Posts

Three Ways to Make Your Case

“We’ve all seen those studies where it says a one-point increase of CSAT equals this revenue, but to a Commercial Officer, a CEO, or a CFO, this doesn’t sound real. So it doesn’t put CX in a credible position. We need to prove this based on our own data: ‘These are the scores for the past year, and this is the revenue or the growth in revenue and the growth and shipments for these exact countries. And this is what it looks like. This is the correlation between the revenue and customer satisfaction and NPS.’” – 2020 interview participant

I bet that like me, you love to read research that shows that CX pays. Luckily for both of us, there’s plenty of industry data on the topic. The most compelling is Watermark Consulting’s tracking of stock prices. Read more

Change Management, Not “Bribes,” Improves CX

This post picks up where last week‘s left off…

In giving bonuses based on overall survey results, companies are assuming that 1. teams actually know what to do in order to improve customer satisfaction and 2. they won’t do it unless incented to.

Both points in that statement need to be analyzed.

First, understanding how to drive customer satisfaction (I’m using this as a catch-all for NPS, customer effort, etc.) isn’t that easy.

When I led a CX program in the health savings account (HSA) marketplace, I asked teams what they thought the top drivers of satisfaction were. Product thought it was about features. Marketing thought it was about educating on how to use the HSA. Sales thought it was about pricing.

They were all wrong. Read more

Why Do Bonuses for NPS Scores *Seem* Wise?

I’ll get right to the point: Change management is cheaper than bribing employees. It’s more effective, too.

The CEO of a client organization recently asked us about offering a bonus tied to their Net Promoter Score (NPS). He believed that this would motivate employees to think more about customers and improve their experience.

Without mincing words, I told him I thought that was a terrible idea – one that is universally frowned upon.

He pushed back: “Why? What’s the evidence? Other organizations are doing it. Why is it so bad?” Read more

Are Your “Averages” Obscuring Your CX Opportunities?

If I could only ask you one question to determine if you’re a Change Maker, it would be this: “Tell me about your data.”

Most of the more than 100 CX pros we interviewed in the course of our research last year responded with, “What do you mean?” Or they only mentioned survey data.

But not the Change Makers.

They understand that business data is what the organization runs on. And they have a thorough understanding of the metrics that make up their customer journeys, particularly their organizations’ key performance indicators (KPIs). Read more

Lessons From a Change Maker

It’s hard to overstate how much building an emotional connection with customers matters.

According to the XM Institute, when the emotional experience is rated highly, 76% of customers are promoters. When it’s rated low, only 6% are. More importantly, when the emotional experience is rated highly, 63% will forgive you when problems arise.

But if you haven’t created that strong emotional experience? Only 11% will. Read more

One Size Fits All? Not for Metrics!

Imagine if your HR partners told you they were going to use one metric to measure all of your employees, and that should be how you determine each one’s overall effectiveness.

You’d push back immediately.

You’d say that your software developers should have different measurements than your salespeople, who should have different measurements than your trainers and your customer service reps.

And you’d be right.

So, why do we think all companies should use the same customer measurement? Read more

bad cx data

2021: The Year of CX Data

Given the year we’ve had, we need to talk hygiene. Because I suspect you’ve been neglecting it.

Not because of the sweatpants you wore in that Zoom meeting, or that you don’t always sing “Happy Birthday” twice when you wash your hands.

I mean digital hygiene, and the need to clean your data.

Each of the past five years have been hailed as the “The Year of Digital Transformation.” We thought we were working hard to digitize our experiences.

Then the pandemic hit. And we realized we weren’t doing nearly enough. New digital capabilities came up almost overnight, as agile teams worked to pivot toward emerging customer needs. E-commerce sites, digital notifications, ship from store – all capabilities that were just “in the works” a year ago were deployed quickly. Read more

Not Making CX Progress? Start Saying No

Too many customer experience (CX) programs get stuck. 

Stuck with no influence. No change. No leadership buy-in. 

We see it all the time. As a CX leader, you’re spread so thin, trying to juggle dozens of balls at once. You’re building a new measurement program while sharing your existing scores with anybody who will listen. You’re creating new training programs. You’re in meetings to support the new portal, the new customer campaign, the Customer Advisory Board, and the new loyalty program. 

You’re incredibly busy. You burn through your unused vacation time just trying to keep up. But when you get to the end of the year, the most important thing – customer loyalty – remains unchanged.  

A year filled with effort, but no actual change. 

That’s a problem.  Read more

To Spur Action, Create a Sense of Urgency

I wrote last week about the importance of change management for customer experience (CX) programs, using John Kotter’s model. This post dives deeper into Step One of his approach: creating a sense of urgency.

Without a doubt, this can be challenging. If your company is doing well, it’s hard to get people’s attention. Why tinker with anything if the business is growing? Conversely, if your company is struggling – as, due to COVID-19, so many currently are – noise and anxiety make it hard to focus.

When we look at successful CX programs, this is often where they move ahead of the pack. Those programs are creating a sense of urgency while others are content to focus on survey scores.

There are infinite ways to create a sense of urgency, but below are a few approaches you can try. Read more

Five Ways to Make Your Surveys Matter

Most survey programs provide information“Our Net Promoter Score (NPS) is 25, up from 22, compared to our competitive benchmark of 30.”  While those figures might be interesting, they don’t provide the context that is essential for prompting action.

As Heart of the Customer has been conducting interviews with CX pros (more than 70 so far this year!), we’ve found some common themes – notably that most programs use NPS as their measurement, and most don’t provide much context for those scores.   Read more