First coined in 2010 to refer to marketing strategies andshopping experiences, the term omnichannel has evolved to also encompasscustomer service experiences. Businesses who provide omnichannel support treattheir customers to seamless interactions throughout their resolution journeys,regardless of how many communication channels they use.
Many organizations strive to provide omnichannel customer supportbut fall short of their goals. For example, NiCE research revealed that overtwo-thirds of consumers say companies are doing a poor job allowingcustomers to switch seamlessly between methods of communication.
Providing an omnichannel experience is a complex undertakingthat often requires changes to people, processes, and technology not just inthe contact center, but throughout the organization. In today's experienceeconomy, achieving success through a disciplined omnichannel approach hasbecome a business imperative, regardless of the complexity. Customers value loweffort transactions, which is what omnichannel customer service is all about.
Understanding omnichannel
Omnichannel is the provision of frictionless customersupport across multiple customer service channels, enabled by integratedsystems and customer context that's available on demand in every channel.
Consumers often use multiple channels (phone, email, chat, mobileapps, self-service, etc.) when they try to get an issue resolved or find ananswer to a question. An omnichannelcontact center supports this movement from channel to channel by making thecustomer's interaction history seamlessly available in every communication method. For example, if a customer initially interacts with a chatbot and then decides voice support is a better option, the phone agent would be able to see thetranscript from the chatbot conversation. With omnichannelsupport, customers don't have to repeat the nature of their issues when theyswitch channels.
What is the difference between multichannel and omnichannel?
Although often used interchangeably, the terms"multichannel" and "omnichannel" refer to differentconcepts and capabilities.
Most sizeable businesses offer multichannel customersupport. For example, a customer may be able to search an online knowledge-base, chat with an agent, or use Facebook Messenger to find resolutions. However, if the organization they're contacting only has multichannelcapabilities, any customer who switches channels within the same transaction will have to "start from scratch" in the new channel. Requiringpeople to repeat themselves multiple times creates a poor customer experience.
Organizations that provide omnichannel customer service alsooffer multiple channels to their customers; however, because of theiromnichannel approach to support, the data and context follow their customersthroughout their resolution journeys. The elimination of the need to repeatdetails is a much smoother and lower effort customer experience.
Key features of omnichannel
Smooth transitions across multiple channels are ahallmark of omnichannelsupport, and they are made possible by several core features.
Examples of omnichannel
Scenario 1: John just bought an assemble-it-yourselfdesk online from his favorite office supplies brand, but he's a little confusedby the assembly instructions. He's having trouble attaching a drawer. He visits the company's website and searches for "how to attach a drawer." TheFAQ doesn't answer his question, but it does provide the option to video chat with an agent. The customer service agent initiates the conversation with, "Hello John! I see you need more information about attaching the drawer tothe desk you purchased from us last week. I can help you with that."Because the agent has access to John's search history, she can begin theinteraction with confidence and get right down to business with solving thecustomer's problem.
Scenario 2: Jane had an equally pleasant omnichannelexperience during her customer journey. When she ran into an issue with aninsurance claim she submitted, she opened a chat session with an agent, who wasable to co-browse her claim. Because shedidn't have everything she needed to complete and submit the claim at the time,she revisited it the next day. This time when she had questions, she decided tocall the company, and was pleased when her call was routed to the sameomnichannel agent she was interacting with via chat the previous day.
Because these customers were interactingwith an omnichannel contact center, their transitions across channels weresmooth and they had a consistent customer experience. They didn't have torepeat their issues and the agents they interacted with were prepped and readyto provide solutions.
The importance of omnichannel
As the examples in the previous section illustrate, a frictionless transaction creates a much better customer experience.
Consumers expect and value omnichannelcustomer service. Based on our research, 96%of consumers expect businesses to make it easy to switch channels and notbe required to repeat information. Additionally, 94% of consumers expectseamless access to a customer service agent even if they begin their resolutionjourney in a self-service channel.
However, customers are not receiving omnichannel services as often as they would like. Consumers report that they need to repeat information amajority of the time when switching channels.
Aside from meeting customer expectations and providingbetter CX, there are some very practical operational reasons for goingomnichannel. For one thing, omnichannel support improves first contactresolution rates, and thereby reduces volume and costs. And, since anomnichannel approach requires businesses to offer multiple channels, it canlower cost to serve. As an example, self-service is many times cheaper than phone support, so diverting a portion of phonevolume to effective self-service solutions can result in substantial costsavings.
Implementing omnichannel
Getting omnichannel right is often a significanttransformation effort that can involve changes to current systems and ways ofdoing things. Additionally, it may require the organization's culture to becomemore customer-centric.
Key steps for omnichannel implementation
The following activities should be part of everyomnichannel transformation.
Developing an omnichannel vision and a detailed road map for how to get there is a key to implementation success.
Common challenges in omnichannel implementation
In TheInner Circle Guide to Omnichannel, ContactBabel identified several challenges businesses can encounter onthe path to becoming omnichannel, including the following:
Best practices for successful omnichannel implementation
The following omnichannel best practices will helporganizations avoid many of the major pitfalls that can be encountered whilegoing omnichannel:
The future of omnichannel in business
The future of omnichannel is really about the future ofsupport channels. Consumers will continue to expect seamless transitionsbetween channels, but the nature and popularity of those channels will evolve. Whilevoice and other agent-assisted communication methods are still the most usedoptions, AI-powered self-service and other emerging alternatives are gainingground. Many people value the ability to handle their own matters, and as self-servicesolutions become smarter and capable of handling more complex issues, adoption should continue to increase. Agent assistance may ultimately becomethe exception rather than the norm. And, of course, customers will continue toexpect the transition from self-service to agent to be smooth and painless.
