Customer Experience Findings Essay Example
Customer Experience Findings Essay Example

Customer Experience Findings Essay Example

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  • Pages: 8 (2123 words)
  • Published: August 20, 2018
  • Type: Essay
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3.0. Findings

In recent times, customers have become more knowledgeable and interconnected, leading to increased demands. This trend has affected the automotive industry, requiring businesses to adapt their management approaches to account for challenges and opportunities throughout the customer life cycle. These challenges include media fragmentation and expansions, which impact how manufacturers and retailers communicate with potential clients. Additionally, the abundance of data presents a challenge in terms of analyzing consumer information to understand their preferences and identify top consumer searches for specific vehicle categories (Miller & Vieregge, 2010, pp 41-42).

The automotive market has increased expectations from clients. This includes delivering the best customer experiences and effective communication between manufacturers, dealers, and consumers. Quick expansion of communication channels is necessary to meet the expectations of different consumers and attract them for future purchases. Managing the automot

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ive customer life cycle and leveraging data is important for driving profitability and retaining customers, ultimately delivering a positive consumer experience (Misztal & Negoita, 2013, pp 54).

Many businesses in the automotive industry have customized learning solutions to generate more engaged clients by creating an exclusively employee-centered knowledge base. This helps to effectively address customer inquiries and improve customer satisfaction. Automotive enterprises focus on providing a comprehensive understanding of both clients and their cars to increase satisfaction scores and enhance customer lifetime value. Additionally, businesses in the automotive industry have adopted technologies that help clients integrate platforms for optimizing online or web services, resulting in improved service delivery and customer satisfaction (Taylor & Duvall, 2010, pp 3).

The automotive industry heavily relies on innovations to develop advanced cars. These innovations have consistently transformed the consumer experience. For example, one change in the industr

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is the demand for faster horses, symbolizing speedy vehicles. This concept influenced Henry Ford's focus on automotive production and led to the introduction of innovative ideas and methods. Alongside faster horses, automobiles have become an indispensable part of life, thanks to game-changing innovations. Progressive innovations in the industry, including those by Ford, have resulted in significant improvements (Yadav ; Goel, 2008 pp 1005).

Both automotive producers and contemporary consumers in the industry recognize the importance of customer centricity. While consumers are now more knowledgeable and use that knowledge to make informed decisions, they have not been comparing their options within the industry. Consumers today expect the best experience in the automobile market, which poses a significant challenge for manufacturers and marketers in improving the consumer experience (Godlevskaja ; van der Wiele, 2011, pp69-70). A study conducted in 2013 found that over 50 percent of automotive consumers highly prioritize the customer experience in their decision-making process. Additionally, about 68 percent of consumers base their business activities within the automotive industry on positive communication (Bruhn ; Hadwich, 2013, pp 18-21).

Enhanced connectivity in the automotive industry has revolutionized vehicles, with almost every aspect of today's automotive business engagements being connected via the web. This connectivity allows clients to effectively connect through the web as well. The study of automotive marketing segments has identified several issues automakers must resolve, such as the need for future automobiles to be connected to the internet. This would drive an enhanced customer experience and make web-linked cars essential to the automotive industry's measures to attract younger car buyers (Humphrey & Memedovic, 2013, pp 36-37; Shaw, 2007, pp 102). The ability for drivers to use

their social media via their vehicles also complements the overall goal.

Recent studies have shown that the automobile industry is focused on incorporating advanced engineering technologies to enhance the consumer experience. It has been projected that by 2020, there will be approximately 152 million cars globally that will have internet-enabled enhancements and active connectivity. This development is expected to generate a value of $14.5 billion from big data assets like locations, diagnostic information, and user experience improvements on automobiles. These advancements are predicted to significantly benefit auto-market players who have successfully integrated this technology into their operations. The implementation of technology enhancements in the automobile sector is expected to increase sales, add value, and improve the overall consumer experience in the future (Grewal & Kumar, 2009, pp 8).

