Increasingly sophisticated data and analytics, innovative approaches, and rapidly advancing technologies are enabling organisations to know customers in a variety of new ways, across multiple channels, anywhere they go.
Such knowledge enables companies to provide highly personalised services, which keep customer expectations on the rise. As a result, organisations spend record amounts of time, money, and resources seeking to provide superior customer experiences that stand out in a crowded marketplace.
But how much is too much?
While it’s important to know everything about your customers’ expectations and needs, it’s also necessary to understand the value those customers bring to your organisation. There needs to be a strategic balance between meeting customers’ expectations and understanding the value attached to it. Too often, organisations overspend to exceed customer expectations rather than satisfy their needs.
Why? Because conventional wisdom assumes that the greater positive impact on the customer, the higher the loyalty and the greater impact on the bottom line. Unfortunately, that's typically not the case. For many organisations, investments in improving the customer experience don’t generate enough value or provide an acceptable return on investment.
Customer Experience (CX) Journey Economics can help. It provides a strategic model designed to create value for both the customer and the organisation.
In this Harvard Business Review report, sponsored by KPMG US, it looks at how several leading companies are using data insights and advancing technologies in unique ways to drive customer loyalty and add value for their organisations.