than rational based. The emotional why, the context in which decisions are made, and other esoteric factors are all parts of the customer focus necessary in today’s macro climate.
Not that simple, is it?
Do you think businesses have a good handle on their customer focus or are barely hanging on?