NILF 2014: The Path to Customer Experience Maturity: Craig Menzies, Principal Analyst, Forrester

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The Path to Customer Experience Maturity in The Age of the Customer Craig Menzies, Principal Analyst Serving Customer Experience Professionals Twitter: @craigmenzies, @forrester, #NASSCOM_ILF My CX blog: http://blogs.forrester.com/craig_menzies 12 th February, 2014
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Transcript of NILF 2014: The Path to Customer Experience Maturity: Craig Menzies, Principal Analyst, Forrester

  • The Path to Customer Experience MaturityinThe Age of the CustomerCraig Menzies, Principal AnalystServing Customer Experience Professionals

    Twitter: @craigmenzies, @forrester, #NASSCOM_ILFMy CX blog: http://blogs.forrester.com/craig_menzies12th February, 2014

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    Why should we care about customer experience?

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    How customers perceive their interactions with your company

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    EnjoyableEasyMeets Needs

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    Willingness to consider for another purchaseLikelihood to recommend to a friendLikelihood to switch business to a competitorCustomer experience correlates to loyalty

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  • 1960 - 19901990 - 20102010 +Sources of competitive advantage change over time

  • 1960 - 19901990 - 20102010 +Age of ManufacturingAge of DistributionAge of InformationSources of competitive advantage change over timeSources of Dominance

  • 1960 - 19901990 - 20102010 +Ford, RCA, GE, Boeing, P&G, SonyAge of ManufacturingAge of DistributionAge of InformationMicrosoft, Dell, Google, Capital OneWal-Mart, Toyota, UPS, CSXDominant CompaniesSources of competitive advantage change over timeSources of Dominance

  • 1960 - 19901990 - 20102010 +Ford, RCA, GE, Boeing, P&G, SonyAge of ManufacturingAge of DistributionAge of InformationMicrosoft, Dell, Google, Capital OneWal-Mart, Toyota, UPS, CSXDominant CompaniesSources of competitive advantage change over timeSources of Dominance?Age of the CustomerContenders include Southwest Airlines, USAA, Amazon,

  • A 20 year business cycle in which the most successful enterprises will reinvent themselves to systematically understand and serve increasingly powerful customers.The Age of the Customer

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    My Buying Criteria:

    My friend was selling it (proximity)I could afford it (price)I hadnt heard anything bad about it (information)It was on the cover of a magazine (media)

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    Detailed specsModel comparisonsTrusted reviewsBest place to buyBest price to paySpecial offersBest insurance dealsOwner opinionsMaintenance historyAccessoriesUpgradesSocial eventsWhere to rideEtc, etc, etc, etc

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    So how does one do customer experience?

    Khumbu Icefall

    Lhotse Face

    47%Differentiate the company from leaders in their industry13%Differentiate the company from leaders in ANY industryBase: 100 customer experience professionals (percentages may not total 100 because of rounding) Source: Q4 2012 Global Customer Experience Peer Research Panel Online Survey

    47%dont measure customer experience quality

    79% dont train employees on how to deliver the target customer experience

    Low customer experience maturity

    Customer Experience MaturityThe extent to which an organization routinely performs the practices

    The extent to which an organization routinely performs the practices required to design, implement, and manage customer experienceCustomer Experience Maturity

    The extent to which an organization routinely performs the practices required to design, implement, and manage customer experience in a disciplined way. Customer Experience Maturity

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    RepairElevateOptimizeDifferentiate

    RepairElevateOptimizeDifferentiate

    Repair Phase Key ActivitiesIdentify bad experiencesPrioritize fixesCoordinate implementationMeasure results

    2008 CXi Wireless Carriers

    RepairElevateOptimizeDifferentiate

    Elevate Phase Key ActivitiesDefine a customer experience strategyShare customer insights with all employeesCreate a consistent, companywide customer experience measurement frameworkStart following a human-centered design process

    Edward Jones CXi Score 2011 2013

    RepairElevateOptimizeDifferentiate

    Optimize Phase Key ActivitiesModel the relationship between CX quality and business resultsBuild strong experience design practicesSharpen employees CX related skills through targeted trainingEvaluate employee performance against role-specific CX metrics

    Let personality shineProvide optionsHelp guests feel comfortable in public spaces

    Systematic customer experience training

    Six months beforePre-reno11 days before3 months after re-opening

    Courtyard by Marriott CXi Score 10 13

    Courtyard by Marriott CXi Score 10 13

    RepairElevateOptimizeDifferentiate

    Differentiate Phase Key ActivitiesRe-frame customer problemsReveal unmet customer needsRe-think the entire CX ecosystem

    Car loansMortgagesInsurance

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    USAALead over next highest brandBanks85+7Credit Card Providers82+7Insurance Providers83+9

    How do you get started on the path to CX maturity?

