A happy customer can be your loyal customer, only if you provide services to them that are accurate and consistent. You have customer loyalty when you provide consistent guaranteed services, which they expect from you. Customer-focused companies have 1.5 times more engaged employees.
Customer-focused companies can drive revenue higher up to 4-8% than their rivals. 84% of companies, which put their customers above all, have reported increased revenue. In choosing brand loyalty, 96% of customers think that customer experience is a key factor in brand loyalty.
What is Customer Experience (CX)?
Customer experience is the customer’s cognitive mindset, the customer’s affection towards your brand, they are sensory towards your business, and their purchase behavior from your brand. When a customer is loyal to you through pre-purchase, consumption of product till post-purchase, then you have a loyal customer.
Customer experience, in simpler terms, is your professional relationship with customers. Good relations can be built by understanding customer’s needs, considering customer feedback, and measuring customer satisfaction from your business.
Importance of Customer Experience (CX)
The great Customer Experience is equally important for a growing company, as it is important for giant companies. The significance of Customer Experience is;
A satisfied customer (either from product or service) will keep running to your business every time. A study has found that loyal customers can lead you to 300% more revenues. On the opposite hand, dissatisfied customers can bring down your revenue to 14%. A dissatisfied customer will badmouth your business, and you will need to pay higher prices for it.
Great CX leads to Great employee engagement
As earlier stated, a higher CX value of your business will attract employees 1.5 times more than it normally does. A high employee engagement will lead you to higher performance. When employees are naturally satisfied with the work culture, they are going to be more productive and that eventually will help your business is growing.
Other than higher revenues and great employee engagement; one additional benefit of customer experience is brand promotion. A loyal customer will promote your brand more than you need to do. A loyal customer will attract thousands of more customers.
Top 5 Customer Experience (CX) Trends of 2021
1. AI-powered interactions
On the contrary, certain advancements in the field of Artificial Intelligence (AI) helped business owners to find an efficient strategy.
Implementing chatbots and knowledge management systems proved to be effective for tier-1 requests, while the officials could focus more on unusual complaints. And as a result, self-service tools have become more of a necessity in the present situation.
2. Remote customer service
The pandemic made our stay at home a compulsion and the same goes for the employees in any organization. Be it customer service departments as well, they had to embrace this new way of providing the same customer service right from their homes. This is yet another challenge. Factors like remote cooperation and sharing of data are instrumental.
It’s not the quality or price that brings ecstasy to the customers but the response they get from a company. It’s one of the expectations that if fulfilled, would tend to seek the attention of the masses. And with the help of the right technology, it’d be easy to bring this upshot.
4. Communication through multiple channels
As per the recent studies, it’s evident that customers now expect a business to be available on several platforms. Also, 51% of businesses are now switching as per this requirement to multiple channels and it’s indeed a need for great CX.
5. Improved data security and privacy
Lastly, there’s nothing more important than the concern for customer’s data and privacy. But it’s not for an individual to protect the same. It’s the company’s responsibility to do so. Customer service teams need to enhance and keep themselves updated to keep the security at the highest consideration.
Benefits of Having Good Customer Experience (CX)
1. Brand equity
Brand equity has a broader meaning and it includes several aspects as well. A better customer service team, delivery before the mentioned timeline, and maintaining the quality of products and services are some of the necessary factors. On the contrary, if it’s all the opposite of what we initially mentioned, it’d eventually lead to negative brand equity.
2. Engaging the existing customers
It’s easier to engage the existing customers and keep them elated, but more expensive to acquire new ones. If a company keeps its customers updated via email, messages, and phone calls, it’s certain to make an impact. So, if they contemplate buying another product, they’d look no further than the ones they already have a bond with.
3. Reduced service and marketing cost
CX management enables the team to inspect clearly what the customers are buying and what they’d need in the foreseeable future. The sales process makes them aware of the ongoing trend. With the help of this data, a company can look up to the consumer’s requirement, thereby, becoming a trustworthy brand in the market.
4. Better crisis management
Dissatisfaction with a product and improper customer service is going to make it worse. If a company sticks with the customers through more interaction, it’ll also avoid the setbacks and fill the voids.
5. Improved customer conversions
Though it may seem reasonable to focus on increased revenue, it’ll be of better worth if relationships are more prioritized. Better customer experience reflects when their feedback is also positive. Genuine interactions will add more value, thereby, increasing conversion rates for any company.
How PIM Improves Customer Experience (CX)?
Product Information Management-PIM is a tool that is enriched with product data. PIM is a central platform of product data and it organizes, synchronizes, manages, distributes, and filters product data. PIM can significantly affect Customer Experience. Adaptation of the PIM tool will make your customer happy, in the following ways.
