Tag Archives: Customer experience

Ten customer experience predictions for 2015

get-excited-and-change-the-future

A crystal ball (with a pinch of salt)

It’s the time of year when people make predictions about the coming year. Here are my predictions about what customers will see differently in 2015.

I have based these on nothing more than some experience and conversations with interesting people, so take them with whatever amounts of salt you like.

Privacy will matter less than trust.

Customers will increasingly accept that companies will know more about us than we would like. But in return, we will want companies to prove even more that we can trust them with our data.

Mobile payments won’t fly in 2015

The new iPhone 6 includes the ‘Apple Pay‘ mobile payment facility. It is due to launch in the spring of 2015.

But it won’t have us all pay by mobile all at once.

Why?

Because the customer experience for card payments is still better than the mobile alternative.

Card out, put in reader, type in four numbers, done. Easy.

Mobile out, tap button to wake up phone, find payment app, confirm amount, confirm authorisation again, await confirmation of payment on phone, give up, take out cash…

And that’s not all. Not enough shops will take mobile payments, but they all take cards. They will need a compelling reason to change.

And, even if we want to pay by mobile, with dozens of payment apps available, the chances are that a given shop won’t take the specific app that’s on our phone.

As Google and many others have found, and as Apple is about to find, the business of payments is hard. This one is going to be slow, people.

Our buying experience will start to be simpler and more relevant

Want to buy something? There’s too much choice.

Any major decision – holiday, car, house, furniture, white goods, television, PC, phone, school – now needs detailed online research, investigation of reviews and trawling of social media.*  It’s so much work that that buying stuff now feels like it costs as much in effort as our research saves in money.

Many sites, such as those in the travel industry, can ask us for some preferences to simplify our journey by filtering choices, it is still a chore.

It is only a matter of time before some sites simply use our social identity, online behaviour, some statements of preference and history of other purchases to predict the best purchase solutions for us and offer a focused choice that’s right for us, based on who we are.

More than a search based on budget, distance from home, type of hotel preference and preferred flight times, this is a search based on what we genuinely want and like, evidenced by our behaviour.

This is, I believe, the kind of thing that will be enabled through the data gathering and machine learning capabilities of facilities like Google Now or Amazon Echo.  I think we will start to see these services being offered in 2015.

Before long, we won’t be typing in “…washing machine reviews…” when we want to think about replacing our white goods. We’ll simply muse out loud, in our living room:  “Alexa?  What washing machine would be best for me?”

We will start to see fresh food delivery online at scale from non-grocers

Building a distributed, refrigerated real-time supply chain to distribute fresh food is expensive and difficult. This has acted as a major barrier to entry for online players. It has kept traditional grocery supermarkets in the game and let them sell us all the other household stuff we need routinely.

But Amazon are starting to trial fresh food delivery and many consumers will begin to use them for their shopping. I think we will start to see the grocers’ monopoly on our weekly food shop starting to erode in 2015.

At least one traditional supermarket will experiment with a alternative models

Of course, traditional supermarkets are no mugs. They will experiment with new ideas to ‘lock in’ our weekly shop and keep it away from online pretenders. Tesco already have a subscription model for online delivery charges. I would be surprised if they, or their competitors, didn’t come up with an alternative. A single monthly subscription that delivers a weekly food shop, for example?

Health insurers will offer discounts for customers to upload their health data activities.

This one is, I think, already happening. Wearables, and the health monitoring facilities offered by the iPhone 6, all gather data about our long-term lifestyles.

Health insurers are beginning to incentivise us to upload this data to the cloud. Health insurers will analyse this data and give us bespoke cover at tailored premiums. And we will like it. (unless we’re fat, or sedentary, in which case our premiums will shoot up).

Wearable tech will cause at least one Big Data / privacy scandal

Wearables are probably the first tech innovation designed from the ground up to enable ‘Big Data. Just by wearing a watch or wristband, our movements yield long-term telemetry data.

Where we go, what we do, who we meet, what we are interested in, when we do things, how we get there, what we buy, how we pay and who we tell – this so-called ‘digital exhaust’ trails behind us as we live.

This data is so complex, so large and so intimate that it will not be possible to protect it fully, certainly not at the start. Sometime in 2015, we will have the first leakage of such data and what it will reveal about what is known about us will be scary.

