Forbes Innovation How To Win In 2023 With CX Bob Dechant 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) Feb 15, 2023, 09:45am EST | Share to Facebook Share to Twitter Share to Linkedin Bob Dechant is the CEO of ibex , a leading global provider of business process outsourcing and customer engagement technology solutions.
getty Many predict 2023 will bring significant economic headwinds for businesses of all sizes, and my advice for business leaders is to focus on your customer experience (CX) to deepen your relationships with your customers and differentiate your brand. CX is critical to winning new customers and retaining and growing your existing base. How critical? Seventy-five percent of consumers say they’re more likely to do business with a brand if they have a positive experience and receive consistently strong customer service, according to Merkle’s 2022 Loyalty Barometer Report .
Conversely, a survey by Zendesk revealed that half of consumers will switch to a competitor after just one bad experience, and 8 out of 10 will switch after multiple bad experiences. In a hyper-competitive marketplace, CX can make the difference between winning and losing. The majority of consumers report that customer service is more important than cost.
If you want to reduce churn and attract new customers, it is critical to deliver great experiences across all areas of the customer life cycle. Successful businesses understand this and don’t view service as an added expense but as a business competitive advantage. Businesses should strive to make every customer relationship more than a transactional one.
Each interaction represents a valuable opportunity to provide memorable experiences that both brings customers back and compels them to share their positive experience with the world. MORE FOR YOU Meet The Unknown Immigrant Billionaire Betting Her Fortune To Take On Musk In Space The 13 Best New International Airline Routes For 2023 Billionaire Michael Jordan Gifts $10 Million To Make-A-Wish What is great customer service? At Costco, it’s hiring friendly and knowledgeable employees who are trained to listen to customers and go above and beyond to deliver on their behalf. At Ikea, it’s strolling the store and being able to picture exactly how the furniture on display would look in your home.
Start by taking these three steps to improve your CX. 1. If You Want Happy Customers, Focus On Your Employees Positive and rewarding employee engagement and happiness have been proven to significantly boost the overall customer experience and create brand champions.
One study published in the Harvard Business Review found a clear link between employee well-being and customer satisfaction. Happy employees are more likely to engage with customers in a pleasant manner and provide better service, resulting in more satisfied customers, which in turn boosts customer loyalty and, ultimately, your profits. Research by Harvard Business School has shown that increasing customer retention by 5% increases profits by 25% to 95%.
On the other hand, unhappy employees tend to produce dissatisfied customers, damaging your brand and profitability. How can you improve the employee experience? Recognize, reward and celebrate your people who are working on the front line and exceeding expectations. For example, consider creating a VIP program for your top performers, who make up about 5% of your workforce.
As a reward for their hard work and contributions to the company, treating these employees to an all-expenses paid weekend getaway to a luxurious destination will serve as a reminder of their value to the company and allow them to relax and have some fun. If possible, turn that into an event where your top performers get to interact with you and your leadership team. Empowering employees can also make a big difference for your business.
CX agents have intimate knowledge of your operation and often have innovative ideas to improve your processes, so create opportunities for your agents to step forward and volunteer their insights and recommendations. 2. Transform CX With Better Technology The best customer service organizations leverage the latest technologies to enhance CX by predicting future behavior and outcomes, identifying and solving service issues in real time, and dramatically improving customer retention.
Technology can help companies create a better customer experience in a few ways. For example, automating and streamlining various processes, such as managing customer inquiries and complaints, can help reduce response times and improve the overall efficiency of the customer service process. Additionally, technology can be leveraged to collect and analyze customer data, which can help companies better understand their customers’ needs and preferences, providing more personalized experiences.
Technology can also enhance the customer experience through the use of virtual assistants, chatbots and other interactive tools that can make it easier for customers to access information and assistance. Additionally, technology in the contact center can make a major impact, allowing agents to serve customers better and even anticipate when they are getting frustrated. These solutions allow agents to quickly diffuse situations and more easily provide positive outcomes.
3. Perform Ongoing Analysis Of Your CX Operations Engaging in an effective analysis of your CX efforts to identify opportunities for improvement will help boost the rate of positive experiences for new and existing customers. There are several ways companies can perform a high-level analysis of their customer experience operations.
One of the simplest and most effective approaches is to track key metrics related to customer experience. Customer satisfaction scores, net promoter scores (NPS) and churn rates are common KPIs that will help to identify where the company is performing well and areas that need improvement. Another method of analysis is customer journey mapping.
By outlining the various touchpoints a customer has with a product or service from first touch to last, it is possible to identify bottlenecks or areas of friction in the overall journey. Identifying and addressing any issues that may be negatively impacting the customer experience can go a long way in helping retain existing customers and winning new ones. Final Takeaway Customer expectations are at an all-time high.
And these days, with social media, news of a brand’s bad—and good—customer service travels faster than ever. Trends like these drive the need for every company to become more passionate about customer experience. But transforming into a beacon of fantastic customer service does not happen overnight.
It requires a carefully crafted strategy that includes important investments into both internal and outsourced resources and the empowerment of customer experience professionals. Investing in your CX solutions and personnel will pay big dividends in terms of customer satisfaction, loyalty and, ultimately, your bottom line. Forbes Technology Council is an invitation-only community for world-class CIOs, CTOs and technology executives.
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