CRM 3.0: Co-creating a New Era for Customer Relationships
In the ever-changing marketing landscape, staying ahead means constantly reimagining our mindsets, strategies and tools. Customer Relationship Management (CRM), which has existed since the '80s, is no exception. As we stand on the cusp of Web 3.0, powered by artificial intelligence and machine learning, the way marketers deliver CRM is set to be revolutionised. What does this mean for the future of customer relationships? This new frontier demands a fresh perspective on how we connect with and serve our customers. CRM 3.0 will combine human and artificial intelligence to bring brands closer to their customers than ever before.
Understanding the Evolution of CRM
To grasp where CRM is heading, we need to reflect on its journey. Web 1.0, the ‘read-only’ web, saw CRM 1.0 focus on distributing information to customers, aiding their decision-making processes. As we transitioned to Web 2.0, the ‘read/write upgrade’, CRM 2.0 evolved to elicit customer engagement and leverage social behaviours.
Now, we’re on the brink of Web 3.0, a more decentralised Internet powered by advances in computing power, AI and machine learning. This version of the web empowers customers, enabling content distribution to be more contextual rather than linear, fostering unique interactions and contributions. But what does this 'read, write, execute' web or, as we prefer to call it - the 'co-created web' – mean for CRM?
Introducing CRM 3.0
Combining the philosophy of Web 3.0 with the potential of AI and human creativity, CRM 3.0 will deliver customer-centricity like never before. Whilst customer needs have remained fundamentally unchanged, what’s evolved is how these needs are addressed. This requires a move away from previous approaches. New language, strategies, technologies, and mindsets are needed. So, how do marketers reimagine CRM to adapt to changing consumer behaviour and future brand challenges?
The 10 Shifts of CRM 3.0
Here are the 10 shifts we believe brands need to master in the CRM 3.0 era:
1. Grow as your customers grow: Growth is imperative. CRM 3.0 will enable marketers to identify and understand their growth audiences better than ever, acting on insights as customers evolve. As they grow in life, brands can grow.
2. Customer in control: The decentralised web shifts power from platforms to people. CRM 3.0 will enable truly customer-first business transformation, influencing not only communications but also co-creating products and go-to-market strategies.
3. Agent-based interaction: Web 3.0 technologies and natural language processing will make customer interactions more intuitive and intelligent, enhancing real-time decision-making.
4. The ‘Octopus’ model: Single customer views are challenging. By leveraging AI, decision-making will move from a central “brain” to distributed “limbs” (like an octopus), making contextual decisions in real time.
5. It’s your data, own it: Zero-party data, where customers voluntarily share data for rewarding experiences, will be crucial. CRM 3.0 emphasises direct and overt value exchange for direct data, fostering transparency and trust.
6. With great power comes great responsibility: Technological shifts can have unintended effects. Brands will need robust responsibility frameworks to consider ethical, societal, and environmental impacts.
7. Co-creation on steroids: When decentralisation, customer in control and a new value exchange as trends converge, brands will be able to harness and amplify advocacy and co-creation at scale.
8. The AI crystal ball: CRM 3.0 operates at the speed of the customer. Brands will be able to anticipate and predict needs before they arise, leveraging AI to stay ahead.
9. The ultimate power couple: CRM 3.0 thrives on the synergy of mind and machine, of human and artificial intelligence. There will be new ways to connect with customers, turbocharging the use of existing technology such as geo-location and interactions designed around contextual moments in a person’s life
10. A new antenna: With the uncertainty around a cookieless future, 60% of current data signals may disappear. CRM 3.0 will decode new signals from the noise, enabling relevant experiences across connected platforms.
The Future of CRM
As we stand on the verge of this transformative era, CRM 3.0 offers a bold new vision for customer relationships and marketing. By adopting these rules and leveraging the power of AI and human ingenuity, brands will forge deeper, more meaningful connections with their audiences. This next generation of CRM isn't just about managing relationships; it's about anticipating needs, co-creating shared value, and building more personal, relevant and dynamic customer experiences.
The question we must ask ourselves is this: Are we ready to embrace the future of CRM? Can we shift from traditional, linear strategies to a more decentralised, customer-centric approach? The journey to CRM 3.0 requires us to rethink our strategies, innovate our technologies, and, most importantly, put the customer at the heart of everything we do.
At Digitas, we're committed to pioneering this new approach, not just to stay ahead of the curve, but to redefine what CRM can be in a rapidly evolving world. By embracing CRM 3.0, brands will be able create a more commercially and culturally impactful future. Let’s get stuck in.
