CRM for the coffee machine. And washing machine. Almost any machine.

Future CX: CRM meets IoT

What seemed like a science fiction story 20 years ago has now become a tangible reality. The Internet of Things (IoT) has become part of our daily lives. From household appliances and cars to large industrial production lines, objects have found their voice and become active participants in customer relationships. The availability of product usage data has revolutionized CRM, leading to significant improvements and enhanced customer experiences.

Photo of a staff meeting in which a valantic CX employee is gesturing with his hands, explaining something to his colleague.
Diagram 100 % customer experience

Customer experience (CX) has become a decisive factor in purchase decisions. However, delivering a seamless CX is not without its challenges. It requires ensuring consistency across all touchpoints along the customer journey. This includes the growing number of “smart” devices and machines that play a crucial role, especially post-purchase. These devices are critical touchpoints now and will be even more so in the future.

Connected means in relationship

Product lifecycle meets customer lifecycle CRM is the IoT discipline of the hour

The fundamental concept of the Internet of Things (IoT) revolves around connecting devices to exchange information and enable interactions. This concept shares similarities with CRM, where companies establish connections with customers to gain precise information about their current status and interact with them in a targeted manner.

Applied digitalization

Connectivity – the trend of the century! CX meets IoT

The connectivity of machines and devices serves a purpose beyond its own existence. It is a means to achieve certain goals. Megatrends, such as the advancement of smart cities and the emergence of smart living in private settings, are driven by more than just convenience. They are shaped by broader societal trends. For instance, IoT-enabled devices play a role in optimizing energy consumption and contribute to sustainability efforts. IoT connectivity is no longer a mere gimmick; it has become an integral part of our very near future.

CX meets IoT

Verdreifachung IoT-verbundener Geräte bis 2030

2030: CX of the future will be strongly shaped by IoT

At the beginning of the decade, there were already close to 10 billion IoT-enabled devices. By 2030, this number is expected to triple. While smartphones play a significant role in driving this growth, industrial applications and various consumer products are also major contributors.

Touchpoints become trustpoints

IoT fähige und smarte Produkte bilden einen zentralen Touchpoint der zukünftigen Kundeninteraktion

Smart products as a central touchpoint of the CX architecture

After a purchase decision has been made, a coffee machine becomes a central touchpoint throughout its lifecycle. It serves as a focal point and a hook for automated, personalized and digital interactions, as well as direct one-on-one human-to-human communication.

Product usage data in CRM for a perfect customer experience

With sugar?
Or with data?
CRM for the coffee machine

The example of the IoT-enabled coffee machine perfectly illustrates the potential of CRM. It highlights how both individual households and business customers can benefit from an integrated approach that combines customer experience (CX) with the Internet of Things (IoT). Ultimately, two crucial factors come into play: the functionality of the coffee machine and the taste of the coffee itself. But what defines the taste of a good cup of coffee?

Possible use cases along the coffee customer journey

Value levers of digitally supported business models

Increasing

customer identification through product registration

Enriching

360° customer profiles with actual usage data to refine profiles & segments

Boosting

D2C revenues as well as increasing the share of wallet through cross-selling and upselling

Establishing

a foundation for loyalty programs to strengthen customer loyalty and reflect brand values

From the first user to the second user of a machine – exploiting product life cycles Data consistency through integrated system architecture

Throughout the product lifecycle of an appliance, there are interaction opportunities for marketing, sales, and especially service departments. However, this necessitates the availability of appliance-specific and series-specific information, along with customer and transaction data, to all relevant departments within the company. That’s why information from the manufacturing process in the ERP system must be synchronized with the CRM system.

Konsistente Datenmodelle zur Sales und Service Exzellenz auf Basis von IoT-Produktnutzungsdaten im CRM

Are you looking for a CRM solution that leaves nothing to be desired?

Together, we will help you find the ideal system. Not only that; with our comprehensive consulting, you’ll become a trusted partner to your customers and foster exceptional human-to-human interactions in our digitalized world.

Another game-changing aspect is the integration of powerful customer engagement tools, such as a customer data & experience platform and a marketing cloud. While CRM focuses on direct human-to-human interactions, customer engagement technologies excel in delivering personalized and automated communication across various digital channels.

Would you like to explore your options? Feel free to reach out to us! With a team of over 800 experts dedicated to shaping the future of customer experience, we approach every challenge with an open mind and innovative solutions.

Out for a digital coffee?

Nils Weber, Managing Director and Partner at valantic

Nils Weber

Guten Tag from Langenfeld