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Customer-Driven Innovation: The Next Frontier

Executive Summary

Companies' interactions with customers have expanded, transaction costs have been reduced, and enormous customer data has been amassed. But to achieve greater customer loyalty and profitability, firms will need to adopt new approaches to managing customer relationships. They must also learn how to exploit customer knowledge to drive innovation.

The use of analytics and networking tools will be central to these efforts. Voice over IP, hosted CRM, and multi-channel contact management, for example, will help firms transform contact center operations. Secure networking technologies, such as IP VPNs, will enable direct customer involvement in the innovation process. Adroit use of analytics can also help companies optimize channel use and identify when customers are likely to lapse.

This article is featured in the new edition of Networking Views, AT&T's customer newsletter. View additional articles by clicking on "Newsletter" in the left navigation.

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