The Social Media & Marketing Contact Center Business
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1 Technology s Affect on: Delivering Great Customer Experiences via Agents & The Bo?om- Line By Dr. Natalie Petouhoff on Twi9er
2 Dr. Natalie s Background Analyst Rankings: PWC Management Consultant Chief Strategist for Social Media & Digital Communications PR & Marketing Agency Top Forrester Customer Service, Social Media, CRM Analyst Instructor at Center for Entertainment, Media and Sports Summer Institutes at UCLA Anderson
3
4 Write Books or Chapters In OPB
5 The Study The Results The Agenda How to Apply Findings to Your Contact Center
6 The Research Study Determine the direct affect of technology on agents
7 THE RESULTS: What We Found Agent Technology Can increase operaeonal costs Has a direct affect on customer churn & sales The eight reasons why these condieons exist Steps to take to ensure the technology is supporeng your agent s ability to deliver their best customer experience
8 What s New? Most Contact Centers SEll seen as a cost center But for this hour, consider that a contact center is revenue center Even if it doesn t answer one direct sales call Consider that perhaps Service Drivesà Sales, PR, MarkeEng, Engineering, Manufacturing, Supply Chain
9 The Contact Centers is the Most Customer- facing Department It always has been And even before social media it had a direct influence on future and present sales But with social media, the contact center ma9ers more now than ever And it s easier to prove Why?
10 It s always been true The Contact Center is Like a Canary in Coal Mine
11 Most everything the business needs to know What s working What s not working What would be be9er if Can be seen by evaluating customer conversations But it s been difficult to get senior management to understand that
12 But Social Media has Changed the Game In the Contact Center s Favor The difference? We call it the Witness Factor!
13 Go Back In Time People Were PredicTng This There would be A place in 3me Where the Customer s voice Employee s voice Would start to mean something And there would be an enabling technology That is web 2.0 social media We are here now This is your opportunity
14 GO BACK FURTHER MANY SCHOLARS HAD ADVOCATED TO LISTEN TO CUSTOMERS, EMPLOYEES
15 GO BACK FURTHER MANY SCHOLARS HAD ADVOCATED TO LISTEN TO CUSTOMERS, EMPLOYEES Integrating That Feedback Back Into Products & Services Means you d have better products, services, a better company, more engaged employees & more loyal customers
16 Today Customer s Post Comments online On review sites like Yelp, Amazon On Facebook On Twi9er In Forums & CommuniEes Just because a company is not listening online, doesn t mean that customer s are not poseng What should you do about that? Come to my session tomorrow: MulE- Channel Customer Service at 11:45 AM 7 Steps to IntegraEng TradiEonal with Social
17 Word- of- mouth in social media tends to be very direct & authenec Most everything the business needs to know What s working What s not working What would be be9er if Can be seen in social networks
18 Witness Factor Describes the idea that with social media customer feedback is now public And like cave paintings, it s permanent for millions of people to see, forever
19 % complain 9% respond to complainer 90% read but don t post Most of your customers are in the 90%
20 Social Customer Service: Not only good at providing mission critical information to the company But its public nature is helping executives understand why the Contact Center is so important Canaries in Coal Mine
21 Remember the book: Who Moved My Cheese? Social Media is not going away It s not about: If the cheese is going to move Or where it s moving It s what are you doing about it Do you want to learn about it now? Or be in a reactive, PR nightmare?
22 But Social Media has Changed the Game In the Contact Center s Favor The difference? We call it the Witness Factor!
23 Go Back In Time People Were PredicTng This There would be A place in 3me Where the Customer s voice Employee s voice Would start to mean something And there would be an enabling technology That is web 2.0 social media We are here now This is your opportunity
24 GO BACK FURTHER MANY SCHOLARS HAD ADVOCATED TO LISTEN TO CUSTOMERS, EMPLOYEES
25 GO BACK FURTHER MANY SCHOLARS HAD ADVOCATED TO LISTEN TO CUSTOMERS, EMPLOYEES Integrating That Feedback Back Into Products & Services Means you d have better products, services, a better company, more engaged employees & more loyal customers
26 Today Customer s Post Comments online On review sites like Yelp, Amazon On Facebook On Twi9er In Forums & CommuniEes Just because a company is not listening online, doesn t mean that customer s are not poseng What should you do about that? Come to my session tomorrow: MulE- Channel Customer Service at 11:45 AM 7 Steps to IntegraEng TradiEonal with Social
27 Word- of- mouth in social media tends to be very direct & authenec Most everything the business needs to know What s working What s not working What would be be9er if Can be seen in social networks
28 Witness Factor Describes the idea that with social media customer feedback is now public And like cave paintings, it s permanent for millions of people to see, forever
29 % complain 9% respond to complainer 90% read but don t post Most of your customers are in the 90%
30 Social Customer Service: Not only good at providing mission critical information to the company But its public nature is helping executives understand why the Contact Center is so important Canaries in Coal Mine
31 Remember the book: Who Moved My Cheese? Social Media is not going away It s not about: If the cheese is going to move Or where it s moving It s what are you doing about it Do you want to learn about it now? Or be in a reactive, PR nightmare?
