How to deal with the forces impacting your CX

Arianna Valentini
Posted by Arianna Valentini Product Marketing Manager Tuesday, April 17, 2018 - 20:20

Arianna Valentini is a product marketing manager (PMM) specializing in product messaging within Quadient. As a product marketing manager, Arianna assists with client-facing PMM work, including but not limited to roadmaps, whitepapers, and thought leadership sessions. Prior to joining Quadient, Arianna spent three years as a research analyst holding positions at top industry firms, IDC and InfoTrends. While an analyst, Arianna’s research focus was on the impacts of technology accelerators (e.g. cloud, mobile, big data, and social media) in the enterprise and marketing technology. Arianna also has experience in print production environments, working as a marketing strategist to help service providers expand offerings beyond print media. She holds a BFA and MS, from the Rochester Institute of Technology.

Customer Experience Update
How to Deal with the Forces Impacting your CX

Recognizing the forces that will impact your CX

Think about the last time you had a bad customer experience - what did you do? Did you lodge a complaint with the organization or just tolerate the interaction? Maybe you simply switched to a competitor after that bad experience. Leaving is now the norm, according to a recent European study an average of 76% of consumers said they would leave a business if it didn’t meet their customer experience standards.

The “disappearing customer” is the result of customer experiences falling short once someone enters your doors. The impact of this to your business is lasting and possibly damaging.

 

Fig. 6 – Consumer likelihood of switching from a business if it doesn’t meet expectations in how it communicates, how it protects data, or how it uses data to give value

ig. 6 – Consumer likelihood of switching from a business if it doesn’t meet expectations in how it communicates, how it protects data, or how it uses data to give value


Source: Quadient white paper “Investigating the Forces Shaping the Customer Experience Battleground”.


So how does a business keep their current customers from being former customers? One solution is to provide the same types of experiences that drew them to you in the first place. For example, in customer acquisition the experience is almost always omnichannel. However, customer retention experiences break when communications are not received or optimized on the channel of that customer’s preference.

This is why investing in digital experiences throughout the customer lifecycle is so critical. But with 20 years of documents, templates and outdated print processes limiting the speed at which enterprises can execute, moving to a digital platform can be overwhelming.

Customer service is not the only force affecting CX

The quality of customer service has always been a determining factor in how patrons gauge their customer experience. But nowadays it’s not the only one that organizations must recognize, respect and react to.
 

Customer experience is a critical battleground for businesses. There are new forces that can have a huge impact on a business’s CX. If an organization wants to remain competitive and thrive it must understand and take action to face these four foundational forces:

Understanding the four forces and how to deal with them

 

4 Forces Infographic

 

Those companies that are prepared to meet higher consumer expectations around consumer power, digital transition, regulation and data will prosper, while those that cannot do so will find their customers switching to the competition.

Here is a closer look at each of the four forces and what organizations need to do to address them.

1.    Consumer Power

Consumers have more and faster ways to share their experiences than ever before. They have more
ways to investigate the available choices and more options if they don’t like the experience.
Initiative Required: Accept that the balance in power has shifted to the consumer. Put the customer’s
needs before those of your organization.

2.    Digital transition

Consumers have access to a multitude of channels and expect interaction at the right time, over the right channel, with the right message. If not, your company will lose customer interest and trust.
Initiative Required:  It’s not just realizing each channel is approached differently but the way you optimize content for each channel is the key to the approach. SMS, for example, has very different demands than email, post or phone.

3.    Regulation

Detailed data provides the insight on which great customer experiences are built. Businesses, however, need to ensure they provide the best possible experience without compromising regulatory compliance.
Initiative Required: Organizations must ensure that regulatory compliance, particularly around data protection, is a key element of their customer experience strategy.

 

Quote

Source: Quadient white paper “Investigating the Forces Shaping the Customer Experience Battleground”.

 

4.    Data

The expanding amount of data available creates challenges and opportunities for businesses striving to deliver ever-more targeted experiences.
Initiative Required: The more data your customers provide, the more they expect to have their customer experience with your organization reflect that insight. Ensure you leverage that data to create a better customer experience; one that features services, offers and discounts tailored to the preferences, wants and needs of each customer.

Industries you can take inspiration from

Organizations in every sector need to adapt to the ever-changing customer experience battlefield. In order to truly succeed they must recognize the impact of the four forces, accept it and act accordingly. So which industries are leading the charge?

 

Fig. 8a – Ranking of industry progress (Europe)

Fig. 8a – Ranking of industry progress (Europe)

Source: Quadient white paper “Investigating the Forces Shaping the Customer Experience Battleground”.
 

In Europe, the transformation of the customer experience is all over the map. When surveyed, European customers felt that the retail and banking sectors have made the most progress in modifying their customer experience in order to address the four foundational forces. At the other end of the spectrum, local government was judged to be far behind. 
 

Discover more about the forces shaping CX

Download a complimentary copy of the “Investigating the Forces Shaping the Customer Experience Battleground” report by clicking here: https://www.quadient.com/resources/investigating-forces-shaping-customer-experience-battleground