Brand and business leaders are confident going into the new year that they have a handle on delivering personal experiences, which has been one of their major obstacles in the post-pandemic age. New research from enterprise customer data platform Treasure Data reveals that three-quarters (76 percent) of leaders feel sure they are achieving a comprehensive customer 360-view to deliver these experiences. However, the results also find that a mere 25 percent of consumers share this sentiment regarding their favorite brands, revealing a significant perception gap.
The firm’s new report, Data Driven Insights: Navigating the Consumer Landscape in 2024, based on its survey of 1,500 B2C C-level executives and 6,000 consumers, reveals this large divide between C-suite confidence and consumer expectations. The line of division may originate with the quality of brand content—a staggering 88 percent of consumers believe that less than half of the content they receive from brands is relevant.
“As 2023 comes to a close, it’s worth reflecting on consumer expectations and taking an honest assessment of how to best meet their ever-evolving needs,” said Mark Tack, chief marketing officer at Treasure Data, in a news release. “This research paints a clear and concerning picture: Despite brands’ best efforts, they struggle with messy, complex customer data challenges that limit their ability to understand and engage consumers effectively. As brands seek to level up their customer experiences in 2024 and beyond, it’s critical to invest in people, processes, and technologies to chart a better path forward.”
Other key findings include:
Customer loyalty woes
Almost half (44 percent) of consumers don’t see any value from being a long-standing customer, and 64 percent believe only new customers receive the best deals and customer experience. This shows a majority of consumers feel undervalued for their loyalty, impacting their perception of brand value and increasing their likelihood to churn.
Consumer trust and anonymity
While over half of consumers welcome marketing, 49 percent of consumers express a preference for remaining anonymous to brands. Concurrently, 48 percent deliberately withhold their personal data from businesses. This underscores the urgent need for brands to bolster trust in how they collect and use data from the general public.
Data competence doubt
A third (33 percent) of senior executives express doubts about the data competence of most of their C-suite colleagues, while another 32 percent believe their organization collects good quality data but lacks the skills to interpret and use it effectively. This indicates a potential risk of major brands falling behind in the rapidly evolving landscape of data-driven customer insights.
CX & AI investment surge
Sixty-two percent of execs plan on investing more in customer experience over the next two years and more than half (57 percent) of organizations plan to invest more in AI, with large businesses leading at 70 percent, emphasizing a rapid surge in AI investment across industries. The substantial commitment to AI recognizes its potential impact on customer experience, data analytics, and overall economic viability.
As companies navigate 2024, this report bridges gaps in understanding, and strategically embracing the technological and customer-centric shifts that define success in an ever-evolving business landscape.
Download the full report here.
Treasure Data’s research was based on two surveys, conducted by Opinium. The first surveyed representative samples of 2,000 adults from France, the US and UK – 6,000 respondents in total – with the data collected between 25 September – 4 October 2023. The second polled 500 C-suite decision makers in B2C companies from France, the US and UK – 1,500 respondents in total – with the fieldwork conducted between 25 September–4 October 2023.
