Establishing a Platform Approach to Digital Customer Engagement

Transcription

1 Establishing a Platform Approach to Digital Customer Engagement CSWeek 40 Chet Geschickter, Research Director Gartner Energy & Utilities Industries Research Gartner is a registered trademark of Gartner, Inc. or its affiliates. This publication may not be reproduced or distributed in any form without Gartner's prior written permission. If you are authorized to access this publication, your use of it is subject to the Usage Guidelines for Gartner Services posted on gartner.com. The information contained in this publication has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information and shall have no liability for errors, omissions or inadequacies in such information. This publication consists of the opinions of Gartner's research organization and should not be construed as statements of fact. The opinions expressed herein are subject to change without notice. Although Gartner research may include a discussion of related legal issues, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner is a public company, and its shareholders may include firms and funds that have financial interests in entities covered in Gartner research. Gartner's Board of Directors may include senior managers of these firms or funds. Gartner research is produced independently by its research organization without input or influence from these firms, funds or their managers. For further information on the independence and integrity of Gartner research, see "Guiding Principles on Independence and Objectivity."

2 True Story: Outage Customer Experience Gartner analyst Anne is working from home and experiences a power outage Anne calls the contact center and tells Bill that her power is out. Bill has no information about Susan s outage, but he tries to help by creating a service request In an effort to find information, Anne navigates to her utility s website. She finds an Outage Central page with an outage map, but her outage does not appear on the map. Anne tries to report her outage, but in order to do that, she needs account information that she does not have readily at hand. Frustrated, Anne finds the Twitter channel for her utility where she direct messages her utility with her address and outage complaint Within one minute, Anne gets a response that her utility knows about her outage, is working on restoration, and should have power back within one hour Twenty minutes later, Anne s power is restored Two days later, a work crew from the utility shows up at Anne s house to close out a work order 1

3 Customer Expectation Problem/Question Convenient Channel Easy Interaction Closure Immediate Notification Prompt Resolution 2

4 Service Reality IVR/Call Ctr Portal MMS EMMS Social CRM In a multi-channel digital world, we can no longer meet service expectations with transactional integration between stovepipe systems CIS OMS WMS 3

5 Planning Process Set Digital Customer Engagement Objectives Create a Shared Customer Experience Vision Identify Foundational Technologies Link Customer Engagement to Business Drivers 4

6 Digital Customer Engagement Objectives

7 Create a Mission Statement Guides direction over the long term Include executives in the process to improve alignment Use to sanity check projects, initiatives, reviews, etc. Filter noise, distractions Example: We provide our customers the tools and solutions that enable them to meet all their energy needs, wherever, whenever and however they want. We are trusted advisors and give our customers proactive advice to help them make smart energy choices. 6

8 Describe Engagement Objectives Mix of internally-focused and customer-facing Linkage is critical to success Internally Focused Achieve conservation targets Reduce cost to serve Increase staff retention Customer-Facing: "My Utility..." helps me conserve water to save me money, end drought restrictions and improve sustainability provides me ways to view and pay my bill, online and via my smart phone has friendly personnel that either fix problems right away, or get back to me with answers in the promised timeframe 7

9 Identify Metrics for Each Objective Metrics link engagement objectives to business outcomes. Example objective: Conserve water to address supply constraints: Metrics: Reduction in gallons used per day (GPD) per household Number of customers participating in water conservation educational program Number of specific conservation measures (low flow shower heads, etc.) X% improvement in compliance to drought measures 8

10 Envision Customer Experience

11 Techniques for Defining Customer Experience Segmentation groupings of similar customers and prospects based on descriptive data Personas people archetypes that describe individual segments Journey Maps activity flows that personas follow to satisfy their needs and achieve their goals 10

12 Segments Gartner defines a segment as: a group of people or other entities, like companies or stores, which share quantifiable attributes that matter to the marketer's business. Most marketers do not use a single approach to segmentation for all their efforts, but rather apply a number of different approaches for different business reasons. Source: How to Build Segments and Personas for Digital Marketing, Gartner, May,

13 Segmentation Schemas Retailer CVS uses five different schemas: Psychographic Lifestyles and attitudes toward managing family health, for brand and other awareness campaigns Behavioral Frequency of shopping by category and engagement with marketing tactics, for couponing and promotions Benefits Functional or emotional benefits (e.g., whiter teeth) for product advertising Geography Region and density for product mix and pricing Occasion Special occasions (e.g., birthdays) or purchase intervals for reminders and recognition 12

14 Example Segmentation Schema for a Utility Demographics: - customer type (residential, commercial type of establishment, industrial) - property characteristics - major systems, e.g. central AC, electric water heater, etc. Behavioral: - consumption and occupancy patterns - responses to past campaigns Psychographics: - attitudes toward energy and the environment e.g. save money, be green, limit involvement Energy Technology Adoption: - EV, smart thermostat, smart home solar panels 13

15 Personas Put a human face on a market segment Used in experience design, marketing messages Inputs to development of campaigns and channels including digital channels Can also be used for marketing strategy and product development 14

16 Source: DOE Office of Energy Efficiency and Renewable Energy 15

17 Customer Journey Maps Common approach used in people-centric design processes Highlight the gaps between an audience's (customer, employee, partner) expectations and perceptions of the actual experience at key steps along the journey Can be channeled into comprehensive experience redesign efforts or Can help a design team define a specific solution, of collection of solutions, from the perspective of a targeted audience. 16

