Business costs are sky rocketing at the same time as competition is rapidly increasing both off and on-line resulting in even more pressure on margins and putting more businesses under pressure.
The need to increase marketing costs to keep new customers coming through the door due to a decline in customer loyalty and the continued high rate of staff turnover due to employee disengagement .These are just two costs that can significantly influence the bottom-line.
Add to these the focus on price due to a highly commoditised market and the power of negative customer word of mouth due to the reach of social media and the web and according to Chris Bell Managing Director of Customer Experiences many businesses are in for a rocky ride unless they adopt ways to both increase margin and reduce costs.
Bell said it was this environment that motivated him to develop an online customer experience development programme www.customerexperiences.co.nz so that businesses could develop a strategy that would significantly reduce these costs and stimulate business growth through increased customer loyalty and word of mouth recommendation.
Another motivator was a recent Temkin Group customer experience survey found that 80 percent of respondents from corporate organisations understood the benefits of a customer experience strategy however only 13 percent knew how to develop such a strategy within their organisations.
Businesses are desperate to reduce costs to survive, unfortunately in many cases at the expense of the quality of the customer experience. According to Bell consumers will no longer tolerate a decline in service, in fact the opposite is true, and customers are on the look out for those businesses that do have a genuine focus on the value and experience they wish to deliver.
Service is the new sales. Service is the new marketing. As the world automates, products will become more and more the same. The service experience is how business will differentiate in the market. Service is how you will make the next sale.