Personalization is key when attracting both customers and employees for a very simple reason. Selling and recruiting is about them, and their wants, not yours: which is implicit.
And while personalized marketing, whether for a product, service, or position, at its core is about appealing to “the segment of one” there are almost always shared characteristics across the different segments.
But customers and employees are in a wide range of demographic segments and country markets. So, do these differences affect customer experiences (CXs) and agent experiences? In recruiting and retaining both customers and agents?
We reached out to Genesys and interviewed Michael Wiesblatt, Vice President, Sales Leader Canada, to learn more.
Q. To set the table, what is the relationship and importance of connecting excellent customer personalized experiences with employee/agent personalized experiences?
There is a clear relationship between customer satisfaction and agent experience. When agents are equipped with the right AI-powered tools, they’re able to focus on delivering the best possible experience for their customers. This can ultimately boost customer satisfaction and loyalty, as well as drive stronger business performance.
For example, instead of searching through various knowledge bases for information in response to a customer inquiry, agents can utilize AI-powered technology to surface answers in real-time.
This ability empowers them to provide efficient and effective solutions while ensuring the customer feels heard and understood.
“...consumers are placing a greater emphasis on personalized experiences.” —Michael Wiesblatt
By easing the pain points agents face day-to-day, they can focus on orchestrating effective customer journeys that can significantly improve bottom line growth. This is especially important as our “State of Customer Experience Report” uncovered that the overwhelming majority (82%) of consumers surveyed say a brand is only as good as its service.
We expect to see this sentiment continue to grow in the coming years. Our “Generational Dynamics Report” found that Millennials and Gen Z, surveyed both globally (66%) and in Canada (65%), ranked a brand’s reputation for customer service and support to be a highly important driver when considering making a purchase.
Q. Let’s begin on the customer side of the equation. What are the customer expectations from companies, including customer service? And how loyal are customers? What are the factors driving these wants, preferences, and loyalty? And have these changed pre- versus post-COVID-19 pandemic?
We see similar demands from customers despite cultural differences.
When looking specifically at customer service expectations, consumers are placing a greater emphasis on personalized experiences. We found that 73% of consumers surveyed would buy more frequently from brands that consistently provide a high level of personalization.
Additionally, it’s becoming increasingly difficult for brands to earn customer loyalty. We found that 30% of consumers surveyed stopped purchasing from a brand due to a bad service experience.
In our view, the COVID-19 pandemic has driven customers to expect efficient and effective customer service at every turn, placing greater demands on contact center agents. With consumer loyalty becoming increasingly fickle, it is vital organizations invest in technology that better supports agents.
Q. Much has been made about generational differences. But are there any differences in customer expectations, preferences, and loyalty by generation, country?
There are none that are, for the most part, highly significant. We’re instead seeing similarities in customer expectations and preferences when interacting with the brands they love.
When looking specifically at generational data, access to knowledgeable customer service representatives was highly valued across all age groups. We saw 68% of Gen Z, 76% of Millennial, 77% of Gen X, and 81% of Baby Boomer respondents citing this as an important factor.
Consumers also increasingly demand customer service interactions that solve their problems or address concerns completely, i.e., first contact resolution (FCR), without the need for follow-up.
Across North America, older generations placed greater importance on this, with Baby Boomers (88%) and Gen X respondents (84%) leading the way, followed by Millennials (79%) and Gen Z (70%). But when breaking the data on FCR down by country, some key differences emerge:
- Millennials in the U.S. place particularly high importance on this at 90%, significantly higher than their Canadian counterparts at 69%.
- Gen Z respondents, on the other hand, are far more aligned, with 72% in Canada and 68% in the U.S. expressing similar levels of importance.
The variations may reflect differing levels of comfort with using self-service options and digital tools (also SEE BOX), potentially shaping their expectations around what a “complete resolution” looks like.
Respectful and empathetic treatment from customer service representatives was also among the highest factors when interacting with a brand. Gen X respondents led at 78%, followed by Baby Boomer respondents (77%), Millennial respondents (76%), and Gen Z respondents (74%.)
Q. How have customers greeted the arrival and swift adoption and incorporation of AI in CX software? Are there differences between the generations?
It is clear that consumers are looking forward to the arrival of more powerful AI-driven virtual agents, and eventually the virtual concierges that can handle more complex queries and deliver personalized, empathetic service.
Surprisingly, all four generations rated access to self-service options such as chatbots and FAQs as one of the least important factors when interacting with a company for customer service.
Consumers continue to opt for human interaction over AI-powered self-service options when it comes to customer service. According to our survey, Gen Z and Millennials prefer live customer service interaction at similar rates of Gen X and Boomers, despite their reputation for avoiding phone calls.
