The 2020 State of Business Communication Report...Digital sales reps and leaders leverage our peer...

2020 State of Business Communication Report

The

01Business Communication 2020 Report

The AA-ISP is a global community dedicated exclusively to advancing the profession of Inside/Digital Sales. Our mission is to help Inside/Digital sales reps and leaders leverage our peer community and resources through published content, local chapters, community research and benchmarking, global conferences, career development, and Inside/Digital Sales virtual training/certification programs for all levels.

Poly is the global communications company that powers authentic human collaboration. We believe in solutions that make life easier when they work together and with our partners’ services. Our desk phones, audio and video conferencing, headsets, software and services are a leading choice worldwide for every kind of workspace.

Nextiva is a business communications company that empowers human connection using our VoIP phone system with superpowers—cloud PBX combined with sales CRM, helpdesk ticketing software, contact management, live chat, SMS, video conferencing, intelligent automation, and email marketing. Get in touch with us here to learn about Nextiva plans and pricing for your business.


12020 Report Intro

42020 vs 2016:What changed in the State of Business Communication

2Communication Tools

3Communication Preference Styles

5Key Takeaways

Table of Contents

2020 State of BusinessCommunicationReport

01


The 2020 State ofBusiness Communication

Business communication has officially reached a tipping point in 2020.

The outbreak of new technology, new ways of working, and new customer preferences has created

83% of companies lost a customer, missed a major deadline, or terminated an employee due to a communication issue in 2019.

an epidemic of communication issues for the modern workplace.

Consider a few of the following trends and how they are impacting business communication.


For decades, the phone served as the primary gateway for customers to businesses.

That has changed in recent years—with new communication channels exploding in the form of email, website chat, and social media.

The rise of these new channels has proven to be a double-edged sword for businesses. On the one hand, it’s

easier to communicate with your customers than ever before. On the other hand, it’s more difficult to manage customer communications than it ever has been.

Businesses must now master and staff multiple communication channels. Messaging on all of these communication channels must be clear and consistent. Response times must be prompt.

of business professionals use at least three devices at work.

59%

Communication Channels are Proliferating


60%Communication continues to be fragmented

The fragmentation of business communication makes it extremely difficult to stay on top of customer communication and track conversations happening on multiple communication channels.

Teams must be coordinated and able to capture and store communication in one system

of record. This is no small feat. And it’s one instance where technology too often hinders businesses from achieving their desired outcomes

For example, a primary complaint of customers is having to repeat the same information to multiple people.

60% of business professionals face a communications crisis once per month.


Mobile Communication is on the Rise

Remote work is on the rise, as is mobile communication. This means that communication is occurring in more places than ever before.

Employees are no longer tied to their desk when they communicate with customers. The growth in mobile communication offers more challenges, such as the storage and tracking of customer

communication—which can be difficult to capture when employees are communicating from their mobile devices at home, for example.

All of this goes to a major problem—which is that communication is disorganized, happening across multiple channels, and now exists outside of the 9-to-5 realm.

88% of business professionals perform work communication via their mobile device at least once a week.


In this report, we uncovered these trends and more. Through our research, we discovered that many of these trends go hand-in-hand. Therefore, it is critical for businesses to future-proof their business communication, so to speak.

Moving business communications to the cloud is an initial move that smart companies can make to proactively address these issues. Platforms such as Nextiva empower businesses to manage all their customer communications—across all their devices—on one platform.

Read on for a deep dive into our research and applicable takeaways for your company.

Findings fromthe Report


The 2020 State ofBusiness Communication

The landscape of business communication has changed dramatically in recent years. The age of digital transformation has created a multitude of new communication channels with customers, prospects, and colleagues.

There are hundreds of ways to communicate. Voice calls, Slack channels, face-to-face. You name it. But which are the best for

38% of companies cheer remote work.DO YOU?

