Net Promoter Score is the go-to CX metric for companies that want to measure and improve customer loyalty, a harbinger of growth. Thousands of companies use NPS, from the start-ups of  Silicon Valley to the Fortune 500.  One reason for this popularity is that Net Promoter Score programs have evolved in response to technology and the changing landscape of customer expectations. 

The core tenets of Net Promoter Score have stayed the same since NPS was created in 2003 by Bain & Company. “How likely are you to recommend this product or service to colleagues?” is the NPS survey question, and it is followed by an ask for open-ended feedback. Customers respond on a scale of 0-10 and are bucketed into promoters, passives and detractors based on their response. The formula for calculating the NPS metric is straightforward.

NPS Calculation

However, the world of customer experience management, or CXM, has changed dramatically. A few macro things have happened.

  1. Social media has empowered our customers with a voice — the conversation is no longer expected to be only one way, and negative word of mouth can be amplified quickly. Every voice counts.
  1. We as businesses have to work harder than ever to retain customers — customer experience is increasingly a differentiator and a battleground with more competition and low switching costs.
  1. Companies have many more touchpoints to engage with customers than it did back in 2003.We now have sophisticated mobile devices, web platforms, customer facing point of sale systems. Meanwhile, our customer’s email boxes are overstressed with newsletters and promotions all vying for their attention.

When I ran NPS campaigns back in 2003, I was sending long form surveys to my customers in quarterly batches. Emails with links to long form surveys were considered the ‘innovative’ way to get feedback. Response rates were dismal. Sadly, I still receive some of those today!

This, of course, still is a valid way to collect NPS feedback — you will get some of your customers to go through the effort — but it doesn’t take advantage of any of the macro trends I mentioned above. And honestly, customers are getting smarter and less patient with spammy surveys.

Launching or revamping an NPS program? Get the ebook, The Modern Guide to Winning Customers with Net Promoter Score. Leverage customer feedback and drive growth with a real-time approach to NPS.

How Net Promoter Score has evolved

Modern NPS leverages technology, closes the loop with customers and engages the whole company.  Here is what you should expect:

  • Timely, ongoing feedback. You can keep a real-time pulse on your business. This alone is magical. Reading, sharing and responding to customer feedback as it happens — talk about raising the profile of the customer’s voice inside a company!
  • Modern NPS survey is short and to the point — just the NPS rating and open-ended feedback. A 10 or even 5 question survey? No way.  Survey fatigue is a real issue. Keep it short and you will get many more customers to tell you what’s most important to them.
  • Reaching customers where they want to give feedback, in a low-friction and lightweight way. For example, in-app surveys that take seconds to complete may a better experience for SaaS customers than dealing with another email survey in a crowded in-box. E-commerce companies may use a combination of in-app, email, or SMS to reach their customers depending on where they are in their journey.Tow Step in-app NPS Survey by Wootric
  • High response rates — your expectations should jump up from single digits to 30-40%. Customers are willing to give you feedback cycle after cycle because it’s easy. 
  • Leverages intelligent NPS software. Software that is designed to get your business to action faster. It’s giving you analytics. It’s helping you comb through open-ended text and sentiment. And it’s making the process of closing the loop with customers easy and turnkey.
  • Customer feedback is shared internally. It doesn’t get buried in spreadsheets and left unaddressed. It is shared in Slack, it is routed automatically to departments to take action in their systems of record such as Intercom, ZenDesk or Salesforce.

Net Promoter Score has come a long way, and the end result is better outcomes for companies and their customers.

Start getting free Net Promoter Score feedback today. Signup for InMoment.

To differentiate themselves as great places to work, companies are thinking further outside the box than ever. While always-full snack closets, company game rooms, and offices that double as doggy day care are attractive perks, do they—and other employee engagement efforts—truly deliver the return on employee loyalty companies are looking for?

It’s no secret that engaged employees are more productive: less likely to spend a good portion of the day scrolling through their Facebook feed, or worse, job hunting on LinkedIn. They’re also much more likely to provide a better experience to your customers, and this less/more combination both saves and makes your business more money. But what leads to the type of sustained engagement that maps to positive bottom-line outcomes? Is it competitive pay, creative benefits, and room for professional growth? The opportunity for a positive work/life balance? Being equipped with the tools needed to do the job effectively?

Of course, all these factors matter immensely in the employee engagement formula. But years of research and working with some of the world’s leading brands has led me to a surefire way to ensure your employees deliver for you and, in turn, your customers: make sure they know they are valued.  

Notice I didn’t say make them feel valued.

Think about your friends and family. How do you know they value you? In my experience, it comes from trust, respect, and being asked for my input or opinion on important issues. And while the employer/employee relationship is different in many ways, the general idea is the same: If you want your employees to know they are valued, you have to actually demonstrate—consistently—that you value them. And a good place to start is asking for their honest ideas on how to deliver a better customer experience (as well as what’s preventing them from doing so).

Customer experience is more than a soup de jour. It’s a data-backed way to outpace your competitors. The employee’s perspective on improving the brand’s delivery of customer experience—known as Voice of the Employee (VoE)—empowers employees to take ownership of CX outcomes. And when you ask employees for their advice on improving CX—at established touchpoints and intervals, through ad hoc invites and “always-open” portals—and then act on that advice, they know they’re trusted, respected, and valued. They know this because you have made them part of the solution.

