Customer Experience: The Big Picture

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1 Customer Experience: The Big Picture InMoment CX Elevated 2014!"#$%&'%()*+&!"#$%&'()*%+,(-#.#/&'&0,'0#1&%-'2%# '%()*+&,"-#.& 3404(-#5678#

2 Take the CX Path From Fluff to Tough

3 The fluff to tough blueprint Do what you do so well that they will want to see it again and bring their friends. - Walt Disney

4 50% 60% 70% 80% Very Poor Poor Okay Good Excellent Grocery Chains Fast Food Chains Parcel Delivery Services Retailers Banks Investment Firms Insurance Carriers Credit Card Issuers Auto Dealers Software Firms Computer Makers Wireless Carriers Appliance Makers Airlines Hotels Rental Cars Internet Service Providers Health Plans TV Service Providers 2014 Temkin Experience Ratings 15 out of 19 industries improved between 2013 and % of firms improved by 1 %-point or more 32% of firms declined by 1%-point or more Low Score Industry Average High Score

5 Where s the ROI?

6 25.0 Temkin Experience Ratings (Compared with industry average) Pearson correlation (R) = Base: 268 companies, 10,000 U.S. consumers Source: Temkin Group Q Consumer Benchmark Study Customers who are likely to buy more from company (compared with industry average)

7 CX correlates to loyalty Very poor CX rating Very good CX rating Very likely to purchase more 9% 92% Very likely to recommend 4% 86% Very likely to forgive 9% 67% Very likely to try new offerings 6% 57% Base: 268 companies, 10,000 U.S. consumers Source: Temkin Group Q Consumer Benchmark Study

8 Six stage of CX maturity 6) Embed 3% 5) Align 7% 4) Operationalize 13% Tough 3) Mobilize 19% Fluff 2) Explore 1) Ignore 27% 31% Base: Organizations with $500 million or more in annual revenues

9 Comparing fluff and tough Belief Focus Metrics Brand Customer Insights Fluff Great CX Is important to our company s success CX improvement projects CX-specific dashboards Brand platform includes clear customer promises Closed-loop VoC program Tough Our brand and values require great CX Sustainable customer-centric operations Balanced operational scorecards including CX Employees understand the link between their efforts and brand promises Ongoing insights from integration between feedback and operational data

10 What s the difference in VoC programs?

11 VoC fluff to tough mantra Customer feedback is cheap Actionable insight can be valuable Taking action on insight is precious

12 Elements of VoC rated as good or very good Soliciting customer feedback 74% Developing actionable insights from the data Sharing feedback across the organization 45% 43% Making changes to the business based on the insights Reviewing implications that cut across organizations 30% 29% Base: Organizations with $500 million or more in annual revenues Source: Temkin Group Q CX Management Survey

13 What are your significant sources of customer insights? Surveys after interactions Periodic relationship surveys Feedback from front-line employees Social media listening Customer transaction history Call center agent notes Inbound customer s 52% 41% 52% 49% 49% 30% 43% 28% 43% 27% 76% 77% 76% 94% More Mature VoC Programs Less Mature VoC Programs Base: Organizations with $500 million or more in annual revenues Source: Temkin Group Q CX Management Survey

14 Which of the following are significant obstacles to your VoC efforts? Integrating with internal systems Taking action based on insights Sharing data across the organization Getting the organization to embrace the insights Analyzing the data Targeting the right customers for feedback Designing surveys 9% 15% 28% 23% 35% 48% 48% 65% 57% 49% 59% 76% 72% 81% More Mature VoC Programs Less Mature VoC Programs Base: Organizations with $500 million or more in annual revenues Source: Temkin Group Q CX Management Survey

15 Every experience has three components How do they feel about the experience? *+&%&#'() *,-./0.#$.) Experience!"#$%&#'() Can they achieve what they are trying to do? 1$$.2203(.) How easy is it for them to do what they want?

16 Emotions are under-appreciated Companies that rated their efforts of measuring these customer experiences as good or very good Customer satisfaction with the outcome of interactions Customers' ease of completing interactions Completion of interactions 45% 45% 53% Customers' emotional response to interactions 30% Base: 173 companies with annual revenues of $500 million or more Source: Temkin Group Q CX Management Survey

17 Non-customers are a blind spot Companies that rated their efforts of measuring these customer experiences as good or very good Customers who have recently renewed or purchased more New customers Long-term customers who have not recently renewed 40% 47% 46% Customers who have defected/left Prospects who are not yet customers 19% 17% Base: 173 companies with annual revenues of $500 million or more Source: Temkin Group Q CX Management Survey

18 so are wireless and cross-channel Companies that rated their efforts of measuring these customer experiences as good or very good Over the phone 62% Online In the store/branch 48% 52% Across multiple channels On a wireless device 27% 26% Base: 173 companies with annual revenues of $500 million or more Source: Temkin Group Q CX Management Survey

19 Where Is VoC Six Trends That Will Reshape VoC Heading?

20 1. De-bloating surveys! Fewer questions! Segmented to audience! Detect vs. Diagnose! Improvement trumps tracking

21 2. Open-ending questions! Ask broader questions! Identify sentiment and categories! Discover new topics! Review targeted verbatims

22 3. Soliciting employee feedback

23 4. Contextualizing insights Contextual Insights: Observations drawn from data that resonate with an understanding of the business Business context Timely, relevant data

24 5. Journey-ifying Customer measurement Journey Map (Example) Stages of journey ='+9&'(>%&(.&03'$(!"#$%&'( %#)%*+(,'$'-.( /0-0)%*( 1%%2(.&03'$(,-4'56$'( 7'0$+(0*5( '3'*.+( 8&03'$(.%( $%-0)%*(!"#'&9'*-'( 30-0)%*( 8&03'$( :%7'( ;'7'7<'&( '"#'&9'*-'( Customer needs and activities! Find out about school vacations! Find out about family events! Discuss with family! Discuss with friends! Read magazines! Review online travel sites! Get sense of costs! Discuss with family! Search online for details on top options! Book cheapest flight and hotel that meets needs of the entire family! Book a few reservations for dinner nearby! Find and book a couple of interesting tours and excursions! Figure out what to pack and pack family! Print tickets and travel information! Plan for transportation to and from airport! Arrange for activities at hotel! Keep track of all of things that have been scheduled! Post fun stuff on Facebook Expectations for online travel agency (Customer perception of experience: Good Neutral Bad)! None! Compare! Compare! Book! None! Notify when! None prices of prices of cheapest flights are different different flight that late travel itineraries meets! Rebook destination needs flights when s and! Book there is a packages cheapest missed hotel that connection meets needs! Pack up family! Plan for food and meals during the trip! Plan for transportatio n to and from airport! Notify when flights are late! Rebook flights when there is a missed connection! Create digital photo album! Send pictures to friends and family! Tell people about the good and bad parts! None Customer s emotional state along the journey

25 6. Prescribing actions Customer history Customer feedback Real-time interactions Predictive Analytics Prescribe Actions

26 Six trend that will reshape VoC 1.! De-bloating surveys 2.! Open-ending questions 3.! Soliciting employee feedback 4.! Contextualizing insights 5.! Journey-ifying measurement 6.! Prescribing actions

27 VoC fluff to tough mantra Customer feedback is cheap Actionable insight can be valuable Taking action on insight is precious

28 Thank you! Bruce Temkin!4(-*+2%#9:;2%,2'<2#$%&'()*%+,(-#.#/&'&0,'0#1&%-'2%# '%()*+&,"-#.& ===>-2+?,'0%*4;><*+#

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