We’ll Talk About:

The impact of remote working

The best (and worst) communication tools

How workplaces prefer to communicate

The hidden cost of mismatched communication

Click the section above to jump to a specific section, or continue scrolling to read the full report.

organizations to use in 2020, and which should be left behind?

We wanted to find out exactly that.

In the summer of 2019, we asked 1,079 professionals to share their business communication experiences with us. The survey was executed by Nextiva, Poly, and AA-ISP.

We set out to uncover what communications tools and practices work well to get more work done efficiently. We discovered many surprising workplace communication trends that will help you scale your business in 2020.

02

Which communication tools are workplaces using?


59%Deskphones are do or dieOur data found that employees use a deskphone every day (59%)—or not at all (22%). Overall, 70% of employees use a deskphone at least once per week.

This goes to the changing nature of work. The communication tools being used today won’t be the same ones we’re using in five years. With more employees equipped with laptops and smartphones, they don’t necessarily

conduct all of their business interactions from their desk.

An increasing number of companies are simply choosing to go without them, with 22% of our survey respondents saying they never use a deskphone to communicate at work:

Every day

At least once per week

At least once per month

Less than once per month

Never

How frequently do you use a deskphone to communicate while at work?

22%

5%

3%

11%

59%


40%So what are deskphones being replaced with?Some 40% say they prefer other tools—like conference phones designed for meeting rooms—once per week, instead:

How frequently do you use a conference phone or meeting room spearkerphone to communicate while at work?

15% - Every day

15% - At least once per month

26% - At least once per week

21% - Less than once a month

23% - Never

13Business Communication 2020 Report opt

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pho

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company size

The larger the company, the more likely they are to use conference phones at least once per week.

The more people you need to communicate with in a meeting, the easier it is to use conference phones versus individual deskphones. There’s no need to cram people into a small office; you can opt for a conference phone to keep everyone on your team in the same room—and more importantly, on the same page.


Mobile is popular, especially with leadership roles

How frequently do you use a mobile phone to communicate while at work?

Never

Less than once per month

At least once per month

Less than once per week

Every day

We know that an increasing number of companies are allowing their staff to work remotely. This shift to remote working seems to be impacting the devices workers are using to communicate. Since remote workers are rarely at their desk to take calls from traditional

in-office handsets, people are more likely to use a mobile device at least once per week than they are deskphones. In fact, 87% of people use a mobile phone to communicate at work at least once per week.

6%

3%

4%

13%

74%


Be MobileStay in the loopStaff on your front line tend to be tethered to their desks. However, the latest wave of technology advancement helps individual contributors to be as autonomous and mobile as their managers (and their leadership) because there are productivity gains to be had from flexible working schedules.

Mobile allows your staff to stay in the loop while they’re on the go. Whether they’re commuting with a client, hosting a meeting or attending an international conference, so long as their mobile phone is in their pocket, they’re able to be contacted when they’re out of the office.

That being said, it’s interesting to note that there’s a decline in daily mobile usage as you move down the organizational ladder.


Phone PopularityThe popularity and prevalence of mobile phones in the modern workforce has created a new mandate for business leaders. If you don’t have top-notch mobile communication tools, you’re failing to provide your employees with the best possible work experience.

That resource gap could have a detrimental effect on their productivity, and negatively impact the quality of work they provide to the company—from everyone to front-of-line staff to C-level managers.

Speaking of staff being constantly on-the-go, it’s worth noting that over half of companies have matured from on-premises and PBX telephony providers. Tools like VoIP, office suites, and mobile rule the day, and are beating traditional communication methods to the

post when it comes to usage in the workplace.

Why? Because people want business phone service wherever they are. If they don’t have face-to-face access to their employees when they’re working remotely, they’re unable to do their job effectively.


prevalent phone

systemsLuckily, the three most prevalent phone systems deliver that. Mobile phone service is the most prevalent, followed by office suite applications, then VoIP.

