Shaping the Next Generation of Customer Experience - Insights and Trends

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Learn about the latest trends in customer service innovation. CallPoint, now part of the global TELUS International family, serves the customer care needs of numerous U.S.-based Fortune 500 companies. Hear what works and what doesn’t, and where customer service is headed when it comes to online, social, and mobile customer care. Also learn strategies for connecting with the next wave of Generation Y consumers, predicted to have more spending power than any other generation.

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  • <Gregoire to introduce Carolyn in French> Carolyn: Bonjour!  Merci!  Je m’appelle Carolyn Crews et je suis ravie d’être avec vous aujourd’hui. Hello! Thank you! My name is Carolyn Crews and I am very happy to be here today speaking to all of you. We’re going to talk about shaping the next generation of customer experience. And I’m going to share some of the trends we see in North America when it comes to e-commerce and online shopping - and the impact on customer experience. I’ll then leave some time for questions. So please feel free to ask your questions at the end of the presentation.
  • Let me start by sharing our perspective…We serve the customer care needs of some of the world’s largest & most respected brands – which gives us some great insights into what works and what doesn’t when it comes to delighting customers and delivering that great, consistent, customer experience. For those not familiar with TELUS International... we are a fully owned subsidiary of TELUS Corporation – our $23B telecommunicationsparent (based on market cap) headquartered in North America.For more than 100 years, TELUS has delivered communications solutions to consumer and business markets across Canada and now serves almost 13M customer connections spanning wireless, wireline, Internet and TV solutions. - As its global outsourcing arm, TELUS International and its 15,000+ team members deliver contact center and BPO solutions. Our multi-site, multi-language solutions are delivered from the best locations throughout North America, Central America, Asia and now Europe – handling over 150M customer interactions annually via voice, chat, email and social media.- Just last year, in 2012, CallPoint joined our global BPO family – enabling us to extend our customer service solutions throughout Europe with an additional 30 languages. - We believe being backed by TELUS is a great differentiator in the contact center outsourcing space. Not only does it give us carrier-grade infrastructure and solid financial backing (meaning we won’t disappear overnight!) – but also, it gives us the “know-how” to really serve customers. Our parent company has 13M customers of its own, so we know what it takes to deliver on a brand promise – to deliver exceptional customer interactions day in and day out in an extremely competitive market.
  • Now that you know a little bit more about us – I’m thrilled to share how we see the things when working with our clients, ranging from high-growth start-ups like gaming companies to large high-tech / e-commerce Fortune 100 companies. I believe these customers partner with us because we really enable their business and bring something unique to the table. As an outsourcer serving numerous clients, we are able to share best practices across industries. This “sneak peek” into what other companies are doing to deliver exceptional customer experiences can be really valuable. And we feel it’s our job to......enable customer experience innovation through spirited teamwork, agile thinking and a caring culture that puts customers first.which just so happens to be our value proposition too. - So let’s jump in to what’s happening with North American customer experience trends...
  • - First, I’d like to set the stage with some US statistics which point to some big impacts on customer experience.We all know that e-commerce sales are growing – especially in Asia and Europe – with the US following suit. In the US, e-commerce sales totalled over 225B – a nice 16% jump from 2011 to 2012. This is on par with Europe – also with a 16% increase year over year – and Asia at an impressive 26% increase year over year. (source: Internet Retailer) It’s obvious that more people are going online to make purchases – and that trend will continue. – People are also becoming more and more comfortable buying different items online. US online sales at Amazon for 2012 is a good example of what people are buying via the Internet in the US. Not surprising, electronics and computers continue to reign supreme – but there are other interesting categories like automotive that are starting to appear on the radar screen.(and while you can’t buy a car on Amazon, people are even buying those online without ever seeing or driving them first!)
  • Part of this ecommerce and online shopping trend is fuelled by a very powerful group of consumers – Generation Y (those born between 1980 and 2000). It’s one of the largest and most unique segment of customers since the Baby Boomers. And for many companies – Generation Y is a game-changing force not only as consumers but as employees.Tied very closely to Generation Y and e-commerce is both the growth in mobility - and the demand for social media as a customer service channel. Today’s consumers are interacting with brands very differently. They expect anytime, anywhere, any-device access to companies. This new breed of consumer also expects their interactions with brands to be special. This has forced many large brands to look inward - not just at their go-to-market strategies, but at their cultures - to see if they have what it takes internally (via happy, motivated people) to deliver exceptional customer interactions.Considering these big shifts underway – what’s the impact on customer experience?Background info: Optional details if needed:Zappos Culture Book - http://www.zapposinsights.com/culture-bookThe culture book is a collage of unedited submissions from employees within the Zappos Family of companies sharing what the Zappos culture means to them.  A new version is created each year and it reflects the true feelings, thoughts and opinions of the employees. 
