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On this episode, we ask big questions about how customer loyalty is formed — and how AI can be leveraged to build stronger connections with customers.

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What does customer loyalty look like in the age of AI?

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Streamline your operations with TELUS Digital

What to speak with a business process consulting expert?

Discover how TELUS Digital’s business process consulting experts helped a leading telecommunications company drive improvements in its customer service delivery and efficiency.

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Streamline your operations

Check out our solutions

Maximizing profitability in telecom: leveraging customer insight for digital transformation excellence

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Explore the transformative potential of Contact Center-as-a-Service (CCaaS) solutions and learn how to navigate the evolving landscape of AI-driven customer interactions with this executive brief from Frost & Sullivan.

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The CCaaS breakthrough: Redefining customer interactions with AI

Discover how TELUS Digital transformed customer support for a leading cryptocurrency platform, scaling the program within weeks while achieving high customer satisfaction scores.

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Elevating the customer experience for a leading cryptocurrency platform

Join Ajinkya Malasane, senior director, product strategy and marketing for TELUS Digital (formerly TELUS International), and Vikram Chatterji, co-founder and CEO of Galileo, a generative AI (GenAI) evaluation company, as they provide efficient and effective ways to solve key GenAI project blockers for easier deployments.

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Crafting production-grade GenAI applications

Discover how TELUS Digital helped a world-leading communications and technology company streamline workflows and enhance its quality standards by leveraging a cloud-native development strategy and advanced automation solutions, including AI-powered test-driven development (TDD).

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Optimizing app development with cloud-native solutions and automation

Achieve faster delivery, higher quality and cost efficiency in your software development

Optimizing application development with cloud-native solutions and automation

Discover the survey results from TELUS Digital that explore how Americans are using voice technology both personally and professionally.

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Infographic: How consumers use voice technology

Watch this recorded webinar from Everest Group and TELUS Digital (formerly TELUS International) for new insights to help you skillfully transform your digital customer experience.

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Webinar: How to supercharge your CX with AI-fueled digital transformation

How to supercharge your CX with AI-fueled digital transformation

Discover how TELUS Digital used our proven field operations testing (FOT) experience to create a high-quality dataset for training advanced driver assistance systems (ADAS) and autonomous vehicles (AV).

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Curating high-quality data for the training and validation of ADAS and AV models

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Organizations have a responsibility to create and maintain digital experiences that are truthful, welcoming and safe. Learn how brands can keep pace with the growing levels of user-generated content (UGC) to build trust with their customers and protect their reputation.

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The future of content moderation: Strategies and tools for 2025 and beyond

Enterprises worldwide are focused on optimizing customer experience (CX) delivery costs amidst challenging economic times.

Watch now to explore decision-making processes that reduce costs without negatively impacting CX.

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Enhance your CX strategy

Join industry experts from TELUS Digital and Everest Group as they explore how leading technologies, such as generative AI, automation, analytics and more, are delivering value for organizations without compromising service quality.

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Efficient CX delivery: A tech-driven approach

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The words "product-market fit" have adorned tech industry pitch decks for some time. It's a simple concept, really, and something all successful businesses need to prove. To achieve product-market fit, the product(s) you offer as a business must align with the needs of the market. Without such a fit, you might have an idea, but perhaps not a business.

In fact, even if you have product-market fit, and therefore a business, you still might not have a long runway without profitability. This is particularly the case when challenging economic environments make venture capital funding more difficult to come by. That is precisely why scale-ups need to think beyond product-market fit, and strive to achieve profit-market fit.

Harvard Business School senior lecturer Jeffrey Rayport recently described profit-market fit on the HBR IdeaCast podcast. According to Rayport, profit-market fit is achieved when a venture not only shows that it can quickly ramp up revenue and its customer base, but also finds its sweet spot where every new customer brings in additional revenue and incurs only marginal cost. It's at this point, explains Rayport, that a venture "moves towards sustainability."

This major milestone isn't likely to be reached by accident, though. Rather, you need to be deliberate, and deploy strategies to overcome common challenges in the scaling journey.

