September 1, 2015
Are you proud of your organization’s customer experience efforts? Submit a nomination by October 23rd for Temkin Group’s 2015 CX Excellence Award.
Connecting Brands, Leaders, Employees, and Customers
August 31, 2015 Leave a comment
We just published a Temkin Group data snapshot, Channel Preferences and Cross-Channel Activity Benchmark, 2015. The research examines consumer preferences for using different channels for completing common tasks as well as the frequency of several cross-channel interactions.
Here’s the executive summary:
In Q3 2015, we surveyed 10,000 U.S. consumers about their channel preferences for performing 11 different activities—such as selecting a life insurance policy or applying for a new credit card—and compared them to the results of a similar study conducted in 2014. This data snapshot examines how channel preferences vary across age groups, how these preferences have changed over the past year, and how channel preferences differ across multiple activities. (see last year’s data snapshot).
A key component of the research examines how consumers would like to complete 11 different interactions with companies: Apply for a new credit card, change the beneficiary on a life insurance account, check the balance on a savings or checking account, check the delivery status of a purchase you made, investigate a mistake in your monthly cell phone bill, open a new investment account, purchase a new auto insurance policy, resolve a technical problem with your computer, select a life insurance policy, and update your address on an account after you move.
The report has 13 data-filled charts, covering the 11 activities with details of preferences by age.
As you can see in this excerpt from the first graphic, consumers most prefer using their computers for seven of the 11 activities. When it comes to investigating a mistake on a bill or resolving a technical problem, they prefer using the phone. When it comes to opening a new investment account or selecting a life insurance policy, they prefer doing it face-to-face.
August 21, 2015 3 Comments
A few months ago, The Consumerist leaked Comcast’s 10 point Customer Experience Action Plan.
1. Never being satisfied with good enough
2. Investing in training, tools, and technology
3. Hiring more people … Thousands of people
4. Being on time, every time
5. Get it right the first time
6. Keeping bills simple and transparent
7. Service on demand
8. Rethinking policies and fees
9. Reimagining the retail experience
10. Keeping score
My take: As you probably already know, Comcast has terrible customer experience. It’s consistently one of the worst companies in the Temkin Experience Ratings. So I have to start by applauding the leadership team for taking the problem seriously, and putting together a plan.
But the plan is flawed. I’ve already commented on Comcast’s mistaken plan to hire 5,500 new people, which is item #3. The 10 items collectively read like a laundry list of things, instead of a coherent approach and commitment to change the overall culture of the company (see the video, Driving Customer Experience Transformation, Made Simple).
The initial item “Never being satisfied with good enough” falls flat for an organization that is rarely good enough. How does that resonate with the pain that its customers regularly feel?
And the last item “keeping score” is also a red flag. Having and touting a customer experience metric is quite different from using it to drive change. We found that while more than half of the large companies describe themselves as “good” at collecting CX metrics, less than 20% are “good” at making trade-offs between financial metrics and CX metrics.
What do I recommend? Comcast should narrow its focus and make a commitment to be better at a few things that will make a huge difference for customers. Here’s what I suggest:
If Comcast can do these things, then its customer experience will improve dramatically. As a matter of fact, if it just gets it right the first time, then I’d expect to see it jump out of the bottom of the Temkin Experience Ratings.
The bottom line: Commitment to a few things is better than a list of many
August 6, 2015 Leave a comment
How much is it worth to have customers willing to try your new products?
There’s a huge advantage in having customers who are looking to try your next offering versus customers who want nothing to do with your latest and greatest. That’s why we created the Temkin Innovation Equity Quotient (TIEQ).
The TIEQ is based on a simple question: “If <COMPANY> announced a new product or service, how likely would you be try it right away?” Respondents can select a response from 1 (Extremely unlikely) to 7 (Extremely likely), and we calculate the TIE Quotient as the percentage of 6s and 7s for each company.
In January of this year, we collected feedback from 10,000 consumers and ended up with at least 100 responses for 293 companies across 20 industries (see full list of companies (.pdf)). As you can see in the graphics below:
Purchase full 2015 TIEQ dataset for $195Download this sample excel file (.xls) to see what’s in the dataset.
The bottom line: Build up your Innovation Equity!
August 3, 2015 Leave a comment
We just published a Temkin Group report, Behavioral Guide to Customer Experience Design. Here’s the executive summary:
According to recent scientific research, customers make most of their decisions using intuitive thinking instead of rational thinking. Intuitive thinking relies on unconscious heuristics and biases to make decisions efficiently, and as a result, people tend to be more affected by losses than by gains, to prefer simplicity over complexity, to be affected by their current emotional and visceral states, to be heavily influenced by those around them, to make decisions based on context, and to misjudge their past and future experiences. In this report, we identify best practices for tapping into these heuristics and biases across three areas of experience design; companies can Nudge customers in the right direction, Assist them in accomplishing their goals, and Enhance their overall experience. To incorporate intuitive thinking into experience design, companies need to follow four steps: define target customers, identify relevant heuristics and biases, select design strategies, and then test, test, test.
Here are tactics for applying these human biases in your experience design efforts that we describe in the report:
The bottom line: Embrace your customers’ natural behaviors.
July 30, 2015 Leave a comment
How people feel about what they are doing (intrinsic motivation) is a key to sustaining their focus, energy, and commitment. One of the ways for companies to tap into this intrinsic motivation is to find ways for employees to feel as if they are contributing to the organization’s success (which is consistent with lessons from positive psychology).
As you can see in the chart below, people who believe they are contributing are:
The bottom line: When people feel like they contribute, they contribute even more.
July 28, 2015 Leave a comment
We just published a Temkin Group report, Employee Engagement Competency & Maturity, 2015. Here’s the executive summary of this annual review of employee engagement activities, competencies, and maturity levels for large companies:
Engaged employees are critical assets for any customer experience effort. Our research of more than 200 large companies shows that front-line employees are the most engaged, while back office employees are often neglected in employee engagement efforts. We also found that two-thirds of companies survey their employees at least once a year, but less than half of executives consider acting on the results as a high priority. We used Temkin Group’s Employee Engagement Competency & Maturity Assessment to gauge the maturity levels and efforts of these companies across our five competencies, called the Five I’s of Employee Engagement: Inform, Inspire, Instruct, Involve, and Incent. We found that less than one out of five companies have reached the top two levels of maturity, Enhancing and Maximizing. This percentage of very mature companies is about the same as in 2014, but the percentage of companies in the lowest two levels of maturity has dropped from 67% to 56% since last year. We also found that many companies face challenges when trying to make improvements. The lack of a clear employee engagement strategy remains the number one obstacle that’s been cited by respondents over the previous three years. We compared companies with above average employee engagement maturity with those with lower maturity and found that the leaders deliver better customer experience and also have better financial results than their counterparts.
Here’s an excerpt from one of the 20 graphics:
Here are some additional highlights form the report:
The bottom line: Companies should invest more in employee engagement.