Customer Experience Featured Article

Customer Experience Solutions Generate More Revenue Than You Think

 
April 23, 2014



More than just a buzzword, a good “customer experience” signifies income. At its most fundamental level, business is about providing customers with a service, and meeting their needs. That’s what business is all about, and that’s what the customer experience addresses.


The loyalty-based revenue from customers who have had a good experience range by industry, but Forrester (News - Alert) has estimated that it can be as high as $88 million for the consumer electronics industry and $3.1 billion for the wireless providers. That’s a lot of money at stake. But these are just two industries of the many that can drive revenue by better customer service.

“In all of the industries we modeled the revenue benefits of a better customer experience range from $31 million for retailers to around $1.3 billion for hotels and wireless service providers,” wrote Megan Burns, a principal analyst at Forrester Research (News - Alert) serving customer experience professionals.

“We've shown through both mathematical correlations and actual company scores that when your customers like the experience you deliver they're more likely to consider you for another purchase and recommend you to others,” she added. “They're also less likely to switch their business away to a competitor.”

Yet, many businesses do not have a way to measure and quantify the customer experience, nor effectively improve it.

Only 10 percent of decision-makers carefully monitor and act on customer experience information, according to research conducted by the Peppers & Rogers Group. Information trapped in organizational silos is a big reason for it; Peppers & Rogers found that 61 percent of organizations surveyed said they were not achieving the progress on customer experience they expected, and 34 percent blamed data that remained siloed.

That’s why customer experience management solutions are being touted so highly. They are tools that break down the silos and bring visibility to what customers are thinking and feeling about firms and their products.

“In the digital economy, companies have to rewire their businesses by focusing on customer inputs instead of company outputs to help gauge how customer experience drives loyalty and other business performance metrics,” wrote Judi Hand, chief sales officer at TeleTech (News - Alert), in a recent white paper.

Customer data needs to be collected from the contact center and may areas of the business and aggregated into metrics that can then be monitored and addressed.

A couple generations ago, businessmen had direct contact with their customers. But now, this interaction largely belongs to the contact center. Customer experience solutions help recapture this lost feedback loop.

And that can mean big business.




Edited by Alisen Downey

Featured Datasheets

Datasheet: VIM - Academy

This datasheets is an introduction to the Exony Academy. It describes our course portfolio the range of different training delivery methods. In our standard training courseware the delivery methods are chosen to best suit the type and complexity of the subject.

Datasheet: VIM X - Family

This datasheet is a brief overview of the VIM X family. VIM X has been designed to allow organizations to get the most out of their investments in Cisco UCCE, CUCM and CVP including unique integration with Cisco HCS for Service Provider deployment.

Featured Case Studies

Case Study: CCI

This case study describes how employees from Corinthian Colleges use Exony VIM to deliver centralized management with local autonomy, making significant gains in efficiency and staff effectiveness by implementing sophisticated contact center data tools across its contact centers to help transform service delivery to students.

Case Study: VSP

This case study describes how eyecare group VSP Global uses Exony VIM to enhance operational visibility within its contact centers, making it easier for managers and supervisors to access the essential information needed to improve customer service.

See More...Manage Smarter

An Introduction to Exony