Welcome back to part two of our three part series on the key insights we gained during our travels on the road in October. In our last blog post we covered our experience at TSIA’s Technology Services World 2013 where the topic of discussion was big data and the importance of organizations to get moving with big data. In today’s post we will take a look at the importance Customer Engagement Management (CEM) for an organization.
We Care, Everywhere
The next stop on our USA tour is Atlanta, GA where we attended CEM in Telecoms: North America, hosted by Telecoms IQ. The 2013 CEM in Telecoms event was attended by leading cable providers, telecommunication providers, and thought leaders in the Customer Experience Management space, providing a platform to review industry best practices in improving customer experience. The two-day session covered many topics in the CEM space including:
- Enhancing the customer experience across contact centers and other touch points
- Increasing cross-functional collaboration and overcoming silo mentality within organizations
Contrary to the graphic, most organizations don’t have a single touch point with the customer, even though many interactions with the customer are handled this way. This was among many insights captured through our panel session and discussions, a few additional insights have been shared below:
With customers engaging with an organization across multiple touch points throughout their lifecycle, CEM needs to be a cross-functional initiative with senior leadership support. The cross functional organizations should include:
- any channel that can engage with the customer
- product teams that develop products and services customers use
- marketing organization communicating with customers
- IT personnel that help build systems that will be utilized during an interaction
- central organizations that help facilitate cross functional collaboration.
- And the senior leadership team drives strategic goals and plans across an organization. Many CEM initiatives fail without the full support and sponsorship at higher levels of the organization.
Organizations need to provide a full omni-channel experience when interacting with customers to be a leader in customer experience management and drive higher NPS. An omni-channel experience builds upon multi-channel engagement by providing a similar customer experience regardless of channel (retail, web, phone, etc.). The omni-channel experience doesn’t just focus on the end-user’s experience with an organization, but instead enables each employee channel a single historical view of all interactions between the organization and end user. This provides the employee working with a customer the full context into every engagement and the ability to tailor the current interaction accordingly.
When looking at NPSs, it’s more valuable to focus on moving detractors to passive customers than moving passive customers to promoters. Two examples were provided by the following case studies referenced during the event:
- A North American Cable Provider and a North American Telecom Operator identified that their NPS metrics closely correlated their detractors to their churn rate. With growth slowing in both industries, the ability to lower customer churn volume helps increase lifetime value of a customer and allows them to spend less money trying to win back customers.
- Detractors have a far greater negative impact on the business based on their willingness to generate negative messages via social media. This was highlighted in a case study by a Canadian telecom provider where detractors were seen to be responsible for $2540 in lost revenue versus promoters generating $1248 in gained revenue.
Coming out of the CEM 2013 all topics came full circle around the importance of building the best possible customer experience through every touch point. With the social landscape that exists today, the customer is more powerful than ever. This makes every customer interaction with a given organization extremely important and a positive experience a necessity. Stay tuned for the final installment of Rescue on the Road where we cover our time spent at HDI Fusion 13.