UnderstandEveryCustomerConversation—AndActOnItInstantly

Most people attributed the fall of Allbirds to poor quality, but the truth is, the source of their problems was more than just the material of the shoe. Allbirds, originally a sustainable sneaker company, had not only failed to pay attention to the underlying needs and values of their ICP, but had also lost its way by attempting to expand the brand to irrelevant segments. Much like what we described for Nike, trying to enter new markets too quickly fogged up Allbirds’ core brand image and diminished overall perceived quality. But even this is too short a summary of what truly happened to Allbirds — so let’s break it all down.

Just a few years ago, this niche industry was shocking the world with its sudden explosion in growth, valued at over $1.5 billion in 2016 and nearly doubling the next year. What’s crazy is that while HelloFresh now dominates the meal kit sector, this wasn’t always the case.

I’ve been a proud Spotify user since 2015 and have never reverted to another music streaming platform since then. There’s a reason Spotify is so skilled at converting customers into premium users and retaining them. Being a music platform, Spotify has mastered the art of personalization. However, what truly differentiates them from the competition is the way they manage to personalize both individual user experiences on the platform and the marketing content every user receives.

If you follow the luxury industry at all, you might’ve heard a little something about 2023’s best performing company in the industry, Hermés. Now, luxury brands aren’t necessarily known for their retention efforts. Most customers buy one or two luxury products from a brand and say that’s enough. But Hermés isn’t just a winning brand because they play it safe when it comes to pricing and strategize carefully when it comes to marketing. They’re also well known for their discrete loyalty and retention frameworks that keep their customer loyalty rate sky high.

Everyone is talking about Netflix — and for good reason. Just a year ago, Netflix began to really crack down on password-sharing. And while users were infuriated and threatened to cancel their subscriptions, the opposite ensued. This quarter, Netflix ended up adding 9.33 million new subscribers to their customer base — 5x their results from last year. And while there are lots of reasons it played out this way, one underlying reason this decision didn’t negatively affect their CX journey too badly was because this decision actually aligns very well with their overall value proposition.

Sephora shattered glass ceilings by surpassing a record of $10 billion in sales in 2023. And it’s no surprise when we think about just how well Sephora has been building out their omnichannel experience over the years. When it comes to customer experience, there’s no doubt that Sephora is a clear leader in the industry. Sephora doesn’t just meet customer expectations — they go above and beyond to connect with their customers and make every touchpoint personable in a unique, exciting way.