Businesses are switching from traditional telecom and on-site phone systems to cloud, mobile, and applications.

Traditional telecommunications provider(Ex: AT&T, CenturyLink)

An internet-based voice service, including VoIP or Unified Communications(Ex. Nextiva)

An on-premises phone system or hardware (Ex: Avaya, Shoretel, Mitel)

50% use

Office suite applications(Ex: Microsoft / Skype, Google)

Mobile phone service provider (Ex: AT&T, Verizon, Sprint)

34% use

69% use

76% use

88% use


59% use three devices at work

Think about how many tools are in your communication tool stack. You might have a deskphone, cell phone, and desktop app (like Slack) to stay up to date with work.

In fact, if you have all three, you’re one of the 59% of workplaces using more than one device.

Furthermore, 30% of people said they use both their cell phone and a desktop app to communicate

at work every single day. And if that wasn’t surprising enough, a staggering 56.7% of respondents use both a desk phone and a cell phone every day.

(In practice, that might look like answering a call from your boss on your cell phone while you’re working remotely, yet using a desktop project management tool like Trello to communicate with coworkers.)


Solving traditional business problems

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Digital transformation means solving traditional business problems using technology, namely cloud-based applications. This shift impacts the way workplaces

communicate internally and externally. More than half of survey respondents indicated they use the following solutions to interact with customers:


Over 38% Of Companies Have Staff That

Remotely Work From HomeEvery workplace should focus on communication—especially

those with remote employees.

Why? Because regardless of where your employees work, if your workforce isn’t communicating regularly,

they won’t be on the same page.

And, since you’re not able to keep an eye on what they’re working on, it might be too late to stop your staff from

working on something that isn’t quite right.


The prevailing trend we’ve found from our survey is that an increasing amount of time is being spent working remotely, or in some mobile format. In fact, over 29% of companies have staff that remotely work from home, with a further 20% catering to employees working on-the-go.

Remote, including work from home

Mobile, including business travel

In office

workremote

29%

20%

51%


Notice how chat isn’t mentioned? Our survey discovered that the majority of companies are missing an opportunity to engage with customers via live chat or a chat bot. So much so, that they’re more likely to text than chat by a 3:1 ratio.

We see live chat as one of the communication methods most ripe for growth in 2020 and beyond. People can easily decline a call if they’re busy; outbound emails can get lost in the 269 billion that are sent every day. Live chat, however, offers a chance for companies to speak in real time—without too much disruption in their day.

Another solution missing on the list of top workplace communication devices is a survey platform; fewer than 40% of businesses use one. Yet without routinely asking for customer feedback, how can companies identify (and fix) their weaknesses?

Regardless of which tools you’ve got in your stack, you’ll need to

use them in harmony to get the most value. Integrations are your best friend, here. It’s inherently beneficial to use integrations to route data from the multiple communication devices you are using to one central hub.

(For example, it’s inefficient to communicate with some employees via text message, and others via your CRM… Then forgetting who you’ve told what to. Integrations, however, merge all of your communication into one central place.)


This data goes to an important point about how businesses should evaluate and purchase communication tools for their teams. Most decision-making processes evaluate the service, package, and hardware when making purchase decisions about business communication tools.

The reality is: companies should be placing higher emphasis on the functionality, usability, and quality of the platforms they are considering adopting for their business. Make sure your communication tools of choice have the ability to integrate with other tools for maximum usage.

55% use Customer Relationship Management Software

40% use Customer Survey Software

28% use Website Live Chat

15% use Website Chatbot

77% use Outbound EmailAppointment reminders, customer newsletters, etc

48% use Helpdesk/TicketingFor receipt & management of customer service requests

72% use Text MessagesSMS for reminders, updates, etc

87% use Phone Service

51% use Secure Customer PortalFor direct engagement through your website.

The Vast Majority of Companies Invest In Phone, Email, and Text Messaging Technology


Companies are using more devices (and more channels) than ever before to communicate with their customers.

