Creating personalized, two-way interactions with customers is becoming increasingly vital for brands. A new study by WARC in partnership with Meta, titled “Unlocking the Potential of Conversations: How Business Messaging Drives Value Throughout the Customer Lifecycle,” delves into the shopper journey, offering insights to help brands foster closer, more trusted relationships with their customers.
Aditya Kishore, Insight Director at WARC, stated, “Customer touchpoints have been expanding for several years. While the funnel remains a popular basic structure for understanding the marketing process, we are finding that the way we attract, inform, convert, and engage customers has a growing number of moving parts. Adapting to different journeys and supporting customers through the buying process and beyond is crucial for driving engagement, customer relationships, and revenue for a brand.”
Shekhar Deshpande, Head of Strategy for Global Clients at Meta, added, “At Meta, we see Business Messaging as a transformative tool that revolutionizes how businesses and customers communicate. The best conversations are personal, relevant, and in-the-moment, building stronger, lasting connections. Messaging must be data-driven and respectful of privacy to ensure messages are useful and secure. By leveraging AI and machine learning, businesses can offer personalized experiences that delight customers and provide significant cost advantages.”
Key findings from the report highlight the critical role of business messaging in improving customer experiences and driving growth:
- Companies risk losing $3.1 trillion annually due to sub-standard customer experiences, equating to 6.7% of their total revenues.
- 80% of consumers have switched brands due to poor customer experience, and 62% believe businesses should do more to personalize services.
Abhishek Jadon, VP of Global Media Transformation at PepsiCo, emphasized, “There’s a fundamental shift towards long-term engagement versus one-time media impressions. Our focus is on meaningful consumer connections, which, when approached with a human-centric lens, build relationships.”
The study notes that nearly half of the world’s population uses messaging apps, with over 600 million daily conversations between people and businesses on Meta platforms. Despite this, many brands have been slow to capitalize on messaging, even though consumers find it more convenient and familiar. Data from Kantar shows that 80% of online adults agree messaging is quick and easy for business communication, and 71% are more likely to purchase from a company they can contact via messaging.
Rodrigo Silva Menezes, Senior Marketing Manager for Mobile Experience at Samsung Brazil, shared, “Messaging reduces the distance between the organization and the user by being present in an interface familiar to them. When we run campaigns using ads that click to WhatsApp, we reduce the number of clicks in the user journey by 80%.”
The report also highlights the importance of rethinking customer journeys, noting that 70% of online shopping carts are abandoned. Messaging can play a crucial role in addressing customer queries and re-engaging shoppers to complete their purchases.
Isabelle Lafont, Global Head of Care & Consumer Experience at L’Oréal, stated, “Messaging is the perfect match for both marketing and problem-solving, offering significant efficiency improvements compared to other channels.”
To implement messaging solutions effectively, the report recommends businesses focus on the 5 P’s:
- Prioritization: Target quick wins and align with overall brand strategy.
- Privacy: Ensure interactions happen with full permission and adhere to high standards.
- Partners: Utilize analytics platforms to launch and scale messaging effectively.
- Performance: Deliver increasingly personalized and predictive interactions.
- Proactivity: Stay agile and commit to continuous testing and learning.
A complimentary copy of the full report is available here. A webinar discussing the findings will be held in September.
Discover more about how Meta’s Business Messaging helps businesses build two-way relationships and enhance customer experience here.
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