Lagging Customer Engagement Costs:
There is a burning race to delight the customer. In fact, customers are demanding an exceptional experience and those who deliver it will be handsomely rewarded. Each customer interaction should be treated like "a first date" instead of taking your partner (customer) for granted. There are hard numbers for the cost of dealing with customers properly. The numbers were from a large benchmark conducted by Lior Arussy of Stratvity and they were pretty impressive. The cost of a customer complaint was on average was $458. The cost to resolve that complaint was $1338. The overall economic value of a customer over the long haul was $91,500 and the cost of gaining one new customer was $4995. It doesn't take a lot of calculation to justify spending millions on the right processes to "wow" customers.
Delightful Customer Engagement Delivers Revenue:
Several research firms have done studies about satisfied customers and have concluded that over 20% of customers will actually pay more for a similar product or service, if they are delighted with the organization that they are about to do "new business" with in the future. Imagine what a great reputation, competitive pricing and seductive processes could do for the digital organization. This means that the digital organization uses technology to greatly improve the customer experience. It does not mean that you pave old cow paths (poor processes) with a thin mobile interface.
The Customer Journey:
Savvy digital organizations map out the customer journey from their viewpoint in an end to end fashion. This is the kind of holistic approach that goes beyond point online transactions with surveys set to clients before they actually taste the results. Organizations are at a critical inflection point where they decide to transform their customer experience to gain revenue or just add enough technology to live another day.
The string of years of cutting costs to bolster profits by delivering 10% returns to boost stock prices is coming to an end. It is time to raise real revenue. A successful digital organization will map the customer experience and transform it. What will your company do?