While the traditional mentality focused on creating the right working environment for employees, this new model takes a collaborative approach to problem solving and innovation, asking “What can we do together…and how?” It moves away from asking employees if they feel valued to ensuring value is manifest through action. It’s about getting to a point where you don’t have to ask—because you know. It’s not just one-time feedback; it’s the beginning of an ongoing conversation.

With technology, what was once a complicated, siloed, and often ineffective web of processes can now be streamlined and expedited. Sophisticated listening tools allow companies to systematically collect and run complex analyses on both customer and employee feedback, surfacing correlations and trends, and identifying both failures and successes. Tech can even automate some tasks for employees: prioritizing cases, routing customers to the places and people where they can get the right answers, and serving up content personalized to their preferences. Automated systems can also arm your front line with in-the-moment intelligence, empowering them to have the most effective interactions possible. And with processes like machine learning and artificial intelligence built into some of the more innovative solutions, these systems get smarter and even more effective over time. In essence, technology is a value-building tool that empowers employees to be your greatest CX advocates.

The result: Employees are providing more value to your customers and your brand, and they are more successful in their roles. In other words, you are helping them be—not just feel—more valuable.

While a number of aspects factor into employee engagement, VoE goes beyond salary, benefits, and foosball tables. It gives your employees a permanent seat at the decision-making table. By making employees part of the solution, companies are rewarded with not only a passionate, empowered workforce, but also new ideas and insights even their customers can’t provide.

Most customer success articles you’ll read talk about helping customers reach their ideal outcomes – ideal outcomes are the most important thing, the very job description of customer success. But there’s another job that comes before ideal outcomes, one which, if done poorly, will result in churn even if ideal outcomes are achieved.

Setting expectations.

Let’s begin with a cautionary tale – a true story – of a SaaS app that failed to set expectations that matched what the app did.

It’s a fitness app which shall remain nameless, but it’s much like its primary competitor, MyFitnessPal. Unlike MyFitnessPal, it offered a sleek, integrated user interface that seamlessly brought together exercise tracking via pedometer and nutrition tracking, but it also offered something more: A personal fitness coach. (I should also mention that this particular fitness app is one of the most expensive currently on the market – but for such personal attention? Totally worth it.)

Except.

While on the website copy and in the app itself, this company promised a customized approach to getting fit, complete with a personal wellness coach who would be accessible via private chat to offer encouragement at times of crisis and temptation, it didn’t deliver as described.

Within a few days, it became apparent that the “personal coach” is really only accessible via group chat. In fact, if you try to contact the coach via the in-app private chat box (which even has the coach’s picture on it), the coach will never actually see your message – you’ll get an automated reply from a bot.

When all of this was revealed – in the group chat room – every participant was taken aback, and several initiated their free trial cancellations within days.

Even though they liked the app.

Even though they were already seeing the results they’d hoped for.

Yes, even when customers were achieving their ideal outcomes, because of the mismatch between their expectations and the services delivered, they left.

But not before sending feedback – which went unanswered.

It was a customer success failure of a magnitude we don’t, frankly, see very often. And it’s almost painful when you realize that nearly all of their churn was completely, 100% avoidable.

If only they had matched customer expectations to what they were actually prepared to deliver.

What it felt like was a bait and switch.

Setting expectations is a foundational element of customer success

“There are three key tasks that challenge every Customer Success team in its initial phase of development. The first is to appropriately set and manage perceptions and expectations, both of the customers and of the rest of the company. The second is to establish a clear and necessary connection to significant revenue streams and profitability. The third is to gather, analyze and use the right data to fulfill the group’s mission.”Mikael Blaisdell ED, Customer Success Association

The fitness app example above is a classic case of sales and marketing not being aligned with product development, customer service, and customer success. Clearly, none of these departments were speaking with each other, or customer service could have told marketing that customers were complaining about being misled. Or marketing could have spoken with produce development to see how they could better deliver on the promise that was bringing people in the doors.

None of these things happened, but an empowered customer success team could have bridged these gaps.

Customer success, of any department, has the power to bring people together. Because, at the end of the day, we’re all working for the customers’ success. We’re all trying to create a product and experience that works.

If you find yourself spending time trying to “adjust” customer expectations, check in with sales. Check with marketing. Check with customer service. See where the disconnects are, and what you can do to address them and bridge those gaps.

7 Rules to Set Customers up for Success with Expectation Management

Rule #1: Communicate

The key to setting expectations – and setting customers up for a successful experience – is really communication. Not only do you have to communicate clearly and accurately with the customers themselves, you also have to keep lines of communication open with all of the other departments who have a hand in creating the customer experience.

Rule #2: Don’t overpromise (and under-deliver)

That fitness app made promises it clearly never intended to keep – maybe that was intentional (a real bait and switch!), or maybe it was the unhappy result of teams failing to communicate what was possible to deliver. Either way, they committed the cardinal sin of expectation management – they created a high expectation and failed to reach it.

Rule #3: Know what you can and can’t do

To avoid overpromising, you have to know what you can afford to do for customers. Often, this isn’t easy because management and customers expect that you can do more than is realistically possible, which means you have to manage expectations on both sides. If it’s a time issue, start tracking how much time it takes you to do certain tasks, or to serve each customer. If it’s a funding issue, keep tabs on what it costs to deliver everything that is expected. Then you can build a case for getting more funding, or pairing down services.

