elevating customer experience excellence in the next normal
After all, the key to â¦ 0000039231 00000 n 0000004574 00000 n It’s highly likely that consumers will prefer to use many of these digital offerings after the crisis. Collectively, these measures have contributed to strong outcomes: Kroger announced that same-store sales increased 30 percent in March 2020, and its stock price has climbed by the same percentage since October 2019. 0000001118 00000 n Customers will continue to recalibrate their expectations for safety during the pandemic, so companies must respond accordingly. 0000001856 00000 n Digital channels will help companies both meet changing customer needs and expectations and prepare for future industry disruption. The situation continues to change by the week and can vary dramatically by region. 0000013028 00000 n With a consistent commitment to enhancing their core customer experience, it recently sold to Unilever for $1 billion. ... Elevating â¦ Blake Morgan is a customer experience futurist. Such concerns have led customers to rapidly change how they want to engage with the world, with safe and contactless operations a top priority. August 18, 2020 ... Elevating the Customer Experience: A Case Study. ... now the foundation for Agile Design or when High levels of human service delivery are looked at as a retro approach to customer experience strategy. Success in digital channels also has the potential to reduce the costs for in-person sales and increase reach: the greater shareability of virtual experience enables satisfied customers to become advocates. startxref Elevating Customer Experience Excellence in the Next Normal July 22, 2020 Randy Gosda Companies that make the right investments now could build an enduring advantage in serving â¦ The wave of products and apps to meet coronavirus-specific demand may soon oversaturate the market, and we are likely to see standout offerings rise to the top while others fail to capture significant traffic. 0000008377 00000 n One airline, for example, developed a data-driven system using machine learning to predict and act on customer satisfaction and revenue performance. 0000030099 00000 n The environment and customer preferences will continue to evolve, so companies should be prepared to adapt, iterate, and operationalize changes across the organization. The increase of digital also means that companies will have more dynamic data at their fingertips. We'll email you when new articles are published on this topic. Companies that review the digital portfolio, map out core interactions on the value chain, and focus on key customer-experience issues will be well positioned to please customers regardless of how expectations and preferences evolve. 0000029615 00000 n As the crisis peaked across Western economies, more than one-third of Europeans and Americans said their income has been negatively affected by COVID-19. 174 0 obj <> endobj Friday, May 22, 2020 Elevating customer experience excellence in the next normal Companies that make the right investments now could build an enduring advantage in serving customers. Companies that accelerate their digital offerings can see increased engagement now—digitization forces simplification, which customers love—and be prepared for lower-cost operations in the years ahead. Consumers who get accustomed to this new contactless world may not be inclined to return to high-touch commerce and crowded stores—even when health officials deem it safe. As companies prepare for the long haul—what we refer to as the “next normal”—the path forward is anything but clear. <]/Prev 278334/XRefStm 1519>> Urgent-care clinics have established drive-through service to allow passengers to get fast, safe COVID-19 testing without physically entering a health facility. 0000001519 00000 n In the next normal, winning companies will capitalize on opportunities to adapt to evolving customer behaviors, deliver short-term business success, and strengthen their long-term strategic positions. Blake Morgan is a customer experience futurist. ... and it started by taking a look at the customer experience. Orange redesigned the product for simplicity and a customer experience that could be intuitive and satisfactory while remote. They should focus on creating a virtual, digital experience that is on par with—or even better than—the in-person experience. 0000025529 00000 n She is the author of the new book "The Customer Of The Future: 10 Guiding â¦ Among the most vexing challenges is determining which customer behaviors and trends are here to stay and which ones will eventually recede. Customer experience is a top priority to businesses for the next 5 years and the reason is simple; the companies that focus on customer experience reduce churn and increase revenues - leading to higher profits! Something went wrong. Please use UP and DOWN arrow keys to review autocomplete results. Some companies have expanded their digital capabilities by evolving their portfolio through M&A or by divesting lower-potential holdings. Led by HBS thought leaders who are experts in customer experience management, this program delves into the fundamentals of leading and managing service-oriented businesses. endstream endobj 212 0 obj <>/Filter/FlateDecode/Index[40 134]/Length 27/Size 174/Type/XRef/W[1 1 1]>>stream Now is the time to make investments in the data, technology, and systems required to deliver exceptional experiences in a rapidly changing environment. 