Many companies, especially those in tech, can be successful in achieving product-market fit, says Rayport during the podcast interview, "But the wheels come off the bus in some way during the scaling phase."

Imagine you head up a start-up that seems destined for unicorn status. You have an app and it's topping the charts. You have customers and your number of active users is going through the roof. To date, your impressive numbers have earned you no shortage of admirers, and by extension, funding. But to get to where you are, you've needed to spend: Your servers, your offices, the growth of your team and a myriad of other costs outstrip the money that your product brings in. As a result, you can't sustain — let alone grow — your business without additional outside funding. Now, facing rising interest rates and economic pressures, that funding looks like it is going to dry up. Put simply, you haven't found profit-market fit — the relationship between the money and the product that enables businesses to steer themselves toward sustainability.

A strong profit-market fit helps you remove internal constraints on your company's growth, and makes you far less dependent on outside funding.

Challenges in establishing profit-market fit

There are, of course, challenges associated with scaling and reaching the point of profit-market fit.

Once there's a good product-market fit, a scaling company must keep up its generated demand and make strides toward product profitability. This brings us back to matters of efficiency — a word that's popping up all across the tech industry and one that's top of mind for start-ups, scale-ups and mainstays alike.  In fact, Meta CEO Mark Zuckerberg even went as far to say, "Our management theme for 2023 is the 'Year of Efficiency,' and we're focused on becoming a stronger and more nimble organization." For tech brands of all sizes, the pursuit of efficiency means keeping costs under control and doubling-down on activities that are generating revenue — but that's not where the work ends.

Other challenges include providing a consistent digital customer experience (CX) as your company grows, and maintaining a coherent organizational culture where people are on the same mission and where their efforts align.

Brian Hannon, global head of customer experience innovation - technology at TELUS Digital, points to the value of experience when facing challenges in the scaling journey. "Achieving profit-market fit is difficult. It's even harder when you're learning every lesson the hard way," explains Hannon. "You can build up a lot of momentum as a hit tech company, but it's easy to run into real challenges if you don't have a firm grasp on how to scale in a sustainable way."

Outsourcing digital CX to reach profit-market fit

One way to scale with efficiency in mind is to outsource aspects of your digital customer experience.

Keeping your CX in-house means dealing with sudden peaks and dips in demand that quickly become costly on the hiring front, to say nothing of the complexities that come serving new markets and establishing operations in new geographies. What's more, outsourcing can save scale-ups from having to bear the full cost and risk associated with big and potentially transformational technological investments.

You can't overlook the value in an outsourcing partner's experience either, explains Hannon. "They'll have worked with countless companies before, and will be able to provide direction from lessons learned. An outside perspective on where you can introduce greater efficiency can be a real asset as you grow."

Today, conversations about efficiency have a way of leading to automation like robotic process automation (RPA). This form of automation provides around-the-clock capabilities, produces replicable results at scale and handles repetitive tasks so your team members don't have to. These capabilities enable automated service channels — such as chatbots and intelligent FAQs — that play an important role in a modern digital customer experience operation. With the expertise of a proficient outsourcing partner, introducing automation becomes less resource-intensive.

"It can feel safe to stick with what you know. But to make the progression from product-market fit to profit-market fit, brands need to keep an open mind to new technologies, and new ways of bringing efficiency."

Outsourcing with TELUS Digital for next-generation, digitally led customer experiences means benefiting from 18 years of history and global reach that has served more than 650 global clients in 30 countries of operation. Reach out today to learn more about how we can help your scaling company achieve profit-market fit.

You've heard of product-market fit, but what about profit-market fit? Learn the difference and how scaling tech brands can achieve it.

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Why achieving profit-market fit is essential for scaling brands

Discover how IT outsourcing can help fast-growing technology companies keep pace in today’s highly competitive market by realizing efficiencies in three key areas.

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How IT outsourcing enables tech company growth

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Want to speak with a Process Consulting expert?

