“Every click, transaction, and digital footprint your customers leave behind is a monetization opportunity—if you know where to look”

What Is Data Exhaust?

Data exhaust refers to the passive, secondary data generated through routine digital interactions—often captured incidentally. This includes clickstreams (the sequence of actions a user takes on a website), IoT sensor logs from smart devices, location records from mobile apps, and metadata from transactions or system events. While this data isn’t part of a company’s core operations, it accumulates rapidly and contains deep insights into customer behaviour, usage patterns, and operational trends.

Yet, what many firms discard as digital noise can be transformed into a strategic asset. Take Mastercard as a leading example: in 2024, the company generated $10.83 billion—over a third of its total revenue—from its Value-Added Services and Solutions segment. This includes anonymized analytics and insights derived from 125+ billion purchase transactions, which are sold to advertisers, retailers, and policymakers. Once considered an operational byproduct, this data exhaust now fuels a growing, high-margin revenue stream—demonstrating the massive, untapped potential hiding in plain sight.

Why This Matters – Data Exhaust as a Critical Asset

In today’s data-driven economy, data exhaust is emerging as a powerful yet underutilized strategic asset. While most organizations analyse only a small portion of their data, research shows that 80% of the most innovative firms actively leverage data for business gains. Industries like banking, financial services, and telecom are leading the way—using aggregated and anonymized data exhaust to enhance customer experience, optimize operations, and support strategic decisions like urban planning.

The potential is massive: the global data monetization market is projected to grow from $375.97 billion in 2025 to $1,632.57 billion by 2034, at a CAGR of 17.72% during the forecast period. As companies invest heavily in data infrastructure—Microsoft is planning to spend $80bn in 2025—unlocking value from data exhaust is not just an opportunity, but a competitive imperative.

Why Companies Fail to Utilize Data Exhaust

Despite its value, many companies struggle to monetize data exhaust due to structural, technological, and strategic barriers:

Overcoming these challenges requires organizational alignment, investment in AI-driven analytics, and consulting expertise to build scalable, compliant monetization models.

How Can You Unlock Revenue from Data Exhaust?

1. Enhance Core Business with Data-Driven Insights

Use behavioural and usage data to improve products and personalize services. For example:

• Insurance: Progressive’s “Snapshot” program uses smartphone telematics to reward safe drivers and now accounts for over 20% of its direct-channel revenue.
• Agriculture: John Deere transformed data from its equipment into a “Precision Farming” subscription service, shifting from one-time sales to recurring revenue.
• Retail: Amazon leverages browsing logs and purchase history to personalize offers and recommendations, significantly reducing customer churn and boosting sales.

Estimates show that the right personalization strategy can lift revenues by 10–15%, and that data-driven operational changes yield 10–25% performance improvements. Treating data exhaust as fuel for R&D and marketing can deliver immediate ROI.

2. Package and Sell Anonymized Data Products

Companies can sell insights derived from aggregated, anonymized client data. For instance:

• Financial services: Mastercard’s Data & Services division sells over 25 products based on 125+ billion purchase transactions, enabling ad targeting and market research.
• Telecom: A Fortune 500 telecom used tower and subscriber data to launch a data marketplace, serving city planners and retailers.

These data products are high margin, require little incremental cost, and comply with privacy laws when properly handled.

3. Innovate Business Models and Services

Data exhaust can enable new offerings and business models:

• Aviation: Rolls-Royce uses jet engine data to offer “power-by-the-hour” maintenance contracts.
• Healthcare: Propeller Health uses sensor data to guide asthma patients, cutting emergency events by 50%—a value proposition that justifies premium pricing.
• Software: One firm monetized telemetry data to detect license misuse, generating $4M in additional revenue.
• Banking: Aggregated transaction data is used for spend analytics and fraud detection tools offered to clients.

By turning data into IP and services, firms unlock new revenue streams and premium pricing opportunities.

How Data Missteps Derail companies: Risks and Repercussions

Industry leaders are increasingly monetizing data exhaust. However, the risks of mismanagement are just as real:

• Silos and lack of coordination can result in initiatives like GM’s OnStar, which faced regulatory scrutiny for sharing driver behaviour data without explicit consent, causing reputational damage and operational restrictions.
• Privacy concerns and inadequate governance were evident when a fitness app’s public heatmap inadvertently exposed sensitive military locations, highlighting the dangers of poor data handling.
• Leadership mindset and insufficient transparency contributed to backlash against a smart speaker brand that used user recordings to train AI without consent, eroding trust and attracting regulatory pressure.
• Lack of a clear monetization strategy led some firms to build costly data lakes that yielded no returns, ending in write-offs and stalled projects.

Successful leaders treat data exhaust as a strategic asset—balancing innovation with governance, transparency, and clear business value.

Action Plan for C-Suite Leaders

To harness data exhaust effectively, executives must take immediate, structured steps:

• Audit and classify data exhaust: Identify all customer and usage data (e.g., web logs, sensor data) that could unlock value.
• Implement governance and privacy safeguards: Anonymize data and comply with regulations. Use data catalogues, encryption, and transparent privacy policies.
• Pilot analytics projects: Form cross-functional teams to test monetization use cases. Start with small wins—like customer journey analytics or personalized offers—and scale success.
• Develop data products and partnerships: Create dashboards or reports for external use. Collaborate with ecosystem partners or join data marketplaces.
• Measure, iterate, scale: Track KPIs such as new revenue, cost savings, and retention impact. Refine the business case and expand successful pilots.

To achieve this, the key enabler is investing in technology and talent by building modern data infrastructure—such as data lakes and real-time analytics—and hiring specialists in AI, data science, and data privacy

Conclusion

Data exhaust is not digital waste—it’s an untapped strategic asset. As data generation surges, the gap widens between firms that act and those that fall behind. C-suite leaders must reframe their mindset: data exhaust must become a core pillar of innovation. The tools and talent are available. What’s needed is urgency. Turning “waste” into wealth could define the winners of the data-first economy.

The post How Firms Can Monetize their Data Exhaust appeared first on Avalon Consulting.

1. India’s Semiconductor Ambition: A National Imperative

India has begun an ambitious journey to become a major player in the global semiconductor landscape. This strategic push began with the announcement of the India Semiconductor Mission (ISM) in December 2021 with a budget of ₹76,000 crore (US$9 billion).

ISM’s goal is to establish a sustainable semiconductor and display manufacturing ecosystem in India. Specifically, operating under MeitY, it aims to establish fabs (fabrication units), OSAT (Outsourced Semiconductor Assembly and Test) facilities, and ATMP (Assembly, Test, Mark and Pack) units in India, reduce India’s dependency on imports, and foster innovation through schemes namely the Design Linked Incentive (DLI) for start-ups and MSMEs.

