How To Improve ROI Of Your Customer Experience
Customer centricity is essential for your business. The best customer service and experience strategies are defined as business strategies based on putting your customers first and at the core of your business to provide a positive experience and build long-term relationships.
To know the buying behavior, the preferences, and the rate of business engagement by customers, being in a position to find chances for creating products and services in line with customer needs and promotions, and also being able to know who are the biggest supporters for your company, you need to have a combination of CRM software and tools at the heart of your business.
Revenue generated is how effectively your processes convert to actual revenue. Revenue is the most tangible metric of automation. Processes like email marketing are the best measurement to justify Return On Investment (ROI).
Customer service experience refers to how a brand communicates with its clients at every step during the customer’s journey. As competition evolves, you must find strategies to make customers shop from you repeatedly. Sales can be improved dramatically by boosting the customer service experience.
Customer service is the direct one-on-one interaction between a consumer and a representative making a sale. Customer Service departments might not have anticipated the channels used, but these social media networks have come in handy. Taking care of customers' needs on social media is a great way to show your company cares about its customers.
How To Improve ROI Of Your Customer Experience
1. Measure Customer Experience ROI consistently
The backbone of customer experience is research and metrics. This provides actionable data. These metrics, like Net Promoter Score (NPS), Customer Effort Score (CES), and Customer Satisfaction Score (CSAT), are flexible scores to show the performance of your customer experience program.
Below are the three metrics that need to be high on your list
a) Customer lifetime value:
This is the total revenue a customer is expected to generate over their relationship with your business. It can be calculated by multiplying the average purchase value by the number of purchases per year and then multiplying that number by the number of years the customer is expected to continue making purchases. For example, if a customer has an average purchase value of $100, makes ten purchases per year, and is expected to continue making purchases for five years, their lifetime value would be $100105 = $5,000.
b) Cost of Support
Support costs are expenses that don’t directly relate to production or manufacturing. Factors like quality assurance and customer service programs fall under here. These costs should be compared closely to your other customer satisfaction metrics.
2. Create and utilize a customer journey
A well-planned customer journey helps you as an entrepreneur to build trust with your customers at an early start, and this enables you to dig deep to know what their interest is all about before they even come to you for further negotiations or consultations.
To gain a deeper understanding of the customer journey, let us first define what exactly customer journey means; customer journey refers to a process by which a customer interacts with a company to achieve a goal. Of late, maintaining a customer and walking with them through a successful journey requires you to do lots of follow-ups. This is not limited to sending thank you messages and follow-up emails about the performance of a product.
Turning a lead into a customer is a process. Understanding a customer’s journey sometimes might require you to map it; this helps you to know where they started from up to where they are now, and that way, you will be able to capture the magnitude of their problem and, of course, what the customer wants exactly and what you can do about it personally.
3. Segment your customer base
When you write well-prepared messages to your audience, the chances are high that you will have messages they will listen to. This, therefore, makes it relevant to segment your communications. Segmented emails fetch more clicks than non-segmented emails. To have segmented emails requires you to start segmenting your email contact list.
Related: How To Build A Cold Email Template
The type of business and campaign objectives usually defines the segmentation criterion.
Your contact list can be categorized according to the following;
Source of lead
Sales funnel drop-off. These help you to segment your email contact lists accordingly.
Consider your customer's needs and wants and endeavor to include them in the email to motivate the reader to act on your message.
4. Look for trends.
Once you've gathered a significant amount of data, look for patterns that outline what has worked or hasn't worked in the past. You can use some questions as guidelines:
Do all customers in a specific segment talk about a particular feature?
Do you have higher churn rates with a specific target audience?
What did their qualitative data reveal about their perception of your brand?
Looking at data through this lens can help you compare your customer experience program against the metrics that you're measuring. You'll better understand what initiatives are working and where you can make changes for a greater return.
As a business owner, you can keep ahead by providing exceptional services and good customer care. That will help you to get more customers and referrals and be able to retain them as well. Good customer care is essential for the growth of your business and can be offered through several avenues.