1. Rich Products Information
Through PIM, your business can have rich product information. When a customer is making a purchase decision, rich product information is the backbone. On E-commerce platforms, customers completely rely on product information while buying a product, so they need accurate and precise data of the product.
If you are not a B2C market and are a B2B market, then also rich product information is needed for your successful business. You need to provide accurate product information to your retailer and resellers so that they can trust you with the product.
2. Hit Bull’s eye in the first attempt
With perfect and genuine product information, your customers can hit the bull’s eye on their first attempt. Through PIM, every single detail of the product is shown to your customer, the way it is without any fallacy. When customers buy exactly what they want with the right information, then they are not going to return the product.
When you have minimal product return, you have maximum benefit/profit. You don’t need to worry about product denial or product return at all. It is found that 22% of products return happens because the customer receives a whole different product than they had seen online. With PIM, you can save the cost of product returns.
3. Consistent Product Data
If you were a customer, how would you feel if you can’t find product information about one product which you had just seen yesterday? Pretty awful, right? Consistent product information is very crucial. It is so easy to post product information on an e-commerce platform without validating the information.
When you post product information without validation, chances are there that you end up posting irrelevant data. With PIM, you will never be in a panic situation because PIM already has relevant product information securely stored in its central platform.
4. Faster Time-to-Market
With enriched product information, you can launch new products more quickly than your competitors. You have accurate product information in your hand that you can use easily. You don’t need to jumble on different platforms for product information before launching a new product.
When you have faster time-to-market, your loyal customers would be pleased to see new products on their reliable platform. Customers will feel more important as their favorite brand has launched a new product before any other platform has launched. This will end up having a decent customer experience.
5. Multilingual PIM
PIM has the tool of Multilingual. This tool of PIM can make a website’s content available in different languages. This feature will make customers feel more special and a better customer experience will be achieved for your business.
When customers see a website in their native language, they can connect more to the product and your business website. This multilingual feature of PIM will attract customers to buy products from your e-commerce platform only.
6. Data Security
PIM is a central platform for the storage of product information. Security and safety are the top-most priority of PIM. With PIM, you will never lose a single data of either of your product or customer’s feedback. The secured data is stored in a central platform so you never lose data.
If the customer has shown their interest in buying a product, and when you remind them to buy the product with help of PIM data, then they are going to get a whole different level of customer experience.
How to Measure and Analyze Customer Experience (CX)?
Before starting the measurement and doing analysis for CX, you need to be ready with data of ideal customers- whose results you want to measure, their journey’s key points, and insights of customer feedback.
The indicators of Measurement of Customer Experience are
1. Customer Effort Score
This indicator measures the level of difficulty customers faced throughout the action of purchase. This CES indicator is helpful after customer service. This is the kind of customer survey, where customers mark you based on the service you provided them.
You can ask customers questions regarding, “How difficult it was for you to purchase a product?”, “How long you had to wait till you find a proper solution for your query?”, and many more. Once an ideal customer becomes a loyal customer, you can ask them to fill the survey for customer satisfaction and your reputation.
2. Net Promoter Score
This indicator is simple; it has simple questions for customers. In this survey, you need to ask customers questions regarding if they would promote your brand to others or not. With some simple closed-ended questions, you can get your answers.
If you have a higher number of positive responses, i.e. Customers are more likely to promote your brand- recommend your brand to others, which means you have successfully created a positive impact of your business on your customers.
3. Customer Satisfaction Score
This indicator is measured after taking a survey on customer’s satisfaction with products and services. This survey is different from others because it specifically lets customers elaborate or rates the areas from where they are satisfied or dissatisfied.
This survey’s results will create a huge impact on your business. You can get insights into where you can improve and where you are doing best. This Survey will take you one step ahead to your success.
4. Time to Resolution
TTR is the average duration of time it takes to close the issue ticket raised by a customer. It can be measured in days or by adding up all the times you took to solve the customer issue. The quicker the timer, the more advanced you are.
If you need more time in closing the issue tickets of customers, then you are lacking in doing your core activity. Customers should always be your priority. You have to focus on their issues for having a better customer experience.
Analyzing a customer’s journey has become a fundamental need for the growth of your business. Customer Experience is key to a successful business. Once you have in-depth knowledge and data available with you, then you can perform the above tests to check the level of customer experience from your business.
For boosting sales/revenues, having a competitive edge, reducing customer churns, better customer satisfaction, and customer retention, customer experiences are very important. You can improve your customer experience by enhancing your resources, Omni-channel supports, and social media support.