Enlightened Capitalists Focus on Customer Experience

5 Reasons to Focus on Customer Experience  (CX)happy-customer 300x300

  1. Increase Customer Lifetime Value (CLV)
  2. Decrease Customer Acquisition Cost (CAC)
  3. Support an increase in employee engagement
  4. Create brand advocates and greater loyalty
  5. Differentiate your company among competitors

CX Insights

  • In the age of the customer, executives don’t decide how customer-centric their companies are — customers do.  (Forrester Research Navigate the Future of Customer Service in 2014)
  • By 2020, customer experience will overtake price and product as the key brand differentiator. (Customers 2020 Report)
  • In a poll of enterprise contact centers by Deloitte, 82% view the customer experience as a competitive differentiator, and view accuracy and quality of information provided (82%), as well as ease of interaction (73%), as the most important attributes of a quality customer experience. (Deloitte’s 2013 Global Contact Center Survey Report)
  • In 2013, 62% of global consumers switched service providers due to poor customer service experiences, up 4% from last year.  (Accenture Global Consumer Pulse Survey)

Customer Experience Process

  1. Secret-shop in person, on the phone and online – you need to know what it’s like to be your customer
  2. Understand your culture – does it support a great customer experience?
  3. Obtain Board and C-suite commitment to improving customer experience
  4. Review your customer complaints / testimonials / online mentions – where are the gaps?
  5. Ask customers what their needs are.
  6. Allow customers to state their preferences for the communication they have with you
  7. Use a combination of high-tech and high-touch – high-tech to easily disseminate data collected about each customer and to create models for ideal customers and what they may need.  High-touch to personify the customer experience.  Strive for consistency – each and every time, the customer needs to know what they will experience – regardless of employee, regardless of location, regardless of time of day
  8. Ensure that all touch points are reliable – websites, phone, in-person, email etc.  They must all deliver a consistent experience based on your brand promise
  9. Eliminate silos within your company and promote cross-department communication as it relates to increasing the customer experience
  10. Build a community around your business and your business around a community
  11. Create a Voice of Customer (VOC) program – and always be reviewing social conversations, online reviews and testimonials, customer surveys, call center and customer service feedback, and feedback from tech-support and retail reps
  12. Realize it’s a game of measures that has meaning to your customers and employees – that there is not one “perfect” measure for customer experience

Customer Experience KPIs

The 3 main Customer Experience KPIs are Acquisition, Retention and Profit

Acquisition = Goal is Lower CAC–measure referrals, social mentions, efficiency of marketing campaigns, conversion rate

Retention = Goal is Increased CLV – measure average order value, average frequency of purchase, average length of “customer” (how long they are your customers), average resolution time for a complaint, cost of loyalty programs, and mark-downs for repeat purchases or to avoid loss of customer

Profit = Goal is Lower Cost to Service – measure revenue per employee, gross profit per employee

5 Steps to Success

Define – Define what objectives you want to achieve, what KPIs you want to impact, what touch points you are focusing on for this initiative (don’t attempt to do all at once!), prioritize your objectives, define the timing, identify resources, allocate budgets, identify return on investment expected

Discover – Map your customer’s journey from the moment they first hear about you through to repeat purchases.  Be sure to include customer experience perspective from employees in all departments – not just “customer service”.  Also be sure to include data from relationship surveys and transactional surveys of your customers

Design – Using best practices, discovery insight and your objectives, design a customer experience plan

Implement – Implement your plan, educate your employees, engage in two-way dialogues with employees, encourage two-way dialogues between customers and employees

Monitor – Monitor employee responses, customer reaction, customer learning, feedback, impact to KPIs and adjust as needed

Our Role

  1. Coordinate with your project managers, VOC team, senior leaders, management team, supervisors and trainers for requirements
  2. Define – what are your objectives? … Identify KPIs, create your baseline
  3. Discover – what is it really like to be your customer? … Coordinate with VOC team and test that VOC insight matches employee insight and customer reality
  4. Create your transition plan with input from all stakeholders
  5. Implement and support training, coaching, mentoring and facilitating
  6. Coordinate with your team to report on results and make appropriate adjustments
  7. Leave you with the insights and practices to continue to grow your customer experience

If you’d like to know more about how to transform your business or reinvent your life, contact Carol or check out how to work with Carol

What are some of the ways you focus on customer experience in your business?

Share your thoughts below in the comments …

 

About the Author

Carol Wain is the founder and leader of many brands which help leaders to create more profitable businesses that transform lives and positively impact our planet. She is an author, speaker, trusted advisor and mentor who won Entrepreneur of the Year in 2003.

Carol is passionate about reinventing business to become a force for good — positive businesses which respect, appreciate, encourage and support the right employees who voluntarily use their discretionary effort to bring the vision, purpose, platform, personality, passion and core values to life; businesses which create useful, meaningful and valuable products, services and experiences which improve the lives of people; and businesses which support communities, take a stand and have a higher purpose.

For more information visit CarolWain.com, EnlightenedCapitalist.org, and WorldIncentiveNetwork.com