The Formula for High Performing CX Teams with Matt Freedman

The Formula for High Performing CX Teams with Matt Freedman TW

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In this episode of the Customer Service Secrets Podcast, Gabe Larsen is joined by Matt Freedman from Kustomer to evaluate the formula for high performing CX teams. Learn how Matt has successfully built brand loyalty in a new economy by listening to the podcast below.

The Me-Economy

Enterprise Account Executive Manager at Kustomer, Matt Freedman, knows how to build a company from the ground up and understands what it takes to produce successful customer experiences all while building brand loyalty. To explain the new economy, or as Matt puts it, the me-economy, he says:

It really just encompasses this on demand generation that you and I are both a part of. It’s Millennials, it’s Gen Z that grew up with Zappos, Netflix, Airbnb, Uber, everything is on demand right now at your fingertips. It never shuts off and the conversations are endless. They don’t stop and what I realized is that the me-economy really has an incredibly high set of demands that they’re putting on brands.

He finds that 57% of the me-economy says they are loyal to specific brands solely due to their experience with proactive and efficient customer service. Challenging the older CX values and tactics, this new generation cares more deeply about good experiences over poor experiences, and is more likely to give positive feedback on great CX.

5 Ways to Create a Customer Obsessed Brand

Matt and Gabe discuss the five ways to create a customer obsessed CX team: personalization, an effortless experience, adoption of self-service, being on the channel of choice (COC), and being in real time, 24/7. A customer obsessed brand starts with personalization. Actions such as knowing the customer by name, showing empathy towards their questions, and using customer data to tailor each experience results in better customer care. Customers are happier when their experience requires little to no effort on their part; they expect the care agent to adapt to their needs. Low effort experience can also be accomplished through self-service and filtering customer issues through the proper channels. Additionally, Matt notes that personalization is no longer just a suggested strategy. “It is absolutely required. 72% of me-economy consumers expect you to know who they are and what their issue is regardless of what the channel is when they’re coming to talk to you”. To further expand on this point, Matt discusses how CX representatives should be available in real time to their customers, meaning that they are readily available and empathetic to their needs.

Difference Between High and Low Performing CX

Matt explains that there are two strategies to keep CX teams competing in the me-economy at a high performance level. The first being tech and the second being strategy. Not only is it important for brands to have the technology aspects of CX up and running, it is imperative that brands develop strategies on how to implement such technology into building customer relationships. He notes,”Stick with what has worked, but as you’re moving and maturing and evolving your CX organization, these are the things that you should be thinking about that others in your industry will be thinking about.”

Matt expresses that a self-service supportive CX team will help the customers quickly find a solution to their question by funneling issues through self-service, bots, and agents. If a customer has a question, they can turn to the brand website and look for information on the help page. If their question is not answered there, they can live chat with a bot who can solve low effort issues, further funneling more complex customer questions to agents. Matt explains that the main goal of CX is to treat the customer as a human, as family, as someone known personally by the company. He says, “People want to be treated as a human, not as a ticket number, not as a case number. And that’s that huge barrier between high performers and low performers.”

Matt urges brands to take advantage of the current me-economy and to adapt their CX teams to better suit the new customer.

To learn more about the formula for high performing CX Teams, check out the Customer Service Secrets podcast episode below, and be sure to subscribe for new episodes each Thursday.

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Full Episode Transcript:

The Formula for High Performing CX Teams with Matt Freedman

Intro Voice: (00:04)
You’re listening to the Customer Service Secrets podcast by Kustomer.

Gabe Larsen: (00:09)
Hi, welcome everybody. Today, we’re going to be talking about the formula for high performing CX teams. I think this is going to be a fun one. To do that, we brought on Matt Freedman. Matt’s an expert in customer experience and really a focus on building brands so Matt, you and I have been going back and forth. I’m excited to jump in, but thanks for joining. How are you?

Matt Freedman: (00:31)
Doing great, Gabe. Thanks for having me.

Gabe Larsen: (00:33)
Tell us just real quick, maybe just a little bit about yourself and kind of the passion that you have around content, brand building, and customer experience.

Matt Freedman: (00:42)
Yeah, I appreciate it. So back in about 2012, I founded a direct to consumer brand that was selling golf shoes online over Shopify and built an e-commerce company. So, just fell in love with that process; then just being super customer obsessed and trying to build human relationships with everyone that was buying shoes from us. We were a small scrappy startup and really caught the bug at that point. So I’ve been sort of at the intersection of technology, e-commerce, and customer data ever since throughout my career and landed here at Kustomer for all of those reasons. So really excited to be here.

Gabe Larsen: (01:21)
I love it. Alright, man. Well let’s dive in. You got some slides. I’m going to ask some questions as we go through, but let’s start talking big picture of the formula for high performing CX teams.

Matt Freedman: (01:34)
Yeah, for sure. So in a lot of ways this is just really some learnings and some things that I’ve found correlations between really high performing CX teams, companies, and just this general customer obsession. And it seems like there’s some tethered synergies or strategies around these brands that seem to outperform or outpace the rest of their industries. So I’ve spent a number of years really compiling all of this data, putting it together and something that I was trying to just get a modern take on. Obviously in this current Corona economy, everything’s a little bit different, but some of these general themes resonate and have stayed the same regardless. So I just wanted to put something out there that might be helpful for others trying to become customer obsessed or build that really high performance CX team. So a couple of things that we found, there are distinct and clear strategies or almost philosophies that brands are adopting that outpace or outperform their industry. It’s not necessarily always right in front of you, or what they serve, or the channel that they’re on, or the type of service. We’ve obviously all read The Effortless Experience and learned that going above and beyond, surprise and delight is not always a great future indicator of loyalty. So I started to really take that to heart and try to understand, okay, well if people really just want what’s expected of your brand, why are some companies so far ahead and have such higher C-SAT, NPS, loyalty scores than others? And I dove a ton into the data across a bunch of different industries and really kind of surfaced something really interesting that I never thought about before. And it really had nothing to do with the function or the tactic. There’s a lot of tools out there. Obviously Kustomer is the world’s leader right now in conversational CRM and the things we’re doing. But the brands that seem to be really outpacing the rest of their industries have understood and built their support organizations around this thought of what I’m calling the me-economy and what the me-economy is, is 22 –

Gabe Larsen: (03:53)
You better be defining this here. You better define what the me-economy is, but I like the term. I like it.

Matt Freedman: (03:59)
Thanks. It’s something I’ve been jamming on here for a little while, but it really just encompasses this on demand generation that you and I are both a part of. It’s Millennials, it’s Gen Z that grew up with Zappos, Netflix, Airbnb, Uber, everything is on demand right now at your fingertips. It never shuts off and the conversations are endless. They don’t stop and what I realized is that the me-economy really has an incredibly high set of demands that they’re putting on brands. And what we’re seeing is the brands that are optimizing their entire CX organization from tech stack to philosophy, to agent training and coaching are really the ones that are outpacing and really outperforming the rest of their industry. So I’ll just take a pause there and any thoughts or what you think on just kind of the general gist of this me-economy and what we’re seeing?

Gabe Larsen: (04:59)
I mean it resonates, I think, right? I mean, right now you feel like there is, if you look at the makeup. Yes, I love that 50%, right? That’s the problem that we’re running into now is that with the change of guard, which basically means a change of genetic makeup, Millennials, that group is taking over. They’re taking over leadership positions, they’re taking over companies, they’re taking over a lot of the population. They are a lot of the buying power now and as that group starts to take over, this has been talked about a little bit, but when it comes to our world of customer success, I feel like it’s been talking about more than the buying side. I don’t know if we’ve talked about it enough in the customer experience side. And so I think it’s super relevant knowing that the numbers are encroaching. It’s like, whether you like it or not, it’s now coming. The question is, how do you deal with it? But I love the framing of the me-economy because the numbers are proving that this is a different population than it was obviously just a few years ago.

