Tag Archives: brand

Before we start, I’m sorry to disappoint you, but there is no silver bullet or magic CX pill which will transform a business overnight from having a poor customer experience to a great one. And if there was, it’s the customers who will be the judge of the shift rather than the company. And our memories last longer than a ‘customer transformation programme’ does.

I’ve witnessed, less informed, but more globally located management consultancies inform CEO’s they can go from bottom to top of their sectors CX charts in just 3 months (which was then extended to an equally unrealistic 2 years). Well those years passed and whilst the management consultancy earned a seven figure fee, the CEO lost his position and that business is still rooted at the foot of those same CX charts!

So the formula, whilst not magic, is one I pass on to all; CEO’s, CX Directors, PhD students through to owner friends of small businesses:

Infinity LoopThey are interdependent and continuous. Beyond this I would question the value of any investment.

Knowing what ‘matters’ and defining the ‘meaningful difference’ are the first steps. Once understood and valued, the scale of what can be done and the return it delivers can be assessed.

The outcome of which must be measured in business performance rather than inferred intentions such as NPS. Also the brand differentiating standards of delivery must be consistent across all areas of the business and effect behavioural change others can’t emulate. Customer experience has to work hard, and brand (often an ever hungry cash requestor built on a model of fear of not spending) can be wholly accountable.

Some pursue this path by building a differentiation using strengths to exploit a shortfall in the sector (take the fixers at Direct Line), For others it is about delivering experience when it matters most to customers in a very brand centric way (which others will struggle to emulate).

Either way, they are not tradable – deliver both AND if you want to have the CFO’s support, ensure all endeavours are measured against something meaningful than a customers inferred intention to tell someone else about your brand, make sure it’s pegged to behavioural change resulting in increased share of category spend (take a look at EXQ). One approach will keep the interest of your CFO, the former will highlight gaps and can be the start of the end of CX for some companies.

It’s a fascinating area of business, and one which Lexden are delighted to support clients effectively. To find out how to apply this approach to your business contact christopherbrooks@lexdengroup.com. Alternatively, take the formula and pursued effectively, you will succeed on your own.

Posted by Christopher Brooks, Lexden CEO

Can you deliver the 3 in 1 Brand Experience? Waitrose do.

We spend most days at Lexden helping clients to improve the effectiveness of their CX performance. That may result in a more valued brand differentiation, a new business model, an interactive employee engagement game, an increase in cross-sales strategy etc.

That’s the point; CX has moved on. Positioning CX as the only holistic all-encompassing new way of life for all to religiously follow is too much of a shift for many leadership teams? We don’t think it’s needed always either. In fact, we see it as a more effective business model to drive sustainable profitability. If that’s your aim, then bingo, you are the type of client we work well with. So read on and then we’d love to hear from you.

Rolling your sleeves up and working in the smaller ‘everyday’ customer experiences can be as fruitful and rewarding as seeking to exploit those defining moments which enables your brand to pull apart from others. Don’t get me wrong, we recognise the 8:1 ROI from the extraordinary branded CX opportunity is superior to the 1:1.25 potential of the ‘brilliant basics’. But let us not forget brands need constant feeding to keep their value and customers need as many touch points to experience that brand as possible.

So finding opportunity for the brand experience to shine is key. Finding these amongst the invisible spots, the unnoticed nooks and crannies is still a playground of opportunity for those clients prepared to look a little further and those of use helping clients who look beyond the conventional.

With this in mind we will bring you a number of brands who do this, effortlessly well. So easy in fact you trip over them. Many talk about delivering memorable CX at the start and the end of the journey; the CX rainbow.

Of course the chasing the pot of gold matters, but we do find a sprinkling of experiences in between can help pep up the customer performance indicators and encourage higher levels of average usage throughout too. To demonstrate how natural they are, pick a brand and find 3 in 1 minute that qualify.

Here’s 3 Waitrose experiences we found in 1 minute. Not every brand can deliver this. But those who do have CX baked in to their business model.

waitrose 1waitrose 3waitrose 2

 

 

 

 

 

1. Flowers – here they are with a bunch of flowers you can buy in store. They brighten up the place and say, they are good enough for us too. They also sit there for a week to show the quality.

2. Local community – Waitrose keep close to their communities and this much copied approach to local charitable donations speaks it in volumes. The fact that these are three cricket clubs adds a very appropriate ‘middle England flavour to Waitrose too.

3. Recycling the promotion – Waitrose may have moved the coffee cup behind the counter to keep out the M&S Food pretenders, but they are still squeezing more out of that cup as this poster I spotted shows and oozes Waitrose values.

Posted by Christopher Brooks, Director, Lexden

Lexden is a Customer Experience & Value Proposition Consultancy 

We help clients build memorable customer experiences and create engaging customer value propositions.

If you like what you’ve read please sign-up to Lexden’s ‘Customer’s World’ Update for ideas, inspiration and insights to improve your customer strategy endeavours. 