Uncover how TELUS Digital’s business process consultants helped a leading financial services brand optimize its operations, enhance its customer experience (CX) and advance its digital transformation journey.

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Optimize your operations

Streamlining operations and advancing the digital transformation journey of a leading financial services brand

Discover how TELUS International successfully deployed a robotic process automation (RPA) solution for a leading waste management company to minimize time-consuming tasks and reduce the errors associated with manual data entry.

Implementing robotic process automation to streamline critical procurement processes

Discover how TELUS Digital successfully deployed a robotic process automation (RPA) solution for a leading waste management company to minimize time-consuming tasks and reduce the errors associated with manual data entry.

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See how TELUS Digital can help card services brands meet rising consumer expectations through high-tech, high-touch customer experiences.

Holistic digital customer experience solutions for card services

On this episode, we explore strategies for building a compelling business case for customer experience (CX) investment — and how to optimize the budget you’ve secured.

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How can leaders win and optimize investment in CX?

Uncover how a mix of human interaction and automated tools can help card services brands build digital customer experiences that foster customer loyalty.

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Going beyond transactions: How card brands can offer elite digital CX

See the results our global, disruptive client achieved after they transitioned to Contact Center Outsourcing Solutions from TELUS Digital.

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Bring efficiency to your contact center

Bringing efficiency to a leading food delivery platform's overwhelmed contact center

Join Steve Nemzer, director of AI growth and innovation for TELUS Digital, as he unveils the transformative world of agentic artificial intelligence (AI). Learn what makes AI “agentic”, various use cases and implementation best practices to benefit your organization.

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 Are you ready for the era of agentic AI?

On this episode, we ask big questions to debunk prominent myths and misconceptions surrounding automation in customer experience.

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What do people get wrong about automation?

Frost & Sullivan, a globally recognized market research and consulting firm, recently published an executive brief titled, The CCaaS breakthrough: Redefining customer interactions with AI. This comprehensive report identifies a number of emerging global trends, disruptions and new technologies shaping the contact center industry.

In this article, we delve into five major trends highlighted by Frost & Sullivan that are impacting contact centers. Read on to see how advancements in technology will reshape how contact centers enhance CX, drive agent productivity and equip their workforces with the right tools.

1. Rapid adoption of cloud-based technology platforms and architecture

One of the most significant contact center industry trends, according to Frost & Sullivan, is the shift toward cloud-based platforms. This refers to the use of internet-based platforms and infrastructure to deliver services traditionally handled by on-premise systems. Instead of relying on local servers and hardware, contact centers using cloud-based platforms can access a suite of tools and services remotely, hosted by third-party providers. These cloud platforms typically encompass everything from call routing and workforce management to customer relationship management (CRM) systems, making them an all-in-one solution for modern contact center needs.

According to Frost & Sullivan, seven key factors are driving rapid cloud adoption:

The end-of-life of existing system platforms: Many legacy contact center platforms are becoming outdated or are no longer supported by vendors. As these systems become less reliable and harder to maintain, businesses are increasingly turning to cloud-based solutions for contact center modernization. Today' cloud-based technology offers advanced capabilities and ongoing support without the need for costly replacements or upgrades.

The ability for premises-based organizations to add CCaaS in hybrid configurations: Businesses can combine the reliability of their current infrastructure with the flexibility and scalability of cloud-based services. This approach lets organizations gradually transition to the cloud without disrupting ongoing operations or requiring a full system overhaul.

New process automation and analytics capabilities: With AI-driven automation and real-time analytics, cloud contact centers can streamline workflows, enhance decision-making and improve customer interactions by predicting needs and optimizing agent performance.

Redesigned agent desktops: Having the ability to consolidate multiple tools and channels into a single, user-friendly interface enables agents to work more efficiently, offering quicker access to customer data and faster responses and ultimately improving the overall customer experience.

Digital transformation: Companies are looking to modernize their operations and deliver seamless customer experiences across digital channels. Cloud platforms are well-suited to support omnichannel services, allowing businesses to meet customer expectations in a digital-first world.