The Indian semiconductor market, valued at $52 billion in 2024 and projected to reach $103 billion by 2030, is driven largely by booming demand from automotive (especially EVs), electronics manufacturing, and IT sectors. The global reshoring trends of manufacturing industries due to geopolitical tensions, environmental deterioration, and economic threats emphasizes the need for secure local production.

India’s staged semiconductor manufacturing strategy begins with ATMP/OSAT (the majority of global semiconductor assembly and test facilities) so that they can build capabilities and supply networks before going into full-scale fabrication.

The centrepiece of these initiatives is Tata Electronics’ greenfield semiconductor assembly and test facility in Jagiroad, Assam, a ₹27,000 crore (US$3.6 billion) project approved on February 29, 2024, with the foundation stone laid on August 3, 2024. This facility is envisioned as a strategic anchor for India’s ATP segment and a key step in making India a leader in the global semiconductor supply chain.

1. Why was Assam chosen for this massive project?

The selection of Assam reflects a junction of geopolitics, resources, and policy in the following ways:

• Policy: Assam has set itself apart by being among the first states to declare a very competitive semiconductor policy in August of 2023. This policy offers substantial fiscal incentives, providing a 40% extra capex subsidy on top of central incentives which is higher than states like Gujrat, UP and Tamil Nadu which provide only 20-25% subsidy. The policy also provides tax breaks, power rebates, and thorough facilitation with emphasis on fabs, ATMP, and OSAT, thereby making Assam quite investor friendly.
• Resources: Assam’s resource advantages bolster its semiconductor potential. Ultra-pure water and stable power—critical for chipmaking—are ensured by the Brahmaputra (India’s largest river by volume) and 14 GW of renewable energy potential. The state offers potable water at ₹5/m³ and power tariff incentives of up to 50% for 10 years, significantly cheaper than Gujarat (₹12/m³). To scale clean energy, Assam aims to add 11.7 GW of capacity by 2030 under its Integrated Clean Energy (ICE) Policy 2025, which supports green projects with duty reimbursements and tariff subsidies.
• Geopolitics: Assam’s geographical location also offers a strategic advantage as it links Northeast India to ASEAN markets and neighbouring BBIN and BIMSTEC regions over 5,182 km of international borders under India’s Act East Policy. Upcoming multimodal corridors including rail links like Kokrajhar-Gelephu, the Brahmaputra waterway, the proposed Assam Electronics & Semiconductor Logistics Park (AESLP) and the development of a tech park and ESDM cluster over 100 acres in Jagiroad —offer seamless connectivity to packaging hubs in Taiwan, Malaysia, Vietnam, and Singapore.
• Talent: The Northeast, including Assam, provides a sizable and always expanding pool of educated talent as well. Supported by institutions including IIT Guwahati, eight NITs, eight Central universities, and industry academic collaborations, they provide qualified VLSI and chip design experts. A young, English-speaking workforce in a pollution-free surrounding promises to draw expatriate professionals vital in early stages.

All these factors taken together produce a low risk proposition for high tech investment.

1. Socio-economic effects of the plant on Northeast India

The construction of the semiconductor facility in Jagiroad has the potential to cause significant socioeconomic changes throughout Northeast India, extending far beyond the factory gates.

Employment and upskilling

The Jagiroad plant is expected to generate over 25,000 jobs—15,000 direct and 11,000–13,000 indirect which marks a shift from traditional agriculture and resource mining to advanced technology employment driving a fundamental improvement of the human capital of the region.

Nationally, the semiconductor mission targets 25,000 direct and 60,000 indirect jobs, supported by skill programs training 85,000 professionals across B.Tech, M.Tech, and PhD levels, across 113 academic institutions, nine of which are in the Northeast.  Along with NIELIT and Gauhati University’s partnerships, programs like “Chips to Startup (C2S)” at IIT-Guwahati and NIT-Silchar are aggressively producing semiconductor talent.

These high value employment prospects are also expected to lower youth migration, retain intellectual capital, and boost local entrepreneurship which can help to mitigate historical problems of “cultural disconnect” and promote shared economic prosperity.

Ancillary businesses

Supporting businesses pertaining to logistics, maintenance, raw materials, specialized services will flourish all around the plant in a cluster form.  The presence of a major player like Tata will also encourage local businesses and MSMEs to integrate into the value chain as suppliers, expanding the regional industrial base.

The influx of highly skilled professionals and increasing industrial activity will also naturally boost other sectors including real estate, transportation, and hospitality fostering a dynamic and diverse workforce.

Knowledge based economy

By diversifying away from its conventional economic drivers of agriculture, tea production, and resource mining towards a technologically driven, knowledge-based economy, Northeast’s economy will become resilient against outside shocks and bring in private investment.

Alongside this project, Reliance and Adani have also pledged to invest ₹75,000cr and ₹50,000cr respectively in the NE region. All these investments will lead to even more industrialization, employment generation, and infrastructure improvements across verticals which will be very helpful in upbringing the community as a whole.

1. Can Northeast become India’s next semiconductor hub? What needs to be done.

Tata’s Jagiroad factory can be the linchpin for a Northeast semiconductor cluster. In fact, global chip-ecosystem players are already lining up with firms like ASMPT, DISCO, BESI, Cadence and Tokyo Electron setting up local presences, and Tata planning MoUs with 10 more companies to “boost the ecosystem”.

But in order to become a full semiconductor hub, the Northeast needs to leverage its unique abilities and draw the whole value chain—from upstream R&D, design, and material production to downstream electronics manufacturing and product development.

What the local Governments need to do?

For state governments, consistent policy support is absolutely vital. This covers maintaining and possibly improving incentives to compete internationally as well as guaranteeing perfect policy execution to lower bureaucratic delays. Key focus should be on establishing world-class research centres in semiconductor materials, design, and manufacturing, supporting academia-industry cooperation, and building research parks and innovation hubs for startups by means of R&D investments.

Governments should also leverage the “China Plus One” strategy by aggressively highlighting North East’s special advantages. Relaxed land regulations under EMC 2.0 will help actively promoting specialized zones including electronics manufacturing clusters (EMCs) and SEZs like Tinsukia and Guwahati-Baihata Chariali. One step in this regard is the planned Assam Electronics & Semiconductor Logistics Park (AESLP).

Strengthening infrastructure including consistent high-quality power, effective water systems, and strong multimodal logistics—roads, rail, rivers, air cargo are also of paramount importance.

Building a strong talent pipeline is also important. Expanding technical curricula (VLSI design, chip testing, AI) at universities and polytechnics will be vital. Apprenticeships and certifications tied to the Tata plant can upskill local youth.