For further information contact christopherbrooks@lexdengroup.com or call us on M: +44 (0) 7968 316548 or T: +44 (0)1279 902205.  You can also follow us on LinkedIn, Facebook or Twitter or read client testimonials and case studies at www.lexdengroup.com.

3 in 1 Brand Experience – Lego Hotel

Few brands own a shape as well as Lego. The coloured brick has become synonymous with Lego, and vice versa. I have been familiar with its association with play, from my own childhood through to the present where we have a healthy deposit in the children’s toy room, plus it often makes an entry during customer journey mapping and value proposition workshops for Lexden. So I was intrigued to see how it transferred to a hotel and whether it could achieve the highest of all accolades (tee-hee); Lexden’s 3 examples of a branded experience within 1 minute of engaging with the brand.

Previous achievers include Virgin Trains, Waitrose and Imaginarium (click link for these), so the bar for entry is set high. But having visited the Lego Hotel at Legoland Windsor for a corporate event a few months ago, I am delighted to say it passed with flying colours.

Lego LandHere’s the branded experience I encountered when arriving. So with the stop watch ready to start, I got out of the car and headed towards the hotel following a 90 minute drive. On walking to the hotel from the car park, the frustration of the slow motorway journey and countless hold ups were quickly forgotten when I saw the playfulness immediately in evidence in the exterior of the hotel with the smoke being delivered courtesy of a giant green dragon (of course)!

The colours and shapes screamed Lego – so I knew I’d arrived. I passed under the arch with the dragon bearing down on me and I entered the hotel.

The reception is typically Lego with characters littered around the families with young children ready for a day at the theme park and a flooring of carpet imprinted with the iconic shape meaning Lego comes at you from the walls and floor alike. Lego Land ManBut out of the corner of my eye I noticed a gentleman on his own reading a paper – not the best environment for such a pastime I initially thought. Until I realise it’s another fun branded gesture from Lego; a lifelike life size guest.

Okay so I wasn’t fooled that easily, but it was a striking image sensibly situated at the entrance of the conference facilities.

It was at this point I realised it had been a long time on the road and with a day’s conference speaking ahead of me, I decided to pop in and use the ‘facilities’ before the day’s events began. Of course the Lego theme was carried through here, with Lego characters on the gents, ladies and toddlers loo door signs and oversized pieces as urinals (I’ve spared you the picture). Equally fun were the prints on the doors on the loos inside. They take what is always a very dull space and depict a Lego escapism scene. Lego Land02

A most amusing piece of branding and the only hotel in the world where it would work! Oops – there’s that urinal too in shot.

Welcome to our league on 3 in 1 CX Lego Hotel. Look out for the next article to see if you brand makes our list.

Posted by Christopher Brooks, Customer Experience Consultant, Lexden.

If you like what you’ve read please sign-up to Lexden’s ‘Customer’s World’ Update for ideas, inspiration and insights to improve your customer strategy endeavours.

For further information on how we can help with your customer challenges contact christopherbrooks@lexdengroup.com or call M: +44 (0) 7968 316548 or T: +44 (0)1279 902205. You can also follow us on LinkedIn, Facebook or Twitter or read client testimonials and case studies at Lexden Group.

Customers will never forget how a great branded experience made them feel

“I’ve learned that people will forget what you said, people will forget what you did, but people will never forget how you made them feel.” – Maya Angelou (American poet, biographer and actress 1928-2014).

This sentiment has proved a useful yardstick when designing memorable customer experiences and compelling customer value propositions with clients. You know when you’ve got it right because customers state favouritism in feedback session such as, “I can’t quite express why I like them. They just seem to be in tune with what matters to me”.

brand heartHowever, measuring this emotional fulfillment is challenging. And I’d argue because it’s difficult to measure, it isn’t. Brands tend to be valued on awareness or share of market instead. Even if salience, relating to buyer memory structure, is on the brand dashboard it tends to be informed by recent promotions and the latest wave of advertising messaging. Businesses prefer to set their path by that which they can measure results against. Sadly a warm feeling inside because someone did something that left a lasting memory is not something a city analyst calculating brand equity will be able to make a company valuation on.

That said, customer experience does create an opportunity to deliver memorable engagements between customers and brands, which will remain in the consciousness for a while and the subconscious even longer.  And with measures such as NPS proving effective predictors of retention rates and profitability, it’s no wonder customer experience is seen as the next battlefield for differentiation.

Will it catch on? I think it will – I judged an awards last year where a market leading GI firm’s Commercial Director presented the case for CX as the reason their business fortunes had picked up.

So how do you deliver experiences or propositions which make customers ‘feel’ differently about a brand? For me it’s about three things:

  1. Understanding the situation your customer is in now
  2. Deciding how the better place you want them to be in feels like
  3. Devising how you get them there in a way that reinforces the nurtured values of your brand

Companies like Disney and Zappos do it naturally. For most it’s more of a commercially calculated decision, but that’s still okay. If the outcome makes the customer remember you favourably because of the way you made them feel, it’s a deeper connection than a 50% discount will ever achieve. As well as being a considerably more profitable one.

