3 Ways to Do Customer Experience Analysis
June 15, 2016
Customer experience analysis is an important initiative for many businesses today, or at least it should be. With the promise of high returns on investment (ROI) and happier customers, why wouldn’t your business want to pay closer attention to what their customers are saying?
There are three key ways that you can use your customer experience management (CEM) program to create even deeper and great rewards for your business and your customers:
1. Performance Analysis
Arguably the most common, or best understood, form of CEM is performance analysis. In this use case, a company looks at when are things going right and when are they going wrong. For example, you may ask why are shoppers coming to your website, but then leaving without buying anything?
Performance analysis is a great way to identify changes that will improve your overall CEM key performance indicators (KPIs). This analysis can look at an individual product or service or at your business as a whole. Ideally, it should look at both and be measured regularly through various sources of customer feedback data to truly receive the best understanding of your customers.
Net Promoter Score, or NPS, is the most common metric used. Would your customers recommend your product or service? If so, how could you make their experience even better next time? If not, what do you need to do to earn this illusive recommendation? Performance analysis could help identify what is helping driving traffic to your website as well as what changes you can make to lead to more sales.
2. Campaign-Centric Analysis
Campaign-centric, or events-based analysis is more nuanced than performance analysis. At its core, it is performance analysis. However, in this case, it is being applied to a specific marketing campaign or company event. Example events include the release of a new product, an upcoming merger, or a large sales day such as Black Friday.
These events or campaigns are surrounded by many changes to the customer experience. By using campaign-centric analysis, a company can either preempt or quickly catch any dips in sentiment or problems with the product so that they can be quickly resolved and not become a much larger, long-term problem for your business.
For examples, VMware, a global leader in virtualization and cloud infrastructure, recently made a change to their global pricing strategy. They closely watched customer feedback and after 6 weeks of critical comments, the CEO reversed the policy, to a literal standing ovation of 20,000 customers.
If you know that your company is about to go through a big merger that will impact your customers, the CEM team should be part of the merger team from the get go. You should have a campaign-centric analysis program in place before the merger is announced so that you can act quickly and effectively to keep the transition smooth and your customers happy.
3. Research Analysis
The final key form of customer experience analysis is research analysis. Research analysis can be run in tandem with performance analysis or campaign-centric analysis, but its end goal is different. Research analysis should be looking for trends and insights in your customer feedback data. It can be used for innovation and new product research, or as part of your ongoing efforts to improve your product or offering.
Your CEM team should always be looking for insights and bigger picture views in your customer feedback data. However, by formalizing the process in research analysis, you are telling your CEM team, and ultimately your customer, that customer experience management is more than just a reactionary part of your business. You are truly keeping the customer at center of your business and implementing their thoughts in your larger business plan.
Understanding these three forms of customer experience analysis will ultimately help you to better understand your customer feedback data and your customers themselves. Distinguishing these efforts and applying best practices to each will improve your CX scores and processes across the board. To learn more about strengthening your CX program and the team that runs it, check out our eBook, 6 Essential Skills for Every CEM Team.
Kate Zimmerman is a Content Marketing Specialist at Clarabridge. Kate focuses on building content that supports CX efforts, product marketing, analyst relations, and has become an industry expert in Customer Experience Management. Kate holds a B.A in Politics from the University of Virginia and can be found on Twitter at @kmzimm.