#38 | DCX - Perspectives and insights on digital customer experience
Unlock the Power of CX: How to Get C-Suite Buy-In for Your Strategy; Customer Feedback 101: How to Analyze NPS Comments Like a Pro; Linkedin Poll; DCX links and the Linkedin profile of the week
Unlock the Power of CX: How to Get C-Suite Buy-In for Your Strategy
Are you struggling to get C-suite's support for your CX strategy? Well, according to my recent Linkedin Poll, (See Below) you aren’t alone. Despite the evidence showing that investing in CX can lead to increased customer loyalty, revenue growth, and competitive advantage, many organizations struggle to get the buy-in they need to make meaningful changes. Let's explore why getting C-suite support for your CX strategy can be hard and provide examples and solutions.
CX is often viewed as a cost center rather than a revenue generator.
One of the most significant barriers to getting C-suite support for your CX strategy is the perception that CX is a cost center rather than a revenue generator. Leaders may view CX investments as difficult to justify, especially when they don't see an immediate return.
For example, a CEO may hesitate to invest in a new customer service platform because it requires a significant upfront cost, even though it could lead to longer-term cost savings and increased customer satisfaction.
To overcome this challenge, focus on demonstrating the ROI of CX investments. You can do this by conducting customer surveys, tracking customer retention rates, and analyzing the impact of CX improvements on revenue. Present a clear business case for CX investments, and you can show the C-suite that these initiatives are not just expenses but investments that can lead to long-term growth and profitability.
CX initiatives may not align with the company's current goals.
Getting C-suite support for your CX strategy can be hard, especially if CX initiatives don't align with the company's current goals. If your company's primary focus is increasing revenue through sales, the C-suite may be more interested in investing in sales enablement tools than improving the customer experience, even though the two are interconnected.
To overcome this challenge, you should work to align CX initiatives with the company's current goals. Show how CX improvements can increase customer satisfaction, loyalty, and advocacy, ultimately increasing sales. Demonstrate how CX initiatives can support the company's goals, and you can make a stronger case for investment.
Lack of understanding about the customer experience.
Leaders may not fully appreciate the importance of CX or how it impacts the business. For example, a CFO may not understand how a poor customer experience can lead to customer churn, ultimately impacting the bottom line. Making a compelling case for CX investments can be challenging without this understanding.
To overcome this challenge, you should work to educate the C-suite about the importance of CX and how it impacts the business. You can do this by sharing customer feedback and data, providing case studies of companies that have successfully invested in CX, and hosting workshops and training sessions to build CX knowledge across the organization. By helping leaders understand the importance of CX, you can build a culture that values the customer experience.
Resistance to change.
Many leaders may be comfortable with the status quo and reluctant to make changes, even if they can improve customer satisfaction and retention. To overcome this challenge, you should be open to change and work to create a culture that embraces innovation and improvement. Involve the C-suite in the CX planning process and get their input and feedback to show that you value their input. Additionally, pilot new initiatives and demonstrate their value before rolling them out organization-wide to build confidence and reduce resistance to change.
Getting the C-suite's support for your CX strategy can be difficult, but it's not impossible. Understand why your CX initiatives may not be getting the support they need and work to address those concerns. Show the ROI of CX investments, align CX initiatives with the company's goals, educate leaders about the importance of CX, and be open to change. Doing this can get the C-suite support you need to improve the customer experience.
Linkedin DCX Poll of the Week
Are you a CX leader facing challenges in delivering exceptional customer experiences? If so, you're not alone! It can be stressful navigating your customers' constantly evolving needs and expectations.
Whether it's ensuring consistency across different channels or dealing with changing customer behavior, there are a multitude of challenges that can make your job difficult.
That's why I ran this poll - to understand better the specific challenges that CX leaders like you are facing. By identifying the most common pain points, we can help provide more effective solutions and strategies to improve customer experiences and drive business growth. So, let’s look at what's stressing you out.
Overall, the poll results highlight the importance of buy-in from leadership and the ability to measure the impact of CX initiatives for successful customer experience management. CX leaders may need to build strong business cases and demonstrate tangible results to gain support and investment from their organizations.
Buy-in from leadership is the biggest stressor for CX leaders, with 41% of respondents indicating it as their top concern. This indicates that many CX leaders struggle to get support and investment from their organization's top-level executives, which could hinder their ability to implement customer experience initiatives effectively.
The second-highest stressor, with 27% of respondents, was the inability to measure the impact of CX initiatives. This suggests that while CX leaders may have support from their organizations, they are struggling to demonstrate the value and ROI of their customer experience programs. This lack of clear measurement could lead to difficulty in securing further investment and support.
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Customer Feedback 101: How to Analyze NPS Comments Like a Pro
Understanding your customers' feedback is crucial to improving your products and services. But how do you make sense of the vast amount of information from Net Promoter Score (NPS) comments? Here are some things you should ask for to analyze NPS comments and gain valuable insights into your customers' experiences.
The first step in analyzing NPS comments is to determine the overall sentiment of the feedback. Sentiment analysis involves using natural language processing algorithms to identify whether a comment is positive, negative, or neutral. This information will help you understand how customers feel about your brand and identify areas for improvement.