While there are benefits to this approach, companies are struggling to organize and coordinate their communication.

Rather than adopting multiple communication platforms, companies should consolidate their communication systems.

Where possible, companies should also sync their communication platforms with their system of record.

Recommended Actions• Consolidate your communication platforms.

• Sync your communication platforms with your CRM.

• Sync your devices to your business phone number.

keytakeaways

03

Communication preference styles


How do we communicate

There’s nothing better than face-time, right? It seems workplaces live by that concept. People still opt for in-person communication as their preferred way to stay connected regardless of age.

What about remote workers? They don’t often have the luxury of talking in-person with colleagues.

Unsurprisingly, remote staff are more inclined to communicate with their boss via email or phone call than their counterparts in the office, who have the opportunity to grab their boss for a quick chat as they pass them in the corridor.

Remote staff are more inclined to communicate with their boss via email or phone call


New Communication Methods Are EmergingThough employees still prefer face-to-face communication the most.

Our survey respondents showed a preference for traditional communication methods such as face-to-face, phone, and email over newer communication methods such as project management tools.

Smart companies will collaborate with their employees to enhance

understanding and adoption of new communication technologies.

Yet, technologies such as video conferencing and PM tools are on pace to grow in popularity as remote work and workflow integrations with email and phone systems become more prevalent.


21%Project management tools? The jury’s still outIt’s also interesting to note that project management tools are leading-edge apps that a lot of people still haven’t adopted, figured out, or optimized. Just over 21% said tools like Slack or Asana are their least favorite tool:

13% - Email

13% - Phone Call

5% - Face–to–Face

24% - Video Call

13% - Chat/Instant Message

11% - SMS/Text Message

21% - Project Management Tool

The jury is still out on whether project management tools should have a designated spot in your business communications stack. It seems like employees are less enthusiastic about using them, with the vast majority of respondents saying they’re indifferent.

Which of the following is your least favorite method of communication at work?


5%Earlier in 2019That being said, the data skews slightly positive. Over 18% of respondents say they like them because they make communication easier, but still have flaws. Conversely, only 5% of respondents say they wouldn’t be able to work without them:

What is your position on team collaboration tools such as Slack, Asana, G–Suite, etc?

6% - Hate them; super distracting and interruptive

60% - Neutral; I am indifferent

10% - Dislike them; mostly just noise, but valuable in some cases

19% - Like them; They make communication easier, but still have flaws

5% - Love them; I would not be able to work without them

Earlier in 2019, it was reported that Slack had around ten million daily active users… Yet just 85,000 of those were paying for the premium version of their software. That reflects our trend; although the app is available for teams to communicate through, they’re still not the first port of call for most businesses.


Open office layout vs. digital distraction

If you struggle with digital distraction, you are not alone. Distraction and multitasking are far more common communication issues than anything else. Over 27% of respondents struggle with it at least once per week—nearly three times as much as the next highest communication issue.

How many times have you signed into your computer started work at 8 am, only to fall into a YouTube rabbit hole and find yourself watching music videos at 9 am?

One of the main reasons why distraction is rife is due to the open office layout. Cram together hundreds of people in an office—all of which are typing or talking—and it’s easy to see why people struggle to concentrate at their desks.


Dropping an important call due to technical issues

Video conference calls that fail

Missed information due to distractions or multitasking

Hitting send too soon on an email

Forgetting to hit send on an important email

Seldom (once per year)Often (once per week)

Occasionally (once per month)Consistently (daily)

It’s this reason why Brian Solis recommends to turn the clock back on open offices: “When possible, I encourage managers to provide people not just with cubicles, but with offices (whether it’s individual offices if possible, or shared quiet rooms). The ability to close a door makes a big difference.”

Of course, it may be too late for some companies to turn back the clock—and there are many pros to open offices as well. Companies should also consider additional solutions such as huddle spaces or quiet rooms, as well as technology solutions like noise-cancelling headsets.