Matt Freedman: (05:56)
You’re a hundred percent right. These are no longer fringe cases. We now make up the biggest consumer group of, with buying power with the actual populace. And just when you’re thinking of this and trying to internalize it, it’s really the on demand generation really comes to mind. So as you’re setting expectations, now, obviously going through this new world virus economy that we’re living in, it’s a great time to kind of pause and reset and just rethink, “Man, am I really set up and optimized for not only these fringe cases anymore, but this gigantic new wave of demand, expectation that this on demand economy has?” So I think it’s a perfect setup, just a little bit of the performance playbook that we found across all of these brands that are outpacing everybody. There’s really five basic things that we saw that were key themes in terms of the demand. And it comes back to a number of these stats, but personalization is no longer just a suggested strategy. It is absolutely required. 72% of me-economy consumers expect you to know who they are and what their issue is regardless of what the channel is when they’re coming to talk to you. You know, the second being low effort experiences. 96% of customers across the board throughout this generation who have high effort experiences will be disloyal to your brand. So if loyalty is important to you, low effort experiences have to be one of the key tenets of what you’re trying to drive. The other incredibly interesting thing that was really eye popping to me was the amount of adoption among the me-economy around self service. Obviously there’s a number of different tools, starting with chat and such, but self service is a requisite of being a high performance CX team when dealing with the me-economy and I think we’ll talk a little bit more about that and being on the channel of choice, we have a fun little acronym for this, but this is one of the biggest shifts and trends that we saw throughout the data. Currently, it sits about 32% of me-economy consumers require you to be on their desired channel. Now overseas, we’re seeing way more adoption in China, in Brazil of WhatsApp and social messaging apps as the preferred channel for CX to be handled on. From the data, the U.S. is almost a laggard in this group, and it’s interesting to see more adoption here, but that is a massive opportunity here in the States for you to outpace your industry and CX is to adopt social messaging channels now, and the 24/7, “be in real time,” always on, always listening for everybody everywhere. It’s incredibly difficult to just say that and to adopt it immediately. But you need to start thinking about these things, no longer fringe cases, now, requisites of what’s happening with industry leaders in CX today.

Gabe Larsen: (09:08)
Yeah. I like this summary, Matt. I think it’s great to see these on one sheet. Certainly we’ve heard personalization, right? That word has been in use over the last couple of years. “Be in real time,” 24/7, that’s a little different flavor there, probably a little newer with your point me-economy, the channels. We’ve started to see that expansion of channels, but the way you framed it there being on the channel of my choice, basically, is different than just being omnichannel. It’s like, “Be where I am, you punks.” Certainly we’ve seen a rise, I think in this self service. That is a real push for the trend, but I like how you’ve kind of framed. These are the five real playbook pieces that you’re going to need to be able to do to win in this kind of me-economy dominated society. Got it. I like it.

Matt Freedman: (09:58)
Yeah. The funny thing, Gabe, is you mentioned omnichannel and everybody, it’s such a buzzy term and everybody’s trying to solve for omnichannel. And to me, it’s a big puzzle that if you kick it up a level and think more strategically about what your customer wants, your customer isn’t asking you for omnichannel, your customer is asking for you to be on my channel. So if you’re able to take a look at these trends of where the me-economy is going, omnichannel may not include phones for some brands as this generation trends away from wanting to sit and get passed around with live agents. It’s almost a really good time to rethink what omnichannel actually means because some of those channels that may be dated, may not make the cut. So it’s interesting.

Gabe Larsen: (10:51)
I like it.

Matt Freedman: (10:52)
Awesome. So one of the things that really stood out to me in this me-economy and some of the stats that we got through are, 57% of the me-economy says that customer service is one of the main reasons they feel loyal to a brand. And what’s really interesting about this is that there is a tremendous amount of loyalty with the me-economy. They tend to really, they’re 78% loyal to brands that they feel that they’ve chosen as sort of their brand of choice for a particular category. There’s a ton to be gained by winning this market over. But the biggest driver, other than price that we found is that customer service is the biggest sticking point with this generation of folks.

Gabe Larsen: (11:39)
Ah, wow. I see that. I wonder if the audience would be surprised at that. That feels, if you are surprised, I love it. I have a handful of people watching that comment. That sometimes I think with this new age mentality that maybe customer service isn’t as important, right? That it maybe should play a lesser role, but that certainly is the majority of that group is more or less kind of saying, “Hey, that is still true. We still care a lot about this.” Which is maybe interesting in this light, Matt, that for a long time, we have relied a lot on loyalty around brand building. Then you have all people know this. So, you know I shop at Nike because I’m a Nike guy. I just always have been and there’s this loyalty to brands, but in this me-economy, these five pillars become more important. Like honestly, I don’t care where I can get it, direct to consumer style, right? I don’t care where I can get it as long as it’s effortless, right? As long as they can do this piece, right? So maybe that’s the big takeaway on this slide is that although brand is important and it always will be, this me-economy is starting to put some things over brand building like the five plays you talked about, right. Effortless experience, et cetera.

Matt Freedman: (12:56)
Sure. You just think about the way that we shop. Everyone goes to Amazon for everything just as a first touch point to see if you can get it there. You can’t compete with next day, same day or two day in most cases. So that experience and what you’re promising me, the brand promise of when you’re going to deliver it, can I guarantee that it’s going to be here on time? You look at the rise of the subscription economy now, especially more than ever, people not really wanting or being able to leave their homes. That on demand mentality is more important in some cases that the data shows than the brand or the product itself. It’s more, “When am I going to get it? Can I rely on you and is your price competitive?” That almost outweighs the brand or product itself.

Gabe Larsen: (13:43)
I like that. I like that takeaway. I think that’s a big, it’s something we got to just continue to just, that is real. We need to adapt. Not probably fight.

Matt Freedman: (13:54)
Sure, and what’s interesting too, I don’t across again, just this first pass at looking through some data, less than 30% of brands really feel that they’re equipped and ready from a technology perspective with things like those on demand chat channels, social messaging, having a really highly intelligent knowledge base, the self service factor. People don’t feel that they’re necessarily ready for this or haven’t fully adopted. And I know it’s a newer concept, but there’s just so much room right now while we’re all sitting in our homes, working from home, to just maybe rethink, “What does the next two to five years from my company look like? Are we really set up to solve and really engage with this new market?”

Gabe Larsen: (14:46)
I love it. All right. Keep going.

Matt Freedman: (14:48)
Here’s the one big takeaway of some of the value drivers. If you’re a CX manager or a leader, and you’re trying to sell up the chain to your e-team, or to try to get some funding for some of these tools and this new philosophy to inject some new life into your CX organization, here’s some of the things that you stand to gain. And a lot of these stats are just public domain that we know about high performing CX teams. This is tailored towards Millennials and Gen Z, but we touched on one, the loyalty factor is massive. 78% of me-economy consumers feel more loyal to brands. The one thing that really struck me that I thought was crazy that I almost didn’t believe when I saw it was up to a 98% C-SAT score appears just by plugging in some of these social messaging channels as a primary channel, which was absolutely stunning to me.

Gabe Larsen: (15:43)
Why do you think that is? Is that just because of, I mean those are the channels that we’re familiar with. We know them. So once I’m able to use them in a platform, it makes more sense. It’s easier for me.

Matt Freedman: (15:53)
Yeah, absolutely. To me, it’s the channel of choice.

Gabe Larsen: (15:56)
Say no more.

Matt Freedman: (15:57)
We as peers, that’s where we’re talking.

Gabe Larsen: (16:00)
Got it.

Matt Freedman: (16:01)
This generation tells more people when they get great care than they tell people when they don’t get great care. And that’s the first generation to do that. Typically you’ve seen in older generations up to 20 people will hear about a bad experience. The me-economy is kind of bucking that trend. So another interesting little nugget there. In the last to really come down to the balance sheet, here’s really, if you’re talking to your CFO and you’re trying to gain more momentum around your organization, these people spend up to 21% additionally for great customer service. And it’s proven around 70% of this me-economy says they already have spent more money to do business with brands that offer great customer support. So I’ll pause there really quick, Gabe. Any thoughts there? We’re going to start to dive into more of the model of how to sort of adopt or build a framework of how your CX organization can start to build the tenets of what this looks like to solve for this me-economy. But anyway –

Gabe Larsen: (17:05)
No, I think you’ve set it up well. I think you’ve set it up well. I think the big next question is, got it. That maybe is a problem I wasn’t seeing as much before. Some of these types of elements, the question is, “How do I start to move in this direction and maybe adopt some of these principles in a real way to tactically or tangibly change the way I deliver service?”