Rule #4: Talk through obstacles

When working with customers to define their ideal outcomes and success benchmarks, discuss potential obstacles from the start. Discussing potential issues before they arise prevents  customers from getting nasty surprises, and prepares them to work with you to overcome these roadblocks.

Rule #5: Value your customers’ trust

Nothing upsets customers more than feeling like they’ve been duped – that you’ve violated their trust. Trust is easy to lose, and nearly impossible to win back. And once a customer stops trusting you, they stop being customers and become detractors, telling everyone who will listen their story about how you let them down. Customer loyalty, lifetime value and retention are rooted in trust. And without them, your SaaS business can’t survive.

Rule #6: Track user behavior & sentiment

It sounds like SaaS 101, but clearly not all SaaS companies are tracking when and why users are bailing out of the onboarding process. If you don’t have a system in place to send “red flag” notifications when users are exhibiting signs of distress, you’re losing customers and probably don’t even know why. It’s well worth the investment to purchase a good user survey system to keep your finger on the pulse of CX metrics like Net Promoter Score (NPS) for customer loyalty, or Customer Effort Score (CES) to keep tabs on how onboarding is going. 

Setting up a customer feedback program? Start getting in-app NPS feedback or CES feedback for free with Wootric

Rule #7: Let them know when you’ve exceeded expectations

Okay, now for the fun one: When you’ve exceeded expectations (or when they’ve reached a milestone faster than expected), make sure they KNOW it! Celebrate with them. Point out their successes and you’ll help to reaffirm their high opinion of you.

Customer success teams are uniquely positioned to understand the whys behind the whats of user behavior. But if you keep all of your insights to yourself, without sharing them with other departments, you’ll continue having to “manage” mis-aligned expectations. Set yourself up for success (and your customers too), by addressing expectations early.

Are you meeting customer expectations? Get started with free in-app customer feedback with InMoment.

Have you ever been asked to find an answer in a set of customer data only to find out that it involves combining information from multiple siloed sources, millions of data points, and no clear indicator of where to even begin?

Then, adding insult to injury, have you ever been given a limited amount of time to locate the insight, share it, and get it in the hands of the right people within your organization who can act on the insights you provide?

If this situation sounds familiar, know that you are not alone. Searching for insights in your customer data can be a little bit like going on a time-sensitive treasure hunt without a map. You know there are valuable customer insights buried within the mountains of data, but you don’t know where to start digging—or where the treasure is hidden.

Analysts have always had obstacles in their way, but as technology advances and the channels in which customers provide feedback increase, so does the amount of data that needs to be analyzed. Siloed data and working with multiple tools makes it challenging for analysts to make sense of customer stories in a timely manner.

Take two of our clients, for example. One brand has a team of over 50 analysts ready to dive into issues as they occur. The other brand has a smaller team of about five. Despite the stark differences in size, each team takes about 30–60 days to find insights. While these analysts are able to surface insights from the customer data sets they’re working with eventually, it’s often too late to take meaningful, business-driving action.

InMoment’s latest product, Discover™, is designed with analysts in mind. It’s an always-on customer experience analyst tool that sifts through the millions—sometimes billions—of unstructured customer data points in real time to identify trends, anomalies, insights, and sends you automatic alerts, so you know exactly where to find your brand’s CX gold before it’s too late.

Here are some of the other ways Discover helps CX analysts:

  • Helps pinpoint where to start digging, so you can be proactive, get answers more quickly, and understand if something significant is happening in real time
  • Identifies unexpected issues you didn’t know to look for
  • Addresses pain points of analyzing unstructured data
  • Collates data from a variety of sources (even data from other VoC vendors) and determines impact of issues on your main scoring metric.

You don’t know what you don’t know. Discover helps you act more quickly, and provides you with a more accurate pulse on emerging trends and issues.

Where are your customer insights hidden?

Inspired. Proud. Motivated to be even better. The InMoment team is still taking in the full impact of a report recently released by an independent research firm in which we were cited as a Leader, received the highest possible score in 10 criteria for our Current Offering, and achieved the top ranking for Strategy.  

And beyond all of good news for our company and clients, the report also contains some very insightful findings that will help every customer experience (CX) practitioner better understand the landscape they’re working within, as well as the opportunities.

The report is titled The Forrester Wave™: Customer Feedback Management Platforms, Q2 2017. In addition to exploring the similarities and differences between top technology providers, Forrester makes clear the connections between Voice of the Customer (VoC) programs and Customer Feedback Management (CFM) platforms, as well as the role each play in supporting organizations’ CX initiatives.

How “VoC” Relates to “CFM”

According to Forrester, there are four distinct VoC tasks:

  • Listen: Directly solicit and gather unsolicited feedback from multiple sources
  • Interpret: Analyze feedback, create dashboards and reports; automatically route
  • Act: Alert on action, manage cases, prioritize and prescribe
  • Monitor: Track change in perception over time; measure results of VoC-initiated activities

CFM platforms play the important role of supporting CX professionals in managing the complexity of their VoC programs by centralizing and automating these tasks.

