THE GLOBAL

STATE OF CX RESEARCH
REPORT

2024
How generative AI, data and customer
demands are shaping CX in 2024

INSIDE

Why data and analytics are growing in importance for CX practitioners

How investment priorities change according to budget size
Why practitioners are working to build recognition of CX as a key business driver Brought to you in association with

Featuring insights from CXPA Finland, John Holland Group, PetCo, Hastings Direct, YLE, Maven Clinic, The NTWK and Talkdesk

Jump to Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
section the respondents CX spending technology on CX customer of 2024 modern organization
Foreword
AI is top of mind and disruptor tech The Global State of CX 2024
is driving early gains Key findings

Since late 2022, awareness of the power and potential of generative AI

55%
said growing the customer base is a top strategic
has been growing across the business world as revolutionary new tools
entered the mainstream. Although no stranger to CX, as a result of this,
CX aim for this year
artificial intelligence (AI) in all its forms is now playing an ever-bigger role
in experience design and delivery. These trends, however, are not limited
to the organization and in 2024, CX is about more than fielding inquiry
volumes or closing feedback loops: practitioners have the tools and data
50% of respondents strongly agreed that automation
is critical for delivering CX at scale
to inform and support the wider business strategy.

28%
The Global State of CX 2024 is based on the findings of CX Network’s of respondents have noted customer loyalty
Global State of CX survey, completed by 282 CX practitioners, service benefits from generative AI
leaders, experience designers, analysts and consultants from around the
world, between January and March 2024.

55%
strongly agreed that data privacy and security
As always, the report examines the customer behaviors, corporate trends, is becoming more important to customers
budget allocations and strategic priorities that are driving the work of
the CX practitioner at present, and explains how to identify and seize the
opportunities that exist.
66%
said the pressure to prove ROI is increasing,
while 25 percent said it stayed the same
With analysis and guidance from practitioners at CXPA Finland, John
Holland Group, PetCo, Hastings Direct, YLE, Maven Clinic, Dhruva Express,
The NTWK and Talkdesk, this edition is also the first to examine the reach

63%
said CX delivers benefits to their organizations
and impact of generative AI on CX, including the loyalty and profit gains
that go unmeasured
some organizations are already recording.

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About the respondents

CX Network’s annual Global State of CX research covers the CX trends, tech developments, customer Figure 2
behaviors and budget values that influence our network of CX practitioners and their ability to deliver Which title best describes your
superior customer experiences. current role?
C-suite level
This year’s survey was completed by 282 CX practitioners, service leaders, experience designers, analysts
and consultants from around the world. Their responses provide the wider global CX community with 9%
information on the development and maturity of CX, and a reference point for the trends and challenges
defining the work of cx practitioners at present. SVP/VP

To contextualize the findings in the 2024 report, this section details the locations, departments, seniority 13%
and job functions of the survey respondents. Please note that due to rounding throughout this report,
Director
some figures may not total 100 percent.

20%

Head

16%

Analyst
89%
Figure 1
11%
A customer
An industry 11%
I am… experience
analyst
professional
Manager

31%

0% 50%

Source: CX Network Global State of CX Survey, January-March 2024

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Figure 3
Which regions are you responsible for?

23% North America 7% Europe/UK

1% Central and South America 14% Asia

3% Middle East 12% Asia-Pacific

7% Africa 15% Global

My responsibilities cover a single I am responsible for

12% country/ state/ location, but 7% multiple regions / a different
not an entire region combination of geographies

Figure 4
To which department/function do you belong? 11% 1% 1% 33% 5% 4% 5% 6% 10% 7% 1% 14%
50%

Contact center/Customer service Executive team/ C-suite

CRM IT, tech
Complaint management Marketing and market research
Customer experience Operations
Digital transformation Product management
Insights and analytics I sit across multiple departments

Source: CX Network Global State of CX Survey, January-March 2024 0%

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Figure 5
In which industry do you operate?

25% 15% 15% 13% 10% 9% 7% 7%

Banking, financial Healthcare IT and tech Technology Outsourcing/ Telecoms/ Wifi / Education Automotive
services, insurance professional services mobile/ broadband

7% 7% 6% 4% 4% 4% 3% 3%

Fintech Retail/ ecommerce Manufacturing Travel/ hospitality Government/ Media/ publishing/ Industrial Utilities
public sector entertainment

3% 3% 2% 2% 2% 1% 1%

Logistics Real Estate/ Fast Moving Consumer Electronic Transport Gaming Luxury goods
property Goods (FMCG) goods

Source: CX Network Global State of CX Survey, January-March 2024

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About the 2024 analysts

To support our analysis of the Global State of CX 2024 survey, CX Network interviewed…

Vinay Parmar
Sirte Pihlaja CEO of Dhruva Star, Sam Phillips-Lord
Head of team for CXPA Finland former chief CX officer for Senior customer insight manager
and CEO of Shirute National Express and CX Network for HastingsDirect
Advisory Board member

Yvette Mihelic
Colin Crowley Travis Gelbrich
Director of CX at John Holland
VP of customer support for VP customer care and contact
Group and CX Network
Maven Clinic center for PetCo
Advisory Board member

Jaakko Lempinen
Anna Noakes Schulze
Pedro Andrade Head of CX for YLE Finland
Head of community experience at
VP of AI at Talkdesk CX Network Advisory
TheNTWK
Board member

Our interviewees are CX professionals in major organizations. Their analysis in this report draws on their experience at these organizations and others.