What the people need to do?

Local involvement is equally vital. Supported by government grants and seed money, entrepreneurs and MSMEs should be urged to participate in the semiconductor value chain—from raw materials to specialized services. The youth should be motivated to pursue STEM verticals. The culture of migrating outside the Northeast in search of “better opportunities” needs to be mitigated.

To thrive in the evolving knowledge-based economy, individuals must embrace continuous skill development, particularly in high-tech fields like VLSI design, IC manufacturing, and advanced packaging—through programs offered by institutions such as IIT-Guwahati and NIELIT.

Given the semiconductor industry’s rapid technological rise and emphasis on precision, the workforce must remain adaptable, pursue ongoing training, and commit to excellence to meet global standards building a reputation for reliability internationally.

1. Conclusion: Northeast India’s Pivotal Role in India’s Tech Future

Through Tata’s Jagiroad facility, the Northeast enter a new era marked by the shift from primary sectors to a knowledge-driven economy. This project is much more than just a chip manufacturing facility; it is a key driver of regional development, with the potential to create a large number of direct and indirect jobs, support the expansion of many ancillary industries, and propel important infrastructure improvements throughout the area.

The Northeast has the perfect opportunity to spearhead India’s semiconductor aspirations thanks to its innovative state policy, wealth of resources, advantageous location, and growing talent pool. But in order to fully realize the potential of this “Silicon Dawn,” industry, academia, and the central and state governments must continue to work together in the areas of infrastructure, R&D, skill development, and policy implementation.

With Assam at the forefront, Northeast India is poised to become a crucial and indispensable player as India strives for semiconductor self-reliance and become a global electronics hub by 2030. This region exemplifies inclusive and sustainable industrial growth in line with the vision of “Viksit Bharat, Viksit Northeast.” How far this vision takes the Northeast, only time can tell; But the direction is clear:  from the banks of the Brahmaputra to the global chip supply chain, a high-tech future is unfolding.

The post The Silicon Sunrise: How Tata’s Assam Chip Plant Could Catalyze Northeast India’s Economy appeared first on Avalon Consulting.

How many of you have recently checked your Google Pay / Phone Pe transaction history and thought:

“Wait… when did I even spend this money?”

Or maybe some of you started working before the UPI era—

Can you relate to whether your spending patterns have changed over the past years?

Or worse… are you worried that your siblings or kids are slowly turning into part-time Swiggy shareholders, based on how often they order food?

If that sounds familiar and you are seeing similar patterns around, this article might be relatable, since we’ll explore how the rise of impulse-driven spending, enabled by technology, is fueling a surge in digital transactions. At the same time, consumer-facing apps with embedded payment features are setting new benchmark models to capitalise on this behaviour, offering valuable lessons and opportunities for smaller players to replicate or adapt these strategies in response to evolving consumer patterns

Rise in Impulsive spending

Recent research from a study by FIS Global on increasing willingness of Indians to adopt embedded finance solutions highlights how convenience-driven digital payment methods like UPI—along with the growing influence of instant gratification and incentives—are shaping purchasing behavior.  The study found that approximately 76% of Indians use UPI for online checkouts, with this number rising to 84% among millennials [10]

About 63% of participants cited the convenience of a two-click checkout process as a key factor influencing their buying behaviour [10]. Marketing teams of applications such as Uber, Amazon, Swiggy, and Zomato have effectively capitalised on this trend by providing a range of seamless payment options, majorly UPI, allowing users to complete transactions with minimal effort

Furthermore, 72% of users consider discounts and coupons offered by these platforms when making purchases, while 63% are influenced by rewards and cashback benefits integrated into these apps[10]. These findings underscore the rise of impulsive spending behavior and demonstrate how marketing strategists are actively leveraging this shift in consumer habits to drive more low-value, impulse purchases

The rise of UPI: Game Changer

The rise of UPI has significantly influenced the entire digital payment ecosystem in India. Launched in 2016 with just 21 banks, UPI has grown rapidly to include 661 banks by March 2025 [1]. Today, it contributes to approximately 83% of all digital transactions, far outpacing cards, NEFT, wallets, and other previously dominant payment modes [2] The stark contrast becomes evident when we consider that in 2019, UPI accounted for only 34% of digital transactions, while cards and other methods made up nearly two-thirds of the total [3]

According to the Press Information Bureau (PIB), monthly UPI transactions grew from 4 billion in October 2021 to 17 billion in October 2024 [4]. Similarly, the total transaction value increased from ₹7 lakh crore to ₹23 lakh crore over the same period [4]

UPI Transactions Volume
(In Billions)

But there’s another side to these impressive numbers. A closer look of the above numbers reveals that the number of transactions is growing faster than the total transaction value, indicating a decline in average ticket size [4]. This trend becomes clearer when we consider the bigger picture — a notable shift in UPI usage from high-value person-to-person (P2P) transfers to low-value person-to-merchant (P2M) transactions

P2P to P2M shift of Digital Transactions

Person-to-merchant (P2M) transactions, which accounted for just 40% of all UPI transactions at the beginning of 2022, have grown to 63% in 2024 and now dominate the UPI landscape

Shift of UPI Usage from P2P to P2M Transactions

Of this 63%, almost 86% of transactions fall within the ₹0–₹500 range. In comparison, for person-to-person (P2P) transfers, about 56% of transactions are below ₹500 [5]. P2P transactions still include a substantial share of higher-value transfers — around 44% are above ₹500, and within this, 22% exceed ₹2,000[5]. In contrast, small-ticket transactions dominate the P2M segment. Transactions above ₹500 account for less than 14%, while nearly half of all P2M transactions are below ₹200 [5]

Transaction Distributions

This growth in P2M (person-to-merchant) payments is not accidental; it has been driven by incentives and infrastructure support aimed at encouraging merchant adoption by relevant stakeholders. In 2022, National Payments Corporation of India introduced UPI Lite, a simplified version of the Unified Payments Interface (UPI) designed for small-value transactions. It allows users to make payments of up to ₹500 per transaction without needing a PIN and has a maximum wallet balance limit of ₹2,000. This limit was later increased in December 2024 to ₹1,000 per transaction, with a daily limit of ₹4,000 and a maximum wallet balance of ₹5,000 [6]

UPI Lite Transaction Limits 2024 vs 2025

In 2023, NPCI launched UPI Lite X, which leverages Near Field Communication (NFC) technology to enable small-scale money transfers between on-device wallets and works even in offline mode [7]. UPI Lite is particularly useful for individuals in rural or semi-urban areas with limited internet access, enabling offline payments. UPI 123 is another initiative by UPI that allows users with feature phones, without any smartphone capabilities, to make transactions through an IVR number and other options without the need for internet access [8]