Untapped Potential

While many companies have at least a rudimentary VoC program in place, few are leveraging technology to its full potential, leaving money—and opportunity—on the table. In the report, Forrester cites the following findings:

  • Only 42% of companies use one ore more technology solutions to support their VoC program.
  • Brands that buy CFM platform solutions are mostly first-time buyers.
  • Although CFM platforms have functionality to serve all VoC tasks, just 19% of companies use a CFM vendor to solicit feedback, and only 5% of all companies use the same CFM provider for the majority of other tasks.

So how can a company that wants to improve its VoC efforts identify the right CFM provider?

“Providers that Matter”

Forrester has done a lot of important work for you in the report, in which analysts takes a very comprehensive look at state of the CFM platform market and providers within it. The first thing they did was conduct primary research to develop a list of vendors that met the criteria for further evaluation.

Forrester winnowed the consideration set down to the “10 providers that matter” based on 1) product fit, 2) client success, and 3) Forrester client demand. Analysts then began the months-long process of surveying each vendor on their capabilities and validating capabilities through product demonstrations.

Client references played a large role in Forrester’s process. Analysts conducted three client phone interviews per provider, and fielded a survey among 60 client references.   

The result of these monumental efforts is a comprehensive evaluation of the top CFM vendors, including their strengths and weaknesses.

Partnership is Key

A key takeaway from the report was that not only are organizations looking for great technology, but they also need a true business partner—not just a vendor—to navigate the constantly changing CX landscape:

“The CFM market is growing because more CX professionals want a technology platform that automates and centralizes essential VoC activities. CX pros are also looking for a steady and close relationship with a provider that acts as an extended part of their team and helps evolve their VoC program.”

To read more about CFM and how managing and automating the complexities of your VoC efforts can create high-value relationships with your customers, download the free report.

This blog was originally posted on CX Cafe’. 

Customer centricity is the idea that organizations should not only serve their customers, but also get “close to them” — understand what they value, deliver exceptional experiences and memories, and work to build relationships.

In a 2011 article in Fast Company, author Brian Solis wrote:

“It’s not just about communicating with customers, it’s about showing them that listening translates into action within the organization to create better products and services and also foster valuable brand experiences and ultimately relationships with customers. It’s about empowering employees to improve those experiences and relationships in the front line and to recognize and reward their ability to contribute to a new era of customer engagement and collaboration.”

This concept is different from traditional approaches to customer satisfaction (CSAT) scoring, and it shows how we need to change how we look at measuring the customer experience. When customers are represented by scores in a spreadsheet or dashboard, it can be all too easy to detach from the visceral experience customers receive when they buy. Those experiences are delivered or indirectly impacted by employees all across your organization, of whom 71 percent are currently not engaged with their work, according to Gallup.

Another study showed 78 percent of customers have bailed on a transaction because of a poor service experience. There is an additional cost to loyalty from those who have unremarkable service experiences with employees who feel indifferent toward their work. And it’s no secret it costs up to 6-7x as much to acquire a new customer than to keep an existing one.

While every organization is at a different place with varying employee engagement scores and CSAT scores — most organizations have a significant disconnect in the perception of customer experience. In one study, 80 percent of companies claimed they deliver great customer service, but only 8 percent of customers agreed.

Among the first steps to improving customer satisfaction is addressing employee engagement. Employees who are personally invested in their work deliver better experiences to customers, who then return higher satisfaction, loyalty, and lifetime spend.

How to Deploy a Holistic Employee Engagement Strategy to Achieve Your Customer Experience Goals

A recent Forrester Research study showed 79 percent of organizations don’t connect formal reward structures to performance on customer experience (CX) metrics. Most companies aren’t quite sure how to go about aligning employee incentives and rewards with customer outcomes.

If you are ready to set goals for your customer experience, begin with the end in mind. What do you want to accomplish? What strategic objectives do you have for the next year? With that foundation, consider drafting goals in the following three areas:

 

  • Customer Experience-Oriented — Specifically target aspects of the customer experience. For example: Aim to improve an aspect of or the overall customer experience and respond to and alleviate negative experiences.
  • Employee Engagement-Oriented — Build a culture of customer centricity. For example: Raise awareness and sensitivity to the customer experience and connect employees to strategic objectives.
  • Organizational Objectives & Key Results (OKRs) — For example: Improve customer retention and increase upsell and renewal rates.

 

With your goals in mind, begin connecting those goals with the specific behaviors your employees.

8 Tips for Connecting Customer Satisfaction Goals and Employee Engagement

No. 1 — Connect Your Employees: When you focus on connecting employees to customer-centric and organizational objectives, ask how your employees can help you accomplish these goals. How will you observe, track, and measure those activities? Employees should consistently demonstrate the behaviors that support a positive customer experience. For example: Encourage employees to engage in positive and open dialogue by asking if a customer is satisfied with a resolution.

No. 2 — Provide Feedback: Employees should be able to consistently provide feedback to their leadership that will improve the customer experience. For example: Employees can identify environmental issues negatively impacting a customer experience or submit ideas to improve processes.

No. 3 — Improve Knowledge: Employees should know enough about products and services to support any customer needs. For example: Support employee participation in product or prescribed online training courses.

No. 4 — Show Responsiveness: Employees should have the awareness, tools and autonomy to respond proactively to negative feedback. For example: Employees can anticipate client needs and deliver solutions or proactively provide alternative choices and opportunities.