58%32%

28%

43%

34%

26%

8%

6%

21%

8%

6%

2%

1%

7%

1%

1%

65%

29%

57%

67%


53% say email is a black hole for important messages

Every week, 16% of workers miss information shared in emails, and 6% say they’re overwhelmed by the number of emails in their inbox, which often leads them to miss important things.

Earlier, we mentioned how email is still an extremely popular communication method for workplaces. Yet it isn’t foolproof; 53% of respondents still miss

important information at least once a month.

Why? Inboxes can be a crowded place. The average office worker receives 121 emails per day—not to mention the barrage of phone calls and text messages they’ll need to respond to because they’re using several devices.

30%What does that missed information actually mean for your business? Skipping past important information doesn’t only result in angry coworkers, but harms your entire customer experience.

One in three companies have lost a customer due to internal communication issues, and a further 30% of business professionals have missed an important deadline.

33% - Lost a customer due to communication issues

30% - Missed an important deadline due to communication issues

10% - Lost a job due to communication issues

10% - Had colleagues quit their job due to communication issues

17% - Other

In the past year, businesses have experienced the following:

Poor communication costs (big) money


If that wasn’t bad enough, these crises are more common than you think.

Our report found that 60% of business professionals face a crisis at least once a month due to communication issues, with a staggering 14% saying they occur weekly:

36% - Monthly

7% - Daily

14% - Weekly

40% - Never

3% - Multiple times a day

How often do you face communication issues or breakdowns at work with customers, colleagues, or teams that creates a short-term communication crisis?

??

60%


The increase in communication channels and devices has created additional complexity in customer communications.

Companies must now be prepared to engage customers over multiple channels without missing a beat.

Moreover, in order to communicate better externally, companies must improve their internal communications first.

Companies that communicate the best internally will have the greatest success communicating externally.

Recommended Actions• Empower employees to communicate on-the-go.

• Train them to communicate over multiple channels (phone, email, chat).

• Find out which communication channels your customers and employees prefer the most.

keytakeaways

04

2020 vs. 2016: What’s changed in the State of Business Communication?


2020 vs. 2016:What’s changed in the State of Business Communication?

We compared the results of the 2020 State of Business Communication report to the 2016 State of Business Communication report. We found three major trends affecting business communications over the last four years.

Lost a customer due to a communications issue

202033%

25%2016

Missed a deadline due to a communications issue

202030%

23%2016

Miss important information in emails weekly

202016%

28%2016

Face-to-face is still the number one method of communication. Email has overtaken phone as the number two communication method. New

technologies still lag way behind.

Face-to-face

40%

31%

15%

14%

Email

Phone

New technology Project management tools, video

conferencing, and social media

Communications Problems Are On the Rise

Workers Are Getting Better With Email

Communication Preferences Have

Changed


Communications issues have increased across the board since 2016. Despite the growth in new technology, many businesses are struggling to get a grip on how best to use the new systems at their disposal.

One improvement has occurred in the area of email communication, with our results showing that professionals are becoming more comfortable with using email to communicate.

Even with the advent of new technology, face-to-face communication still rules the day. Business professionals still prefer face-to-face over email and phone as their go-to communications preference.

Recommended Actions• Create internal and external communication strategies.

• Identify and kill your communication silos where possible.

• Get frequent feedback from employees and customers on company communications.

keytakeaways

Final Takeaways

05

Let’s go build your most productive workforce

The trends and statistics we’ve shared here are bound to change the way you think about business communication.

38% of companies have staff that work remotely from home.

87% of people use a mobile phone to communicate at work at least once per week.

59% of people use at least three devices at work.

57% of people use both a desk-phone and a cell phone every day.

28% of people struggle with digital distraction and multi-tasking at least once per week.

33% of companies have lost a customer due to internal communication issues.

60% of people face a crisis at least once a month due to communication issues.

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