32 Our Study Looked At Agent ProducTvity & Costs: A Siloed Channel Approach Agent Desktop Not IntegraEng All Channels Inaccurate Knowledge Management Databases Customer LifeTme Value & Revenue: Reducing Customer Churn Rates & Increasing Sales Immediate Responses to NegaEve Word- of- Mouth ProacEve Social Customer Engagement & PosiEve Word- of- Mouth Agent AVtudes: Drive A9riEon Poor Customer Experiences
33 3 Case Studies Case Study 1: $60M private, online community & subscripeon- based services company providing sales & support Case Study 2: $700M publically- traded, consumer electronics company, providing sales & tech support Case Study 3: $31B publically- traded telecommunicaeons company, providing technical consumer support
34 Case Study #1: Company Background 60 contact center agents QuesEons: Technical how to & Billing & product info Agent s measured on ReducEon of churn / subscripeon saves Quality of interaceon Contact Center Management System Provided by outsourced vendor Highly customized Lack of desktop integraeon: Chat Social Media
35 Case Study #2: Company Background 75 agents QuesEons: Technical how to on 2500 SKUs B2B and B2C Agent s measured on Quality of interaceon Technical proficiency Contact Center Management System SaaS implemented 1 year ago, with some customizaeons Lack of desktop integraeon: Chat Social Media
36 Case Study #3: Company Background 1005 agents in this center; 17,000 Agents total 49% Agent A9riEon QuesEons: Technical how to, product informaeon Social Media posts (done by hand) Agent s measured on: ReducEon of subscriber churn or subscripeon saves Quality of contact CRM system 10 year old system, highly customized Lack of desktop integraeon: Chat Social Media
37 Case Study #3: Company Background 1005 agents in this center; 17,000 Agents total 49% Agent A9riEon QuesEons: Technical how to, product informaeon Social Media posts (done by hand) Agent s measured on: ReducEon of subscriber churn or subscripeon saves Quality of contact CRM system 10 year old system, highly customized Lack of desktop integraeon: Chat Social Media
38 We Did Time- MoEon Studies to Look at: Agent ProducTvity & Costs: A Siloed Channel Approach Agent Desktop Not IntegraEng All Channels Inaccurate Knowledge Management Databases
39 The Time MoEon Analysis of Agents using current agent desktop ProducEvity loss:
40 Benefits Of Improving Agent s Technology Reduced agent frustraton Increased agent productvity Increased FCR (First Contact ResoluTon) Increased positve word- of- mouth Increased CLTV (Customer LifeTme Value) Reduced costs and increased revenue
41 Loss in ProducEvity due to Too many screens open at once; Eme toggling between screens System very slow Having to cut and paste informaeon from one system to another Knowledge bases had poor search; difficult to find correct answers Long handle Emes Oqen not able to resolve the issue the first Eme Didn t have chat or co- browse or it integrated to the desktop
42 Loss in ProducEvity due to Tweets, Facebook posts not integrated to the agent desktop- doing it by hand Go out to company s Twi9er handle Look for comments Cut and paste the comment from Twi9er back into the contact center management system Try to idenefy if the comment was made by a customer Direct Message the customer SomeEmes can t match social media idenety to customer record Search for answer in the knowledge base - can t find the answer.
