Companies facing hypergrowth need a plan for CX
Hypergrowth sounds like a great problem to have. If your company is successful and growing then that’s the target for every entrepreneur, but when you start moving so fast that customers are being let down then the problems begin.
Most companies don’t grow faster than 20% in a year. The Harvard Business Review defines hypergrowth companies as those growing at 40% per year or more. In some cases, companies will be growing much faster than this, when a new product suddenly becomes successful, or the market changes favourably for the brand.
Companies like Amazon, Uber, and Facebook were all hypergrowth back in the day. These companies are still growing now, but true hypergrowth usually occurs when a company is first launched - the moment that consumers finally understand that they need products from this new company triggers a rapid wave of growth - look at what happened to Zoom in 2020.
Hypergrowth is a challenge because many companies in this phase are still very young and are probably not making much in profit yet. Even a company as famous as Amazon went for many years without ever making a profit. Companies that are familiar today, such as WeWork and Uber, have grown extremely quickly with the aim of becoming the go-to tool in their marketplace. Effectively the game is to grow fast, grow big, and then enjoy that status as number one knowing that the barriers to market entry are now much larger.
Forbes magazine recently published a feature on hypergrowth companies by Sébastian Ricard, CEO of LumApps. Mr Ricard has some good advice, such as: “Tech debt, the cost of taking shortcuts with your IT systems to meet current demand, is a major consideration for growing startups. These shortcuts have major implications for your growth model, as the band-aid solution you used yesterday will be a major obstacle once you double your customers later. Strategic planning for the future is a better approach.”
I would extend that argument beyond just the IT systems and into the processes and systems you are using to manage the customer experience. It’s very easy to build a basic internal solution when the company is small - a small contact centre handling calls and emails can be tucked away in the corner of your office.
But once you hit hypergrowth that’s going to be a problem. It’s not just the difficulty of keeping your customers happy with a small team, you really need to think more strategically about how customer-facing processes are designed. You need to plan for the entire customer journey, from a customer first learning about your products through to a satisfied customer of many years staying in touch.
Customer service is no longer that small team answering phones. You need strategic coordination with marketing, sales, and any team that has a customer-facing role. You need to integrate analytics so you can study what customers are doing and what they want. You need to build a 21st century customer solution that can scale as your business grows.
Engagement today is 24/7 and across many channels. Customers want to communicate using text messaging, online chat, and social media. If you are cross-border then you also need to think about how to support customers in multiple languages.
Startups that hit a period of hypergrowth are a delight for the Venture Capital community - it’s why they invest. But hypergrowth can easily be a nightmare if you cannot handle customer requests and questions.
TTEC has worked to build a strategic growth plan for many household names that were once experiencing hypergrowth, including fintech and social media brands. We can advise on delivering the customer experience your loyal customers and advocates really want, how they want it.
For more information on how TTEC is driving digital transformation and omnichannel customer experiences in EMEA, visit www.ttec.com/emea.
Iain Banks, Regional VP International Markets, TTEC is responsible for developing TTEC's full International go-to-market business plan for sales, marketing and solutions. Iain is an experienced, senior-level business development professional with a career spanning more than 18 years in the Global BPO/Contact Centre environment, with a proven...