A lot has been said and written about customer experience and still, there are tons of questions on CX. This article attempts to answer some of the most frequently asked questions on customer experience.
What is customer experience?
Customer experience (CX) refers to the impressions that your customers have on your business. CX is based on the different interactions that the customers have throughout their journey. The journey starts from their first contact to the customer having a good experience and then turning a loyal, returning customer.
By focusing on CX, businesses can reduce churn and increase their revenues!
Why is customer experience important?
“Delivering a great customer experience” is now a top strategic objective – Bloomberg Businessweek.
Customers today have more alternatives than they have ever had before. As a result, they have a much better understanding of what they want and how to get it. Apart from building fail-proof products and services, businesses have to focus more on delivering unbeatable customer experience to optimize profitability.
Isn’t customer experience (CX) just another term for customer service?
Are customer service and customer experience the same? Well, they aren’t!
To start with, customer experience is a package that speaks about the entire journey you’re your customer. On the other hand, customer service is a piece of the puzzle — it focusses on human interactions that support the customers directly.
Lets understand it better –
Customer service: Customer service refers to the support and advice given to a customer when they need it for your product or service.
To give the answers and support that a customer requires, your customer-facing team must possess a specific set of abilities, including patience, product expertise, and perseverance. It’s the human element in the customer journey, and it’s the voice that your customers will associate with your company.
Customer experience: Customer Experience, or CX, refers to the overall consumer journey within the enterprise and encompasses all interactions between the customer and the company.
CX describes how a customer interacts with your product or service, including their interactions with self-help support choices, the sensation of stepping into a retail store, and customer service interactions with the team.
The key differentiator here is that customer experience encompasses the entire customer journey, including the customer service. On the other hand, customer service is only about the interactions that a customer has when seeking assistance on a service/product.
What is the difference between customer experience and customer success?
Customer experience is interactive, intending to provide a fun and easy-to-use product that can be seamlessly integrated into a customer’s daily routine. On the other hand, customer success is the process of analyzing customer behaviours, predicting customer challenges, and proactively providing solutions.
What is the difference between customer experience (CX) and user experience (UX)?
User experience (UX) is concerned with the experience that a customer has with your product. On the other hand, CX is the experience that users have with the brand as a whole.
Who owns customer experience?
First thing’s first – CX isn’t “owned” by an individual or a single department!
Just like how the sales and marketing departments are most effective when they work together, the customer experience is something that the entire organization has to work together for.
It is important for an organization to CX it is true north. CX has to start from the top – it is a leadership responsibility. Right from the executive level, the company has to make CX a part of its DNA.
How to measure customer experience? (Popular customer experience metrics/ KPIs?)
CX Metrics are the KPIs used by a company to track customer feedback. These metrics can assist you to figure out how satisfied or loyal your consumers are.
Here are some popular CX metrics –
- Net Promoter Score (NPS)
- Customer Satisfaction (CSAT)
- Customer Effort Score (CES)
Other ways to measure customer experience include churn rate, customer lifetime value (CLV), and retention rate.
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How to improve customer experience?
A positive customer experience is critical for your company’s success because happy consumers become loyal customers who help you increase revenue. While focusing completely on customer experience may appear to be more work, it is well worth it.
Here are some proven ways to improve your CX –
- Make sure that you offer top-notch services.
- Create an omnichannel strategy to provide a better consumer experience.
- Effectively train your customer-facing teams.
- Use Artificial Intelligence to your advantage (AI).
- For a better client experience, create self-service choices.
- Customer inputs/feedback should be taken seriously to improve CX.
- Take social proof seriously if you want to boost client satisfaction.
- Keep your brand’s message simple and engaging.
What are the most common CX job titles?
As businesses become more customer-centric, companies are focusing more on forming and training their internal resources to become CX specialists. Some of the CX job titles include –
- Customer Experience Director
- Customer Experience Manager
- Customer Experience Consultant
- Customer Experience Specialist
- Customer Experience Agent
- Customer Experience Advocate
What are some of the best CX books and blogs?
Want to explore more on Customer Experience (CX) and how it has been evolving? Here are some books and blogs that will be of great help –
1. The Cult of the Customer: Create an Amazing Customer Experience that Turns Satisfied Customers into Customer Evangelists by Shep Hyken
This book by Hyken is just amazing and has some real-life examples of some amazing customer-focused strategies.
2. Customer of the Future: 10 Guiding Principles for Winning Tomorrow’s Business by Blake Morgan
This book by Morgan describes 10 specific strategies, bolstered by case studies and examples, for achieving unbeatable customer experiences.
3. Customer Understanding: Three Ways to Put the “Customer” in Customer Experience (and at the Heart of Your Business) by Annette Franz
In this book, the author covers the three approaches to customer understanding: buyer personas, surveys and data, and journey mapping. The book explains in detail how these approaches work together.
4. Blake Morgan’s Blog
CX futurist Blake Morgan says that “no matter where they live and irrespective of the language they speak, customers desire to feel valued”. Through her blog, she talks about CX compellingly and entertainingly.
5. My Customer
The team behind this blog puts out insightful articles, webinars, white papers, and industry news updates on CX.
What are the top customer experience challenges?
Along with the growing emphasis on customer experience (CX), the challenges and difficulties associated with it are also increasing.
Here are the top 5 challenges of CX –
- Delivering personalization at scale
- Identifying & prioritizing CX problems and opportunities
- Generating actionable insights quickly
- Ensure Deep Enough Customer Understanding
- Developing a CX Culture and Customer-first Mindset
What are the most common CX mistakes?