In the nearer term, businesses continue to pursue and investin omnichannel capabilities. For example, in one study NiCE found that 35%of businesses planned to invest in omnichannel, a ten-point increase fromthe prior year.
Integrated technology: Customer dataneeds to flow seamlessly across channels so it's available when it's needed.This requires eliminating technology silos and integrating systems so that datais easily shared.
Full context available to agents: Integrated systems make it possible to provide complete customer context tocontact center agents. With data such as purchase and interaction history attheir fingertips, agents are more prepared to personalize conversations and quickly deliver resolutions.
Consistent experiences across channels: For an omnichannel experience to be truly seamless, all the touchpointsencountered during the customer journey need to be coherent. This means, forexample, that a customer should receive consistent information in both self-service and agent-assisted channels. If a chatbot tells a customersomething different than an agent does, that isn't a true omnichannelexperience. More importantly, that scenario will frustrate customers.
Understand what your customers want. "Omni" means "all," but that doesn't mean that anorganization should implement all of the possible support channels. Thatwould be a management nightmare and create a confusing customer experience.Base your channel options on customer personas and direct and indirect customerinput. For example, insights provided by interactionanalytics software may reveal a new support channel customers are clamoringfor.
Create customer journey maps. Mapping thecustomer journey is a perfect exercise to do at the beginning of an omnichannelinitiative. Customerjourney maps contain information about all the touchpoints and handoffs acustomer encounters while trying to accomplish a goal with an organization. The best journey maps highlight areas of friction that need to be addressed tocreate an exceptional omnichannel experience.
Objectively evaluate current technology. Because so much of omnichannel success is dependent on technology,organizations need to conduct an honest assessment of their current systems.Contact centers are often hampered by outdated software that can't supportnewer digital channels, let alone provide omnichannel customer service. Forcall centers to become omnichannel contact centers, they may need to implementomnichannel solutions, such as:
Analytics software powered by artificial intelligence (AI)
Design the omnichannel agent experience. One of the significant operational benefits of going omnichannel is thepotential bump in agent productivity. When agents can handle multiple channelsin back-to-back (or even simultaneous) interactions, this can increaseoccupancy, allowing organizations to do more with less. This changeneeds to be thoughtfully designed. At the very least, agents will likely need new tools and thorough training to be successful.
Measure and closely manage. One of thefirst tasks to be completed at the beginning of an omnichannel initiative is toestablish program goals, and then determine how and when to measure performanceagainst those goals. Additionally, because new employees, processes and systemscan disrupt performance, the ability to provide omnichannel experiences shouldbe closely managed on an ongoing basis.
Technology does not provide a single view ofthe customer. Omnichannel customer service requires the business to recognizecustomers in every channel they use. Without a platform that provides a singleview, omnichannel becomes even more difficult, if not impossible.
Insufficient funding. Implementingomnichannel isn't a quick, cheap project. Changes can reach across theorganization and often include investment in new technology and skills. Aninadequate budget can result in inadequate CX.
Siloed, dispersed business processes. Silos are the enemy of omnichannel. To provide seamless customer experiencesacross multiple channels, businesses need to eliminate barriers that preventoptimized processes and teams from working well together.
Lack of strategy and vision about whatomnichannel can deliver. Businesses shouldn't implement omnichannel justbecause they think they should. Omnichannel is a means to an end - whether the"end” is better customer retention, higher revenue, or some other businessgoal. Accordingly, organizations need to adopt an omnichannel approach, vision,and strategy that is compatible with and supports their business strategy.
Listen to your customers. While creating and analyzing customer journey maps, businessesmay develop a big laundry list of issues that need to be addressed tocreate seamless experiences for their customers. To prioritize these issues andtheir solutions, organizations should collect and analyze customerinput. What may be identified by the business as a high priority issue maynot matter much to customers, and vice versa. Developing an omnichannel approachbased on customer preferences is a top best practice.
Gain organizational buy-in. Because silosare the enemy of an omnichannel strategy, the organization needs to be alignedon the strategy, especially those groups that may have to change their processesor technology in support of the effort. The initiative should also have astrong executive sponsor who can champion the cause throughout the organizationand moderate any disagreements among internal groups.
Test and refine. Reaching a state offully optimized omnichannel is typically an iterative process. Organizationsshould take an approach of testing and refining solutions to learn what worksand minimize any potentially negative impacts to the customer experience.
Use the right technology. An omnichannel platform can solvemany of the pain points and sources of friction customers encounter whileattempting to find answers and resolutions. Such a platform can reduce the time it takes to reach goals and ensures organizations are usingtechnology designed for omnichannel best practices.
Achieve some quick wins. An omnichannelplatform can also help contact centers achieve some quick wins, which can beimportant for maintaining program momentum. When prioritizing issues toresolve, include a couple of potential quick wins on your high priority list.
How NiCE is Redefining Customer Experience
NiCE offers the industry’s only unified AI platform for customer service automation. CXone Mpower revolutionizes how organizations automate customer service from start to finish—with channels, data, end-to-end workflows, and enterprise knowledge converging to improve customer experience at scale. With domain specific AI trained on the industry’s largest CX dataset, an open framework with endless integration possibilities, and a complete suite of advanced AI applications, CXone Mpower is one platform built for organizations of all sizes to deliver seamless customer service experiences, boost operational efficiency, and drive better outcomes.
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