Customer Loyalty – It’s All About the Experience, Stupid!
Customer Loyalty – It’s All About the Experience, Stupid!
Unbeknownst to you, the store clerks don’t know about the special e-mail offer, Joe is left to his own devices with the shoe fitting tool and injures his arch, and no one offers him the chance to replenish his electrolytes. Joe leaves the store disappointed and underwhelmed, never to be heard from again, and you’re left to wonder why. Clearly, just knowing his unique purchasing preferences and behavior – and telling the world that you have that capability - was not enough to drive satisfaction or, most importantly – retention.
An extreme example? Sure, but for every successful CRM application and the ad campaign that trumpets it, the customer service landscape is littered with projects that didn’t quite hit the mark. In many applications, CRM has a great big blind spot. While CRM effectively pulls information about the customer to benefit the company, it lacks any insight into the customer’s actual experience with that company. No amount of CRM technology lets the company “see” the customer’s experience.
An integrated Customer Experience Management (CEM) program can help fill in those blind spots and complement the potentially powerful data collected in a CRM project. Put plainly, where CRM is weak, CEM is strong. By focusing on the experiences of customers and how those experiences impact behavior, CEM addresses both the quality of the company’s execution and the efficacy of the result. By aligning the customer’s needs with the company’s ability to fulfill those needs, a CEM application can work hand in hand with CRM - and an ad campaign that makes specific promises - to create loyal customers for life.
Much like the robot in “The Terminator” that couldn’t comprehend human tears, a CRM program may miss the elements that are at the core of any customer relationship – a series of very personal and emotional interactions and experiences. Likewise, building a brand and an advertising campaign around that brand is designed to evoke those very same emotions. CEM is designed to examine and understand what drives these interactions and to align the organization so that it can consistently deliver what the customer craves, physically and emotionally.
Mind you, the very best companies mesh the power of technology, brand promise and experience delivery seamlessly. Westin Hotels used data from its award-winning Starwood Preferred Guest program to determine that – surprise! – quality sleep was of primary importance to hotel guests. Thus, the high-profile launch of the Westin Heavenly Bed. Did Westin deliver the promised experience? You bet – guests have been so enamored of the celestial sleeping experience that more than 4,000 Westin customers have purchased a full-loaded Heavenly Bed, box spring to duvet.
With CRM and advertising investments in the millions, it doesn’t pay for a company to turn penny-wise and pound-foolish when it comes to the delivery of the actual customer experience. By investing in the quality of that experience, the company has a far better chance of driving loyalty and – by extension – increased profitability. Though you may have heard the old adage expressed several different ways statistically, it is considerably less expensive to keep an existing customer than to woo a new one.
So after all was said and done, what happened to Joe Hightops? Turns out the sneaker company had a CEM program in place as well. His dissatisfaction was instantly registered in a customer satisfaction e-survey. The survey was flagged by a manager, who soothed Joe’s frayed nerves with free “Air Gordon” wristbands. The team at the Chicago store was referred back to its customer service materials and a trainer flew into O’Hare that night to conduct a refresher course, just in case. And when the mystery shopping team showed up in Chicago two months later - you guessed it – free-flowing Gatorade!
Customer Loyalty Its All About the Experience Stupid - To learn more about this author, visit Rob Rush's Website.
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Imagine this nightmare scenario. You’re a sneaker and apparel company that’s undertaken a multi-million dollar Customer Relationship Management (CRM) installation in order to better know – and grow – your customers. The ultimate goal – a marketing campaign aimed at an audience of one. A brand message and experience so fine-tuned to the individual that you can’t wait to tell the world…via an infinitely more expensive ad campaign touting your ability to cater to consumers’ specific needs. So when a customer – let’s call him Joe Hightops – bops into your branded company store in Chicago, your database alerts staff in the Windy City that Joe recently received an e-mail with a special offer for “Air Gordons,” he likes assistance sizing and fitting his shoes, and he enjoys a cold glass of Gatorade while shopping. Your bases are covered, right?
Unbeknownst to you, the store clerks don’t know about the special e-mail offer, Joe is left to his own devices with the shoe fitting tool and injures his arch, and no one offers him the chance to replenish his electrolytes. Joe leaves the store disappointed and underwhelmed, never to be heard from again, and you’re left to wonder why. Clearly, just knowing his unique purchasing preferences and behavior – and telling the world that you have that capability - was not enough to drive satisfaction or, most importantly – retention.
An extreme example? Sure, but for every successful CRM application and the ad campaign that trumpets it, the customer service landscape is littered with projects that didn’t quite hit the mark. In many applications, CRM has a great big blind spot. While CRM effectively pulls information about the customer to benefit the company, it lacks any insight into the customer’s actual experience with that company. No amount of CRM technology lets the company “see” the customer’s experience.
An integrated Customer Experience Management (CEM) program can help fill in those blind spots and complement the potentially powerful data collected in a CRM project. Put plainly, where CRM is weak, CEM is strong. By focusing on the experiences of customers and how those experiences impact behavior, CEM addresses both the quality of the company’s execution and the efficacy of the result. By aligning the customer’s needs with the company’s ability to fulfill those needs, a CEM application can work hand in hand with CRM - and an ad campaign that makes specific promises - to create loyal customers for life.
Much like the robot in “The Terminator” that couldn’t comprehend human tears, a CRM program may miss the elements that are at the core of any customer relationship – a series of very personal and emotional interactions and experiences. Likewise, building a brand and an advertising campaign around that brand is designed to evoke those very same emotions. CEM is designed to examine and understand what drives these interactions and to align the organization so that it can consistently deliver what the customer craves, physically and emotionally.
