The successful fulfillment of the main corporate goal, which is the constantly successful distribution of products and services to the company’s customers, is reflected in the enhanced turnover of the company.
At the core of this success is the continuous assurance and upgrading of an excellent customer experience. I am referring to the creation of the company’s relationship with its customers and not just the transaction that is part of this relationship. One of the most powerful marketing tools is Word-of-Mouth.
Proper design, execution and measurement of customer experience results optimize the performance of this marketing tool. The process of creating an excellent customer experience is based on six main steps, but companies must constantly optimize them. More specifically, these steps are:
1. Customer profile analysis
This step involves categorizing the main customers who are a target based on their shopping frequency, preferred market channel, age, types of consumption, etc. What is the best way to serve them depending on their profile?
2. Mapping the shopping trip
This step should detail the customer’s first contact with the company’s products / services, identify potential trouble spots and find a solution, the right degree of technology-to-human contact ratio and the need for a surprise (WOW Effect) to create an unforgettable experience that will determine the increased probability of its spread.
3. Analysis of existing differences with the desired situation
In this step the existing status in relation to the desired status should be recorded. The points of improvement should be identified, in the areas of procedures applied, in the areas of corporate governance and organizational structure as well as the necessary technology.
4. Measurement of Key Performance Indicators
The top five Performance Indicators (KPIs) should be used to achieve reliable performance measurements.
4a. Revenue per client/member (RPC)
It is a measure of productivity. It is calculated by (Annual Revenue/No. of clients)
4b. Average Class Attendance (ACA)
It indicates a highly desired class, and theoretically a profitable class.
4c. Client Retention Rate (CRR)
It indicates the percentage of clients you retain. It measures how well you are delivering on your brand promise.
4. Profit Margin (PM)
It indicates if it costs you more to generate the revenue than the revenue you generate (Negative PM).
4e. Average Daily Attendance (ADA)
To obtain reliable results from the above indicators, the important points of contact with the customer should be collected and evaluated on a regular basis. For this reason, data Analytics are required, organized, and visualized to capture the performance of the execution of the excellent customer experience in relation to key dimensions of the company.
In addition, the visit should be graded on repeatability (i.e., if customers suffer, will they return?).
5. Empowerment and staff training
Companies need to create a culture of service and trust their people who are at the forefront. This means that these employees should be provided with ongoing training, the necessary tools to optimize their performance, as well as the right to make decisions in the field, i.e., at the time of their contact with customers.
6. Continuous repetition of the above steps of the customer experience creation process
A. Continuous measurement and evaluation of KPIs of the customer’s online shopping experience with financial data.
B. The company cannot stand still, because society, products and competition are constantly changing.
Our suggestion is that the key decisions of the company should be made with a focus on customers.
