Securing buy-in. Demonstrate the value of your Customer Experience
Improving your customer service can only be a good thing. But innovation requires funding. Before you set wheels in motion, you need buy in from your CFO. Here’s how to show the business benefits of a better customer experience.
By Amanda Salter
The problem for many retail leaders is convincing their CFO that a CX programme will give them a good return on investment. Because while it makes total sense that focusing on customers will benefit your business, it’s not always clear how this actually happens.
So we’ve come up with a way to argue the case. We call it the CX Value Chain.
The CX value chain diagram shows the factors that lead to success in consumer retail organisations – and how they interact with one another. For example, an increase in employee engagement, empowerment, satisfaction and retention leads to greater customer loyalty, retention and spend. This in turn leads to higher differentiation, reduced costs and bigger profits for your business.
A CX programme works to increase all these factors, so employees, customers and your business are better off.
The key outcomes of an effective CX programme are:
- Customers are happier, buy more, stay loyal and become advocates
- Employees are happier and more empowered to serve the customer
- Employees stay longer and invest more personally into the business
- Business profits from better customer feedback, fewer complaints, higher, advocacy, higher loyalty, happier customers, better trade press reports and improved standing against competition on service
These are great incentives and hopefully enough to convince your CFO of the value of your CX programme. But you can also point sceptics at the work Forrester is doing to prove the return on investment of good customer experience.
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