    The Experience-Driven Organization PlaybookMay 2012 Transform To An Experience-Driven Organization Assessment:Where Are You On The Path To Customer Experience Maturity?October 11, 2013 |Megan BurnsOverview:Transform To An Experience-Driven OrganizationMay 7, 2012 |Harley Manning

    Thank you

    Craig MenziesPrincipal Analyst, Forrester Research (Sydney, Australia)

    [email protected]+61 02 9006 3352, +61 43 555 1412Twitter: @craigmenzies, @forrester, #NASSCOM_ILFMy CX blog: http://blogs.forrester.com/craig_menzies

  • We Need You!Please join our Asia Pacific Customer Experience Peer Research Panel and take the 2014 CX Survey!Contribute your views and insights to leading edge industry research (confidential/anonymous)Receive free research reports and read the views of other people working with the same challenges day in day outGet in touch: [email protected]

    Now I dont care whether you call them shoppers, clients, members, subscribers, or patients, or whatever...the fact is that if you provide products or services in return for money, then you have customers.

    And all those different kinds of customers go through the same archetypal steps, which start when they Discover that you offer something which can meet their needs. (Follow the circle.)

    But then theres this critical juncture: the point where customers either decide to do business with you again, or they leave.

    What influences that decision? Many things but the biggest is customer experience.

    What exactly is customer experience, that I can make this claim? Its no less than*(Read) Those interactions occur at each of the steps of the journey I just described.

    And those perceptions occur at three levels which we collectively call the customer experience pyramid.

    Now, just like a real pyramid

    http://www.autonettv.com/2012/why-people-don%E2%80%99t-like-you-%E2%80%93-part-2.html *the CX pyramid has a hierarchy. At its base, a successful experience must first be something that

    Meet needs. For example, most of us fly on business. Any airline that flies from where we are to where we want to be could meet our basic need to get from A to B. And yet, each of us pick one airline out of our many possible choices every time we fly. Why? For many of us it was because one option was particularly

    Easy. Maybe one of those airlines has more convenient flight time. Or maybe you have elite status on one of them so you get to board sooner and dont have to fight for overhead bin space. Any or all of those factors could have determined who got your business and who did not.

    And at the top of the pyramid, the best experiences are Enjoyable. This is the one that surprises a lot of businesses but it shouldnt because we all know that customers have emotions that influence their choices. Take the example of JetBlue. Their mission statement says that they seek to bring humanity back to travel. And if you fly them, as I do, you know that their flight attendants have a sense of humor and dont sound like robots. For me, that matters.

    Easy, Enjoyable. That is customer experience. And the reason we know that you should care is that for years weve been running a large scale consumer study called the Customer Experience Index, which proves that ...

    *Specifically, it correlates strongly to three metrics. (READ)

    When we look at companies that understand this dynamic, we see some compelling results.

    For example*The arrow and text boxes are from illustrator but independent pieces that you can build individually. The dates are powerpoint, as are the dotted lines, so you can build by decade and text.*The arrow and text boxes are from illustrator but independent pieces that you can build individually. The dates are powerpoint, as are the dotted lines, so you can build by decade and text.*The arrow and text boxes are from illustrator but independent pieces that you can build individually. The dates are powerpoint, as are the dotted lines, so you can build by decade and text.*The arrow and text boxes are from illustrator but independent pieces that you can build individually. The dates are powerpoint, as are the dotted lines, so you can build by decade and text.*

    So if youre in an organization that suffers from low customer experience maturity it means thatIn 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In 1993 I bought a used motorcycle from a co-worker. It was a 1984 Honda CBX550. I paid $1000 for it.

    Fast forward 25 years.In honour of the Winter Olympics!

    Mount Everest. Its the worlds tallest mountain at 29,029 feet. And its become a metaphor for our biggest, hairiest, most audacious goals.

