The Journey to
Exceptional Customer
Experience
Loras College Business Analytics Symposium
Vizability LLC
March 25, 2015
Agenda
• Background
• What is Customer
Experience (CX)?
• Why Analytics?
• Why CX?
• The Journey to CX
• Steps
• Tools
• CX Ecosystem
• Acceleration
• Culture
• Take Aways
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Whatever
your
customer
thinks
it is!
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
• “The sum of all experiences at various touch-points a customer has with a supplier of goods and/or services, over the duration of their relationship with that supplier.”
• An outside looking in approach your business
• Essential in creating any transformation
• Uncovering what delights the customer—or not
• Enabling the appropriate people, process, and technology
CX is:
Source: Wikipedia© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
WHAT ISN’T
MEASURED
ISN’T
IMPROVED
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Why Analytics?
43% of marketers report
they can’t get the information they
need
86% report that the information
they DO get doesn’t answer their
questions
Source: Domo, “The BI(G) Disappointment”© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Why Else?
Businesses need to define success in measurable terms
• Key Business Objectives (KBO)
• Key Performance Indicators (KPI)
Businesses need multiple measures
• Businesses usually have financial measures
• Businesses often have operational measures
• Businesses rarely have CX measures
Businesses fly blind without analytics
• No idea where the biggest opportunities are
• No idea how to prioritize
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Still Not Convinced?
Companies that extensively use customer
analytics are more likely to outperform the market
• 9x more likely to enjoy superior
customer loyalty
• 19x more likely to achieve
above-average profits
• 23x more likely to acquire
new customers
Source: McKinsey’s DataMatics 2013 Survey© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
THE
CUSTOMER
IS KINGAnd more powerful than ever
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Case Study 1
Situation:
• Lied about timeline
• Wrong cabinets (2x)
• Poor workmanship
• Lied about deliveries
• Stopped answering the phone
Result:
• Took my frustration to social media
• Within minutes I literally warned thousands of people about this company
Bathroom Remodel Company
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
The Numbers
“89% of consumers
began doing business
with/purchasing from a
competitor following a poor
customer experience.”
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
EVERY
TOUCHPOINT
IS A WIN
OR LOSS
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Case Study 2
Result: • Good
• Humorous pre-flight videos
• Luggage handling
• Held flights for us
• In-flight power
• In-flight Wi-Fi
• Ability to pay for duration of flight
Situation:
• Bad
• Kiosk inconsistencies
• Confusing process
• Bad Agent
• Multiple lines
• TSA (partner?)
• Double booked seat
Delta Airlines
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
The Numbers
“Only 1% of
consumers feel their
expectations for a good
CX are always met.”
Source: 2011 Customer Experience Impact Report© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
DO YOU
THINK? OR
DO YOU
KNOW?
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Case Study 3
Result:
• Sliced and diced data trying to find the “WHY”
• Discovered call center reps were using the site to get pricing
• Separated internal and external traffic
Situation:
• High abandons in shopping cart
• Nothing had changed on the site
• All other data was trending as expected
Telco
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
The Numbers
80% of executives
think they deliver
“excellent” customer
experience.
Source: Bain & Company Report: “Closing The Delivery Gap”© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
The Numbers
Only 8% of customers
think they deliver
“excellent” customer
experience.
Source: Bain & Company Report: “Closing The Delivery Gap”© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
NUMBERS
LIE
Sir Charles
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Case Study 4
Result:• Had to explain WHY
page views went down
• Reduced the steps in the checkout!
• Increased customer satisfaction
• The important metric was conversions increased by 8%!
• Who’s getting a raise?
Situation: • Web site redesign
• Page views was ONE metric on the CMO dashboard
• After launch page views went down 60%
• CMO started yelling
• Who’s getting fired?
Telco
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
The Numbers
88% of companies surveyed
said inaccurate data has a direct
impact on the bottom line.
12% say they lost revenue due
to bad data.
Source: Experian Data Quality - The Data Quality Benchmark Report 2015© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
ANALYTICS
SETTLE
ARGUMENTS
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Case Study 5
Result:
• ACTUAL email numbers were analyzed
• There were only five email responses
• All five were from one customer
• We threw a party!
Situation:
• Email campaign was sent out to 300K customers
• Help Desk reports “all these emails”
• VPs start yelling
• “What are we going to do???”
