How to Thrive: The
Customer Experience
Ecosystem
Loras College Business Analytics Symposium
Vizability LLC
March 16, 2016
•  Background
•  What is Customer
Experience (CX)?
•  CX & Analytics
Agenda
•  The CX Trend
•  CX Impact
•  CX Challenges
•  Real World CX
•  Tune In
•  Voice of Customer
•  Case Studies
•  How to Thrive
•  Vizability Ecosystem
•  Take Aways
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
What is CX?
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Whatever
your
customer
thinks
it is!
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
CX is:
•  “The sum of all experiences at
various touch-points a
customer has with a supplier of
goods and/or services, over the
duration of their relationship
with that supplier.”
•  An outside looking in approach
to your business
•  Essential in creating any
transformation
•  Uncovering what delights the
customer—or not
•  Enabling the appropriate
people, process, and
technology
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Wikipedia
The following items are just
pieces of the overall CX:
•  CX is not customer service.
Customer service is a reactive
situation usually relating to an
inquiry or problem.
CX is not:
•  CX is not user experience (UX).
UX is limited to a single or
limited number of technical
touch points.
•  CX is not user interface (UI).
UI is usually limited to how a
technical interface appears to
the customer.
•  CX is not addressed by a
minimum viable product (MVP).
MVP provides only a start to CX
to help ensure things start out
on the right track.
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
CX & Analytics
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WHAT ISN’T
MEASURED
ISN’T
IMPROVED
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The Numbers
80% of executives
think they deliver
“excellent” customer
experience.
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Bain & Company Report: “Closing The Delivery Gap”
The Numbers
8%
Only
of customers
think they deliver
“excellent” customer
experience.
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Bain & Company Report: “Closing The Delivery Gap”
YOU GET
WHAT YOU
MEASURE
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Measures Drive
Behavior
•  Product/Service
•  Performance
•  Innovation
•  Customer Satisfaction
•  Sales
•  Support
•  Accountability
•  Who is responsible?
•  How are the results shared in the organization?
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Big Data is Dead
•  Big does not mean better
•  “Big Data” = complex, slow moving, introspective
•  Large enterprise initiatives with no real-world application/goals
spelled out from the start are doomed to fail
•  Customer-centric data
•  Business-led initiatives based on customer-centric goals
•  One source of truth
•  IT enabled
•  Actionable is key
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Measure Something
Chose what you can take action on…
26% believe quantitative or “hard data”
is actionable
23% believe qualitative or “soft data”
is actionable
51% believe both are actionable
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: InMoment, “Gaining a Competitive Edge by Optimizing B2B
Customer Experience”
Why Analytics?
•  Businesses need to define success in
measurable terms
•
•
Key Business Objectives (KBO)
Key Performance Indicators (KPI)
•  Businesses need multiple measures
•
•
•
Businesses usually have financial measures
Businesses often have operational measures
Businesses rarely have CX measures
•  Businesses fly blind without analytics
•
•
No idea where the biggest opportunities are
No idea how to prioritize
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
CX Trends
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IT’S OFFICIAL
CX IS IN
CHARGE
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Source: Adobe, “2016 Digital Trends”
CX is a mega-trend.
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Adobe, “2016 Digital Trends”
CX Impact
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
CX Drives Sales
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Medallia, “The Guide to Customer Centricity”
CX Drives Sales
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Medallia, “The Guide to Customer Centricity”
CX Improves ROI
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Forrester, “The CMO’s Blueprint for Strategy In the Age of the Customer”
CX Builds Value
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Harvard Business Review, “Why Strong Customer
Relationships Trump Powerful Brands”
CX Benefits
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: InMoment, “Gaining a Competitive Edge by
Optimizing B2B Customer Experience”
Creative Destruction
Creative destruction
refers to the
incessant product and process innovation
mechanism by which new production units
replace outdated ones. It was coined by Joseph
Schumpeter (1942), who considered it 'the
essential fact about capitalism'.
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Creative destruction – MIT
Creative Destruction
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Source: INNOSIGHT, “Creative Destruction Whips through Corporate America”
CX Challenges
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CX as a Core
Strategy
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Digital Doughnut, “Customer Experience – The Next Strategic
Business Imperative”
Who Owns CX?
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Digital Doughnut, “Customer Experience – The Next Strategic
Business Imperative”
Hurdles
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: InMoment, “Gaining a Competitive Edge by Optimizing B2B
Customer Experience”
How to deliver
exceptional CX?
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Digital Doughnut, “Customer Experience – The Next Strategic
Business Imperative”
Real World CX
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Tune In:
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Medallia, “The Guide to Customer Centricity”
DO YOU
THINK?
OR
DO YOU
KNOW?
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Voice of Customer
your customer,
•  In the words of
why do they hire you?
your customer,
•  In the words of
why do they fire you?
•  Listen across all channels and devices
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Increased Revenue
“86% of consumers
will pay up to 25% more
for a better customer
experience.”
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Right Now & Harris Interactive, 2011 Customer
Experience Impact Report
CX Case Study
(Show me the money!)
UBER
•  Founders were sick of SF taxi experience
•  CX focus
•  Demand-based pricing
Disrupt yourself
© 2015 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: Right Now & Harris Interactive, 2011 Customer
Experience Impact Report
CX Case Study
(Listen!)
SMB SaaS Technology Company
Situation:
•  Frustrated with
growth
•  No recent contact
with customers
•  Limited data
regarding
conversion,
attribution, etc.
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Steps:
•  Anecdotal research
•  Customer life cycle
analysis
•  Hot spot analysis
•  Customer surveys
•  Revised messaging
What’s Churn Got To
Do With It?
•  QUIZ: How much more does it cost to acquire a
customer vs keep an existing one?
a.
b.
c.
d.
2x
3x
4x
5x
•  How much of your budget is spent on
marketing / sales?
•  How much of your budget is spent on CX?
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: IBM, “Capturing hearts, minds and market share”
Are YOU listening?
(Or are your competitors?)
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Source: IBM, “Capturing hearts, minds and market
share”
How to Thrive
… a practical guide
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Vizability Ecosystem
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Customer | Growth
• Marketing
Demand generation based on the value proposition
• Sales
Align, qualify, close
• Product
Product life cycle management
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Customer | Operations
• Delivery
of value proposition end-to-end; keep the
promises made by Product/Marketing/Sales
• Support Functions
Legal, HR, IT, Finance
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Growth | Operations
• Talk
Know what the left and right hand are doing
and vice versa; involve the customer
• Plan
People + process + technology end-to-end
between growth | operations
• Build
The planned capability/capacity
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Take Aways
•  START SMALL – measure something
•  Make your measures ACTIONABLE
•  LISTEN to the customer – “Help me help you.”
•  ACCOUNTABILITY is key
•  DISRUPT YOURSELF!
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
Cathy Carlson
Questions?
•
•
•
ccarlson@vizability.net
LinkedIn –
www.linkedin.com/in/
cathycarlson1
Twitter - @cathycarlson
Bruce Barchus
•
•
•
© 2016 Vizability LLC. All rights reserved. Do not replicate, copy or distribute.
bbarchus@vizability.net
LinkedIn www.linkedin.com/in/
brucebarchus
Twitter - @bbarchus