Rather than defaulting to copy their competitors’ tech investment choices, as seen in the 2023 research, C&R companies are now focusing their tech spending on the areas with the greatest potential to drive returns. And this focused approach is paying off.
These companies’ investment decisions are more disciplined and based on past success, with 74 per cent saying their tech investment priorities reflect proven returns—up from 50 per cent in 2023, the ‘KPMG global tech report: Consumer and retail insights: Accelerating with intent’ said.
For every technology type in KMPG’s research, the proportion of C&R companies reporting greater profitability because of their investments has increased YoY. Moreover, these businesses are more likely to see larger profit increases (10 per cent or more) in comparison with the cross-sector average.
Targeted improvements are enhancing the sector’s data maturity. Over the past 12 months, C&R businesses have matured markedly in terms of their data management programmes, the report noted.
For example, 52 per cent now say they are effectively securing insight from the data, up from 38 per cent a year ago. However, they still lag their peers in other sectors, a KPMG release said.
Artificial intelligence (AI) is generating widespread business value, with operational efficiency and product innovation key aspirations. Seventy-three per cent of C&R companies have already secured value from active AI use cases. Now, they are focusing on scaling and acceleration.
Three-fifths of respondents say they collect customer feedback, but frequently fail to use the insights. Stubborn data disconnects between contact channels obstruct the transfer of customer insights across C&R businesses.
ALCHEMPro News Desk (DS)
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