suitecx
©2015,	
  suitecx Inc. November	
  30,	
  2015
Customer	
  Experience	
  Improvement:
Finding	
  the	
  Right	
  Data	
  Strategy
As	
  marketers,	
  we	
  are	
  all	
  focused	
  on	
  improving	
  our	
  customer	
  experience	
  and	
  
generating	
  more	
  revenue.	
  	
  Everyone	
  talks	
  about	
  how	
  important	
  it	
  is	
  to	
  invest	
  in	
  web,	
  
mobile	
  and	
  social	
  media	
  analytics.	
  	
  Smart	
  marketers	
  don’t	
  stop	
  there,	
  however.	
  	
  We	
  
have	
  started	
  to	
  gather	
  everything	
  we	
  can	
  about	
  our	
  customers	
  and	
  hand	
  it	
  over	
  to	
  
the	
  “big	
  data”	
  folks	
  to	
  see	
  if	
  they	
  can	
  find	
  patterns	
  that	
  will	
  make	
  us	
  smarter	
  and	
  
enable	
  us	
  to	
  improve	
  our	
  bottom	
  line.	
  	
  Finally,	
  we	
  have	
  done	
  a	
  good	
  job	
  at	
  collecting,	
  
cleaning	
  and	
  matching	
  data	
  to	
  assure	
  more	
  consistency	
  and	
  adding	
  incentive	
  
programs	
  so	
  we	
  can	
  identify	
  a	
  larger	
  percentage	
  of	
  our	
  customers	
  across	
  devices.
With	
  all	
  this	
  investment,	
  however,	
  it	
  seems	
  we	
  still	
  haven’t	
  made	
  significant	
  
improvements	
  in	
  truly	
  understanding	
  our	
  customers’	
  experiences.	
  	
  We	
  wonder,	
  
“what	
  is	
  it	
  going	
  to	
  take	
  to	
  drive	
  real	
  bottom	
  line	
  growth?”	
  
Thought  Leadership
Combining	
  
approaches	
  to	
  
include	
  big	
  data,	
  
transactional	
  data	
  
and	
  ethnographic	
  
data	
  can	
  lead	
  to	
  
insights	
  that	
  no	
  one	
  
technique	
  on	
  it’s	
  
own	
  can	
  provide.	
  
Combining	
  these	
  approaches	
  to	
  include	
  big	
  data,	
  transactional	
  data	
  and	
  ethnographic	
  data	
  can	
  lead	
  to	
  insights	
  that	
  
no	
  one	
  technique	
  on	
  it’s	
  own	
  can	
  provide.	
  Using	
  a	
  combination	
  of	
  data	
  types	
  eliminates	
  the	
  needs	
  for	
  endless	
  surveys	
  
and	
  focus	
  groups	
  that	
  usually	
  add	
  very	
  little	
  insight	
  into	
  what	
  is	
  actually	
  happening	
  to	
  your	
  broader	
  base	
  of	
  customers.	
  	
  
This	
  combination	
  provides	
  a	
  complete	
  picture	
  of	
  the	
  customer	
  and	
  can	
  inform	
  the	
  creation	
  of	
  more	
  strategic	
  solutions	
  
to	
  customer	
  problems.	
  	
  
At	
  SuiteCX we	
  use	
  all	
  three	
  types	
  of	
  data	
  to	
  discover	
  what	
  customers	
  are	
  experiencing,	
  how	
  to	
  they	
  feel	
  about	
  the	
  
experience	
  and	
  what	
  they	
  consider	
  to	
  be	
  a	
  better	
  alternative.	
  We	
  look	
  at	
  the	
  “what”	
  (transactions)	
  and	
  the	
  “why”	
  
(customer	
  motivations)	
  to	
  make	
  recommendations	
  for	
  strategic	
  improvements.	
  
The	
  missing	
  element	
  to	
  all	
  of	
  the	
  above	
  is	
  why customers	
  behave	
  the	
  way	
  they	
  do	
  –which	
  may	
  often	
  run	
  contrary	
  to	
  
what	
  the	
  data	
  might	
  predict.	
  	
  Understanding	
  the	
  why	
  helps	
  marketers	
  make	
  better	
  choices	
  for	
  what	
  improvements	
  in	
  
the	
  customer	
  experience	
  need	
  to	
  be	
  made.	
  	