The Government also prioritises promoting low-value digital payments to enhance financial inclusion and provide more payment avenues for the common man. Recent initiatives include a ₹1,500 crore incentive scheme for low-value BHIM transactions to encourage digital payments among small-scale merchants [9]

According to NPCI, a Merchant Discount Rate (MDR) – the service charge paid to payment processing companies of up to 0.30% is applicable for UPI P2M (Person-to-Merchant) transactions, which is still lower than the 0.9% typically charged by card networks for debit card transactions [9]. Since January 2020, to promote digital transactions, MDR has been waived for RuPay Debit Card and BHIM-UPI transactions through amendments to Section 10A of the Payments and Settlement Systems Act, 2007, and Section 269SU of the Income-tax Act, 1961, with the Government compensating these companies through incentives to promote low value digital transactions [9]

Impulse to Revenue: How Apps Drive Small-Ticket Digital Transactions

If you’ve seen messages like “Add ₹100 more and save ₹40” in your favourite quick commerce applications, you’ve already encountered one of the benchmark strategies used by embedded finance consumer applications to drive impulsive purchases. Bulk order discounts are a key initiative adopted by embedded finance applications like Swiggy, Zepto, Blinkit, and others to tap into impulsive spending patterns.  These platforms encourage top-up purchases by offering instant discounts to boost Average Order Value (AOV), and companies are introducing new innovations in this business model l. Swiggy Instamart recently launched Maxx Saver, a discount-led strategy aimed at increasing average order value—directly positioned against Zepto’s Super Saver. Unlike Zepto, where customers need to browse the Super Saver section manually, Swiggy embeds these bulk order discounts directly into the cart experience. The discounts are automatically applied at checkout, making the process frictionless and more effective in nudging users toward higher-value purchases

Bulk order Discounts: Swiggy Maxxsaver

Another benchmarking model is embedded subscriptions, which offer many benefits, including removing the delivery fees. For example, Swiggy offers Swiggy One membership, including a new version called One Lite. The One Lite plan provides 10 free food deliveries from any restaurant within a 7 km radius, and 10 free Instamart deliveries, provided the order value exceeds ₹199.  This setup encourages customers to add more items to avoid delivery charges. Additionally, members often feel the urge to place more orders due to the temptation of maximising their subscription benefits, again resulting in impulsive spending

Embedded Subscriptions: Swiggy One Lite

UPI applications have long facilitated avenues for impulsive spending, most notably through scratch cards and cashback incentives offered on specific transactions. A more distinctive method includes wallet lock-ins, where platforms like Amazon Pay encourage users to top up their wallets to avail cashback offers — funds that may later be required for processing future payments. Retail applications like BBinstant are also adopting this model in their smart vending machines, where users must load an initial amount into a wallet. While this often comes with cashback incentives, it effectively locks the money within the system, prompting users to make additional transactions to fully utilize or “unlock” the balance. This is a model that more e-commerce platforms could adopt, enabling smoother and more habitual purchases without relying entirely on UPI for completing every transaction

BBInstant Wallets

Beyond UPI

Apart from UPI, Buy Now, Pay Later (BNPL) applications such as Zest Money, Lazy Pay, and Simpl, which offer similar convenience of UPI, are increasingly gaining traction in embedded finance applications. These platforms offer the added benefit of deferred payments, attracting users who value flexible payment options, thereby making impulsive purchases easier and more frequent

BNPL Applications: 1 Click Pay

According to a recent study by Business Wire, the BNPL market in India grew at a CAGR of 22% between 2021 and 2024 and is projected to reach USD 21.95 billion by 2025 [11]. The report highlights the untapped potential of India’s expanding digital economy as a key factor driving the entry of new BNPL providers. Moreover, strategic partnerships between BNPL companies and e-commerce platforms have enabled seamless integration of these payment solutions, significantly enhanced accessibility and accelerated consumer adoption

Looking ahead, BNPL providers are expected to focus on penetrating tier-2 and tier-3 cities by collaborating with e-commerce/ retail players and tailoring their offerings to meet the unique needs of these regions. However, despite the upward trajectory, regulatory concerns – particularly the restrictions on allowing prepaid payment facilitators to function as loan providers propose significant challenges. These limitations are prompting BNPL firms to reassess and adapt their business models in order to stay compliant and ensure sustainable growth

Closing Thoughts: Bringing Credit Cards to the game

There is significant scope for improvement in digital spending if the credit card market can be enhanced with the same ease of use that UPI currently provides. At present, only RuPay credit cards, accounting for nearly 16% of all credit card spending, are integrated with UPI, with nearly half of these transactions made via credit on the Unified Payments Interface (UPI), according to NPCI [12]

If major players like Visa and Mastercard are also integrated with UPI, like RuPay, it would provide consumers with greater freedom to spend using their credit limits rather than being constrained by the balance in their UPI-linked bank accounts. This shift could drive a significant increase in digital transactions and unlock more of the market’s potential.

The post Turning Simplified Purchase Journeys into Growth Opportunities appeared first on Avalon Consulting.

The Indian film industry, a global giant, released ~2000 films in 2024 across 15+ languages. The industry across decades has been thriving on its rich artistic history, young population, and rising incomes. Post-Covid-19 though, the industry has been witnessing a structural shift with blurring lines between regional cinema and “Bollywood”. Increased collaborations among production houses, crew, actors, and audiences across languages are evident. Key trends and audience preferences are evolving, shaping a new way forward for the diverse Indian film landscape.

In this article, we will identify certain major trends observed in the Indian film industry, decode the voice of the Indian film-watching audience and the way forward for the industry.

Paradigm Shifts – Gradual but Irreversible?

• Hindi film releases – a downward spiral

The Indian film industry registered a degrowth of ~3% in terms of number of films released in 2024, as per IMDb data. However, a closer look reveals that the Hindi film industry, which is the largest, registered a steep fall of ~14%. The share of Hindi films in the overall mix was 18% – the lowest over the last decade. Since 2022, the share of non-Hindi films in the overall mix has been increasing. The Telugu films over this period have increased their dominance, with their share increasing from ~10% pre-2020 to ~15% in 2024.

• Soaring audience approval – non-Hindi films

Over the last decade, the share of non-Hindi films garnering approval has consistently improved. Since 2015, the share of Hindi films rated above “average” has been ranging from 25%-30%, however, for Tamil and Telugu films, the corresponding figure reached ~50% and ~70% respectively in 2024. Even for other languages the audience approval ratings above the “average” mark have improved.

