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#72 | DCX - Perspectives and insights on digital customer experience
CX Transformation Starts Here; Amping Up CX with Data-Driven Decisions; Seven Data Challenges and Winning Strategies; Links to Industry news and the DCX Thought Leader Profile of the Week
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CX Transformation Starts Here
Recently, I had the privilege of being interviewed by Sam Stern, the charismatic host of CX Patterns and CX Expert at Linkedin. Our conversation revolved around an essential topic: How to kick-start your journey as a CX leader. Sam summarized the discussion here.
Amping Up CX with Data-Driven Decisions
Unveiling Hidden Wealth: The Data Goldmine
Imagine sitting on a treasure trove and not knowing it? Seems unthinkable, right? But as we accelerate the digital experience, that's precisely what you're doing. Yes, I’m talking about data, the golden nugget capable of propelling customer satisfaction into the stratosphere and forging bonds that time can't erode.
Data-Driven Decisions (DDD) is not a new concept, but the plot twist is its ever-evolving role in Customer Experience (CX). Today, I want to explore how data analytics can help you crack the customer behavior and preferences code, delivering a one-of-a-kind, lightning-fast, and top-tier experience.
The heartbeat of DDD is the art of turning mountains of data into your secret weapon. Be it a survey, a tweet, a review, or their shopping history, every interaction with customers is an opportunity to collect priceless data. This data, when deciphered correctly, offers you a peek into patterns and trends in your customer's behavior, likings, and challenges.
The Uphill Climb: Refining Raw Data into Actionable Insights
However, let's not kid ourselves; distilling raw data into valuable insights isn't easy. You need an ironclad system that can turn the chaos into clarity. Remember, it's not about the size of the data pile but about the quality of insights you distill. Time to roll out the big guns—journey, text and predictive analytics, AI, and machine learning—to sift through the noise and reveal what truly matters to your customers.
The star player of data-powered decision-making in CX is personalization. Who doesn't cringe at those impersonal, cookie-cutter marketing messages? That’s right, your customers do too. A dash of personalization can, believe it or not, tip the scales. Using data to fuel personalization allows you to have one-on-one conversations with your customers, delivering bespoke recommendations, services, and interactions. This isn't just pleasing for them but also cinches the bond between you and your customers tighter.
Tackling Hurdles: Problem-Solving with Data at The Helm
And that's not all; data analytics also paves the way for operational smooth sailing. By diving deep into the psyche of your customers through data, you can fine-tune your operations to keep in step with their demanding expectations. This could mean streamlining your supply chains, keeping an eye on inventory, or giving your website a makeover based on customer feedback.
Moreover, harnessing the power of data insights for problem-solving can put you miles ahead. A common issue in customer feedback can be a red flag that you need to address promptly. This proactive approach keeps any storm brewing on the horizon from breaking out and shows your customers that you're committed to enhancing their experience, come what may.
Measuring The Milestones: Evaluating Your CX Strategies
Now, how do you know your foray into the customer experience field is paying off? Data's got your back here too. Setting quantifiable goals and tracking and analyzing customer data constantly helps you understand if your engagement strategies are hitting the bull's eye and the changes needed to up your game.
Tread lightly, though, while wielding the power of data. With the noise around data privacy growing louder, one wrong move can leave an indelible mark on your reputation. You'll need a foolproof data governance system to ensure that your handling of customer data remains ethical and fair.
All said and done, data-driven decisions are the secret to an incredible customer experience. They give insight into your customers like never before and help you tailor your interactions, streamline operations, and take swift action on customer issues. Sure, the journey towards a data-driven customer experience has its challenges. But trust me, the rewards—a sweet deal of a relationship with your customers—are worth it.
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Seven Data Challenges and Winning Strategies
The Daunting Maze of Data Silos:
Challenge: Has it ever crossed your mind that the data residing in isolated systems across various departments could be blocking your view of the full customer picture?
Solution: What if we took this as a cue to sow the seeds of a culture of data sharing? Adding an investment in sturdy data integration platforms to the mix might just hold the key to transforming these individual data streams into a united river of insights.
Testing the Waters of Data Quality and Accuracy:
Challenge: Did you consider the fact that misguided decisions born from inaccurate or outdated data can tarnish precious customer satisfaction?
Solution: The remedy here might be simpler than you think. Regular data cleansing and validation processes could be your lifeline, upholding the integrity of your data and helping you stay on track.
Bridging the Data Analytics Skill Chasm:
Challenge: Isn't it fascinating how the scarcity of data analytics skills can turn into a massive hurdle?
Solution: But what if we dodge this challenge by investing in training? Collaborating with external experts could also pave the way to nurturing a culture where data literacy is the norm.
Navigating the New Wave of Privacy Concerns:
Challenge: The rise of data protection laws coupled with heightened privacy awareness is making cautious data handling essential. How do we ride this wave without toppling over?