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CX IN 2024
Trends, challenges and the modern practitioner

INSIDE THIS SECTION

AI dominates the top-10 trends

identified by practitioners
Competing priorities remains a
top challenge for the second
consecutive year
Practitioners must get to grips
with data

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CX in 2024: Trends, challenges and the modern practitioner
Over the last 12 months, the major trends defining automation (37 percent, see Figure 6). While AI features such as self-service and automation, have moved up
CX have been shaped by changing technological several times in the top-10 list, it is also an enabler of the list of priorities, signaling that practitioners are now
developments, changing customer demands and the other trends, such as automation and self-service. Only more focused on the details of digital.
continued digitalization of the modern enterprise. two of the top-10 trends, EX and loyalty, are not directly
related to technology. “Linking CX improvements and
When practitioners were asked to select which three
investments to new and returning
trends they expect to have the greatest impact on When compared with 2023, the top trends indicate a
their role in 2024, the most selected responses were strategic shift in the practitioners’ focus. Digital CX has
customers is still a challenge.”
data and analytics (42 percent), artificial intelligence dropped from the most important to the seventh most Travis Gelbrich
(AI) technologies for operations (39 percent) and important trend, while the components of digital CX, VP customer care and contact center for PetCo

Figure 6
10 trends that are changing the role of the CX practitioner in 2024*

Data and AI-powered Automation Customer loyalty Generative AI Conversational AI Digital CX Employee Generative AI Self-service
analytics technologies for and retention chatbots and virtual chatbots and virtual experience for marketing/
operations assistants assistants hyper-personalization

10 trends that are changing the role of the CX practitioner in 2023

Digital CX Data and Conversational Customer loyalty Automation Other AI-powered Dipping patience levels Employee Customer Business
analytics AI programs technologies from customers experience churn reduction continuity strategies

Source: CX Network Global State of CX Survey, January-March 2024 / *Respondents were asked to select three choices.

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Commenting on the results, Sam Phillips-Lord, senior
customer insight manager for HastingsDirect, says Figure 7
practitioners are gaining a deeper understanding of When we asked practitioners how they are preparing for these trends, they said…
what it takes to enhance CX. “I believe many people
used to see ‘digital’ as a golden bullet to solving
customer problems and enhancing CX,” he says. “While “Learning more about bringing “Trying to work with customers as
digital can absolutely help, it requires much more than technology into service to improve closely as possible and using real-
just what was once simply seen as digital servicing.” CX and ROI.” time data to fix issues right away.”

Phillips-Lord adds: “Customers are becoming much

savvier to being palmed off with ‘do it online’ portals “Deploying self-service features online, “Upskilling to ensure
and generic help pages; neither empathy, nor a conducting surveys to re-design employee awareness of latest
human connection can be found from digital. I have a journey and investing on RPA to eliminate developments and innovation
sneaking suspicion that the rise of AI is likely to go in repetitive tasks.” in CX management.”
a similar direction. Yes, it absolutely has its uses from
the experiential and efficiency perspectives, but often
overlooked are the brains behind the tool.”
“Building AI models for “Looking for new technologies that can
cross selling and behavior increase value while unlocking features from
segmentation.” current systems, solutions and platforms.”

“Crafting a clear CX vision aligned with emerging trends, and mapping out a
strategy with goals, initiatives, and a roadmap to transform CX by 2024.”

Source: CX Network’s Global State of CX survey, January-March 2024

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 AI dominates the top trends miss with many customers initiating a self-service To understand how our practitioner respondents are
identified by practitioners journey that ultimately requires live assistance. Today preparing for these trends, see Figure 7.
however, with new capabilities and tools at their
For the first time in 2024, the response choice for fingertips, practitioners are revisiting and upgrading Competing priorities remains a
this question included two options on generative AI self-service for the AI age. top challenge
with both making the top-10, while conversational AI
chatbots and virtual assistants both moved down the On the leading capabilities practitioners need, Pedro According to respondents, CX faces a number of
list of priorities. Andrade, VP of AI at Talkdesk, advises a focus on challenges in 2024. However, for the second consecutive
generative AI-powered virtual agents and chatbots that year, competing priorities were identified as the top
Another trend to enter the top-10 this year is self- autonomously resolve customer inquiries at first contact challenge (selected by 42 percent of respondents),
service. Critical to meeting the customer’s demand rather than deflect them to a human agent. He also followed by aligning business objectives with CX
for friction-free and convenient support, self-service advises self-service is enhanced with portals that allow initiatives (37 percent, see Figure 8).
is increasingly being recognized as a driver of both customers to manage accounts, update information and
operational efficiency and customer satisfaction. track orders, and biometric authentication for secure Yvette Mihelic, director of CX for John Holland
Traditionally, self-service has been somewhat hit and identification. Group (JHG), says there is a link between the two
challenges, which is key to overcoming them. “It
is important to understand the links between CX
and the delivery of overall organizational strategy,
“It is important to understand the which generally involves increasing profit or growth –
links between CX and the delivery or both. Being able to clearly link investment in CX
with the commerciality of the organization has
of overall organizational strategy,
always been a key driver of advocacy and the
which generally involves increasing
commitment of funding of CX related initiatives,
profit or growth – or both.” programs and investment.
Yvette Mihelic
Director of CX at John Holland Group “It becomes difficult at best for the C-suite and board to
deny prioritization of items that drive the realization of
strategic goals,” she adds.

