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Engagement and Effort Matter!
Using Effort Analytics to improve both Agent and Customer
Experiences




                                                    © Cicero Inc. 2011
“Mankind are governed more by their feelings than
by reason.”
                                     - Samuel Adams




                                           © Cicero Inc. 2011
Customer Experience Management 2011

Engagement and Effort Matter! Using Effort Analytics to
Improve the Agent and Customer Experiences



   The Keys to profitable growth
      – High Customer Engagement
      – High Employee Engagement
      – Low Customer Effort




                                                    © Cicero Inc. 2011
Ce – Customer Engagement



•   Confidence
•   Integrity
•   Pride
•   Passion

    – Feelings are facts; Perception is reality
    – Greater predictor of revenue & loyalty than CSAT
    – 23% lift in revenue per customer when ‘irreplaceable’



                                                       © Cicero Inc. 2011
Attitudinal & Emotional Relationship
Strength Measures– Human Sigma

                            How likely are you to
                                                     How likely are you to
 Overall, how satisfied      continue to choose,                                This company is a
                                                       recommend our
   are you with our         repurchase or repeat                                name I can always
                                                    company to a friend or
       company             your business with our                                      trust
                                                          associate
                                  company

                                                     If a problem arises, I
 This company always                                 can always count on        I feel proud to be a
                           This company always
 delivers on what they                              this company to reach         customer of this
                              treats me fairly
        promise                                     a fair and satisfactory           company
                                                           resolution


                                         This company is the       I can't imagine the
               This company always
                                         perfect company for       world without this
              treats me with respect
                                           people like me               company




                                                                                         © Cicero Inc. 2011
Ee – Employee Engagement

•   Get
•   Give
•   Belong
•   Grow

    –   18% higher productivity
    –   27% less absenteeism
    –   260% more revenue growth when high Ee
    –   Only 43% can relay ‘why do business with us’
    –   High marks on both Ee and Ce…
         • 3.4x growth rate

                                                       © Cicero Inc. 2011
The Means to Measure and Monitor
the Quality of a Local Workplace
– Human Sigma

  Know what’s         Have the tools to     Get to do what I do   Recognized in the
 expected of me          do it right          best every day         last 7 days



  Someone here         Someone here                                My job matters
                                            My opinion seem
 actually cares @      encourages my                                Our Purpose
                                                to count
        me              development                                   matters


    We’re all
                     I have a best friend   Progress discussed    Learned and grew
  committed to
                             here            every 6 months           this year
doing quality work




                                                                        © Cicero Inc. 2011
CES – Customer Effort Score



Objective: callbacks within 14 days.
70% said that 2 or 3 calls registered as "Moderate-to-High" effort
30% gave that rating for those that made only one call.

Subjective: customer survey questions
‘What was your personal level of effort in getting x done with us?’

Companies that can track customer effort, especially at the customer, issue, and
agent level, are much better positioned to solve for customer effort.

                      CEB and Contact Center Council




                                                                      © Cicero Inc. 2011
96% ‘high effort’ are more disloyal
      Customer Effort Score        9% ‘low effort ‘are more disloyal.



      Predictive Power for
High Purchasing


                                          CES


                                       “The Customer Effort
                             NPS       Score outperforms the
                                       Net Promoter Score and
                                       customer satisfaction
                                       measures in predicting
             CSAT                      behavior.” – Harvard Business Review



Low                                                                     High
                                                  Predictive Power for
                                                  Increased Spending

                                                                   © Cicero Inc. 2011
How Customer Service
Performance Affects Loyalty
Average Loyalty Score
7.0



5.25


3.5



1.75


0      Below            Meets          Exceeds
       Expectations     Expectations   Expectations
                                        Source: Harvard Business School

                                                     © Cicero Inc. 2011
The Cost of Trying to
Exceed Expectations

  Customer Reporting Service                      The Cost of Exceeding
    Exceeded Expectations                      Expectations (Versus Meeting)

                          Expectations                           +20% More
                          Exceeded         11-15% More
                                                                                      6-10% More




           Expectations                                   15-20% More
           Not Exceeded
                               And yet…
                               20% of Satisfied leave
                               28% of Dissatisfied stay
                                                          Source: Customer Contact Council research.

                                                                              © Cicero Inc. 2011
Effort Matters!

 More Loyal
                    12%        Moments of Wow: Teaching Customer

              87%   75%        Effort: First Contact Resolution

   Neutral



                                       219%              Effort: +1 Contact to Resolve


                        342%


                                        45%              Rep: Generic Service

                                         40%             Effort: Repeating Info
                                         20%             Effort: Perceived More Effort
                                         18%             Effort: Transfers
More Disloyal
                                                       Source: Customer Contact Council research.

