For the majority of marketing professionals, customer experience and a customer-focused approach are still some of the major priorities. However, based on a recent research from Forrester, it was determined that only a third of Australian brands added or made adjustments on their customer experience last year.
A report published on CMO website stated that the research titled “Australia Customer Experience Index, 2016” indicated that there was a slow response from Australian businesses when it comes to prioritising CX measurement. The banking and insurance industries were the only ones who showed progress leading to change in this aspect.
Bill McMurray, Qualtrics Managing Director for Asia-Pacific and Japan said that companies have been analysing operational data (O-data) and failed to act on experience data (X-data).
In an interview with CMO, McMurray stated, “X-data is the human-factor data; the beliefs, emotions, and sentiments that tell businesses why things are happening so they can predict what will happen next. But most organisations are O-data rich and X-data poor, and this has led to a huge gap between the company’s ability to know what is happening and why it is happening, and how to adapt programs in real time.”
He also emphasized the importance of bridging the so-called experience gap in order for organisations to come up with great customer service experience. “When they can do this, they are more likely to generate higher revenues and grow faster than their competitors. Businesses should, therefore, be looking for ways to optimise the foundational experiences they provide as a business for their customers, products, employees, and brand.”
NET Promoter Score (NPS) is one of the basic measurements in terms of customer engagement but experts stated that other approaches are coming into play. Katrina Bradley, Bain & Company’s Partner and Lead of Customer Strategy and Marketing Practice for Australia said numerous companies are using NPS but latest analysis revealed that only one in 10 gets it right.
Tom Champion, Senior Analyst at Forrester said that collecting data from various sources in order to measure customer experience is a good technique. He said, “Customer experience measurements are not one-size-fits-all and which metrics to use depends entirely on the organisation and their CX and business strategy. NPS is still a mainstay, but we are hearing more and more from organisations developing their own bespoke measurement frameworks which may or may not include NPS, CSAT, or CES.”
Read the complete report here.