harnessing the power of contextual customer communications

Harnessing the Power of Contextual Customer CommunicationsRoland Selmer, Product Lead

About Nexmo

Reinventing communicationNexmo’s Cloud Communications Platform enables you to develop faster and easier than ever before

Our PlatformA set of cloud-based communication APIs designed to remove the pain of integrating with multiple carriers

7 BillionPhones reached globally

130,000Developers

5 BillionAPI calls annually

99.997%Platform uptime

1235+Networks connected

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Nexmo’s Cloud Communication Platform

Messaging APIHigh deliverability &low latency globally

Verify API & SDKTurnkey solutionfor phone verification

IoT API (alpha)Next generation solutions for connecting IOT devices and M2M

Voice APICall control, recording, conferencing and SIP

Number Insight APIKnow your customers,communicate with context

Phone Number APILargest global reach, instant provisioning for SMS & Voice

Chat App APIAccess to chat appsthrough one API


About Nexmo


Back to the future

“By 2017, 70% of customer communications will be digital, contextualized and consumed on demand via multiple channels,

including the web, mobile devices and social media.”

- Gartner (2014)

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What is contextual communication?

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Contextual communication (n): the bidirectional transfer of information between two parties where both parties are aware of the relational, environmental and cultural context of the exchange

(both sides know what the conversation is about)

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Most customer contact isn't contextual


▪ 76% of consumers view customer service a reflection of company values

▪ 62% of consumers stop doing business due to a poor customer service experience

▪ Selling to an existing, happy customer is up to 14X higher vs selling to a new customer

Source: microsoft.com

Why context is so powerful


▪ Dopamine makes you curious about ideas and fuels your search for information

▪ Dopamine loops - Dopamine drives discovery, and when you find what you’re looking for, you get rewarded, which makes you seek more

▪ Contextual communication sparks a positive emotional reaction

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Sources of customer context

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Intent

Physical Social


▪ Intent: the goal you’re trying to achieve (e.g. purchase vs support)

▪ Physical: location, speed, cameras, microphones

▪ Social: preferred segmentation of your social graph (e.g. Linkedin vs Facebook, SMS vs WhatsApp)

Trends in contextual communication


▪ Advanced notifications (e.g. SMS, push notifications)

▪ Bots (e.g. Slack, Chat)▪ Chat in apps (e.g. LinkedIn, AirBnB)▪ Apps in chat (e.g. WeChat, Line)▪ Humans chatting with each other (e.g.

PSTN, WebRTC)

Source:.msg.ai

Mobile in omnichannel communications

Source: lightspeedhq.comCopyright © Nexmo, a Vonage Company. All rights reserved

▪ 82% of smartphone users consult their phones on purchases they're about to make in a store

▪ 25% of smartphone users shop in-store for an item they later buy online

▪ 33% of smartphone users have switched brands due to information received during a purchase decision

Omnichannel customer journey


Social

www

Store

Phone

Mobile

1

2

4

3

5

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Channels vs Experience

“...customers don’t value channels, they value experiences...”

- Peter Nordstrom


Contextual creation loops

1414

Establish identity

Problem Definition

Problem Resolution


▪ Context gets created at the start of each touchpoint

▪ Transferring to new channels often results in loss of context

▪ Contextual creation loops lead to a poor customer experience

Early efforts: new social graphs don't work


▪ Some attempts to create new social graphs for brands have failed

▪ At its peak, ESPN had 1,696,752 Circles

▪ Some efforts are too soon: Wave

...but leveraging existing ones do


▪ 2015 Uber integrated ridesharing into Facebook

▪ Blurring the line between networks, apps & services

▪ Emergence of in-app contextual communications

Case Study: WeChat

▪ 1.1B+ registered users

▪ 700M+ monthly active users

▪ WeChat Moments ads target based on location, interest, age, gender, device and phone network

▪ WeChat contributes to $1.76B in lifestyle spending in China


Chatbots in your contacts

Source: intercom.ioCopyright © Nexmo, a Vonage Company. All rights reserved

▪ Chatbots can exist in your contacts just like any other contact

▪ Messaging is convenient because it is uses NLP, is asynchronous and location-aware

▪ Cards embedded within messages reduce the friction of checkout

Location context

Copyright © Nexmo, a Vonage Company. All rights reserved Source: intercom.io

Omnichannel evolves


Conversational Commerce

“...pertains to utilizing chat, messaging, or other natural language interfaces (i.e. voice) to interact with people, brands, or services

and bots that heretofore have had no real place in the bidirectional, asynchronous messaging context.”

- Chris Messina, Developer Experience Lead at @Uber, inventor of the #hashtag


Conversational Commerce

Conversational commerce typically uses cognitive computing technology such as IBM Watson to have a true dialogue with consumers. These applications can ask shoppers what they

want and allow them to express their needs in their own words.


Cognitive Commerce


▪ Built on deep natural language understanding and adaptive learning

▪ Joins the dots between unstructured datasets and build context

▪ North Face: 55,000 total sessions during beta, 2 minutes average session time, 60% clickthrough, 75% of users said they would use it again

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Context doesn’t move across channels today

Siloed access using different APIs

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IP MessagingPSTN IP Voice SMS

A context aware API

PSTN

SIP

SMS

IP Messaging

WebRTC


Bot

Nexmo API

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Case Study: mobile banking


▪ Identity defined through passwords or biometrics (e.g. touchID)

▪ Intent defined through app journey (e.g. business account)

▪ In-app direct call conveys context to bank contact center or cognitive AI bot

▪ Contextual communications reduce friction, improve product engagement and safety

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Harnessing the Power of Contextual Customer Communications

▪ Focus on the customer experience, not channels

▪ Avoid creating contextual communication loops

▪ Allow customer contact through their social graph not yours

▪ Utilise the power of cognitive computing to scale

▪ Utilise contextual APIs to power your omnichannel communications through conversations with customers


Thank you

Roland [email protected]@RolandFlyBoy


harnessing the power of contextual customer communications

Technology