The ability to adapt to change has long been regarded as a key skill for modern leaders to possess. Alas, research from Accenture suggests that in many sectors, customers and employees are changing at a faster pace than organizations themselves are able to.

“External factors — from economic to cultural, environmental and political — are affecting people more than ever before, making life more complicated and purchasing decisions more multi-faceted,” the researchers explain. “There is a growing divide between what consumers need and value and what businesses offer, creating a relevance gap.”

Staying relevant

The researchers quizzed over 25,000 consumers from 22 countries to try and understand whether any gap exists between what customers want and what businesses should be providing. The results suggest that around two-thirds expect companies to better understand and address their needs, even during times of disruption.

This seldom happens, however, as companies often deploy oversimplified segmentation. It’s a gap that can only really be addressed if companies begin to see customers as the multifaceted and complex beings they are.

This is by no means easy, as 61% of consumers said that their priorities were constantly changing as a result of external pressures. Indeed, they’re almost in a constant state of crisis management, with different priorities at different phases.

For instance, customers are prioritizing themselves while also wanting to effect change for others. Equally, they want to follow their personal values, but aren’t willing to compromise their financial values to do so. These seemingly paradoxical behaviors are being made at an unprecedented frequency, with consumers increasingly expecting to be able to chop and change what they want.

“Instead of seeing customers as just a pair of hands that decide when to reach for the wallet, they should be viewed as ever-changing, ever-evolving individuals deeply affected by a variety of external influences,” the researchers say. “Only by understanding these contexts will businesses have the right strategy to offer the most relevant solutions and help drive growth.”

Life-centric approach

While the report suggests that most organizations are struggling with this in some way, they nonetheless found that those able to take a more “life-centric approach” did better. This involves creating a bridge between the ever-changing lives of customers and the external forces that influence them on a daily basis.

“‘Customer-centric’ thinking took businesses a long way in creating memorable experiences for people,” Accenture explains. “But given the weight of disruption people are grappling with in their lives, we believe businesses need to evolve to not only stay relevant but to be useful to customers. ‘Life-centric’ businesses see customers differently; understand external forces affecting their decision-making and provide valuable solutions for their needs in a simple and profound way.”