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Further to this point, the tenth most selected challenge consideration and preference. For example, how do On hiring, Mihelic says that particularly in
in 2024 was assigning internal CX responsibility. Mihelic we measure the impact on the brand of effectively Australia, where JHG operates, the Covid-19
says this means CX practitioners must consider the managing viral events on social media?” pandemic prompted many CX practitioners to leave
intent and objectives of not only their end customers, their specialties for new areas of focus. With fewer
but also strategic stakeholders across the entire Practitioners must get to people now available to take on CX roles, this has
decision chain. grips with data created a talent gap. Compounding this issue further is
the mis-identity of CX, which is often still thought of as
She explains: “My tip is to ensure each business case Elsewhere in the top-10 challenges, respondents customer service.
you put forward considers its commercial benefit as well identified a mix of operational and technical obstacles,
as its alignment and contribution to the overarching including creating actionable insights from data (29 “Unfortunately, for a large number of stakeholders and
organizational strategy.” percent), overcoming data silos (22 percent) and influencers, customer service is an expensive ‘nice to
digitalizing platforms and services (18 percent). However, have’ and many switch off when they hear about a
One thing that could support practitioners in this work is Mihelic says there are “at least another three” CX proposed investment in CX,” Mihelic says. “Globally we
linking customer feedback to top-line financial metrics challenges that she will be watching in 2024: the war on need to market the value and intent of CX – and its
such as customer acquisition, revenue, profit and cost talent, CX mis-identity and “analysis paralysis”. differentiation to customer service.”
savings. However, according to Travis Gelbrich, VP
customer care and contact center at PetCo, this is
another challenge CX programs face.

“While there are areas where alignment is easy to show,

they tend to be more on the cost side of the business, for
example through fewer contacts to the contact center.
Linking CX improvements and investments to new and
returning customers is still a challenge,” he says.

“Survey results do not always easily link to customer

acquisition, churn or revenue. The same is true for social
media feedback and how it impacts overall brand

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Finally, on analysis paralysis Mihelic says the volume of
data that are now available to CX means practitioners Figure 8
must be able to identify which data provide actionable 10 challenges CX practitioners face in 2024*
insights – and which do not.
Competing priorities 42%
“Creating a data set profile that provides you with
the information you need – preferably leading, rather Aligning business objectives with CX initiatives 37%
than lagging – helps create meaningful change
and improvements in the end-to-end delivery of an Building a customer-first culture 35%
experience, resulting in improved performance, rather
than floating in a wasteland of data that has little to Creating actionable insights from data 29%
no value.”
Linking CX initiatives to ROI 22%
The next section of this report analyzes the budgets CX
practitioners are working with, how they plan to allocate Siloed customer data: incomplete customer profiles, disconnected customer experiences 22%
the money and their anticipated obstacles
to investment. Ensuring consistent service quality between channels 19%

Digitalizing existing platforms/ solutions/ services 18%

“I believe many people used to see
‘digital’ as a golden bullet to solving Gaining senior management buy-in 18%
customer problems and enhancing CX.
While digital can absolutely help, it Assigning internal CX responsibility 16%
requires much more than just what was 0% 50%

once simply seen as digital servicing.” * Respondents were asked to select three choices

Sam Phillips-Lord Source: CX Network’s Global State of CX survey, January-March 2024

Senior customer insight manager for HastingsDirect

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A SNAPSHOT OF
CX SPENDING

INSIDE THIS SECTION

Automation is this year’s top

investment priority
The biggest budget holders are focused
on accessibility
The ability to prove ROI is an obstacle
to investment

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A snapshot of CX spending
As demonstrated in Figure 9, CX budgets have remained
relatively stable year-on-year, with the lowest budget Figure 9
bracket selected by the majority of respondents again What is your company’s annual budget for CX management solutions (US$)?
in 2024. However, the share of practitioners in the Year-on-year comparison, 2022-24
lowest budget bracket is at a three-year high this year,
with 43 percent reporting they have up to US$100,000 2024 2023 2022
to spend, compared with 22 percent in 2023 and 34
percent in 2022. US$0-$100,000 43% 22% 34%

With reference to how CX and service leaders can $100,000–$250,000 17% 20% 19%
manage a reduced budget Colin Crowley, VP of
customer support for Maven Clinic, says the choice
begins with deciding whether to invest in people –
$250,000–$500,000 9% 12% 10%
through incentive plans, new bonus structures and roles
– or whether to invest in technology. $500,000–$1m 13% 16% 9%

$1m–$2.5m 8% 12% 9%

$2.5m–$5m 4% 8%
19%
$5m–$10m 4% 7%

$10m+ 3% 3% N/A

Source: CX Network’s Global State of CX survey, January-March 2024

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“I recommend starting with a review of the technology automation (RPA) over AI. “Technologies like RPA may Automation is this year’s top
options and working back from there,” Crowley says. have less risk and more guaranteed returns, and they investment priority
“However, you need an idea of the return on investment save money for more investments in people to ensure
(ROI) that you will receive from the technology, and you you are maintaining loyalty and engagement with your On how practitioners are spending their CX budget,
will need to be more than 80 percent confident that you workforce,” he continues. the majority (42 percent) said they plan to invest in
understand the ROI, you can deliver on it, and it is enough the automation of CX and service functions. This was
to warrant investment. If you do not have that confidence The ability to deliver ROI is a key consideration for followed by data insights and analytics (38 percent) and
level, you will probably spend more than you intend, or practitioners in 2024 and, regardless of the budget conversational AI chatbots and virtual assistants (28
spend less than you need and not get your return.” value, the money must work harder than ever. When percent, see Figure 10).
asked, 66 percent of respondents said the pressure to
For practitioners who do not have the required prove ROI is increasing, while 25 percent said it stayed Explaining how to get started with the automation of
confidence around ROI, Crowley says they can simplify the same and a mere one percent of respondents said CX and service functions, Andrade says the first step
investments, for example by focusing on robotic process it is decreasing. is to target low-complexity, high-volume tasks. The
identified tasks will vary between industries, but the
principles remain the same, he explains.

