After having defined some basic terms and principles in the previous articles, it is now a matter of getting to know the methods with which you can improve your customer experience.
For every question there is the right method or better methods. These are our tools for measuring loyalty, CX and optimization. First, you need to ask yourself a few questions about day-to-day business.
1. The first question is “How does the customer feel?”
Here we use NPS (Net Promoter Score) to measure loyalty, determine customer satisfaction or Effort Score and Task Completion Rate.
2. Then we deal with the second question and the “Why?”
Here the Voice of the Customer in text and language is in the foreground. In addition, there are sentiment analyses, the comparison of expectations with perceptions and customer journey mapping.
3. Question number three means a lot of work compared to the first two questions. Because the question is “Who is our customer?” and here the knowledge or belief often deviates from reality. We also have to connect the data from the silos with each other. Once we have the required data, the customers can be segmented. Furthermore, the shopping baskets, media usage and motivations have to be analyzed, and psychological topologies and personas have to be created.
With this we have determined the current situation, but customers and their behavior change.
4. This brings us to our next question: “How are customers developing?”
It is important to know and understand the number of existing customers and their development (RFM – Regency Frequency Monetary), the repurchase rate and the Customer Lifetime Value (CLV). Cohort analyses, average receipt monitoring and forecasting also contribute to this.
After these four questions have been answered, the analysis of the results and the optimization of the CX are the main topics. We don’t want to go into detail here, since answering the question “How do we improve the CX?” requires a lot of tools and is very time-consuming.
Closed Loop Optimization
Once all methods have been applied, the knowledge gained must be transformed into actions. It is not a matter of generating knowledge, but of actively implementing it. Here it is often necessary to optimize organizational processes.
An example of what an implementation of an improved CX could look like can be found at Lufthansa. Here, abandoned carts were often displayed during the booking process: What was the main cause? It was decided to conduct a customer survey to find out why. They decided to test a reservation with price guarantee. A/B tests showed that this simple function had a positive effect on the number of abandoned carts.
There are many similar examples that differ in the complexity of the analysis and implementation. But sometimes small things are enough to increase customer satisfaction and the success of your own company.
In the last part of our article series we explain to you how VOQUZ approaches such an analysis project and point out some concrete questions that need to be answered.