Matt Freedman: (17:24)
Yeah, sure. There’s a lot of different information out there. There’s a ton of opportunity of different ways outside of just this. Just kind of taking a baby step, crawl, walk, run approach. But if you’re speaking specifically and candidly to this me-economy market and the demands that they have to be competing with these high performing, outpacing industry leaders, these are kind of the two basic things you can do today to start thinking about. And the first is the technology stack. Obviously at Kustomer, we’re a bit biased here of the things that we offer, but irregardless, we built a model that we’re going to talk about in a moment called SLS. And that’s a funny little acronym for self-service, live support, and the last S being social messaging channels. So we’ll dive into that in a moment. But from a strategy perspective, if you were to weigh these two, technology and strategy, it’s almost 50-50. I mean the technology can get you so far, but if you’re not going to adopt it as the source of truth and the source of just having this new generation lead the way for your company, we’ve built this model called the Now Philosophy that you and I, Gabe, have talked about. But it really is, it’s adopting the always, everywhere, for everybody model that the demand is being driven by this me-economy. So split this right down the middle. Half goes to tech, half goes to strategy. That’s the two basic fundamental tenets of how we can split this up.

Gabe Larsen: (19:00)
Yeah. I liked that. The funny, the way when you project that, right? I think for a long time, we’ve talked about people, process and technology as being like the fork, some of the fundamental principles of driving an effortless experience, great customer experience. The way you kind of framed that was technology, it needs to be brought to the forefront that it almost is at the core and then you build your strategy, in a lot of cases, around that because it’s playing such an active role. Again, it often felt like people, process, and then add some technology on. Now it’s almost more like, no, no, no. Get the technology. Build around that technology [inaudible], which I think that’s a slightly different frame of mind than we have in the past.

Matt Freedman: (19:45)
Yeah, you’re probably right. The people, process model dates back to what, Henry Ford and even beyond. So maybe this is a little bit disruptive, but at least from what the data tells us, if you want to serve this new market, which is now the majority, not the minority here, these are the two basic things you can enact now. So let’s dive into what that means really quickly. From the technology side, again, you’re looking at self-service, live, and social are the three basic tenets of how you can win here. We are certainly not suggesting that you abandon things like phone and certainly email. Stick with what’s worked, but as you’re moving and maturing and evolving your CX organization, these are the things that you should be thinking about that others in your industry will be thinking about. So there’s a lot to this to unpack because within each of these categories, there’s several different types of widgets or platform products that you can stand up that can build your own version of this stack. But what we’ve heard is that an intelligent knowledge base is where the me-economy starts. Almost 80% of those inquiries are now starting on a self-service basis. So the first place they will go is a knowledge base that’s public on your website. So if they can’t find the answer of what they’re looking for there, the second piece of that is enacting some kind of live chat that could be with a bot to deflect or suggest an answer first with a conversational CRM that Kustomer offers, obviously the data component of that being hyper-personalized and understanding, and even anticipating why that order may have been missed or why that person is reaching out to us. These are those little tiny micro nuggets that are the difference between high performers and low performers. So having all of that experience connected on the back end. So when the agent walks in, in the morning, they know they’re set up to succeed because when someone comes in, they can almost anticipate and say, “Hey, Gabe. Saw you reached out. You don’t have to give me your order, number, your account number. I see that you’re waiting for a package. I get it. It’s a grill. It looks great. Is that what you’re reaching out about?” That’s the difference of being reactive versus proactive and that’s what this economy is demanding of you. And the final bit being the social messaging piece. This is the channel of choice. Be where I am. And this is where peer to peer, we’re talking. We’re talking over Facebook app and WhatsApp and other apps, and that’s how people want to be treated as a human, not as a ticket number, not as a case number. And that’s that huge barrier between high performers and low performers.

Gabe Larsen: (22:37)
Yeah. I feel like on this one; some of this, you’ve heard, but it is some of the adoption of it. As I look at some of the expectations I have as a consumer, when I email a ticket or email in, and if someone creates a ticket, I’d probably have in my frame of mind, it’s, I don’t know, maybe a 24 hour response time. When I Facebook message someone, I’m probably thinking a handful of hours. When I’m live chatting with someone that’s a tough, that’s that real time. You’ve got to be real as soon as they feel like you’re playing with multiple tabs and jumping around you’re out of it. But it’s like, what this has really forced us to do is I think you’ve got to then take these concepts and be able to almost dive into some of them individually and teach your agents some of the best practices and strategies, because it isn’t just email anymore.

Matt Freedman: (23:27)
Correct.

Gabe Larsen: (23:27)
It’s not. And so, yes, you’ve maybe heard some social messaging. Like I got to do that. Maybe some of you flipped it on, but I’m telling you, if you flipped it on and then haven’t kind of gotten with the, this is not email, this is something. So there’s a recognition that these are key components. And I think you’ve laid that out well, but I think the second point is, as you think about implementing this, know that it’s just like when you first implemented the email channel or the phone chat, this takes a full different mindset because expectations of consumers are different.

Matt Freedman: (23:57)
100%, and it’s the perfect setup for the following. It’s the other half, it’s that other 50% of why this is important, how it can be implemented? How many of us in our history, and it dates me back to having our own brand, how much technology do you buy and only adopt 10% of it? So you have this shelf collecting dust of all these technologies that you should be using more of that you’re wasting money on. So it’s almost the philosophy adoption and the strategy around using the technology almost has to be aligned to the same north star as the tech itself. So, I’ll end with this, but on the other flip side of the coin is adopting this philosophy. And the demand again, of the me-economy is just this. This is a derivative of what the demands are. It’s always, everywhere, and for every one; we have to be 24/7. We know that being everywhere on the channel of choice or on the COC, this will strip away the omnichannel thing for a moment and just realize the me-economy, wants you’re exactly where they are and they want an answer fast and they’re not willing to wait. Otherwise, that equals an effortful experience. 96% of those people will not shop with you again or become disloyal. So again, the tech is great to have it, but if you don’t have the strategy and the personnel to man those chat lines properly, it’s going to be all for not. And the final thing obviously is the biggest component of this, is treating your family, your brand’s family, like that, like they’re customers. They’re not ticket numbers and cases. When they reach out to you, it’s one thing to say that you can be empathetic, but how can you do that without data about that person right in front of you? When agents have to go fishing around in ten different systems, it totally negates your ability or your promise of being customer obsessed. So the data being right in front of you with that CRM is absolutely paramount to adopt this type of a philosophy as well.

Gabe Larsen: (26:05)
Yeah. I think these are the, I really like the always, everywhere, everyone. It’s great, because that’s one that isn’t as much on my mind, but you’re right. It’s the 24/7 one just keeps coming back. Like how do we always be around there? So that’s kind of one that I feel like I’ve got to wrap my head around probably more. It’s resonating most with me. Really liked that you brought in that build a community. This interaction, I feel like it’s happening more and more. People are talking Slack channels, people are talking Facebook groups, people are talking. And maybe that is also like be on a channel because for a long time it was, let’s build a community on our website. It’ll be hidden somewhere and they’ll never log in and know what happened with it. Now that we’re going with that channel of choice and we’re starting to integrate Slack communities or Facebook communities. Well, they’re being more adopted, but I don’t know if we’ve got ahead of that enough. I feel like you got some modern people doing that, but I think you’ve got a lot of people still lagging there, big time. People want to talk to each other and they’re scared. We’re scared to do it in some instances because that’s a live real time community that they –

Matt Freedman: (27:17)
Sure.

Gabe Larsen: (27:17)
So how do you monitor it and how do you make sure that people don’t post bad stuff? And that’s kind of like, I can see that hesitancy to go there, but the importance on the flip side of kind of that real time, collaborative, interactive between people, not just you and them, but them and them, meaning them and the other customers, I think is pretty important. So, Matt if you were to kind of summarize, a lot of great points, companies, people who are trying to figure out how we navigate this kind of me-economy, what would be kind of the summary statement there?

Matt Freedman: (27:51)
Yeah, for sure. I threw it into a quick slide. I was hoping you would ask that.