1 Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more. At the same time, demand for data and bandwidth have spiked; in fact, a recent review of web analytics reveals a fourfold increase in Google searches for “data plan upgrade.”. by Jay Bolling September 12, 2014. by David Zaritsky September 12, 2014. As a result, businesses have begun to realize that personalized interactions are now all but required â consider that 89% of marketers expect the customer experience to be their primary differentiator.. Grocery stores have designated certain hours for elderly shoppers. Speed and response times are important, but not if they result in poor execution. tab, Engineering, Construction & Building Materials, Travel, Logistics & Transport Infrastructure, McKinsey Institute for Black Economic Mobility. These efforts require executives to reimagine and reform customer experience through thoughtful, targeted investment, starting with three priorities. Looking at the broader picture, CRM can transform your company in the new normal, and help you build a popular and authoritative brand in a competitive online market. In any case, great brands take a test and learn â¦ 0000006792 00000 n 1. 0000001697 00000 n Spending across most industries is down, purchases have shifted from in-person to digital channels, and public safety has become a top priority for companies and consumers alike. 0000025970 00000 n On the employee side, Kroger instituted a “hero bonus” raise for frontline employees working during the pandemic. Most transformations fail. 0000007114 00000 n This is "VRSCE2020 Day2: Technical Session 2 - Elevating Customer Experience Excellence in the Next Normal" by ExpoSim on Vimeo, the home for high qualityâ¦ The key to Customer Experience excellence - effective listening ... experience elevation will require the removal of a pain point or elimination of friction. 0000004481 00000 n 0000006170 00000 n In April 2020, Flex sales grew by more than 80 percent. McKinsey on Elevating Customer Experience in the Next Normal June 4, 2020 As companies across the globe adaptâand even reinvent themselvesâduring the coronavirus crisis, â¦ While financial flexibility may be increasingly limited, many customers now face a surplus of time. This article was written collaboratively by the global leaders of the McKinsey Customer Experience Practice, a group that spans different regions and includes: Constance Emmanuelli, Nimish Jain, Nicolas Maechler, David Malfara, Stefan Moritz, Kevin Neher, Adrian Nelson, and Anna Thomas. These early movers offer a valuable point of reference for how to proceed. For customers shopping in-store, the company offers Kroger Pay, a contactless payment tool rolled out before the pandemic. Learn about Blake is the author of two books on customer experience. Pico is a global leader in total brand activation specialising in engaging people, creating experiences and activating brands. The benefits of good customer service take many forms but the best is its impact on your bottom line. Elevating customer experience excellence in the next normal by McKinsey Customer Experience Practice Accountability â¢ Execution â¢ Generations â¢ High Performance Teams â¢ Leadership. China, which is several weeks ahead of other countries in the COVID-19 crisis, has yet to see consumer spending return to normal. If they canât, they end up churning through current customers and burning funds finding new ones. The numbers tell the story. Unleash their potential. 0000014466 00000 n Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more. By doubling down on ease of access and use across digital and physical channels, companies can improve both customer safety and satisfaction. Customers are significantly scaling back their spending across nearly all categories, anticipating tougher times ahead. Please try again later. For many, customer service and customer experience â¦ Its state-of-the-art digital showroom and virtual user guide offer customers an immersive online experience, and the contactless car delivery is tailor-made for the current environment. Companies across industries have redesigned their processes to increase safety and demonstrate their commitment to both customers and employees. hÞbbRf`b``Å3Îî 0 EMT 0000013797 00000 n McKinsey COVID-19 US Consumer Pulse Survey, April 2020. Overall spending is expected to decrease by 50 percent across all consumer categories, but certain shelter-in-place necessities will rise: groceries (up 14 percent), entertainment (up 13 percent), and household supplies (up 3 percent). These companies also emphasize digital opportunities that strengthen the core business and lay the groundwork for a larger digital transformation. Select topics and stay current with our latest insights, Elevating customer experience excellence in the next normal. Revolutionise your CX delivery with these actionable insights. For example, China’s market anticipates that online penetration will see a permanent bump of three to six percentage points due to embedded COVID-19 behaviors. Flip the odds. From December 2019 to March 2020, Tesla saw its sales in China double while other carmakers experienced a 50 percent drop over the same period. Overcoming pandemic fatigue: How to reenergize organizations for the long run, What’s next for remote work: An analysis of 2,000 tasks, 800 jobs, and nine countries. 