Let me tell you about a few of my recent “1st World” problems:
- A few months ago I was in Montreal checking in a hotel (part of a major chain) at about 10 PM. The night desk clerk spent close to 10 minutes trying to look up my loyalty account, with no success. Then he informed me I should go look it up, come back down to the front desk, and he would input my information. Note, the per night cost of this hotel was about $275.
- While merely trying to sign up at one of those indoor skydiving places, I discover a poorly organized website that is cumbersome and does not show accurate availability. I called to make a reservation, and after being put on hold for 8 or 9 minutes, the worker says she cannot sign us up. All because she is too busy. She asks for my number to call back when she has time, but never actually does.
- I booked flight on a discount airline for my daughter, as she would soon be coming home from college. She gets charged $40 per carry on bag. I’m sure it was in the fine print somewhere, but it sure feels like a bait and switch.
If you’re thinking, “Dan, if this is all you have to worry about, you have it pretty good”. Well you’d be right, I do have it good. These are definitely not awfully inconvenient problems for me. Not even close.
However, if you are a business owner for any of these three businesses, or if your organization is not that ETDBW (Easy to do business with), please realize that you are inadvertently creating a a few lasting impressions:
- They don’t care about my business
- They would rather maximize profit on one transaction than have me as a customer for a lifetime
- My time does not matter to them.
In short, a positively memorable CX matters! Why? It’s certainly a logical leap to think that a customer who has an excellent experience, remembers it. Because of one positive experience, they can tell others about it; sometimes even becoming mini marketers for that product or service. Further, those that are loyal, having had a positive experience are retained, will buy a product or service over and over.
Consider the following: Studies by Bain & Company, along with Earl Sasser of the Harvard Business School, have shown that even a 5 percent increase in customer retention can lead to an increase in profits of between 25 and 95 percent.
There are several reasons why this small increase in retention can have such a large impact on profits. Here are two important considerations:
- Customers are likely to spend more with companies they’ve already done business with. Particularly with small businesses that don’t have a lot of brand recognition, a customer’s first purchase or two can be considered somewhat of a risk. So they are likely to keep the cost relatively small, and then increase spending as the relationship grows.
- Repeat customers are more likely to refer others. Bain & Company’s research showed that after just one purchase from an online apparel retailer, an average shopper was likely to refer three other people to the site. But a customer that made ten purchases from an online apparel retailer was likely to refer seven different people to the site.
Now, you might find yourself asking: “So what?”
Well, creating a positively memorable experience is HARD! Especially for an organization that has any degree of complexity around the following:
- The types of products/services your customers want;
- How easy or hard, fast or slow, manual or automated, simple or cumbersome it is for you to quote/price the right products/services;
- How easy or hard, fast or slow, manual or automated, simple or cumbersome it is for them to order it, receive it, process the invoice, and actually pay for it.
- What about the delivery, set up/configuration, training, etc., how seamless are these processes?
- Do you have numerous people involved, sometimes with “less than ideal” coordination when you think about those involved from a contracting, pricing, order processing/execution, set up, training, implementation touchpoints?
Having lived this firsthand, I know onboarding new clients/customers is not only challenging, but it is very time-consuming, and candidly, frustrating. Now with even more awareness in the marketplace around this elusive goal of creating an ideal customer experience, the typical customer is more perceptive to whether you (or any) organization is truly “easy to do business with”.
In fact, Forbes just released a recent article on this exact topic – http://www.forbes.com/sites/micahsolomon/2016/12/27/millennial-customers-will-dominate-2017-is-your-customer-service-experience-ready/#3849a20d79f4
If you feel that you may have some opportunities for improvement in this area, TSI can help. We’ve created a very hands-on training workshop (see details below) that is short + sweet, and worth your investment. We have structured this workshop as half-day sessions, taking place on the same day, and are being held downtown Chicago, so you won’t be giving up too much of your time.
- This workshop will blend introducing a solid foundation of concepts and perspectives as well as tools to be used so they may be applied for your organization. This workshop will be held at TechNexus on February 15, 2017 (see end of page for further details), and will be broken down into 2 parts, as follows:
- Part 1 (8:30am to 12:00pm) – Understanding and Analyzing Your Current Customer Experience;
- Part 2 (1:00pm to 5:00pm) – Designing and Implementing a Customer Experience that Creates a Competitive Advantages.
*CLICK HERE for more details, and to sign up for our CX Training event!
- The workshop will allocate time to begin using the tools and apply what you’ve learned to your organization.
- To give participants time to complete their work at their own pace, it is unlikely that participants will complete each tool since that often takes much more time than the workshop allows.
- TSI will set up a video/conference call to answer questions and provide guidance approximately 2 weeks after this workshop.
* This workshop will be priced at $375 per ticket. Contact TSI for group discounts for 2 or more participants (EMAIL: TSI@TRANSFORMING.COM)
The workshop will be held at Tech Nexus, which is located at 20 N. Upper Wacker Dr. in Chicago, IL in Suite 1200, in Conference Rooms C & D.
We’ve received a lot of positive feedback from previous attendees and are appreciative of your consideration of this. Feel free to share it internally as you see fit, and don’t hesitate to reach out to me directly if you have any questions.
 https://smallbiztrends.com, 2014