Customer has changed

ShouldWeCare

Smart devices online access to information has changed customer and definitely has certain and strong influence to human behaviour, business and society. This change allow us and our customers to be more smart, safe, monitor over lives and … have more fun in life :)

Well-known radio DJ told a story: he was looking for a cat toilet. He went to his regular Pet Supplies Store in the super market. He was busy and actually cat toilet was not the world’s most important object for him. This particular cat toilet he wished was not available in his regular Pet Store he was used for years. Store assistant said „you could come and check next week again….“ Radio DJ turned around and went to the neighbouring Pet Store – just for checking. This type of cat toilet was not available also there, but … the assistant recommended to pick together from e-store in his computer the desired model, make the purchase and the cat toilet will arrive by tomorrow to customer’s home. So they did. And … the customer did not ask for the price as most important thing and he will use the same e-store for next purchases for his cat. Because it is really quick, very convenient and has caring attitude from a sellers side. 

CUSTOMER EXPERIENCE management is one of the main business drivers today

Change is always uncomfortable – entering to the unknown area, lots of work, some mistakes, risks to failure… BUT there is no possibility to ignore the change – unless we want to be out from business.

NB! Opening access to data of both parties, us and customers has also risks to be kept in mind like data security, cyber security, information abundance. This is important to be considered as could impact customer trust towards our product significantly.

Customer support in IoT era

I participated in June 2016  in Athens “Customer Contact Europe”. This annual conference was arranged  by Frost&Sullivan Executive MindXchange www.frost.com/cce.

Subject of my presentation

How smart

The main thrust and focus

Rapid shifts in technology and social media are impacting today customer behavior and therefore the way businesses are to be run. The economic importance is shifting from product to customer relationship, which in turn has strong effect to service provider strategy, set-up and processes.  It is inevitable to create in smart customer relations the skills and ability to follow rapid customer evolution – proactivity, increased knowledge standards, web solutions, communication in social media, enterprise transparency and speed

Specific take-aways

– Success factors of IoT, smart customer relations management

– Best practices as well as pitfalls of managing customer experience

– Example of how enhanced experience management has positive impact on enterprise financial results

Tips to ensure the success of Net Promoter Score

Taking into account the following recommendations Net Promoter Score /NPS has a strong ability to affect company’s self-regulation in a positive way.

If NPS is set properly it has capability to influence business financial results*

The absolute key of NPS success is INVOLVEMENT of both – employees and customers. Employees have to be involved throughout the organization – both top-down and bottom-up, front line and back office and who thus deliver significant improvement in the results. Thanks to such integrated method customer opinion can shape quickly and substantially organization and it’s processes.

Most essential:

1 react NPS has real benefit if organization at all levels make judgments and really take actions based on clients’ recommendations and ratings.

2 stick to SIMPLICITY! The questionnaire must remain simple – no more than 1-2 questions, which guarantee more respondents, and usually the same (even more …) actions to improve results. If you do not have the time and opportunity to deal with all the replies, why to bother even asking! “Less is more!”

3 leave a chance to comment It may be surprising how willing customers are to explain their rating. From comments you can read more about what customers do or do not like. If the client understands the power of his word and ability to affect the company’s future development, he would be happy to contribute and the company gets regular feedback directly from the source regarding strengths and weaknesses. It is vital to build customer trust and to let her/him know that you are really reacting based on given feedback!

4 provide feedback Say the customer Thank you! for given evaluation. Or as soon as you get the negative assessment resolve the problem. Give feedback! It would be great if for example once a year you share an overview of the developments you have taken based on key recommendations made in the NPS questionnaire. Customers are more willing to give feedback if they know that this is worth and a company really reacts. Besides … this kind of 2-sided communication grows real loyalty towards you.

5 teach to listen (= respect) your customer Communicate the organization on a rolling basis (eg 1x per week) the NPS comments – show openly to all management customers’ evaluations /comments. Show the positive feedback to everyone in organization. In this way all can see and learn from the good tips. And NPS turns a very good learning tool as well teaching organization to listen and to take notice of the client. Discuss negative assessments individually with the recipient in a constructive way of the reasons of why such an evaluation was conducted and what to do for improvement. Listening in this open & regular way – makes organization really and quickly to react. No one wants to be the bad guy J!  