• Shifting grounds – South Indian to Pan Indian

In 2024, more than 50% of the top 15 highest domestic Box Office grossers were South Indian. Even 2 English films made it to the list. Compare this with 2014 – a whopping 80% of the top 15 Box Office grossers were Hindi films, rest being South Indian.

Accompanying the above trends, Hindi film theatre footfalls declined by ~25% (to 23 Crores) from 2015 to 2024, while non-Hindi film footfalls rose by ~10% (to 65 Crores), with Telugu films showing significant growth. While Hindi film Average Ticket Prices (ATPs) kept pace with consumer inflation, other language ATPs, except Telugu, were substantially lower, with Tamil films at INR 95 (~50% lesser than its Hindi Peers).

Stardom – May be, Story – A Definite Yes!

2024 saw unanticipated films with domestic box-office collections being manifolds as compared to their budgets: ~12X for Stree 2 and Manjummel Boys. Not only did these films do well commercially but also had a lower pre-release visibility through promotional campaigns than some of their high-profile peers. The average IMDb rating for top 15 films in 2024 was 6.72, higher than that of 6.03 for 2014. Analysis of reviews of these films highlight a clear pattern- the focus on an original and unique story, accompanied with solid acting, and stunning visuals. This is starkly different from 2014, wherein the focus of audience was on acting, driven by major stars. These preferences have been seen to precede film ticket prices for audience decision making and contribute towards footfalls. On the other hand, OTT players are accentuating access to the content viewers “want”, along with the convenience of multiple platforms.

Way-ahead: Shift of the Goalpost

With the trends and the audience preferences unfolding neatly, there are clear takeaways for the Indian film industry to thrive going forward:

• Content is the King: Filmmakers must prioritize strong content, as compelling storytelling, visuals, and screenplay collectively shape a cinematic spectacle. This highlights the growing importance of filmmaking crews, while reliance on star power alone offers limited impact.
• “Audience” Entry Strategy: With content at the forefront, filmmakers must carefully choose their entry strategy—either a big-bang launch with heavy promotions or a release through reputed film festivals, gaining critical reviews to generate word-of-mouth buzz. The right approach helps engage the target audience and minimize failure risks.
• Enhancing OTT Collaborations: Partnering with OTT platforms benefits content by combining filmmakers’ expertise with OTTs’ audience data. Such unconventional strategic partnerships can lead to more targeted, engaging, and potentially high-quality content, reaching wider audiences and mitigating production risks.
• Marketing – Out of the Box: A 2023 YouGov study shows ~64% of Indian audiences rely on post-release word-of-mouth. Agile, creative post-release campaigns using influencers and guerrilla marketing can boost box-office longevity, which will need a fundamental shift from fixed pre-release promotional budgets to post-release ones.

The Indian film industry is at an exciting turning point, driven by the convergence of languages, skills, and technology. Sustaining this transformation requires stakeholders to adapt to evolving audience needs. This ~2 million strong industry and the average Indian film-watcher appear ready to embrace this change.

The post Indian Film Industry: A Twist in the Plot? appeared first on Avalon Consulting.

He highlighted opportunities in the Indian automotive landscape, focusing on how Korean auto component suppliers can thrive by aligning with high-growth OEMs, leveraging emerging technologies, tapping into geopolitical shifts, and using India’s position as a global export hub.

The post India’s Future Automotive Market Seminar & Meeting on Procurement Partnership 2025 appeared first on Avalon Consulting.

They examined the growing fiscal challenges India faces due to increasing natural disasters and emphasized the need for innovative financial solutions such as catastrophe bonds. Drawing from global best practices, the authors highlighted how structured financial instruments can enhance disaster preparedness, reduce the burden on public funds, and attract private investment into climate resilience.

Innovative Financial Instruments: A Necessity for India’s Disaster Risk Management

India faces a significant challenge in managing the financial repercussions of natural disasters. In 2023 alone, the nation incurred losses exceeding ₹1 lakh crore (approximately $12 billion), with cumulative losses surpassing $80 billion over the past two decades. The increasing frequency and intensity of these events underscore the urgent need for innovative financial mechanisms that can diversify risk and ensure effective disaster funding. Among such measures, catastrophe bonds (cat bonds) stand out as a promising solution that can reduce the government’s financial burden while also attracting investments from global capital markets.

The Growing Challenge of Natural Disasters in India

Natural disasters such as floods, droughts, cyclones, and landslides have become increasingly common in India, with climate change amplifying their severity. Recent catastrophes, including devastating floods in Sikkim and Chennai, have highlighted the vulnerabilities of India’s current disaster management strategies. These events have strained both public and private resources, exposing the inadequacies in existing risk management frameworks.

India’s current disaster financing mechanisms, largely reliant on the State Disaster Response Fund (SDRF) and National Disaster Response Fund (NDRF), are under growing fiscal strain as natural disasters intensify. The 15^th Finance Commission allocated ₹1.28 lakh crore for SDRF and ₹54,770 crore for NDRF for 2021-26, a significant increase from previous allocations, reflecting the escalating costs of disaster management. National Budget should include provisions for alternate risk hedging mechanisms to address this gap, which is crucial for building resilience against natural disasters.

Catastrophe Bonds: A Strategic Opportunity

Catastrophe bonds, a type of insurance-linked security, enable governments and insurers to transfer disaster-related risks to investors. The structure of these bonds typically involves investors receiving regular interest payments, with the risk of losing their principal if a specified disaster occurs. Alternatively, payouts can be deferred, depending on the bond’s structure, ensuring funds are allocated precisely when needed for recovery and reconstruction efforts.

This pre-arranged funding mechanism stands in stark contrast to India’s current reliance on fiscal allocations and emergency relief measures. By integrating instruments like cat bonds into disaster financing strategies, India can create a proactive and predictable system for disaster recovery—an approach strongly advocated by institutions such as the Impact and Policy Research Institute (IMPRI).

Benefits of Catastrophe Bonds

Balancing Opportunities with Challenges

Despite their advantages, cat bonds are not without risks. Investors face the possibility of losing their principal if predefined disaster conditions are met. For governments, poorly structured bonds can lead to either insufficient payouts or excessive costs. Therefore, it is crucial to calibrate the conditions of the bonds carefully, considering factors like payout triggers, geographical coverage, and disaster probability.

For instance, a narrowly defined trigger may delay payouts if the disaster falls outside specific parameters, while overly broad triggers could result in unnecessary financial outflows. Lessons from countries like Mexico, which have effectively used cat bonds for earthquake coverage, emphasize the importance of robust risk modelling and clear terms to ensure the bonds serve their intended purpose.