  That	
  missing	
  link	
  is	
  ethnographic	
  data.	
  	
  Ethnographic	
  data	
  helps	
  us	
  
understand	
  why	
  customers	
  do	
  what	
  they	
  do,	
  starting	
  with	
  a	
  hypothesis	
  and	
  then	
  observing	
  interactions	
  to	
  confirm	
  or	
  
reject	
  the	
  hypothesis.	
  
Transactions
Big	
  Data
Social	
  
Call	
  Center	
  
Browsing	
  Behavior
Survey	
  Responses
Email	
  opens	
  &	
  clicks
Reviews	
  
Ethnographic	
  Data
Mystery	
  shopping	
  
In	
  home	
  observation	
  
Planning	
  observations
Product	
  usage	
  info
Family	
  culture	
  
Thoughts	
  &	
  Perceptions	
  
Current  Data  Usage  by  Marketers  
suitecx
©2015,	
  suitecx Inc. November	
  30,	
  2015
About	
  SuiteCX®
Backed	
  by	
  over	
  120	
  years	
  of	
  combined	
  experience	
  in	
  customer	
  experience	
  consulting,	
  SuiteCX is	
  a	
  set	
  of	
  software	
  tools	
  
that	
  allow	
  users	
  to	
  make	
  fact	
  based	
  decisions	
  and	
  process	
  improvements	
  that	
  are	
  grounded	
  in	
  the	
  customer	
  
experience.	
  Customer-­‐centric	
  diagnostics,	
  touch	
  inventories,	
  journey	
  maps,	
  customer	
  storytelling	
  and	
  precision	
  
marketing	
  are	
  all	
  components	
  of	
  this	
  groundbreaking	
  software.
Thought  Leadership
For	
  a	
  leading	
  eyeglass	
  company,	
  we	
  observed	
  customers	
  while	
  they	
  were	
  in	
  the	
  store.	
  	
  We	
  noticed	
  that	
  consumers	
  were	
  
taking	
  pictures	
  of	
  each	
  other	
  as	
  they	
  tried	
  on	
  various	
  frames.	
  	
  When	
  we	
  asked	
  them	
  why	
  they	
  did	
  this	
  the	
  answer	
  was	
  
interesting:	
  “I	
  can’t	
  see	
  what	
  I	
  look	
  like	
  in	
  the	
  mirror	
  without	
  my	
  glasses,	
  so	
  my	
  friend	
  is	
  photographing	
  me	
  so	
  I	
  can	
  see	
  
what	
  the	
  new	
  frames	
  look	
  like.”	
  	
  This	
  totally	
  made	
  sense,	
  but	
  eyeglass	
  companies	
  have	
  been	
  asking	
  consumers	
  to	
  look	
  in	
  
the	
  mirror	
  for	
  years	
  to	
  can	
  pick	
  their	
  new	
  frames.	
  As	
  a	
  result	
  of	
  this	
  research,	
  the	
  company	
  now	
  offers	
  a	
  computer	
  
station,	
  at	
  which	
  the	
  customer	
  can	
  take	
  up	
  to	
  4	
  different	
  pictures	
  at	
  a	
  time.	
  They	
  can	
  then	
  see	
  the	
  new	
  frames	
  with	
  their	
  
current	
  glasses	
  on,	
  and	
  they	
  can	
  also	
  share	
  the	
  photos	
  with	
  their	
  friends.	
  
A	
  recent	
  Harvard	
  Business	
  Review	
  article1 gave	
  another	
  example	
  from	
  a	
  European	
  supermarket	
  chain.	
  	
  The	
  CMO	
  could	
  
see	
  his	
  sales	
  declining	
  but,	
  counterintuitively,	
  the	
  number	
  of	
  customer	
  trips	
  to	
  the	
  supermarket	
  were	
  increasing.	
  Using	
  
ethnographic	
  research	
  to	
  better	
  understand	
  shopping	
  and	
  meal	
  planning	
  trends,	
  the	
  company	
  discovered	
  that	
  eating	
  
habits	
  have	
  changed	
  dramatically.	
  	