6 do not shape your opinion based only on one evaluation For conclusions, I recommend at least 50 responses. However, you can find out the bottlenecks in the process as early as the first estimates arrive.

7 provide “carrots and sticks” Communicate the NPS results regularly showing openly the results of all different units. This creates a good element of competition between teams. Teams find the reasoned justification, or will soon look for the ways to improve results and thoroughly analyze the client’s verdicts.

8 prioritizing is the KEY  Bind the results to performance fees – not just the customer service staff but all employees and their managers – including top management (very important!) and back office. This motivates really and quickly to be interested of the causes specified by the client and to undertake the necessary changes.

9 support healing contest! Measure the NPS results of various units in addition to the overall average NPS outcome. It is rather usual that the units within the company have different results – both by objective and subjective reasons. This kind of contest between units is healing – you as manager can just praise the best and the weakest ones start to strive quickly themselves for better results. NB! The results could be different also for objective reasons. E.g. the results of sales department are usually better than the results of customer trouble handling department. Healing contest is the best managerial situation – you can conduct positive managerial style with rapidly improving results from initiated voluntarily down-to-top J

At the beginning of the NPS method implementation variety of reactions as a rule arise as the common “course of disease” which takes approximately half a year :

non-acceptance  “what is that?”

denial “the result is not associated with my work and I can not change it anyhow!”

adaptation  “WOW  – I have experienced that through my activities I can actually change the outcome”

habitude ” I have now habit to take always into account the customer opinion”             

________________________________________________

* I have experienced 2014 the reduction of customers churn by 21% within a year after NPS implementation in a way described above

Symbiosis between brand and service

When creating brand, it is essential that customer could understand and trust the brand peculiarities and its positive value.

Logo

Company logo is the foundation of the business branding. It is probably the first interaction that will take place with customers. An effective logo can establish the right tone and set the the characteristic spirit of a culture, essence as manifested in its beliefs and aspirations.

When setting a logo those questions are to be asked before :

  • What emotions does the logo generate? Is the meaning behind the same that logo reflects? Does it have any meaning? Could the meaning be understood when looking at logo?
  • Is the logo by sense, color etc in symbiosis with your products, target customers and company?
  • Is the brand & logo unique, clear and instantly recognizable?

But … it is absolutely important to bear in mind that brand and service environment* of a particular entity should be in logical connection = symbiosis

Internal and external identity must support each other and cannot! be random or incoherent. Companies do not often pay attention that marks of the service network appear rather different from given brand messages. Service environment could in such cases be characterized as worn, uneven, old-fashioned, dark, closed, sad, quiet, serious, bureaucratic, cost-saving, cheap, unprofessional, inward, indifferent, careless, …Traits that are most possibly not used in branding :)

Service elements are most certainly part of the brand communication, mirroring the image of the actual nature of the company. Brand and service environment discrepancies create in most cases customers’ confusion and mistrust towards the company. Regardless of company’s will, variety of characters influence always conscious and subconscious communication to the surrounding environment.

One of the service design goals is to create an emotional value, which is able to strengthen customers’ confidence and thereby increase brand loyalty. Important for service designers is not to follow what seems nice but what matches to the brand message. The brand and the service channels bearing the same message must reach the same settlement structure to meet the company’s core values and vision.

Services / service design elements help to create positive stories related to the company = brand recognition = customer confidence to the company and the provided services

Subconsciously we all perceive the different messages given by signs. The meaning of the signs could be given by promises, colors, messages, location, accessibility, status, emotion, cleanliness, ease, attitude, temper etc.

Bear in mind that:

  • Light, material, color, smell, sound, attitude, behavior, other customers – affect customer mood and judgment.
  • The more pleasant moments you create in service-points, the more customers trust the brand and are attracted to use the services again.
  • When designing services, the situations where customer feels confused must be avoided. The client feels stupid and/or irritated when he does not know how to behave as expected – ie services set-up is too complex for him to handle.
  • Customer first impression is hardly objective, but is crucial. It occurs rapidly within seconds grabbing a whole as far as it is possible to perceive / see / feel. In first impression more important is what customer feels than what he sees.