                                                                              © Cicero Inc. 2011
Mitigate risk by improving the experience



                                           Satisfaction




               Improved                     Reduced                    Provided
              Experience                    Customer                  “Moments
              with the Rep                    Effort                   of Wow”

     • Rep confidence                 • Number of transfers        • Service organization’s
     • Rep concern                    • First contact resolution   knowledge about
     • Rep listening ability          • Perceived additional       customer
     • Ability of rep to understand   effort to resolve
     customer
     • Rep understood mood
     • Service personalization
     • Certainty of follow through
                                                                     Source: Customer Contact Council research.

                                                                                            © Cicero Inc. 2011
And drive Loyalty by reducing effort


                                    Loyalty




            Improved              Reduced                    Provided
           Experience             Customer                  “Moments
           with the Rep             Effort                   of Wow”

                            • Number of transfers
• Service personalization   • Repeating information            • Teaching the customer
                            • First contact resolution
                            • Number of contacts to
                            resolve
                            • Perceived additional effort
                            to resolve

                                                            Source: Customer Contact Council research.

                                                                                   © Cicero Inc. 2011
Effort levers


                                             Routing



                      Sign On                                       Integration
                                                                    of IVR, Web
                      Stay On                                       and Human




                                            Low Effort
                Real time                                                   Context
                decision                                                     across
                 support                                                   channels




                                Automated
                                                         1 Screen
                                   tasks




                                                                                      © Cicero Inc. 2011
Nuances of CES; JD Powers and CEB
•   Mark Miller – JD Powers
     –   The hard stuff is hitting the centers
     –   Easy stuff is going to the web or IVR
     –   IVRs are still poor (competitive advantage opportunity)
            • 33% of experience
            • 42% weight on clarity then ease of navigation

•   Higher Effort
     – Problems and complaints
     – High Tech, Travel, leisure and shipping
            • Logistics and complex technical issues
     – Phone and email
            • Multiple contact methods
            • Repeating information
            • Transfers
            • Customers asked to take on more work (forms, faxing, etc…)
•   Lower Effort
     – Checking status of an account
     – Making a purchase
     – General inquiry
     – Web interactions


                                                                           © Cicero Inc. 2011
Source ; CEB and CCC
Low Effort Organizations…


1. Don’t just resolve the current issue – head off the
   next one
2. Prepare employees to address the emotional side of
   customer interactions
3. Minimize channel switching by increasing self-
   service ‘stickiness’
4. Use feedback to reduce customer effort
5. Empower employees to deliver low-effort
   experience
                        CEB/ CCC

                                               © Cicero Inc. 2011
Remember… The customer wants to
like your product!
Thank you!
Jim Hunt
Director of Product Development




                                  © Cicero Inc. 2011

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Cicero CEM Best Practices NECCF 2011