Gabe Larsen: (27:58)
I promise I did not know that.

Matt Freedman: (28:03)
All good. We’re totally in lockstep here. So just some of the key takeaways, again, the big thing for me is to realize that this is a seismic shift that’s happening underneath our feet in real time, especially right now, while people are sitting at home, re-evaluating ways to take their businesses to the next level. So it was only a matter of time where this data surfaced. Where the economy of the Millennials and the Gen Z and the demand that they have, the on demand lifestyle that they’ve lived is driving a brand new generation or economy worth of requirements of your CX team. So we can take baby steps towards that over time. But I would almost recommend taking the weekend or taking a week and just really doing a hard eval on how you’re positioning and how you’re setting up your CX team for success. The first thing is just ditch the ticket. If we’re still referring to customers as tickets or cases, it’s just unacceptable in the me-economy. We’ve seen it proven. Adopting the SLS tech stack, the self service, the live and the social, continuing to focus on low effort experiences. Thank you again, Matt Dixon for putting that out.

Gabe Larsen: (29:24)
Trademark. Trademark Challenger.

Matt Freedman: (29:24)
God, I owe him so many times for having used that phrase. Know every customer by your name. One of the coolest exercises that you can do to prove to yourself or your company that you are customer obsessed. If somebody, if that term is even floating around your CX team, go to your leadership team and say, how customer obsessed are we or are we committed to being? And if they think they are now ask them point blank, who’s our best customer. If you’re a direct to consumer brand, prove it to me. Name our best customer and why they are our best customer? And what are we putting in place to know every single person that’s in our base like they’re our family? They’re the people paying our bills. It should come to that level of obsession. The now philosophy we talked about that encompasses a number of these, but the big takeaway for me, and I’ll tie it off with this, is really there are brands performing at this level of standard, and we’re going to continue to see them grow and put content out and to continue to see examples of them winning. But the resources are out there for any brand that wants to commit to being customer obsessed to do this now. It doesn’t take a radical change where you have to go completely turn everything upside down. There is a formula and approach based on what we just laid out that any brand can achieve this. And selfishly, to my understanding, Kustomer is really the ones leading the charge on how to get people to that level of customer obsession.

Gabe Larsen: (31:07)
I agree. I love it, man.

Matt Freedman: (31:09)
Again, I’m biased.

Gabe Larsen: (31:12)
You’re fine. You’re fine. Well, Matt really appreciate you taking the time. I like the idea. I think you’ve really laid it out well, the formula for how CX teams can win, especially in this kind of me-economy that you put forward. So thanks for joining and for the audience, I hope you have a fantastic day.

Matt Freedman: (31:32)
Thanks Gabe. Appreciate it.

Exit Voice: (31:34)
Thank you for listening. Make sure you subscribe to hear more customer service secrets.

What is Personalized Customer Service?

woman on iphone with laptop

In a world that’s so heavily focused on utilizing digital technology and social media to create convenient experiences for consumers, making your customer service communication lines as simple, seamless and tailored as possible to specific members of your audience is a must. A personalized customer service strategy is just one way to make a measurable impression on consumers. In fact, according to an ROI of Customer Experience report by Qualtrics, 77% of customers agree that they’re more likely to recommend a brand to someone after having just one positive experience with the company.

But how can you make each customer service encounter a customized one? What is personalized customer service, and how can you deliver personalized customer care that’s beneficial both to your customers and your business? Let’s take a closer look at the advantages of this customized solution and how Kustomer can make it happen for your business.

Diving Deeper: What Exactly Is Personalized Customer Service?

In a recent article, we highlighted personalized customer service and how it works well with an omnichannel approach. Artificial Intelligence magazine defined personalized customer service as the assistance provided by a customer service agent that is tailored to each individual customer, based on their specific wants and needs.

But this approach doesn’t simply bring in more business by chance. There’s a psychology behind personalized customer service. Research shows that customers are keen on personalization, as it helps them remain in control in customer service conversations, reduces feelings of stress and defeat, and helps them feel more empowered as a customer. With more than 50% of customers admitting that they’ve had to re-explain issues to customer service agents in the past, this can have a major impact on business, enabling customers to feel an instant disconnect that leads to distrust and uncertainty with the brand.

What Are the Major Benefits of Providing Personalized Customer Service?

When it comes to customer relationship management, weaving personalized customer service into your strategy is a must for many reasons. In fact, it’s not only beneficial to the well-being of your customers, who could potentially become returning customers, but also to the bottom line of your business. Let’s take a closer look at some of the advantages of personalized customer service on both ends of the spectrum:

For the Consumer

From adding more depth to initial conversations to increasing trust and satisfaction with a brand, personalized customer service can change the way customers look at your business.

  • More meaningful conversations. When customers enter a conversation with an agent, they want to get as much out of the conversation as they can. Agents who are willing to take a dive deep into the issue and curate a resolution that’s specific to the problem at hand provide an unparalleled experience for customers that can have a major impact on their impression of your brand.
  • Enhanced trust in a company. It’s very natural to want to spend more time with someone you trust and can confide in. The same idea can be used in a customer service encounter between an agent and a customer. As perfectly stated by HubSpot, “loyalty is rooted in trust, and customers can trust real-life humans more than the ideas and values of a brand.” When customer service agents take the time to analyze a personal customer issue, it shows an element of caring and understanding that fuels trust and compassion from the other end.
  • Improved overall satisfaction with service. Customers expect quick, reliable service when they reach out to your agents. HubSpot found that 90% of customers say an immediate response from customer service agents is important or very important when they bring a question to the table. What qualifies as an “immediate” response? Research shows that customers want to be answered in 10 minutes or less.

For Your Company
Brands can see a major return on investment when they incorporate personalized customer service into their strategy.

  • Consistent business. When it comes to making a customer feel valued and appreciated, personalized customer service goes a long way. Pleasing a customer does more than put a smile on his or her face — it often leads to return business for you. Research by HubSpot found that 93% of customers are more likely to become repeat customers at a business that provides optimal customer service, and 90% agreed that they would at least be more likely to purchase more items from said company.
  • Increased customer loyalty. In our research, we’ve found that curating a personalized customer service experience over one that’s less customized could be the resolution to a disconnect; if a customer doesn’t feel heard in their conversation with one of your agents, they could be less likely to show brand loyalty and more likely to purchase products and services from a company that will, in fact, listen to what they have to say.
  • Better leverage to improve your current strategy. Because you’re creating more personalized experiences for your customers, you’re getting a better idea of not only what they expect out of that initial conversation, but what they anticipate to get out of your business as a whole. While you may be the expert of your business, the people who purchase your products or services are the same people who are fueling your company with revenue to keep the engine pumping and their opinions are invaluable.

How Kustomer Can Help You Deliver a Personalized Customer Service Strategy

Creating and delivering a top-notch customer service experience for consumers should be top of mind for your company. If your current strategy doesn’t seem to have the impact on your customers that you’d like, Kustomer can help.

Optimal customer service is more important than ever, and learning how to customize each and every interaction with customers is imperative to your success. Our on-demand webinar, Importance of Personalizing Your Customer Service, can teach you everything you need to know about achieving a personalized customer service strategy. We take a deep dive into why customers value personalization, challenges that may occur that can keep you from delivering this type of customer service, and real-life case studies that showcase how Kustomer has transformed strategies for clients in the past.

If you’re looking for a more straight-forward approach to successfully achieving personalized customer service, our How-to Guide: Customer Personalization, is a helpful tool. For more information on getting started, you can contact us directly
 

How Customer Service Conversations Can Resolve Tricky Situations

Man with water, coffee, in a office

Today, customers know more than ever before. They have access to continual customer reviews via social media, use self-service resources to educate themselves on products and services, and are well-versed in the digital space to find the information they need. With 4.33 billion active internet users across the globe, there’s no doubt that your customers are browsing your website, social media platforms and review sites to get to know your brand.

While we’d all like to think that visits to our websites all hold positive intentions, some customers may come to complain or discuss their negative experience with a product or service you’ve provided. These tricky situations may require having a customer service conversation, one in which your agents can turn what started as a discussion with a dissatisfied customer into a positive situation. With the right skills and resources, you can train your customer service agents to engage in highly effective conversations that leave your brand with a positive reputation.