Buyers of customer experience management software will get wise to the idea that there is no such thing

The notion of customer experience has become polluted by vendors selling ‘customer experience software’. There ain’t no such thing.

Leading, managing and operating an organisation to offer a good customer experience is not about software. It is a matter of principle, strategy, practice and attention. I expect that more companies will understand this in 2015.

Banks will claim to be customer-centric but scandals will continue to disprove this idea

Banks will continue to try and show that they have genuinely changed their stripes. That they have,learned the error of their ways and are driven by the interests of their customers.

But I fear that this hope will founder, for two reasons. First, a typical bank IT system is a messy legacy stack that is hardwired around products, not customers. These systems are too big and too complex to change without eye-watering expense.

Second, the majority of banks continue to reward their people to focus on short-term revenues for the bank, regardless of the interests of the customer. Because these rewards are so big, they will continue to distort banker behaviour away from the customer.

This toxic culture is so ingrained that it will take a generation to fix – so while I have little hope of customer-centred progress in 2015, I feel sure that more banking scandals will emerge.

Some brands will begin to function as marketing algorithms

The lines between ‘pure’ marketing and customer experience continue to blur. Marketers have been trying for years to personalise their messaging to individual consumers. I think this year, we will start seeing the first marketing content, bespoke for individual customers, automatically generated by what marketing systems know about each customer.

What will make these communications different? They will be driven by specific parameters that properly reflect the intent of the brand.

The content of marketing emails may be different, depending on what else they know about us. (Depending on the ethics of the company, this could  be much more than just the information we gave them when we opted in for their marketing – assuming we did at all).

While the content of all these emails may be different for EVERY customer, each will reflect the presentation, tone of voice and content of the brand. The brand will have become an algorithm, driving content.

What are your predictions?

So these are my predictions for the year. Things will, I think, get better in incremental ways for the customer as more companies recognise the competitive advantage this gives them.  We’ll see a few new things, and some ideas will fail (and that’s ok, failure is the overhead of innovation and the cost of progress) and a number of things will surprise us.

What do you think? What do you predict customers will see differently in 2015?

*The link takes you to a cool interactive tool by Google that shows how the purchase journey varies for customers in different market segments and countries. Fun to play with (if you like that kind of thing).

54 ways to make the customer experience better

Happy customer

We were snowbound at a corporate retreat in Princeton, New Jersey.  We had exhausted the formal agenda and were waiting to hear if the snowploughs had freed the I-95 so that we could get to the airport and go home.

So we were having a few beers and having a general discussion about what works for us in business when Kevin, an experienced colleague who worked in our manufacturing practice, said something so true and so simple that it has stuck with me at every step of my career since.

We were talking about creating and keeping customer relationships, and he said: “Every time I’m going to meet someone for business, before I go in,  I ask myself, ‘how can I create value for them in this meeting?’  If I can do this, I know they’ll want to meet me again.  They’ll learn to trust me.  And, when the time is right, they’ll buy from me.”

The snowploughs came and we put down our beers and caught our planes home, but his simple mantra – ‘how can I create value for my customers each time we meet?’ – has served me well since then.

Because this is the secret of customer experience.

If we want to make the customer experience better, it’s simple. We make every customer encounter something that our customer values. Then we repeat for every step of the encounter.

Find this value and maximise it. If the encounter doesn’t add value, don’t do it.  That’s all.

What’s value?  It’s whatever the customer thinks it is. Things like:

Treating them like a person

  1. Displaying courtesy and good manners
  2. Smiling when we see them
  3. Pitching things in their  terms, not ours
  4. Treating the customer as someone who  is valued and not a potential thief or fraudster (Banks, are you listening?)
  5. Recognising them when we see them again
  6. Recognising them and rewarding them for coming back
  7. Apologising (and not with the weaselly “I’m sorry you feel that way”)
  8. Understanding their problem before offering a solution
  9. Making the customer look good (always a good thing to do)
  10. Showing we are thinking about them, and what matters to them,  even when they aren’t there
  11. Being respectful – of the customer, of our colleagues, of the competition
  12. Being kind.

