As organizations need to become more customer insights driven, the ability to fully understand where and why customer struggles occur (and the revenue impact) are increasingly important. With ever-evolving expectations and more competition than ever – almost 90% of businesses are projected to compete on customer experience alone.
Customer Experience 101: Customer Experience (CX) is defined as “the product of an interaction between an organization and a customer over the duration of their relationship. This interaction includes a customer’s attraction, awareness, discovery, cultivation, advocacy, purchase and of course use of a product or service.” (Wikipedia)
When we consider each of these points in the duration of the relationship and the time, effort and money invested in delivering them, it’s a jigsaw of people, departments, processes and technologies that must all be in synch and optimized to ensure success and meet customers’ expectations.
Another factor to consider is the physical in-store experience vs. the digital one. Physical stores have their own “ecosystem” in place (employees, physical inventory and digital resources) where they can create and control the customer experience. For example,
- When customers search for what they want in a store, they wouldn’t get a “no results” response
- The shelves are stocked and store displays typically aren’t built around “out of stock” merchandise; if a customer is looking for something specific in size or color, etc., alternatives are available and can be suggested
- The checkout area wouldn’t be unstaffed in a store, so when payments fail people wouldn’t just walk away without buying, possibly never to return
Yet these are regular, frequent and repeated examples of the types of CX issues that digital businesses allow, partly because they simply don’t know they are happening, let alone to who? Why? Or the lost revenue associated.
And the struggle is real – recent studies show that abandonment rates have increased from around 60% in 2016 to over 75% in 2018.
What seems increasingly apparent is the majority of digital businesses believe that simply increasing the traffic to their online world is the answer. But the logic of driving more people to a space where abandonments are increasing just doesn’t make sense.
A quick look at each of the stages of the “relationship” confirms the investment being made, but at “purchase” what are we doing?
Attraction: Advertising; Social Media; SEO/PPC
Awareness: Content; personalization; emails; offers
Discovery: Influence; ratings & reviews; Recommendations
Cultivation: Upsells; A/B test; MVT; buy now and get discount for a future purchase
Advocacy: Surveys; VOC; CSAT
Purchase: Web analytics providing stats on: visitors, conversion rate and abandonment rates
All supported by IT, development, testing, production, DevOps and APM, who measure that the site is available and performing as expected while within the constraints of Data Regulation, PII, permissions, and soon GDPR.
So how will digital organizations keep pace?
According to Gartner, “Ecosystems are the future of digital.” In fact, 79% of top-performing digital organizations indicate participation in a digital ecosystem — vs. 49% of average performers.
Are you in the 49%?
To address these challenges and create customer experience excellence, organizations will need to become “customer obsessed.” Not having the insights necessary to understand your customers’ digital journeys through the entire lifecycle and experience just won’t do – dependency on siloed and disparate resources and technologies will be a thing of the past – and the digital intelligence ecosystem will be the game changer.
Think of your digital ecosystem as a wheel that’s accelerating your business toward optimal customer experiences.
What are you doing today to ensure your digital ecosystem has what it takes to rise above the noise in your market and deliver exceptional Customer Experiences?
Get in touch with UserReplay to learn about how we can contribute to the creation of your winning digital ecosystem and reveal the daily, and frequently unknown, struggles that your customers face.