In this article, we’ll take a closer look at what defines a positive customer service conversation, some of the benefits that come with having an optimal customer service team and how Kustomer can help your agents better support your customers.

What Makes a Customer Service Conversation Effective?

In a recent episode of the Customer Service Secrets Podcast, hosted by Kustomer’s VP of Growth Gabe Larsen, titled “How Customer Service Has Transformed Over the Last 20 Years,” Kustomer CEO Brian Birnbaum joined Larsen to discuss how the customer experience has drastically evolved thanks to the adoption of online support. Today, many customers are using online chat to connect with brands for support, and will only continue to do so in the future.

When a customer service conversation occurs, agents are expected to support each person in a way that will drive loyalty and retention. On the podcast, Birnbaum shared his thoughts on the topic and how customer service staff can step up their game to ensure an effective conversion:

“I would say make sure you’re supporting your customers in the way that they want to be supported. Right? … The bar is going up and up every single day, right? … When you have a bad experience, you’re taking it to Twitter, you’re telling all your friends about it, right? So over-index on those amazing support experiences and the ways to do that would be through the higher caliber of agents here that are very well trained and then a tool that’s going to enable those agents to be successful. And certainly, our product can help you do that. But I would focus on that. I think that’s one of those amazing support experiences that will drive customer loyalty and retention.”

To have an effective conversation goes beyond setting the bar high, however. Customer service agents should be well equipped with not only the skills and knowledge needed to provide positive interactions — they can also benefit from valuable resources to streamline their response. Overcoming tricky situations may be intimidating and difficult to navigate, but the right response tools can ease the process. Here are a few ways to have more effective customer service conversations:

Have the right skills.

According to Indeed, some of the top customer service skills include: communication, empathy, patience, active listening and quick thinking. Customer service representatives should be equipped with these skills to handle tricky situations as they arise.

Remember: Not all customers are created equal.

In another episode of Customer Service Secrets, Peter Fader, Professor of Marketing at the Wharton School of the University of Pennsylvania joined Larsen to discuss why focusing on the right customer gives companies a major advantage. He said that customer treatment simply isn’t “one-size-fits-all,” and focusing on the customers that can bring more value to the company are the ones that can really help the business grow.

Take in customer feedback.

Allow customers to rate the conversation or provide feedback to help agents improve the customer experience based on past interactions.

Top Five Benefits of Effective Customer Service Conversations

Customer service conversations can go a long way; when customers feel heard and receive a personal response from the company, both the customer and the business win. Here are some of the many benefits:

1. Positive Brand Reputation

When customers feel more comfortable sharing their questions and concerns with your company, it could impact the outlook they have on your business entirely. An Accenture Strategy Research Report found that 42% of consumers will stop giving a brand business if they’re frustrated with the company. Additionally, 21% of those consumers admit that they’ll never go back after walking away. An effective customer service conversation can solve issues before they turn into lost business.

2. Customer Loyalty and Retention

When customer service conversations go well, consumers are more likely to continue purchasing a brand’s products or services regularly. According to a 2017 Microsoft State of Global Customer Service Report, 95% of customers surveyed across the globe consider effective customer service to be one of the most important factors in determining their loyalty to a brand.

3. Repeat Business

Customer loyalty goes a long way; it generally means that repeat business is inevitable. In fact, according to the Accenture report, nearly half of consumers spend more money with companies that they’re loyal to. An effective customer service conversation can help consumers feel more comfortable and confident in your business — enough to come back for more products or services — especially if a problem is solved or a relationship is built during the conversation.

4. Competitive Advantage

Companies within the same industry are constantly searching for strong differentiators, but customer service has become a competitive priority. In fact, a Gartner survey found that 89% of companies compete on the quality of their customer service on its own. An effective customer service conversation, via live chat, social, e-mails or customer care line, can be what sets your business apart from industry competitors and keeps customers choosing your business over their other options.

5. Friendly and Helpful Customer Service Staff Members

Effective customer service conversations don’t only have an impact on your consumers and the bottom line of your business; they also largely affect your customer service support team. The Microsoft service report found that 30% of customers say that speaking with an agent who is both knowledgeable and friendly are the two most important factors during a customer service interaction. Staff members can feel a sense of satisfaction by having effective customer service conversations, motivating them to be even more helpful and friendly for future interactions.

How Kustomer Can Help You Support Your Customers

Kustomer’s business model is built around helping companies better connect with their customers to meet their expectations. With many people spending more of their free time at home, customers have ample opportunity to reach your team and are expecting their wants and needs to be met with a real-time response. With Kustomer’s customer service CRM platform, you can achieve continuous omnichannel conversations by using artificial intelligence as a supplemental tool to aid agents and deflect low level support.

These unprecedented times have encouraged us to conduct a special report: How the Global Pandemic Is Affecting Customer Service Organizations, which analyzes how businesses are reacting to the global pandemic. Many of the results are very powerful, for example, 79% of customer service organizations have felt a significant impact of the coronavirus, with about 1% reporting no impact at all.

Throughout the report, you can learn more about meeting customers’ needs during the pandemic and further understand other valuable insights that can get your business through these tough times.

For more general information about how we can help your customers feel heard and assist you in providing quality customer service, contact us directly or request a demo today.
Sources:

Encouraging Loyalty in Challenging Times with John DiJulius

Encouraging Loyalty in Challenging Times with John DiJulius TW

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In this episode of Customer Service Secrets, Gabe Larsen is joined by John DiJulius of The DiJulius Group to discuss customer loyalty, growth preparation, and employee management. John is an entrepreneur and has three businesses. However, most of his time and attention goes to The DiJulius Group, a customer experience consulting firm. He has written several books from Secret Service, The Customer Service Revolution to The Relationship Economy. As a keynote speaker, John is committed to helping people understand customer experience and he strives to improve that aspect within businesses. He shares insights with Gabe Larsen and emphasizes customer service principles to focus on amidst dealing with today’s pandemic. Listen to the full podcast below.

Why a Recession is Good for Businesses

The current COVID-19 pandemic has hit the economy very hard. From large scale operations to brick and mortar businesses, everyone is feeling the impact. The last big recession was in 2008 and no one wants to relive that. However, John DiJulius recently wrote an article about how to prepare for a recession and in his discussion with Gabe, he explains why recessions can be good for businesses. He starts by saying, “One of my favorite, but also least favorite, quotes is ‘nothing ruins a company’s customer experience faster than rapid growth.’ … I can’t tell you how many companies in the past year that have hired us and the reason why is because they’ve gone through incredible growth and they got away from the soul of their startup.” While it is never ideal to be in financial trouble, John suggests that it’s a good time for business to hone in on providing quality customer service.

This can also be a great time for creative thinking and focused efforts on ideas and projects that were brushed aside in the hustle and bustle of everyday life. We can use this downtime to dive deep into the details of the company. John adds this statement of hope: “I believe that now that we have the opportunity to do this, we’re going to come out of maybe third or fourth quarter 2020 better. And I know that 2021 is going to be a better year as a result of this opportunity than had we not gone through this crisis and never been temporarily shut down or paused.”

Showing Compassion to Your Customers

Strong leadership and management will also be essential for any business to survive the pandemic. By keeping the needs of customers at the center of managerial focus, companies will be able to maintain customer loyalty. John suggests ceasing sales messages and emails; instead, companies should reach out to customers with kindness and concern. While airlines might have a bad reputation when it comes to customer service, John quotes them as being an example of how to care for customers in these challenging times. He states, “the U.S. airlines came out and did it right. I mean they did it weeks ago saying, ‘Hey, if you need to change your flight there will not be a fee.’” Now, more than ever, it is essential that customers know you care. The kind of transparency and compassion the U.S. airlines showed is what customers are looking for. Further, it will be a great way to drive customer loyalty throughout the recession.

Necessary Leadership Skills to Care for Employees

Intense fear of the unknown is looming in communities everywhere. Employees are particularly troubled about their vulnerability and being subject to the actions of their employers. By being transparent and not being afraid to over-communicate, leaders will be able to maintain the loyalty of their employees. Also, being clear about the company plan and the motives behind it will eradicate some of the fear and anxiety employees have been experiencing. Transparency and communication will be some of the most important leadership skills practiced at this time.