Here are a couple of examples which hopefully will leave a warm feeling inside and demonstrate how you can get massive cut through at very little cost by putting the customer’s feelings first.

Timpson’s & the unemployed

timpsonIf you’re out of work you can’t afford to be splashing out on dry cleaning. But at a job interview to rectify the situation, you want to give yourself the best possible chance of success. A freshly pressed dry cleaned suit or outfit can only help your cause and confidence. I’m not sure how they got there but this big hearted gesture from Timpson’s Dry Cleaners will live long in the memory of any out of work candidate who takes it up and lands that new job. As well attract applauds and a new customer or two in people like me acknowledging they don’t have to do this, but they do.

Ritz-Carlton & Joshi

This has almost become legend on the CX circuits but it’s worth rolling out a few more times yet. Having returned from a holiday at a Ritz-Carlton hotel in Florida, Reilly’s Dad realised that his young son had left his favourite soft toy Joshi the Giraffe behind. He called the hotel and they located it. Having found it the staff could have said they would ship it back at cost. But instead they had some fun and at the same time justified Joshi’s extended stay to Reilly. Joshi was returned with an album of memories from his time ranging from Spa treatments, to restaurant meals, pool time and more. Reilly, his parents and now millions of social media viewers have a warmer feeling about Ritz-Carlton than they did before.

joshi2 joshi1

It’s that simple. Start with a scenario which is relevant to your customer and devise the best outcome you can achieve. Then worry about how to make it happen. It’s amazing where it can take you and just how long it will last in the hearts and minds of your customers.

For more on brand impact of customer experience try this presentation made by Lexden in 2014 to the Financial Services Forum.

Posted by Christopher Brooks, Director, Lexden

Lexden is a Customer Strategy Agency | We put customers at the heart of the decision 

We work with brands to attract and retain happy customers | We achieve this by helping them to understand what makes their customers tick, building memorable customer experiences and creating engaging customer value propositions.

If you like what you’ve read please sign-up to ‘Putting Customers First’  for fresh insights. 

For further information contact christopherbrooks@lexdengroup.com or call us on M: +44 (0) 7968 316548 or T: +44 (0)1279 902205.  You can also follow us on LinkedIn, Facebook or Twitter or read client testimonials and case studies at www.lexdengroup.com.

Three ways in which brands are optimising their customer experience investment

Customer Experience is still a relatively new strategy for businesses to follow. Whilst most have a feedback programme and a customer dashboard in place, many are still trying to figure out how CX will drive their business forward. Whilst this is playing out there are three options we’ve observed that have varying levels of effectiveness.

The ‘CX as a mission’ company

Zappos, the ladies online shoe retailer and part-time CX academy headed by Tony Hsieh. The strapline is ‘Powered by Service’. and with a number of legendary service delivery stories circulating they’ve become the ‘thinking CX practioners’ version of perfection.

zappos2One such story is that if a customer calls to buy shoes that they don’t have or sell, they will transfer them to a competitor free of charge so they can buy the shoes. Try that one if you are a telco or asset manager! But they have found when (and it’s when not if) the customer returns they spend 2.5 times as much on their next purchase. It’s baked in to who they are as any of their employee videos show.

The ‘CX as a measure’ company

I know of several companies who have put NPS up as a measure by which they will judge their CX success. Others even bonus staff on lifting NPS targets. I’ve also spotted NPS targets popping up in vision statements as well. But because it’s a number, it’s something that is aimed for and the business deems itself a success if it achieves it and a failure if it doesn’t.

I was at a conference recently and another speaker told me he’d seen car salesman rip NPS as a measure apart. It didn’t matter where the target was set they hit it everytime. And not a point more. They had worked out what they needed to do to achieve their targets. It had nothing to do with what mattered for the customer or how the company wanted to be portrayed. Scores like NPS are not what’s important, its the verbatim and feedback that they represent. This is the gold that helps the company get better and delight more customers. Be obsessed by customer betterment rather than the measure.

The ‘CX as a message’ company

kia adIt’s not surprising, with comms agencies taking an active role in CX strategy development, that some clients CX efforts focus on messaging their CX achievements. For instance, Kia have used the findings from what I assume would have been their VoC workshop inputs as the concept for a TV ad. With customer comments on post-its popping off the wall. It is then followed up with the boast of being voted No. 1 for satisfaction.

HSBC are in on the act too with a very beautiful ad. It parallels brotherly relationships with staff providing unexpected support and finishes with the strap line, ‘We reward our staff for delivering outstanding customer support’. Interpreted by a colleague of mine as, ‘We have to pay them otherwise they wouldn’t do it’.

