What Is Customer Experience Analytics?
Brands now have access to more data than ever before, allowing them to customize every stage of the consumer experience. In today’s market, using client data touchpoints to improve their customer experience is critical for distinction. Consumer expectations are stronger than ever before – they want to obtain what they want when they want it.
Brands that provide the proper kinds of experiences – ones that are helpful and personalized to the individual – find a 20% increase in business impact.
In other words, customer experience is one of the most effective strategies to attract and keep consumers. This is due to the importance of the consumer experience. But how can you quantify it?
Let’s take a look at customer experience analytics to see how they may be used to measure and improve customer satisfaction.
Customer Experience Analytics – Definition
Customer experience analytics is the systematic examination of a company’s customer data to understand the customers, their pain points, and their experiences which will, in turn, give you the confidence to update and optimize existing customer experience solutions.
What is the Importance of Customer Experience Analytics?
Customer experience analytics provides useful insights that enable brands to make data-driven, informed decisions that could enhance the shopping, care, and service experiences of their customers. Furthermore, the data gathered will aid in the development of optimized marketing campaigns, Go-To-Market strategies, product creation, and more.
Many companies hit a roadblock when it comes to getting real insight from customer experience due to poor systems that do not help in gathering and processing customer feedback.
What if I told you how I felt about a pizza’s taste without ever eating one? You’re not going to trust me if I told you. Similarly, without looking under the hood, we can’t say how well our customer experience plan is performing.
Taking a closer look at customer data allows marketing teams to determine whether or not their strategies are successful. They are left to work under the presumption that the team is on the right track without it.
Customer experience analytics is a form of customer experience technology. An organization can only use the true power of customer experience analytics to boost customer experience if it has the right technologies. To conduct customer experience analytics a company should have access to real-time customer data to resolve customer problems.
Customer experience analytics offers valuable consumer insights that enable brands to make data-driven, intelligent decisions, potentially enhancing the customer experience. Furthermore, the customer data gathered will go a long way in the development of successful marketing campaigns, market strategies, understanding competition, and product innovation.
Example of Customer Experience Analytics
For example, one of the top banking brands used customer experience analytics to adjust their strategies so their stakeholders are able to make important decisions based on customer data. The consumer experience analysis results for the bank were astonishing and they were surprised to see how customer priorities were changing month on month.
The top customer priorities of the first month had changed drastically within a span of 1 month. Surprisingly the ease of UPI payments which was the second top driver in the first month was no longer a priority in the second month. Continuous tracking of customer experience was important for the bank to focus on the right priorities and shift away from priorities that no longer had the same importance for customers.
For a long time, the bank was performing well on interest rates as it offered one of the best interest rates. But when it made certain changes to interest rate, it was tracked quickly by the bank using customer experience analytic. Within a month the bank noted the change in consumer behavior as the customer feedback came back sharply on the changes.
Thus the bank made several changes based on the customer experience analytics. The search for a better customer experience is never-ending, not only for the benefit of your customers but also for the benefit of your company.
Benefits of Customer Experience Analytics
Customer experience analytics should not be overlooked if you want to create a consistent customer experience. The following are some of the numerous benefits of customer experience analytics:
Allows teams to test the performance of future product promotions with identical “mock” ads ahead of time.
- Connects the dots and quickly recognizes patterns, trends, and root causes of problems.
- The team is given the ability to see the whole customer experience.
- In marketing, it eliminates the guesswork.
- You’ll be able to pinpoint particular encounters and correlate them to consumers.
- Ignores departmental and inter-departmental silos.
- Considers the whole customer experience
- Facilitates the removal of roadblocks in the customer journey
Top 3 Reasons for Using Customer Experience Analytics
Using customer data and experience analytics to minimize customer churn, increase customer engagement, provide more tailored content/product suggestions, or just provide a more consistent customer experience is the never-failing approach to achieve these goals.
Here are the main reasons why you should employ CX analytics when it comes to the broader picture of your organization.
