Five insights on the state of CX in 2024

When CX Network researched the Global State of CX in 2024, 282 CX practitioners, consultants, authors and analysts told us how CX is being reshaped by new technological developments, changing customer demands, the continued digitalization of the modern enterprise and, of course, AI.

In the world of business, however, there is always more to consider, whether that’s financial performance, global economic pressures, recruitment trends or the hype around new technologies.

As a result, many practitioners face the same challenges that have plagued CX for decades; how to secure buy-in, train teams and grow the customer base.

In this article, five CX practitioners who helped us analyze this year's survey results, share their take on the state of CX at present. 

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“The ability to adapt to rapid change is crucial”

The importance of data when designing and delivering customer experiences cannot be underestimated – and practitioners realize this.

When we asked our members to select the three trends that are influencing their roles the most, the top response was data and analytics, up from second most important trend in 2023.

Jaakko Lempinen, head of CX for YLE Finland and a CX Network Advisory Board member, says the global state of CX in 2024 reflects a landscape “in transition, heavily influenced by technological advancements and changing consumer expectations.”

He adds: “With this significant emphasis on data and analytics, AI-powered technologies and automation, the field is moving towards more personalized – even hyper-personalized – efficient, and anticipatory customer experiences.”

One of the most pressing challenges, however, is balancing technological integration with human-centric service. Lempinen says that as customers demand more convenience, speed and personalization, “organizations must leverage technology to meet these needs while ensuring interactions remain genuine and empathetic”.

Ethical considerations, particularly around AI and data privacy, are becoming increasingly critical. When we asked about influential customer behavior trends, awareness of how AI works and uses customer data was the third most selected response.

He says: “Organizations must navigate these complexities carefully to maintain customer trust and adhere to evolving regulatory landscapes.”

While there are new challenges to be mindful of, overall, Lempinen says the outlook for CX is optimistic, “with opportunities for significant advancements and deeper customer relationships”.

In conclusion, he says: “Looking ahead, the ability to adapt to rapid changes in technology and customer behavior will be crucial. Organizations that can integrate new technologies seamlessly, uphold ethical standards and continue to prioritize the customer's voice will be well-positioned to thrive. The focus on creating holistic, end-to-end experiences that not only solve customers' immediate needs but also anticipate future desires will be key to maintaining relevance and competitive advantage.”

RELATED CONTENT: The ethical AI guide for customer experience 

“Generative AI is going to transform all aspects of CX”

This year’s Global State of CX report was the first in the series to ask practitioners about generative AI and there were several notable takeaways in the results.

Of the top-10 trends influencing the role of practitioners at present, AI dominated with two trends related to AI and a further two to generative AI. In addition to being a leading trend in its own right, AI is also an enabler of other trends in the top-10, such as automation and self-service (see below).

According to Pedro Andrade, VP of AI at Talkdesk, the arrival of generative AI means CX is no longer a strategy, but a “transformative force”.

He says: “We couldn’t be more hopeful for the state of CX than we are now. Generative AI is going to transform all aspects of CX and help businesses forge genuine connections with their customers, fostering loyalty, advocacy and mutual growth.

“With generative AI, CX becomes not just a strategy but a transformative force, where every interaction leaves a lasting, positive imprint on both customer and brand alike.”

“We need to demonstrate and validate CX is critical to business growth”

Despite the additional capabilities enabled by AI and generative AI – and the enthusiasm these technologies have brought to CX – they can’t solve all the challenges CX faces.

Yvette Mihelic, director of CX at John Holland Group and a CX Network Advisory Board member, says that for CX to thrive in every organization – despite global economic uncertainty – practitioners must “demonstrate and validate that CX is critical to business growth”.

She says: “Unfortunately, I feel it will get worse before it gets better. Globally, the economic environment is tightening, and we all know that the funding that gets pulled first is that from areas that are unproven in their value to business. To counteract this mindset, we need to demonstrate and validate that CX is critical to business growth and development and can provide not only revenue increases, but also deliver efficiencies in delivery resulting in reduced operating costs.”

According to Mihelic, this includes being smart with business cases and thoughtful in concept creation to ensure a deeper understanding across the entire organization; not only of the direct value of CX, but also the indirect, such as brand and reputation uplift. Although this is hard to measure financially, Mihelic says it is “definitely valuable when it comes to customers decision sets for purchasing”.

