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REAL TIME – REAL VALUE: A GUIDE TO REAL-TIME INTERACTION MANAGEMENT (RTIM)

Norma Suarez, Feb 27, 2024
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Have you ever faced frustration when interacting with a company's service, like
your bank or insurer, where it seems like one hand doesn't know what the other
is doing? If so, you've encountered a lack of Real-Time Interaction Management
(RTIM) - a critical gap in modern marketing and customer service engagement
strategies. RTIM is all about effective personalization - delivering the right
experience to the customer at the right time, across any touchpoint, tailored to
their individual needs and current context.


WHAT IS REAL-TIME INTERACTION MANAGEMENT?

Forrester defines RTIM as "Enterprise marketing technology that delivers
contextually relevant experiences, value, and utility at the appropriate moment
in the customer lifecycle via preferred customer touchpoints." This approach
integrates across various technological domains, including data, analytics,
marketing, and customer experience (CX), aiming to create a seamless,
personalized customer journey.

RTIM is not a one-size-fits-all solution; it’s a more modern approach to
customer engagement and it's a market of diverse technologies that cater to
different aspects of customer engagement. Some more traditional RTIM vendors
focus on next-best-product or offer strategies, primarily for marketing and
e-commerce. But leaders have shifted towards next-best-experience (NBX),
emphasizing a holistic view, incorporating Customer Journey Orchestration (CJO),
Real-Time Decisioning, and Customer Journey Analytics (CJA) to enrich the entire
customer lifecycle beyond mere marketing.


COMBINING TECHNOLOGY, CULTURE AND BUSINESS NEEDS

There are additional factors besides the existing technology investments that
influence an organization’s approach to RTIM. Unique business needs, skillsets,
and organizational structure and culture are equally important ones.
Nonetheless, many times what organizations don’t realize is (at least not right
away) that their existing technologies can be leveraged to enrich this new NBX
RTIM approach. Here are some examples:

 * Next-best-experience Decisioning Engines: Serve as the "brain" of RTIM,
   leveraging real-time data and AI to optimize the customer experience across
   all channels.
 * Customer Journey Orchestration Tools: Design, build, and manage customer
   journeys, often integrated with decisioning engines for a comprehensive
   approach.
 * Customer Data Platforms (CDP): Enhance RTIM by aggregating and activating
   customer data to drive personalized experiences.
 * Enterprise Martech Solutions: Include personalization tools primarily for
   digital channels, focusing on customer acquisition and conversion.

Implementing RTIM offers myriad advantages, from fostering genuine, empathetic
customer interactions that inspire loyalty, to ensuring every engagement is
timely, relevant, and adds value. By centering the customer in all interactions,
businesses can achieve a seamless omnichannel experience, ensuring consistency
and personalization at every touchpoint. Moreover, RTIM enables an always-on
engagement model, adapting to customer behaviors in real time to maximize every
interaction's impact.


NAVIGATING THE CHALLENGES OF RTIM IMPLEMENTATION

As Heraclitus once said: “The only constant is change.” Without change there’s
no learning, growth, or new wins. There are many reasons why organizations may
struggle to adopt RTIM. Resistance to change is at the top of that list, but
there are critical technology challenges to assess.

 * Data: The pursuit of perfect customer data is ongoing, yet many organizations
   lack a comprehensive data infrastructure. While data transformation
   initiatives vary in progress, waiting for perfect data is not conducive to
   enhancing customer relationships. Activating first-party data and combining
   it with the right RTIM system is a great catalyst for that.
 * Technical debt: Organizations often struggle with fragmented systems,
   overlapping technologies, and outdated tools, creating significant technical
   debt. A unified RTIM system could streamline technology investments,
   enhancing customer experiences and achieving business goals more effectively
   by consolidating essential functions and reducing complexity.
 * Integrations: Keeping pace with rapidly evolving technologies is a constant
   challenge. Prioritizing technologies that support the entire customer
   lifecycle without hindering it is crucial. RTIM stands out for its ability to
   integrate diverse systems, from customer data management to analytics,
   fostering a seamless customer experience. The 2023 Martech Replacement Survey
   highlights this capability as a key factor in organizations' decisions to
   update their marketing and customer experience platforms, often driven by the
   goal of improving customer or digital experiences.

Adopting an RTIM approach is not without its hurdles. However, the journey
towards effective RTIM is incremental, allowing businesses to evolve their
strategies and technologies at their own pace, leveraging existing investments
while gradually incorporating new tools and approaches.


ARTIFICIAL INTELLIGENCE AND RTIM

Most RTIM vendors provide basic AI capabilities such as predictive AI and
machine learning. However, AI capabilities for NBX decisioning can vary widely
based on the type of models and available access, model adaptability, management
and deployment options, scalability, and embedded Responsible AI features such
as fairness, transparency, accountability, explainability, and compliance.

What isn’t always available widely and is critical to successful real-time NBX
decisioning is AI-based “re-decisioning.” This adaptive AI capability reads
real-time data signals and adapts to that information to ensure that the
customer interacting with your brand, receives the most relevant and timely
action – repeatedly – even seconds after new signals arrive. Without adaptive
learning that customer is unlikely to receive the correct, personalized
interaction in their moment of need. And this is the secret sauce of true RTIM.


DRIVING SUCCESS AND THE FUTURE OF RTIM

There are different ways of measuring the success of RTIM strategies. Although
all are valuable to the business, being overly focused on short-term
transactional revenue gains can bring unwanted opportunity costs for future
growth. Forrester recently stated in their 2024 RTIM Wave that they’re seeing
“an increased focus on ROI, customer lifetime value (CLV), operational
efficiency, and servicing costs.” Organizational efforts to measure customer
outcomes, loyalty, and engagement are now reaching beyond acquisition and
conversion metrics.

The future of RTIM is bright, with ongoing advancements in technology and
strategy continually enhancing its potential to deliver unmatched customer
experiences. As businesses become more adept at balancing customer needs with
their objectives, RTIM will play an increasingly central role in fostering
long-term, valuable customer relationships. The continual evolution of RTIM
strategies, underpinned by AI and analytics, promises not only to meet but to
anticipate customer needs, setting the stage for a new era of customer
engagement where personalization, efficiency, and empathy converge.

To learn more about how RTIM is creating value for brands and customers alike,
download the 2024 Forrester RTIM Wave.


TAGS

Industry: Cross-Industry Product Area: Customer Decision Hub Solution Area:
Customer Engagement Topic: AI and Decisioning Topic: Personalized Customer
Experiences


ABOUT THE AUTHOR

Norma Suarez, MBA, MPM, and Pega’s director for marketing and AI-decisioning
competitive intelligence, is an evangelist for one-to-one customer engagement
and responsible AI.

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