    Thats because until not that long ago, climbing Mount Everest seemed impossible. It wasnt until 1953 that

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpgSir Edmund Hilary and Tenzing Norgay became the first people ever to reach its summit.

    These are the guys who get all of the attention, but in reality it took many, many more people to reach the top of Mount Everest.

    In fact, it took

    Image source: http://www.britannica.com/EBchecked/media/11603/Sir-Edmund-Hillary-195620 Sherpa guides from NepalAnd 362 porters Carrying TEN THOUSAND lbs of baggage

    And those were just the people on the expedition itself. There were countless other who helped in the pre-climb preparations.

    Hillary worked for months with a team to figure out what path to take to get through treacherous terrain like

    Image source: http://www.flickr.com/photos/auldhippo/3555595201

    the Khumbu Icefall

    Still another group had to go to the mountain and prepare part of the steep slope known as the

    Lhotse Face so that the climbers could scale it on their way to the top.

    These days it can be easy to forget just how much of an accomplishment it is to climb Mount Everest, especially when we see headlines like this

    Mount Everest Is Too Crowded This headline showed up earlier this year and we wondered, Is this a joke? But its not.

    About 520 people make it to the top of Mt. Everest every year now. And thats enough to make some people think that its easy to climb Mt. Everest.

    In the fact, the Sherpa guides who help people make it up the mountain now contend with people who are

    Image source: http://www.theatlanticwire.com/technology/2013/05/mount-everest-too-crowded/65712/clearly unused to even basic mountaineering equipment.

    These folks may think its easy, but the truth is it still takes years of training and months of planning to get to the top of Mount Everest, and there are no shortcuts.

    The same is true for customer experience. For many companies

    Possible resource: http://business.time.com/2012/01/23/the-economics-of-everest/Image source: http://www.flickr.com/photos/detlef-rook/4338479840/

    customer experience has become their big, hairy, Everest-like goal.

    In fact, in a recent survey of customer experience professionals we found that executives dont just want to get good at customer experience.

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpg47% want to use it to (CLICK) differentiate the company from leaders in their industry.

    Another 13% have even more aggressive goals. They want to use customer experience to (CLICK) differentiate the company from leaders in ANY industry.

    But like those climbers who show up unprepared, thesefirms are not doing what it takes to accomplish their aggressive goals.

    In the same survey we asked people to tell us a little bit about their customer experience programs.

    And we found that47% dont measure customer experience quality consistently across the organization. So they dont even know how far they have left to go.

    And

    Source: Forrester is regularly collecting data on the current state of CEM from our Customer Experience Peer Research Panel. This study was fielded in Q4 201279% dont train employees on how to deliver the target customer experience.

    And when you dont have the right training, you end up with results.

    like this. This is the distribution of scores on our Customer Experience Index this year. And you can see that most companies deliver experiences that are Okay, Poor, or Very Poor.

    And I think its pretty safe to say that if your customer experience is ok, poor, or very poor it is NOT differentiating. At least not in the way you want it to be.

    All of this weak performance is really just a symptom of a bigger problemLOW CUSTOMER EXPERIENCE MATURITY.

    At Forrester we defineCustomer experience maturity as.

    So if youre in an organization that suffers from low customer experience maturity it means thatkey practices are either missing they dont happen at all -- or performed in an ad hoc way, where you do them differently across different part of the organization.

    Contrast that with companies that have high customer experience maturity. They perform those practices systematically. People do them all the time, the same way every time.

    So if youre in one of those companies that has lofty goals but low customer experience maturity, I hope you brought your climbing gear. Because THIS is the slope you need to get up. You need toget on the path to high customer experience maturity.

    Now if youre like a lot of people we talk to youre struggling a bit with how to get in that path. Because

    Image source: http://www.flickr.com/photos/mckaysavage/6441642787/there seem to be so many different paths that you could take, you arent sure which one to follow. In fact there are six distinct customer experience disciplines to master, and they encompass 40 different practices. How do you know where to begin or what to do next?

    Well, Forrester is a research company so we set out to try to find the answer. And we found something that we werent expecting. It turns out that there arent actually multiple paths to customer experience maturity at least not multiple paths that work. All of the companies that have made their way up this trek have followed the same path. (CLICK)

    Image source: http://www.flickr.com/photos/nasamarshall/5370808050/And its a path that has four phases: Repair, Elevate, Optimize, and Differentiate.