Making it easy

  1. Taking away something that is inconvenient for them
  2. Simplifying the transaction (or better, simplifying the customer’s situation)
  3. Offering control to our customer (of the conversation, of the transaction)
  4. Making it so that there is only one way for the customer to do something – and it’s always good
  5. Being patient
  6. Making it easy to pay
  7. Making it easy to get money back
  8. Pricing fairly
  9. Being consistent
  10. Making it easy to talk to a person (if that is what our customer wants)
  11. Making it easy not to have to talk to a person (if that is what our customer wants)
  12. Making it easy for the customer to change their mind
  13. Welcoming returns with a smile
  14. Improvising if the customer needs it
  15. Anticipating their questions (nicely)
  16. Listening to them. REALLY listening.  (Note: this one is hard).

Being honest

  1. If we can’t do it, saying so
  2. If someone else can do it better or cheaper, saying so
  3. Pricing things in ways that are clear and easy to understand
  4. No surprises – being up front with bad news and what we are doing to fix it
  5. If there is a quick or cheap fix for their problem, solving it for them
  6. Refusing to sell them the wrong thing
  7. Keeping our promises, no matter how small (especially the small ones)

Being interesting

  1. Being funny (but not offensive)
  2. Speak about their problems more than our solutions

Helping

  1. Explaining what is happening and what will happen next
  2. Putting ourselves in their shoes
  3. Giving them meaningful choices
  4. Tailoring what we do to what they want
  5. Keeping their anonymity (if that is what they want)
  6. Reassuring them
  7. Taking responsibility for sorting things out, even if it is not our fault
  8. Solving their problems quickly and consistently

 Giving them something

  1. Offering something extra (a lagniappe, for example)
  2. Giving away  insight or knowledge because the customer needs help
  3. Letting them take the credit
  4. Giving them things because we think they might like them
  5. Making it cheaper because they’ve come back
  6. Accepting that if they have got things wrong, it’s our fault for allowing it to happen

Speed

  1. Being fast
  2. Being instant
  3. Letting them be slow. Waiting for them. Patiently. And with a smile.
  4. Being convenient in ways that matter to them
  5. Asking them how quickly they want it and getting it to them whenever they say

Each of these will make the customer experience better.  Better, customers will value dealing with us. And if there’s value, they’ll be willing to buy from us.  And they’ll want to do it again. And this is the bottom-line reason why customer experience matters.

(Photo credit: adapted from ‘Happy Customer’ by Dan Taylor, https://www.flickr.com/photos/dantaylor/, modified under Creative Commons license) 

How to transform the customer experience without a transformation programme

Welder

Make it better

In my last post, I described ten ways we can make the customer experience better.

Here they are again, framed from the customer’s point of view.

  1. You’re quick.
  2. You are easy to deal with.
  3. You get it right.
  4. You care if something isn’t right.
  5. You prove that I can trust you.
  6. You trust me.
  7. You are honest about what you can’t do.
  8. You act in my interests.
  9. You are professional.
  10. You are honourable.

*Sigh*

That’s a big list.

Let’s get real. We can’t fix everything.

But we do need to make things better.  Customers expect it. Our competitors are doing it.  We need to act quickly, sustainably and now.

And here’s the thing.  It costs very little to make each of these better. Without investing in technology. Without employing expensive consultants.

It just requires our attention.

Our people are already busy. They have to pay attention to the day job and to keep the lights on.  Most folk (and most organisations) can pay attention to no more than two or three things over and above this.

The trick is to choose the things to which we pay attention.

How?

Here is an approach I have found useful. I use it to make a difference quickly for customers. I find it especially helpful when I don’t want to wait for the promised new IT system to fix everything (which it can’t) or for the consultants to transform our processes for the better (which they don’t) or for the programme office to get its act together to deliver its big ‘transformation programme’ (which it won’t).

We talk to our customers. Better yet, we have our people (you know, the folk who actually do stuff for customers) talk to them.

We find out from our customers the things they would like us do better. We prompt them with questions drafted from the set above.  Keep the questions as open and simple as possible.  We’ll get a big list.

It’ll feel bad to see all the things we do badly for customers.

But that’s ok. Because now we can start to make things better.

We talk to our people who are responsible for the things that customers would like us to get better. Have them pick one or two or three things from the list.  No more than three.  Picking one or two is fine.

