Thursday, 24 April 2025
26.8 C
Singapore
29.9 C
Thailand
19.5 C
Indonesia
28.8 C
Philippines

Only 10% of businesses ready for experience-orchestrated future, study reveals

Only 10% of businesses are ready to become experience-orchestrated, facing challenges in data management and privacy, a study finds.

Businesses are under increasing pressure to provide hyper-personalised customer experiences, but a new study shows that only 10% are prepared to become experience-orchestrated (X-O). The findings, outlined in an IDC InfoBrief commissioned by Affinidi, highlight the need for businesses to tackle challenges around data management and privacy while adopting strategies to deliver greater value to their customers.

Released on 27 November in Singapore, the report titled Unlocking Customer Value as an Experience-Orchestrated (X-O) Business examines how businesses can transform to thrive in a competitive landscape. Drawing from a survey of digital-native businesses (DNBs) in Singapore, India, Australia, New Zealand, and North America, the study explores obstacles to achieving hyper-personalisation and outlines solutions for addressing them.

Hyper-personalisation as a competitive edge

According to the report, commoditisation and product similarities will be the biggest challenges for businesses in the next two years. These factors make it increasingly difficult for organisations to stand out based on product or service alone. As a result, hyper-personalisation has emerged as a key differentiator.

The survey shows that 58% of businesses aim to prioritise hyper-personalised customer interactions to deliver greater value. While companies in mature markets like North America and ANZ have made personalisation a top priority, businesses in Asia are still catching up. In regions such as Singapore and India, profitable growth often takes precedence over personalisation. However, experts predict that by 2027, 30% of Asian organisations will shift their focus to personalisation as a core strategy to combat competition and retain customer loyalty.

Privacy challenges hinder progress

Despite the push for personalisation, businesses are struggling to manage customer data effectively. The survey reveals that 56% of organisations face challenges in data collection and management, compounded by growing concerns over data privacy. Customers remain wary of sharing personal information, especially given the rise in cyberattacks and data breaches. Trust is a crucial factor, as businesses must demonstrate robust security measures to earn customers’ confidence.

Moreover, regulatory frameworks like Europe’s GDPR, India’s DPDP Bill, and Singapore’s PDPA add complexity to data management. According to the study, 59% of businesses cite customer security concerns during registration as a significant hurdle.

This creates a privacy-personalisation dilemma: customers want personalised experiences but are cautious about the data they share. Businesses must strike a delicate balance between delivering tailored services and ensuring data security.

Becoming an X-O business

To address these challenges, the report emphasises the importance of becoming an X-O business. Such organisations integrate data, systems, and processes across their operations to create a seamless, value-driven experience for customers. The transformation involves:

  1. Data integration: Developing a unified customer view by connecting disparate data sources.
  2. Cultural shift: Embracing AI and prioritising value-driven outcomes over outputs.
  3. Intelligence and trust: Using data responsibly while building trust through transparency and security.
  4. Actionable insights: Engaging stakeholders with data-backed insights for meaningful interactions.

The study highlights the role of holistic identity management in enabling businesses to achieve these goals. Affinidi’s framework offers solutions for secure onboarding, consent management, and data integration, helping organisations meet stringent privacy regulations while enhancing customer trust.

Tools for transformation

Affinidi’s solutions empower businesses to unify customer data, break down silos, and leverage insights for hyper-personalised services. By adopting a privacy-first approach, companies can protect sensitive information while fostering long-term customer loyalty. Features like identity verification, consent management, and secure communication ensure compliance with regional regulations while enabling a seamless customer experience.

Glenn Gore, CEO of Affinidi, emphasised the importance of data utilisation: “Turning X-O will be pivotal for businesses to stay competitive in today’s digital landscape. It is no longer about just acquiring data but also knowing how best to utilise it to cater to customers’ needs and preferences.”

The findings underline the urgency for businesses to evolve, as only a small fraction are fully equipped for the X-O journey. By prioritising personalisation alongside data privacy, organisations can enhance customer experiences, drive growth, and maintain a competitive edge in an increasingly demanding market.

Hot this week

CeMAT Southeast Asia returns to Singapore to showcase the future of logistics and automation

CeMAT Southeast Asia 2025 will showcase innovations in logistics and automation, addressing rising complexities and tariffs within the supply chain.

Nvidia rolls out major GPU update to fix crashes and stability issues

Nvidia’s 576.02 update fixes major GPU bugs, boosts stability, and adds support for the RTX 5060 Ti, starting at US$379.

Proofpoint launches unified cybersecurity platform to cut costs and tackle multichannel threats

Proofpoint launches Prime Threat Protection, a unified cybersecurity platform tackling human risk and multichannel threats while reducing costs.

Preorders for the Nintendo Switch 2 officially begin on April 24

Preorders for the Nintendo Switch 2 open on April 24. The device's launch date is June 5, and it offers new features, games, and accessories to explore.

Veeam introduces data resilience maturity model to address gap in organisational preparedness

Veeam launches a global data resilience model to help businesses address the growing gap between perceived and actual IT preparedness.

POCO launches entry-level C71 smartphone in Singapore with premium features

POCO launches the budget-friendly C71 smartphone in Singapore, offering premium design, enhanced cameras, and smooth performance at S$109.

NVIDIA uses AI to address climate, wildlife and disaster risks

NVIDIA’s AI tools support climate action, wildlife monitoring, and disaster risk mitigation, with uses spanning sea, land, sky and space.

Netflix raises subscription prices in Singapore again

Netflix again raises subscription prices in Singapore, with new rates for all plans and extra member slots.

GameMax unveils Blade Concept ATX case with bold design and powerful features

GameMax launches the Blade Concept ATX case, which features a striking blade design, RGB lighting, and support for high-end liquid-cooled PC builds.

Related Articles

Popular Categories