What is customer experience? And why is it so important (especially now)?

in Industry Insights, 15.10.2020

Do you remember the last time you had a great experience as a customer and how that made you feel? Chances are, this positive experience affected your perception of the brand as a whole and made you want to return.

But what exactly does the term “customer experience” (CX) mean?

In a nutshell, for your company, CX is your customers’ impression of your brand through each step of their journey — which ultimately impacts your customers’ brand loyalty and, in turn, your company’s bottom line, including revenue.

CX is in many ways similar to a good marriage or partnership: it is the ability to create memorable, personal and valuable interactions so people have a pleasant experience and want to spend more time (and, in this case, more money) with you. So, even if you think your company delivers high-quality products and exceptional customer experience, if your client perceives this differently, then this perception forms the real customer experience.

With this in mind, every company’s top priority should be managing their customers’ perception and creating strong experiences that contribute to how customers see their brand.

…and how can we distinguish a good CX from a poor one?

At KPMG, we use the Six Pillars methodology to spot exceptional CX. We believe that leading CX organizations have mastered these pillars of customer experience excellence and are outstanding across them all.

These organizations show Integrity by acting ethically and in their customers’ best interests. They focus on Resolution to proactively address customer problems. They also set accurate Expectations and reduce the Time and Effort customers need to invest by enabling frictionless interactions. And finally, CX leaders can deliver a Personalized experience with Empathy and compassion.

The Six Pillars — the golden rules of customer experience

The Six Pillars — the golden rules of customer experience

Brands that can incorporate all Six Pillars into their CX can create an experience that is memorable, unique, and truly valuable to their clients — therefore, delighting their customers in ways that keep them coming back for more.

How can I stand out during COVID-19?

In a world where technology and omnichannel retail options make switching brands easier than ever, creating a great CX is a way to differentiate a brand among a sea of sameness. This is especially true in COVID-19 times, where the challenge is not just to stand out but also to reinvent, innovate and transform to create value for the client.

Faced with the unchartered waters of recent months, brands have had to rethink the way they operate. Taking a closer look at the Luxembourg 2020 Customer Experience Excellence champions that made waves in these critical times, these companies share some common characteristics: they are innovative, flexible, responsive and listen closely to their customers and their changing needs. While their flexibility made them well prepared to serve their customers remotely, they also found ways to provide a rapid and well-thought-out response to a new type of customer who feels more vulnerable, more insecure and less in control than ever before.

Read the third edition of our Luxembourg Customer Experience Excellence report here to find out how brands in Luxembourg were able to maintain an exceptional CX and outstanding customer service during the COVID-19 crisis.

If you have any questions or would like additional advice, please get in touch.

Top 10 brands for CX