Connected vehicles offer a range of benefits that are significant. Not only do they provide drivers with information such as alternative routes to navigate through traffic, but they also generate proactive alerts for owners and vehicle manufacturers regarding any car issues relating to its performance. These advancements have become defining factors in the overall user experience for individual car users. Research suggests that consumers now have the power to shape the driving experience for the entire consumer base. The integration of GPS systems in cars is a highly anticipated and innovative technology. Modern vehicles have gone beyond the traditional enhancements of stereo and GPS within their dashboards (Nobeoka ; Madhok, 2002, pp 784). Instead, they now offer fully connected experiences, enabling drivers to connect with individuals who can provide assistance and answer their queries.

Vehicle connectivity extends beyond entertainment. In today's production segments, automakers incorporate safety enhancements that can send

alerts in the event of accidents. These customer-driven enhancements aim to reduce production costs and utilize the latest technologies. Advancements in technology also allow drivers to access smartphone functions while driving. For example, in 2014, Apple introduced CarPlay, a system that connects iPhones with the in-built system of the car, enabling drivers to make calls and send messages. These advancements play a crucial role in shaping the development prospects of vehicle technology (Palmer, 2010, pp 345).

Modern technology functions in the world today require constant updating before a car is resold. Research has shown that it takes people a long time to change the credentials of a vehicle during the resale process, which reduces the effectiveness and efficiency of product transfers. One of the factors contributing to this issue is the significant improvements in cars that require less maintenance. To address this, some automakers have introduced cars with Microsoft technology enhancements that can be automatically and regularly updated (Wong & Boon-itt, 2008). These updates are essential for improving the long-term market performance of the cars and providing a convenient consumer experience.

Advancements in technology have led to an increased need for simplifying the interfaces of car technology for consumers. When customers are confronted with complicated and cutting-edge technologies, it hinders their ability to effectively use their cars. This has negatively impacted the potential benefits of improved car usage for clients. On the other hand, less sophisticated technology systems result in a better customer experience. The enhanced technology system also provides data, which improves the efficiency of dealers and helps them offer optimal experiences to customers. This data can also be used by automakers to inform customers about

servicing needs that can be addressed automatically through car enhancements. Taking a proactive approach is essential in maintaining the condition of cars and fostering strong relationships between dealers and clients (Martinez Sanchez & Perez Perez, 2005, pp 684).

Dealers have extensive access to customer information, such as purchase history and service needs. They can utilize this data to personalize communication and send targeted messages based on customer behavior and lifecycle. Maintaining a strong relationship with customers becomes challenging without regular interaction, especially during long periods between purchases and resales (Sudhir, 2011, pp 543). Currently, the purchasing journey is highly fragmented, with customers conducting thorough research before engaging with salespeople. This places more pressure on car dealers to meet customer demands. Social media and customized websites also play a significant role in shaping the buying process. Customers can gather ample information about different car dealers, compare prices and quality before narrowing down choices (Brown, 2009, pp 3). Automakers and dealers leverage the internet to make vehicle information easily accessible online even allowing for online purchases. These advancements revolutionize the customer experience while triggering intense competition among car sellers vying for tech-savvy consumers' attention.

Automakers in the auto industry can enhance customer satisfaction by utilizing social media and technology channels to gain insight into customers' needs and preferences. For instance, Ford employs social channels to collect and assess potential new features and technological advancements for their cars. As a result of having access to more information and being able to make better-informed choices, buyers are now willing to travel up to 100 miles to research and buy their preferred vehicle, compared to a previous range of only 20 miles

(Shaw & Ivens, 2005, pp 121).

Furthermore, the advancement in web technology has made it easier for customers to customize their vehicles online, allowing them to acquire specific features and make informed purchase decisions before buying the vehicles in person. For example, Ford and Porsche have both incorporated online customization features on their Mustang and vehicle models respectively. Customers have also been utilizing various touch points when seeking assistance, with live chats and emails being the preferred methods of communication.

4.0. Conclusions

In conclusion, collaboration between car dealers and automakers is necessary to enhance customers' experience and aid them in making informed car purchase decisions. The evolution of advanced technology in car manufacturing has made vehicles more intricate, requiring consumers to have a comprehensive understanding and utilization of their features. It is the responsibility of automotive businesses to ensure that clients are well-versed in the latest technology and can easily operate their cars, thus facilitating purchases through effective information sharing. As technological advancements continue, both consumers and dealers should anticipate the impact of other technologies like mobile technology on the consumer journey. However, this poses a challenge for producers as highly knowledgeable consumers demand consistent innovation in high-tech vehicles.