Insights from Global Success Stories

Globally, countries such as Mexico, Chile, and the Caribbean nations have demonstrated the efficacy of cat bonds in disaster risk management. Mexico’s MultiCat program, for example, has been a benchmark in using cat bonds to secure timely payouts for earthquake recovery. Similarly, the Caribbean Catastrophe Risk Insurance Facility (CCRIF) pools risks across multiple nations, lowering costs and enhancing regional resilience.

These examples highlight the importance of collaboration, precise risk assessment, and well-structured financial instruments. By adopting similar practices and tailoring them to India’s unique disaster profile, policymakers can maximize the benefits of cat bonds.

Strategic Recommendations for India

To harness the potential of catastrophe bonds, India should adopt a multi-faceted approach:

Navigating the Road Ahead

As the frequency and intensity of natural disasters continue to rise, India’s reliance on traditional disaster financing methods is increasingly unsustainable. Catastrophe bonds offer a transformative opportunity to enhance the country’s disaster resilience while reducing fiscal strain. However, realizing this potential requires a careful and calibrated approach.

Policymakers must prioritize robust risk assessment, transparent regulatory frameworks, and strategic partnerships to ensure that cat bonds are both effective and attractive to investors. By integrating lessons from global success stories and tailoring solutions to India’s unique needs, the government can unlock the full potential of these innovative financial instruments.

The post Innovative Financial Instruments: A Necessity for India’s Disaster Risk Management appeared first on Avalon Consulting.

He highlighted that ChatGPT’s shopping feature represents a shift from traditional, self-driven product searches to Al-curated discovery, effectively acting as a virtual shopping assistant that could transform consumer decision-making.

For marketers, it opens up a new and ambiguous channel where brand visibility and influence will rely on understanding and adapting to evolving Al recommendation algorithms

Read below and refer to the link as well- https://lnkd.in/gprSA5fz

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He explained that travel guarantees are data-driven products using predictive analytics and behavioral insights to assess risk, price premiums, and pool losses effectively.

He emphasized that with low payout incidence and high user scale, several online travel platforms achieve favorable unit economics, making the model sustainable—not a gimmick.

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The 2024 Union Budget of India highlights the electric vehicle (EV) sector as a central component of the country’s sustainable development agenda. Key measures include plans to support EV manufacturing, expand charging infrastructure, and emphasize the electrification of public transport. These initiatives align with India’s broader goal of achieving net-zero emissions by 2070. Finance Minister Nirmala Sitharaman announced a substantial ₹1 lakh crore fund to support R&D in emerging sectors, including EVs, aimed at stimulating innovation and attracting private sector investment through long-term, low-interest loans.

Nitin Gadkari, Minister for Road Transport and Highways, outlined a transformative vision for India’s electric mobility future. He targets 30% EV penetration in private car sales by 2030, with higher targets for commercial vehicles and two- and three-wheelers. Gadkari also emphasized the need for an extensive EV charging network along national highways and introduced the concept of electric highways for long-haul trucks and buses. His vision extends beyond individual vehicles to an overarching shift in transportation infrastructure, emphasizing sustainability, efficiency, and alignment with environmental goals. This approach is expected to drive substantial growth in India’s EV sector, advancing the country’s goal of achieving a 100% EV market in the coming decades.

In this paper we will first dissect the Indian automobile market, focusing on its segmentation and the associated viability gaps basis of which we will try to assess EV applicability for the segments. Next, we’ll delve into the challenges, particularly in terms of cost of production and governance issues. Finally, some relevant questions are discussed briefly with our thoughts on the future of EV landscape.

Figure 1: Key module and area of discussion

Market segmentation and viability gap assessment:

To understand the complexities of the Indian automobile market and how electric vehicles (EVs) can play a transformative role, we need to categorize the market based on product types and their applications, avg. fuel consumption, and some other crucial parameters. By doing so, we can identify the viability gaps that each segment is associated with.

Table 1: Segmentation of Indian automobile market

Legend 1

Incentivization to encourage EV adoption would be meaningful for those segments which covers a very high annual distance (logically would be on top of the list in terms of fuel consumption and emission), lagging in terms of EV tech availability (and hence continuing with the existing petrol/ diesel/ hybrid models), and most importantly provides a larger public benefit (and not just limited to private usage).

As per the brief assessment, Commercial space is the major area with considerably high viability gap, along with other segments such as Cab (passenger vehicle, used commercially).

Understanding the segments with potential of EV applicability:

As electric vehicle (EV) technology becomes increasingly accessible, it is essential to prioritize sectors that offer the greatest potential for public benefit, emissions reduction, and cost-efficiency – and adopt EV especially where public usage and environmental savings are highest. By targeting these high-impact sectors, governments and the businesses can achieve faster returns on investment and accelerate the shift to a more sustainable future.

Focusing on critical vehicle segments presents a valuable opportunity to drive EV adoption in India. These segments, which have high public usage and substantial emissions reduction potential, align well with India’s sustainability goals. However, EV adoption must also be economically viable for end-users, as high Total Cost of Ownership (TCO) can create a barrier. Government intervention may be necessary to address high TCO and promote adoption in these areas.

Table 2: Vehicle segments with potential of EV applicability

Adopting electric vehicles (EVs) in India’s agriculture sector, despite a Total Cost of Ownership (TCO) estimated to be 1.4x to 1.6x higher than traditional vehicles, is crucial for long-term sustainability. EVs, particularly electric tractors, offer significant savings on fuel and maintenance, which can offset the higher initial costs over time. Additionally, electric farm vehicles reduce emissions and noise pollution, benefiting both the environment and the health of rural communities. As battery technology improves and production scales up, TCO gap will become narrow, making EVs a more cost-effective and eco-friendly option for Indian farmers in the near future – and hence, this segment has been added in the table above.

Issues related to Cost of Production (CoP):

The high cost of production remains a significant barrier to EV adoption in India. Factors like expensive battery technology and the need for advanced materials and components often lead to higher prices for consumers. Understanding the production cost challenges across different segments is crucial to making EVs more economically viable.

Table 3: Vehicle segments and cost of production related issues

Issues related to Governance/Policy:

The effectiveness of EV adoption in transforming India’s automobile sector is deeply linked to governance and policy. Key issues such as regulatory frameworks, infrastructure development, and government incentives significantly impact EV adoption. Examining these governance-related challenges reveals gaps in current policies and highlights areas where effective governance could enable EV adoption. The table below consolidates these issues by vehicle segment.

Table 4: Vehicle segments and governance issues

Key questions to ponder:

The existing gap in the government’s policies and the high cost of production for electric vehicles in the commercial and agricultural sectors are closely intertwined, presenting significant challenges to widespread EV adoption. Addressing these areas in tandem, are crucial for creating a sustainable and scalable EV ecosystem. The following critical questions aim to explore solutions that can bridge these gaps, reduce production costs, and accelerate the transition to electric mobility across key industries.