Richer integrations to third-party applications: Integration with applications such as CRM, marketing automation and ecommerce systems enables businesses to create a more connected and streamlined customer journey by pulling data from various sources to provide personalized and efficient service.

Advanced self-service applications: Applications like AI-powered chatbots allow customers to resolve simple inquiries without needing to speak to an agent. These tools reduce operational costs, enhance customer satisfaction and free up agents to handle more complex tasks.

One of the ways organizations are capitalizing on cloud technology is through the implementation of Contact Center as a Service (CCaaS) solutions. CCaaS is a cloud-based solution that delivers all essential contact center functions through a subscription model. This approach enables businesses to access advanced tools without the need for significant upfront investment in hardware or software. According to Fortune Business Insights, the CCaaS market is expected to grow from $6.08 billion in 2024 to $24.45 billion by 2032. This expected growth can likely be attributed to the scalability, flexibility and cost efficiency that these solutions offer organizations.

2. Constantly changing consumer behavior and preferences

Consumer behavior has undergone significant shifts, particularly in terms of how customers engage with contact centers. It's no surprise that changing consumer behavior and preferences made the list of key contact center trends to watch. As customers demand more personalized, seamless interactions, contact centers must continuously adapt to meet these evolving expectations.

For example, Salesforce's State of the Connected Customer report reveals that consumers interact with companies across an average of eight different channels. Additionally, 71% of consumers prefer using different channels — whether email, phone, in-person, online chat or others — depending on the situation. This underscores the need for businesses to offer an experience that allows customers to start an interaction on one platform and continue it on another without disruption.

Speed and responsiveness are also top-of-mind for the modern consumer. "We care about our time more than ever," said Jay Baer, keynote speaker, entrepreneur and author of The Time to Win: How to Exceed Your Customers' Need for Speed, during an episode of Questions for now, a TELUS Digital podcast that focused on building customer loyalty. Baer explained that brands that exceed expectations by responding to customer inquiries faster than anticipated can turn those customers into advocates. Baer's research also found that 50% of customers are less likely to spend money with a business if it responds slower than expected, and every year, these expectations for speed continue to rise.

In addition, research by Statista shows that 88% of customers now expect brands to have an online self-service portal. This reflects the growing preference for resolving simple issues independently, without speaking to an agent. As digital natives become the dominant consumer demographic, self-service options like online resources and automated solutions have become essential.

These are just a few examples of how shifting customer expectations will force brands to rethink their service strategies and adopt new technologies to stay ahead.

3. Increasing use of personalized automation using AI

Personalization has long been essential for brands looking to build lasting relationships with their customers, and this trend doesn't appear to be going anywhere anytime soon. A survey conducted by TELUS Digital revealed that over 60% of American consumers prefer a more personalized customer experience, even if it takes more time.

Recent advances in technology have significantly enhanced personalization capabilities. AI-driven automation, for instance, encompasses a wide range of applications, from chatbots to advanced routing systems and predictive analytics. Unlike traditional automation, which handles repetitive tasks using predetermined rules, AI-enabled solutions can analyze large volumes of data in real time. This enables dynamic, personalized interactions based on each customer's unique profile, providing more relevant and timely support. As a result, contact centers can offer a more tailored experience, reducing the need for human intervention in routine inquiries while improving overall customer satisfaction.

Bank of America's virtual financial assistant, "Erica," for example, has proven to be a game-changer in the financial services company's customer service since its launch in 2018. According to a release from Bank of America, "to date, Erica has responded to 800 million inquiries from over 42 million clients and provided personalized insights and guidance over 1.2 billion times." The assistant helps customers manage recurring subscriptions, monitor spending and handle inquiries like finding transactions or transferring money. Erica is especially effective at providing quick responses — 98% of clients receive answers within 44 seconds. And when further assistance is needed, Bank of America's Mobile Servicing Chat capability connects clients with a live representative who can answer more complex servicing questions.

4. Developing analytics and insights to drive business outcomes