Now having written a blog on the greatness of HSBC’s CX recently, I know it’s not like that in reality, so forgive my outburst HSBC – I love you still, but I’m not sure the ad agency or those briefing them, get what CX is. There’s a link below, make your own judgement but I think paralleling brotherly ‘love’ with customer service support is confused.

hsbc ad

In their TV ads, Nationwide use their CSAT scores (from their own study not an independent one) to present themselves as No. 1 for Customer Satisfaction on the high street. My wife, a member, would argue that’s unnecessary media spend. She knows they are No.1 in her eyes because they’ve always delivered a great experience and have earned the right to be her bank forever because they always do right by her.

She would say they don’t need to tell everyone how great they are. I would say they should use this platform to demonstrate why they are No.1 instead.

In summary

Great customer experience is something a customer feels and experiences. Those like Zappos who have it hard wired in to their DNA deliver it with every customer engagement. Those who place importance on measuring it will find CX is only great where or when it is measured. Just because the customer completed a feedback survey, it doesn’t mean they actually score the company. They only do that because they were asked to. For consumers its less quantitative – they know it’s right because it works for them. It’s an emotional connection and often only realised way after the event.

The reward is the customer remains engaged with a preference. They will stand in the queues, wait at the bus stops and sit in the coffee shop telling stories to others about how great your brand is.

However, this advocacy is a key benefit of delivering a great customer experience that should be measured because it will reduce your marketing acquisition and retention costs because your customers are doing your marketing for you.

Making sure your customer experience is a mission means the measurements will be achieved and the messages created through stories on the street which is more powerful than a TV campaign.

Posted by Christopher Brooks

Lexden is a Customer Strategy Agency | We put customers at the heart of the decision 

We work with brands to attract and retain happy customers | We achieve this by helping them to understand what makes their customers tick, building memorable customer experiences and creating engaging customer value propositions.

If you like what you’ve read sign-up to our ‘Putting Customers First’ newsletter. Or for further information contact christopherbrooks@lexdengroup.com or call us on  M: +44 (0) 7968 316548 or T: +44 (0)1279 902205 .    You can also follow us on LinkedIn, Facebook or Twitter or read client case studies at www.lexdengroup.com 

How HSBC creates brand advocates through Customer Experience

I rarely write about my own customer experiences. Usually I’m taking examples from others and blending with my observations to evidence best or worse practice CX planning.

But on occasion I experience a customer experience as a consequence of a situation I’ve found myself in which impresses me enough to tell others.

And when it works, really well, it reminds us of the importance customer experience in helping consumers trying to ‘get on’ and live their lives. Great customer experience removes the friction in life which holds us back from getting through the day.

As a ‘consumer’ I can’t really consciously value this until it goes wrong. CX in this context operates as the unsung hero. However, the more important that process to me within the context of my life, the increased favourability I undoubtedly have for one brand over another.

So when something unexpected happens in my life, a customer experience designed to remove the anxiety will go a long way in turning my passive relationship to a promoter of their brand. I might even commit the experience to a blog. Here’s my story…

hsbc 2…at 11.30am I stepped back from a presentation I was preparing and picked up a couple of approved invoices to pay. I looked for my ‘securekey’ which allows me to access the HSBC business bank account. It wasn’t where it normally should be. I knew I needed to call HSBC to get a replacement. I decided I could make the payments when it arrived.

I was working remotely from our Bishops Stortford office so called the London office and told them the situation. I was reminded that these were due today and one by midday. Panic back on. It was at this point I realise I should have paid them before I got stuck in to the presentation but it was too late and the presentation was due to be sent in two hours.

hsbc bsI headed to the local branch of HSBC. As I walked there I realised I didn’t know what it would achieve going in to see them, our branch was in Victoria, but with the minutes ticking I wanted to share my pain and see what could be done over the counter.

On arrival I was greeted with a smile by a greeter. I explained the situation and he calmly said it could be sorted. He told me to head to the teller to get the payments made first. I did. I explained my quandary to the lady behind the glass. With enough security checks to make me feel comfortable, but not so much that I felt violated, ‘we’ made the payments on time. I say we because without the HSBC team I would have failed.

The lady informed me that if I called the replacement securekey team from the branch they could issue me a new card now. Wow, so within 45 minutes of my crisis starting, it would be over.

The greeter dialled through the IVR and connected me to a person. Being a global bank I expected a globally located operator. I was right. But that didn’t diminish the empathy and understanding of my situation he offered.

To get through to the point where an email was sent to me and a new securecard handed to me in branch involved three phone transfers and the assistance of three members of branch staff. But each one of those phone transfers managed my expectations and when I was handed over the recipient of my call explained my situation to me straight off to give me confidence that they were in control.

I left the bank 20 minutes after arriving with payments made, a new securekey ready to activate, a smile on my face and a tweet winging its way to broadcast from @consultingchris on how great they’d been.

It then dawned on me that I’d had a branded customer experience. This was global, local in action. Okay I wasn’t trading with New Zealand or requiring advice on setting up a venture in Baltimore, but I was vulnerable and their global network of operators helped me out capably supported by the local team.

