How to Improve Customer Experience (CX)

Digital Transformation

How to Improve Customer Experience (CX)

Discover how businesses can enhance customer experience through personalization, efficient service, and leveraging technology. From defining CX to offering practical strategies, this guide explores how to build meaningful interactions that keep customers engaged and loyal.

Guide

15 minutes

Sep 27, 2024

When it comes to your customers, you can never do too much to keep them happy and engaged. That’s why businesses should never stop improving their customer experience.

From personalizing communication to leveraging technology and gathering meaningful feedback, read on to learn more ways to improve customer experience to create seamless, memorable experiences that will keep customers coming back.

Customer Experience Definition

Customer experience (CX) is the overall impression a customer has of a company based on the sum of their interactions. It’s a combination of every touchpoint a customer has with a brand, from marketing and sales to product usage and support, as well as post-purchase engagement.

Customer experience is often a combination of many things that affect a person’s relationship with a business, including:

  • Customer Service: Are they getting professional-quality help that alleviates their pain points and is easy to use? Modern customers expect fast, convenient, and friendly service when they have issues with a product or service.
  • Satisfaction: This is a direct measurement of the quality of your products or services. Is it fulfilling the promises made during the buying journey?
  • Quality of Interactions: Over the course of the buying journey—from initial discovery to post-sale support—the quality of every interaction builds an average that a customer holds in their head. All it takes is one negative experience with a salesperson, customer service rep, or marketing email to bring that average down.

You can go even deeper than these three overarching themes, including the six big pillars that make up a great customer experience for most businesses.

6 Pillars of Customer Experience

  1. Personalization: Tailoring interactions and offerings to meet each customer’s unique preferences, behaviors, and needs boosts relevance, engagement, and satisfaction, fostering a sense of connection and loyalty as customers feel understood and valued.
  2. Integrity: Focus on honesty, transparency, and ethical behavior. Integrity is about delivering on promises, maintaining consistency, and upholding standards in product quality, pricing, and service and builds trust and long-term relationships by being accountable and putting customer interests first.
  3. Expectations: Understanding customer needs and aligning services and products to meet or surpass those expectations ensures customers know what to expect, and consistently exceeding them through superior service helps businesses stand out in the market.
  4. Resolutions: Handling and resolving customer complaints and challenges. By providing timely and effective solutions, companies can restore trust and loyalty. Empowering staff to address issues promptly can turn negative experiences into positive outcomes, enhancing customer satisfaction and converting dissatisfied customers into advocates.
  5. Time & Effort: Reducing friction and making the customer journey seamless increases satisfaction. By streamlining processes and investing in user-friendly technologies, businesses can respect customers’ time and foster loyalty, encouraging positive word-of-mouth.
  6. Empathy: Understanding and sharing the emotions and perspectives of customers by actively listening, showing compassion, and acknowledging customers’ feelings. Training employees to demonstrate empathy helps build emotional connections, making customers feel valued. 
6 Pillars of Customer Experience - Personalization, Integrity, Expectations, Resolutions, Time/Effort, Empathy

Customer Experience vs. Customer Service

Customer experience and customer service are not the same thing, but they do have a lot in common. And, like we mentioned above in the definition of customer experience, customer service is a major aspect of the overall customer experience.

We defined customer experience above, so let’s do the same with customer service before explaining where they differ. Customer service is the support provided to customers during the sales process, especially in post-sale when customers have issues with the product or service.

The goal of customer service is to alleviate any pain points or process snags so everything can go smoothly, ensuring a positive experience. This can be providing problem resolutions, additional information, or proactive assistance.  

Customer Experience vs Customer Service comparison

Customer service is one of the major pillars of customer experience because it plays a pivotal role in shaping their perception of your brand.  

The difference between customer experience and customer service lies in their differing scopes. Customer experience is broader, encompassing the entire journey a customer takes with you, including every single touchpoint, even those not associated with customer service, like advertising, social media posts, marketing materials, and your website.  

Customer service focuses is a narrower scope and just one part of customer experience focused on direct interactions when customers (or prospective customers) need help, have questions, or require support.

Why Customer Experience Matters

The number one goal for most businesses is to grow. This means sell more, make more, expand, diversify, and much more, but none of it is possible if your customers are unhappy, unsatisfied, or non-existent. Customer experience drives business growth!

Customer experience matters because improving it can increase revenue by up to 15% and 73% of customers now say CX is the number one thing they consider when choosing which company to do business with.