No. 5 — Praise Progress: Employees should identify and praise positive feedback or overall satisfaction improvement. For example: Managers and peers should be able to efficiently recognize employees who demonstrate behaviors that positively influence the customer experience.

No. 6 — Extend Learning into Daily Work: Provide training on values-based behaviors and educate on customer experience optimization processes and practices. Reinforce and praise newly learned and demonstrated behaviors.

No. 7 — Improve Proactive Response Processes: Define methods for employee-enabled interventions in the customer experience. Establish and refine case management processes based on customer feedback and clarify steps needed to resolve. Build processes to reward employees for outstanding feedback.

No. 8 — Provide a Channel for Praise and Reward Progress: Recognize employees when they appropriately demonstrate customer-centric behaviors. Communicate positive customer feedback to its source and establish reward programs for progress and achievements related to the customer experience over time.

Next Steps

If you’re attending CX Fusion, don’t miss the Customer-to-Employee demo from CultureNext. Check out our breakout demo session at 3:30 p.m. PST on Wednesday, April 12 to learn more. Visit us at our booth and connect with us to take the Engagement Potential Index  as well!

I spend a lot of time with client organizations that have invested both time and resources into mapping their customers’ journey so I have seen the gamut of touchpoint maps, emotional curves and even on one occasion, the stunning graphical portrayal of the path taken by a certain Persona, frustrated with trying to return a laser printer.  Of course, some are better than others, some are based on data, some on opinion but the real question is a simple one: What impact did they have in helping the company create greater value for shareholders?

Some might argue that is asking too much of journey mapping. After all, they are just one of many tools experts trained in Design Thinking use to better understand the functional and emotional roller coaster that is associated with what we deliver to customers.

I disagree. In my experience, when done well, and leveraging mobile technology, customer journey mapping can provide a powerful platform for greater customer-driven innovation, generated faster and with higher quality.

To achieve tangible business value from journey mapping exercises, I suggest you answer three questions:

  1. Does your journey map tell a powerful story from both employees and customers?
  2. Does your journey map align your whole organization toward a common view of your collective performance in delivering a competitively superior experience?
  3. Does your journey map go beyond telling the story, to actually doing something about it?

Let’s take them one at a time.

Does Your Journey Map Tell a Powerful Story from Both Employees and Customers?

Certainly, the core idea of a journey map is that it visually highlights the customer’s view of their experience. Good journey maps do more than just describe what happens, they actually uncover those things that were previously invisible to us. They explain the reasons for a customer’s specific behavior or the alternative path they took when confronted with an unexpected roadblock. But for most organizations, there is another journey that is just as important and that is the experience of the front line employee.

In fact, we would suggest that there is a level of risk that is taken if you view the journey solely from the customer’s perspective.  There are three reasons why this matters:

  1. Frontline employees provide additional context: Although they can’t tell you what the customer is thinking or feeling, they do have helpful insight into what customers are doing, and they provide great insight as to what is happening, especially around those touchpoints that represent chronic problems in the experience.
  2. The gap matters: Understanding the gap between how customers versus employees see the experience is really important. It is not uncommon to see a clear divergence between what customers see as important and how you are performing from the employees’ view of the same experience. Closing these gaps is vital. The “satisfaction mirror” that exists between frontline employees and customers is often a critical driver of loyalty and advocacy.
  3. Clues to future experiences: Hidden in this information are clues to exceeding customer experiences in ways that you would never imagine if you hadn’t seen it for yourself. I will never forget what Danny Wegman of Wegmans Food Markets told me in describing the relationship between his employees and their customers:

“If you measure the service you get at Wegmans compared to some other place, we always come out pretty good on that. But I think it’s gone to a new level. I hear that when some folks are in a bad mood, they go to Wegmans to cheer up. People greet you with a smile and ask you if you want a taste of something. Customers get a happy fix and that makes our people feel spectacular. It’s circular.”[i]

We have seen this countless times in the caring and skilled interactions of our clients’ high performing frontline employees as they carry the heart of their firm’s brand promise to every customer interaction.

Perhaps I have overstated this point. Well good, it deserves to be overstated. As more and more digital channels are introduced to intermediate the customer experience, employee interactions become even more critical, not less. Let’s never forget the words of Fred Reichheld who told us back in 1996 in The Loyalty Effect, “If you wonder what getting and keeping the right employees has to do with getting and keeping the right customers, the answer is everything.”[ii] For your journey map to treat front line employees as merely silent witnesses to the customer experience is to ensure you are learning only half of the story.

Does Your Journey Map Align Your Whole Organization Toward a Common View of Your Performance in Delivering a Superior Experience?

The problem with most customer journey maps is they aren’t terribly portable. If you convert them to a PDF, they are usually so detailed it is hard to view them on anything smaller than a 60 inch monitor. Printing them out as posters is a good idea, but as with one client, the only way we could view their recently completed map was to visit their head office. Even if the map was developed using an online tool, often reviewing what it says can be like viewing a map of the London Tube. You know Piccadilly Circus Station is there somewhere, but it takes a while to find it.

Like many tools that over time, find themselves over engineered, many journey mapping tools suffer from trying to communicate too many things through too small a window. No wonder so many line managers can’t find the value in journey maps.

