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Industries
Sep 13, 2024
Storytelling is one of the most undervalued tools in scaling businesses.
These aren't my words, but the words of Ryan Reynolds – but I actually couldn't agree more! Reynolds is best known for showing off his comedic flair in films like Deadpool and Free Guy, so it's fair to say he knows a thing or two about storytelling.
But let’s not forget that Reynolds is also an accomplished businessman and entrepreneur, with shrewd investments into Aviation American Gin, Mint Mobile, Maximum Effort, and Welsh soccer team Wrexham FC.
Recently, I took note as the Canadian actor spoke at the Forbes Iconoclast Summit, extolling the virtues of leading with emotion to connect with customers.
I listened intently; not just because it’s so significant to what we’ve been saying at UneeQ for so long, but because it makes so much sense.
"The thing I will bet on 10 times out of 10 is emotional investment. To me, emotional investment can fortify a business or a brand in really interesting and unique ways," Reynolds said.
You don't have to look far to find examples of this in action. And some studies suggest that effective brand storytelling can lead to a 30% increase in conversion rates, while 44% will share the story.
Which begs the question: why? Why does it work, and what makes it such a business imperative?
Why is emotion so impactful for businesses?
Storytelling is a form of emotion-led engagement, giving people a reason to connect and care about the organization utilizing it. Reynolds himself is great at this, lending his personality and sense of humor to many of the companies he owns or is associated with.
Having Reynolds front and center of these companies has helped them perform extremely well. Aviation American Gin, his first significant venture, was sold for $600 million to Diageo in 2020. To put that into perspective, that's about 25 times more than the $22 million he reportedly earned for his stint in the original Deadpool.
What's more, the stats back up what Reynolds says about emotion-led branding.
Emotionally connected customers spend more than twice as much money with their preferred brands than even highly satisfied customers. And the benefits go far beyond just conversion figures.
Writing in the Harvard Business Review, Chief Information Officer of Motista Alan Zorfas said there are hundreds of emotional motivators that drive consumer behavior, and companies can (and should) tap into these to form closer bonds with their customers.
"Emotionally connected customers buy more of your products and services, visit you more often, exhibit less price sensitivity, pay more attention to your communications, follow your advice, and recommend you more – everything you hope their experience with you will cause them to do," Zorfas explains.
How do you emotionally connect with customers, particularly in a digital world?
Breaking the fourth wall of customer interaction
So studies support emotion-led experiences, and Deadpool is also a big fan. So why isn’t every organization nailing this?
Well, the means brands use to emotionally connect with customers are rather archaic. Much like Deadpool himself, brands need to break the fourth wall of customer interaction and engagement.
Consider how traditional websites are evolving to do more than provide static information by allowing for dynamic conversation with brand characters, ambassadors, and mascots.
It’s not enough to speak at people through their TV, computer, or mobile screens anymore; brands need to speak with them directly through two-way conversation driven by authentic personalities.
Think of it this way: a video of Reynolds using his wit to sell gin is great, but would it move the needle as much as having a conversation with him – being able to ask him questions, and for him to make a personal recommendation? Of course not.
In fact, it's rare for brands to have a well-established, authentic identity that people can interact with across all their marketing channels, especially online. It’s a major oversight when you consider that 85% of consumers conduct research before they make purchases, and many of them do this via company websites (75%) or social media (38%).
That means a customer's first impression of your brand will likely be online. And if you're not providing them with something – or, better yet, someone – to connect with in these spaces, it could be your last interaction with them.
All that is beginning to change with digital humans. Let me give you a few examples.
Unlocking empathy in the AI era is a new opportunity
Take Sama from Qatar Airways. She lives in the QVerse, which is the Doha airline’s interactive virtual customer experience platform. The QVerse is where you go if you want to explore the aircraft cabin interior of a luxurious Qatar Airways aircraft, or learn more about the airline's services.
And Sama is your digital human guide throughout this experience. She talks with you, answers your questions so you don't have to find information on your own.
Importantly, Sama has her own backstory, personality, motivations, and mannerisms, which help people connect with her on an emotional level. Fun fact: her means "sky" in Arabic, which is apt for a brand that wants to elevate the flying experience.
So when Sama has conversations with customers, there comes with it a depth of character – and a depth of connection she’s able to establish with people.
Another great project from the team here at UneeQ is Emma from the City of Amarillo. Emma has been lovingly designed by the City and its residents to embody its cultural heritage and community spirit. So when people ask her for guidance to, say, help them pay their water bill or ask for help from their government, there’s an emotionally resonant and empathetic experience waiting for them.
And another is Deutsche Telekom, the largest telco in Europe (and parent company to T-Mobile on US shores). Deutsche Telekom have employed a family of digital humans to help support people with their often technical questions, or at least questions that require a technical solution.
Considering, 40% of people say they are intimidated when interacting with a telco provider, it's the job of these digital humans to spend time asking questions, explaining, and guiding people to the right solution. In this way, they turn that initial doubt, confusion, and intimidation into confidence. We managed to improve conversions more than 5X using this simple, emotionally impactful form of communication.
Becoming a leader in emotionally rich experiences
Storytelling, emotional connection, performance: all this signals a greater CX trend. In fact, it brings me back to a conversation I was glad to moderate at VentureBeat Transform this year.
"Empathy and the ability to detect sentiment are going to become more important." says Adrian McDermott, Chief Technology Officer at Zendesk
"There's always going to be a percentage of the population that is distressed, intimidated or just likes to press zero until they can speak to the operator."
Our job as digital human providers is to create experiences that feel engaging and emotionally relevant enough to prevent people hitting zero.
We’ve approached that with pioneering technology that moves away from the boring nature of chatbots, instead using personality-rich characters and storytelling to make online experiences enjoyable, engaging, and memorable.
And perhaps on that last point Ryan Reynolds said it best:
"If your brand has an emotional connection with culture, with its audience and consumers, then you have a moat that is around your brand, making it incredibly resilient, something that could inevitably become timeless."