“You need an idea of the ROI you

will receive from the technology,
and you will need to be more than
80 percent confident that you
understand the ROI, you can deliver
on it, and it is enough to warrant
investment.”
Colin Crowley
VP of customer support for Maven Clinic

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“Healthcare organizations, for example, might
want to look at automating how patients schedule Figure 10
appointments and retail brands may want to provide Investment priorities for the year ahead*
automated updates on an order status or delivery
tracking. Areas that reduce operational cost while Automation of CX and service functions 42%
enhancing CX offer the greatest return on investment,”
he explains. Data insights, analytics 38%

As referenced in section one, AI is both a leading CX Conversational AI chatbots and virtual assistants 28%
trend as well as an enabler of other trends and a
similar pattern can be found in practitioners’ spending Customer engagement 23%
priorities: in addition to being an investment priority in its
own right, AI technology also powers other investment AI/ML for business operations 22%
priorities, such as data analytics and chatbots. Sirte
Pihlaja, head of team for CXPA Finland and CEO of Voice of the customer/ Voice of the employee 21%
Shirute, says practitioners can still drive results with AI
if they are working with a small or reduced budget, by CRM 21%
augmenting their existing chatbots with generative AI.
However, there is a common pitfall with all AI projects Digital/ online customer experiences 20%
that practitioners must be mindful of.
Accessibility and inclusivity of contact channels 17%
“Many a time, when companies are doing AI-related
projects, it’s about how can we do the things that we Customer acquisition 17%
have always done but in a way that is now supported
0% 50%
by AI,” Pihlaja says. “Whereas particularly for CX, they
should be thinking about new things and experiences * Respondents were asked to select three choices

that AI can help create and exploring how it can unlock Source: CX Network’s Global State of CX survey, January-March 2024

their creativity.”

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 The biggest budget holders are more
Figure 11 focused on accessibility
The 10 most common obstacles for bringing these investments to life
Although there is evidence for CX budgets shrinking in
Demonstrating ROI 42% some organizations, 32 percent of respondents said
their CX budget is higher now than in 2023. Further
Finding budget 38% analysis of these respondents shows organizations with
larger budgets are more likely to have the technological
Gaining buy-in from internal/external stakeholders 35% basics in place. For example, there was little appetite
among the largest budget holders this year to invest in
Integration into existing tools 35% such basic yet essential capabilities as data analytics,
an omnichannel model or a cloud contact center. On
Economic conditions in local/regional market 28% how practitioners can invest to continue to drive results,
Andrade advises a focus on the continued development
Integration into company culture and processes 27% of AI capabilities.

Complicated internal sign-off process 26%

Time constraints 23%

Complexity in vendor market 21%

Economic conditions in global markets 20%

0% 50%

* Respondents were asked to select three choices

Source: CX Network’s Global State of CX survey, January-March 2024

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“Conversational AI, particularly powered by generative Andrade says: “This not only enhances customer Although many would argue accessibility is a foundation
AI, offers a transformative approach to CX by enabling experiences but also optimizes existing data analytics of CX, this trend suggests a sign of CX maturity among
more natural, human-like interactions between resources within the contact center.” the organizations with larger budgets. Crowley says the
customers and virtual agents,” he explains. trend is a continuation of the omnichannel focus, “the
Another notable trend among all budget idea that companies should be wherever their customers
These capabilities allow contact centers to resolve a holders is a new focus on the accessibility and are at, by maximizing where ‘at’ can be”.
broader range of inquiries by leveraging self-service inclusivity of contact channels, which entered the
and minimizing the need for human intervention in top-10 investment priorities for the first time this Crowley adds: “Another factor is that companies have
routine queries. Additionally, conversational AI powered year. When analyzed further, for those with a entered a world where they want to engage their
by generative models can leverage data already budget of $2.5 million or more, the accessibility customers. Companies seek to use customer service as
collected to continuously learn and improve responses, of contact channels was the fifth most selected a differentiator, and you can’t do that if people are not
leading to greater accuracy and efficiency over time. investment priority. able to engage with customer service.”

It is even possible to use AI to leverage this trend, by

conducting rich Voice of Customer (VOC) analysis of
written contacts and call transcriptions. “This actually
adds a positive value to customers contacting you
“Areas that reduce operational through the learnings and insights that customer

cost while enhancing CX contacts generate, as opposed to customer contacts

being seen primarily as a cost,” Crowley says.
offer the greatest return on
investment.” The ability to prove ROI is an
Pedro Andrade obstacle to investment
VP of AI at Talkdesk
In addition to the increasing pressure to prove ROI,
elsewhere in the survey ROI was named as the most
significant obstacle for CX investments (42 percent,
see Figure 11). This was followed by finding budget (38

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percent) and gaining buy-in from internal and external done to bring clarity to what you are trying to achieve, information independently. It transpired that more
stakeholders (35 percent). and the wrong people are involved in the conversation. than 70 percent of the inquiries were related to the
Often in companies we knee jerk to point solutions customer wanting to switch to a competitor. “If we had
With more CX technology and tools on the market than without understanding the root cause of the problem.” automated, we would have achieved the short-term
ever before, practitioners require a deep understanding objective, but we would have also lost the opportunity
of how to navigate their options, work with vendors and During his time in finance, Parmar was tasked to change things for customers who wanted to leave,”
make decisions that will deliver true returns. with reducing call center volumes. Initial analysis Parmar says.
indicated 20 percent of all calls were from customers
Advising on how to do this Vinay Parmar, CEO of Dhruva who wanted to check their balance, however, balances The next section of this report explores how technology
Star and former chief CX officer for National Express, were available via self-service. Rather than automate is changing CX, with insights on how such disruptor
says: “Fundamentally, the reason bad decisions are the balance inquiry journey, Parmar’s team started technologies as augmented reality and metaverse, are
made on technology is that not enough work has been to ask callers why they were not sourcing balance driving early profit and loyalty gains.