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* service environment: any direct or indirect contacts with customers: incl social media, homepages, e-services, call centers, bulk mailing, etc

 

Creating new knowledge

In one of our earlier post we wrote about knowledge management and it includes sharing knowledge and also creating new knowledge. And now we have to ask how to create new knowledge in the enterprise?

In recent years, scientists have challenged the ability to create new knowledge and to use it, which is one of the most important sources of competitive advantage. In a world where markets, products, technologies, competition, regulations, and the whole society changes extremely fast, continuous innovations where knowledge is growing has becoming an important source of competitive advantage.

Between implicit (implicit knowledge of the human unconscious knowledge, which is the result of past experience, and that is difficult to put it into words) and explicit knowledge (explicit knowledge is easily expressed and thus quickly shared between people and organizations, using a variety of options, such as formulas, manuals and records) we have four main steps, which can be considered as phases of knowledge creation in the organisation:

  1. Socialization – one individual shares implicit knowledge with the other . . . socialisation alone is quite limited knowledge creation process. Granted, the student learns from the tutor. Neither the tutor nor student will get systematic review how the knowledge was created, because their knowledge didn’t become open, so this method is not used in a large organization as a whole. Companies use the same principle for on-the-job-training. Thus, the principal method of acquisition of implicit knowledge is experience.
  2. Sharing – in this phase implicit knowledge is put into word, so the knowledge will become explicit. This is the most typical knowledge creation process in firms; the implicit knowledge is converted explicit through metaphors, analogy, concepts, hypothesis or model.
  3. Combining – is the process where knowledge is systematized in knowledge management systems. This phase conversion involves combining different explicit knowledge. Individuals exchange and combine knowledge through documents, meetings, telephone, or computers, social networking sites. Existing explicit knowledge is transferred through sorting, adding, combining and categorizing, this may lead to creating new knowledge.
  4. Internalization – in this phase explicit knowledge is transformed implicit through learning. When the experiences through socialisation, sharing and combining are attached to an individual knowledge base, then the implicit knowledge will become more valuable. Moreover, if the new knowledge revealed to be shared across the organization, other employees will learn it, which means that they use the explicit knowledge to expand, develop, and shape their implicit knowledge . . . Employees use innovation, which will eventually become part of the process for granted.

To stay competitive, companies must efficiently and skilfully create, find, grab and share knowledge inside the organization. Many companies are so complex that their knowledge is fragmented, difficult to find and therefore sharing the knowledge is inconsistent, irrelevant, and ignored in the decision-making processes, that affect the business.

Environmental impact on customer behavior

The economic downturn of past years has had a significant impact on consumer behavior and preferences. Consumers evaluate today significantly more personal time and increasingly prefer to conclude service deals and make purchase decisions without leaving home. Decision-making bases on a comprehensive data available on the Internet. Thus, the reliability of e-channels, in addition to the security is affected a lot by  high-speed information availability and comfort of it’s operations.

Simple and user-friendly eChannel can be created only when the provider truly understands its customer’s expectations/needs and is able to interpret client’s point of view. In addition, the company is able to build up an eChannel which is self-explanatory, easy to use for client but contains a lot of information.

CEM

New IT related opportunities in market have changed customer expectations and judgements: businesses are expected to create more transparency, customer desires to figure accurately out on what he spends money and why. Customer expects more smart and sophisticated services simultaneously the ease and speed of communication and the convenience of service setting.

If customer expects at the same time product / service complexity and simplicity, it has definitely a strong impact on the solution of a communication skills and technique in eChannel. E.g. long texts are “out” – no one has more time to read them and often does not even know how to read a longer text in any other way than “diagonal”. The visual language of communication becomes viable – data transfer through pictures and video, which in turn brings together service and design.

The communication skill is one of the keys to eChannel success. Capacities to communicate, so that the customer can get an answer to his question quickly, and even better, when the other customers can be included to this discussion. Comments are open to everyone, the company is able to respond to questions quickly and openly, without fear of negative feedback. Communication openness could be affected positively by eChannel combination with social media.

The customer is today impatient towards incompetence, but is willing to pay more for quality.

Customer:

– is waiting more information on purchasing decisions but would like to understand things easily and quickly;

– wants to have a good overview of the services consumed – not realizing that, selects the cheaper price;

– evaluates the speed, convenience and a competent information more than the price;

– prefers flexibility, consumption convenience of setting up the service in an appropriate just for him manner and degree.