1. Data-Driven Decisions
Companies that have a culture of data-based decision-making are more likely to succeed than those that depend heavily on gut impulses. Consumer experience analytics connects customer behavior to measurable measurements that may be used to make better business decisions.
It’s not enough to estimate your next move based on a few anecdotal pieces in order to evolve into a brand that actually responds to the demands of each consumer.
CX data might reveal what consumers really want or what they’d want to be advised to them in order to deepen their relationship. Customer experience analytics is the process of using data to create business decisions that increase customer experience and, as a result, retention.
2. Reduces Customer Churn
Customer experience analytics may also be used to identify unsatisfied customers and avoid brand erosion. Text analytics techniques such as sentiment analysis may be used to automatically analyze customer comments and support data for opinion polarity (positive, negative, neutral, and beyond).
Relevant customer data is information (such as feedback/ content from genuine purchases/ customers) organized and structured in a way that aligns with analytics platform requirements, whereas data noise is any irrelevant data, seasonal spikes in occurrence, or unstructured/ disconnected information that machines cannot understand and interpret correctly.
Organizations have the rich data and framework for essential decision making—or actionable analytics—based on consumer behavior and expenditure patterns to alter their product or service offerings, keep customers satisfied, and decrease churn.
3. Delivers Company Profitability
Customer experience is substantially improved because of customer data gathered over time. Large enough customer data sets can provide an accurate picture of customer’s experience over a period of time.
The point is large amounts of customer experience data help business owners ask the right questions, to create a strategy that works for them to create an excellent customer experience that increases profit over time.
Customer Experience Analytics Solutions
So far, we’ve gone through what customer experience analytics is, why it’s relevant, and how to use it to your advantage.
But how do you go about conducting such a thorough and effective investigation? Not every business has the financial means, resources, and skills to pursue such a project.
And this is exactly where Customer Experience Analytics Solutions come into the picture.
A customer experience analytics platform is used by businesses to gather, process, and analyze humongous customer data, and using artificial intelligence converting it into actionable insights.
Customer feedback is the backbone of such a CX analytics platform. Customer data is available either from online sources or through the internal data maintained by the business. These CX analytics solutions can monitor a host of data sources and are not limited to a defined set of sources.
Online data sources supported are social media, eCommerce websites, review websites, blog comments, domain-specific sites, and peer-review forums. These platforms have self-learning algorithms that can analyze customer reviews and segregate based on the positive and negative sentiments as well as identify the market trends.
As a result, the CX analytics platforms will offer highly accurate and granular analysis of customer reviews used for making highly effective and data-driven marketing decisions thereby taking the company’s image to new heights.
5 Top Features of Great Customer Experience Analytics Solutions
Customer experience analytics tools are here, and many organizations are reaping the benefits to the utmost. These tools collect a plethora of useful customer data to help you understand how customers engage with your business, what their expectations are, and which aspects of your CX need to be improved. But the tools are no good if they do have the most important features that may be useful for some companies.
Here are the top 5 features of great CX tools:
1. Customer Analytics
Customer analytics refers to information on a customer’s activity from a variety of online and enterprise sources, social media, eCommerce websites, surveys, forums, mobile apps, and in-app purchases. This feature leverages data to provide you a broader picture of your consumer’s likes and dislikes when it comes to your product. It also establishes consumer risk criteria and identifies potential threats.
2. AI and Machine Learning
Customer experience management becomes more flexible and targeted thanks to machine learning and Artificial Intelligence (AI). Machine learning algorithms retrieve data about customer touchpoints in order to identify patterns and make changes with little human intervention. This feature uses previous experiences to improve current and future interactions with customers and boost efficiency.
3. Text Analytics
This feature is the backbone that searches the whole internet for relevant text feedback, collects it, and analyzes it for customer opinion and sentiment. It collects customer feedback from online and enterprise sources to segregate and analyze the themes and sub-themes of the conversations. The text analytics function is a must-have if you want to remain on top of customer experience on your products.