  • <Slide animation – numbers appear when clicked>- From working with our contact center clients, we see three big trends.First – Generation Y (also known Millennials). Between the ages of 12 – 32, they are one of the largest customer segments. And yes, while it’s a big span in age, there are definite trends and common characteristics of this generation. Second – the proliferation of customer contact channels. Customers demand access to companies like never before. As a result, channels like chat and social media for customer service are no longer options. Even some of the biggest US brands are just starting to launch these channels. Third – the role of culture in shaping how well an organization delivers on customer service. It’s very competitive and hard to stand out these days. But if you can master a corporate culture founded upon excellent customer service – you’ll have something very special in the market. - Given these trends, consumers want to interact with brands very differently today, and this means that contact channels & customer experience need to keep up.Let’s explore each one in more detail.
  • In short, Generation Y matters to business.<refer to some stats on slide>- All of this means a lot of people heading towards their peak earning years, controlling and influencing a lot of spending.- But providing customer service to Generation Y has its challenges. This generation has grown up in a connected world and is renowned for their social-media savvy and exceptional multi-tasking. Their digital coolness comes with a few labels including: impatient, demanding, and seekers of instant gratification.- This requires a different approach to serving them as both employees and customers.
  • <Slide animation – Translation appears on mouse click | Video – to play>- Contact centers have always been very transactional – efficient – with metrics like Average Call Handle Time taking center stage. The faster you answer calls and get customers off the phone, the better.- But now, this metric is being thrown out the window for most of our clients. What matters now is Customer Satisfaction and even more important, Net Promoter Score or Likelihood to Recommend. That is, customers will recommend your products/solutions to their friends and family based on their experience and interactions with your brand. For some of our big clients, Net Promoter Score is the only metric that matters.- But how do you get Generation Y to like you – and then share it across their own networks? - It’s all about adopting the Generation Y mindset – which can be easier said than done!- How do you communicate with a group that talks (or I should say, texts) like this? Is this English? - Or wants work to be like this? (which by the way, is one of our call center recruitment commercials running in Guatemala)
  • <Slide animation – images appear when clicked>Good news – Generation Y is shopping defined and companies are paying attention. But when it comes to customer service and delivering a great customer experience, what do you need to emphasize for Generation Y? We’ve narrowed it down to 4 best practices used by our clients:Customize & personalize – Generation Y seeks out only the information that is relevant to them. As brands, you need to help them focus on the products and features that matter most to them. Make it easy for them to research the products they are considering – and offer personalization along the way. For those not familiar, Macy’s is a mid-range to upscale chain of department stories in the US selling everything from clothing, to electronics, to housewares – with approx. 800 physical locations throughout the US – as well as an extensive online shopping site. This would be similar to Galeries La Fayette in Europe. (http://www.galerieslafayette.com/)Macy’s is putting high priority on Generation Y with the retailer’s implementation of its Millennial initiative – rolling out more than 20 clothing brands targeted at the Generation Y group.2. Be accessible & fast – this means being available in the right channels, at the right hours, with the right response times. Generation Y lives online and are used to a 24 x 7 environment. They live through social media. They expect access to you on evenings and weekends. 3. Make it shareable & visual – Generation Y shares what they like, including their great experiences. They also buy with their eyes. Use video and images where possible and make it easy for them to share great experiences. (extra stats if needed)Sharability of retail experiences is twice as important to Gen Y as it is to Boomers (Brodeur Partners)60% of Generation Y produce and upload online content, including photos, videos, wiki entries, blog posts, micro-blog posts and product/service reviews, compared to 29% of non-Gen Y (Barkley)68% of consumers report using YouTube to browse and research retail companies (Google)4. Extend the experience – Generation Y have fewer dollars to spend than previous generations – but they are willing to spread that spending out over multiple pay periods. A good customer service tactic we use with our clients is to influence this future spending now by cross-training customer service agents with sales skills to offer promotions and incentives to come back
  • The next big trend: customer contact channels will continue to grow – especially with chat and social media. Companies need to be accessible. If customers can’t find you – it’s never their fault! Take the Netflix example here (Netflix being one of the largest streamers of digital entertainment/movies) – Netflix integrated with Facebook just last week. Netflix knew they had to go where their customer are...and as a result their stock price increased with this announcement.Overall – brands need to be accessible...- The use of virtually all interaction channels are growing, with customers creating more interactions than ever before. (source: 2012 NICE survey)- In fact, consumers are using an increasing number of interaction channels to contact an enterprise, with an average of six different channels used.Regardless of which channel they choose to initiate contact with an organization, if they cannot easily achieve resolution, most will turn to the contact center. So even give the rise of these other channels, voice still remains a primary contact channel. As you know, voice interactions – calls coming into the call center – have the highest cost. So that’s where we focus our efforts helping our clients, not only with their voice programs, but also helping them offload some of that voice work by establishing best practices in alternate channels like chat and social media.
