Innovation How Leaders Can Be Successful In Implementing A CX Analytics Solution Shameel Abdulla Forbes Councils Member Forbes Technology Council COUNCIL POST Expertise from Forbes Councils members, operated under license. Opinions expressed are those of the author. | Membership (fee-based) Sep 8, 2022, 08:00am EDT | Share to Facebook Share to Twitter Share to Linkedin Shameel Abdulla is a CEO at Clootrack , a real-time customer experience analytics platform that helps brands to understand why their CX drops getty I find it quite shocking—companies have so much data, yet many of them are not taking advantage of the rich insights that their data generates.
For example, a bank looking at improving its relationship with its existing customers and targeting new customers requires rich customer data pools. But in many cases, this rich data is not utilized effectively. I feel this is due to data not being joined up organizationally at the customer level.
Many lack the necessary data, systems and tools, as well as the business processes in place, to respond and act in this manner. No doubt, the provision of excellent customer experience is a top priority, and one of the most compelling investments in this area is customer experience analytics. In a Clootrack study, 1 out of 8 CX experts surveyed agreed that many organizations are not tapping into the rich data and insights (pg.
7). In the same Clootrack study, Jorge Calvachi, Director of Insights at La-Z-Boy, said, “Everything about your customer experiences starts with a good foundation of insights. Hire somebody to do segmentation and figure out how the brand fits in within a persona and into a customer journey map” (pg.
28). MORE FOR YOU Google Issues Warning For 2 Billion Chrome Users Forget The MacBook Pro, Apple Has Bigger Plans Google Discounts Pixel 6, Nest & Pixel Buds In Limited-Time Sale Event How can leaders make a more informed decision when choosing a CX analytics solution? I have heard leaders say that they have tried many of the traditional methods of market research, but the challenge is that the traditional methods are not working. Most of the traditional methods take a long time to execute and are biased.
Moreover, some do not have the capability to target granular insights, and above all, it can be highly expensive. Many traditional ways of doing business are threatened by faster, more accurate and more agile disruptive businesses. Though there are a lot of tools available, I have realized that it can be a challenge for leaders to zero in on a tool that offers the best customer experience analytics.
Business leaders can make a more informed decision when choosing a CX analytics solution. Data Collection And Centralization A CX analytics tool should be able to give a whole picture and not just random snapshots of a particular segment. For this, the tool should be able to stitch together all of your data sources into one centralized location.
Data Validation And Data Cleaning When the data is available in a central location, the tool should be good at “cleaning” the data by eliminating duplicates, cutting the noise and removing outdated or irrelevant information. Surface The Deep-Lying Insights Business leaders should be able to get the most valuable insights regarding their customers, pain points and trends. Intelligent insights should have the capability to yield direction on competitors, new products and changing habits of customers, as well as reduce costs.
How can business leaders successfully implement a CX analytics solution? I was pleasantly surprised to read about Walmart, which disclosed that it would invest extensively in installing sensors in its stores , enabling the business to detect when a product runs out or expires and send the customer more immediately. This was a wonderful idea, as customers benefit from a more real-time and customized experience by gathering more data with sensors. Customer data is crucial to improving customer experience, but leaders are often confused about how to get the most out of customer data with the help of customer data analytics platforms.
For CX leaders and decision-makers responsible for CX strategies, it can be overwhelming, leaving them with a lack of confidence. Here are a few tips for the successful implementation of CX analytics solutions. 1.
Set the customer-centric vision before you start analytics. To get the best value from your CX analytics, leaders need to build a well-defined vision around ways in which their organization will support current and future customers and improve the customer experience by applying data and analytics strategies. This will make it easier to see where gaps need to be filled in order to achieve your vision.
2. Start with the simple wins. Prioritize short-term financial advantages that will strengthen the argument for supporting long-term enhancements to the customer experience.
Use tasks that are simple and less ambitious as fast wins. As a result, more ambitious CX projects will gain momentum, confidence, support and knowledge. 3.
Build predictive models. A report from Epsilon states that 80% of customers are more likely to purchase from a brand if that brand provides them with a personalized experience. So business leaders need to leverage customers’ data to build predictive models that allow the next best action for customers based on their purchase behavior.
4. Drive customer analytics technology initiatives. For a deeper understanding of customer value drivers and to raise data literacy, leaders must jointly decide on technology for customer data.
A clear picture of the insights you want and the level of technological complexity required to get them will be necessary if you want to get the most value out of your customer experience analytics. 5. Create a model to overcome silos.
The sad truth is that despite how painful data silos might be, for better CX, we need centralized data input sources, processing and storage. The goal should be to make everything accessible. You need to create a single version of truth that should be available to relevant individuals and systems both internally and externally.
Conclusion In the Clootrack study referenced above, Jared Fink, Group Director of Experience at Siegel+Gale, said, “The internal organization needs to orchestrate around the customer—strategically, creatively, technologically, and operationally. . .
. The customer’s needs and desires should be the unifier to help guide CX decisions, but making that real is quite complicated” (pg. 10).
Investments in customer experience analytics often are pushed to the back burner as leaders cannot demonstrate how they create tangible business value and ROI. The biggest impact is when leaders start with quick wins. As I mentioned before, prioritizing short-term gains will strengthen the argument for supporting long-term enhancements to the customer experience.
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