“Now more than ever we need to be resilient and engage with our cross-industry cohorts in order to convert more and more stakeholders to the power and value of exceptional CX,” she says.

RELATED CONTENT: How to link CX to profitability 

“Inconsistency kills brands”

Before launching his own consultancy, Vinay Parmar spent more than two decades in the financial services, telecom, automotive and travel sectors. On the state of CX in 2024, he says there are three major things that CX must fix, and the first is the hype around new tech.

“Omnichannel! I first heard that in 1994 and we’re still talking about it now,” he says. Reinforcing the point, when this year’s Global State research asked practitioners how close they are to providing an omnichannel model, the majority (34 percent) said they have a multi-channel model, but the connections between channels remain fragmented. Only 16 percent said they have a fully implemented omnichannel model and strategy.

“In the majority of organizations CX is broken and it has been broken as a result of over promised outcomes from vendors and providers in the past,” Parmar says. “There have been lots of promises and lots of tech revolutions along the way, chatbots, predictive email. All these things that have failed to live up to it. Companies invested on the back of a claim and never saw the results.”

The other factors CX needs to fix are a lack of trust from leadership teams and the lack of consistency that exists in some brand experiences.

“There is a lack of trust, fundamentally, from leadership teams, about whether CX really does make the difference that it is reported to make. Many companies have failed to move the dial on CX because they have given up on the investment and fundamentally, it comes down to do we trust that by doing this it drives enough value into our business?”

Thirdly, he says CX is distracted. It’s a major pitfall, because inconsistency kills brands. “You have to be consistently great in what you do, and you can’t keep relying on heroes in your business to keep rescuing situations. Seek clarity on what you want to do and who you are and get the framework and the rules in place so people know what their contribution will be.”

RELATED CONTENT: Five ways to make digital CX and
omnichannel more accessible

“CX leaders will sit at the executive table”

With new tech to gather enormous volumes of invaluable data, CX practitioners have a unique opportunity to elevate their career as well as their standing within the organization. This is because the customer data they hold can now be mined for strategic insights into how CX is performing, and where it can still do more, therefore driving bottom-line results for the whole business.

Colin Crowley, VP of customer support for Maven Clinic, says that despite its broad capabilities, this one of the key uses of AI for CX. “The average CX leader sits atop tons and tons of data and now finally has the technological wherewithal to get to that data, rather like sitting atop a gold mine and finally having the ability to get the gold out of the ground, refine it, and distribute it - without which, it is just dirt”

According to Crowley, this results in two things: the ability for CX leaders to put ROI behind intangible attributes that were previously difficult to measure, and the ability to serve as influencers within the broader company.

He explains: “On the latter point, CX leaders are in a unique position to take advantage of their position as stewards of information and turn themselves into Voice of the Customer leaders who can add value to the rest of the organization through the information they provide other departments – and gain more internal allies through providing that information thoroughly and collaboratively.”

“For this reason, I think the future is bright for CX leaders and their organizations and that CX leaders will more and more sit at the executive table, not only through more CCOs and CXOs, but also through finding more CEOs coming up through the ranks with a CX leadership background, as opposed to being from revenue, sales, marketing or product.”

RELATED CONTENT: Listen to Colin talk customer-centric VoC
at All Access: VoC 2024

Although the outlook is incredibly positive, this does not mean the road to CX recognition will be smooth. Crowley highlights that challenges remain, particularly around the CX leaders’ ability to adapt to the opportunities afforded by technology and data. Furthermore, CX still competes with other departments, such as sales and marketing, which currently have a clearer revenue impact.

As a result, he says: “There will be a shift in the CX world to more product-centric and data-centric leaders and key individual contributors who can better navigate the tech space.”

Finally, Crowley expects “some clearer winners and losers on the technology front as the hype of ChatGPT dies down and CX leaders more accurately assess the different values that technologies provide.”

There are also likely to be “continual curveballs in channel diversity and inclusivity”, due to customers using more audio-video messaging for communication purposes. However, with data guiding the way, nothing is insurmountable.

“At the end of the day, all this will feed into CX leaders sitting atop a larger and larger data pool that will continue to fuel their path to success and influence in companies worldwide,” Crowley says.

Special Report: The Global State of CX 2024

Now in its eighth year, this edition of our flagship annual report is also the first in the Global State series to examine the profit and loyalty benefits delivered by disruptor technologies such as generative AI and virtual reality. Download the Global State of CX 2024 now.

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