0000022946 00000 n We strive to provide individuals with disabilities equal access to our website. cookies, McKinsey_Website_Accessibility@mckinsey.com, Visit our Customer Experience Solutions page to measure impact of and to improve customer journeys. Companies that have already laid the groundwork prior to the crisis will have an advantage, but all organizations can make meaningful progress with careful decision making. As companies seek to ensure that their products and services are firmly positioned in the right-hand quadrants, they will have to balance competing factors. Investments in these types of comprehensive, predictive, data-driven systems could allow organizations to gather insight and respond more quickly to customer needs during times of crisis. These movements are accompanied by diminished foot traffic in retail outlets and an increased reliance on convenience-focused digital channels. Beyond contactless operations: Human-centered customer experience May 19, 2020 â As we look forward to the next normal, consumers are already demonstrating a preference for companies that deliver great service while reducing risks all along the customer â¦ 0000004367 00000 n The foundation of b2b customer experience excellence is a commitment to putting the customer at the core of what the company does, how it does it, and ultimately why it does it. We believe three priorities will define customer experience in the post-pandemic era: digital excellence, safe and contactless engagement, and dynamic customer insights. Students as Customers: The New Normal in Higher Education Bea González | Vice President for Community Engagement, Syracuse University Delivering an exceptional customer experience is no â¦ 0000004218 00000 n In fact, one-half reported reducing their spending in the past two weeks, and 40 percent of Americans and 44 percent of Europeans expect to continue spending less in the next two weeks. Blake is the author of two books on customer experience. Nearly all organizations, whether traditional companies or start-ups, are reorienting their business models to be more digital. The customer experience landscape is evolving with each passing week, so companies can’t “set it and forget it” and still expect to stand out. The pandemic’s massive health implications and associated public-health policies have normalized physical distancing and the need for constant sanitation. Three â¦ Our flagship business publication has been defining and informing the senior-management agenda since 1964. Blake is the author of two books on customer experience. 0000000016 00000 n xref To expand their virtual presence, companies will need to assess their capabilities and then determine how best to augment them. Press enter to select and open the results on a new page. hÞb```b``]ÏÀÆÀ pAX¢,§¶HP¾ »')(Ã8aÊËô=ÈÑ]aÎ³Ë§-xBE¨ÛÀØ«qyâ´UK@l"N¬7ÛÒ¢Ôu\aÛÌi*S fItH&¥ôKIÊbRR6q3B 9ÖT§ I}@ZõÀFª}sÞAfë&C e£ C,l #Ã$Á¬uRÌx63:`8»©Ù¦ÑÎAý£=ÃIÖÆý¬!et.^!A¬=ñ By acting based on predicted customer sentiment and outcomes, the airline was able to more effectively focus its effort on customers that were most at risk of defecting and achieved an 800 percent rise in customer satisfaction and a nearly 60 percent decrease in intent to churn. McKinsey research found discretionary spending has fallen 30 to 60 percent, and retail transactions have dropped by 20 to 50 percent. Reinvent your business. Executives who had carefully crafted omnichannel strategies to create unique, compelling customer experiences have had to throw out their playbooks and improvise to keep pace. ... Amazon took this to the next level in 2018 with their Amazon Go grocery stores. McKinsey COVID-19 US Consumer Pulse Survey, April 2020. Three priorities will be key. Many companies are competing solely on their ability to find customers and keep them satisfied. Indeed, McKinsey research shows that most of customers’ main concerns about COVID-19 are related to health and safety, so companies must keep these issues front of mind as they plan their transitions to the next normal. The most successful companies to date have been adept at understanding which behaviors and experiences are picking up steam and making targeted investments to address them. Facebook. This often means being more proactive and responding in real time, requiring companies to harness data and analytics tools that can extract immediate customer-experience insights and overcome the short-sighted and reactive nature of surveys. Practical resources to help leaders navigate to the next normal: guides, tools, checklists, interviews and more, Learn what it means for you, and meet the people who create it, Inspire, empower, and sustain action that leads to the economic development of Black communities across the globe. Use minimal essential On investment: mckinsey insights - get our latest thinking on your iPhone iPad... How best to augment them Ocado to launch robotic grocery warehouses, initially rolled a... Of quality engagement presence, for example, developed a data-driven system using machine learning to predict and act customer! To accommodate the massive shift to digital channels their digital capabilities by evolving their portfolio M! 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