18 How to Map Customer Journeys Map your customer and their journey, not your company's organization chart and its processes Include all channels Let the customer lead you, not you lead the customer Answer these: - Where am I relevant? - Where am I irrelevant? - Where can I be made relevant? - Where do I want the customer to end the journey? Source: Lono Creative 17

19 Identify Foundational Technologies

20 Gartner PACE Layering New Ideas Emerging Channels Better Ideas Greater Efficiency Systems of Innovation Connective Tissue Systems of Differentiation Connective Tissue Connective Tissue Connective Tissue Systems of Record Common Ideas Unique Processes 19

21 Characteristics of the Layers Attributes Business Processes Systems of Record Integrated, commoditized, stable. Systems of Differentiation Highly configurable and customizable. Systems of Innovation Experimental, ambiguous, dynamic, ad hoc. Pace of Change Lifetime Slow, infrequent, incremental (every 6 to 12 months). Moderate, more frequent (every 3 to 6 months). Rapid, very frequent, ad hoc (weekly, sometimes daily). 10+ years. 2 to 5 years. 3 to 12 months. Strategic Focus Standardization. Operational efficiency. Agility/Flexibility. Competitive differentiation. Disruptive thinking. Alternative business models. Stakeholders/ Ownership Funding High executive engagement. Low end-user engagement. Capex and opex. Annual budget. High LOB executive engagement. Moderate end-user engagement. Capex and opex. IT budget or departmental. Moderate executive engagement. High end-user engagement. Departmental opex. Innovation fund. 20

22 PACE Layer Example for Utilities Home Energy Management Electric Vehicle Charging Services and V2G Social for CRM Multisided Market Platform LMP Congestion Management IoT Real-Time Offer Engines Energy Efficiency Gamification Peer Consumption Benchmarking Outage Portal Web Self-Service CRM. Systems of Innovation Demand Response Management System Consumption Analytics Energy Efficiency Program Management ADMS APM Mobile Work Management Geographic Information Management (GIS) Outage Management System (OMS) ERP Systems of Differentiation Contact Center Meter Data Management Customer Information System (CIS) Systems of Record Enterprise Asset Management Distribution Design Tool Joint Pole Use 21

23 Outage Scenario Customer outage journey brings relevant technologies into focus Cross-channel continuous experience requires state management Social for CRM Mobile Apps Systems of Innovation Web Self-Service Outage Portal CRM. Mobile Work Management Systems of Differentiation Outage Management System (OMS) Geographic Information Management (GIS) Contact Center Customer Information System (CIS) Systems of Record Meter Data Management 22

24 PACE Layering Services View (Example) Emerging Channels Crowdsourcing Smart Machines IoT Systems of Innovation Connective Tissue Connective Tissue Established Interfaces Cross-Channel State Mgmt Collaboration Workflow Systems of Differentiation Connective Tissue Connective Tissue Customer Master Data Tariffs Outage Data Service Orders Systems of Record 23

25 Foundational Technologies Takeaways Apply PACE layering to prevent monolithic thinking, and getting trapped in system of record Use personas and customer journey to inspire outside-in thinking Apply creative approaches for context management in the face of channel switching Work with IT to determine services needed at each PACE layer Enlist IT enterprise architects to help design connective tissue between layers 24

26 Link Customer Engagement to Business Drivers

27 Types of Benefits Customer Engagement Can Deliver Voluntary program success: - Energy Efficiency - Demand Response - New Tariff Enrollments Customer goodwill / achievement of service quality indices Customer acquisition and retention (competitive markets) Expansion into new service lines Customer service cost reduction 26

28 Gartner Predicts By 2017, two-thirds of all customer service interactions will no longer require the support of a human intermediary. Current research shows that, in 2014, this was 55% of the interactions. Source: Why You Need to Rethink Your Customer Self-Service Strategy 27

29 The Elusive Utility Self-Service Objective Although utilities have reported a significant investment in self service channels, they still report that, on average, 63% of calls that are handled by call centers are billing- or account-maintenance-related Utility call centers are handling, on average, 2.25 calls per customer annually Out of those calls, 84.4% come from residential customers. Utilities have, on average, 1.76 customer service representatives per 10,000 customers The average annual call center cost per customer was reported to be $11.73 Source: Gartner, Survey Analysis: How Much Does it Cost to Serve Utility Customers? 28

30 The Fallacy of Call Center Statistics As we push routine transactions to self-service, a higher proportion of calls will be more complex Moving routine transactions to self-service will reduce call volume, but increase call duration This will create the illusion that CSRs are less efficient In reality, a mix of self-service tools and knowledge management for less common issues is needed 29

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32 Today: Transactional Metrics First call resolution Average call handle time Number of calls handled Number of issues resolved Average time to issue resolution Agent productivity 31

33 Tomorrow: Channels Drive Outcomes Self service resolutions - Number of questions answered online - Virtual agent only - Virtual agent + chat - Virtual agent + chat + call Conversions by channel Top converting agents Top call issues last month Percentage of top call issues moved to self-service Content produced and reused all channels 32

34 Where to Go Next With Customer Self-service Find the Delivery Gaps Track each person who has attempted self-service Measure completion rates of self-service Measure escalations Detail escalation paths. Example: Google, to community, to your website, to a chat, to an IVR, to a human Build content and services to prevent escalations 33

35 Questions? Gartner delivers the technology-related insight necessary for our clients to make the right decisions, every day.