From a customer experience best practice perspective this delivers against all 6 customer attributes:

  1. They managed my expectations across every touch point
  2. They minimised the time and effort taken by employing various channels and technology to arrive at the right outcome
  3. They empathised with my situation and brought my anxiety down whilst we got things sorted
  4. They resolved my issues without any sense of it being less than why they were there
  5. They personalised it to me. It may be this happens on a daily basis for them but I felt they’d structured their customer experience response specifically around my situation
  6. They showed integrity putting my interests first. They could have been more stringent on security (more than needed) but a few smart questions ensured I was who I said I was and they let me use a branch in the middle of the phone even though they were hosting a MacMillan Nurses Cake morning .

Hats off to HSBC from me and our suppliers who got paid on time.

Not forgetting my client who received the presentation in time too. And that’s why all of the above was so important to me. It allowed me to ‘get on’ with my business.

Posted by Christopher Brooks

Lexden is a Customer Strategy Agency | We put customers at the heart of the decision 

We work with brands to attract and retain happy customers | We achieve this by helping them to understand what makes their customers tick, building memorable customer experience strategies and creating engaging customer value propositions.

If you like what you’ve read please sign-up to our monthly ‘Putting Customers First’ newsletter. Or for further information contact christopherbrooks@lexdengroup.com or call us on  M: +44 (0) 7968 316548. You can also follow us on LinkedIn, Facebook or Twitter.

Why brand values, social media and customer experience must work as one to be fully optimised

Whenever I meet someone who inspires me, it’s not long before I ask them what good customer experience means to them. I was talking to Hazel, MD at the Creative Content Company and she was explaining how many businesses are choosing more to use social media as a way to engage with their customers on mass but their customers are using it as a faster way to speak to individuals in the business when they have queries or complaints. I thought this was an interesting misalignment and asked her for an example to explain what she meant.

Hazel told me how a large cinema chain used social media quite well but if they’d have used it appropriately in her case they could have done it so much better.

cineworld

A few months ago, Hazel went to her local cinema to watch The Love Punch. She ordered a pot of popcorn (sweet and salted) and a Coke Zero with no ice. Hazel doesn’t like ice in her drinks as she has sensitive teeth she told me.

When Hazel went through and found her seat in the cinema she started to drink her coke and noticed it had ice in it. By this time she had taken off her coat and bag, squeezed past several people to get to her seat so didn’t fancy going back past them all to get her coke changed.

Picture3Like a lot of us, Hazel took to Twitter. She sent a tweet, tagging #CineworldHuntingdon and explaining she was really looking forward to watching The Love Punch but she was disappointed they put ice in her drink when she specifically said no ice, adding that the guy that served her was polite and friendly but clearly hadn’t listened.

How Cineworld dealt with it

cineworld tweet 2Within minutes Cineworld Huntingdon came back on Twitter – good news from a brand responsive perspective to minimise reputational damage. They apologised for this and said they would put ice down the guys back that served her as ‘pay back’ for not listening. This was a really quick, friendly response. It gave the twitter account a personality and a lot of people retweeted and replied to the tweet as it was funny, but what about Hazel and her coke with ice? There was still ice in the drink, her teeth would still feel pain after the smile from the Cineworld tweet had worn off.

How a customer-centric Cineworld might have dealt with it

Let’s be honest it could have been so much more effective. From Hazel’s tweet they could see what film she was watching, they knew there were about 50 people in there from the ticket sales and they knew she was on her own from her ticket sale. They could tell the film didn’t start for 15 minutes from their scheduling on their website and from her profile picture on twitter they even knew what she looked like. A member of staff could have walked in to the theatre with a coke without ice and started by saying, “Did someone order a coke without ice?”

If Hazel had already taken to Twitter to query the coke and ice incident you could have imagine what she would have done if they had bought a replacement coke into the cinema for her? Not to mention the 50 other people in the cinema. Perhaps even a selfie would have followed featuring Hazel, the coke and the forgetful Cineworld drinks dispenser.

Hazel expected a coke with no ice, as she requested but she did not get this so her expectations had not been met. Whilst the response on Twitter was friendly and engaging which is great and personable her query was never actually resolved.

As a platform social media is an effective listening tool, but unlike a call centre with a limited number of seats so you can manage down the number of calls answered, the pipe is wide and always on. If you engage you must resolve.

The importance of brand values in customer experience

But most importantly if the Cineworld team had focussed on ensuring their staff were trained in the importance of delivering a branded experience as well as they well versed in how to tweet, the outcome would have been much more focused on ensuring their customer’s entertainment needs (in this case a coke without ice as much as the movie viewing) were fulfilled. Light-hearted banter is easy. Delivering it whilst reaffirming the strengths of the brand much less so. Brand is not an optional extra in customer experience.

The reason brands like Disney remain head and shoulders above all others in the entertainment world experience is because their people are empowered to focus on their purpose before their tasks.

sensitive teethIt’s a challenge. And it’s a cultural thing. Giving the social media team responsibility to resolve, or align messaging to a branded customer charter will take the brand from socially amusing to simply amazing.