  • - Let’s look at Chat first.- Surprisingly, even with all the benefits that a chat program offers (lower cost, real-time interaction, shopping cart abandonment reduction, screen sharing, ability to multi-task) chat market adoption is still not universal among big US brands. It is however, increasing quickly. - Looking at the best practices we put in place for our clients, there are 3 areas that deliver tremendous results in chat customer service: Chat training that focuses on softer skills – this involves training agents specifically for chat, knowing that a chat agent is very different than a phone agent. Chat agents must know how to construct a conversation flow with the right voice and tone, as well as the appropriate amount of personalization to use with customers. Even training on basic writing skills will determine how effective your chat sessions are.2. Focus on the chat metrics that foster the right agent behavior: in the past, most companies with chat programs focused heavily on efficiency metrics like Average Handle Time and Chat Sessions per Hour. These metrics are still critical to an efficient chat program, but to improve results, customer experience metrics have to come first – as this drives the right types of agent behavior. Agents no longer have to rush customers off of a chat session to hit efficiency metrics. And they can also take the time to use their soft skills to uncover customer needs during the chat session that could potentially lead to more up-sell and cross-sell opportunities. 3. Reduce customer effort in the chat channel – make chat easy for the customer to find on your site – not just buried on the support page, but while the customer is proactively looking and shopping online. Consider the use of proactive chat when certain business rules are met on your site – like time spent looking at a certain item. Make chat come to them by having a proactive popup chat window appear – as you can see in the Dell example on the slide. And once in a chat session, make it easy for the customer to interact, understand and get the information they needfrom your chat agents. Don’t simply push links at customers and make them look up stuff themselves. By building chat programs around these best practices, we’ve seen some very impressive customer satisfaction scores as well as sales ROI for our clients.
  • Now looking at social media...As mentioned earlier, one study indicated that within 5 years, social media interactions at call centers will be equal to the number of voice interactions (DMG Consulting)Social media is definitely here to stay and we’re now seeing a lot of our customers and big US companies move from corporate social media channels for marketing and public relations – to social media channels dedicated to customer support. But even among the big US brands – strategies for social media customer support vary widely. When HP first launched their Facebook Help page – it had very little direct HP intervention. Rather, the channel relied on customer-to-customer support. This was very different from Best Buy’s social media approach, where it’s entire team was trained on social media and encouraged to proactively tweet and solve customer problems. Google was also unique as one of the early adopters of using video to help solve customer issues (maybe not that surprising since they purchased YouTube back in 2006). And as a final example listed here, you have Apple – which for the most part has stayed away from social media, unless its on their own company site – in their Apple-branded forums. With a large pool of Generation Y, hyper-connected, social agents, we help clients launch or supplement their social media support efforts – including social listening and monitoring, responding to requests on Twitter and Facebook, and proactively sending out posts to prevent calls coming into the call center in the first place.