    So what were going to do this morning is to walk through these four phases so youll have a better chance of determining where you are today and what you need to do next. And were going to start with this first phase

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpgRepair.

    Here your goal is pretty simple

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpg

    Stop the avalanche of bad customer experiences.

    To do that you perform a set of key activities

    Image source: http://www.sassglobaltravel.com/lost-life-on-loveland-pass/that help you(READ)

    If that sounds familiar, its because thats what you do in a classicclosed loop process. Companies have used that kind of process for years to improve all different areas of their business. And all theyre doing now is applying the same process to customer experience.

    Without a doubt, the repair phase has the most examples and case studies of any phase in this journey. Im going to tell you one now that you may have heard of before but bear with me, this time it will be a little different.

    Its a story about Sprint. Starting at the end of 2007 they found themselves in need of some serious repair. The wireless industry isnt known for great customer experience to begin with and at the time Sprint ranked

    Image source: http://www.syracuse.com/news/index.ssf/2011/10/sprint_no_more_clearwire_devic.html

    last out of all of the wireless carriers in many different studies including both JD Power and our Customer Experience Index, which you see here..

    These bad experiences were causing the company to spend millions of dollars handlingcalls to customer service, and doling out credits to compensate unhappy customers. As I, Sorry for the inconvenience, heres $50 worth of free wireless minutes. And that adds up when you multiply it by literally millions of unhappy customers.

    To fix customer experience and eliminate that unnecessary cost, the team at Sprint decided to treat every call to the call center as a defect to their customer experience. Which makes sense. If your phone is working the way it should theres not much reason to call.

    And they started doing root cause analysis to figure out what they were doing wrong, why people had to pick up the phone to call them. They figured it out, they started implementing fixes, and they measured the results. Ultimately they estimated that as a result of these fixes they save (CLICK) $1.7 billion per year.

    And those are some pretty impressive results from simply having call center agents write down why people called to complain, and then using those customer insights as a way of finding systemic problems with the business.

    But that doesnt tell the whole story. Because sure, Sprint managed to greatly improve their customer experience. But that only took themfrom Very Poor to OK, as measured by our Customer Experience Index. A good start, but a far cry from where the company hopes to be.

    Their goal is to differentiate on the basis of customer experience. But if weoverlay scores of their two biggest competitors AT&T and Verizon - on this graph

    youll see that all three are in a dead heat they got the exact same score, a 66.

    So the Repair phase, while its critically important, is the equivalent ofmaking it to Base Camp.

    Not easy, but theres still a lot of climbing to do to reach the top. Now lets move on and talk about the

    Image source: http://images.summitpost.org/original/572324.JPG

    Elevate phase.

    In the elevate phase you begin to perform key activities that

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpg

    Make good CX behavior the norm.

    And to do that you need to start changing the way that you do business, at a fundamental level. And thats why so many companies get to this point and then grind to a halt. If you dont want to grind to a halt, you need to

    Image source: http://www.sassglobaltravel.com/lost-life-on-loveland-pass/(READ>

    And back in 2011, this is just what investment firm

    Image source: http://www.cxpa.org/resource/resmgr/2013mie/blue_cross_blue_shield_of_mi.pdfEdward Jones started doing.

    Like a lot of companies they had a Voice of the Customer program to gather customer insights. And what they realized is that they could use this information to go beyond just learning how NOT to be bad, as companies do in the repair phase.

    So they used their VoC data to conduct what we call a

    Image source: https://www.edwardjones.com/groups/ejw_content/@ejw/@us/@graphics/documents/web_content/web_028645.jpgbright spot analysis.

    Most of their client interactions happen face to face with a financial advisor so they looked to see which advisors were earning the highest scores from clients and brought them in to see what they did differently.

    To make those best practices more systematic across the organization they integrated what they learned into

    Image source: http://www.flickr.com/photos/ggladman/455756326/the standard curriculum for financial advisor training.

    Part of that training was a grounding in what the company callsThe Ideal Edward Jones Experience. So yes, they have an explicit vision of the experience they want to deliver their CX strategy.

    Then they created specific metrics for every job function in the company that measures employees on the part that they play in delivering the ideal customer experience.

    Image source: https://www.edwardjones.com/groups/ejw_content/@ejw/@us/@graphics/documents/web_content/web228340.jpg

    Now of course the people on the front lines have some of those metrics. Because they need to know what to do when they are face to face with clients.

