Do I need a customer experience strategy? Here’s what the industry experts have found.
- 70% of buying experiences are based on how the customer feels they are being treated – McKinsey
- 55% of customers would pay extra to guarantee a better service – Defaqto research
- It costs 6 – 7 times more to acquire a new customer than retain an existing one – Bain & Company
- A customer is 4 times more likely to defect to a competitor if the problem is service related than price or product related – Bain & Company
- 96% of unhappy customers don’t complain, however 91% of those will simply leave and never come back – 1st Financial Training services
- 50% of consumers are likely to switch brands if a company doesn’t anticipate their needs – Salesforce
- 2018 will be the year of servicing consumer needs before they even arise. Brands leveraging the right data and analytics to deliver impactful customer experiences will rise to the top – Andy Yost, CMO, Gannett
Every business knows how important customers are. Without your customers, you would have no business. You not only need to have satisfied customers, but you must provide an experience that attracts new customers and keeps them coming back. That is the customer experience strategy.
Fundamentals of the Customer Experience Strategy:
Customer experience strategy is your opportunity to create an actionable plan to deliver a positive experience across all interactions your customers have with your business. Like every good approach to business, your strategy needs some fundamental considerations. Such as:
- Knowledge of your competition
- Understanding of the consumer and their journey
- Industry insight and market data
- A clear vision of your product or service offering
6 Key Areas of the Customer Experience:
Areas in which the customer demands quality are the areas that increase chances for a positive experience. These areas will drive new business in times of less quantity.
- Omnichannel Access – On what channels are you doing business and how?
- Easy Service Options – How is service offered? What channels are used? Is it easy? Is it always accessible?
- Convenient Buying Options – Is it easy to complete the buying process?
- Personalization – Do you provide individual personalization for the customer? Are you preserving the customer persona with data analytics? Do you understand their preferences?
- Effort – Is it easy or difficult for the customer regardless of channel? Do they move through the journey effortlessly?
- Omnichannel flexibility – Does behavior history and data follow the customer across all touchpoints and channels? Can customer switch channels effortlessly without losing content?
The Customer Journey and the Moment of Truth:
Understanding the components of the customer engagement allows you to see where we can change the “Moment of Truth” in the customer journey. That moment when the customer experience can lead to a positive or negative impression. The moment of truth is a critical opportunity for us to shape the journey and improve the customer experience. Leveraging technology such as data and speech analytics gives us insight for mapping and shaping the customer journey. Customer Journey Mapping is a key element of a great customer experience strategy.
Measuring and Tracking Success:
The true measurement of the customer experience is seen through industry KPIs, Key Performance Indicators. KPIs measure areas where we are succeeding or failing in our tactical approach. They are all tied together. For example, a good CES (Customer Effort Score) will mostly likely lead to a good CSat (Customer Satisfaction Score) which will most likely lead to a good NPS (Net Promoter Score). By having a comprehensive strategy to effect positive change in all areas of the customer experience you will drive up the value in your KPIs and boost business. Measuring your success or failures is a key element of a great customer experience strategy.
There is no doubt the Customer Experience is first and foremost on business’s radar. We’ve been speaking of the digital transformation for years. There are many components to that process. And, many businesses have implemented very robust systems to provide agent interaction with customers. Yet, many still have not taken that ultimate step of really analyzing and squeezing the most information out of that data. A well thought out Customer Experience Strategy helps to bring that all together. By having a comprehensive strategy that includes the fundamentals, considers the key areas of the customer experience journey, and continues to monitor and track that success, your business will be well on the way to providing a superior customer experience.
Don’t worry if this all sounds like a huge project. It starts with a plan. And, it starts with a solid partner. AVDS partners with industry leading technology companies to bring solutions to your complex business challenges. Our business is to make your company better at your business.
“When dealing with people, remember you are not dealing with creatures of logic, but creatures of emotion.” – Dale Carnegie