The way journey maps overcome these limitations is perhaps obvious. Follow three principles to ensure the product of the hard work of developing them translates into tangible impact:

  1. Bring the story to life through media: If a picture is worth a thousand words, then a video is worth a million. Present a journey map not informed by fancy graphics, but by the perceptions, voices and emotions of actual customers and employees. It is one thing to review a score about your “lost package” performance, or to read a few customer comments – it is another thing entirely to hear the impact it has on the person who was counting on its delivery.
  2. Combine quantitative and qualitative: It helps to tell the story with both media and facts. We believe presenting both, side-by-side, adds color and insight to help focus on real improvement opportunities and to test new ways to innovate that would create measurable changes in consumer behavior.
  3. Make it easily shareable: By shareable I mean throughout the organization, but also to key trusted advisors as well. Being able to easily share the journey map invites comments and insights from the best experts in the world on your particular topic and provides significant business value.

CX Journey Maps that provide this level of transparency and leverage rich media to tell a compelling story, not only create alignment, but additionally they generate energy and enthusiasm toward a common purpose.

Does Your Journey Map Go Beyond Telling the Story to Doing Something About it?

Remember the point of all of this? When do we start to see the business value?

The best journey mapping tools don’t just capture the nuances, emotions, and often hidden opportunities to improve the customer experience; they provide a platform to engage directly with customers to co-create solutions to the gnarly problems they uncovered.

Speed matters. Taking weeks if not months to take action based on the data collected from journey mapping can be a fool’s errand. It’s essential to move right from priority issues identified by customers into brief, targeted online discussions with those same customers. As a result, you can better understand their issues, brainstorm solutions that weren’t obvious, and test solutions that will regain their trust and loyalty instead of waiting six weeks to hire a market research firm.

CX Journey Maps that achieve real business value actually aren’t “maps” at all. They are really an “always on” qualitative research platform, allowing an organization to deeply understand what customers are experiencing and take action that positively influences desired behaviors. Married with a robust CX management system, they provide a comprehensive solution to harness customer-driven innovation in about half the time of traditional methods.

Move Forward

Technology continues to advance our ability to understand the customer experience with greater granularity and insight. Traditional barriers to engaging with customers are no longer an excuse for taking months to implement improvements that exceed targeted expectations and outperform competitors. Journey mapping tools of the past served their purpose, but it is time to acknowledge the value they added and move forward to a new standard that is enabled by digital devices and SaaS-based platforms that are themselves re-writing the rules of competition.

The Internet of Things is not a buzzword. It is how the world works; it is time customer experience journey mapping caught up.

[i] James Heskett, W. Earl Sasser and Joe Wheeler, The Ownership Quotient, Harvard Business Publishing, 2008 pp. 104-105

[ii] Frederick Reichheld, The Loyalty Effect, Harvard Business School Press, 1996, p. 91

Wootric’s text analytics platform analyzes survey responses using Natural Language Processing (NLP.) Learn More

The challenge of open-ended feedback

Qualitative feedback in survey responses: Marketing, Product, Customer Insights, and Customer Success teams love it! There is nothing quite like hearing authentic, open-ended comments about your product or service directly from customers in their own words. Nothing is more powerful than hearing from the customer first hand: It drives action.

Individual anecdotes tell a story that can provide color and context to business metrics like Net Promoter Score, but how do you make it actionable? How do you aggregate qualitative data to see trends and get insights that can drive business decisions?  To a certain extent, this has always been an issue for voice of the customer feedback programs. However, two broad trends are driving an increase in qualitative data and creating more urgency. As a result, the problem of “metricizing” open-ended feedback is now more acute.

Customer experience survey trends that are driving the need for NLP

First trend: The shift to customer-centric surveys.

It has become more and more difficult to persuade customers to respond to traditional company-centric surveys — the multi-question monstrosities that ask customers to rate attribute after attribute on a 5 or 7 point scale.  Long, boring, tedious — and frustrating. Response rates in the single digits are common.

I recently visited the website of a major department store and was prompted to fill out a pop-up survey with over 30 (!) questions. I thought I’d get an opportunity to tell the retailer what was important to me — how much I loved their shoe selection and that I’d had a disappointing experience in one of their stores. I didn’t finish the survey.

In an effort to improve response rates, many companies are now thinking about the survey experience from the customer’s perspective. A Net Promoter Score survey that asks one question and lets a customer provide open-ended feedback is a better user experience — and customers are more likely to respond.

Wootric is modern customer feedback management software that allows businesses to gauge and quantify customer loyalty through proven feedback metrics such as Net Promoter Score (NPS), Customer Satisfaction (CSAT) and Customer Effort Score (CES). We are firm believers in the customer centric approach.

For example, here’s an NPS survey that Wootric presents in-app (we also support mobile, email and SMS) that usually takes a user less than 30 seconds to complete.

Two-Step-in-app-NPS-Survey

Second trend: Hearing from as many customers as possible.

Traditionally, customer research efforts were satisfied with feedback from a statistically significant sample of customers. Now that any customer has the potential to influence the trajectory of a business — whether taking their complaints public on Twitter or writing a glowing review on Yelp or G2Crowd — more companies are proactively asking all customers for feedback. This instantly opens a direct communication channel, and gives companies the opportunity to build, monitor and leverage  relationships with any and every customer.

These trends put the onus on companies to make sense of a firehose of open-ended feedback, and that is tough to do.  Dedicating resources to tagging and sorting hundreds, even thousands, of comments is expensive and just doesn’t scale.