Keskkonna mõjust kliendikäitumisele

Lihtsa ja kasutajasõbraliku eKanali saab luua alles siis, kui teenuse pakkuja mõistab oma kliendi ootusi, vajadusi ning suudab teenuse lahti mõtestada kliendi seisukohalt lähtudes.  Lisaks oskab ettevõte eKanali üles ehitada kliendile arusaadavalt.

Viimaste aastate majanduslangus on oluliselt mõjutanud tarbija käitumist ja eelistusi. Tarbija hindab oluliselt isiklikku aega ja järjest enam eelistab teha teenindustehinguid ning võtta vastu ostuotsuseid kodust lahkumata. Otsuse tegemisel tugineb klient põhjalikule internetist kättesaadavale infole. Seega, e-kanalite usaldusväärsust mõjutab lisaks turvalisusele ka kiire informatsiooni kättesaadavus ja selle toimingu mugavus.

keskkond

Uued võimalused on muutnud kliendi hinnanguid ja ootusi: ettevõttelt oodatakse enam läbipaistvust, soovides täpsemini aru saada, millele ta raha kulutab ja miks. Klient ootab ettevõttelt nutikamaid ja keerukamaid teenuseid, kuid samas kommunikatsiooni lihtsust ja kiirust  ning mugavust teenuse seadistamisel.

Kui klient ootab samavõrd toote/teenuse komplekssust ja lihtsust, siis avaldab see kindlasti mõju kommunikatsioonikeele valikule. Pikad tekstid on “out” – kellelgi ei ole enam aega neid lugeda ning tihtipeale enam isegi ei osata lugeda pikemat teksti muul moel, kui “diagonaalis”. Elujõuliseks kujuneb visuaalne suhtlemiskeel – info edasi andmine läbi pildi ja video, mis omakorda lähendab teenindust ja disaini.

Oskus kommunikeerida on eKeskkonna üks võtmeid. Suhtlemisvõimekus nii, et klient saab oma küsimusele kiirelt vastuse ning veel parem, kui küsimusest-vastusest kujuneb diskussioon, kuhu saab kaasata ka teisi kliente. Arvamused on avatud kõigile ja ettevõte suudab küsimustele kiiresti ja avatult reageerida, kartmata ka kliendi negatiivseid hinnaguid. Suhtluse avatust mõjutab hästi eKeskkonna kombineerimine sotsiaalmeediaga.

Klient on täna kannatamatu ebakompetentsuse suhtes, kuid on nõus kvaliteedi eest maksma enam. Klient:

– ootab enam informatsiooni ostuotsuste tegemisel ning soovib asjadest lihtsalt ja kiiresti aru saada;

– tahab omada head ülevaadet tarbitud teenustest – sellest mitte aru saades valib odavama hinna;

– väärtustab kiirust, mugavust ja kompetentset infot enam, kui hinda;

– eelistab paindlikkust, mugavust ise teenuse tarbimise osas reegleid seada just talle vajalikul viisil ja määral.

eTeenus annab edumaa

Osalesime möödunud nädalal Hendrek Kraavi’ga (ADM Interactive strateegia- ja loovjuht) HeaTeeninduse Juhtimiskonverents raames toimunud eTeeninduse ja Teenuste Disaini Seminaril. Meie eesmärk oli pakkuda vastuseid küsimustele:

  • a) Millised on tarbija ootused e-teenindusele ja e-teenustele täna?
  • b) Kuidas planeerida, disainida ja juhtida kliendikogemust internetis?
  • c) Kuidas e-teenindus mõjutab ettevõtte tulu, kulu ja loob konkurentiseelise?
  • d) Kuidas luua kliendile hea/kasulik e-teenus ning kuidas e-teenus näitab kätte tegelikud ettevõtte protsessivead?

 eTeenus_eelis2

Toon tänases ja järgnevates blogipostituses mõned olulisemad märkmed seminarilt:

eTeenindus ei ole täna ettevõttele enam lihtsalt kena alternatiiv, vaid on muutunud ühe teenusettevõtte oluliseks eduteguriks. Internet, pakkudes täna praktiliselt piiramatu valiku teavet alternatiivsetest võimalustest ning toetab sellega oluliselt otsustusvõimu pöördumatut libisemist ettevõttelt tarbijale.