“Often in companies we knee jerk to point solutions without understanding

the root cause of the problem.”
Vinay Parmar
CEO of Dhruva Star

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THE IMPACT OF
TECHNOLOGY
ON CX

INSIDE THIS SECTION

Disruptor technologies are driving

profit gains
Early generative AI deployments are
delivering on customer loyalty
Not all customers want or trust AI

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The impact of technology on CX
Across the corporate world, ongoing digital said they have a fully implemented omnichannel process not only consumes a customer’s time and
transformation means technology is playing an ever- model and strategy, a three percent increase on 2023. patience, but also conveys a sense of inefficiency and
greater role in business and CX. However, when it comes The majority (35 percent) said they have a multi- disorganization on the part of the company. As a result,
to adoption, clear leaders and laggards are emerging. channel model but the connections between them customers who encounter this disjointed experience
remain fragmented. are more likely to become disenchanted and seek
When asked about cloud contact center adoption, 15 out competitors who offer a smoother, more cohesive
percent of respondents said their organization is cloud Andrade says those with fragmented channel service experience.”
native, while 19 percent said they have fully migrated. At connections face two significant challenges.
the other end of the spectrum, 14 percent said they plan “Brands that do not implement an
to migrate their contact center to the cloud in future “Brands that do not implement an omnichannel
omnichannel strategy are much more
while 13 percent said they have no plans. strategy are much more susceptible to customer
churn,” Andrade says. Although it is frustrating for
susceptible to customer churn”
When asked if they operate an omnichannel a customer to have to repeat information between Pedro Andrade
communications hub, 16 percent of respondents channels, the real damage is reputational. “This VP of AI at Talkdesk

Figure 12
Who is seeing gains from disruptor technologies... and who is yet to leverage them? positive impact on loyalty positive impact on profit

Generative AI Journey orchestration Augmented and virtual reality Data analytics Metaverse

28% 45% 13% 78% 10%

39% 40% 16% 79% 11%

43% 32% 68% 3% 71%

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Today, however, omnichannel is about more than says. “This targeted approach enables more effective For the first time in 2024, we asked practitioners how
communications: it is also a rich source of customer data engagement, conversion and retention than a multi- their use of seven key CX technologies is driving profit
and enables businesses to track and analyze customer channel model.” and loyalty. As demonstrated in Figure 12, the early
interactions across all touchpoints, including websites, experimenters are seeing gains in both areas, however,
mobile apps, social media, email and phone calls as well Disruptor technologies are driving many are yet to embrace the high-tech future of CX.
as in-person interactions. profit gains
For example, among those who use journey
“This holistic view allows for a comprehensive There are many new technologies at the practitioners’ orchestration, 45 percent reported positive loyalty
understanding of the customer journey, including fingertips, and some have the potential to disrupt outcomes and 40 percent reported positive financial
preferences, pain points and behaviors. Businesses can and re-write the rules of CX, including generative AI, outcomes. However, 32 percent are yet to get started
then tailor their marketing and sales strategies to align journey orchestration, data analytics, metaverse and with this technology.
with customer preferences and behaviors,” Andrade augmented and virtual reality (AR/VR).
On why so many are yet to embrace the new generation
of technology in the marketplace Anna Noakes Schulze,
head of community experience at TheNTWK, says CX
often adopts technology after other functions such
“If these technologies are not as marketing, where cutting-edge technologies are
yet important to your customers, required to “grab the customer’s attention in new and

then pay attention to what the inventive ways”.

more future-forward brands

“Customer experience is tasked with nurturing and
are doing and see what you can preserving the customer relationship, which naturally
learn from their initiatives.” lends itself to more conventional, lower-risk approaches

Anna Noakes Schulze that already have a proven track record. These

Head of community experience at TheNTWK conservative tendencies work against experimentation

with cutting edge tech, except in a few rare cases
like generative AI where the efficiency gains all but
guarantee a positive return on investment,” she says.

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 22
Although they often divide opinion, AR/VR and percent said they had recorded a positive impact on provide real-time guidance and coaching to agents,
metaverse-based experience are growing in popularity, customer loyalty through their use of generative AI for helping them navigate challenging situations and
with retail and B2B driving the use cases. On how these CX, while 39 percent said they had recorded a positive improve their performance.”
technologies can be used to engage customers, Noakes impact on company profits.
Schulze says CX professionals need to address two Despite the clear benefits generative AI can deliver to
basic questions before initiating a high-tech CX project: On where this technology is driving the greatest results the service suite, over the coming 12 months Andrade
how relevant are these technologies to our customers for CX, Andrade says: “Generative AI is profoundly believes it will predominantly be used to deliver hyper-
now? And how relevant will they be to new and existing impacting virtual agents and agent assistants, elevating personalized CX and push the boundaries of what is
customers over the next three to five years? their capabilities and enhancing their ability to deliver possible when it comes to targeted sales and advertising
exceptional customer experiences.” journeys, as well as effective communications.
“If immersive technologies like AR/VR and metaverse
are already becoming an important part of how your This is because virtual agents powered by generative
customers interact with brands, then it’s already time AI are more adept at understanding and responding to
to start testing the waters with iterative cycles of small natural language queries and this enables seamless and
experiments and learning from customer feedback,” she human-like interactions with customers. “These AI-driven
advises. “If these technologies are not yet important to virtual agents possess the ability to comprehend context,
your customers, then pay attention to what the more infer intent and autonomously resolve a wide range of
future-forward brands are doing and see what you can inquiries, reducing the need for human intervention in
learn from their initiatives. This will help inform your own complex and routine tasks,” Andrade continues.
strategy when your customers signal that the time is now.”
On the back end, generative AI is also empowering
Generative AI is delivering on organizations by augmenting decision-making abilities
customer loyalty and streamlining workflows. “These AI-powered
assistants analyze customer interactions, suggest
As demonstrated throughout this report, AI in all its forms appropriate responses and automate repetitive tasks,
is invaluable to practitioners in 2024, and generative AI enabling agents to focus their efforts on more complex
is now being used for marketing, hyper-personalization, issues and high-value interactions,” Andrade says.
chatbots and virtual assistants. Among respondents, 28 “Additionally, generative AI enables agent assistants to