    But even people behind the scenes back atCorporate headquarters have those same kinds of metrics. And when people do really well on those metrics, they get rewarded.

    The company now has a

    Image source: Edward Jones web site (media kit image)national conference that recognizes people who earn the highest CLIENT scores.

    And to come full circle, they not only reward these folks, they ask whats working and feed new lessons into their bright spot analysis and their ongoing training. They have a SYSTEMATIC process for making good behavior the norm.

    And clearly, this approach is working. If we look at the companys scores on our CXI from2011 when they started this program to 2013, they have in fact elevated from 67 which falls in our ok category, to 75, which is the first rung of Good.

    Most companies would be pretty happy with that. But personaly, I wouldnt want to stop there. And I suspect the folks at Edward Jones dont either. They want to keep going. And to do that, you need to

    optimize.

    At this phase, companies are now ready to adopt practices that give them

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpg

    a more sophisticated Customer experience toolkit to help employees pick the best ways to move the needle further.

    This is where you need to

    Image source: http://adventure.nationalgeographic.com/adventure/everest/gear-edmund-hillary-hilaree-oneill/#/sir-edmund-hillary-wireless-radio_49925_600x450.jpg(READ)

    And one of the companies weve watched doing this for a number of years isCourtyard by Marriott.

    In 2008, the company had pretty good customer experience scores, but was facing increased competition from a host of new competitors like

    Image source: http://www.crosslandconstruction.com/projects/courtyard-by-marriot-hotel/Aloft, and

    Image source: http://artandentertainme.blogspot.com/2012/09/aloft-sfo-opens-in-style-at-steal.htmlHyatt Place.

    Leaders at Courtyard knew they needed to do something to step up the experience they were delivering to business travelers

    So they said What can we do to optimize our experience so we stay ahead of the game? Then they went out and started observing guests in their hotels, and talking to them, to develop a deeper level of insight into what those guests wanted. And they combined those qualitative insights with quantitative data from research studies.

    And that allowed them to zero in on five particular principles of customer experience that they knew would be most important. And those principles includedthe need to let personality (CONTINUE READING)

    These things make a tremendous amount of sense. But there are a lot of companies that have principles like this, and if you do business with them youd never know it. And thats often because companies struggle to take these concepts, and design specific experiences that make them real for people.

    But Courtyard by Marriott didnt fall into that trap. They hired the experience design agency IDEO and together they designed things like this

    Image source: http://www.flickr.com/photos/kathika/3350380456/Go board. Its a 52 inch touch screen thats now in the lobby of a lot of Courtyards. It helps guests learn more about the city they are in, get local weather, traffic, and even flight information -- just like youd find at an airport. It will even help you find local area attractions, and local restaurants complete with restaurant reviews.

    Of course, Courtyard would love to have you stay and dine with them. So they totally redesigned the dining experience, as well. They recognized that a lot of people when theyre traveling dont want to go have a formal sit down dinner. So instead of a formal restaurant they created a

    Image source: Marriott Web Sitea much more casual dining experience that gives them a whole host of options including some things that are healthy, and some things that are not so healthy but very tasty!

    And they made sure that the space in the lobby around the dining area was

    Image source: http://www.floridaattractions.org/en/rel/1679

    comfortable. It includes things like these booths. If you want to work like this guy was doing with his laptop in front of him, you can do that. If you decide you want to take a break and you want to watch TV for a while you have your own TV right there. And youre not stuck watching what the hotel puts up on the big TV in the lobby because you have your own remote control right there.

    So Courtyards goal of making these lobby spaces comfortable is clearly working. We pulled this picture down from Flickr and here is what the caption said: Matt is chiilin

    But Courtyard knew that it was more than the physical space they had to focus on. Because so much of the experience in the hotel is about interaction with people who work in the hotel. So they took a systematic approach to designing training.

    Image source: http://www.flickr.com/photos/netgeek/3007407231/

    When a new hotel is getting ready to roll out this new experience they actually start out 6 months before the renovation. The hotels general manager gets a walkthrough of the entire renovation process so they can start to prepare themselves and their team. That same GM then goes through an immersion experience, actually staying in one of the renovated hotels so he or she can see and feel what its like, and talk to staff who have some experience delivering this new concept.

