Category Archives: Customer Insights

What is Customer Centric vs. Product Centric thinking?

By | Customer Engagement, Customer Insights, Customer Relationship Management, Digital Customer Engagement | No Comments

Consumers have never been as connected as they are today and their changing expectations have led to some necessary changes in the way organisations define themselves. For many this has led to a massive shift from product centric to customer centric thinking.

So what is the difference between an organisation that is product centred and one that’s customer centred? There are two main differences according to In Context Mag.

Attitude

The main distinction is that customer centric businesses put the customer at the very centre of all their systems and policies. This means creating a strategy that details how they plan to handle their customer communications across the organisation and not only investing in the software to provide this, but also looking at the entire organisation from a customer’s perspective.

Businesses that are still product centric prioritise the product and sales over the experience of their customers. They may believe that customer experience is important and put customer experience strategies in place, but this belief does not form the foundation of the entire organisation.

Use of technology

Customer centric businesses know they need to communicate with customers through their own preferred medium, which these days, means digitally. Mobile apps, websites, SMS and instant messaging all come into play here as different customers have different preferred methods of communication. While print does still have a place, its importance is diminishing rapidly and customer centric organisations know they need to be available when and where their customers want them to be.

Many product centric businesses still fail to interact digitally with their customers, or they have limited means of doing so and this can be a mistake. With changing customer expectations, loyalty is likely to lie with the organisations that meet their customers’ needs and wants – people are less willing to bend to the demands of product centric businesses and this is only going to increase in the future.

Is your organisation product or customer centric? Businesses that adopt a customer centric approach from the top down are going to be the ones that succeed and thrive in the future. Think about your organisational attitudes, not just that of your customer service team, and how well you are able to use technology to meet your customers’ changing needs.

Making your business customer centric may be a big shift now, but it’s one that is likely to pay off in the future.