Metrics & ROI

CX Metrics That Show ROI

Show the ROI of your CX and customer journey improvements with measurements and metrics that monitor and reflect each step of the journey, and quantify your customer’s value. Identify financial and operational KPIs to build a measurement plan, and create a journey scorecard to show the organization – from the front line to executives – that investing in customer experience yields tangible business results. 

“No, Bill. You don’t want wider seats.”

At a recent dinner party I explained what I do for a living. One attendee responded, “Well, then can you please call Delta, and tell them I want wider seats?”

I responded, “Actually, you don’t.  People say they want wider seats, but their behavior says that they really don’t.”

“Oh, you mean the hypothetical general public doesn’t want wider seats?”

“No, Bill.”  I responded. “I mean that you specifically don’t want wider seats.”

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Surveys Don’t Tell the Full Story

The problem with many customer experience surveys is that they recommend the equivalent of “make my seats wider.” It’s a common practice to ask customers to rate importance for different factors, then compare that to satisfaction. But it just doesn’t work.  Since you measure each item in isolation, everything is free.  And so there’s nothing to ensure that respondents’ answers match their actual behaviors. Expensive things like wider seats have just as much weight as free peanuts.

To show what I mean, let’s play this out.  I call Delta and somehow find the magical IVR prompts to reach the right person. She hears my plea and responds, “My goodness – you’re right!  We’ve been looking at this wrong! We’ll fix that immediately.”  So they remove one chair from each row to allow for wider seats.  What will happen? Will travelers flock to Delta to take advantage of the space?

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Real-World Stories of Creating the Metrics that Matter

Heart of the Customer's Customer Experience ModelThis week we continue to analyze the Temkin Group’s finalists for their 2012 Customer Experience Excellence Award to learn how they build Customer Intelligence.

Whereas last week I outlined how the companies bring their customers to life for their employees. This week I delve into determining the Metrics that Matter – the second component of Customer Intelligence.

I wrote before about how The Perfect Customer Experience Score is not universal – it varies for each company. Great organizations do not just plug in the Net Promoter Score or satisfaction because they heard they’re great measurements – they take the time to discover whether the scores actually predict important outcomes such as client loyalty. NPS may or may not be the right score. Superior companies test to see if improving NPS improves their customers’ loyalty. If not, then NPS is not a Metric that Matters for your company. Read more

Measure Your Customer’s Entire Journeys, not just the Touch Points

Have you had a great customer experience? One you really enjoyed – a flawless purchase of a car, a fantastic trip, or a great B2B partnership? Now think of the opposite – a cell phone provider who frustrated you, a business partnership gone sour.

What made the difference was not an individual touch point, such as a call center or website. Instead, it was the overall journey – the process of purchasing the car went well, or the upgrade to a new phone caused far more trouble than it was worth. Individual touch points contribute to the experience, but it is the accumulation that matters.

See the Larger Pattern

Your customer experience is a journey. But too often, we manage it like a series of touch points, without looking at how these touch points fit together.

And herein lies our customer experience challenge. It is easy to measure website satisfaction or the customer service skills of a call center rep. We do this regularly. But what if your customer looks at your website for information, can’t find it, then calls your rep? How do you measure this entire interaction? The rep may do a fabulous job of handling the complaint, but the journey was a failure.

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