References

Brown, T. (2009). Change by design. Journal of Automobile Marketing and Design.

The source of this information is a PDF document titled "Change by Design" written by Brown. The document can be found at http://xa.yimg.com/kq/groups/16596003/1345714911/name/change-by-design-brown-e.pdf.

The book "Customer Experience: Eine Einfuhrung in die theoretischen und praktischen Problemstellungen" was written by Bruhn, M. and Hadwich, K. It was published by Gabler Verlag in 2013.

Frow, P., ; Payne, A. (2007). Towards the perfect customer experience. Journal of Brand Management, 15(2).

Godlevskaja, O. and van der

Wiele, T. (2011) discuss the transition from product-based to service-based business strategies in the automotive industry. They propose service categorisation schemes to aid in this transition. This research is published in the International Journal of Quality & Reliability Management, volume 28, issue 1.

Grewal, D., Levy, M., & Kumar, V. (2009). Customer experience management in retailing: An organizing framework. Journal of Retailing, 85(1).

Grewal, D., Levy, M., ; Kumar, V. (2007). Customer experience management in retailing: An organizing framework. Journal of Retailing, 65(1).

Humphrey, J., & Memedovic, O. (2013). The global automotive industry value chain: What are the prospects for upgrading by developing countries. UNIDO Sectorial Studies Series Working Paper. Retrieved from: http://papers.ssrn.com/sol3/Papers.cfm?abstract_id=424560

The International Journal of Operations & Production Management published an article titled "Supply chain flexibility and firm performance: a conceptual model and empirical study in the automotive industry" by Martinez Sanchez, A. and Perez Perez, M. The article is found in volume 25, issue 7.

Miller, W. S., and Vieregge, A. (2010). Recent development in aluminium alloys for the automotive industry. Materials Science and Engineering: A, 280(1).

Misztal, A., Grecu, I., & Belu, N. (2016). Customer Satisfaction in the Automotive Industry. FAIMA Business & Management Journal, 4(1) Retrieved from: http://search.proquest.com/openview/1278ab18d21d23e7682d96d1713a7433/1?pq-origsite=gscholar;cbl=2037693

Misztal, A., Grecu, I.,; Negoita, O.D. (2013). Customer Satisfaction in the Automotive Industry....... 44.

The article "The Impact of Customer Scope on Supplier Learning and Performance in the Japanese Automobile Industry" by Nobeoka, K., Dyer, J. H., & Madhok, A. (2002) was published in the Journal of International Business Studies (vol. 33(4), pp. 717-736). It explores how customer scope affects supplier learning and performance within the Japanese automobile industry.

Palmer, A. (2010). Customer experience management: a critical

review of an emerging idea. Journal of Services marketing, 24(3).

Schmitt, B. (2009). Customer experience management. Handbuch Kommunikation: Grundlagen Innovative Ansatze Praktische Umsetzungen.

The book "The DNA of customer experience: How emotions drive value" written by Shaw, C. in 2007 is published by Springer.The book "Building great customer experiences" was written by Shaw, C., & Ivens, J. in 2005 and published by Palgrave Macmillan in Basingstoke.

Sudhir, K. (2011). "Competitive pricing behavior in the auto market: A structural analysis." Marketing Science, 20(1).

The citation for the article "Evaluations of plug-in electric vehicle distribution system impacts" by Taylor, J., Maitra, A., & Duvall, M. (2010) can be found in the IEEE PES General Meeting. The article can be accessed at: http://ieeexplore.ieee.org/xpls/abs_all.jsp?arnumber=5589538.

The International Journal of Production Economics discusses the impact of institutional norms and environmental uncertainty on supply chain integration in the Thai automotive industry (Wong, C. Y., & Boon-itt, S., 2008). The discussion takes place in Volume 115, Issue 2.

Yadav, O. P., and Goel, P. S. conducted a study in 2008 on customer satisfaction-driven quality improvement target planning for product development in the automotive industry. The study was published in the International Journal of Production Economics, volume 113, issue 2.

The full article can be accessed at this link: http://www.sciencedirect.com/science/article/pii/S0925527307003635.

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