Table 5: Key Questions

Our thoughts – Future of the EV Governance Landscape:

In line with India’s vision for net-zero emissions by 2070, the government has introduced multiple schemes and policies to promote e-mobility and reduce fossil fuel reliance.

For Light Commercial Vehicles (LCVs), the Indian government introduced the Production-Linked Incentive (PLI) Scheme for Advanced Chemistry Cell (ACC) Battery Storage to boost domestic battery manufacturing, although some phases of this scheme have concluded. On the buyer side, the FAME India Scheme Phase II, which has largely been implemented, focused on supporting the electrification of public and shared transportation, indirectly benefiting LCVs by subsidizing vehicle costs and infrastructure​. For Heavy Commercial Vehicles (HCVs), the government, through reports like NITI Aayog’s “Transforming Trucking in India,” emphasized the need for coordinated actions between the private and public sectors to scale up zero-emission trucking and expand charging infrastructure. Direct incentives for buyers were limited, with support primarily provided indirectly through initiatives like the Auto PLI Scheme, which is no longer ongoing, and the PM-eBus Sewa Scheme, which continues to facilitate the electrification of public fleets but not specifically HCVs​

For Agricultural Vehicles, the Indian government’s policies for electrification are still in a nascent stage compared to those for other vehicle segments. The Kisan Urja Suraksha Evam Utthan Mahabhiyan (PM-KUSUM) scheme, while primarily focused on promoting the use of solar energy in agricultural operations, such as for irrigation pumps, indirectly supports the reduction of diesel reliance in the sector. However, direct government incentives for the electrification of tractors and other agricultural vehicles remain limited.

To accelerate EV adoption in key vehicle segments such as Light Commercial Vehicles (LCVs), Heavy Commercial Vehicles (HCVs), and agri-vehicles, a combination of enhanced financial and infrastructure incentives is crucial- on the supply side as well as the buyer side.

Table 6: Suggested government interventions

Conclusion

India stands at a transformative moment in its journey towards electrification in the automobile sector. The challenges and opportunities across vehicle segments reveal a complex interplay of governance, production costs, and infrastructure gaps. Addressing these requires a nuanced approach that leverages India’s strengths while learning from global best practices.

The governance and policy framework in India, though supported by schemes like FAME II, remains inconsistent across states, creating fragmentation in the EV market. Harmonizing these policies at a national level could significantly boost adoption by reducing regulatory barriers and fostering a unified market. Similarly, policies on import duties and incentivization can address high production costs, encouraging domestic manufacturers to scale operations and achieve economies of scale.

The production cost challenges, particularly in batteries and advanced EV components, underscore the importance of investing in local R&D and creating a robust manufacturing ecosystem. China’s dominance in EVs, driven by government-backed subsidies and a strong local supply chain, provides a blueprint for India. Targeted support for battery production and fostering collaboration between government and private sectors could significantly reduce costs while boosting innovation.

India’s strength in the two-wheeler market, as one of the largest adopters globally, is a positive indicator of its potential. However, the gaps in rural penetration, awareness, and infrastructure need immediate attention. Expanding the charging network through public-private partnerships, as demonstrated by California, can provide a scalable solution. Similarly, agricultural EV adoption, though nascent, presents immense promise. Electric tractors and farm equipment can deliver long-term savings and environmental benefits, despite their current higher TCO. Strategic subsidies and awareness campaigns targeted at rural areas could catalyse demand in this sector. Moreover, India must take inspiration from Norway’s comprehensive consumer-centric incentives and Germany’s R&D investments to bridge gaps in its EV ecosystem. A strong focus on research in battery technology, coupled with a consistent nationwide push for EV adoption, will position India as a global competitor in this space.

In summary, India’s path to EV leadership requires harmonizing policies, scaling local production, and investing in infrastructure and innovation. By adopting lessons from global EV leaders and tailoring them to local needs, India can overcome its challenges and unlock the full potential of electric vehicles across all sectors. A strategic and sustained effort will not only accelerate India’s transition to sustainable mobility but also establish it as a key player in the global EV market, driving economic growth and environmental stewardship.

The post EV takes the centre stage in India’s Net-Zero 2070 strategy appeared first on Avalon Consulting.

They emphasized how boosting women’s workforce participation is critical to India’s aspiration of becoming a developed nation by 2047. The article highlights successful regional and global examples, and calls for inclusive policies, skill development, and ecosystem support to unlock the full economic potential of gender parity.

Why is it important for India to improve labour force participation of women to meet its goals?

India, the world’s fifth-largest economy with a GDP of USD 4 trillion, aims to become a developed nation by 2047, a vision known as Viksit Bharat@2047. This ambitious goal encompasses achieving high GDP per capita, improving standards of living, and fostering sustainable development. Despite substantial economic growth since independence, India currently ranks 138^th globally in nominal GDP per capita and 129th in GDP per capita at purchasing power parity (PPP) as per the International Monetary Fund. A significant challenge in India’s development journey is its low women’s labour force participation. As of 2023, India’s overall labour force participation rate (LFPR) hovers around 30%, with only 33% of women aged 15 and above participating compared to 77% of men. This gender disparity is further highlighted in the Global Gender Gap Report where India’s ranking is ranked 129^th in 2024, underscoring the urgent need to address gender parity in the workforce.

Women in Leadership

Women have demonstrated remarkable composure and resilience in managing stressful situations, particularly in leadership roles.

Business Benefits of Gender Diversity

For business leaders, there are several qualities of women which are invaluable and can provide significant benefit to organisations such as:

In India, women’s participation in labour has grown significantly in recent years but still lags compared to developed nations. While women’s labour force participation rate (LFPR) has grown from 23% in 2018-19 to 33% in 2022-23 it is still much lower than males. Countries like Vietnam with a Female LFPR of 63% as against Male LFPR of 75%, along with developed nations, have higher women’s participation in their workforce.

Male dominance is often assumed in manufacturing due to the tough conditions – intense shopfloor work and remote locations. But the four southern states of Tamil Nadu, Karnataka, Andhra Pradesh, and Kerala account for about three-fourths (72%) of all women working in the manufacturing sector. Manipur also has a high gender balance (51% in 2019-20) among those working in its manufacturing sector. This shows that while there are challenges, there are also favourable examples that can be emulated.