Adding to the principle of transparency, John also recommends “making sure that we’re giving our employees resources. Resources to immediately get on unemployment if that’s the case. Resources to immediately know what their health benefits are.” This will continue the chain of communication and let employees know that their employers care about them and their well being in this troubling time. John continues to note that candid CEOs help increase connection and a sense of normalcy. The pandemic and recession are only temporary, but the actions of company leadership will either keep customers and employees loyal, or drive them away.

To learn more about leadership recommendations and how to encourage employee and customer loyalty in a pandemic, check out the Customer Service Secrets podcast episode below and be sure to subscribe for new episodes each Thursday.

 

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Listen to “How to Drive Loyalty in Challenging Times | John DiJulius w/Dijulius Group” on Spreaker.

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Full Episode Transcript:

Encouraging Loyalty in Challenging Times with John DiJulius

Intro Voice: (00:04)
You’re listening to the Customer Service Secrets podcast by Kustomer.

Gabe Larsen: (00:11)
All right, welcome everybody. Today we’re going to be talking about a lot of different things about customer service. It’s a timely topic about managing in times of change, as well as this idea of being recession-proof. How do you focus on the customer to become more ready and prevalent in this ever-changing business environment that we have right now? To do that, we brought on John DiJulius, a man of many talents. Currently the presidents of the DiJulius Group. Excuse me, John, but he’s also a book author. He’s got multiple books out. One of his latest is called “The Relationship Economy.” We’re going to touch on that hopefully just a little bit today, but we’re going to be dancing around multiple topics. John, really appreciate you joining and how are you?

John DiJulius: (00:54)
Thank you. I’m doing great. Thanks for having me.

Gabe Larsen: (00:56)
Yeah, I’m excited. Can you tell us just a little bit more about — there’s so many multifaceted topics, can you give us just maybe one more click on who you are and what you do?

John DiJulius: (01:05)
I’m an entrepreneur. The past 30 years I have grown three businesses. My primary is the DiJulius Group where we are only a customer service/employee experience consulting firm. And we just work with some of the best of the best and helping them become the brand customers can’t live without, and ultimately make price irrelevant in normal times.

Gabe Larsen: (01:34)
I love it. I love it. Well I think that’s very fitting for today’s conversation. So, let’s dive in and then we can kind of tie in a couple of different concepts. So big picture, we were just talking about an article and we can start there. You’d call it how to make your business recession proof. I don’t know if you saw it coming, but maybe give a big picture thought on kind of the current environment we’re working and how companies should be thinking about it.

John DiJulius: (01:57)
Yeah, before this Coronavirus crisis, I wrote an article because I knew… well I wasn’t predicting it, but it doesn’t take a genius to know that everything’s cyclical. So I wrote an article saying it’s time to recession proof your business. And I might be the only person that says this, but I say it all the time. I enjoy a recession, okay? And I don’t like any of the financial crippling it does to people and jobs and all that. But as a business owner, there are so many benefits. So, let’s look at the negatives from a booming economy: Even one of my favorite but also least favorite quotes is “nothing ruins a company’s customer experience faster than rapid growth.” And think about that: We’ve gone through it. I can’t tell you how many companies in the past year that have hired us and the reason why is because they’ve gone through incredible growth and they got away from the soul of their startup. And when we started, we were able to interview 10 people to get the right person. Well, now when we’re growing by leaps and bounds, and we need 50, and we’re interviewing 55 and saying, well he’s not the best for us, but of the candidates here, he’s the best, so take him. We start talking about, you know, “What about Joe who’s underperforming and doesn’t get it?“ Well, we’ll work with him.

John DiJulius: (03:39)
Because not only can we not afford to lose Joe, we need 10 more of him. And all those things. You start fast tracking, you start compromising and the growth is intoxicating, and we all want it. But you wake up and you look around and you’re like, who are these people? This wasn’t the company I built. So, what are the opportunities when you go through a recession? This has been especially prevalent the last three years, it’s been an employee market where there’s been more jobs available than employees. And turnover in 2019 was an all-time high and all these things. So now people got to pay $15 an hour for a $12 an hour job, and may not be getting the best candidates.

John DiJulius: (04:30)
So this stuff all becomes cyclical and now it becomes an employer market, where there are more people out there and better opportunities to choose from. You start making decisions that getting rid of things and fat and silly expenses that we shouldn’t have been doing anyway. And so, it forces you to make decisions. And it always cleans out your competition. I always say a recession is like a business enema and there’s a lot of shitty businesses that are having success. So, when the economy is doing good and so the old quote “even a turkey can fly in a tornado… But when that tornado stops flying, the turkeys start dropping.” So, the people that have worked on customer loyalty and employee loyalty really shine and emerge as the leaders of the business. So, sorry, that was a long answer.

Gabe Larsen: (05:31)
No, I love the setup. I think that’s, I mean the turkey, I’ve never heard this statement with the turkey and the tornado. I’m just going to trust you.

John DiJulius: (05:38)
I’m going to say I made it up.

Gabe Larsen: (05:41)
I love it. So, as you think about some of the things that people can do as these times get difficult, the enema example; it is a time to reflect and cut back the fat, trim the fat maybe refocus in areas. I know we were talking a little bit about that as we jumped on here. How would you coach organizations to start thinking about doing that so that in the next month’s here, they maybe can come out of this a little more on top than they would have?

John DiJulius: (06:11)
Well, the first thing is our leadership, our customer experience, and their employee experience need to all be on center stage. And we have got to be careful with these knee jerk reactions. We businesses probably have to close, hopefully temporarily, and lay off people, or ask people to take one day less, whatever. We don’t know when it’s going to stop and how severe it could be, but man, do we have to do it with empathy and compassion and make sure — and we have to walk a fine line as leaders of transparency and fear. I was talking to a CEO yesterday that had to make some major cuts. And one of his employees that got cut or laid off said, “Yeah, that’s so the company can have a stronger bottom line.”

John DiJulius: (07:07)
That’s not true. So we have got to be transparent and say, look, the reason why we’re doing this is because we want to make sure you have a company to come back to in 90 days and we have to be going into our lines of credit and we have to do these things. So, we need to be transparent in what we’re doing, and why we’re doing it without also causing panic. But I think great leaders right now need to show that they were born for this moment. I love moments like this because I think this is when I operate best. I don’t want to always be in this moment, but I think this is when, while everyone else was running around with their head cut off, I act like this is, I knew we were going to be here.

John DiJulius: (07:53)
I didn’t know when, I didn’t know how, but I knew this was, and we’re prepared for it and we’re going to get through it. And you couldn’t be working with, or for a better brand to help you and us get through this. And so, knee jerk reactions, like with events being canceled and all these things, whether it be a speaker’s or conferences or venues or hotels that first try to enforce their contracts. That’s crazy. And then they’re getting into pissing matches, saying, “Hey, this is not considered forced majeure.” Listen, this is going to die down. People are going to have to have their events again in six months and into 2021 and they’re going to remember how you treated them and no court in the world is going to enforce a penalty or anything like that.

John DiJulius: (08:51)
So I think it’s really a burden. And the really embarrassing thing is, I can’t believe I’m saying this and using them as an example, but that the U.S. airlines came out and did it right. I mean they did it weeks ago saying, “Hey, if you need to change your flight there will not be a fee.” I mean they were probably one of the first. They’re usually the butt of everyone’s jokes and it’s pretty sad that they’re the ones that are showing the way right now. Which, give them credit.

Gabe Larsen: (09:22)
Do you feel like… let’s double click on that because I think that’s a question that people have struggled with in challenging times: How do you work with your customer? You were kind of joking saying you probably shouldn’t go after him and that small fine print clause attack them. Given your seed away and given your pants, you have all my stuff for free for the next 12 months. Maybe not, that’s the other extreme. Is it just a partnership? Come on man, be real, is there a middle ground that you’d advocate for? How do people find that middle ground?