43 The Cost of Lost ProducEvity / Year ProducTvity Metric Phone / chat Social Media FCR Agent A9riEon Case Study #1 - $236,040 Case Study #2 Case Study #3 - $542,072 - $4,440,800
44 Our Study Looked At Customer LifeTme Value & Revenue: Reducing Customer Churn Rates & Increasing Sales Immediate Responses to NegaEve Word- of- Mouth ProacEve Social Customer Engagement & PosiEve Word- of- Mouth
45 NegaEve Word- of- Mouth Leads to Customer Churn- especially online When customers see other customer s negaeve posts, they believe other customers more than the company s AdverEsing and MarkeEng. Edelman and Nielsen
46 By Taking A ProacTve AcTon In Social Media And IntegraTng Social Media Into the Agent Desktop Respond to negaeve comments and Turn them around Reduce negaeve word- of- mouth And reduce customer churn Metric Reducing Customer Churn / NegaEve WOM Case Study #1 Case Study #2 Case Study #3 $245,592 $960,000 $640,000 Nega&ve WOM can reduce a company s market share by 20%. McKinsey
47 Increased Incremental Revenue / Year A high- impact recommenda&on from a trusted friend conveying a relevant message, is up to 50X more likely to trigger a purchase than a low- impact recommenda&on. Metric Increasing CLTV/ ProacEve/ PosiEve WOM Case Study #1 Case Study #2 Case Study #3 $544,000 $719,000 $3,180,000 Word- of- mouth is the primary factor behind 20 to 50% of all purchasing decisions. - - McKinsey
48 Why Word of Mouth Ma9ers Sales directly ajributable to the proac&ve and posi&ve word- of- mouth for the iphone outstripped those ajributable to Apple s paid marke&ng fold. - - McKinsey h9p://vandymkeng.typepad.com/files/ mckinsey- a- new- way- to- measure- word- of- mouth.pdf
49 Technology s Affect On the Bo9om- line The change in net profit contributon Metric Case Study #1 Case Study #2 Case Study #3 Part 1: Agent ProducEvity $236,040 $542,072 $4,440,800 Part 2: Customer Churn/ Customer LifeEme Value $789,592 $1,679,000 $3,820,000
50 Technology s Affect On the Bo9om- line The change in net profit contributon Metric Case Study #1 Case Study #2 Case Study #3 Part 1: Agent ProducEvity $236,040 $542,072 $4,440,800 Part 2: Customer Churn/ Customer LifeEme Value $789,592 $1,679,000 $3,820,000 TOTAL $1,025,632 $2,232,592 $9,240,800
51 Our Study Looked At Agent AVtudes: Drive A9riEon Poor Customer Experiences
52 What Agent s Told Us The Results Having many screens open, remembering different login passwords and toggling back and forth becomes tedious, &resome and nega&vely affects our aptude & our work
53 What Agent s Told Us The Results Less of us would leave if the technology we use everyday was easier to use; our job would be less repe&&ve and less stressful
54 What Agent s Told Us The Results We know that we can not only convert poten&al customers into customers but how we interact with customers drive sales But the company has to understand this and give us the right tools
55 What Agent s Told Us The Results I m a customer. I know that when I see nega&ve posts, it discourages me from buying stuff Our company has to start paying ajen&on to social media
56 WHY IS CHANGE DIFFICULT? 1. OrganizaTonal PoliTcs Lack of cross- funceonal collaboraeon MarkeEng or PR department owns the Facebook page and/or all social channels
57 WHY IS CHANGE DIFFICULT? 1. OrganizaTonal PoliTcs Lack of cross- funceonal collaboraeon MarkeEng or PR department owns the Facebook page and/or all social channels 2. Ability to Adopt to Change Changing current methods of operaeng are dauneng
58 WHY IS CHANGE DIFFICULT? 1. OrganizaTonal PoliTcs Lack of cross- funceonal collaboraeon MarkeEng or PR department owns the Facebook page and/or all social channels 2. Ability to Adopt to Change Changing current methods of operaeng are dauneng 3. Training Making changes to how agents & outsourced providers conduct tasks is Eme consuming Siloed systems increase training costs 3.
59 WHY IS CHANGE DIFFICULT? OrganizaTonal PoliTcs Lack of cross- funceonal collaboraeon MarkeEng or PR department owns the Facebook page and/or all social channels Ability to Adopt to Change Changing current methods of operaeng can be dauneng Training Making changes to how agents & outsourced providers conduct tasks is Eme consuming Siloed systems increase training costs 4. Outsourcing Vendor Alignment Reliance on an outsourced provider s platorm for soqware & hardware
60 WHY IS CHANGE DIFFICULT? 5. Legacy Systems Large rip and replace/integraeon decisions can take Eme to approve within IT and the company
61 WHY IS CHANGE DIFFICULT? 5. Legacy Systems Large rip and replace/integraeon decisions can take Eme to approve within IT and the company 6. Too Many Choices ProliferaEon of soqware choices w/varying features, funceons and maturity
62 WHY IS CHANGE DIFFICULT? 5. Legacy Systems Large rip and replace/integraeon decisions can take Eme to approve within IT and the company 6. Too Many Choices ProliferaEon of soqware choices w/varying features, funceons and maturity 7. Recent Soiware Investments Are not state- of- the- art, may be already outdated or not easily extensible
63 WHY IS CHANGE DIFFICULT? 5. Legacy Systems Large rip and replace/integraeon decisions can take Eme to approve within IT and the company 6. Too Many Choices ProliferaEon of soqware choices w/varying features, funceons and maturity 7. Recent Soqware Investments Are not state- of- the- art, may be already outdated or not easily extensible 8. Need the Business Case OperaEonal costs and topline revenue impact of making changes has not been quanefied in terms of benefits and ROI to the company
64 PracTcal Steps To Take Review the case studies in depth Get execueve buy- in to benchmark your organizaeon Get outside help to benchmark your content and bolster credibility Review the analysis Create the business case for change to people, process and technology Present it to execueves and get approval Create a short- and long- term plan Get to it before your compeetors beat you to it! THANK YOU!
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