Community Management

The Importance of Customer Experience with Customer Service

Exceptional customer experience leads to business results: reduced costs, increased revenue, increased customer loyalty and new customer referrals

While the motto of good business has always been, “the customer is king”, providing a good customer experience is more important than ever. Online reviews and searches enable customers to find companies who will provide the experience they are looking for. 

Negative customer experiences can be used to warn off not only friends or neighbors, but everyone searching online. For these reasons, an exceptional customer experience is more important than ever before. 

Why Customer Experience Is Important for Businesses

Customer experience is not only good for customers, it is essential to successful business. From increased revenues to increased referrals and a broad customer base, customer experience is the face of your business you show to the world. A business with the best quality product in its sector will still struggle with a weak customer experience. 

Here are the benefits of the customer experience for exceptional customer service:

  1. Customer Satisfaction Drive Revenue

A satisfied customer will contribute 14 times more revenue to a company as a dissatisfied customer, and 2.6 times as much revenue than a somewhat satisfied customer. Any business cannot afford to leave 2.6x revenue on the table just because they don’t want to bother with the customer experience. 

In addition to this, research shows that customers who had the best past experiences spent 140% more compared to those who had the worst past experiences. The customer experience is where the money is. 

  1. Build Loyalty

With the cost of acquisition of new customers seven times the cost of retaining existing customers, providing a great customer experience makes sense from a marketing standpoint as well. 

In addition to less financial output, satisfied existing customers can become important brand advocates. This is especially true when the customer experience includes building a community where customers feel personally connected to the brand and its products.

  1. Competitive Advantage

Just as the difference between a 4-star hotel and a 5-star hotel is all in the customer experience and attention to detail, the same is true in nearly every industry. To stand out in an increasingly competitive market, where utilizing SEO and sharing content online is the norm, you need to go back to basics. Providing an exceptional customer experience is still priceless, and an important competitive advantage. 

  1. Reduce Costs

Managing disgruntled customers is often more expensive in the long run then setting up the systems for a great customer experience from the start. Sprint, for example, reduced customer service costs by 33% by shifting focus to the customer experience. 

What Makes a Great Customer Experience?

A great customer experience is built on examining the needs and desires of your target customers, and how your company can fulfill them as easily as possible. It means giving to the customers rather than trying to take.

Anticipate Needs

Think of the customer like a guest into your online store or brick-and-mortar retail space. What will make them comfortable? What do they want to see right away? How can you streamline the shopping experience? 

This includes everything from physical store layout to website navigation. The customer should feel it is easy to shop with your company. 

Happy Employees

Beyond anticipating the needs of customers, a great customer experience comes through employees who are genuinely happy to work for your company and ready to help. We’ve all come across a salesperson or customer support rep who was so kind and enthusiastic that the interaction made us feel better. Those are the people you want interacting with customers on a daily basis. 

Attention to Detail

It will be the little things that make an already good customer experience stand out as exceptional. This can include product packaging, free chocolates, a personal note, a surprise bonus or valuable coupon, or other marketing bonuses. The key is to make the customer experience feel like the company cares about them as a person. 

Attention to detail extends also to address problems. Offer a desirable solution and really listen to the customer’s needs. The more they are heard, the more customer loyalty is built. 

Give More

Happy existing customers are also the best company advocates. Retain customer loyalty by not only giving them attention and anticipating needs, but by offering them loyalty discounts, special coupons, and other benefits.

The key is to make it specific, relevant, and timely. A barrage of daily coupon emails will not build customer loyalty. Selected, curated discounts and bonuses will create an exclusive experience, convey the message that the customer is important, and cultivate loyalty. 

Conclusion

Exceptional customer experience leads to business results: reduced costs, increased revenue, increased customer loyalty and new customer referrals. For the bottom line, for brand awareness, and for public perception, businesses need to emphasize customer experience as the key component of exceptional customer service. 

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