Human Centric Strategy: What is influencing your customers' decisions?
Over the years the marketing industry's approach has evolved from product-centric to customer-centric, and now to a human-centric approach.This is an important shift, changing focus from the customer to the relationships people have and not just the customer but also employees and the role of culture.
Few brands have achieved a fully human-centric approach to business - even the measurement tools we have at our disposal need to catch up. Take the Effort score or NPS, it provides some detail of a complex picture of our customers but doesn’t give us the whole truth in what it means to be human.
So how can companies be ‘human centered’?
1.Build connection
True connection and trust are built through transparency (competence), authenticity and (benevolence) empathy. Consider the increasing demand for personalisation and how it drives up loyalty
- What does it really convey to a customer?
Not just a better service but that the company is connected with the person, in step with them, hand in hand, driving loyalty and satisfaction.
2. Group customers by fundamental human needs - this is business critical
Each of us holds numerous things we value/need - when they are activated we trigger emotions. For example those whom independence is important, if this is threatened they can feel despair.
Knowing the deep psychological needs of your customers and people is the key to differentiating. If you can shape an experience to deliver to someone's deeply held need, you’ll create better connection, loyalty and retention even when competitors challenge you on functional aspects.
We’ve worked with brands such as Ted Baker to help them reimagine their branding around these needs. Using non conscious needs analysis, we identified three
Customer Mindsets and then worked alongside Ted Baker CRM team to test Customer Mindset targeted communications against their existing CRM programme over a period of six months.
The results: We increased click to conversion rates by an average of 52% across the UK and US markets and cut churn rates by 22%.
3. Tenure can tell you a lot
When we think about loyalty, recognising the length of time a person has been using the company is critical. Often, the longer the customer has been connected to a service or brand the more hardwired the relationship or your brand/service may be. This is why we sometimes see uproar when programmes or products change - or digital adoption is so hard for some segments.
Being human centric includes understanding the relationship the customer has with the company and the impact of change on that connection. Before settling on any long term strategy or short term tactics, it would be wise to explore any data around the relationships to avoid putting your foot in it.
4. Psychologically journey map to reveal Ideal vs avoidant self
Humans have two sides they can display and we need to show discernment in the behaviors and needs we are targeting.
We each have what can be thought of as, the ideal self and our avoidant self. As an example: We can buy a Coke to comfort us in times of stress or to celebrate in times of joy - On the surface behaviors can look the same but the mindset behind the behaviour can be completely different.
This is why psychological journey mapping is so critical as context can say a lot about our sense of self in that moment. The more we connect appropriately, the greater relationship equity we are building.
To summarize how you can be at the forefront as a human centered business?
Understand the journeys of your customers and your people
Dig deep into motivations and surface the core needs at play in your sector or business
Delve into psychological data analysis to go beyond behavioral (the what) is happening
Employ human centered strategy and behavioral science to help optimise your goals
Adapt, adapt, adapt and play the long game!
If you’d like to find out more or just want a chat, drop us an email at IB or get in touch at the conference