John DiJulius: (09:56)
Yeah, I think the first thing is back off on the sales and pitching because I’m even really offended by like “dude, you’re really emailing me right now about upselling me on something while I’m trying to work through this mess and I’m worried about employees and their families and keeping food on their table?” I just think it’s insensitive, I think we need to reach out to our customers and say, “what can we do for you? What’s the best thing you need? Is it a pause? How can we best serve you?” And I think there’s great opportunity to also step up and give back to the community.

John DiJulius: (10:40)
I’ll give you an example of that. A couple of things that we’re doing and obviously you and your customers can figure out how that applies in their world. But the first thing we did was we reached out to our consulting clients and said, “listen, number one, everyone’s going crazy and because of your loyalty I want to offer your leaders a free leadership webinar on what they need to do, and the face they need to be wearing.” Even if that means when they’re not in front of their employees, they have to curl up in the fetal position and cry. We have to show the employees that we’re right where we want to be, and we have our competitors right where we want to be.

John DiJulius: (11:27)
But then the second so I said, that’s complimentary I want to give to you and listen, while it might be generous, what else am I doing right now for the next few weeks? It’s not like it’s — so I want to give back. The second thing is we have offered our clients, if you want to pause right now, we can pause. If you want to, since we can’t come out there, turn it into virtual consulting, we have that capability. It’s totally your call. And then the final thing that we thought of that one of my employees thought of, which was just brilliant, and again, this isn’t about the DiJulius Group, I’m just trying to give your audience ways to do this. So, we have an online education format that companies take and train their employees.

John DiJulius: (12:13)
But with all of these restaurants, with all these small brick and mortars, or mom and pops closing temporarily, hopefully, it’s scary times. We’re offering, we’re rolling out our online modules to all these small mom and pops to say, take advantage of the downtime and give this to your employees. And again, selfishly if you think about it doesn’t cost us anything. Okay, we’re not going to lose revenue because mom and pops don’t hire us. But we are giving back to them and hopefully doing something that’s valuable to them, because they’re in a horrible position right now.

Gabe Larsen: (12:58)
Yeah, I love that. I just find like finding that balance, looking at it more of a partnership. How do we give more than we get I think is something we’ve got to be kind of thinking about to make this more of a structured environment. I think that’s just some of the things we’ve got to kind of nail down.

John DiJulius: (13:15)
And also in my examples, I want to be clear. Again, none of them are going to cost me or my team anything, so it wasn’t like we are saying, “Hey, give it for free and lose revenue.” No, that’s the last thing we can afford. But these are things that are really about us having either downtime or available online modules that really don’t have a higher cost to us, to customers that would never be our customer. So, it’s not like you would have you’re getting a free and now you’re not going to ever use us. The mom and pops that were all small businesses wouldn’t hire us anyway, so we’re not losing future revenue.

Gabe Larsen: (13:54)
I love that. I love that. One other thing you touched on, and I just wanted to see if we could click on that for a second, was that leadership and the employee side of it, right? So, okay, we got a couple of customer things. Let’s go back to the employee. Got a lot of leaders listening in and trying to figure out this “in environment.” How do I coach and care about the individual? How do I also manage my business? The transparency versus —

John DiJulius: (14:16)
Fear. Panic.

Gabe Larsen: (14:20)
Fear costs. How do I make sure I give enough information about the company but not again — I think your word fear and panic are right. DoubleClick that. How are you finding ways? What coaching would you provide organization’s leaders to make sure they manage that employee the right way?

John DiJulius: (14:35)
And I think you can’t over communicate enough right now. I think the CEO needs to be visible and doing videos and sending out to his employees or her employees and every leader, because some people don’t have access to the CEO, but you might be my GM, you might be my shift manager, whatever it may be… And so, you’re the CEO to me. And just constantly, because worse than what is happening is the fear of the unknown. And that is the other shoe going. I’m waiting for you to come in and tell me that we’re out of business or we’re closing, or I’m permanently laid off. And you can’t promise what’s going to happen in six months or 90 days because we hope that it’s not going to last long.

John DiJulius: (15:25)
All you can do is say, “Hey, here’s our plan and here’s why. I want you to understand why we are taking these steps.” And the other thing that is really — is making sure that we’re giving our employees resources. Resources to immediately get on unemployment if that’s the case. Resources to immediately know what their health benefits are. Because I believe health benefits are still enacted versus traditional times when you lay off someone, they could lose their health benefits and they have to go on Cobra or whatever. I believe that that isn’t the case, because that’s what they’re scared of. Also, something that’s been really, really good is teaching our employees how to deal with it personally, and give him education saying, “listen, we all know what we have to do right now to be safe and avoid.”

John DiJulius: (16:17)
And the thing you don’t need to be doing is checking headline news every five seconds and being on social media too much because the numbers can never go down. They can only go up. So, when you hear other people, a hundred people were infected or whatever it is, and then you hear another industry is forced to close, that’s not helping. As long as you’re not being irresponsible and going out and not practicing social distancing. So now, what to do and teaching them “Hey, take advantage of this time.” Like I told you, when we got out, we’re playing the DiJulius family olympics and we’re going through old pictures and I’m showing my kids my home videos, they’re black and white when I was a little kid.

Gabe Larsen: (17:09)
Come on, they’re not black and white?

John DiJulius: (17:09)
They are, they are. Yeah, but it’s funny, my kids are calling me, they’ll say, “Hey Dad, I thought you had to walk to school both ways up-hill and snow without shoes?” “That, Oh, we don’t have footage of that.” But to see the hairstyles and making fun of dad because his hair was feathered back like it was in the late seventies, early eighties. It’s taking advantage — I think whether it’s God, nature or fate, I think this has a way of giving us a wakeup call saying that we’re out of balance here and we need to get back to that human nature.

Gabe Larsen: (17:52)
Is there something that they’re almost, does feel like there’s a little something bigger of like we need to kind of take a step back as people, individuals, families, groups, and kind of figure out what’s most important. And you’ve seen — I’ve heard some amazing stories of people kind of coming to a better relationship or truth or understanding because they have just said, you know what, it’s the first time I’ve taken a deep breath in five years and I’m going to do things different.

John DiJulius: (18:16)
Yeah. I call it the holidays. It is the holidays right now without the chaos, the mess or the third cousin that we really didn’t want to have to entertain. It’s the best part of the holidays where you play games and look at pictures and videos. Another thing that we’re doing is we’re doing DiJulius family trivia game. So everyone has to think of five questions and see who knows the most. And it’s just, it’s kind of cool stuff now, but let’s take that to the business realm. Listen, I could speak for myself. My business, I have three, we started looking at — there’s several things that it’s been shame on us that I have been mad at; throwing erasers at chalk boards that we haven’t gotten to, that we should have three years ago.

John DiJulius: (19:10)
The next evolution, the next, the better service or product, all these. But none of us can because we’re so busy with the day to day fulfilling customers and our jobs. And all of a sudden, we’ve just created the time to do these things to work on the next innovation that we know was critical to our evolution and revenue stream. I believe that now that we have the opportunity to do this, we’re going to come out of maybe third or fourth quarter 2020 better. And I know that 2021 is going to be a better year as a result of this opportunity than had we not gone through this crisis and never been temporarily shut down or paused.

Gabe Larsen: (19:56)
I love it. I love it. I think that’s As you have the time to pause, make sure you use it effectively, because when this thing ends and it’s going to end, come out on top, find a way to make sure 2021 is a big hit. So, John, I love it. I love the talk track. I appreciate it. It’s very relevant. It’s very contextual. John and I were going to be talking about something different today, but we thought, you know what, all that’s been going on the last months, weeks for wherever you are, that this would be more interesting. And I thought you nailed it John. So, if someone wants to learn a little bit more about you, the DiJulius Group, what you guys do, what’s the best way to do that?

John DiJulius: (20:31)
They can go to thedijuliusgroup.com or they can email me john@thedijuliusgroup.com.

Gabe Larsen: (20:39)
Okay, well really appreciate it, John. Fun talk track, and for the audience – have a fantastic day and do be safe!

John DiJulius: (20:46)
Thank you for having me.