  Families	
  were	
  no	
  longer	
  eating	
  all	
  their	
  meals	
  together.	
  Instead,	
  dinner	
  was	
  eaten	
  in	
  
different	
  rooms,	
  and	
  different	
  meals	
  (vegan,	
  gluten	
  free,	
  paleo	
  etc.)	
  were	
  being	
  consumed	
  by	
  family	
  members.	
  What	
  
consumers	
  wanted	
  was	
  a	
  fast	
  and	
  convenient	
  place	
  that	
  enabled	
  them	
  to	
  shop	
  for	
  their	
  family’s	
  distinctive	
  needs.
Once	
  it	
  is	
  understood	
  why	
  customers	
  are	
  behaving	
  they	
  way	
  they	
  do,	
  marketers	
  can	
  then	
  go	
  back	
  to	
  the	
  big	
  data	
  team	
  to	
  
learn	
  which	
  customers	
  are	
  most	
  impacted,	
  which	
  stores	
  they	
  frequent,	
  and	
  which	
  strategic	
  changes	
  will	
  have	
  the	
  biggest	
  
impact.	
  	
  Ultimately	
  the	
  investment	
  in	
  the	
  “why “(motivation)	
  adds	
  critical	
  insight	
  into	
  the	
  nature	
  of	
  the”	
  what.“	
  
(transactions).To	
  achieve	
  excellence	
  in	
  customer	
  experience	
  management	
  and	
  remain	
  competitive	
  in	
  today’s	
  
marketplace,	
  you	
  can’t	
  afford	
  to	
  focus	
  only	
  on	
  one	
  side	
  of	
  the	
  equation.
Type	
   What	
  is	
  it?	
   Typical	
   Examples	
   Who	
  uses	
  it	
   What	
  questions	
  does	
  it	
  answer?	
  
Transactional	
  
Data
What	
  customers	
  do	
  when	
  
interacting	
  with	
  the	
  brand.	
   This	
  is	
  
the	
  most	
  commonly	
  utilized	
  set	
  of	
  
data.
Add	
  to	
  wish	
  list	
  or	
  shopping	
  cart,	
  
purchase,	
  return, repuchase,	
  call	
  
for	
  service,	
  pay,	
  join	
  a	
  loyalty	
  
program,	
  redeem	
   points, use
coupons,	
  churn,	
  etc.
Marketing	
  
Campaign	
  
Planners	
  
Merchants	
  
What	
  are	
  customers	
  purchasing?	
  
How	
  long	
  do	
  they	
  stay	
  a	
  customer?
What	
  do	
  they	
  usually	
  buy?	
  
What	
  are	
  they	
  worth	
  to	
  our	
  
company?	
  
Big	
  Data
Extremely	
   large	
   data	
  sets	
  that	
  may	
  
be	
  analyzed	
  computationally	
  to	
  
reveal	
   patterns,	
  trends,	
  and	
  
associations,	
  especially	
  relating	
   to	
  
human	
  behavior	
  and	
  interactions.
Behavioral	
  data,	
  social	
  data	
  -­‐
listening,	
  posting,	
  interacting,	
  call	
  
center	
  details,	
  browsing	
  behavior,	
  
survey	
  responses,	
  email	
   opens	
  &	
  
clicks,	
  product	
  reviews,	
  etc.	
  
Analytics	
  Experts	
  
IT	
  
What	
  do	
  people	
  do?	
  What	
  is	
  
happening	
  now?	
  Identifies	
  trends,	
  
propensities	
  to	
  repeat	
  behaviors,	
  
etc.	
  
Ethnographic	
  
Data
The	
  systematic	
  study	
  of	
  people	
  and	
  
cultures.	
  It	
  is	
  designed	
  to	
  explore	
  
cultural	
  phenomena, in	
  which	
  the	
  
researcher	
   observes	
  society	
  from	
  
the	
  point	
  of	
  view	
  of	
  the	
  subject	
  of	
  
the	
  study.
Observing	
  people	
  in	
  their	
  homes	
  
and	
  in	
  shopping	
  environments	
  to	
  
see	
  what	
  they	
  do,	
  how	
  they	
  
spend	
  their	
  time,	
   their	
  values,	
  
their	
  expectations,	
  life	
  
experiences,	
   etc.	
  
Social	
  Scientists,	
  
Ethnographic	
  
Researchers,	
  
Anthropologists	
  
Why	
  do	
  people	
  do	
  what	
  they	
  do?	
  
