The Economic Imperative of Customer Experience

ANALYST WEBINAR The Economic Impera/ve of Customer Experience with Dr. Natalie Petouhoff

© 2013, Genesys Telecommunica?ons Laboratories, Inc. All rights reserved. 2

Speakers

Dr. Natalie Petouhoff Business Strategist,

Consultant and SoKware Analyst

@drnatalie

Keith Pearce VP, Corporate Marke?ng

Genesys @pistolprce


$5.9 Trillion

of global revenue to play for from customer switching because of poor service

Asia – China & India

North America

Western Europe

Rest of Asia-‐Pacific

Central & South America Eastern Europe, Middle East & South Africa

1.7

1.4

1.0

0.8

0.5

0.5

Our 2014 Economic Impera/ve: Switching Economy

The 2013 Global Consumer Pulse Research published by Accenture entitled Digital Customer: It's time to play to win and stop playing to lose

Customers who switched companies due to poor service in at least one industry last year

66%

Feel their service provider could have done something to prevent them from switching

82%


FAIL

Voice Self-‐Service

Are We Crea/ng Or Solving The Problem?

Web Self-‐Service

Contact Center

FAIL

10% Leakage of loyalty when web self-‐service fails

58%

34%

Callers who first used web in current transac?on

Callers on web while talking to a rep Source: CEB

Social

FAIL

Mobile App


Branch Contact Center Mobile App Website Back Office

Purchase Journey

Onboarding Journey Account Change Journey

Renewal and Repurchase Journey Problem Resolu?on Journey

Today’s CX Leaders Manage Journeys

Companies focused on the end-‐to-‐end journey perform beêr

Customer Sa/sfac/on

20%

Revenue Growth 10 to 15%

Lower Cost to Serve 15 to 20%

Source: McKinsey

Purchase Journey

Onboarding Journey Account Change Journey

Renewal and Repurchase Journey Problem Resolu?on Journey

Branch Contact Center Mobile App Website Back Office

Research: Clear links between great customer experiences & better business results:

•  Improved profits •  Increased revenue •  Greater loyalty and positive word of mouth

So why aren't companies of all sizes benefiting from it?

Companies main focus: Get each individual touch-point right

•  The economic imperative of focusing on the customer journey •  Why companies don't get the customer journey right •  How to provide great customer experiences across the journey •  Why focusing on the end-to-end customer journey can unlock the full

business value of great customer experiences

Customers Are Choosing Many Channels

77% of customers use more

than one channel

Website Mobile App

Contact Center Marke?ng Branch/

Store Direct To Rep

But Customers Are Not Happy

<50% sa?sfied when moving across channels

77% of customers use more than one channel

Social Media Maêrs: It’s Not Just for “Young People”

47% of social media users engage in social media customer care



•  77% - Ages 50-60 are online •  54% - Ages 65 and above are using the Internet

Social Media Maêrs:

47% of social media users engage in social media customer care



1-‐9-‐90 RULE

EXAMPLE: BUYING HAS CHANGED

WHETHER YOUR COMPANY IS B2B OR B2C OR…

…Customers are talking to each other…

LET’S LOOK AT HOW I MADE THIS PURCHASE:

it’s how customers are making decisions….

CUSTOMER-‐TO-‐CUSTOMER MARKETING & ADVERTISING

1,123 Reviews

WHAT’S GOOD, WHAT’S BAD, WHAT WORKS, WHAT DOESN’T…

Is displayed permanently for the world to see

AMAZON WANTS TO HELP CUSTOMERS GET THE INFO THEY NEED…

So Amazon becomes to go-‐to place to get the best customer-‐to-‐customer info

5 STAR REVIEWS

1 STAR REVIEWS

Q & A Customer Service •  Everything a brand or

company needs to know about their products and services

•  Always has been true •  Now its on public display

But how many companies see the

customer experience as a direct revenue

driver?

2008 2014

IF WE LOOK BACK AT 2008 TO NOW… THERE HAS BEEN TOUCH-‐POINT & CHANNEL EXPLOSION

Website Mobile App

Contact Center

Marke?ng Branch/ Store

Direct To Rep

2008 2014

AND THE QUALITY OF THE CUSTOMER EXPERIENCE HAS DECLINED…

Customer Experience

2008 2014

THE OPPORTUNITY IS TO TRANSFORM THOSE TOUCH-‐POINTS

& CUSTOMER EXPERIENCES

Customer Experience

Transforma/on Opportunity Customer

Experience

WHEN COMPANIES FOCUS ON BETTER CUSTOMER JOURNEYS, BUSINESS IMPROVES

Source: McKinsey

Revenue Growth 10 to 15%

Lower Cost to Serve 15 to 20%

Engage Employees 20 to 30%

Customer Sa/sfac/on 20%

Companies

Customers

The GAP: The Customer Experience Chasm •  Customers Adopt quickly

Companies

Customers

Companies

The GAP: The Customer Experience Chasm •  Customers Adopt quickly •  Companies aren’t keeping up with expectations

Companies

Customers

Companies

Customers

Companies

Will your company fall into the chasm? Or will close the gap by

transforming the customer experience?

Chasm

TRANSFORMING THE CUSTOMER EXPERIENCE CAN SEEM DIFFICULT, IF NOT IMPOSSIBLE


Contact Center Contact Center

Transforma/on of the Contact Center

Modernize Innovate Transform

•  Personalized 1-‐to-‐1 Experience •  Touchpoint and Channel Op?ons •  Ongoing Proac?ve Communica?ons •  Capable and Informed Agents •  Effec?ve Self-‐Service Op?ons •  Low Effort

Customer Expecta/ons •  Improved Sales •  Employee Sa?sfac?on •  SLA Adherence •  Self-‐Service Containment •  Minimal Churn •  Lowest Operating Cost

Company Expecta/ons Company Benefits

Modernize Innovate Transform

Contact Center


Three Edi/ons to Meet Your Needs Today and Tomorrow

Cloud Hybrid On-‐Premise


So Who Manages Journeys?


Ask or Tweet The Experts!

Dr. Natalie Petouhoff Business Strategist,

Consultant and SoKware Analyst

@drnatalie

Keith Pearce VP, Corporate Marke?ng

Genesys @pistolprce

Thank You for par/cipa/ng!

For more informa+on, please visit www.genesys.com

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The Economic Imperative of Customer Experience