A new study from Avaya investigates the emphasis companies are putting on customer experience management (CEM) and finds that increasingly high expectations are creating a business environment where the majority of organizations are struggling to keep up.
While CEM programs are being undertaken on a global scale by businesses of all sizes, the Avaya survey found that China leads the pack with 84 percent of businesses having a CEM solution followed by U.S. (73), India (72), Brazil (63).
2. 2
TAKEAWAY:
Businesses are failing to meet
evolving customer expectations
and are seeing their margins suffer –
yet don’t have comprehensive
CEM programs in place
of organizations
cannot deliver all the
requirements for a
completely blended
customer experience
automatically and
in real time
of managers
believe customer
effort significantly
impacts spending,
satisfaction
and retention
of organizations
have initiatives in
place to reduce
customer effort
CUSTOMER ATTITUDES
AND THE ROLE OF CEM
Would rather spend money with organizations
that are easy to do business with
Expect unique treatment, contacted in a way they
want, with offers tailored to them
CUSTOMER DEMAND IS CHANGING….
…BUSINESSES FACE CHALLENGES…
Choose to spend money with companies that
treat them as an individual
of managers say CEM will be important
to their organization in 2014
of organizations have
comprehensive CEM program in place
of organizations had some department projects
aimed at improving customer
experience in last the 12 months
*OF ORGANIZATIONS POLLED
…and CEM is seen as the answer
3. 3
THE VALUE
OF IMPLEMENTING CEM
TAKEAWAY
Companies with CEM
initiatives outperform
organizations that don’t
of organizations experiencing
significant profit increases
have CEM program
CEM is tied to greater customer
satisfaction, loyalty, retention and
repeat purchasing
4. 4
BARRIERS TO IMPLEMENTING CEM
of organizations without a CEM
program face barriers
BARRIERS INCLUDE
TAKEAWAY
Business face financial, technological and structural barriers to CEM implementation
of organizations that don’t
have a CEM in place cite a lack
of appropriate technology
of organizations don’t have a
CEM in place because different
departments own their own parts
of the customer experience
don’t have CEM in place
because of a lack of budget
5. 5
WHY CEMs HAVE FAILED IN THE PAST
CEM initiatives failed
in the last three years
Failure to Modify
Business Processes
Misalignment with
Customer Preferences
Lack of
Employee Buy-in
Lack of
Senior Management
CAUSE FOR FAILURE INCLUDE
TAKEAWAY
Companies do not typically associate functions like finance, R&D, IT and operations as dealing with
customers, which could be a blind spot in the way they approach and plan CEM initiatives causing them to fail
6. 6
GLOBAL APPLICATION OF CEM
CHINA
INDIA
BRAZIL
RUSSIA
UNITED STATES
CEM PROGRAMS ARE BEING UNDERTAKEN ON A GLOBAL SCALE ACROSS MARKET SIZES
The survey found companies in BRIC economies are leading in CEM initiatives:
TAKEAWAY
While the US is seen as the ultimate service economy,
China actually leads the pack in CEM implementations with India in third place