What	
  is	
  their	
  motivation?	
  What	
  is	
  
their	
  ideal	
  experience?	
  
Customer	
  Experience	
  Improvement:
Finding	
  the	
  Right	
  Data	
  Strategy
1	
  
https://hbr.org/2015/11/big-­‐data-­‐is-­‐only-­‐half-­‐the-­‐data-­‐marketers-­‐need by	
  Mikkel	
  B.	
  Rasmussen	
   &	
  Andreas	
  W.	
  Hansen,	
  Nov.	
  2015

Customer Experience Improvement: Finding the Right Data Strategy

  • 1.
    suitecx ©2015,  suitecx Inc.November  30,  2015 Customer  Experience  Improvement: Finding  the  Right  Data  Strategy As  marketers,  we  are  all  focused  on  improving  our  customer  experience  and   generating  more  revenue.    Everyone  talks  about  how  important  it  is  to  invest  in  web,   mobile  and  social  media  analytics.    Smart  marketers  don’t  stop  there,  however.    We   have  started  to  gather  everything  we  can  about  our  customers  and  hand  it  over  to   the  “big  data”  folks  to  see  if  they  can  find  patterns  that  will  make  us  smarter  and   enable  us  to  improve  our  bottom  line.    Finally,  we  have  done  a  good  job  at  collecting,   cleaning  and  matching  data  to  assure  more  consistency  and  adding  incentive   programs  so  we  can  identify  a  larger  percentage  of  our  customers  across  devices. With  all  this  investment,  however,  it  seems  we  still  haven’t  made  significant   improvements  in  truly  understanding  our  customers’  experiences.    We  wonder,   “what  is  it  going  to  take  to  drive  real  bottom  line  growth?”   Thought  Leadership Combining   approaches  to   include  big  data,   transactional  data   and  ethnographic   data  can  lead  to   insights  that  no  one   technique  on  it’s   own  can  provide.   Combining  these  approaches  to  include  big  data,  transactional  data  and  ethnographic  data  can  lead  to  insights  that   no  one  technique  on  it’s  own  can  provide.  Using  a  combination  of  data  types  eliminates  the  needs  for  endless  surveys   and  focus  groups  that  usually  add  very  little  insight  into  what  is  actually  happening  to  your  broader  base  of  customers.     This  combination  provides  a  complete  picture  of  the  customer  and  can  inform  the  creation  of  more  strategic  solutions   to  customer  problems.     At  SuiteCX we  use  all  three  types  of  data  to  discover  what  customers  are  experiencing,  how  to  they  feel  about  the   experience  and  what  they  consider  to  be  a  better  alternative.  We  look  at  the  “what”  (transactions)  and  the  “why”   (customer  motivations)  to  make  recommendations  for  strategic  improvements.   The  missing  element  to  all  of  the  above  is  why customers  behave  the  way  they  do  –which  may  often  run  contrary  to   what  the  data  might  predict.    Understanding  the  why  helps  marketers  make  better  choices  for  what  improvements  in   the  customer  experience  need  to  be  made.    That  missing  link  is  ethnographic  data.    Ethnographic  data  helps  us   understand  why  customers  do  what  they  do,  starting  with  a  hypothesis  and  then  observing  interactions  to  confirm  or   reject  the  hypothesis.   Transactions Big  Data Social   Call  Center   Browsing  Behavior Survey  Responses Email  opens  &  clicks Reviews   Ethnographic  Data Mystery  shopping   In  home  observation   Planning  observations Product  usage  info Family  culture   Thoughts  &  Perceptions   Current  Data  Usage  by  Marketers  
  • 2.
    suitecx ©2015,  suitecx Inc.November  30,  2015 About  SuiteCX® Backed  by  over  120  years  of  combined  experience  in  customer  experience  consulting,  SuiteCX is  a  set  of  software  tools   that  allow  users  to  make  fact  based  decisions  and  process  improvements  that  are  grounded  in  the  customer   experience.  Customer-­‐centric  diagnostics,  touch  inventories,  journey  maps,  customer  storytelling  and  precision   marketing  are  all  components  of  this  groundbreaking  software. Thought  Leadership For  a  leading  eyeglass  company,  we  observed  customers  while  they  were  in  the  store.    