Here are some important reasons businesses spend so much time tracking and looking for ways to improve customer experience:

  • Important for Growth: Companies that make a concerted effort to invest in and improve their customer experience see an 80% increase in revenue, and 42% of customers are even willing to pay more for products or services if the experience is friendlier, more convenient, and more welcoming.  
  • Match Rising Expectations: 96% of consumers say that customer experience is an essential factor in building brand loyalty. Great customer experiences are now expected. If you don’t offer one, you’re already behind.
  • Competitive Differentiator: CX is a major way for businesses to stand out in crowded markets. A positive customer experience creates a strong emotional connection, setting the brand apart from competitors who may offer similar products at similar prices.
  • More Engaged Employees: Companies that can provide more positive customer experiences also have more productive employees. Those businesses that focus on CX have 1.5x as many engaged employees.
  • Retention: Over half of all consumers said they’d switch to a competitor after just one negative experience. To keep customers, you need them to be happy, especially post-sale where they can become advocates and repeat customers. A good CX experience is critical to maintaining your existing customer base. 
Why Customer Experience Matters with statistics

Defining a Customer Experience Framework

To create a customer experience that is consistently positive across all major touchpoints, you need an organized, thorough, and actionable plan in place. This is called a customer experience framework.  

To start building the framework, consider the relationship between you and your customers, all the touchpoints within the buying journey, your company’s overall mission and goals, and the extent of your technical abilities.  

A typical customer experience framework involves a few key steps:

  1. Assess: Review current efforts, gather customer feedback, analyze KPIs, and identify strengths and areas for improvement to guide future initiatives.
  2. Envision: Use the assessment to envision the future of customer experience by setting goals, aligning stakeholders, and defining a clear vision to drive CX transformation forward.
  3. Design: With that vision in mind, create a roadmap for CX transformation, setting priorities, allocating resources, and integrating customer feedback to develop tailored solutions that align with the organization's overall goals.
  4. Implement: Execute on that roadmap by mobilizing resources, deploying technologies, realigning processes, training employees, and ensuring clear communication with stakeholders to drive progress and achieve desired outcomes.
  5. Measure & Optimize: Monitoring KPIs provides insights into customer behavior, while ongoing feedback drives adjustments. Optimization focuses on refining strategies, fostering innovation, and adapting to market changes, ensuring sustained CX excellence. 
Customer experience framework: assess, envision, design, implement, measure & optimize

Examples of a Great Customer Experience

Customer experience is so widespread—found across multiple channels, all customer journey steps, and even just out in the wild—that examples of places businesses can improve their customer experience are everywhere. Here are some obvious (and not so obvious) examples of customer experiences in a typical business:

  • Consistent Omnichannel Marketing: Your marketing strategy probably has many potential touchpoints. Emails, content, websites, social media, text messages, and more. Consistency in messaging across each platform without annoying people is an art that heavily affects whether people become customers.
  • Apps: Similarly to your website, if you offer an app, it needs to be user-friendly and helpful. If you have no available app, then creating one using low-code development techniques can give you a chance to refine and improve your customer experience. 
  • Seamless Multi-Channel Support Centers: It’s not just positive interactions that matter in customer service (though they matter A LOT), but providing a seamless experience across all channels is key. A customer expects to go from a chat to an email to a phone call without having to repeat information.
  • Unique Packaging: There’s a reason people are so hesitant to throw away their iPhone box: the packaging. Opening an Apple product is an experience in itself. The packaging of your products (or presentation of your services) can be a huge positive in your overall customer experience.  
  • Communications: No matter if it’s an exciting announcement, an apology, or a piece of important news, all communications to your customers, audience, or the world at large need to be well-done, timely, and written with the appropriate tone. 

ProManage & Impact: A Customer Experience Case Study

ProManage, a Chicago-based financial consulting company, struggled to communicate their expertise to consumers through their personal finance app. Lacking user-centric design, clear messaging, and proper market research, the app faced low user retention and risked failure.  

ProManage sought help from Impact's managed marketing team who improved the app's adoption, increased client satisfaction, and generated more product demos. The collaboration was so successful that it evolved into a long-term partnership. Watch the case study video below to get the full story: 

10 Ways to Improve Customer Experience

Elevating your customer experience is crucial for business success. While price and quality were once the main drivers, customer experience is now the key factor in influencing purchasing decisions. Let’s explore customer experience strategies that your brand could implement. 

1. Implement AI Features (Like a Chatbot)

AI can enhance customer experience by providing fast, round-the-clock support. AI-driven tools like chatbots handle routine customer inquiries instantly. These chatbots learn from interactions to improve over time, offering more relevant solutions to customers.

AI also enables businesses to analyze customer data to predict preferences, offering tailored recommendations and promotions.

2. Make Use of Every Channel

An omnichannel strategy improves customer experience by providing seamless interactions across multiple touchpoints, such as websites, social media, phone, email, in-person, and more. It ensures that customers can switch between channels without losing context, creating a consistent and cohesive experience.  

By integrating data from various channels, businesses can gain a deeper understanding of customer preferences and behaviors, allowing for personalized communication and solutions. An omnichannel approach also reduces friction in the buying journey, enabling customers to interact with brands on their preferred platforms.