Going by the importance of CX, organizations are under pressure to adopt CX Transformation. Yes, CX transformation is the need of the hour! However, it is very important to understand that Haste leads to Waste!
The waste is because we end up committing mistakes when in the rush! This stands strong in customer experience. Haste when devising a customer experience strategy without mapping the direction guarantees pitfalls.
Are you a business leader looking to deliver a seamless customer experience? Well, you should be aware of these common CX transformation strategy mistakes. Read, understand and avoid!
1. Leaving the CX strategy to the “HiPPOs”
Many businesses make the error of relying on the “highest-paid person’s opinion” (HiPPO) to determine CX transformation objectives. CX professionals with customer insight should be prepared to question HiPPO directives and advocate for projects that will have the greatest impact on the customer and the business.
2. Confusing customer satisfaction with customer experience
The very idea of customer experience is to make sure that there is an ongoing effort to keep the customers pleased with the brand’s products/services. The focal point of CX is to ensure continuous improvement as a real process. On the other hand, customer satisfaction (CSAT) is associated to how the customer feels about the product/service. Customer satisfaction is very important for CX because there are greater chances for a customer to become a loyal one if he/she is satisfied.
3. Mistaking process automation for CX
For CX transformations, it is very important to identify the things that matter most to the customers. Have a clear understanding of the different aspects of customer experience that can create value – operational efficiencies, financial returns, and enhanced employee engagement and outcomes.
While technology implementation can solve many problems, mistaking automation for CX could be very problematic. Automation does help improve CX… a lot! However, process automation “works only when it is associated with a certain value.” If it doesn’t, then your customer will look for this value somewhere else.
4. Ignoring the role of employees and their feedback
Bad customer experience is a culture issue, not a technical issue, so disregarding the role of your employees is a blunder. The majority of businesses are failing to meet this challenge.
According to research, a more engaged workforce may be the path to a better customer experience. You should rethink the usage of standard employee engagement approaches as part of your CX plan and search for methods that allow for two-way interaction with your staff.
Experience software (sometimes referred to as CX, CMX, or CEM) allows businesses to collect, track, and organize customer input to improve sales and customer relations.
Software for the best Customer Experience
- Salesforce Service Cloud
- Adobe Experience Manager
- Hubspot Service Hub
- Qualtrics XM
- Genesys Cloud
- Customer Experience at SAS
- SurveyMonkey CX
These tools come with several features, including contextual assistance, content management, customer analytics, and, customer feedback. Of course, as part of consumer communications for actionable insights, they are a vital aspect of content marketing in general.
What is the role of digital in improving the customer experience?
Digital is the way ahead for SaaS businesses! This is a well-established fact! And then, digital isn’t just modernizing your existing legacy apps or products! Digital transformation is all about creating a culture that is ready to accept change and work on it at a faster pace. At the end of the tunnel, digital transformation narrows down to creating a superior Customer Experience (CX).
But what’s the role of digital in improving CX?
- Helps understand customer behaviors better.
- Continuous engagement via multiple channels helps customer retention.
- Reduced customer churn rates
- Greater brand equity
- Facilitates higher lifetime customer value
- Reduced costs of service
Does AI improve customer experience?
Several firms across the globe strive for a better customer experience (CX), as it leads to increased customer satisfaction, loyalty, and advocacy. The first step toward an exceptional customer experience is to have a good understanding of your customers, and artificial intelligence (AI) can help you get there faster.
Machine learning, natural-language comprehension, and natural-language processing are examples of AI technologies that can be used to assess consumer sentiment and feedback at a scale, precision, and speed that humans cannot match.
Which are the top customer experience certifications?
Being a certified customer experience expert is a tremendous benefit in today’s world of customer experience. It looks fantastic on a resume and can teach you cutting-edge customer experience skills like reading customer data and social metrics, as well as how to create new service initiatives.
Here are some of the best certifications that can help you become a CX specialist –
- Linkedin Learning
- Schulich School of Business
What are the key elements of a customer experience strategy?
Customers, from all walks of life, have certain expectations from brands. Based upon their expectations, these are the six key areas to deliver a great customer experience –
What is customer journey mapping?
The process of generating a customer journey map, a visual retelling of your customers’ interactions with your brand, is known as customer journey mapping (also known as user journey mapping). This exercise allows firms to put themselves in their customers’ shoes and see their business through their eyes.
What is customer experience management (CEM or CXM)?
Customer experience management is “the discipline of creating and reacting to customer encounters to meet or exceed customer expectations and, as a result, boost customer satisfaction, loyalty, and advocacy.”
More than just serving your online consumers is at the heart of customer experience management. It’s about more than just knowing where people shop and which dog food brand they prefer. It’s all about getting to know your consumers so well that you can build and provide tailored experiences that encourage them to not only stay loyal to you but also to spread the word about you to others – which is the most lucrative type of advertising there is.62
Customer experience is the need of the hour and SaaS companies need to look for ways to provide better CX to ensure that they have a better presence in the market. Having a high-quality product along with a strong customer experience is key to success.
You might also like:
- What Is Customer Experience? – What is Customer Experience and why that measures the performance of a company? Read on to know more.
- To understand how SmartKarrot can helps SaaS companies keep and grow loyal customers, Request a Demo.
Rakhin has over 10 years of experience driving business development and client services. In his prior roles, he stayed close to customers to understand their requirements and help them achieve their business goals. He is passionate about customer success.
Published July 26, 2021, Updated August 13, 2021