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Inside the Customer Experience Presented to: ASQ Spring Seminar March 31, 2011 By Susan Abbott
Where we are going Ways to understand the experience Model of customer experience Rate your value chain A fast tour of behavioral science Onboarding, service recovery and response time The (most) fun part
Ways to understand the customer experience
The successful strategists of the future will have a holistic empathetic understanding of customers and be able to convert somewhat murky insights into a creative business model that they can prototype and revise in real time.  To do all that, they’ll have to be good communicators, comfortable with ambiguity and ready to abandon the quest for certain, single-point answers.  Roger Martin, Dean, Rotman School HBR March 2011
Highly customized  hard to standardize Almost always involves personal contact Usually multiple individuals involved on both sides Both sides have risks   The transaction is usually not the end goal B2B is different than B2C
But  we are still dealing with human beings Filled with emotions And wired for survival
Four biggestmistakes:  Assuming that functional considerations matter most  Assuming decisions are primarily rational   Mistaking positive interpersonal for added-value relationship Thinking that the customer thinks the way you think
We are mostly loss-averse
The Peak-End Rule
Why “delighting the customer” is so difficult
Fast response to online queries = results Less than one hour is 60 times as effective as 24 hours or more
Effective onboarding improves retention and revenue 60% of cross-sales happen within the first month.
In the self-serve era, we solve the majority of our problems ourselves
The Before + After Tool Our Experience in the Future Our Experience Today
Susan Abbott Abbott Research + Consulting susan@abbottresearch.com www.abbottresearch.com www.customercrossroads.com Twitter @susanabbott

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Inside the customer experience ASQ-2011 Spring Seminar

  • 1. Inside the Customer Experience Presented to: ASQ Spring Seminar March 31, 2011 By Susan Abbott
  • 2. Where we are going Ways to understand the experience Model of customer experience Rate your value chain A fast tour of behavioral science Onboarding, service recovery and response time The (most) fun part
  • 3. Ways to understand the customer experience
  • 4. The successful strategists of the future will have a holistic empathetic understanding of customers and be able to convert somewhat murky insights into a creative business model that they can prototype and revise in real time. To do all that, they’ll have to be good communicators, comfortable with ambiguity and ready to abandon the quest for certain, single-point answers. Roger Martin, Dean, Rotman School HBR March 2011
  • 5.
  • 6.
  • 7. Highly customized  hard to standardize Almost always involves personal contact Usually multiple individuals involved on both sides Both sides have risks  The transaction is usually not the end goal B2B is different than B2C
  • 8. But  we are still dealing with human beings Filled with emotions And wired for survival
  • 9. Four biggestmistakes:  Assuming that functional considerations matter most  Assuming decisions are primarily rational  Mistaking positive interpersonal for added-value relationship Thinking that the customer thinks the way you think
  • 10. We are mostly loss-averse
  • 12. Why “delighting the customer” is so difficult
  • 13. Fast response to online queries = results Less than one hour is 60 times as effective as 24 hours or more
  • 14. Effective onboarding improves retention and revenue 60% of cross-sales happen within the first month.
  • 15. In the self-serve era, we solve the majority of our problems ourselves
  • 16. The Before + After Tool Our Experience in the Future Our Experience Today
  • 17. Susan Abbott Abbott Research + Consulting susan@abbottresearch.com www.abbottresearch.com www.customercrossroads.com Twitter @susanabbott

Editor's Notes

  1. Ask for the ways to do each of these things.What are the strengths and weaknesses of each way.
  2. If you want to influence the user experience, you can’t do it directly. I’m trying out a new metaphor here with the hand…. Process – the steps involvedPlace – where something happens – today, that could be a virtual place, including the web, telephone, cell phone, or on your propertyPeople – what are the people I am interacting with like? What are they doing? What are their behaviors? Do they create an impression of people who know what they are doing, people who care?Product – this is what people answer when you ask them what they are doing, buying, paying for. (only marketing people say they are buying happy memories. Real people say they are buying a trip to Disneyland)Communication – this is everything everyone says in person, on a web site, in a brochure or poster. It’s not just the words, it’s the whole communication message.On the person side, we have the experience of the experience. Psychological benefits e.g. happiness, security, joy, feeling carefree, feeling like a good parent, feeling like a contributing community member as a volunteerWe have Rational benefits – e.g. if I walk or run on a schedule, I will be more fit. We have sensing benefits – the feel of water on your skin, the smell of trees, the taste of hot chocolate at the arena.
  3. Handout exercise – take a few minutes and look at it for your own business – 5 to 10 minutes. Share observations – has anyone done this on a larger scale?Often called customer journey mapping.
  4. When you think about your value chain – where do you think customers are experiencing the most sense of “loss”
  5. When you think about your value chain, where is the peak? And what is happening at the end?
  6. Companies with effective onboarding processes do more than just gather revenue – they also open more accounts50% lower attrition reported by one bank after a new customer orientation program introducedSales results aren’t reflective of heavy handed tactics – they are reflective of better experience.
  7. We now self-serve for the things that are the most common problems. That’s why we call them FAQ.So almost by definition, what is coming in to your call centre today is a problem that is not ordinary.