We  noticed  that  consumers  were   taking  pictures  of  each  other  as  they  tried  on  various  frames.    When  we  asked  them  why  they  did  this  the  answer  was   interesting:  “I  can’t  see  what  I  look  like  in  the  mirror  without  my  glasses,  so  my  friend  is  photographing  me  so  I  can  see   what  the  new  frames  look  like.”    This  totally  made  sense,  but  eyeglass  companies  have  been  asking  consumers  to  look  in   the  mirror  for  years  to  can  pick  their  new  frames.  As  a  result  of  this  research,  the  company  now  offers  a  computer   station,  at  which  the  customer  can  take  up  to  4  different  pictures  at  a  time.  They  can  then  see  the  new  frames  with  their   current  glasses  on,  and  they  can  also  share  the  photos  with  their  friends.   A  recent  Harvard  Business  Review  article1 gave  another  example  from  a  European  supermarket  chain.    The  CMO  could   see  his  sales  declining  but,  counterintuitively,  the  number  of  customer  trips  to  the  supermarket  were  increasing.  Using   ethnographic  research  to  better  understand  shopping  and  meal  planning  trends,  the  company  discovered  that  eating   habits  have  changed  dramatically.    Families  were  no  longer  eating  all  their  meals  together.  Instead,  dinner  was  eaten  in   different  rooms,  and  different  meals  (vegan,  gluten  free,  paleo  etc.)  were  being  consumed  by  family  members.  What   consumers  wanted  was  a  fast  and  convenient  place  that  enabled  them  to  shop  for  their  family’s  distinctive  needs. Once  it  is  understood  why  customers  are  behaving  they  way  they  do,  marketers  can  then  go  back  to  the  big  data  team  to   learn  which  customers  are  most  impacted,  which  stores  they  frequent,  and  which  strategic  changes  will  have  the  biggest   impact.    Ultimately  the  investment  in  the  “why “(motivation)  adds  critical  insight  into  the  nature  of  the”  what.“   (transactions).To  achieve  excellence  in  customer  experience  management  and  remain  competitive  in  today’s   marketplace,  you  can’t  afford  to  focus  only  on  one  side  of  the  equation. Type   What  is  it?   Typical   Examples   Who  uses  it   What  questions  does  it  answer?   Transactional   Data What  customers  do  when   interacting  with  the  brand.   This  is   the  most  commonly  utilized  set  of   data. Add  to  wish  list  or  shopping  cart,   purchase,  return, repuchase,  call   for  service,  pay,  join  a  loyalty   program,  redeem   points, use coupons,  churn,  etc. Marketing   Campaign   Planners   Merchants   What  are  customers  purchasing?   How  long  do  they  stay  a  customer? What  do  they  usually  buy?   What  are  they  worth  to  our   company?   Big  Data Extremely   large   data  sets  that  may   be  analyzed  computationally  to   reveal   patterns,  trends,  and   associations,  especially  relating   to   human  behavior  and  interactions. Behavioral  data,  social  data  -­‐ listening,  posting,  interacting,  call   center  details,  browsing  behavior,   survey  responses,  email   opens  &   clicks,  product  reviews,  etc.   Analytics  Experts   IT   What  do  people  do?  What  is   happening  now?  Identifies  trends,   propensities  to  repeat  behaviors,   etc.   Ethnographic   Data The  systematic  study  of  people  and   cultures.  It  is  designed  to  explore   cultural  phenomena, in  which  the   researcher   observes  society  from   the  point  of  view  of  the  subject  of   the  study. Observing  people  in  their  homes   and  in  shopping  environments  to   see  what  they  do,  how  they   spend  their  time,   their  values,   their  expectations,  life   experiences,   etc.   Social  Scientists,   Ethnographic   Researchers,   Anthropologists   Why  do  people  do  what  they  do?   What  is  their  motivation?  What  is   their  ideal  experience?   Customer  Experience  Improvement: Finding  the  Right  Data  Strategy 1   https://hbr.org/2015/11/big-­‐data-­‐is-­‐only-­‐half-­‐the-­‐data-­‐marketers-­‐need by  Mikkel  B.  Rasmussen   &  Andreas  W.  Hansen,  Nov.  2015