day1 1105 keith_schorah

Quantifying the value of Customer Experience

Confidential & Copyright © SynGro 2013

http://www.ecew.co.uk/ecew/index.html

What is a Customer Experience Program?

2Confidential & Copyright © SynGro 2013

It is not paying “lip service”

A Customer Experience Program puts the customer at the centre of the business

3

Social Media

Analytics & Reports


Act

Complaints

Surveys

Collate & Distribute

Tactical:Case management

Regular analysisManagement rhythm

Strategic:Pattern identificationRoot cause analysis

Business improvementBest operating practice

Listen Understand

Why bother?

Confidential & Copyright © SynGro 2013 4

Complainer

Detractor - Net Promoter Score

Not satisfied – Customer Satisfaction Index

Not easy to do business with – Customer Effort Score

LEAD INDICATOR

Reduced spend

No ability to cross/up-sell

Defection / churn

Negative word of mouth

Show him the money!

How to get your CEO to sit up and take notice


0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

mini plus mini typowy bliski plus bliski typowy diament market sam. plus

market sam. typowy

monopolowy wygodny

Detractors Passives Promotors

Customer feedback information is goodIntegrated with financial data, it is better

DETRACTORS Segment A Segment B Segment C Segment D Segment E

# of Customers

Aver. Volume (HL)

Aver. Turnover ($)

Total Volume (HL)

Total Turnover ($)

Aver. % of discount

Total EBIT

16

32

33 894

507

74 298

4

60 297

265

43

12 126

11 398

8 743 325

2

345 916

97

112

38 379

10 821

5 819 720

3

387 852

592

79

23 950

46 775

19 954 617

7

8 571 005

50

166

19 643

8 313

6 982 167

2

345 510

DETRACTORSPOTENTIAL

RISK

# of Customers

Aver. Volume (HL)

Aver. Turnover ($)

Total Volume (HL)

Total Turnover ($)

Total EBIT

1 227

1 213

90 975

1 488 351

111 626 325

13 395 159

A B C D E F G H I

Promoters

Passives

Detractors

6

Risk and benefits case

A B C D E

Op

po

rtu

nit

y

PROMOTERSPOTENTIAL

GAIN

# of Customers

Aver. Volume (HL)

Aver. Turnover ($)

Total Volume (HL)

Total Turnover ($)

Total EBIT

2 549

1 831

137 325

4 667 219

350 041 425

42 004 971


Sometimes you have to look for trends to identify the benefit

7

2010 NPS

2011/12 NPS

Average Sales +25% to €3.54m

Average Sales +16% to €3.28m

Average Sales -36% to €1.81m


Prioritise strategic actions based on the loyalty metric score and financial data

8

Acc Owner: Steven Thomas

DDi: 4 4 2 3 3 4 4 0 9 9 7

Email: [email protected]

Esc Manager: Paula Davies

Revenue Profit Share of Wallet

2013 2012 2011 2013 2012 2011 2013 2012 2011

ACT

BUD

26.3

VAR

24.3

+2.0

24.3

23.3

+1.0

21.7

22.3

-0.6

2.3

2.3

=0.0

3.3

3.5

-0.2

18.2%

22.0%

-3.8%

23.2%

19.0%

-4.2%

18.2%

22.0%

-3.8%

3.6

4.1

-0.5


Prioritise strategic actions based on the loyalty metric score and financial data


10

Needs to indicate comparisons versus customers in a similar segment

It is important to compare your performance with competitors against those issues that are most important to the customer

Most important

Least important


Customer

Analyse scores

Call backcustomer

reactions and analyse them

Take action

verbatims

Analyse root causes

Come up with actions and prioritize

Implement structural

Feedback improvements to employees

Contact customer –act on low scores and

share best practice from Promoter

feedback

Implement structural improvements

based on closed loop feedback insights and

other analyses

Inner circleOuter circle

More tactical More strategic


improvements

It is important to consider the processes that aresupported by the data

Based on Bain and Co methodology

NPS, CSI get Measure

Gather

and customers

Train employees based on facts

from reports and customer case

examples

Best Operating Practices

Business improvement

projects

Cross functional

teams

(Use financial data)

This implies front office and back office coordination…and the involvement of people


Negotiation

PerformanceAcceptance

Preparation

Let me help you address

your concern

Preparation Negotiation

Acceptance Performance



• Infrastructure• Technology

Performance


Acceptance



Aligning feedback and operational excellence enhances customer

satisfaction and eliminates waste (cost savings)

The mobilisation of people is aligned to feedback and CSat

customer front line back office

Bringing the pieces together

Customer experience has 3 major parts

– LISTEN, UNDERSTAND, ACT

Get the (loyalty) metrics right

– Try them out, see what works

Link to financial performance

– It’s not always obvious

– Try different scenarios

Ensure front and back office work in harmony


Your CEO will sit up and take notice


Keith [email protected]

Thank you