Last updated on July 26, 2023
Most people understand the importance of creating great customer experiences —nevertheless, many struggle with the complexity of working holistically and long-term with a Customer Experience strategy.
Customer Experience (CX) is far more than traditional customer service and marketing. A holistic understanding of customer experiences can help close the gap, strengthen the brand and open up new opportunities for profitable growth.
Good customer experiences affect customer satisfaction and loyalty and have become a significant strategic differentiator that can strengthen your brand. It is therefore smart to look at customer experience strategy and brand strategy together if you want to build a stronger position in people’s consciousness. It can open up new opportunities, additional sales and long-term customer relationships.
In This Article:
CX is the customers’ experience of the product or service itself. Whether you work in B2B or B2C, CX is the sum of all thoughts, feelings, experiences and reactions the customer is left with. Customer Experience includes all forms of interaction and contact with your business and occurs in all stages of the customer journey and throughout the customer’s life cycle.
It includes interactions with people, processes, products and services. Working with CX is about being at the forefront, knowing your customers so well that you can design positive experiences and customer journeys that at the same time reduce or eliminate unwanted friction.
CX is indispensable to compete and grow profitably in the market. CXM (Customer Experience Management) focuses on using strategic methods for influencing the customer experience positively. With good insight and analysis, you can identify and implement activities aimed at new opportunities for growth, cost savings and increased customer satisfacfation.
A good customer experience strategy offers clear benefits.
Development and implementation of strategy is a comprehensive process that can be experienced as a long and confusing desert walk for some, especially those eager to develop concrete measures and quick solutions.
However, a successful business and business strategy presupposes that we have a solid and fact-based understanding of what creates growth and long-term profitability. Therefore, in addition to the overall strategy at the company level, there may be a need to develop business strategies and functional and operational strategies. A good customer experience strategy will look at the whole where the brand strategy is also included.
The main responsibility belongs at the very top and in the management team. It would help if you were prepared for change and were willing to invest time and money in creating unique customer experiences. The first step is to understand the current situation and how strategic work with CX can provide future ROI.
How to develop and implement a Customer Experience strategy?
Improved customer experience starts with the customer’s perspective. Developing CX leadership requires collaboration and communication with customers, employees, and partners. Innovation and development happen best through people who bring different skills and perspectives to the same room. It requires openness and security.
Recognized research says that communication is the most important factor for high-performing teams. To give customers the support and experiences they want in their interaction with your business, you need to be agile and adaptable. This means breaking the barriers around IT, CRM, digital marketing, branding, sales, customer service, and e-commerce.
The ability to deliver happens in the interaction between people and the smart use of technology. First, you need to research, identify and understand your customers and then use this information to build experiences that meet customer needs.
Once you know what your customers need, what they do, who they are, and where they are going, you can ensure the right CX processes and technologies. In addition, you must have employees who are committed to creating a good performance culture.
You should also be willing and able to experiment at a fast pace. It requires that the business is composed and organized to build and utilize cross-functional teams equipped with technical resources and platforms, common goals and focus on customers.
1. Understand customers and their “jobs to be done“. Understand what drives them (rationally, functionally, and emotionally). Understanding what is difficult or not good enough in your service offerings and the market.
2. Design a unique customer experience to meet your customers’ needs, and trigger their drivers. Maybe there is something that does not exist or is too bad today. Facilitate service design and innovation using a solid structure containing well-known and proven CX methods. A good Customer Experience strategy must consider all areas and influence the design and operationalization of future CX delivery.
3. You can not deliver good CX alone. Changes in customers’ needs and expectations and changes in technology and operating systems are happening rapidly. Therefore, both internally and externally, good partners are necessary to succeed with the company’s CX investment. This will often involve the need for interdisciplinary collaboration with different providers of different services such as cloud solutions, Voice Of The Customer (VOC), artificial intelligence, data analysis, UX design, HR etc.
4. Turn words into concrete actions and build a CX culture with committed people throughout the business. Turn your vision into something operational and set an overall CX goal for your people to navigate towards. If you want good results, those who will do the job need to have insight into the CX goals and the as-is situation.
Your people are both the knowledge and the oil in the entire culture to create growth and good customer experiences. They will help to improve both engagement and decisions. Employees should be included in the discussions about what it means to deliver on the company’s promises and product expectations. They should also test the services and products offered to the customer. The customer experience will be better if we understand how the products/services we sell are experienced from the customer’s perspective. By doing this, we will also be prepared for any challenges that may arise.
5. Repeat. CX is a living process that can and should be constantly improved. Therefore, it is important to establish good KPIs and solutions for measurement, analysis, evaluation, and improvement.
A few points to keep in mind as you develop and implement your Customer Experience Strategy.
About the authors
Allegro is a Norwegian Communication and Technology bureau specializing in Customer Experience strategical consulting, co-creative workshops, and experience design processes.
Contact Allegro’s CX Consultant, Joanna Carr, to learn more about developing and implementing a Customer Experience strategy.
Artificial Intelligence (AI) is used everywhere in customer experience management, especially in customer feedback analysis. Learn how you can benefit Natural Language Processing and why you should use a combination of machine learning and human intelligence.Read more
What is real-time customer feedback? Find out why you should collect and analyze customer feedback as it comes in real time.Read more
The customer is a mysterious creature. Just ask any business owner. And to achieve sustainable, long-term success, you need to understand what your customers want and need. One example is that, for a company to grow, it needs to convert one-off customers into regular patrons. And the only way to keep them coming back for […]Read more