NURTURE: Mastering the Customer Experience


Aligning CX Goals with
CX Strategies

“A good customer experience is actually less expensive to provide than a poor one and customers will pay more for a good one than for a bad one. Nothing drives profitability like an excellent customer experience does.”
~ Dan Hesse, Board of Directors,
PNC Bank

Goal: Enhancing CX

For decades, B2B marketing has enjoyed a marked differentiation between how it approaches CX as compared to B2C marketing, but the lines between the two grow blurrier by the day. In fact, 80 percent of B2B customers now expect the same buying experience as B2C customers. Most researchers blame the shift on digital consumerism. After all, your B2B customers are people and they have been trained by the speed, ease and personalization of their consumer purchasing experiences to expect more from their B2B purchasing experiences — especially since they are spending more. Ian Schafer, CEO of global marketing firm, Kindred, puts it this way, “Customers are transforming faster than we are, and if we don’t catch up, we’re in trouble.” So what are your customers expecting? A lot. They expect you to know them personally, and to have an intuitive approach to meeting their needs. They expect to be able to communicate with you across multiple channels and for that experience to be flawless in its execution. They expect you to do all of this with the same simplicity and convenience they experience as consumers.

89% — Average increase in customer retention for companies with strong multi-channel customer strategies, compared to 33% for companies with weak multi-channel strategies.

~ Aberdeen G
roup


Enhancing CX Across All Channels

According to research, by 2020, digital commerce will account for half of all B2B revenue. At the same time, B2B revenue from offline channels will decrease by 20 percent. This means your mandate as a B2B marketer is to create hyper-personalized, seamless, omni-channel campaigns that resonate with each customer. It’s a tall order, but not an impossible one, especially since there are martech tools that can help you develop and send personalized omni-channel campaigns at scale. The steps you will need to take in order to achieve your CX goals are:


1. Prep Your Data – Personalized campaigns require high-quality data that is clean, complete, enriched and standardized. When customers encounter campaigns that are tailored to their individual needs it demonstrates to them that you are listening and that you care. It also simplifies their work-life, which increases their brand loyalty to your organization.


Martech: To ensure data is campaign-ready for any channel, integrate your CRM, MAP and any other data source with a data management tool that cleans and enriches data in real-time.


2. Map the Customer Journey — It’s imperative that everyone on your team understands each touchpoint in the customer sales cycle. Tracking their interactions will reveal insights that help you improve their experience of your brand. It will also reveal where prospects are dropping off in the process and which campaigns are generating the most action, among other insights.


Martech: A CRM, a MAP, a data management tool, and a marketing/data dashboard are the main tools you will need to monitor CX on an ongoing basis.


3. Develop Ideal Customer Profiles (ICPs) — As you analyze customers according to a variety of variables such as demographics, geography, industry, size, titles, etc., you should begin to see some patterns and commonalities that your best customers and biggest deals have. Knowing the characteristics of your ICPs is critical to your ability to target prospects well through segmented lists.


Martech: A CRM, a data management tool, and a marketing/data dashboard will help you analyze and visualize customer data and pinpoint ICPs.


4. Segment Lists — Targeting the right customers with the right messages through personalized campaigns is much easier to do when you segment your campaign lists into groups that share similar interests, backgrounds, needs, budgets, etc. Another reason that you need to segment your lists is to prevent unsubscribes. A whopping 56 percent of customers and prospects, who unsubscribe from an organization’s communications choose to do so because the content is not relevant to them.


Martech: Your CRM and data management tool should allow you to export segmented lists to your MAP.


5. Develop Personalized Campaigns — To execute this step well, your creative team will need to have a solid knowledge of the needs of each segment you plan to target. Depending on your customer communication preferences you will want to be sure campaigns include multiple channels, from SMS and MMS, to email and RSS, to voice, chat, direct mail and beyond. Ask customers what channels they prefer for communications, as well as how often they want to hear from you, and then honor their wishes.


Martech: A project management tool will help keep teams and campaigns on track for deadlines, and a content management tool will allow your team to develop a library of content, which will save money on the costs of developing future content.


6. Automate Campaigns — Companies that are adept at sending hyper-personalized omni-channel campaigns often use a combination of content management tools and MAPs to build a customer journey that is truly engaging. The best content management tools make personalization even easier by pulling content from across your enterprise, organizing it into queues for various channels, and sending no-touch personalized campaigns.