Ettevõtetel on järjest raskem eristuda toote või hinnaga. Kuid … on võimalus olla erinev läbi kliendi kogemuse. Paista silma kvaliteetsete e-teenustega, mis on mugavam kliendile, kuid kindlasti ka tõhusam ärile.

Paljud teenusettevõtted sisenevad oma pakkumistega IT valdkonda. Teenuse arendamisega seotud teabe keerukus ja andmemaht teevad “käsitöö” ülemäära aega ja pädevust nõudvaks, et mitte öelda võimatuks. Ainus lahendus siin on kvaliteetne e-teenuse keskkond, mis võimaldab luua uut, väärtuslikumat ja sisukat toodet ja sellega kaasnevat eTeenindust.

E-teenus annab ettevõttele enam võimalusi olla töövõimeline ja kättesaadav tipptundidel ning võimaldab oluliselt selgemat vahetut suhtlemist suurema arvu klientidega. eKanal annab ettevõttele võime olla kiire, tähelepanelik ja nähtav, valmis kuulama, kuulma ning aitama klienti, millal iganes selleks tekib vajadus.

eTeenus võimaldab täiesti uusi teenuse liike ja tooteid, mida ei ole olnud võimalik pakkuda tarbija ja ettevõtja kohtumisel. Näiteks – saab anda enam teavet, rohkem tootepaindlikkust kuni teenusteni, mille pakkumisel on visuaal teenuse oluline osa.

Seega, kui töötad välja uut eKanalit oma ettevõttele – mõtle alati “kastist välja”!

Kõige kehvem variant on, kui uus teenuskanal, edastab tavapärast teenusprotsessi ja on allutatud vananenud ettevõtte sisesele väljakujunenud bürokraatiale ning suhtlemiskeelele. eKanal peab laskma tarbijal olla täna lähemal teenust pakkuvale ettevõttele ja pakkuma enam (informatsiooni ja funktsioone) kui senised tavapärased teenuseid. Sel juhul suudab eKanal pakkuda tõeliselt tugeva konkurentsieelise…. mida on väga raske kopeerida.

eKanali väljaaredamisel disaini klientide teenindust ja kohandada vastavalt uutele vajadustele sisemisi teenindusprotsesse.

Ära unusta – ka eKanalis on üsna sageli väikesed asjad just need, mis annavad olulise erinevuse.

e-service creates a strong competitive advantage

Last week we participated together with Hendrek Kraavi (strategy and creative director of ADM Interactive –  Estonian leading web-design agency) – e-services and service design seminar in Tallinn.

Our aim was to provide some answers to the following questions:

  1. What are the consumer-expectations towards e-services today?
  2. How to plan, design and manage the customer experience in Internet?
  3. How e-services affect the profitability and create competitive advantages for a company?
  4. How to create a beneficial e-service for a customer and how this reveals process errors?

Some notes from our presentation

eServices_1

E-channel is no longer just a nice alternative, but is becoming today the core value of a company. Internet, offering almost unlimited alternative choices is supporting to lift the power from a company to the consumer.

It is increasingly difficult today to differentiate by product or price. Still … there is option to differentiate by customer experience – stand out by an e-service quality, which is more convenient for the customer and eventually also more efficient for business.

Many of the conventional services, or companies are entering the IT sphere. Associated with the development of information complexity and amount of data makes the craft excessively time- and competence consuming. The solution here is a high quality e-service environment that enables new, more valuable and meaningful customer service.

E-service gives the company more opportunity to be operational and accessible during rush hours, and allow for a clearer direct interaction with a larger number of customers. e-channel permits the capability for a company to be prompt, attentive and visible, willing to listen, to hear, and to assist customer whenever necessary.

e-service allows entirely new service types, products, which are not feasible in face-to-face services. E.g. – give more information, more flexibility up to the services where visual element is vital.

Therefore, when developing a new e-channel – think out of box! The worst would be if you develop channel, which just reflects conventional service process and is subjected to outdated bureaucracy.

e-channel must let consumers to be more close to your enterprise and provide more than conventional services. In this case e-channel is capable of giving really strong competitive advantage.

