To compete on customer experience, companies need to consistently deliver a better experience and customer expectations are higher than ever before. In this post we explore 5 reasons why Voice of the Customer is important to your business, but in reality there are many, many more.
Truly understanding your customers
If you’re not really listening to your customers, how can you give them what they desire? The absolute key to delivering a first-class customer experience is getting to heart of what matters most to your customers.
You must understand their frustrations or delights at every single touchpoint to know how to improve. While your brand new website might have a great aesthetic design, can your customers actually find what they need quickly and easily? You never know, the answers might surprise you. By identifying your customers’ pain points you can make both tactical and strategic improvements to your business that will really matter to your customers and enhance their experience significantly. Not only this, but it will show to your customers that their feedback is valuable and their voice is being heard.
Ensuring a competitive edge
Customers have seriously high expectations. If your customer experience isn’t seamless from start to finish, then you are falling behind your competitors. With companies often delivering a very similar product or service to their competitors, what can make you stand out and differentiate yourself? A truly impressive customer experience.
You’ve got to do things better and differently than similar companies in your sector. Customers have a huge amount of choice today, and if your process is slow, complicated or not getting them what they need, then there will be someone else who can.
To understand how your experience compares to your competitors, incorporate a benchmarking study into your CX strategy. This will help deepen your understanding of your customers’ perceptions and experiences of other brands in your own industry. It’s not about copying your competition. Instead, you want to surpass your competition through improved processes and internal policies.
Social media monitoring and running a competitor analysis are both really useful tools for increasing your awareness of your competitors’ activities and understanding your own areas of improvement off the back of this.
Creating a customer centric culture
For a company to offer a truly great customer experience, every employee needs to be focused on the customer from the front line right through to senior management. Making your CX programme an integral part of your employees’ day to day routine helps to keep customer centricity right at the forefront. Employees can log on to their dashboard daily to see how they are performing against customer expectations and where further attention is required. Similarly, allowing colleagues to understand their results against those of their peers drives motivation and healthy competition while keeping the needs of the customer fresh in their mind.
Ensuring everyone’s voice is heard
A Voice of the Customer programme allows you to contact your customers straight away after an interaction. Without a programme, it’s likely you’d only hear from customers who had either an exceptional or particularly bad experience and this can skew the company’s perception. When you receive feedback from the full breadth of your customer base, not only do you have a more robust sample size but you can also identify themes and trends and be confident that the actions you take as a result are based on reliable data.
Having a full picture of your customer base is also really helpful if you want to start segmenting your target audience at a later stage. Segmentation helps you know which groups exist so you can later identify which groups to target or tailor your marketing strategy or products and services accordingly.
Preventing negative word of mouth
When you’re able to react and re-engage with unhappy customers in the moment, you can resolve issues and prevent negative word of mouth from spreading. Word of mouth can be dangerous and negative information can escalate, often into more elaborate stories than reality. The ability to quickly communicate negative comments through social media and digital outlets also amplifies the effects. Information spreads rapidly, and a single post can spiral out of control. It can also start a conversation in which multiple negative experiences are shared within the same publicly visible conversation.
CX programmes can actually encourage positive word of mouth and this can be particularly beneficial to small companies, who can’t afford large marketing or advertising campaigns. Each happy customer can steer dozens of new ones your way.
If you don’t understand your customers’ needs you risk losing them to brands who do. A CX programme will get the answers you need to enhance customer experience, putting you ahead of the competition.