  • 1. Engagement and Effort Matter! Using Effort Analytics to improve both Agent and Customer Experiences © Cicero Inc. 2011
  • 2. “Mankind are governed more by their feelings than by reason.” - Samuel Adams © Cicero Inc. 2011
  • 3. Customer Experience Management 2011 Engagement and Effort Matter! Using Effort Analytics to Improve the Agent and Customer Experiences The Keys to profitable growth – High Customer Engagement – High Employee Engagement – Low Customer Effort © Cicero Inc. 2011
  • 4. Ce – Customer Engagement • Confidence • Integrity • Pride • Passion – Feelings are facts; Perception is reality – Greater predictor of revenue & loyalty than CSAT – 23% lift in revenue per customer when ‘irreplaceable’ © Cicero Inc. 2011
  • 5. Attitudinal & Emotional Relationship Strength Measures– Human Sigma How likely are you to How likely are you to Overall, how satisfied continue to choose, This company is a recommend our are you with our repurchase or repeat name I can always company to a friend or company your business with our trust associate company If a problem arises, I This company always can always count on I feel proud to be a This company always delivers on what they this company to reach customer of this treats me fairly promise a fair and satisfactory company resolution This company is the I can't imagine the This company always perfect company for world without this treats me with respect people like me company © Cicero Inc. 2011
  • 6. Ee – Employee Engagement • Get • Give • Belong • Grow – 18% higher productivity – 27% less absenteeism – 260% more revenue growth when high Ee – Only 43% can relay ‘why do business with us’ – High marks on both Ee and Ce… • 3.4x growth rate © Cicero Inc. 2011
  • 7. The Means to Measure and Monitor the Quality of a Local Workplace – Human Sigma Know what’s Have the tools to Get to do what I do Recognized in the expected of me do it right best every day last 7 days Someone here Someone here My job matters My opinion seem actually cares @ encourages my Our Purpose to count me development matters We’re all I have a best friend Progress discussed Learned and grew committed to here every 6 months this year doing quality work © Cicero Inc. 2011
  • 8. CES – Customer Effort Score Objective: callbacks within 14 days. 70% said that 2 or 3 calls registered as "Moderate-to-High" effort 30% gave that rating for those that made only one call. Subjective: customer survey questions ‘What was your personal level of effort in getting x done with us?’ Companies that can track customer effort, especially at the customer, issue, and agent level, are much better positioned to solve for customer effort. CEB and Contact Center Council © Cicero Inc. 2011
  • 9. 96% ‘high effort’ are more disloyal Customer Effort Score 9% ‘low effort ‘are more disloyal. Predictive Power for High Purchasing CES “The Customer Effort NPS Score outperforms the Net Promoter Score and customer satisfaction measures in predicting CSAT behavior.” – Harvard Business Review Low High Predictive Power for Increased Spending © Cicero Inc. 2011
  • 10. How Customer Service Performance Affects Loyalty Average Loyalty Score 7.0 5.25 3.5 1.75 0 Below Meets Exceeds Expectations Expectations Expectations Source: Harvard Business School © Cicero Inc. 2011
  • 11. The Cost of Trying to Exceed Expectations Customer Reporting Service The Cost of Exceeding Exceeded Expectations Expectations (Versus Meeting) Expectations +20% More Exceeded 11-15% More 6-10% More Expectations 15-20% More Not Exceeded And yet… 20% of Satisfied leave 28% of Dissatisfied stay Source: Customer Contact Council research. © Cicero Inc. 2011
  • 12. Effort Matters! More Loyal 12% Moments of Wow: Teaching Customer 87% 75% Effort: First Contact Resolution Neutral 219% Effort: +1 Contact to Resolve 342% 45% Rep: Generic Service 40% Effort: Repeating Info 20% Effort: Perceived More Effort 18% Effort: Transfers More Disloyal Source: Customer Contact Council research. © Cicero Inc. 2011
  • 13. Mitigate risk by improving the experience Satisfaction Improved Reduced Provided Experience Customer “Moments with the Rep Effort of Wow” • Rep confidence • Number of transfers • Service organization’s • Rep concern • First contact resolution knowledge about • Rep listening ability • Perceived additional customer • Ability of rep to understand effort to resolve customer • Rep understood mood • Service personalization • Certainty of follow through Source: Customer Contact Council research. © Cicero Inc. 2011
  • 14. And drive Loyalty by reducing effort Loyalty Improved Reduced Provided Experience Customer “Moments with the Rep Effort of Wow” • Number of transfers • Service personalization • Repeating information • Teaching the customer • First contact resolution • Number of contacts to resolve • Perceived additional effort to resolve Source: Customer Contact Council research. © Cicero Inc. 2011
  • 15. Effort levers Routing Sign On Integration of IVR, Web Stay On and Human Low Effort Real time Context decision across support channels Automated 1 Screen tasks © Cicero Inc. 2011
  • 16. Nuances of CES; JD Powers and CEB • Mark Miller – JD Powers – The hard stuff is hitting the centers – Easy stuff is going to the web or IVR – IVRs are still poor (competitive advantage opportunity) • 33% of experience • 42% weight on clarity then ease of navigation • Higher Effort – Problems and complaints – High Tech, Travel, leisure and shipping • Logistics and complex technical issues – Phone and email • Multiple contact methods • Repeating information • Transfers • Customers asked to take on more work (forms, faxing, etc…) • Lower Effort – Checking status of an account – Making a purchase – General inquiry – Web interactions © Cicero Inc. 2011 Source ; CEB and CCC
  • 17. Low Effort Organizations… 1. Don’t just resolve the current issue – head off the next one 2. Prepare employees to address the emotional side of customer interactions 3. Minimize channel switching by increasing self- service ‘stickiness’ 4. Use feedback to reduce customer effort 5. Empower employees to deliver low-effort experience CEB/ CCC © Cicero Inc. 2011
  • 18. Remember… The customer wants to like your product! Thank you! Jim Hunt Director of Product Development © Cicero Inc. 2011