This may indicate that these solutions aren’t effectively meeting the needs of any generation at this stage. While chatbots have historically been an excellent way for brands to deliver 24/7 service, many are now falling short due to their rigid designs, inability to keep up with dynamic human conversations, and reliance on constant updates to remain functional.
As AI continues to advance, self-service options will evolve, become smarter, and will be able to handle more complex customer queries. We believe consumer sentiment toward AI in customer service environments will quickly shift as they begin reaping the benefits of effective, around-the-clock concierge service.
Common Border, Customer Differences?
Canadians and Americans may seem alike from customer and employee perspectives, as both countries share a long border and have historically enjoyed a strong trading relationship.
But according to Michael Wiesblatt, Vice President, Sales Leader Canada, Genesys, there are some key customer expectation and experience differences between both countries when it comes to what they consider as important in customer service.
He notes, for example, that American Millennials place a greater importance than their Canadian counterparts on first contact resolution (see main article).
“The data suggests that U.S. consumers across all age groups are more aligned in their preferences, while Canadians report distinct generational variations,” says Michael.
“However, in Canada, Gen Z employees prioritize access to opportunities...”
In the U.S., all four age groups rated access to self-service options as their least important factor when interacting with a company for customer service, he reports.
However, when looking at generational preferences in Canada responses varied somewhat from the U.S. and by generation. Gen Z cited in-person customer service options and Millennials reported accessible self-service options, or accommodations for consumers with disabilities, as least important.
“Canadian Gen X and Baby Boomer respondents cited both accessible self-service and access to self-service options such as chatbots and FAQs as not being high priority for them,” says Michael.
But on FCR Canadian Millennials and Gen Zers are more aligned than those in the U.S. (also see main article).
Michael is also seeing several important differences in employment preferences between Canadians and Americans.
“In the U.S., our research finds that Gen Z demands access to the best tools and technology available,” says Michael. “However, in Canada, Gen Z employees prioritize access to opportunities that help them build and grow in their careers.
“And while in Canada, 73% of Gen Z workers highly valued working for companies that employed friends or former colleagues, in the U.S., Gen Z workers ranked this lowest among their preferences at 59%. This finding may suggest that professional networks and connections play a far greater role in job satisfaction among Gen Z workers in Canada.”
Employee/Agent Expectations
Q. Are there differences in employee expectations and preferences by generation, and if so how, and why?
Our research shows distinct differences among generations regarding their top preferences when considering a prospective employer.
Gen Z workers are all about access to modern tools and technology. They’ve grown up surrounded by cutting-edge technology, so it’s no surprise they expect the same level of innovation in their workplace. It’s what they’re used to, and anything less feels outdated to them.
Millennials, on the other hand, demand flexibility. Many are in a phase of life where they’re balancing their careers with family responsibilities. Not having the option to work remotely can be a deal-breaker for them.
The oldest Gen Xers are retired or nearing retirement, so it’s no surprise that they are looking for strong compensation and good benefits. Younger Gen Xers are likely reaching the peaks of their careers, and they want to be paid for it.
And finally, there’s the Baby Boomers. For many of them who are still in the workforce, it’s often by choice rather than necessity. Because of this, they likely have the luxury of picking and choosing who they work for and can prioritize companies with strong cultures.
Q. Let’s look further at employee preferences. What are they, and what differences, if any, are there between generations for in-office versus remote/home office? Diversity, equity, inclusion (DEI) sustainability?
Our research has found that the workforce places a high value on flexibility, particularly options for hybrid and remote work. Flexibility was a dominant workplace theme of 2024, and we believe it will continue to remain a priority this year as well.
Generational differences play a significant role in these preferences. Millennial respondents were the group that most expected options for hybrid or remote work from their employers, followed by 73% of Gen X, 67% of Gen Z, and 63% of Boomer respondents.
This demand for flexible work models points to generational shifts in how employees want to work, and from where:
- Younger generations, having seen their parents prioritize work as a source of purpose, are now emphasizing work-life balance to spend more time with family and friends.
- In contrast, older generations, who have spent much of their careers in traditional office settings, tend to have fewer expectations for flexible arrangements.
Beyond flexibility, the report uncovered that sustainability and DEI initiatives continue to play an important role in attracting prospective employees.
Globally, 81% of Millennial respondents, 70% of Gen Z, 75% of Gen X, and 68% of Baby Boomer respondents agreed that they’d prefer to work for an employer who is committed to building a diverse workforce.
Employers that prioritize meaningful initiatives and sustainability efforts will have a leg up in both recruitment and employee retention.