Frequency analysis involves counting the number of times specific words or phrases occur in the comments. This technique can help you identify common themes or issues that customers are experiencing, such as product defects or customer service problems.
Text Clustering/Theme Identification
Text clustering is used to group similar comments based on their content. You can better understand what's driving customer feedback by identifying distinct themes or topics.
Root Cause Analysis
Root cause analysis involves looking for patterns and underlying causes of positive or negative feedback. This approach can help you identify the source of customer dissatisfaction and take corrective action.
Identify Actionable Insights
The goal of NPS feedback analysis is to identify specific actions that can be taken to improve the customer experience. By understanding what customers are saying, you can identify opportunities for improvement and take action to address their concerns.
Identify Influential Customers
Some customers have a significant impact on your business. They may be highly satisfied customers who can act as brand ambassadors or dissatisfied customers who could harm your reputation. Identifying these customers can help you target your efforts more effectively.
Monitor for Trends
Monitoring NPS scores and feedback over time can help you identify trends and changes in customer sentiment. This information can help you anticipate problems and proactively address them.
Word clouds visually represent the most frequently used words in the comments. They provide a quick and easy way to identify common themes and issues.
Identify Patterns in Demographics
Analyzing feedback based on demographics, such as age, gender, location, etc., can help you identify patterns or differences. This information can help you tailor your products and services to specific customer segments.
Identify Opportunities for Upselling
NPS feedback can also help you identify opportunities for upselling or cross-selling products or services. By understanding what customers are looking for, you can offer additional products or services that meet their needs.
Identify Training Needs
NPS feedback can also help you identify areas where employees may need additional training or coaching. You can improve the customer experience and enhance your employees' skills by addressing these areas.
Identify Improvement Priorities
Finally, NPS feedback can help you set improvement priorities based on the identified critical issues or opportunities. By focusing your efforts on the most important areas, you can significantly impact the customer experience.
Analyzing NPS comments can provide valuable insights into your customers' experiences. By understanding what customers are saying, you can identify areas for improvement and take action to enhance the customer experience. Whether you're using sentiment analysis, frequency analysis, or text clustering, keep these 12 things in mind to gain the most valuable insights from your NPS feedback.
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Links to Industry news, ideas, insights, and the DCX Thought Leader Linkedin Profile of the week
How The Metaverse Could Shape The Customer Experience In Banking (forbes.com)
The metaverse opens up endless opportunities for financial institutions to customize the banking experience to individual customers. Depending on a customer's preferences, access needs, and habits, banks can use AR and VR technologies to adjust how they interact with customers. For customers who prefer to conduct banking in the "real" world, the metaverse still offers opportunities to enhance the customer experience.
How to use ChatGPT as a Product Manager | Medium
Check out how ChatGPT is currently being trialed by a product manager at LinkedIn. He’s using it to help him visualize and explain his thoughts to his team members.
Customer Journey Mapping 101 (Updated 2023) - Qualtrics
Customer journey management can transform your internal operations and customer experience when carried out effectively. Customers will be more likely to engage for one interaction and across their entire lifecycle with your brand, increasing customer lifetime value.
Your customer experience will be improved with personalized journeys. You’ll have put yourself in your customer’s shoes and adapted your strategy to reflect your customer’s perspective – which in turn will create more memorable, positive experiences and increase your revenue.
Internally, you’ll break down internal silos, empowering you to streamline services across departments because teams will know what is required from them to deliver the experiences that customers expect.
This week’s DCX Newsletter is supported by:
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DCX Thought Leader Linkedin Profile of the week
Every week, I share a person's profile from Linkedin that I think will benefit your life and career.
Matt Watkinson is an author, speaker, and consultant on customer experience and business strategy.
He has written two books: The Ten Principles Behind Great Customer Experiences, which won the CMI's Management Book of the Year, and The Grid, which provides a simple framework for making strategic decisions.
He is also an Honorary Senior Visiting Fellow at Cass Business School and a sought-after keynote speaker who has delivered talks worldwide. He helps organizations create products and services that make people's lives easier and more enjoyable, drawing on his knowledge of human psychology, systems thinking, and serendipity.
Some of his key insights are:
Customer experience is not about delighting customers but meeting their expectations and avoiding dissatisfaction.
Great customer experiences are based on ten principles that apply across different contexts and industries: empathy, clarity, consistency, time, and effort.
Strategic decisions can be made using a simple tool called The Grid, which consists of nine factors that influence the success of any business idea, such as desirability, feasibility, and profitability.
The Grid helps to avoid common pitfalls of strategic thinking, such as confirmation bias, groupthink, and overconfidence.
Business strategy is not a one-off exercise but a continuous learning process and adapting to changing circumstances.
I am excited to announce that I recently joined the University of California Riverside, Extension team as a Program Advisor for the Transformative Leadership Program. The UCR University Extension Transformative Leadership in Disruptive Times Program offers practical advice to move from transactional terms to true, transformational outcomes.
I have the fantastic opportunity to work with respected leaders on this critical initiative. If you don’t know about this program, I highly recommend it! Send me a note, and I’ll send you my 50% ADVISOR DISCOUNT code.
What people like you are saying about the 365 Days of Accountability Journal
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