If you thought AI, sustainability and the war for talent were the only hot topics dominating boardroom discussions, think again: over 80% of organisations deem Customer Experience a top priority. And it makes sense, doesn’t it? Without attracting and retaining customers, there can be no business growth. And this requires brands to delight and wow their customers and create amazing experiences.

But what will the customer of tomorrow look like, and what will they demand? What got you here with your current customer base – will it get you where you need to be with customers in the future?

At our most recent Senior Leaders Breakfast Briefing, the expert panel of Eva Perez (IADT, IMI), Michael Killeen (CX Academy) and Derek Howard (the Customer, ex-PwC) came together to discuss the future of Customer Experience (CX) and how organisations can craft connections with future customers. Hosted by Gary McCarthy (Spark Crowdfunding), the conversation explored shifts in consumer behaviour, the impact of technology, and the strategies organisations must adopt to build genuine customer loyalty.

Consumer Behaviour Shifts

Sharing findings from a robust research study involving over 30,000 interviews and ranking 170 enterprise companies in Ireland, Michael revealed that consumer CX scores have declined in Ireland for the first time in three years. This signals a significant shift in consumer sentiment post-pandemic. Any ‘forgiveness’ customers extended both during and after the pandemic has faded, and the current cost of living crisis is further impacting consumer expectations. However, this has created opportunities for brands to support customers through these challenges, such as Electric Ireland, who are helping customers manage their energy consumption and reduce bills through smart meter technology

Another fascinating takeaway from the report is the enduring desire for human connection, particularly in Ireland. Despite advancements in technology, consumers continue to seek the “human touch” perfected by credit unions, post offices and – in more recent years – pharmacies. The lesson for brands is that digital convenience should enhance, not replace, the human element. As Michael aptly put it, the strategy should be “digital when I want it, human when I need it.”

And yet – primarily due to technology’s influence – there has been a widespread global shift in customer expectations. Consumers now demand swift and convenient service, illustrated by the rapid rise of on-demand services like taxi apps. Michael emphasised, “Doing more of the same doesn’t work – otherwise you’re going backwards.” Innovation is crucial to meeting evolving consumer needs and ensuring your organisation isn’t perceived as stagnant. Pharmacies are excelling because they’re prioritising both personal engagement and innovation, blending both digital and human elements in a manner that enhances efficiency without sacrificing personal interactions.

The CX Gap: Perception vs. Reality

Michael highlighted a striking disparity in CX perception. A Bain survey involving 3,000 CEOs worldwide found that 80% believed their companies provided a superb customer experience, yet only 8% of their customers agreed. This underscores a critical gap between organisational belief and consumer reality. Despite the buzz around CX in many boardrooms, few companies are delivering on their promises.

Derek pointed out that customer experience is everyone’s responsibility, not just a single department. If leadership does not take customer experience seriously, it will not permeate throughout the organisation. “The tone starts at the top,” he affirmed, emphasising the need for leaders to be more customer-centric, as leadership visibility significantly influences an organisation’s CX culture. For organisations to narrow the CX gap, they need to reframe their approach and ensure customer-centricity is embedded into their culture – but this starts with leadership, and may require a cultural transformation for many organisations. A reshuffle of senior leadership teams may also be required; indeed, 89% of the business leaders in attendance believe the Head of Customer Experience (CXO) should have a seat at the senior leadership/decision-making table, according to our survey taken on the day.

Social Media and Digital Engagement: Connecting Authentically

Eva explored the role of social media as a touchpoint in the customer experience journey. Designed initially for user interaction, social media has evolved into a powerful tool for brands, particularly during the pandemic. Indeed, despite being around for 20 years, brands are only now starting to harness the full potential of social media. While B2C sectors were early adopters, B2B adoption was initially slow due to the perception that social media was for younger consumers. Eva cited Maersk as an early pioneer in B2B social media strategy, which used employee-driven social media content centered around Maersk employees and their stories while at sea. This internal marketing approach created stronger, authentic connections both within the company and with customers; and today, the majority of B2B and B2C brands use social media to create lasting connections with customers.

Eva also emphasised the importance of “social listening.” By leveraging social media monitoring tools, companies can track conversations and understand the sentiments around their brand. This data provides real-time insights into customer preferences, allowing companies to tailor their messaging and develop products that resonate with specific communities, overall enhancing customer engagement. This concept resonated with the audience, with 89% of the Irish business leaders in attendance agreeing that social listening may be the next logical step in effective social media engagement strategies.

However, Eva stressed that technology like social media should not be a barrier to face-to-face interaction – but an enhancement: “If it’s a barrier, then it’s not the right thing to do.” In this era of hyper-personalisation, brands need to listen actively to their customers to create tailored experiences that feel genuinely human.

AI and Customer Experience: A Balanced Approach

AI emerged as a double-edged sword in the discussion. Michael discussed its potential as a “godsend for consumers” if implemented correctly, while noting the lack of appreciation for its convenience. He critiqued the Irish media for focusing on the potential downsides of AI while overlooking its ability to enhance decision-making, customer support and personalisation. However, he cautioned that companies should approach AI adoption in manageable “blocks.” The key to successful AI adoption, according to Michael, lies in the ability to create a win-win-win scenario: it must benefit the customer, the employee, and the bottom line.