The criteria for they should use to pick out things from the list are these:

  • We can make it better.
  • We can make it better in ways that make a noticeable difference to the customer.
  • We can make it better within 30 days
  • We can make sure it stays better

Once they have made their choice,  we stand back and give our people license to do what they need to do. We help them when they need it, especially to remove sources of delay. Speed is the key, because we want to pay attention to this to make sure it gets better, and to keep paying attention is hard.

So: speed.

After thirty days, we (or better, the people doing the work) check back with customers about the difference they see.  We share this with everyone.

We test with our people that they can sustain the improvements they have made.  The only real test is this question:  if all our people changed jobs or moved on and were replaced, how do we know that our service would stay improved? If we can’t be sure, then let’s fix it so that we can be sure.

Go back to the list.  Ask customers again.

Repeat the next month. Pay attention to the new thing.

Repeat, repeat and repeat again.

Watch things get massively better for your customers. Let’s give it a go.

What I’m saying here is not original.  It’s just a version of continuous improvement, or Kaizen, or Agile or Lean.

Nor is it intellectually difficult.

And it won’t fix everything (so yes, sometimes, we do need that big IT system or a process redesign, but less often than we think).

But over (say) a year, it will make a huge difference.

And that’s what it’s all about.

So come on.  Let’s make things better for our customers.

(Image credit: USAF photo by Kurt Gibbons III) 

Ten ways to make the customer experience better

two on the beach LomoYou can’t control the customer experience.

You can’t control customers’ feelings, or their personal circumstances, or how much attention they are going to pay to you.  Their experience of your brand, or your product, or your service is down to how they feel. And you can’t control their feelings.

But you can make it better

You can control how you maximise the chances that the experience is positive.

Here are ten examples of what I mean, described, of course, from the customer’s perspective. If you make any of these better, your typical customer’s experience will improve.

  1. You’re quick.  Waiting is a cost to me, the customer. It’s a cost that I don’t want to incur.  Whatever I want, I want it now. The more you can get me what I want straightaway, the more I like it. (Delay also makes it more likely that things will go wrong, and I don’t like that).
  2. You are easy to deal with.  Whatever I want to do is so easy I don’t have to think about it.  I get the information or the product or the service or the support I want in the ways that I want it.
  3. You get it right. What you sell me is what I want.  And what I want is what I get. And it doesn’t go wrong.
  4. You care if something isn’t right.  If it does go wrong, I want you to know before I do. I want you to fix it with no inconvenience on my part. And I want you to put right anything that went bad because your product went wrong, before I have to ask.
  5. You prove that I can trust you. I want to know, before I buy, that I can trust you. You give me value anytime I engage with you, whether I am buying from you or not. If every encounter with you provides insight, advice or help in ways that matter to me, then I’ll trust you with my money when it’s time to buy.
  6. You trust me. You don’t behave as if I am a thief or a fraudster. You acknowledge, listen and act on what I tell you. If you need to do things to make things secure, you explain why and you do your best to make it easy and trouble-free.  You take my side.
  7. You are honest about what you can’t do.  If you can’t help me then you let me know so I don’t waste time or have incorrect expectations. And then you help me in whatever way you can.
  8. You act in my interests.  If something is better for me than what you are offering or what I am requesting, you let me know and you help me with it.
  9. You are professional. You treat me with respect. You show courtesy and good manners. You treat your employees with respect and courtesy as well, as they represent you (and, of course, it is the right thing to do).
  10. You are honourable.  You don’t hide things from me in small print. You make promises and you keep them.  You don’t make promises you can’t keep.  And you do what’s right, regardless of policy.

Improve any one of these things and you will make the customer experience better. In addition, you will cut your costs of sale and service and make your people happier. Improve all ten, and the experience you offer may well become the stuff of legend.

(I wrote this and then discovered Seth Godin’s wonderful post: Your call is very important to us which covers related ground, but with added goodness (I love the idea of routing delayed calls to the CEO’s spouse…)  Enjoy).

Image credit: Mike Bird

Why our customer experience is damned

Hellfire and Damnation

You can please some customers all of the time.
You can please all customers some of the time.
But you can’t please all of your customers all of the time.

(With apologies to Abraham Lincoln and John Lydgate)

Here’s the thing: I hate to be helped in shops. I don’t like it when an assistant approaches and asks “Can I help you?”  That’s just me. Maybe it’s because I live in England.  I want to make up my own mind and seek help from an assistant when I want it.