3. Optimize Your Site for Mobile

91% of consumers, ages 18-49, say they exclusively buy things online using their smartphones. A mobile-friendly site means having fast loading times, easy navigation, and a responsive design that adapts to different screen sizes to make it easier for customers to find what they need quickly.  

A mobile-friendly site means having fast loading times, easy navigation, and a responsive design that adapts to different screen sizes to make it easier for customers to find what they need quickly.

Another way customers can find what they need quickly is through social shopping—which is when social media accounts link to an ecommerce site to allow users to directly buy products from social platforms.

4. Create a Metrics/Tracking Strategy

Tracking metrics provides businesses with valuable insights into customer behaviors, preferences, and pain points. Plus, you can see with clear proof whether or not your current CX strategy is working based on how it’s affecting the relevant metrics.  

By monitoring key performance indicators (KPIs) such as customer satisfaction scores, response times, and Net Promoter Scores (NPS), companies can identify areas that need improvement.  

Tracking trends over time enables companies to proactively address potential issues before they escalate. This continuous feedback loop ensures that the customer experience evolves in line with changing expectations, leading to higher satisfaction and loyalty.

5. Listen to Your Customers (and Understand Them)

When customers feel heard and valued, their trust and loyalty increase. Listening to your customers and understanding the needs and interests of your audience seems like an obvious way to improve customer experience, but too many businesses don’t do it.

By actively gathering feedback through surveys, social media, and direct interactions, businesses can identify customer needs, preferences, and issues. This insight helps you create more personalized products and services and to deliver clearer, more personalized marketing materials.  

6. Map Out Your Customer Journey

Mapping the customer journey reveals every touchpoint with your brand, from initial awareness to the selling process to post-sale interactions like support, cross-selling, and repeat business.  

By visualizing and recording the entire journey, businesses can identify potential areas of friction and opportunities to improve. It also helps businesses anticipate customer needs at each stage, providing proactive support and timely solutions.  

7. Include Personalization Wherever You Can

Tailoring interactions to individual preferences and behaviors significantly enhances customer experience because it gives people more relevant information. By using data to deliver better content, offers, and recommendations at each stage, businesses can create more meaningful connections.  

Personalized touchpoints—whether through targeted emails, product suggestions, or customized support—make customers feel valued and understood. This approach reduces friction, increases engagement, and drives conversions by presenting the right information at the right time.

8. Learn From the Churn

Nobody wants customer churn because it’s expensive, time-consuming, and a sign that your experience is not up to par with your competitors. But, when it does happen, you can use it as a learning experience to improve for the future.  

Start by trying to find out why they left. This can be a “we’re sad to see you go” email with a simple survey, a questionnaire through a social media DM, a phone call, or whatever you deem appropriate. Give them many chances and channels to provide feedback.

Then, as uncomfortable as it may be, take the time to really understand where the rift between you and them was created. If you do, you can make sure no future customers run into those same problems.  

9. Engage Everywhere

Better engagement leads to an improved customer experience by fostering meaningful interactions. This not only keeps your business top of mind, having more time spent with people improves the customer’s perception of your brand, which leads to more sales and happier experiences.  

When businesses actively engage with customers through tailored content and relevant offers, they build stronger relationships. And remember it doesn’t have to be a one-way street, prompt your audience to respond and interact!

10. Create Emotional Connections

Speaking of connecting with people, it doesn’t always have to be strictly business. Everybody involved in the buying process is human, which means emotions play a big role whether you know it or not.

Encourage your salespeople, customer service representatives, and creative marketers to tell stories when they interact with or write things intended for customers and prospects. Every decision made is affected in some way by emotion (71% of customers say they recommend brands based on emotional connection), so engaging with consumers on that level is a major ingredient for growth in business today.

Emotional connections with your customers are so valuable because emotionally connected customers are more loyal, making them 52% more valuable to you than customers rated “highly satisfied.” 

What Is Customer Experience Management?

Customer experience management refers to the tasks, processes, and strategies that businesses take to track, organize, and update their customer experience across all touchpoints. It’s important because of how fast technology moves today and how much it affects what you can offer your customers.  

Without consistent management of your customer experience, you risk falling behind competitors or watching your overall customer experience deteriorate to the point that it begins to negatively affect sales and retention.

Customer experience is not something you can set and forget and it’s absolutely not something you can ignore entirely. Modern consumers demand a lot of you because competition in every industry has raised the bar over and over again, which means you have to, also.

If you think you need help, you’re not alone. Customer experience consulting with a respected MSP like Impact can bring you access to brilliant CX minds who’ve seen it all and can help you deliver the best experiences to your customers.

Tags

Digital TransformationCustomer ExperienceAutomationCustomer Service

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