Those who choose to respond to social media posts about their brands with jest without tackling the nature of the initial customer engagement have to accept they leave a lingering bad brand taste in the mouth of those whose issues remain unresolved. A lingering bad taste which is not associated with the channel (which often has flippant and frivolous content), but with the brands themselves. In this case an association between Cineworld and the pain of of very sensitive teeth. Not very funny now.

For an example of how to take a query and turn it into positive PR, with full customer resolution click on our Unordinary blog featuring  ‘we buy any car’.

Posted by Christopher Brooks, Customer Experience Strategy & Director at Lexden

Lexden is a Customer Strategy Consultancy | Putting your customers at the heart of the decision.
We work with brands to attract and retain happy customers | We achieve this by helping them to understand what makes their customers tick, building memorable customer experience strategies and creating engaging customer value propositions.

If you like what you’ve read please sign-up to our monthly ‘Putting Customers First’ newsletter. Or for a discussion on how we may be able to help you, contact christopherbrooks@lexdengroup.com or call us on M: +44 7968 316548. You can also follow us on LinkedIn Facebook and Twitter.

How to start a Customer Experience Strategy: 3/5 Understand the potential and the limits

I was approached recently at a conference and asked, ‘if we are starting out on a customer experience strategy, what are the key pieces of advice you would give a business when embarking on a customer experience strategy? I answered:

  1. Ensure those responsible for the customer experience have the right experience too
  2. If it’s the company that wants to be more customer-centric start with them, not the customer
  3. Understand the potential and the limits of customer experience early on
  4. Once you are in, you are all in and you are in for the long haul if you intend to profit
  5. Short cuts exist, resist. Only short lived programmes use them

 

3. Understand the potential and the limits of customer experience early on

It’s important to understand the potential of CX and invest accordingly. Feedback programmes, rewards programmes, continuous improvement resourcing, customer charter communications can all add up very quickly – and typically are coming from new budget lines (or cut from existing ones) because customer experience is relatively new to many budget allocation models, if not the company. Looking at CRM or loyalty models for read across forecasts, which I’ve seen some well established consultancy practices do, may give you a proxy figure (not that I’d accept such a read if I were the CEO) but not an appreciation of the market appetite or the business impact required to achieve the result. It’s impressive that Disney achieves 4 times the lifetime value from Promoters, but if you saw the time and investment behind the scenes you’d agree they’ve earned that.

monorailIt’s essential to assess the return potential before making grand claims to the board. Often there is a ‘no-brainer’ assumption that it’s just what every business should do, isn’t it? And whilst putting customers first should never be out of fashion, just what dividend it pays the business needs to be understood as well.  As a long-time practitioner and long-term server of customer strategies I would probably start at this point. but I also see CX being rolled out as the new shiny marketing toy. It reminds me of the Simpson’s ‘monorail’ episode where the salesman sings, “a monorail, everyone has got to have a monorail”, beware the salesman I say.

Sizing the prize

A value estimate is relatively easy to ascertain in many sectors. For example with hotels, guest experience is now more important than location or price (two former industry stalwart drivers of customer decision making) according to Trip Advisor. In the energy sector switching decisions are twice as likely to be driven by a poor experience as they are price, despite the market being fixated by recruiting customers on price based deals!

In other markets where factors such as product functionality and brand reputation can carry more weight, experience is a driver  but other factors are more influencing. E.g. car batteries, where there’s not much opportunity for experience differentiation there  beyond it ‘works’ (please someone prove me wrong on this one).

And in some sectors customer experience doesn’t typically feature highly as a standard due to overwhelming alternate factors (think lotteries or personal GI lines) or because the experience is actually owned by too many different parties (think airport operators and shopping malls) it may drop down the consideration list as too problematic to unpick and understand.

Whilst the business may wish to commit to the customer, market conditioning may limit the potential. Understanding this first could save face with overambitious forecasts and wasted investment of resources later.

Missing your potential

cx article 3However, experience typically will feature and understanding the potential is important because missing it can be business fatal. This chart highlights a predicament for a low interest category (utilities), where new insight into what matters most for customers (bar on left) exposed the inefficiency of the existing deployment of resource (bar on the right). A seismic shift in culture and process over a period of time, careful redeployment of resources and sensitive discussions with city analysts will be needed if a transition to a customer-centric approach, achieved through service experience and brand experience, is to be successful.

Seeing this most CEO’s might think twice before turning their business upside down. What this chart also highlights is the value of a brand and comms strategy when customer engagement otherwise is low. This creates a positive association between brand (think about the power of positive association from The Olympics bestowed on Visa’s brand) and customer which acts as a positive experience reinforcement when there is limit significant experience (paying for something isn’t a memorable experience consumers overtly associate with the scheme provider). In some markets such as general insurance and utilities, unless something goes wrong, most customers wont experience the brand. Activities including advertising, direct communications, PR and sponsorship become a surrogate so have an inflated value for customers and are therefore a key part of the experience remit. Ensuring they are in scope  and aligned to what matters most to customers is important otherwise the potential for customer experience will be compromised.