Martech: A MAP and a content management tool that is integrated with data sources across your enterprise will enable you to send hyper-personalized omni-channel campaigns with greater speed, frequency and efficiency.


7.Monitor Campaign Performance — Once campaigns are out there, it’s important to track the open rates, click-through rates, opt-out rates and requests for materials, as these metrics will demonstrate the strengths and weaknesses of each campaign and enable you to make modifications that ensure subsequent campaigns perform even better.


Martech: A MAP and marketing/data dashboard with reporting capabilities will allow you to track campaign performance with ease and share reports with everyone involved in the campaigns.

CX KPIs to Monitor

The ultimate goal of most data-driven marketers is to continuously improve their CX, which leads to increased sales, loyalty, profitability, growth, etc. To keep tabs on your progress to better and better CX, there are a few KPIs you will want to track via your marketing/data dashboard:

Net Promoter Score (NPS) — The NPS measures the loyalty of your customer relationships and general customer satisfaction by asking customers how likely they are to recommend your products/services to a colleague. Customers who rank your company as a nine or 10 are known as promoters. These are the people who will keep buying and recommend you to others. Customers that rank your company as a seven or eight are satisfied, but at risk for leaving you for a competitor’s offerings. Customers who rank your brand anywhere from zero to six are unhappy and have the potential to damage your reputation and growth potential through social media and word-of-mouth. Researchers at Bain & Company found that: “Companies that achieve long-term profitable growth have Net Promoter Scores (NPS) two times higher than the average company.”


Customer Satisfaction (CSAT) — A CSAT is obtained through customer satisfaction surveys and typically features a variety of custom questions specific to your product or service. It is ideal for gaining insights into the strengths and weaknesses of your CX. CSAT results are often skewed by the fact that surveys typically appeal to either highly satisfied or highly dissatisfied customers, so they are not a good indicator for loyalty or growth.


Churn Rate — This KPI measures the percent of customers that quit your products/services over a specific period of time. If your annual churn rate is seven percent or higher, this is an indication that your customer service strategy needs an overhaul. Low customer churn percentages directly correlate with increased revenue, referrals, upsells and customer lifetime values.


Customer Retention Rate — This metric measures the percent of customers that remain with your products/services over a specific period of time. It can be used to measure customer loyalty, but is also a good indicator of a company’s future growth. Companies that pay attention to this KPI are aware that long-term customers have greater value and cost seven times less to retain than acquiring new customers.


Customer Lifetime Value (CLV) — The CLV measures the total revenue a company can expect from a customer and compares it to the typical span of time a customer remains with a company. CLVs are often used to measure a company’s growth and project future revenue. CLVs also help marketing departments to identify and target the customers most likely to deliver the greatest value. There are a variety of ways to measure CLV, but the most common is to subtract the cost per acquisition (CPA) and the Cost to Serve (CTS) customers from the revenue you earn from them.


Customer Effort Score (CES) — The CES measures how easy customers find it to do business with you. It is typically collected through short surveys in which customers rank the ease on a five-point scale. This metric has grown in popularity over the years due to a cultural shift in which people are not as wowed by attentive customer service as they are by a seamless, friction-free CX. Essentially, customers want to get what they want, now, and with as little effort on their part as possible. Research has shown that companies that focus on minimizing the efforts customers make in doing business with them can significantly increase the loyalty of their customers.

Benefits of Great CX

  • Companies that prioritize CX generate 60% higher profits than competitors.
  • A commitment to CX typically yields a 25% increase in customer retention.
  • A 5% increase in customer retention can increase profits by 25% to 125%.
  • By 2020, CX will overtake price and product as the key brand differentiator.

Summary

  • Goal: Enhancing CX
  • Strategy: Use High-Quality Data; Segment Lists; Personalize Campaigns; Create a Seamless Omni-Channel Experience; Measure Results
  • Martech: MAP; CRM; Data Management Tool; Integration Platform; Marketing/Data Dashboard

Ready to optimize your

martech strategy?

Feel free to contact us using this form if you have any questions or need help optimizing your marketing operations and martech strategy.

Contact Us