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Morton’s, a well-known American steakhouse chain, delivered a steak to a timed customer when his plane landed at an airport after he had asked for one in a tweet. Although the event got headlines as an extraordinary and rare moment obsessed by the customer, in the world of software, this real-time reaction and attention to detail would make much less splash. Since the advent of agile development and the rise of data-driven information, the “customer obsession” has gone from getting headlines to being enjoyable, and is now critical to the mission. The stakes are higher than ever, and customer obsession is now the deciding factor between business success and failure.
The new reality is here and tens of billions are at stake
$ 35.3 billion is lost each year due to avoidable customer experience issues in the U.S. alone. Accordingly, as a report from Forbes reveals, 83% of executives face moderate to severe income and market share risks due to an unimproved CX. And while the repercussions of having a poor experience are considerable, so are the benefits of going further, with Forbes noting that 74% of consumers are likely to buy only on the basis of experience. The evidence that customers now prioritize the positive CX above all else is overwhelming. CX’s multimillion-dollar issue is now at the forefront of business priorities, but many don’t know where to start.
Related: 5 Creative Ways Consumer Data Can Quickly Scale Your Business
There is no “new oil”, only well-used surveys and data that represent alternative energies
Just take a look at your phone when you update your software, and you’ll probably notice that updates are frequent and occur weekly or even every few days. Surveys take much longer, and while using obvious data sources to feed your business (such as clickthrough rate or downloads) can be an important indicator, it takes time to interpret, communicate, and act. . This status quo increasingly resembles oil, a relic that does more harm than good. The alternative is an embrace of data-based knowledge that can be used and acted on in real time, an approach that begins with understanding where and how to collect data.
More than 60% of today’s companies try to leverage data to drive better business decisions. However, most companies focus on quantitative data, which can allow companies to gather information about the number of people who attended a webinar or the number of people who went to the mall at any given time. However, the quantitative data only shows you the numbers, not the whole picture. Therefore, it does not provide information about companies that will make a significant difference in the way products are manufactured and perceived by consumers.
Qualitative data complete the story. It is able to inform companies what customers and consumers are asking for, what they need and what they are complaining about. Quantitative data should be used in conjunction with qualitative data if companies want to get the most out of their data collection.
Related: Staying in front of the curve: how the customer experience is evolving
Customer success is not enough. Aim wider!
A famous and often cited TARP study in 1999 showed that only about 1 in 26 dissatisfied customers would bother to file a formal complaint, and more recent studies have shown that 96% of dissatisfied customers will not complain. , and 91% will simply leave and never return. It’s not enough to rely on a small number of customer complaints, or just surfing social media to understand customers.
To truly understand customers, brands need to find out where they are talking about them and topics related to their business, collecting consumer data beyond “normal” parameters in real time. For FinTech companies, this means knowing that retailers communicate on Reddit, while for gaming companies, this means Discord, Vanilla or Steam. This is non-quantitative data and is crucial to putting customers first. Gathering relevant data from a variety of external and internal sources, such as chat analysis and ticketing services, provides a more informed and accurate overview of a company’s customer feedback. This collection and strategic analysis of data from multiple sources is crucial to accurately informing companies where to focus their energy.
The logic is good. Businesses cannot exist without customers. It’s as simple as that. Therefore, it only makes sense that CX should not be limited to customer service departments. Customer-centered communication between departments, based on the data collected, is essential to building the customer obsession experience that customers demand today. This is an easy way to obsess over the customers of any business.
Starting with the end in mind when making data-driven business decisions ensures a clear understanding of a project’s goals and encourages streamlined, knowledgeable business decision-making. Turning data into actionable business strategies is the ultimate goal of customer obsession and is the ultimate way to better serve customers and their needs.
Related: Good decision making requires good data