Ascertaining the value of customer experience

cx article 3.1CX purists might argue that in order to ascertain the potential value, first you need to find the opportunities for improvement and demonstrate their incremental return against brand equity, market share and revenues. However, you need to travel a long way through a CX programme to get to this point (often an oversight with CX programmes led by researchers), whereas pragmatic CX professionals would suggest to secure investment, resources and sponsorship for all the tools needed a ‘read’ of the potential is required first.

This can be derived from three simple ‘customer-focused’ questions as highlighted in this chart.

Beware the process wolf in customer experience clothing

I recently heard of a company who had identified 700 IT platform defects it needed to fix to deliver a decent customer experience! They also used a process engineering consultancy at diagnostics stage to ascertain the value of customer experience to their business. Unsurprisingly the diagnostics phase identified millions of pounds of operational savings through lean processing techniques, but not one CSAT or NPS benefit from any of the business improvement recommendations. This has resulted in a business re-engineering approach to improvements which reduce business operating costs but is badged as ‘customer transformation’ where the customer is at best a secondary consideration.

So before a programme is undertaken a short period of assessment is needed for an effective audit to provide the insight to assess the potential of customer experience. For this, our advice is to invest in the right expertise to get a sound reading.

If the ambition of the business is, to create a sustainable competitive advantage through understanding customer experience expectation and desires, then the assessment of the potential must be conducted on the same basis too.

Finally, if there is a poor or non-existent sector experience, it may also mean there is a greater opportunity to differentiate that hasn’t been exploited. For example, returning to the hotel industry, Formula 1 in France (and to some extent Premier Inn in the UK) demonstrated how low cost accommodation could still mean a really good night’s sleep. In fact that’s all that was required so that stripped out costs on amenities such as pools and restaurants and invested in sound proofing and quality mattresses’.

I recall working on the brand & comms planning for the Health Lottery. At the time the CMO was fixated on product and pricing – and with good reason – it was what he knew. But the margin of improvement against the competitor on this factor was limited. However, the sector customer experience importance was way below the broader leisure sectors so it was dismissed. A small investment in this area could have forced players to reappraise their preferred lottery provider on new terms, rather than accepting the much smaller slice of player’s wallet the ME2 gaming angle finally achieved. I couldn’t convince them – you can’t win them all.

Posted by Christopher Brooks

Lexden is a Customer Strategy Agency | Putting your customers at the heart of the decision

We work with brands to attract and retain happy customers | We achieve this by helping them to understand what makes their customers tick, building memorable customer experience strategies and creating engaging customer value propositions.

If you like what you’ve read please sign-up to our monthly ‘Putting Customers First’ newsletter. Or for a discussion on how we may be able to help you, contact christopherbrooks@lexdengroup.com or call us on M:+ 44 (0) 7968 316548You can also follow us on LinkedIn Facebook and Twitter @consultingchris 

Unordinary Thinking No.34 | Creating brand warmth with a zombie

Big names. Big events. Big Business.

Sponsorship agencies are always on the lookout for successful properties to associate with their clients. Events don’t come bigger than the Olympics where Visa’s prolific association generated a 49% (Interbrand) consumer connection between brand and event. But it’s not for the fainthearted or small budget holder at a quoted £61 million for a 4-year deal. If it proves a key contributor towards Visa’s increased competitive dominance of debit payment schemes across Europe, it will be qualified as a sound investment.

santander

If it’s not events, sponsorship agents can seek endorsement from famous faces instead. Most notably in this space the recent appointments of superstar Santander brand ambassadors Jensen Button, Jessica Ennis and Rory McIlory. These are not just a set of sporting mannequins draped in logos. The trio are being made to work for their fee with direct product promotions as well as brand endorsement.

And when not in ads, they can be found in Santander ISA statements. In my recent statement Santander has promised if Rory wins a PGA tour I will get an extra 0.1% interest on my savings. Not the reason I took the ISA out, but an engaging way to reward my loyalty all the same. Let’s hope 100% Rory success hopefully breeds 0.1% success for me.

With so many brands competing for our attention through these sponsorship properties has success become saturated? If so where would a brand manager look next to create brand attention?

The Gate (Edinburgh) gets grizzly.

So if all the big properties are taken up or require 8 figure sums to secure, how can you still achieve stand out? The answer is to be creative in your thinking and creative in your execution whilst still capturing the hearts and minds of your target audience.

With that in mind, how about sponsoring a disaster instead of a success? An unordinary thought, but one which is creating a storm for established marketing agency The Gate from Edinburgh.