Exit Voice: (20:55)
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Why Personalized Customer Service? Because Consumers Demand It

The modern customer wants to buy a product, but they don’t want to be treated like a transaction. They’re expecting an experience—and if that experience is a positive one, then a one-time purchase often becomes a lifelong interaction with a company that understands their wants, needs, pain points and history. Unfortunately, most companies are still living in the early-digital Dark Ages, treating their customers like tickets in a queue rather than individuals with real desires and concerns.

According to a recent Kustomer survey, three-quarters of consumers aged 25 to 34, expect personalized communication from retailers, while only 60% aged 65 and older agreed with this notion. This means that personalization is becoming the new norm, especially with the younger generation, and will only continue to grow.

But instead of marshalling their vast stores of data to proactively identify and engage specific customers, many companies are still relying on outdated customer service models that waste their money and customers’ time. This misguided approach frustrates customers—and can hurt a businesses’ bottom line. Poor customer service costs companies $62 billion a year, and lack of personalization prompted 41% of Americans to switch brands in the last year alone.

On the flip side, companies that truly know their customers—everything from their previous purchases, customer service conversations, and preferred channels of communication—often experience double-digit growth, and nearly half of customers spend more when their experiences are tailored to their particular wants and needs.

To retain customers in an increasingly saturated and competitive digital marketplace, companies must learn to quickly and seamlessly address customer needs and concerns as they arise. In other words, they need to use real-time data to give them a 360-degree view of their customers—and then use that data to deliver relevant, personalized, helpful interactions that make the customer feel seen and heard. This approach will transform customers from flashing lights on hold to real people. And when customers are treated like people, they’re more likely to become not only repeat purchasers, but your most loyal cheerleaders.

To learn how to achieve personalized support in three simple steps, download our full personalization guide.

 

The Connected Customer Experience: Leveraging Data to Drive Hyper-Personalized Experiences and Build Trust

To say we’re living in a customer-centric age is an understatement: companies who fail to prioritize the customer experience are outpaced by their CX-leading competitors by nearly 80%. Additionally, more than half of companies have experienced a serious drop in consumer trust, resulting in an estimated missed $180 billion in potential revenues, according to this Accenture study. There are numerous reasons consumers lose trust in brands they once knew, loved, and purchased from frequently, but 71% of consumers say poor customer service contributes to that trust erosion.

Unfortunately, many tactics that once served an organization well in engendering a customer-first culture simply fail to keep up with the enormous increase in both customer data, and use of connected devices. Two and a half quintillion bytes of data are created each day at current pace, and Gartner predicts there will be more than six connected devices per person as early as 2020. This device proliferation and increase in data results in an overwhelming number of touchpoints that must be tracked and connected to the customer’s buying journey. It’s a tall order, but the organizations who will win are those who can use all of this data to scale the customer experience quickly, efficiently, and effectively, and all on the customer’s terms. It’s not just enough to collect data: it needs to be the right data that can be acted on in the moment.

Working with the customer where they’re comfortable

The digital age has changed where, when, and how customers interact with a brand. What was once a simple cycle of seeing an ad, making a purchase, and repeating, has shifted into a looping journey with the potential for numerous friction points that can turn a customer away from a brand all too quickly. McKinsey describes this journey through four critical areas: consideration, evaluation, purchase, and post-purchase experience. Instead of assuming a consumer will immediately be faithful to the previous brand purchased, McKinsey states that today’s buyer continues to consider new brands available to them. McKinsey adds the element of the Loyalty Loop, which fast tracks future purchases, but in order for a brand to effectively qualify for this shortcut, they must have fostered lasting loyalty with the customer. And 95% of consumers say customer service is important in their choice of brand loyalty. In other words, helping a customer find the answer they need quickly is a significant indicator of whether or not a brand has continued ownership of that customer’s wallet share.

An additional complication is the increase in possible touchpoint locations: digital searches, email, social media, website, and more. In fact, 31% of millennial customers looking for help reach out to a company via Twitter. It’s important for an organization to connect all relevant touchpoints to a unified customer profile in the event of a customer service interaction, or they run the risk of further fracturing the experience and the relationship.

Brands must be willing to look critically at their existing systems to evaluate if they’re truly prepared to handle the significant amounts of data, devices, touchpoints, and the unified view necessary to provide a seamless customer experience. Tools driven by AI and machine learning are the only way to ensure a business can scale to keep pace.

The expectations for customer agents have never been higher; below are ways that AI magnifies data to bolster a support team so they can create optimal customer experiences.

Automate processes and tasks

KPMG has estimated that the service cost reduction with Robotic Process Automation (RPA) is as great as 75%. With the average cost of service centers continuing to rise — voice is $12 per contact, and live chat is $5 per contact — shifting resources to self-service through automation and a knowledge base can result in huge savings. Automation tools can decrease costs to just 10¢ per contact.

It isn’t simply the dollars and cents saved, however, that make automation so impactful to an organization. In one use case, automation can vastly improve worldwide organizations needing to route certain language speakers to agents who can communicate in that language. Additionally, by routing common questions and needs to a self-service portal or base that can both quickly and effectively solve a customer’s problems, agents are freed up to more quickly take on the more complex, nuanced issues that customers face.

While skeptics might be concerned about customers valuing human interaction above all else, according to this report from Statista, 88% of US consumers expect an online self-service portal. In fact, bringing numerous types of customer data touchpoints into one place — and from any resource — creates a more seamless, personalized experience for that customer. This method allows for both speed and a personalized approach to be achieved, and on the customer’s terms.

Augment existing agent support

When a customer dials into a service call center, provides significant information regarding who they are and why they’re calling, and is then directed to an agent for further assistance, the worst possible scenario is that customer then having to repeat all of that information…again. When considering a customer may have also reached out through email and even social media, it becomes even more crucial to use data in the right way. Much like being retargeted by an ad for a product you purchased yesterday, today’s customers are smart and expect organizations to be intelligent with their data. If, after interacting with a chatbot and providing all relevant data, a customer’s issue is escalated to a human agent, the customer expects an agent to already have the necessary context to properly manage the issue. That context should include relevant information like shipping number, previous conversations from both online and offline sources, and previous purchases made, combined into a unified customer profile.

Not only does the full customer data view aid with escalating issues directly, it can even be used to provide recommendations to the agents before even interacting with the customer. Through AI technology, an agent can be given an automated recommendation for how to best handle the customer’s request, eliminating both time and mismanagement; thereby improving the quality, time, and ease of service for both the customer and the agent.

When AI is used to capture data for context, the technology and the human agent become critical partners in providing the right customer experience. It empowers an agent to be a true specialist, who can change the customer’s outcome in a way automation cannot. The marriage between the two is what elevates the customer experience to a level that promotes long-term loyalty.

Proactively boost future outcomes

As a part of the new expectations customers have for service-related interactions, customers expect their preferred brands to be proactive in handling potential issues. For an organization this can be as simple as customer communication that informs of impending weather that will impact a shipment, or as sophisticated as predicting volume needed quarters in advance based on real-time interactions. In order to accomplish this, however, all relevant data must be gathered in a location where it can be acted upon quickly.

One use case could even enable leads and managers to get ahead of issues in-the-moment. For example, as a call is happening, the voices can be translated into text, then analyzed and graded in real time to measure key indicators that identify a call going south. Instead of arbitrarily choosing which calls to QA, or to QA all calls after-the-fact (and risk missing the ones requiring assistance), AI and machine learning can alert a team lead exactly when to jump in and improve the customer interaction as it occurs.

Antiquated technology looks reactively at improvement; the best customer experience requires proactive use of data as the touchpoint interaction occurs, rolling it into the most personalized experience possible.

Customers who have a good experience are three and a half times more likely to repurchase, and five times more likely to recommend to friends and relatives than those customers who have a poor experience. And 59% of respondents to the Microsoft State of global customer service report say that customer service expectations are higher than they were last year. In order for an organization to scale to meet the growing demand, they must provide a seamless omnichannel experience that connects all touchpoints, automates tasks and processes for maximum efficiency, and proactively uses real-time customer data to further create the best experience. Doing so will empower your agents, and build the trust your customers need to remain loyal for years to come.

Connecting all the data to relevant touchpoints and driving a hyper-personalized experience will change how your customers experience you and your product. Tune into our webinar with guest speaker from Forrester where we break down how you can create an elevated customer experience.

 

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