Mind you, the very best companies mesh the power of technology, brand promise and experience delivery seamlessly. Westin Hotels used data from its award-winning Starwood Preferred Guest program to determine that – surprise! – quality sleep was of primary importance to hotel guests. Thus, the high-profile launch of the Westin Heavenly Bed. Did Westin deliver the promised experience? You bet – guests have been so enamored of the celestial sleeping experience that more than 4,000 Westin customers have purchased a full-loaded Heavenly Bed, box spring to duvet.
With CRM and advertising investments in the millions, it doesn’t pay for a company to turn penny-wise and pound-foolish when it comes to the delivery of the actual customer experience. By investing in the quality of that experience, the company has a far better chance of driving loyalty and – by extension – increased profitability. Though you may have heard the old adage expressed several different ways statistically, it is considerably less expensive to keep an existing customer than to woo a new one.
So after all was said and done, what happened to Joe Hightops? Turns out the sneaker company had a CEM program in place as well. His dissatisfaction was instantly registered in a customer satisfaction e-survey. The survey was flagged by a manager, who soothed Joe’s frayed nerves with free “Air Gordon” wristbands. The team at the Chicago store was referred back to its customer service materials and a trainer flew into O’Hare that night to conduct a refresher course, just in case. And when the mystery shopping team showed up in Chicago two months later - you guessed it – free-flowing Gatorade!
Customer Loyalty Its All About the Experience Stupid - To learn more about this author, visit Rob Rush's Website.
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David AchesonDavid Acheson is the founder of DCJA Consultancy. DCJA Consultancy is a management consultancy business specialising in B2B sales consultancy. They offer bespoke and packaged sales consultancy including Sales Optimisation Review, Interim Sales Management, Sales & Marketing Review, 1:1 Sales & Management Staff Analysis, Management Training, Solution Sales Training, Creation of New Pay Plan, KPI's, run Customer Feedback Campaigns, assist with Recruitment, Coaching, Appraisals and set up Strategic Marketing Campaigns. David spent his early career in accountancy and then moved into sales in 1982, working in Office Equipment, IT, Advertising, Training, Outsourcing and Consultancy. He has held many Senior Positions in SMBs and Global Organisations including Head of Sales Operations & Head of Business Development. His knowledge, skills and great experience of the Sales Industry has led to David making keynote speeches and running educational sessions to key businesses through organisations including The Chamber of Commerce and Business Link. - Visit David Acheson's Website |
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Kim CastleWith nearly two decades in the advertising and design business, with clients like Domino's Pizza, General Motors, Direct TV, Pedigree, Wolfgang Puck, Higher Octave Music, Hollywood Celebrity Products, Disney, and Paramount, as well as thousands of entrepreneurs around the world define, structure, communicate, and position their business for greater profits, BrandU(R) co-creators Kim Castle and W. Vito Montone discovered that entrepreneurs could experience the same power that big brands command for a fraction of the cost with the world's only process-based results-drive Integral approach to business creation. BrandU(R) is helping entrepreneurs grow with the power of extreme clarity from idea...to brand...to market(TM) and helping one million entrepreneurs become successful and whole so that they can make a difference in the world. Are you one of them? If you want to experience clarity all the way to the bank(TM), get started now at http://www.brandu.com. - Visit Kim Castle's Website |
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Stephanie RobeyStephanie Robey is President and CoFounder of Pivot Positive, LLC - an Internet marketing business focused on helping people start work at home ventures. Previously, she was employed at The Search Agency with over 20 years experience in graphic design and 10 years experience in online marketing. She was responsible for launching the Conversion Path Optimization (CPO) unit where she and her team have conducted hundreds of optimization tests for online companies across multiple verticals. She is a successful entrepreneur having started and sold 2 companies and remains on the board of directors of the third, PhotoSpin.com Stephanie began her career in the direct marketing realm creating and producing direct mail for many of the major cable television companies and directly attributes her understanding of Internet marketing to those early offline experiences. Stephanie is a graduate of San Diego State University with a BFA in Graphic Arts and also holds an Executive MBA from the Graziadio School of Business and Management at Pepperdine University. Read Steph's Blog Meet Steph and Dave Sign up for our Free 7-Day BootCamp: Self Employed & Rich - Visit Stephanie Robey's Website |
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Anne BarrAnne Barr has over 26 years experience in sales and marketing, six years as a franchisee. She has assisted over 367 business owners and purchasers to achieve their goals in career change, transition and exit strategy. She holds the designation of Certified Franchise Executive from the International Franchise Association, Certified Business Intermediary from the International Business Brokers Association and Board Certified Broker from the Texas Association of Business Brokers. Anne is active in professional organizations, networking groups and volunteers for non-profit entities. As owner/operator of four successful businesses, Anne has proven people skills and enjoys helping clients find the right "fit" in business ownership. Visit www.FranchiseOpportunitySpecialist.com for more information about me and my company. - Visit Anne Barr's Website |
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John PowerJohn Power, founder of Biltmore Franchise Consulting, has extensive experience developing and marketing franchises and business opportunities. He has been in and around franchising for over twenty years. From 1980 through 1990 he conceptualized, organized, and developed the American Video Association. He grew AVA to 2,000 national members, before selling the company it 1990. It was later merged into another home video marketing company. From 2000 to 2005 he worked as a contract marketing and human resources consultant to several local and national companies. In 2005 Mr. Power began working as a franchise development consultant on a full-time basis. Since that time he has helped more than three dozen companies initiate and develop their franchising program. He notes that there are many companies interested in developing a franchise program, and who need his specialized assistance. Mr. Power is a “hands-on” franchise consultant. He said, “I am the ‘nuts and bolts’ person who tends to the details for my clients.” Mr. Power holds a B.S. degree with a major in Marketing. See: www.biltmorefranchise.com You may contact Mr. Power at: jpower@biltmorefranchise.co - Visit John Power's Website |
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