Nonline-Header-Image

Here’s the idea… Deadinburgh: It is claimed Edinburgh will never be the same again, as The Enlightenment Café host Deadinburgh. Billed as “the only safe haven in Edinburgh to avoid an unknown pathogen virus ravaging Scotland’s capital”, guests of The Gate are invited to a unique evening of experiential entertainment where they will role play at being ‘one of the last uninfected citizens in the UK. Guests have hours to decide how to save mankind’. As the night unfolds The Gate’s guests will be ‘working with eminent scientists to learn how closely the fictional world of zombies resembles the real animal world in order to stop the virus.”

Blending the Gate’s creative talent and the Enlightenment Café’s dramatic approach to theatre has produced what promises to be a memorable experience. An event which The Gate hopes turns this particular disaster into another success for it’s business.

Should you be interested in attending the experience there are several public shows between 19th and 21st. Tickets are still available.

To stand out, be creative.

Are there other brands out there achieving stand-out from such an innovative creative experience? Or are The Gate in a league of their own by standing out from the crowd as well as reaffirming their creative class.

Inspired thinking from the team from Edinburgh. At Lexden we look forward to seeing how this brand activation initiative converts over the coming months.

Posted by Christopher Brooks

At Lexden we work with brands to attract and retain customers. We achieve this by helping them to understand what makes their customers tick, build memorable customer experience strategies and create engaging value propositions.

Don’t forget to sign-up to our new Lexden newsletter Putting Customers First

For more information about how we can help your customer strategy please contact christopherbrooks@lexdengroup.com , or call us on M: +44 (0) 7968 316548. You can follow us on LinkedIn Facebook and Twitter @consultingchris

Unordinary Thinking No.7 – Citizen M

The great thing about unordinary thinking is that it rarely is predictable or consistent. So you don’t know when you will encounter genius. However, when you do, you know it.

I stay in a number of hotels each month so am happy to stay in the less conventional business hotels. I find the conventional hotels too automated in their strive for service excellence. I like variety and spontaneity.

So when I was booked in to Citizen M in Glasgow I had no preconceptions.

Although the low £69 a night, including breakfast price tag, did signal a very small alarm bell in my head.

The décor looked modern and attractive. And then I started to observe a few oddities from the normal arrival and settling in experience I go through:

  • There’s no reception,
  • Staff wear black,
  • The building is full of bright Perspex and plastic on the inside but is a black box on the outside.

And when I got to my room it was compact. But when I asked if I could upgrade I was told every room in every hotel is the same. So I returned and hung my clothes in the same space as my bed, my sink, my shower, my TV and my desk. All of which was approximately 2m x 4m x 3m.

But within about 30 minutes of being there I started to get it…

The ‘minimalistic’ approach I had witnessed in the room was reversed in the public space; there were copious numbers of break out lounge areas with Ligne Rosset style furniture, there were shelves of pop art and nude impressionist works, there were eight Macs for business use, blossom trees in the TV area, Earl Grey tea served in silk purses, Café del Mar music and many Alessi practical sculptures scattered across the hotel.

And on taking a closer look at the detail in my room the walk in shower (which was in the room, not off it) had lighting which changed colour, my TV movies were free and there were inspirational messages on all my complimentary toiletries.

And at breakfast not only were Innocent drinks on the menu, but the staff (who also fixed my colleague’s safe, checked us in and helped us set up on the macs earlier) was now the chef and asked us what we thought of her new muffin recipe and should she keep it? We found out everyone is empowered to do everything.

And as I was finding out, their attention to detail was in the areas that really mattered, whilst the places they had compromised (such as big rooms and reception) were actually not important. The only reason I’d decided they were important was because market convention had led me there. Citizen M has decided to change the rules and by doing so has potentially changed the hotel selection criteria.

What they had done here is take a step back from the whole hotel experience and asked ‘what is it that guests really want from a hotel when they are city exploring?’

And they had focussed on making the aspects more important to their clientele the best they can be. Which as the price tag shows, can be more distinctive and more of an experience than the expensive alternative of designing a conventional hotel. Inspirational.

I ended up taking more photographs of this set up than I have of any other hotel I’ve stayed in.

I was so intrigued that I asked a member of staff about the thinking behind it. He explained that empowerment is a key value of the brand.

A brand which they spend a number of days understanding before they are allowed to start in the hotel.

The smart people of Citizen M have applied unordinary thinking too. They’ve achieved so much more by taking a step back and understanding what is really important for a great stay, rather than listening to conventional criteria or attempting to improve on the competition.

By doing so they have designed a hotel which has more of what customers want and less of what they don’t need.

Citizen M contacted me when I first posted this and I am reassured to say my observations and interpretation of their strategy was correct. I did promise them a batch of pics I took (more than I took of the Wynn in Vegas, or the Elms in Worcestershire – personal fav’s), so I will do this.

Posted by Christopher Brooks

Lexden is a marketing strategy agency which creates unordinary propositions to motivate customers and deliver commercial advantage for brands.

For more information on how we can help you, contact christopherbrooks@lexdengroup.com or ajairanawat@lexdengroup.com, or call us on T: +44 (0)20 7490 9123. And you can follow us on Twitter @consultingchris.