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 23
“This level of personalization goes well beyond merely collected, analyzed and utilized to improve CX. development of AI technologies benefits all stakeholders
addressing customers by their name or recommending This involves clearly communicating the purposes in the CX ecosystem,” he explains.
generic products; it involves dynamically adjusting of data collection and the benefits to the customer,
content, offers and recommendations based on the ensuring there is an understanding of the value The next section of this report examines the
customer’s browsing history, purchase patterns, location, exchange,” he says. customer behaviors practitioners are keeping an eye on
demographics and even current context,” he says. “By and looks at how AI is being used by customers, as well
delivering precisely tailored experiences that cater to the As Finland’s national broadcaster, YLE published its as organizations.
unique needs and interests of each customer, generative ethical guidelines and standards for AI use in 2023, which
AI will foster deeper connections, increase engagement state that humans are always responsible for the use of
and ultimately drive customer satisfaction and loyalty to AI. Lempinen advises all organizations should make their
unprecedented levels.” ethical guidelines and standards for AI use available to
“Companies should be open
the public. about how AI technologies are
Not all customers want or trust AI employed in their operations,
“Thirdly, organizations should actively involve customers specifically in how data are
Despite the general positivity around AI, 65 percent of in the development of AI solutions through feedback
collected, analyzed and utilized
survey respondents either agreed or strongly agreed loops, allowing them to express their concerns and
that customers are concerned about ethical AI use and preferences. Engaging in dialogue about AI and its role in
to improve CX.”
the future development of AI for CX. CX helps demystify technology for customers and builds Jaakko Lempinen
a foundation of trust,” Lempinen says. Head of CX for YLE Finland
Jaakko Lempinen, head of customer experience for YLE
Finland, says that to demonstrate responsible AI use Finally, Lempinen says companies can demonstrate their
organizations must be transparent and collaborative, commitment to responsible AI by contributing to and
and they should also involve customers in order to advocating for industry-wide ethical standards.
understand their preferences and apprehensions.
“Collaborating with regulatory bodies, industry
“Transparency is crucial. Companies should be groups and other stakeholders to shape the future of
open about how AI technologies are employed in ethical AI use, not only positions the organization as a
their operations, specifically in how data are leader in this space but also helps to ensure that the

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CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 24
GETTING TO
KNOW THE
CUSTOMER
OF 2024

INSIDE THIS SECTION

Customers understand more about

AI, but still want empathy
Are machine customers the next
big thing?

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 25
Getting to know the customer of 2024
The customer’s demand for convenience has become and because they value their time more, they are being bringing new challenges to how practitioners can and
more significant for the work of the CX practitioner selective in how they want to spend it.” should connect with them.
in 2024, rising from the fourth to the most influential
behavior year-on-year. Customers understand more about Lempinen says that to be successful here, companies
AI, but still want empathy must focus on delivering seamless, efficient and highly
Elsewhere, the expectation for instant service or personalized experiences. “A good slogan for this is ‘a
delivery has dropped one place this year and reduced Several new behaviors feature in this year’s list, among little bit of friction is a lot of friction’, meaning, it doesn’t
customer spending has dropped from the first to the them awareness of how AI works or uses customer take much to be forgotten,” he says. “Utilizing AI and
fourth most influential behavior. Awareness of ethical data, and demand for tighter security across data or data analytics to understand customer preferences and
working conditions and the demand for sustainable or communications. In fact, 55 percent strongly agreed behaviors in real-time allows for the creation of tailored
ethical products and brands have also fallen down the that data privacy and security is becoming more interactions that resonate on a personal level, minimizing
priority list. important to customers. It is clear customers in 2024 are the time spent by customers on finding the products that
more tech savvy and time poor than in previous years, match their expectations.”
Commenting on the customers’ growing demand for
convenience, Phillips-Lord says: “We need to go back
to basics and deliver to expectations. As a customer, I
want to be able to do what I want to do, in the quickest
way possible – that means if I can’t do something online, “Machine customers will be
don’t make me try. Don’t lead me down the garden path able to conduct the tasks that
on a journey that takes in all the things I can do if the
feel like chores. It represents an
thing I want to do cannot be done.”
unprecedented growth
On the factors driving these trends, Parmar says: “The
opportunity for all industries.”
overarching one is our shorter attention spans. There Sirte Pihlaja
are time pressures in there too, and since remote work Head of team for CXPA Finland and CEO of Shirute
became more widespread, that time pressure piece has
changed. Pre-Covid, people had less time to fit things in
but now, working from home has given people more time