  • <VIDEO>- The final big trend we see – which underlies basically everything a company does is Culture.- Few corporate leaders doubt the benefits of a strong company culture, which can help recruit and retain the best staff, motivate employees at all levels to act in the best interests of clients and the company, encourage quality customer service and drive the business forward. - The truth is, culture cannot be easily developed, nor can it be easily replicated. That’s why the right culture – focused on what matters most to the organization – can be a significant differentiator among companies providing similar products or services. Culture also has a big impact on the frontline – and therefore, on how your agents interact with customers. Today, culture also means being social. We are living in a very connected world and in many ways the workplace needs to keep up.In the past, work and personal interactions were very separated. At work you accessed your work email – and at home, you accessed your personal email. Well that has changed – especially when dealing with Generation Y agents and Generation Y customers.Instead, we need to “work socially” in order to better connect with our employees as well as our customers.To truly engage with younger generations we have to offer tools that are familiar, relevant and easy to use. We also know it’s important to connect our agents so they feel like one team – so they can deliver that unifying customer experience. To do this, we created T-Life – our internal social network launching globally throughout our call centers. As you’ll see, it includes features that truly empower our team members and our agents while building a sense of global community. My favorite feature is being able to order a coffee or snack and have it brought to your desk! But other simple ideas like including a schedule swap feature – where agents can swap shifts with other agents with similar skill sets serving the same client is a huge motivator. Scheduling is often a big driver of agent attrition, and Schedule Swap aims to empower and motivate agents to take more control of their work. <PLAY VIDEO>
  • - For us and our US customers, culture also means building a sense of community. We want agents to bring their personal life into the workplace. It’s about getting to know the person – not the employee. If you leave, you’re leaving more than just work behind – it’s a whole community.As just one example, we have all of our employees leave their hand print on our “community wall” – right from the frontline agent to the President of TELUS International.
  • <Three videos to play>And of course, culture also means people.It’s important to attract and retain not only the right people for your business – but also attract the right people to serve your customers. We talk a lot about cultural alignment with our clients and the fact that our agents need to relate completely to their customers. This means Generation Y serving Generation Y – or Gamers serving Gamers.We also believe that happy agents = happy customers. Sounds simple. But if you take a video camera around your call centers, and ask people to speak freely about your company, you may be surprised what they say. We did just that across TELUS International centers in Manila, Central America and Europe. Here’s what they had to say….<play videos one by one>- After hearing them, it’s easy to see how being happy at work carries over to serving customers.
  • - Finally, culture means having a purpose. - Corporate social responsibly (or CSR) is becoming more of a strategic advantage as organizations look to align themselves with partners that embrace good corporate citizenship – and employees want to be part of something bigger. - To attract the right people – both employees and customers – brands need to stand for something – have meaning.- We see more and more of our outsourcing clients adopting CSR initiatives including joining our own CSR activities across the globe.- For perspective, TELUS was named the most the top philanthropic corporation in the world with our “we give where we live philosophy.” A real honor given that we were the first Canadian corporation to receive this award with previous honorees including AT&T, America Express, Johnson & Johnson, and Walmart.- TELUS, our team members and retirees have contributed more than $300 million (224 million EUR) to charitable and not-for-profit organizations and volunteered 4.8 million hours of service to local communities since 2000.- We believe CSR is linked with helping us to do better for our customers. In our business – there’s a simple formula: happy agents = happy customers. If you’re creating a platform for your employees to make a difference and give back to their communities – this will have many benefits. If employees feel good about where they work, that will translate into enhanced engagement and agent tenure. This in turn translates into enhanced competency which means better customer service. - Our annual TELUS Days of Giving now extends across the globe. In Central America thousands of our team members come out to build entire schools for young children. Likewise, in the Philippines, we are building almost 200 homes for the nation’s poorest families. What’s equally important is that our clients often join us for these events.
  • Add closing and transition over to questions – Gregiore. Question from audience: Given that culture makes such a difference, how do you ensure that TELUS International’s culture aligns with a particular client's culture?