Eva suggested using AI to support hyper-personalisation in customer interactions, allowing brands to communicate more effectively without always requiring human intervention. Derek echoed this sentiment but stressed that technology should enhance rather than replace the human touch. “I don’t want technology when things go wrong; I want a human,” he argued, reaffirming that customer experience should always be prioritised. While AI and digital tools can streamline processes and provide personalised experiences, they must not erode the human touch that customers, especially in Ireland, crave. Effective CX strategies should use technology to listen, understand and address customer needs in real time, not merely to cut costs.

The audience was divided on the topic – or at least not in full agreement. Nearly 58% of the senior leaders in attendance felt AI will positively impact customer relations, while 32% were still undecided on whether it will have a positive or negative effect and remained neutral when responding to our survey.

Customer Loyalty: A New Paradigm

The panel agreed that while customer loyalty is evolving, it is certainly not dead. Eva pointed out that loyal customers are the most profitable, and loyalty today is increasingly community-driven. Especially for younger generations, loyalty isn’t about sticking with a brand out of habit; it’s about being part of a community that reflects their values. Eva noted that Peloton exemplify this shift by offering personalised, value-adding experiences that foster emotional connections with their customers and have an excellent customer loyalty program. Similarly, Ryanair shifted its strategy from price-focused to a more customer-centric approach, recognising that customer loyalty cannot be bought with low prices alone.

Convenience, value and personalisation are the cornerstones of customer loyalty, according to Eva, while Derek emphasised that true customer loyalty arises when companies demonstrate a genuine interest in their customers. He advised leaders to “flip their to-do lists” and prioritise customer interactions over traditional priorities. Leaders should actively seek feedback from customers, not just in sales contexts, but in empathetic and interest-driven conversations. Consistency across touchpoints is crucial; every customer should feel like a VIP. Regular feedback loops and consistent service delivery are key to building trust and loyalty, but this requires leaders to spend more time with customers, actively listen to their needs and integrate their feedback into strategic planning. As touched on earlier, when leadership invests in CX it sets the tone for the entire organisation.

The Six Drivers of Consumer Loyalty

Michael introduced a framework identifying six drivers of consumer loyalty applicable to both B2B and B2C markets:

• Trust: The foundation of any business. Without trust, a company cannot succeed. Brands like An Post, rooted in community values, exemplify this driver.
• You Know Me: Personalisation is key. Credit unions excel here by doing simple things right, such as acknowledging customers by name, creating a sense of belonging.
• You Make It Easy for Me: Convenience is king. Simplifying processes, like Shannon Airport’s streamlined services, enhances customer satisfaction.
• You Get Me: Empathy and understanding is vital, as seen in pharmacies that innovate to address customer needs and drive deep loyalty.
• You Deliver on Your Promises: Many brands falter here by over-promising and under-delivering, eroding trust. Examples of poor performance include RTE, Facebook and Ticketmaster.
• You Fix Things: Resolving issues effectively turns customers into advocates. Brands like Dunnes and M&S score highly because they excel at problem-solving.

But what about Gen Z?

Gen Z’s online-focused lifestyle requires a distinct approach. They prefer online interactions and expect seamless digital experiences. However, their loyalty is not traditional; it’s more community-based as touched on earlier. Eva highlighted that to win over this generation, brands must innovate and demonstrate that they are listening. Providing product innovations and communicating value transparently can resonate with this demographic.

Emerging trends to watch out for may include the use of virtual reality (VR) for immersive customer experiences, the rise of voice commerce (interacting with brands via smart speakers), and the shift toward proactive customer service (predicting customer needs before they arise) could stimulate strategic thinking. But regardless of the technology, the important takeaway is that younger consumers prioritise connection and authenticity in their brand interactions, and fostering a sense of belonging will drive deeper brand loyalty.

But will this require people at the other end of the line?

Indeed, a very engaged audience raised the question of whether the ‘human touch’ is still relevant, especially when younger consumers seem to prioritise convenience over direct communication. Brands like Revolut are offering a seamless, digital-first experiences with minimal human interaction – a shift which seems to illustrate that, although some customers value personal connection, others increasingly expect quick and frictionless solutions over ever other metric.

And yet, as noted by the panel, despite Revolut’s incredible customer acquisition strategy, they face major challenges around customer retention – with the inability to speak to a human customer-service agent in an emergency situation often cited as a frustration, even among younger users.

Which seems to reaffirm the oft-quoted proverb of the morning, regardless of generation: “Digital when I want it, human when I need it.”

The Future of CX

The overarching theme of the morning was clear: the future of customer experience lies in balancing technology with human touchpoints. As technology continues to evolve, the demand for human connection remains strong. CX is not a static field, but one that requires constant evolution. Organisations must innovate, listen and prioritise customer-centricity across all levels. Success will come to those who foster authentic connections, deliver on promises, and continually adapt to meet the ever-changing expectations of their customers. This requires brands to prioritise genuine customer understanding, leverage technology thoughtfully, and drive cultural change from the top. As consumer behaviour continues to shift, particularly with the rise of Gen Z’s digital-first approach, companies need to embrace strategies that blend human empathy with technological convenience to thrive in the future.