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New analytics index: How companies utilize their digital customer relationship

New analytics index: How companies utilize their digital customer relationship

Addressing customers digitally has long been standard practice. Now for the first time, there is an index that measures the extent to which companies in Germany exploit this potential to find out more about the needs of their customers.

The name of the new digital indicator that – alongside the Digital Office Index – provides information about the digital maturity of German companies is DAOMI. It was developed by Bitkom, the German digital industry association. DAOMI stands for “Digital Analytics & Optimization Maturity Index”, and shows the extent to which companies scrutinize and optimize their digital customer relationships with the aid of analytics tools. The Bitkom industry association surveyed more than 1,000 companies when compiling the index.

Clear competitive advantage

The results reveal a very mixed picture: While almost all companies attempt to address their customers online – although in some cases that is only through the company website – only two thirds of the companies surveyed gather data on how their customers use the digital service provision. Just over half (53 percent) say that their company also gains added value from these analysis processes. “In future, the digital customer relationship will be a critical factor in business success,” says Georg Klassen, Chairman of Bitkom’s Digital Analytics & Optimization Working Group. He goes on to say: “Companies that succeed today in better understanding the wishes of their customers in the digital world will gain a clear competitive advantage.”

Personalization and segmentation

Until now, it has mainly been major companies that have recognized the value of such analysis. All companies involved in the study that employ more than 500 members of staff gather and evaluate data about digital customer behavior. 87 percent of companies that employ between 100 and 500 members of staff analyze digital user behavior, while only 65 percent of small companies do so. “Companies keen to establish a digital customer relationship need a clear strategy,” advises Georg Klassen. “Furthermore, the results generated from the analysis of customer wishes must also be utilized in critical areas within the company such as Product Development or Sales.”

The major companies have some catching up to do in this regard, with only 44 percent already having a strategy for implementing digital analytics & optimization relating to digital customer interaction. The advantages are clear. “Right now, personalization and segmentation is an important preliminary stage for preparing offers for specific target groups and presenting, at the digital touch point, exactly those offers the respective customer is most likely to be interested in,” explains Klassen.

Identified advantage

Companies that have recognized the advantage are usually also satisfied with the relevant analysis tools. 61 percent of respondents said that they can adapt products and services to the needs of the customer. Around half the companies optimize marketing campaigns and 47 percent said they had identified new customer groups. These pioneers are also keen to increase their level of investment in this area.

That shows that analytics is continuing to make headway and brings measurable advantages. But on the whole, German businesses have a lot of catching up to do. On a scale of 0 to 100, Bitkom’s DAOMI index is at 26 for the economy as a whole – indicating that only a quarter of the ground has been covered. The Digital Office Index, which indicates the level of digitization in office and administration processes, is currently at 50 in Germany.

Author: Editorial team Future. Customer.
Image: AdobeStock

Tags for this article Analytics (29) CRM (108) Digitization (167)


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