Solution: Building a fortress-like data governance framework could be your anchor. Pair this with being transparent with customers about how their data is used, and you are all set for a smooth sail.
Revamping Technological Infrastructure:
Challenge: Did you notice how the success of handling heaps of data securely lies in having the right hardware and software resources?
Solution: Making intelligent investments in advanced analytics tools and a wall of robust cybersecurity defenses can provide the boost needed to drive your data-centered initiative forward.
Calm the Waters of Change Resistance:
Challenge: It's no revelation that shifting to a data-centric culture could face resistance from employees. But how can we construct a bridge across this chasm of resistance?
Solution: Implementing effective change management strategies and communicating clearly about the transformation can help you chart a seamless course toward your data-driven destination.
Keeping Expectations in Check:
Challenge: Staying devoted to this transition is undoubtedly a long-term commitment. But can it get overwhelming?
Solution: Setting realistic goals and keeping guard over progress might just be the compass you need. And why not keep your sails ready to adjust strategies as the wind changes direction?
At the heart of these challenges and solutions lie the interesting undertones of change, discovery, and adaptability. And remember, the journey to a data-driven customer experience unfolds one step at a time.
This week, I asked our colleagues in the Customer Experience Professionals Group on Linkedin how they feel when they receive customer feedback surveys.
First up, the numbers in the poll are pretty telling. More than half of the respondents (52%) said they "Appreciate it" when brands ask for feedback, 34% were "Neutral," and 14% were "Annoyed by it." This suggests that most CX pros see value in these surveys. They aren't just dead air.
Carla Falck throws her weight behind them, having used them herself in her professional capacity. For her, it's a no-brainer to fill them out. Brian Flagg and Suzette Portela seem to lean towards the "Appreciate it" camp too, but with conditions. Suzette emphasizes a need for moderation, pointing out that brands shouldn't overwhelm customers with multiple surveys. Brian likes the idea, but gripes about those that drag on forever. Who can blame him?
Now, let's flip the coin. Jeff Toister and Jakob Mattice serve up some choice critiques. Jeff hits the nail on the head with the "peak-end rule," suggesting that a bad survey could end up being the bitter aftertaste of an otherwise fine experience. He also pokes holes in the execution of most surveys, calling out their redundancy and ineffectiveness. Jakob echoes this sentiment, annoyed by the generic nature and length of many surveys. According to them, it's high time brands cut the fluff and get to the point.
Anne Mao takes a more nuanced approach, stressing that surveys should be well-timed, targeted, and succinct. Her stance is kind of like saying, "Look, I'll give you my two cents, but don't make me write a dissertation."
The bottom line? People are open to giving feedback, but nobody wants to feel like they're being put through the wringer. The value of a survey hinges on its quality, relevance, and timing.
These are some specific suggestions shared by your fellow CX Pros about how to avoid annoying your customers:
Keep it short and sweet. Long, convoluted surveys are a major turn-off. Limit yourself to 3-5 quick, focused questions. Save the essays for English class.
Ask questions that matter. Generic questions give useless data. Tailor them to specific touchpoints customers experience. Dig into what they think of check-in, delivery, product features, etc.
Use feedback wisely. Close the loop. Show customers you actually listen by sharing improvements made based on survey results. Don’t let it languish in a database.
Only survey engaged customers. Loyal, repeat purchasers want to help you improve. Avoid oversurveying newbies before they’re invested in your brand.
Incentivize participation. Consider rewards, discounts, or sweepstakes entries. But don’t make surveys feel like a chore to get a coupon code.
Allow opt-outs. Don’t force it on everyone. Give customers a way to avoid surveys if they really despise them.
Surveys provide a wealth of insights into the customer mindset. But you don’t want to be a nag. With concise, thoughtful surveys targeting your best customers, you’ll get the data you need without annoying the very people you aim to serve.
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DCX Thought Leader Profile of the Week
Every week, I am excited to introduce you to another inspiring professional from LinkedIn who has the potential to make a significant difference in your life and career.
Last week, I attended Frost & Sullivan’s Contact Center West event to speak about digital transformation experiences. Leading into my session was Jason. He gave a fantastic presentation about the CX and Digital transformation of Baxter International over the past 20 years.
He shared his journey initiating a telehealth program enabling dialysis providers to support patients remotely, which turned profitable in its first year. Under his guidance, the company saw a 20% surge in patient experience scores due to a strategic realignment of patient and customer support functions.
Jason showcased an exceptional ability to manage in complex business environments and bring out the best in his teams. At Baxter, he assumed responsibility for the global operations of contact center operations, with his leadership enabling the growth of the team from 60 to 200+ seats across three locations.
He’s also a blogger, podcaster, and frequent conference speaker as well as panel participant at events globally.
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