Internet Service Provider
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
The Numbers
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute. Source: McKinsey, Datamatics 2013
The Journey
It’s going to be an adventure!
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Steps
1. Explore
where is the business now (and what the business is)
2. Envision
where the business needs to be
3. Complete
a gap analysis
4. Complete
an impact analysis and prioritize projects
5. Get to work!
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Tools
• There isn’t one silver
bullet
• Each tool provides a
perspective like a
kaleidoscope
• Think like a physician
What hurts the most?
• Take an minimum viable
product (MVP) approach
• Take action and measure
the results
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Tool 1: Business Canvas
Source: Business Model Generation© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Tool 2: SMART Goals
Cascading
• Start with Mission | Vision | Values
• Define Key Business Objectives (KBOs)
• Define Key Performance Indicators (KPIs)
• Align the goals across functions
Specific | Measurable | Accountable | Realistic | Time-bound
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
DON’T
• GO CRAZY!
• HAVE ANALYSIS
PARALYSIS!
• HAVE A LIZARD
BRAIN! (Seth Godin)
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Alignment
• Trace goals on an
end-to-end basis
• Goals can’t conflict
• Goals need synergy
• Everyone has skin in
the game
• No victims
• No witnesses
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Tool 3:
Personas
• Picture
• Demographics(sex, age, income, marital status…)
• Technographics (preferences/devices, habits…)
• Psychographics (motivators, inhibitors…)
• Persuasive strategies (appeal to, focus on…)
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Tool 4:
What is a Customer Journey Map?
• Customer journey maps allow you to walk in your
customers’ shoes by traveling with them as they interact with your company.
• When based on sound research, they provide an accurate outside-in view, focusing on desired outcomes from the customer’s perspective.
• You’ll see what customer needs are at each interaction, how well you meet them, and where opportunities for improvement lay.
Source: Michael Hinshaw, Mcorp Consulting
Customer
Journey Map
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
e3
Acceleration
explore
envisio
n
execute
Business
Model[KBOs | KPIs]
Go To
Market
Model[Customer]
Operating
Model[Financial]
[Operating]
Product
Lifecycle
Model[Renewal]
ANALYTICS
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Culture
• Everyone must believe it’s their job
• ‘Yes and’ thinking (corporate & CX goals)
• No excuses(What can be done vs. what can’t)
• Time
• Money
• Resources / Skills
• Data
• Detractors are cancer and kill CX
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
MAKE SURE
EVERYONE IN
YOUR “BOAT”
IS ROWING AND
NOT DRILLING
HOLES WHEN
YOU’RE NOT
LOOKING.
KNOW YOUR
CIRCLES
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Companies Don’t
Care About You
“Brands don’t care about you…
Institutions don’t care about you either.
The only people who are able to care about you are people.
The question, then, is this institution owned and organized and run by people who will allow the people who work there to care?
Generally, the answer is ‘no’, because caring is unpredictable, hard to command and regulate and sometimes expensive in the short run.
What a shame.”
Source: Seth Godin’s Blog, March 21, 2015© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
KEEP
IN
MIND
• CX is not a project, it’s
a lifelong endeavor
• Silos / politics kill CX
• Detractors are cancer
• Trust = Speed(Stephen Covey, The Speed of Trust)
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
BUSINESSES
WITHOUT A
CX-CENTRIC
APPROACH
WILL DIE
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Take Aways
The hope of gain.
The payback.
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Increased Revenue
“86%of consumers
will pay up to 25% more
for a better customer
experience.”
Source: Right Now & Harris Interactive, 2011 Customer Experience Impact Report© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Increased Brand Loyalty
A study by Forrester shows a strong correlation between
customer experience scores and loyalty.
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Reduced Costs
Sprint reported a
33% reduction in
customer care coststhrough their customer experience initiatives.’
Source: Harvard Business Review, “The Value of Customer Experience, Quantified”, August 1, 2014 © 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Happy
Employees
‘Customer-centric companies
provide more meaningful
interaction with customers...
this leads to more satisfying
work which leads to agents
staying in their jobs longer’
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.Source: Aspect, “Four Reasons Why Proactive Customer Care Means Customer Loyalty”, 2014
Questions?
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Cathy Carlson
• LinkedIn –www.linkedin.com/in/cathycarlson1
• Twitter - @cathycarlson
Bruce Barchus
• LinkedIn -www.linkedin.com/in/brucebarchus
• Twitter - @bbarchus