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Acquiring Customers (Experience)

Dr D Sriram
Concept recap
✥ B2C value proposition

✥ Types of B2B value proposition

✥ How do you demonstrate benefits stated in the value


proposition?

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Your thoughts
✥ How do you enable positive customer experience?
※ The Oberoi Hotels

※ HP Laptops

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Session Objectives
✥ By the end of the session, students are expected to:
※ Understand the concept of customer experience
※ Learn key concepts to manage customer experience

※ Create ‘Customer Journey Maps’

※ Appreciate the concept through discussion of article and case


analysis

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Customer Experience
✥ Internal and subjective response, customer have
to any direct or indirect contact with the company

✥ Formal Definition
※ Cognitive and affective outcome (What)
※ Due to customer’s exposure or interaction (How)
※ With firm’s people, processes, technologies,
products, services and other outputs (With whom)

✥ Informal: ‘What is it like doing business with us?’

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Conceptualizing Customer Experience
✥ Planned vs. unplanned
※ Planned customer experience differs from the unplanned because management tries to
engage the customer in a positive and memorable way
✥ Positive vs. normative
※ Positive customer experience describes customer experience as it is
※ Normative customer experience describes customer experience as management or
customers believe it ought to be
✥ Commodity vs Unique
※ Rail Travel – Normal train vs ‘Palace on Wheels’

✥ Core product vs Value-add


※ Customer experience as the core product: white water rafting, swimming with dolphins,
paragliding, bungee-jumping.
※ Customer experience as value-add: First class vs Economy class in international flights

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Delivering Customer Experience
✥ Why Customer Experience is critical?
※ Designed customer experience evokes strong, positive
engagement.
※ Engagement – Expressed in a sense of confidence, integrity, pride,
delight or passion
✥ Delivering Customer Experience (B2C Value Proposition)
※ Touch point Management
※ Interactions & Moment-of-truth

※ Continuous Engagement

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Evaluating customer experience
✥ Mystery shopping
✥ Experience mapping
✥ Process mapping
✥ Customer activity cycle (shadowing)
✥ Ethnographic methods

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Customer Experience Clues
✥ Communication
※ Company-generated messaging such as
advertising, brochures, newsletters and annual
reports
※ Customer-generated messaging through user
groups, chat and blogs
✥ Visual Identity
※ Brand names
※ Logos
※ Livery

✥ Product Presence
※ Product design
※ Packaging
※ Display
※ Brand characters
※ Point-of-sale

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Customer Experience Clues
✥ Co-branding activities
※ Event marketing
※ Sponsorship
※ Alliances /Partnerships / Licensing
※ Product placement
※ Co-operative campaigns

✥ Spatial Environment
※ Retail stores, office spaces, lobbies, car parks,
buildings, gardens, and public spaces.
※ Environmental stimuli
§ noise, temperature, odour, colour, architectural
design, traffic, spatial arrangements
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Typical Journey Map
✥ Technology enabled, Process Driven, Customer centric effort to
provide superior experience
✥ Design normative customer experience through robust processes
✥ Singular ‘Moment of Truth’ through effective ‘touch point’
management ( define responsibility, SLA/TAT for each process
step)

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Discussion: Competing on Customer Journeys
✥ Use new technologies and processes to lead the customer
journeys

Google Earth ‘Live’ sales rep


Mail to prospect Calculations on
image of house for query
with unique URL energy savings
with solar panels resolution

Post-installation
Financing Project progress
References performance
Options dashboards
dashboards

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Competing on Customer Journeys
✥ Four Key capabilities
※ Automation
※ Proactive personalization
※ Contextual interaction
※ Journey innovation
✥ Automation
※ Digitizing and streamlining of steps in journey
※ Allowing consumers to take decisions, installing products / applications
※ Use cutting edge technology (API, collect and analyze data across
multiple platforms)

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Competing on Customer Journeys
✥ Proactive personalization
※ Past interactions analyzed to
customize shopping experience
※ Tracking customers across
different channel (e.g.,Clickfox)
✥ Contextual interaction
※ Track where the customer is on
the journey
※ Provide contextual suggestions
(e.g., Starwood Hotels)

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Competing on Customer Journeys
✥ Journey Innovation
※ Ongoing experimentation

※ Active analysis of customer needs

※ Linking with other service providers to


provide comprehensive journeys (e.g.
Delta + Uber; Indigo + Ola)
✥ Organizational Change
※ Build experience management team

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Customer Journey

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Customer Journey Map
Create a journey map for product return of an apparel from a e-
commerce website Initiate

Acknowledge & Confirm 4 hrs

Accept

Send person to collect 48 hrs

Hand over product


Immediate
Acknowledge product receipt

Seek confirmation on 24 hrs


Replacement or Refund
48 hrs
Appropriate action & feedback
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Customer Journey Map (Order Processing)
✥ Process – Processing a dealer’s order
Credit limit Distribution
Dealer places Indent cleared Materials
check (HO / Centre prepares
order for supplies dispatched
Region) invoice

✥ Journey Map 1h 24h


4h
Order
Feedback to
Dealer Places confirmation Information on Inform ETA at
dealer on credit
Order (after stock despatch date dealer location
limit availability
check)

Order no., product ETA date and time


2h Y Estimated dispatch
name, Qty, Order (mail, SMS); Order
date (Mail, SMS)
Value (Mail, SMS) tracking
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