  • Shaping the Next Generation of Customer Experience - Insights and Trends

    1. 1. E-commerce One to One Shaping the next generation of customer experience North American insights & trends E-commerce One to One March 21, 2013 Carolyn Crews SVP, Global Marketing & Sales TELUS International | @TELUSint
    2. 2. Our perspective We serve the customer care needs of some of the world’s largest & most respected brands.  CallPoint joined the TELUS International family in September 2012  Global arm of TELUS: $23 billion (17 billion EUR) telecommunications parent, 13 million customer connections  Established in 2005 providing contact center outsourcing solutions  Over 15,000 team members across North America, Central America, Asia & Europe  Care, technical support, sales, credit & collections  150 million+ customer interactions annually via voice, email, chat & social media Global 100 Most 12 consecutive years – Awarded world’s Sustainable Dow Jones Sustainability top philanthropic Corporations World Index corporation2
    3. 3. Our perspective We enable customer experience innovation through spirited teamwork, agile thinking and a caring culture that puts customers first.3
    4. 4. Big shifts are underway Impressive U.S. data suggests big impact on customer experience  E-commerce is growing:  U.S. e-commerce sales totalled $225.5 billion (171.8 billion EUR) in 2012 – up almost 16% from 2011 (U.S. Commerce Department)  Everything is for sale:  What are people buying online? A look at Amazon.com sales (U.S.):4
    5. 5. Big shifts are underway  Generation Y is a game-changing force:  Generation Y will be nearly half (50%) of all U.S. workers by 2020  Consumers are mobile:  By 2015, more U.S. consumers will access the Internet through mobile devices than PCs (IDC)  Social media is expected:  Within 5 years, social media interactions at call centers will be equal to the number of voice interactions (DMG Consulting)  Brands realize the value of culture to attract & serve customers  Companies see the effect of behavior on performance – example: Zappos Culture Book – captures what culture means to employees5
    6. 6. How we see it What’s impacting customer experience today?1 Generation Y – the next big customer service wave2 Chat & social media – companies need to be accessible3 Culture holds the key – brands need to stand out from the crowd6
    7. 7. Trend 1: Generation Y 1 The next big customer wave  Generation Y matters to business:  Generation Y world population (ages 12-32) is just over 2.4 billion people  Generation Y will be nearly 50% of all US workers by 2020  Generation Y spending is almost $200 billion (153 billion EUR) / year  By 2017, Generation Y will have more spending power than any other generation A lot of people heading towards their peak earning years, controlling & influencing spending 7
    8. 8. Trend 1: Generation Y Adopting the Generation Y mindset  How do you communicate  And acts like that? Requiring with a group that texts like fun & social in everything this? they do? “Omg jk!! LOL u kno ily. Nyway watchu doen 2nite? I g2g 2 din wit da rents but bbl. U hangen out?” Translation: “Oh my gosh I’m just kidding! Laughing out loud. You know I love you. Anyway, what are you doing tonight? I have to go to dinner with my parents but I’ll be back later. Are you hanging out?” 8
    9. 9. Trend 1: Generation Y Serving Generation Y – best practices 1. Customize & 2. Be accessible, personalize be fast Gen Y 3. Make it 4. Extend the shareable & visual experience 9
    10. 10. Trend 2: Chat & social media 2 Chat & social media – be accessible  Contact channels keep growing especially with rise of social media & chat  But…virtually ALL interaction channels are growing (voice, email, chat, social) with customers creating more interactions than ever before  12% rise in web self-service, 24% rise in chat usage, 25% increase in community (social forum) usage in the past 3 years (Forrester) Serve customers where they are, when they want, in a consistent manner 10
    11. 11. Trend 2: Chat & social media Chat still offers a lot of opportunity  Chat market adoption is increasing but still not universal among big brands  We see best results when:  Chat training emphasizes soft skills  Chat metrics foster the right agent behavior  Chat is easy for the customer 11
    12. 12. Trend 2: Chat & social media Social media is expected  Best practices for social care are emerging but strategies differ among high-tech leaders  Examples:  HP’s use of social channels for customer- to-customer support with little direct intervention  Best Buy’s extensive use of employees empowered to provide proactive social care via Twitter  Google’s use of “how to” videos, taking advantage of rich media capabilities to provide customer support  Apple’s use of company-owned branded support communities 12
    13. 13. Trend 3: Culture! 3 Brands need to stand out – but how?  Culture!  Great companies are enabled by great corporate cultures  Attracts and keeps the best people  Makes emotional connections  Creates memorable moments  Encourages quality customer service Start from the inside – do you empower your people to work socially – just like customers? 13
    14. 14. Trend 3: Culture! Culture = community  Build a community – not just a company  Bring emotion into the workplace  Measure happiness Our community wall in Central America 14
    15. 15. Trend 3: Culture! Culture = people  Focus on attracting & retaining the right people to serve your customers:  Generation Y serving Generation Y  Gamers serving Gamers  Invest in your frontline where happy agents = happy customers Philippines Romania Guatemala 15
    16. 16. Trend 3: Culture! Culture = purpose  Both consumers and employees (especially Generation Y) want companies to stand for something – have meaning 16
    17. 17. Merci! – Questions?  Parce que le e-commerce se joue des frontières  Nous servons 30 e- commercants en 30 langues  16,000 collaborateurs dans 12 pays  Pour servir les leaders du e- commerce mondial Come see us! Stand 25
    18. 18. Merci!Connect with us!TELUS Internationalhttp://telusinternational.comCarolyn CrewsSVP, Marketing & SalesNew York, USAcarolyn.crews@telus.comCallPointhttp://callpoint-group.comGrégoire VigrouxDirector, Marketing & SalesBucharest, Romaniagregoire.vigroux@callpoint-group.com

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