My friend, on the other hand, likes an assistant to help him. He resents it when he sees staff standing around, not offering to help. He wants them to come up and ask.

What’s a shop to do? The customer experience they offer is damned if they do and damned if they don’t.

Many companies try to please everyone. They try to cover all the bases. They attempt to offer an experience that handles their main set of target customers and the others, the exceptions. Result? The experience they offer is confusing. They serve neither set of customers well and both groups of customers become unhappy and leave.

In our businesses we want to avoid this. We must analyse customer data to get insight into what matters to our target customers. We must combine this insight with our own understanding of what we are good at, to think about the experience we want to offer.

Then we must choose to provide the experience that works best for the customers we want to get and keep.

When we do, we know that such an experience won’t work for all customers. But we accept this because we will be confident that it will work for the majority of those we want to serve.

The customers we lose are the price we pay to enable us to offer a great experience for our target market. Why is it worth paying?

Because if we can truly offer a great experience for their target market, then we have a real edge over the competition. We will secure a greater market share. And we can seek higher margins as our customers accept that higher value justifies higher prices.

Even better, we save money. We won’t waste time, resources and attention on exceptions and variations for customers whom we are not targeting and from whom we will get little return.

Of course, the bright reader (and all my readers are bright) will have spotted what has happened here. The quality of customer experience we offer corresponds directly with the quality of our business strategy.

If we have made clear strategic choices about the customers we want to serve, we can confidently provide an experience that they will value.

If our strategy is unclear? Then we can only offer a confused or ambiguous customer experience.

So yes, our customer experience is damned. But it can happen in two ways. It can be damned because we choose to serve our target customers brilliantly and with confidence because we know who they are. By doing so, we are willing to accept that some current customers won’t value the experience we offer and may leave. And we accept this cost, because the payoff for our core customers – and for us – is so great.

In this case, our customer experience is a clear expression of our organisation’s strategic intent.

But the second path to damnation is far, far worse. It happens when we try to please everyone, because we don’t know (or are unwilling to choose) which customers we want to serve. Then we can’t offer a winning customer experience because we have to compromise to try to keep everyone happy.

In this case, the customer experience we offer is equally an expression of our organisation’s strategic intent. But what it expresses is ambiguity and confusion.

Keeping everyone happy may be a good intention, but it is also the road to Hell.

So maybe we have to accept that our customer experience is damned. But let’s choose how we want it to happen. For when we do, we give ourselves a chance to give our customers an experience that will make a real difference to them and to us.

(Image credit: Hellfire and Damnation by Jocelyn under Creative Commons License)

The art of customer experience

Jete - statue at Millbank, London

“Do you want to sell sugared water for the rest of your life? Or do you want to come with me and change the world?”

(Steve Jobs’ pitch to John Sculley, then CEO of Pepsi,
to persuade him to become CEO of Apple in 1983).

Every day for the past few months, I have walked past this statue of the dancer, David Wall, by Enzo Plazzotta. You can find it outside a block of upmarket flats on Millbank in London. The title of the piece is Jeté, a ballet term that refers to a leap.

Honestly, for about a month, I hated it.

David Wall’s face is set almost in a pout and his hair – well, it would do well in American Hustle.

But I am a sucker for excellence. It grew on me.  I noticed the precision that the sculptor used.  I started to look at the figure of the dancer himself. 

The sculpture, magically, captures the dancer in the air.  His leading foot turns, just so, to maximise extension and clarity of line.  His rear foot also turns, but differently.  

His fingers, at the end of his immaculately extended arm, are all where they need to be. His trailing hand makes the line of his leap perfect.

This figure in metal, like, I imagine, the figure in the flesh, transforms from something lumpen and heavy to something free, elegant and apparently effortless.

Which, I know, is the exact opposite of the truth.

EVERYTHING about this leap is deliberate. The turn of the ankle, the angle of the leg, even the spacing between the fingers.

Everything.

Deliberate effortlessness like this is only possible through untold hours of training, development of technique, feedback and coaching, just to produce an instant in the air which, were it not been captured in sculpture, might go unnoticed.

The purpose is not just to make the leap, but to strive to make it perfect, even if the only person who knows that it is perfect is the dancer himself.

This is, I suppose, what art means: to conceive of what might be right and then set oneself to achieve the impossible standards that it demands.

