Forrester’s 2023 Predictions for CX, Marketing and Technology Leaders

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Customer Retention / Featured

Forrester’s 2023 Predictions for CX, Marketing and Technology Leaders

The only certainty for 2023 is change itself. Executives are setting priorities on shaky ground. The challenge now: How can you keep moving, adjust your strategy, and keep pace with the ever-changing world?

Analyst firm Forrester recently released their 2023 predictions for technology, CX, and marketing leaders. They provide great insights into a future that requires a thoughtful approach.

We picked four of these predictions to help retention and CX leaders deal with the challenges posed by this period of uncertainty and change.

1.B2B demand leaders will deliver satisfying experiences across the customer lifecycle…or struggle.

Forrester reports that as demand teams face waning lead-based contributions to revenue results, the number of these teams reporting to sales organizations will spike to 20% by the end of 2023. Regardless of where demand marketing reports, success will depend on demand leaders fully embracing their role in delivering satisfying experiences across the customer lifecycle. Success will also require that marketing and sales adapt their alignment and integration to support buyers and customers.

2.Some B2C CMOs will fall into the short-term revenue growth trap.

Another big prediction for CMOs is the influx of short-term growth traps. Forrester reported that CMOs with strategic heft managed the pandemic crisis. Despite this, the need for quick wins in 2023 will induce CEOs to favor CMOs from functional performance marketing backgrounds without fully grasping the big picture.

Half the new B2C CMOs will come from pure-play performance marketing roles. CMOs should double down on improving the customer experience with an undivided focus on building relationships, ultimately affecting the brand experience.

3.Consumers are cautious, but businesses should not pull back on spending as a result.

According to Forrester’s July 2022 Consumer Energy Index and Retail Pulse Survey, the majority of online adults in the U.S. (64%), UK (59%), and France (55%) are anxious about the possibility of a recession. Despite the economic gloom, spending will increase by 5%.

The survey also states that while consumers will still signal caution, money in the bank will spur them on to more lavish spending. Forrester also predicts that 2023 will see a 5% average increase across categories.

4.A skills shortage will challenge CX teams’ ability to thrive.

The final prediction for subscription businesses states that four in five CX teams will need more critical design, data, and journey skills. Most customer experience (CX) teams lack crucial skills, including design thinking, inclusive experience design, survey design, journey mapping, data literacy and storytelling. This team skills shortage will contribute to an erosion of CX differentiation in three-fourths of industries.

Uncertainty requires a steady approach. Leaders have a unique opportunity to set precedence over the importance of the customer experience. The mantra as we head into 2023 should be – turn inward, fill gaps in identifying and addressing gaps in customer experience, and maximize revenue from your existing customer base.

Which CX or customer retention challenges are at the top of your mind? Let us know in the comments.