    During construction the training continues with a series of 6 webinars, and then 11 days before the property is set to re-open after the renovation 2 or 3 trainers come on site and walk associates through the nuts and bolts of how all of this works.

    They follow up 3 months after the re-opening with a two to three day post visit to make sure things are going well, and fine tune anything that associates may have questions on.

    And this training around the renovation isnt the only training that the hotelsAssociates receive. There is another systematic training program in place that includes what the company calls service essentials and service experience. All new associates and current associates are required to go through it for yearly recertification to either reinforce what they already know or update it if the company finds that guests needs or expectations are changing.

    Once again, we have proof that this is paying off. We looked at our Customer Experience Index data starting back in

    Image source: http://hpcourtyard.wordpress.com/tag/employee-spotlight/

    in 2010 when they started rolling this program out. At the beginning their score actually started out in the Good category it was a 75. Heres whats happened since then.Their score is now in the Excellent category 88, which many companies are never going to see. In fact, theyre the highest scoring brand of any hotel in our Customer Experience Index. Now heres some trivia: There are only two hotel brands that made it into the Excellent category this year, and the other one was Courtyards sister brand, Marriott hotels and resorts. And thats not a coincidence. Its a result of their systematic approach to customer experience.

    Now for a health insurance company, getting to this level where you deliver an excellent customer experience consistently -- would be spectacularly differentiating because the bar is not set very high in your industry right now. But thats not going to be the case forever: You can bet that many of your competitors are also thinking about customer experience right now. In fact, I know they are because we work with many if not most of them.

    So to start you thinking about the future, lets look at our fourth phaseDifferentiate. Thats when companies start performing activities that

    Image source: https://en.wikipedia.org/wiki/File:Everest_North_Face_toward_Base_Camp_Tibet_Luca_Galuzzi_2006.jpgcatapult you to the top. Organizations that succeed at differentiating through CX do so because they are willing and able to think differently. Theyre not just trying to perfect the same old thing. Because thats what differentiation is about doing things differently from your competitors. How do they do that? they

    Image source: http://www.flickr.com/photos/radson/4655817722/sizes/o/in/photostream/re-frame customer problems to suggest better solutions.And they reveal unmet customer needs through customer insights needs that no one else in the market has thought of yet. And theyre willing to rethink the entire customer experience ecosystem because they realize if you want to do something thats really different, you have to practice your business differently. Business as usual is not going to be enough.

    Its this kind of thinking that powers companies likeUSAA. USAA is not like most other financial services firms in that they dont go to market on the basis of products. Its not about

    Image source: http://afrotcfieldtraining.blogspot.com/2012/08/usaa-pizza-party.htmlCar loans, or mortgages, or insurance.Instead, they think about their business the way that customers do, in terms of goals or journeys likebuying a new car or

    Image source: http://www.flickr.com/photos/annstheclaf/2188335168/a new house. And they understand that that is a process that is about more than just money. And its helped them create offerings like

    Image source: http://www.flickr.com/photos/davidpb145/231821377/home circle, which helps you find a real estate agent, and connects you to people who are in the same part of the process to get ideas and advice and recommendations. And sure they help you get a mortgage and they help you get home owners insurance but they dont leave after the closing papers are signed. They help youthrough the next phase of the journey MovingAnd renovating

    Because they understand that this isnt about buying a house, its about making a home. And all of these activities are part of that single end-to-end customer journey.

    Understanding that about a customers experience and then doing business accordingly is what helps make USAA the leader in three industries in our customer experience Index.78 Sun Trust75 AmEx74 State Farm

    Theyve got to continue to innovate, just like you will, and youll learn more about how to do that from Kerry tomorrow.

    *is where youd start. This arch marks the entrance to the trek to the base camp.

    Unfortunately, the entrance to the path to customer experience maturity is not so clearly marked.

    So here are Forresters recommendations on how to get started.

    Image source: http://blog.thecheaproute.com/img/start-everest-trek-640x426.jpg*which practices you need to become systematic at before moving onto the next phase. If youre like the vast majority of companies that have started on this journey, you are probably in the Repair phase. In other words, you havent gotten systematic at all the practices in the phase so you can move on with a solid foundation. And thats okay for a while, you will see a lot of benefit there.

    But wherever you find yourself, before you start moving on we recommend that you*I need my customers more than they need me. And I want you to look at it every day, because it is so easy to forget. Next*