Case Study: Tamil Nadu’s Success

Among the four southern states with high women participation, Tamil Nadu stands out as it employs almost half of the working women (~42%) in the manufacturing sector of India. Successive governments in Tamil Nadu have focused on both economic and human development, which has led to high levels of women participation. There are progressive policies and a supportive ecosystem for women such as:

Some companies are already adopting best practices from Tamil Nadu in other states to boost their productivity. For instance, Kirloskar Brothers’ plant in Coimbatore has been managed completely by women since 2011. Inspired by this success, the company has achieved a 35% women employee base in its Sanand plant in Gujarat.

Learning from Global Practices

India can also learn from its counterparts on how to improve women’s labour force participation by examining the policies of countries like Sweden, South Korea, and Brazil:

Moving Forward

There are several existing policies and programs in India which can help support women to join and continue in the workforce. However, the entire ecosystem needs to be well-supported by all parties involved. In terms of education and skill development schemes, which held a lot of promise, such as Beti Bachao Beti Padhao, have failed to reach the heights due to poor implementation and low fund utilization. The much-lauded Pradhan Mantri Kaushal Vikas Yojana (PMKVY) to train youths in industry-relevant skills to make them employable has poor placement statistics. However, there are encouraging signs as well, with childcare support being offered, extended maternity and paternity leaves, and workplace safety regulations being enforced and monitored diligently. As a result, the share of women-led startups has increased to 18% as of 2022 compared to 10% in 2017.

To realize the vision of Viksit Bharat 2047, India must continue to improve women’s labour force participation. A recent Barclays Research report stated that India could achieve an 8% GDP growth rate by ensuring that women account for more than half of the new workforce set to be created by 2030. Women’s participation in the labour force can drive innovation, improve household incomes, and is crucial for an equitable economy.

As India works towards becoming a developed nation by 2047, embracing gender inclusivity is not just a moral imperative but an economic necessity. For this, India needs to address cultural norms, enhance safety and infrastructure, implement supportive policies, and promote skill development. By learning from similar economies and from within the country and leveraging the combined efforts of the private sector and civil society with a commitment to gender equality, India can achieve the vision of Viksit Bharat 2047, creating a prosperous and inclusive future for all.

The post INDIA@2047 appeared first on Avalon Consulting.

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The post The Electric Vehicle Battery Lifecycle: A Strategic Opportunity for India appeared first on Avalon Consulting.

They explored the growing importance of customer experience (CX) in B2B markets, where complex transactions and long-term relationships require more than just competitive pricing.

Drawing from case studies across industries, they outlined six impactful practices—ranging from simplifying customer journeys to leveraging technology and personalization—to improve CX and drive loyalty. The authors argue that in today’s landscape, enhancing B2B CX is not just a differentiator but a necessity for sustainable growth.

In today’s competitive B2B landscape, customer experience (CX) has evolved from a differentiator to a fundamental expectation. Unlike B2C purchases, B2B transactions often involve multiple decision-makers and require long-term partnerships which make it complicated. A positive CX is crucial for building trust, encouraging loyalty, and translates into repeat business.

Based on our experience, we’ve identified several 6 practices to improve CX in B2B transactions:

1. Map the Maze and Become the Guide: Understanding the B2B Buyer Journey

B2B purchases are rarely straightforward & most buyers emphasize the importance of ease of doing business. Unlike B2C purchases, which can be completed in a few clicks or a quick store visit, B2B transactions are complex and often involve a lengthy process managed by key account managers alongside a challenging order process.

GE improved their B2B purchasing experience by upgrading the GE Healthcare Service Shop. Improvements included expanding inventory to $1.5 billion with 489K parts, integrating multi-vendor support, adding advanced search and reordering features. These enhancements enabled healthcare providers to efficiently search, compare, purchase online, check order statuses, and manage deliveries, offering a consumer-like experience. This upgrade eventually saved 300,000 customer minutes and ensured a 96% on-time delivery rate.

2. Speak Their Language: The Power of Clear Communication

Using technical jargon may impress your engineers, but it can confuse B2B customers. Imagine an investment firm bombarding clients with complex financial terms. A better approach is clear, concise communication tailored to the audience. Salesforce discovered that simplifying their product brochures and explainer videos significantly increased customer comprehension and satisfaction.

By using everyday language, businesses can build stronger relationships with their clients. When customers understand the information presented to them, they are more likely to trust the company and feel confident in their decisions. Companies that prioritize clear communication are often seen as more transparent and approachable setting them apart from competitors who rely on complex jargon.

3. Technology as a Teammate, Not a Taskmaster

Technology can streamline processes, automate tasks, and provide self-service options, but it should not replace human interaction entirely. HubSpot, a marketing software company, uses a customer portal for easy access to knowledge-based articles, tutorials, and FAQs – utilizing technology to resolve queries. However, they also ensure a dedicated customer success team is available for personalized guidance and troubleshooting.

Customers avoid churn when the support team can solve their problem during the first interaction. While AI chatbots can handle many support tasks, the human touch remains essential. Long-term and high-value customers especially prefer special attention and prompt resolutions, achievable when technology is used alongside human interaction to provide relevant and accurate information.

4. Speed is King and Queen: Streamline Processes for Efficiency

In the B2B landscape, speed and efficiency directly impact customer satisfaction & customers might switch if they face slow service. Streamlined processes ensure quicker responses, faster delivery times, and an overall better CX. Amazon Business excels in this area by leveraging advanced logistics and automated inventory management, providing rapid order fulfilment and real-time tracking, which significantly improved customer retention rates. Automatic order processing is another area for improvement since it reduces manual errors and accelerates the process. Dell’s automated order system has reduced processing times by 60%, leading to faster deliveries and happier customers.

5. Data-Driven Decisions: Leverage Customer Insights

In B2B, personalization is key to delivering exceptional customer experiences. Leveraging data-driven insights allows companies to tailor their offerings to meet the specific needs of each client. According to Salesforce, many B2B buyers expect personalized experiences that reflect their individual preferences and business needs.

Uses of data-driven decisions include

Use cases

6. From One-Size-Fits-All to One-on-One: Personalization is Key

B2B customers are not faceless entities; they are people with specific challenges, and they expect personalized content when using products and services. Adobe helped SalonCentric, a subsidiary of L’Oréal which provides salon products and owns salon stores, personalize their B2B offering.

Personalized offering for a B2B Customer

Case Study

Making B2B CX a Competitive Advantage

Customer experience for B2B companies sometimes is an afterthought, however, enhancing customer experience for B2B companies can have significant benefits, even if the results are not directly visible. Decreasing friction for customers by simplifying their experience through speed or communication while enriching the process with technology and efficiency will lead to greater loyalty and positive word of mouth. In times when product differentiation is difficult, ensuring that the experience of B2B customers is prioritized in the design of processes or products will help any company stand out.

The post Key Learnings from the B2B Customer Experience Journey: Improving CX is Now! appeared first on Avalon Consulting.