When developing e-channel – design customer service process and respectively adjust your internal processes. Do not forget it’s quite often small things you do that make a big difference

Näpunäited, mis tagavad Soovitusindeksi edu

Arvesse võttes all toodud soovitusi, on Soovitusindeksil võime tugevalt mõjutada ettevõtte isekorrastumist  – nii ülevalt alla kui alt üles ja seega olulist tulemuste parandamist. Tänu süsteemsusele saab kliendi arvamus kiiresti organisatsiooni tegelikult arvestatavaks osaks.Zemanta Related Posts Thumbnail

1  reageeri Soovitusindeksist on reaalne kasu juhul, kui ettevõtte kõikidel tasanditel tehakse kliendi antud hinnangutest järeldusi ja võetakse ette tegevusi.

2  lihtsus! Uuring peab jääma lihtsaks – mitte enam, kui 1-2 küsimust, mis garanteerib enam vastanuid ja tavaliselt sama palju (isegi enam?) tegevusi tulemuste parandamiseks. Kui ei ole aega ja võimalust kõikide antud vastustega tegeleda, siis ei ole mõtet neid ka küsida!

3  paku võimalust kaasa rääkida On üllatav, kui meelsasti kliendid põhjendavad oma antud hinnangut. Põhjendusest saab juba välja lugeda enamat selle kohta, mis klientidele meeldib või ei meeldi. Kui klient saab aru, et talle on antud sõna jõud, mis mõjutab ettevõtte arengusuundi, siis räägib ta hea meelega kaasa ning ettevõte saab üliregulaarselt ülevaate klientide arvamusest tugevuste ja nõrkuste suhtes.

4 anna tagasisidet Ütle kliendile Aitäh! hea hinnangu eest või lahenda negatiivse hinnangu põhjuseks olev probleem. Hea, kui näiteks kord aastas jagad ka klientidega ülevaadet olulisematest Soovitusindeksi tulemusel tehtud muudatusest.

5 õpeta kuulama Kommunikeeri organisatsioonis regulaarselt tulemusi ja kliendi antud positiivset tagasisidet – kõigile. Siit saab häid vihjeid, mis klienti enam positiivselt mõjutab. Ja õpetab organisatsiooni klienti kuulama ja tähele panema. Räägi negatiivse hinnangu saanud töötajaga individuaalselt ja aruta, miks selline hinnang anti ja mida teha tulemuste parandamiseks.

6 ära kujunda arvamust ühe antud hinnangu põhjal Järelduste tegemiseks on tarvis vähemalt 50 hinnangut. Samas saab teada kitsaskohtadest protsessis juba esimestes hinnangutes antud kommentaaride põhjal.  

7 “piits ja präänik” Kommunikeeri juhtidele regulaarselt tulemusi näidates erinevate üksuste tulemusi kõigile. See tekitab hea võistlusmomendi ja kehvemate tulemustega üksuste juhid kas leiavad argumenteeritud põhjendused või hakkavad kiiresti otsima võimalusi tulemuste parandamiseks. Ehk siis õpivad analüüsima põhjalikult kliendi antud hinnanguid.

8 edu võti seo antud hinnangute tulemus  – mitte vaid klienti teenindavate töötajate vaid kõikide töötajate ja nende juhtide tulemustasuga. See motiveerib kiiresti kolleege huvi tundma hinnangute põhjuste suhtes ja kliendi poolt nimetatud vajalikke muudatusi ette võtta.  

9 tervendav võistlus! Mõõda erinevate üksuste Soovitusindeksit lisaks ettevõtte kogutulemusele. On tavapärane, et üksuste tulemus ettevõtte sees on erinev – nii objektiivsetel kuid ka subjektiivsetel põhjustel.  Omavaheline mõõduvõtmine on tervendav  – saab kiita tublimaid ja nõrgemad hakkavad kiiresti pingutama tulemuste parandamiseks.

NB! Soovitusindeksi rakendamine algab erinevate reaktsioonidega – “lastehaigus”, mille läbimine võtab aega ca pool aastat:

I VÕÕRASTUS: mis see veel on?

II EITUS: tulemus ei ole minu tööga seotud, ma ei saa seda muuta!  

III OMAKSVÕTT: kogen, et tegelikult saan läbi tegevuste tegelikult tulemust muuta.

IV HARJUMUS: õpin kiiresti arvestama alati kliendiga.