Why Asia is leading the charge on innovation and digital transformation

According to YouGov research, published in the Innovation: All Eyes on Asia ebook, Asia is perceived as dominating the global scene for innovation and expected to lead innovation over the next five years – and I have to agree. In my eyes, Asia is leading the innovation pack, with digital transformation and customer experience (CX) firmly on the agenda.

Why innovation and CX has become a boardroom priority in Asia

There’s an innovation arms race happening in Asia, and a key contributor is the fact Asian consumers are leapfrogging their peers in digital technology adoption. The landline and desktop era that swept the Western world in the 2000s never quite took off in Asia, when connectivity was still an issue. Now, consumers in the region have jumped straight to mobile and wifi, so their expectations of brand engagement are not held back by legacy technology.

On top of that, the take-up of these ‘new’ technologies has happened with such momentum and at such scale that mobile and apps have become a dominant part of Asian culture. And this is having a big impact on business. When technology and connectivity swept the continent, customer expectations dramatically changed, demanding brands operate in the same world they do – the digital world. So it’s now up to brands to deliver – how quickly can you be where your customer are, or where they will expect you to be next?

Innovation requires bravery and the ability to challenge the status quo.

In such a competitive environment like Asia – where the sheer population size accounts for two-thirds of the world’s inhabitants – innovation and a seamless customer experience have become the only way businesses can survive. Across all sectors, companies have to be embracing innovative technologies, pivoting towards the customer and keeping their competitive edge razor-sharp.

This is a reality widely acknowledged among the business world in Asia, with 81% of respondents to the YouGov research viewing technological innovation as critical to fueling revenue growth. Meanwhile, 78% say they are adopting the latest technology as part of a long-term strategy to ensure the competitiveness of their businesses.

Cebu Pacific Air is setting the bar on CX innovation in Asia

The Philippines’ largest airline, Cebu Pacific Air, has innovation and CX high on its agenda – a fact I was recently reflecting on with Cebu Pacific Air VP Marketing and Distribution Candice Iyog while at Dreamforce.

The family-owned business is listening to its customers and creating the experience they want in this new digitally-dominant world – and, in the Philippines, digital and social is everywhere.

What I love about working with businesses in Asia is the prevailing attitude to just give things a go.

One of the big innovations that underpins Cebu’s new customer experience strategy is the creation of a Customer Care Command Centre. This initiative saw the refurbishment of the executive level in Cebu Pacific Air’s head office, making way for a central hub that physically and visibly puts all customer-facing teams at the heart of the business.

The centre is also about making it easier for staff to do their jobs – and technology is a key enabler. Previously, Cebu Pacific Air’s traditional service and social media customer care teams had operated independently. Now, they’ve been brought together, physically and technically, operating within the centre from one platform that enables a single view of the customer. Already, average response time on social media has reduced from several days to 18 minutes.

Impediments to innovation

But innovation doesn’t come without challenges. A number of barriers exist for companies in Asia as they look towards the adoption of innovation and technology. While the size of the population is a driver for change, it also presents challenges. It might be easy to speak about Asia as one whole, but the myriad countries, currencies and cultural nuances make it complex to connect with customers on an individual basis.

Another common roadblock is legacy, both in thinking and ways of operating – this isn’t unique to Asia. It’s a big hurdle around the world, holding many businesses back from taking the next steps forwards, implementing change and altering processes that have failed the test of time.

Innovation requires bravery and the ability to challenge the status quo, something Resorts World Genting has discovered. Just a few years ago, the 30-year-old family business was traditional in its thinking and wouldn’t consider cloud technology.

But a lot has changed in five years, and Resorts World Genting has since recognised the need to be more agile and use digital channels to connect with customers. Consequently, the entertainment business has gone about reinventing itself, innovating throughout the business and putting digital at the heart – all with the customer in mind.

The lessons other regions can learn from Asia

What I love about working with businesses in Asia is the prevailing attitude to just give things a go. Innovation doesn’t have to be perfect on the first attempt because you can always tweak it. It’s more important to start than be intimidated by perfection, otherwise it’s a learning opportunity lost.

There’s also a real pervasiveness of identifying unmet customer needs, and developing new services or products to fill the gap.

Go-Jek is a great example of this. In 2010, it identified the number of unemployed people in Indonesia with motorbikes, and the mobility issues that come with heavy traffic. Go-Jek created an app that provides a range of services including the ability to arrange taxi-type transport by scooter; book a truck to move boxes; and get your groceries, take-away or medication delivered.

Go-Jek is, locally, beating Uber at its own game by demonstrating a better understanding of local market conditions, listening to customer needs unique to Indonesia and tailoring its offering to an emerging economy.

Learn more about the role innovation is playing within Asian companies, how this differs by country and how innovative technologies are helping businesses achieve their goals. Download the Innovation: All Eyes on Asia ebook.