Natural Language Processing to the rescue

Natural Language Processing (NLP) is a type of machine learning that enables computers to understand human language. You can read how Wootric applies NLP to customer feedback like NPS and CSAT survey responses in this article.  And here are three familiar examples of NLP at work:

  • Machine translation like Google Translate.
  • Sentiment analysis — sifting through all those Twitter posts to analyze how people feel about the latest iPhone, for example.
  • Chatbots — the customer support “agents” that have become the first line of interaction when you reach out for tech support online.

Unlocking the power of open-ended feedback

NLP is solving the unique challenges in the field of customer feedback management using text and sentiment analysis. Being on the forefront of this innovation means Wootric customers are seeing those benefits now. We work to free our customers from the time and expense required to manage this data. We use text and sentiment analysis to surface and aggregate insights for our customers, helping them to prioritize resources and route responses for follow up action. Read more about what we are up to here on the Google Cloud Platform blog.

Learn more about CXInsight™, Wootric’s text analytics platform for customer feedback.

Wootric has begun to leverage the Google Cloud Platform (GCP) to solve the challenge of qualitative feedback analysis for our customers. Wootric utilizes the Google Cloud Natural Language API to complement its own machine learning to analyze qualitative feedback our customers receive. The goal is to use text and sentiment analysis to surface and aggregate insights for our customers, helping them to prioritize resources and follow up action.  

Our approach is interesting enough that Google recently blogged about it, and they chose to highlight Wootric’s work at the recent Google Next conference in San Francisco. Check out the video below:

 

Want early access to InMoment’s analysis of survey responses using NLP? Contact Us

For over 500 years, scholars and art historians have debated whether or not the woman in the Mona Lisa is smiling. Detailed analysis suggests that from certain angles and distances, the lady appears to be smiling; from others, the smile appears to have vanished—an effect achieved by using a combination of color and shading to create an optical illusion around her mouth.

If only every company analyzed its customers’ feedback—and emotions—with such fervor.

When companies focus on scores alone they fail to understand and bring context to the emotions and inherent richness expressed by their customers. Consider this: If art connoisseurs evaluated paintings the way many CX analysts evaluate results, they would note that the Mona Lisa measures two-and-a-half feet by one-and-three-quarter feet, was painted using oil by Leonardo da Vinci in 1503, and depicts a woman—Lisa Gherardini. There would be no discussion about her smile.

Yet, brands routinely make business decisions based on information not much more nuanced than this. They regularly overlook the emotions—joy, pain, or disgust, to name a few—communicated by customers in “human” data from open-ended comments, social reviews, etc.—hiding behind excuses such as “it’s too difficult to measure.”

With consumers so willing to tell companies how they feel—and why—why do many brands miss the mark so badly when it comes to customer experience?

InMoment’s annual CX Trends Report delved into how both consumers and CX practitioners view the role of emotion in customer experiences and brand loyalty. We gave respondents a list of emotions and asked them to select which one they associated most strongly with great customer experiences. The overwhelming response? Satisfied. We also asked customers which emotion they associated with the brands they are loyal to. The answer, yet again, was satisfied.

So let’s get this straight: Can the relatively mild emotion of satisfied (not stronger emotions, like delighted or entertained) not only be used to describe great experiences, but also drive customers toward brand loyalty? Maybe satisfied is good enough—great, even—and customers don’t need to feel anything more to become loyal.

We then asked consumers to describe, in detail, the why behind their emotions—to give us a qualitative view into their stated satisfaction (or whichever emotion they chose). Within this unstructured, human data, we found a layered and infinitely more valuable story. Customers are very happy and feel bonded to brands when their expectations are consistently met. And those expectations are quite basic. Here’s one example from a Danish consumer:  “They had what I was looking for.”

Any CX analysis that ends with the quantitative data is missing important details—the emotional context—as well as the why of a customer’s experience. Only by including the human, unstructured data will analysts surface a much deeper intelligence—because just like the Mona Lisa, there’s so much more meaning than a quantitative description can ever capture.

Customer success teams measure and track many key metrics. From SaaS platform usage to NPS, they are always analyzing data to maintain a pulse of customer health and happiness. Many of these stats will also go into an overall account metric known as Customer Health Score.

Wootric recently hosted the San Francisco Customer Success Meetup and the focus of the evening was Customer Health Score (CHS). Three experts shared their techniques for constructing and measuring this metric.  Loni Brown from Entelo, Jeff Johnson from Splunk, and Jon Turri from Raise.me offered several tips and insights to setting up a Customer Health Score program and the intricacies involved.

Interested in viewing the whole Customer Health Score panel session? Watch the video here

What is Customer Health Score (CHS)?

Customer Health Score is a metric designed to predict a customer’s likelihood to stay a customer  – or churn. Loni started by providing her explanation of what CHS is, “a metric that provides insight into what is happening in your customer accounts early enough that you can be proactive.” Formulations of CHS can be simple, but are often complex.

That description works well, but there isn’t an industry standard for Customer Health Score, which may be confusing and overwhelming for some customer success teams. The panel agreed that variables and the weighting formula for CHS vary based on the company and industry. It depends on what is indicative of success for your customers.

What Goes Into a Customer Health Score?

