Forrester: "Age of the Customer" Defines Business for Next 20 Years
October 22, 2013
Share this

In the "Age of the Customer", only organizations that focus first and foremost on winning, serving, and retaining customers will survive, according to Forrester. This era will define the next 20 years of business, with the marketing department gaining increased power over the overall success of a company.

But what happens to IT? As marketing takes greater ownership and responsibility for tech investments, its confidence in the technology management organization drops: Nearly one-third of marketers believe the technology management group actually hinders the business, according to new studies by Forrester.

Moreover, out of all business units, marketing is the most aggressive in planning to spend money on technology, increasing its "private" technology spending two to three times faster than IT overall.

Forrester VP and Research Director David Cooperstein says: "Executives who lead customer-obsessed enterprises must pull budget dollars from areas that traditionally created dominance — brand advertising, distribution lockup, mergers for scale, and supplier relationships."

According to the new research, they need to invest in four priority areas:

- Real-time actionable data sharing

- Contextualized customer experiences across touchpoints

- Sales efforts tied to buyers' processes

- Content-led marketing and customer interactions

Of equal importance is the role technology management groups play in retaining and serving customers. It is Forrester's contention that technology management splinters off into two vital agendas for the CIO.

"We believe that tech management must embrace two agendas: IT and BT," says Forrester CEO George F. Colony. "The CIO and team must continue to manage and improve IT (infrastructure) — the supply chains, financial systems, HR systems, and production systems that operate the corporation. But in addition, the team must take on the business technology (BT) agenda — building technologies, systems, and processes to win, retain, and serve customers. The CIO and team are best qualified to manage the complexity of emerging BT systems. As an example, systems of operation that contain critical customer data must be transformed to become agile systems of engagement capable of serving mobile customers with the right content, in the appropriate context, with the highest possible convenience."

According to the new research, BT investments must include key capabilities for four key imperatives:

- Engaging customers undergoing a mobile mind shift

- Providing superior customer experience in all customer interactions

- Understanding customers through big data and analytics

- Adapting to — and ideally driving — digital disruption

Can the CIO and CMO work hand in glove in the age of the customer? If they can't, it may well mean the death of well-established brands and companies we are all familiar with.

Related Links:

Forrester Report: Competitive Strategy In The Age Of The Customer

Forrester Report: Technology Management In The Age Of The Customer

Share this

The Latest

April 19, 2024

In MEAN TIME TO INSIGHT Episode 5, Shamus McGillicuddy, VP of Research, Network Infrastructure and Operations, at EMA discusses the network source of truth ...

April 18, 2024

A vast majority (89%) of organizations have rapidly expanded their technology in the past few years and three quarters (76%) say it's brought with it increased "chaos" that they have to manage, according to Situation Report 2024: Managing Technology Chaos from Software AG ...

April 17, 2024

In 2024 the number one challenge facing IT teams is a lack of skilled workers, and many are turning to automation as an answer, according to IT Trends: 2024 Industry Report ...

April 16, 2024

Organizations are continuing to embrace multicloud environments and cloud-native architectures to enable rapid transformation and deliver secure innovation. However, despite the speed, scale, and agility enabled by these modern cloud ecosystems, organizations are struggling to manage the explosion of data they create, according to The state of observability 2024: Overcoming complexity through AI-driven analytics and automation strategies, a report from Dynatrace ...

April 15, 2024

Organizations recognize the value of observability, but only 10% of them are actually practicing full observability of their applications and infrastructure. This is among the key findings from the recently completed Logz.io 2024 Observability Pulse Survey and Report ...

April 11, 2024

Businesses must adopt a comprehensive Internet Performance Monitoring (IPM) strategy, says Enterprise Management Associates (EMA), a leading IT analyst research firm. This strategy is crucial to bridge the significant observability gap within today's complex IT infrastructures. The recommendation is particularly timely, given that 99% of enterprises are expanding their use of the Internet as a primary connectivity conduit while facing challenges due to the inefficiency of multiple, disjointed monitoring tools, according to Modern Enterprises Must Boost Observability with Internet Performance Monitoring, a new report from EMA and Catchpoint ...

April 10, 2024

Choosing the right approach is critical with cloud monitoring in hybrid environments. Otherwise, you may drive up costs with features you don’t need and risk diminishing the visibility of your on-premises IT ...

April 09, 2024

Consumers ranked the marketing strategies and missteps that most significantly impact brand trust, which 73% say is their biggest motivator to share first-party data, according to The Rules of the Marketing Game, a 2023 report from Pantheon ...

April 08, 2024

Digital experience monitoring is the practice of monitoring and analyzing the complete digital user journey of your applications, websites, APIs, and other digital services. It involves tracking the performance of your web application from the perspective of the end user, providing detailed insights on user experience, app performance, and customer satisfaction ...

April 04, 2024
Modern organizations race to launch their high-quality cloud applications as soon as possible. On the other hand, time to market also plays an essential role in determining the application's success. However, without effective testing, it's hard to be confident in the final product ...