Would you like to have a way to proactively know what to change in the way you interact with your customers and what connections need to be created among the various players in you ecosystem so you can retain and attract new customers, strengthen your relationship with them, and get them to buy or acquire services from you because you are really solving some of their most challenging problems and needs? But at the same time, you are generating enough profits and impacting positively the life of others while building the foundation for a sustainable company. While in the market, you have created a true differentiator that is your key competitive advantage. You live in a world where price is not what necessarily leads the conversation at the time of negotiation, but it is value creation what really matters!
For that to happen, you need to create a connected strategy that transform traditional interactions with customers into “connected customer relationships”, which are characterized by continuous, low-friction, and personalized interactions; where your products and services deliver true, consistent, and continuous value to customers; that will allow you to think about having customers for life.
Companies are fundamentally changing how they connect with their customers. Rather than having episodic or isolated interactions, they are striving to be connected in a continuous way, providing services and products as the needs of customers arise, sometimes even before customers have become aware of their own needs. These companies are really creating a connected relationship with their customers. They address not only a wider range of needs, but they do also provide something that is highly valuable to customers, something they really care about and that will help them to prosper.
The potential of connected strategies is to create customers experiences that feel like magic while improving operational efficiency to enhance financial success. Given their tremendous potential, connected strategies create great opportunities for you, but also for all your current and future competitors; if you do not make the first move, surely, they will.
Connected strategies do not just happen, they need to be carefully designed. They have two key elements: A connected customer relationship and a connected delivery model. The connected customers relationship what delights the customer. The connected delivery model is what allow the company to create these relationships. Each connected customer relationship and delivery model is the result of strategic choices.
At the heart of the connected strategy is the connected relationship between customers and the company. We find it useful to think about four design elements of a connected customer relationship:
The information that flows from the customer to the company allows to identify and recognize a customer need. Once a need is recognized, the customer or the company identifies a product or service that would satisfy this need, leading to a request for a desired option. In turn, it triggers the company to respond, creating a customized, low-friction and exceptional customer experience. By interacting with customers frequently, a company is able to repeat the interactions with its customers, allowing it to continually refine the cycle of recognize-request- respond and to convert episodic or isolated interactions into a true relationship with its customers.
The connected delivery model is the way to create cost-effective connected customer relationships. The delivery model is the result of three key strategic decisions:
- Connection architecture: The company must decide whom to connect with whom in its ecosystem. What connections need to be created between and among its suppliers, its customers and itself.
- Revenue model: The company must decide how money will flow through this architecture, allowing it to monetize the value that results from breaking the trade-off between customer happiness and efficiency.
- Technology infrastructure: The company must make a range of technological choices that facilitate all the elements of a connected strategy.
In summary, a connected strategy is about building and maintaining a strong relationship with your customers by continuously fulfilling their needs, helping them to solve their key pains and challenges through a delivery model that can surpass their expectations; but that at the same time will allow you to generate revenue in a profitable way while building a sustainable business with a unique competitive advantage. How does it sound to have a business like this?
We can help you both understand and create connected strategies for your own company. In our next articles we will show you in detail how connected strategies allow you to break your existing trade-off between customer happiness and efficiency, we will help you understand how to build connected customer relationships and we will guide you on how to build a connected delivery model.
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