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 26
By offering multiple, well-integrated digital channels for the organization. As outlined in section one, customer Are machine customers the
engagement, organizations can ensure their customers loyalty is a top-10 trend for practitioners in 2024 – and next big thing?
are able to interact in the most convenient way for one of only two trends that is not directly related to
them, whether through messaging apps, social media technology. Elsewhere in the survey, 56 percent of As the survey data around CX and customer trends
or voice assistants. Here, Lempinen says the key to respondents strongly agreed that customers will switch demonstrates, practitioners are focusing on AI from both
success is a seamless, data-driven management and brands when unsatisfied. the organizational and customer perspectives. However,
process model. Loyalty programs also have a role to according to Pihlaja, practitioners must begin to plan
play by rewarding engagement and offering value Phillips-Lord says that to nurture loyalty in 2024, for a future where customers are also using AI to handle
beyond discounts, for example through exclusive organizations must also meet the established customer service interactions.
experiences or enhanced services. demand for empathy and humanized interactions.
“Machine customers are bots, algorithms or processes that
“By recognizing and valuing a customer’s time, “Through Covid, businesses were able to dial up make it possible for customers – whether they be in B2B or
companies can foster a sense of loyalty and encourage empathy and personalization and since then, it B2C – to interact with companies and public organizations
continued engagement. The best experiences has naturally reverted. But people loved that without needing to be part of the process themselves.
happen when something goes wrong – that is when experience,” he says, referencing how this trend is Essentially, they are a virtual or digital assistants that act
unforgettable experiences are created and where the evidenced in the rise and decline recorded in customer on behalf of the person behind them,” Pihlaja says.
true value lies,” Lempinen says. satisfaction and sentiment surveys. “I think businesses
are quickly realizing that while AI and automation
As the AI-powered service suite evolves from a cost are key trends, doing those in conjunction with
center to a revenue driver, its potential to nurture and personalization is what’s really going to drive winning
repair loyalty is being recognized more broadly across experiences,” he adds.

“We need to go back to basics and deliver to expectations. As a customer, I want

to be able to do what I want to do, in the quickest way possible.”
Sam Phillips-Lord
Senior customer insight manager for HastingsDirect

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CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 27
Consumers have become familiar with using Siri
and Alexa and now the availability of custom GPTs Figure 13
means any consumer can create an AI assistant to 10 customer behaviors that influenced CX planning in 2024*
manage their emails, calendars and other tasks, as
Pihlaja does. While this trend has existed for some Demand for convenience 59%
time in B2B, in early 2024, Shirute started to conduct
research into how prepared all organizations are for Expectation for instant service/delivery 52%
machine customers.
Awareness of how AI works / uses their data 38%
According to Parmar, the future is already here. “We
are starting to see younger people using ChatGPT Customers spending less 38%
to research their consumer rights and write emails
of complaint. So already, agents are dealing with Demand for data/ communications security 31%
customers who have used AI to get their desired
outcome in an efficient and effective way,” he says. Customers also using AI for their service and sales interactions 24%

Pihlaja adds: “Machine customers will be able Use of social media for product/service research 24%
to conduct the tasks that feel like chores to
customers, such as changing account details or Awareness of ethical working conditions 19%
even negotiating a phone subscription. It
represents an unprecedented growth opportunity Customers spending more 17%
for all industries.”
Demand for sustainable/ethical products and brands 16%
The next section of this report looks at the role of
0% 75%
the customer experience function in the modern
enterprise and examines the unique role * Respondents were asked to select three choices

practitioners can play to drive the reputation of Source: CX Network’s Global State of CX survey, January-March 2024

CX across their organizations.

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 28
CX AND
THE MODERN
ORGANIZATION

INSIDE THIS SECTION

Practitioners have a key opportunity to

drive the recognition of CX
Economic pressures threaten the future
of CX

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 29
CX and the modern organization
In addition to the trends, customer behaviors and “Many organizations are still in the early stages of “Sometimes maturing a CX program is less about
budgets that influence CX, organizational culture also developing and implementing comprehensive CX collecting more feedback and more about focusing
has a direct impact on customer centricity and the strategies and have not fully integrated CX into their efforts on fewer opportunities or priorities that align
success of CX initiatives. core operations and decision-making processes,” he with the organization’s broader goals and areas of
says. “The breakthroughs coming from generative AI may investment. As much as we want to resolve queries for
To establish how organizations are developing their jumpstart investment and the implementation of more every customer, division leaders need a clearer picture of
CX programs we asked our network to select their customer-centric business models.” where they should allocate scarce resources to have the
organization’s top three strategic CX goals for 2024. biggest customer impact,” he says.
The majority (55 percent) said their primary goal is Customer centricity cannot happen without listening
to grow the customer base (see Figure 14). Other top and responding to customer feedback, yet according “The CX function is successful or mature when it helps
goals included increasing NPS/CSAT (45 percent) and to Gelbrich the growing volume of feedback data is the organization translate targeted, and often limited,
transitioning to a virtual or hybrid contact center model. creating further obstacles. “Making sense of it all can be a investment into improvements that customers can see
challenge,” he says, yet focused efforts can overcome this. and feel,” Gelbrich adds.
Elsewhere in the survey when asked directly about
CX maturity, 13 percent said they would describe their
organization’s CX management strategy as mature, and
11 percent said they operate in a business culture that
trusts them to be more experimental. On how teams
are being prepared for the changing role of the CX
practitioner, 51 percent said they trained their workforce
in soft skills in 2023, including emotional intelligence,
adaptability, empathy and resilience.

Commenting on Figure 14, Andrade says that while

there is a strong recognition of the importance of CX
within organizations, there is still progress to be made in
terms of maturity and strategic alignment with broader
business goals.