Each of the panelists has had to identify and gather the metrics available to them, then single out the most indicative numbers to create a formula for their score. This means the first iterations are often messy and need regular adjustment until the method produces results that are consistent with how CSMs see their accounts.

When creating your score, it’s good to isolate 4-6 indicators for CHS. Loni mentioned that the Entelo CHS score card includes eight different numbers, though she allowed that her formula is very comprehensive. Among other things, the Entelo CHS includes Net Promoter Score (NPS), the number of support tickets per user, usage of the tools on her platform, and success milestones. Entelo is a recruiting platform so in their case, success milestones include personnel hires their clients have been with the help of Entelo.

Jeff added, “Support cases are important, but they don’t always mean something is wrong” so you’ll want to keep that in mind if you add them to your formula.

The panelists discussed the subjective components of their CSH formula, suggesting that only 1-2 of your included metrics should be subjective, but that they can be quite important. For instance, Jon adds “Relationship strength is the highest weighted metric for us.”

After initially setting up your Customer Health Score formula, it’s important to give it 6-10 months without changes, or you won’t be able to track it accurately over time.

Tracking Customer Health Scores

A favorite tool for tracking CHS is Gainsight, used by 2 of the panelists. It imports metrics you’ve indicated as important and allows you to weight each parameter, culminating in a unique formula for your each customer’s CHS.

In Gainsight, you’ll see accounts that are Green, indicating good health. They could be an opportunity for an upsell or additional revenue. Yellow, which are accounts that might be experiencing a problem. Red accounts are in poor health and are at risk of churning.

Loni uses Wootric to track Net Promoter Score. She imports this NPS data into Gainsight via Salesforce for the benefit of her success team and her CHS calculation. (Having her NPS data in Salesforce benefits the sales team, too. For instance, if a client could be a potential advocate, exporting that to account and contact records in Salesforce makes it easily accessible to the client’s sales manager.)

Setting up your NPS program? Get the ebook, The Modern Guide to Winning Customers with Net Promoter Score. Learn eight ways SaaS companies are leveraging Net Promoter Score for customer loyalty and growth.

A good indicator that your formula is working is to check positive and negative accounts and be sure the metric matches what is happening with the client. For instance, if a customer hasn’t taken training, submits multiple support tickets, and hasn’t been successful with your product it makes sense they would be in poor standing.

Optimizing your CHS can be great for revenue opportunities. Loni stated “Sales can come to me and say ‘we are trying to make quota, do you have any accounts for us?’ and I can print out of a list of green accounts and hand them over knowing they are good prospects for upsells.”

When our host was asked by an audience member what impact panelists had seen on churn and expansion revenue, Jeff answered, “You’ll see an immediate impact when taking immediate action.”

Set Up Customer Health Alerts

Once you’ve chosen the metrics for your score, you’ll want to add alerts to your system that notify you if and when something happens. Jeff says “If anything should be a fire alarm, build it into your logic in Gainsight. Think about what those fire alarms are.”

Jon cautioned, “The CHS Scorecard won’t give you everything….you have to have an escalation process in place.”

For example, if your NPS for a particular account goes from promoter to detractor you’ll want to have a CSM address the account. This means the overall scorecard could be showing a positive account when there is a problem, so it’s still important to look at every metric on a client’s card to make sure it is in good standing.

Taking Action on Customer Health Scores

The next step after setting up your CHS alerts is to create playbooks to work from when there is an alert or an account drops from green to yellow or red. This gives CSMs valuable information to work through any problems and put the account in good standing when possible.

Jeff suggested that you focus efforts on getting yellow accounts to green. A healthy account is six times more likely to rebuy or upsell than one that is “okay, ” he says. The effort you put into getting an unhealthy red account to an “okay” yellow account may not be worth it.

As the company grows, your CHS program should as well. At Raise.me there are thousands of customers/students who use the program. Because of this Jon has learned to use segmentation. He tracks a CHS for new customers going through onboarding and a CHS for long term customers.

In one last bit of advice, Loni’s recommends to “Make sure the team and company are bought into the score or people won’t act on behalf of it.”

Thanks to our panelists, it’s clear how valuable and productive Customer Health Score can be for Customer Success teams. It can take effort to determine the right metric for your company, but the result can be an excellent program that decreases churn.

Retain more customers. Sign up today for free in-app Net Promoter Score feedback with InMoment.

It seems like every week there is another PR emergency or brand failure in the news. What is even more interesting is that in many cases with just a little prior insight and action the whole mess could have been avoided!

Most brands understand that customer feedback is critical to improving their business, but with the thousands of comments that you receive on a daily basis, finding the insights that can alert you to emerging issues is like looking for a needle in a haystack.

This month, we publicly announced InMoment’s newest product, Discover™. Simply put, Discover can be described as an always-on analyst that digs through any type of customer comments to detect anomalies, or abnormal spikes, in topics. In other words, if your customers are talking about any particular incident, product, staff member, promotion—you name it—in a significant way, Discover will let you know.

Its built-in text analytics and sophisticated predictive algorithms analyze past data to establish a baseline, then compare it to current data in order to determine if any topics are emerging as anomalies. It then alerts the correct person in your organization who can address the issue and take action.

No more spreadsheets, no more reading through thousands of comments, no more finding out about an issue after it’s too late. Discover will tell you things you might not have ever known about your customers—or may have never thought to ask.

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