Customer Experience (CX)
While frustrating and friction-filled customer experience still exists, no company sets out to deliver a poor customer experience. Over the past decade, many companies have undertaken customer experience initiatives and they regularly measure and monitor customer satisfaction scores, Net Promoter scores, and customer feedback. However, market leaders go a step further: they can directly connect customer experience – and the moments within a customer’s journey – to revenue growth. In short, market leaders have figured out how to monetize CX.
Market leaders anchor their strategies in the external market. To do this, they systematically collect information from the market, their customers, their prospects, and their partners. Market leaders know when and where to listen. Marker leaders also know how to transform their listening into actionable insights and guidance for marketing, sales, and customer success to drive revenue.
- What It Is – A disciplined process to stand-up “listening paths” to collect, categorize, and store data and to develop insights from customers, prospects, and partners. Some of these paths will exist at key moments within the customer journey, others will exist in a variety of areas such as a company’s website, social media, customer’s websites, digital scrapping of the company’s ecosystem (inclusive of the competition), etc.
- Why It’s Important – Real-world, real-time, data-based insights can be developed and shared throughout the company to form a shared fact-base to inform decision making. Actionable insights can be developed for sales, marketing, and customer success.
- How to Use It – In addition to measuring key customer interactions, companies should keep a “finger on the pulse” of customer trends and sentiment beyond their own walls. And these insights must be activated within the organization. An efficient market listening engine not only collects feedback, but it actively pushes that feedback back into the organization with insights and actionable guidance.
Customer Journey Map
Developing the right customer experience requires a deep understanding of the customer’s journey. Journey maps have become increasingly challenging and complex given the evolution to multi-channel and omni-channel customer engagement. We expect this challenge and complexity to increase in 2021.
- What It Is – A customer journey map depicts an end-to-end view of the customer’s journey with a given company. While customers will enter and exit at different points, the map depicts the complete journey: from first moments of engagement/awareness through order fulfilment, customer usage, technical support, etc. The map describes, at a high-level, both how the customer behaves and how the company reacts. Within the customer journey, key “moments of truth” are identified, that is the moments that matter most to the customer.
- Why It’s Important – Market leaders understand that getting the moments of truth right – removing friction and delighting customers – will cause their customers to have a favorable view of the entire experience. Said another way: moments of truth have an exponential impact on the entire customer journey.
- How to Use It – Journey maps provide companies with a greater understanding of their customers and how those customers behave. They also provide more understanding re: how the company is perceived by its customers. And for leading companies, journey maps provide a way to maximize the moments that drive revenue.
CX Episode Analysis
Companies cannot do everything at once. They must identify and prioritize the “moments of truth” that can create a memorable customer experience and differentiate the company in the market.
- What It Is – While the entire journey is important, the moments of truth must be examined in much more depth. An effective episode analysis takes an in-depth look at which personas are involved in a given stage, the key outcomes they want to achieve, and their emotions through the journey.
- Why It’s Important – Understanding the current state is necessary to develop the necessary process improvements.
- How to Use It – By understanding what customers expect from the interactions, the team can begin to design the processes that can provide those expectations.
CX Process Design
To optimize the customer journey, companies must optimize the underlying processes. CX often happens as the customer, company, or both are attempting to complete critical processes. Leading companies understand that poor underlying processes will inevitably drive poor customer experience. Therefore, market leaders don’t accept sub-optimal processes.
- What It Is – This is a customer-focused, human-centered design process. Rather than marginally optimizing existing sub-par processes, CX Process Design takes a more blank-page approach and re-imagines processes.
- Why It’s Important – CX Process Design can reduce costs while increasing customer satisfaction.
- How to Use It – Market leaders apply this selectively against key underlying processes and key moments of truth.
Continuous CX Measurement and Monetization
Customer experience, including satisfaction, sentiment, and likelihood to recommend (i.e., Net Promoter) must be tracked effectively.
- What It Is – Measurement of the customer experience is achieved by collecting feedback directly from customers and developing insights based on their feedback.
- Why It’s Important – With effective CX measurement, companies can understand the correlation/causation that customer experience broadly, and unique customer experiences more specifically, have on revenue growth. Companies can make more informed decisions re: customer experience investments and monetization.
- How to Use It – Effective customer metrics are cascaded throughout the organization so effective strategies can be developed and executed. Market leaders have a closed-loop approach, where they can connect CX improvements to revenue impact.