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 30
 Practitioners have a key opportunity Gelbrich says clarity is key for practitioners who want to Gelbrich continues: “As common themes emerge at
to drive the recognition of CX change their fortunes. “The biggest opportunity for CX to the individual level it becomes easier to find the same
grow in recognition is to make the impact of CX on top-line underlying driver of churn in larger groups or segments of
As highlighted throughout this report, CX plays a critical financial metrics clearer,” he says, advising practitioners similar customers. This helps find key drivers of churn that
role in the modern organization, not least by providing start by analyzing the retention and churn of individual may otherwise be missed when starting with the entire
the data to inform key business decisions that impact customers to understand what is driving any loss in loyalty. survey sample. When you can tie key CX investments
revenue, customer retention and even EX. Since the that address these themes and stop or slow churn, you
Covid-19 pandemic, CX has grown in recognition as a “It is hard to get this insight when you are looking at the can show a direct impact on repeat purchases and
driver of business performance, however, our survey data survey results of thousands of customers. But starting ongoing revenue.”
confirms challenges remain around proving ROI, handling with an individual customer’s experience and future
multiple projects and priorities, and understanding purchase behavior can unlock key findings about why According to Mihelic, opportunities to grow the reach
customer demands. customers pull back.” and recognition of CX exist beyond the organization,
too. She says there are many opportunities for
practitioners to advocate for the CX function and its
value to the wider business. “I believe it is up to us as
practitioners to educate, advise and demonstrate
the interconnectivity of CX with overall organizational
“The breakthroughs coming performance,” she says.
from generative AI may
jumpstart investment and the “Practitioners need to cross-pollinate CX across
implementation of more customer- organizations and industries – through entire supply
centric business models.“ chains where possible – in order to create a meaningful
identity for CX and ultimately betterment; not only for us
Pedro Andrade
organizationally, but also for the customers we serve,”
VP of AI at Talkdesk
Mihelic continues. She says practitioners can spread the
word on the importance of CX by participating in and
attending multi-disciplinary events, as well as CXcentric
events and conferences.

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 31
“This provides the chance for those not familiar with CX “We need to demonstrate and validate that CX is critical ever, we need to be resilient and engage with our cross-
to understand its value and become evangelists for our to business growth and development and can provide industry cohorts in order to convert more and more
profession,” Mihelic says. “Ultimately, the more people not only revenue increases, but also deliver efficiencies stakeholders to the power and value of exceptional CX,”
we educate and showcase the value of CX to, the more that result in reduced operating costs. Now more than Mihelic adds.
opportunity we will have to be prioritized in funding,
attract and develop a talent pipeline, create career
growth opportunities for practitioners, add value to a
Figure 14
business and create better experiences for customers.”
Snapshot: The state of CX in 2024
Economic pressures threaten the
future of CX
13%
describe their company’s customer experience management strategy
as mature
With customers and organizations spending less due
to global economic pressures, there is a growing
urgency to enhance the position of CX to safeguard its

11%
continued existence.
said they operate in a business culture that trusts them to be more
experimental, due to the returns CX has delivered in the past
“The funding that gets pulled first is from areas
that are unproven in their value to the business,”
Mihelic says. Sharing her outlook for CX over the
51%
trained their workforce in soft skills in 2023, including emotional
coming 12 months, she says that to counteract this
intelligence, empathy, adaptability and resilience
mindset practitioners must be smart with their business
cases and thoughtful in their concept creation to
create a deeper understanding of “not only the

55%
direct value of CX, but also the indirect – brand and said that growing the customer base is a top three strategic CX aim
reputation uplift – which is hard to measure financially, for their organization in 2024
but definitely valuable when it comes to customer
decision sets for purchasing.”

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 32
CONCLUSION

INSIDE THIS SECTION

CX disruption is bringing new

opportunities for practitioners
About CX Network
About Talkdesk
CX Network Editorial Calendar

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 33
CX disruption is bringing new
opportunities for practitioners

In 2024 the core aims of CX remain unchanged: the Along with data analytics and journey orchestration, AI, CX becomes not just a strategy but a transformative
majority of practitioners want to grow their customer generative AI is one of several new disruptor technologies force, where every interaction leaves a lasting, positive
base, upskill their workforce and demonstrate the that survey respondents say are driving results for their imprint on both customer and brand alike.”
total value of CX to the entire organization. What has organization. Among the respondents that are using
changed is the tools available to achieve these aims. generative AI, 28 percent have already seen customer Despite this, new technology has not eliminated old
Practitioners are increasingly turning to AI to focus loyalty benefits and 39 percent reported profit gains. It is challenges. Competing priorities and shrinking budgets
their efforts on enhancing the components of loyalty- clear that CX is on the cusp of transformation. remain primary concerns for practitioners in all markets.
building digital CX, such as automation, analytics and While this goes a long way to explaining the focus on
self-service. However, as outlined by Lempinen, to be successful with automation seen in this year’s results, overcoming these
AI in any form, organizations must order their data and challenges is dependent on enhancing the recognition
In fact, from the top CX trends to the leading create policies to safeguard responsible AI use and, of CX as a key business driver. As Gelbrich said, the CX
investment priorities, AI featured heavily in the 2024 therefore, customer trust. function is successful when it helps the organization
survey results. It was even named as a leading translate targeted investment into improvements that
customer behavior trend as customers start to embrace “We couldn’t be more hopeful for the state of CX than customers can see and feel.
generative AI for their own service interactions. As we are now,” Andrade says. “Generative AI is going to
Pihlaja and Parmar outlined, this has the potential to transform all aspects of CX and help businesses forge
drive unprecedented efficiencies for both parties, while genuine connections with their customers, fostering Subscribe to CX Network
demanding a new service design model. loyalty, advocacy and mutual growth. With generative

Foreword and about A snapshot of The impact of Getting to know the CX and the
CX in 2024 Conclusion
the respondents CX spending technology on CX customer of 2024 modern organization 34
 90%
Reduction in
authentication time.
Modern customer
service. Your way.

41%
Increase in first
Drive exceptional business outcomes contact resolution.
with a cloud contact center platform
built for your industry.

22%
Increase in SLA.

Learn more and take a self-guided demo

at www.talkdesk.com
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