And the same applies to business. The best businesses, the ones we love, the ones we welcome into our lives, exist because the people behind them want to do something, to achieve something, to make a difference.

They focus on doing the right things, as well as they can, to the best of their ability.  They might be making cars or phones, or flying planes or driving trains, or making television programmes – or the ads that come in between.  What we perceive, as customers, as buyers, as people, is a sense of excellence.

And so we buy.

And we enjoy buying.

And we keep buying.

Because these companies exist to make things better for their customers and they, and we, succeed when they do.

Do these companies make money? In the main, yes.

But that is not what they are in business to do. (and which is why, sometimes, their investors get grumpy).

The money they make is a side-effect.  They make money because they are doing the right things.  Because they (and their customers) in what they do.  They believe that taking infinite pains to get things right; taking deliberate care about every last detail; and striving for a vision that has meaning, are things worth doing in themselves.

But, like an artist who prostitutes himself for money, as soon as a company forgets this, its art suffers.

I was once asked by the CEO of a multi-national tech company what I thought might be the difference between a ‘good’ company and a ‘bad’ one.  I said that I thought I could see one core difference.  A ‘good’ company’s primary concern is its business and how it can do better; a ‘bad’ company’s primary concerns are ‘the numbers’ and how it can make them better.

And companies that focus on their numbers aren’t focused on the customer.

Customers don’t buy numbers.  They don’t experience numbers. They don’t want numbers.  They want the stuff that a company does that solves their problems, gives them value and makes them feel good.

My months of walking past Enzo Plazzotta’s sculpture have taught me something about business. The simple delivery of business, doing it better and making some cash – this is the craft of business.  But striving to create and run a business which customers enjoy, which employees want to drive to greater heights and which makes a genuine difference to people’s lives – this is the art of business.  This makes being in business worthwhile.

It’s open to all of us. If we can conceive of greatness, if we take deliberate pains to get it right, and if we set and meet impossible standards, then we too might create something wonderful.

I believe that, if it wants to, any business can achieve wonder.  Can make customers want to be part of their adventure. Can have their people achieve amazing things just to be able to say, “…we did that”. Can have customers enjoy, and value, what they buy.

This is why I spend my time with organisations to make the customer experience better. Because it is at the point when customers experience what we say and what we do, that, perhaps, we make masterpieces.

Say it with deeds.

Chicken rhyme

The Language of Love

Words need to match expectations if we want our relationships to succeed.

Valentine’s Day reminds me how much the language of love corresponds to the business of engaging with customers.

Love is about building enduring relationships, where both parties feel like equals, where they each give and get something from the relationship. It is about two-way communication.  It is about trust. It is about wanting to invest our time in the relationship, because doing so rewards us now and because we want it to do so in the future.

For most organisations, this also describes the relationship we would like to have with our customers (and more importantly, the relationship we would like them to have with us).

But, as many of us have learned to the cost of our broken hearts, this isn’t easy.

Chores vs Candlelight

While people can say the right things, what we say through the candlelight over dinner with a nice wine can be very different to what we do on a wet Wednesday evening when the chores need doing and we’re both tired after a long day at work.

And if we can take out the rubbish without being asked, or do the dishes and still smile because we want to cheer our partner up and maybe feel a little better ourselves, then – while candlelit dinners are all very nice – it is when we stand in the rain by the bin or at the sink up to our elbows in dishwater that we don’t just talk about love, we show it.

And showing our love is what counts.

Caring is Doing

We can love our customers during the sale, as we smile and show them our brochures and we give them the pitch and they get excited that maybe the thing we are offering might be the one, the thing that they are seeking.

But are we ready to work at this relationship? To show our love rather than just talk about it?

We do so when we let them call us for help and we answer in person, not with a computer; when we design our website to make it easy for them to do what they want, rather than just get what we want to tell them; when we remember their name and know what they have bought from us and recognise that even the smallest thing can cause frustration; and when we say “don’t worry about it” and give them their money back with a smile when they tell us they aren’t happy.

The experience we offer our customers shows how we care about them much more than any words we use.

Real relationships don’t happen just because we dress up nice and say we care, they happen because the things we do in the weeks and months and years after that first date show we care.

It’s true for our partners.  It’s true for our customers.

Happy Valentine’s Day.

(Image credit: Quickmeme.com at http://www.quickmeme.com/meme/3pf2)