4. Real-Time Dashboards
CX practitioners can stay up with current consumer trends by using the informative real-time customer data that is presented in the form of dashboards. This feature is at the core of any customer experience platform with customer analytics serving as the brain. It can track customer conversations, NPS (Net Promoter Score) over time, campaign performance, online vs in-store transactions, and a variety of other metrics. Visualization of the entire metrics in the form of pie charts and Venn diagrams make it easy to interpret the data at a glance.
5. Brand Analysis
With CX tools brands can have access to more data than ever before, allowing them to customize every stage of the consumer experience. The brand analysis feature allows companies to compare and contrast against the competitors and learn what is working well or not working well with other brands.
Top 10 Factors while Choosing a Good Customer Experience Analytics Solution
What factors should you consider while selecting a Customer Experience Analytics solution?
It’s crucial to ask yourself a few questions before jumping the gun and choosing a solution.
Consider the following scenario:
- What’s driving your decision to deploy a customer experience solution?
- Do you wish to keep track of your customer’s online activities in general? Or are there any specific issues that you’re concerned about?
- What types of sources do you intend to use?
- What type of information do you need (e.g., user experience, customer conversations, Brand Analysis, etc.)
- How easy it to customize the tools?
- Is there built-in analytics and reporting in the solution?
- How simple is it to set up the software?
- Is it a good fit for your marketing strategy?
- What are the disadvantages?
Once you ponder over these questions, you will have a clear view of the type of solutions that are needed for your organization.
Here are the top 10 factors that you should consider while choosing a good CX Analytics Solution:
1. Intelligent with Minimum Supervision
The tool should be able to provide intelligent insights even with minimum human supervision.
2. Crawl Variety of Data Sources
The analytics platform should be built to crawl external data sources as well as integrate enterprise data.
The CX Analytics tool should be able to track the insights back to the original customer conversations thus providing transparency.
4. Proven Market Research Frameworks
The tools should be built using proven market research frameworks that offer results that are actionable without the need for further analysis.
The insights should have the least manual intervention thereby making it highly unbiased.
The solutions to analyze CX should not be too expensive and should offer cost-effectiveness. The tools should be well worth the investment of company resources.
7. Expertise & Skills not Required
The tools should be built in such a way that it does not require special skills or expertise to run and maintain it.
8. Minimum Set-Up Time
The CX analytics tool should come with an easy and fast setup solution. There should be no time lost in configuring and integrating the tool with the internal departments.
9. Compliment Existing Systems
Any new CX tools that you implement should compliment your existing systems and blend in well without having to completely change the way you function.
And the most important of all factors is that the tool should provide real-time analysis. The tool should be able to continuously generate insights based on the most real-time data.
Who Can Use Customer Experience Analytics Solutions?
CX analytics solutions can be used by various executives and officers who wish to understand the customer experience and take an active part in the overall improvement of CX.
Using data from a CX analytics tool, Senior Executives of a company may make crucial strategic choices about the company’s direction, marketing, sales, and product development. The indicators from a CX analytics tool can indicate which specific, in-demand features a product is missing, allowing them to be included in the product development plan.
Customer Experience Manager (CMO)
CX analytical solutions bring powerful business insights to the surface. They help the CX Manager to identify key factors that significantly move your customer experience. With the help of the insights, the CX manager can align stakeholders with data-driven transparency. Overall it helps a CX Manager to take focused actions.
The Brand Managers in an organization can benefit from the use of CX Analytical Solutions as they get to track their brand on a real-time basis. It offers solutions to understand your brand health and brand equity and allows compare and contrast with your competition. CX Tools leads you to the source of customer feedback and also offers direction for your marketing efforts. With the help of CX analytics, Brand Managers can understand the needs f the customers and thereby plan campaigns like never before.
With a lot of eCommerce sites coming up, it’s become very important for eCommerce Managers to understand how your brand is performing compared to your competition on online retail channels. A CX Analytics Platform brings the smartness of filtering the customer conversations and picking the right feedback for the analysis. It also helps to keep a tab on the emerging products and trends. Above all of this, it helps to understand the drivers or factors that influence your customer experience.
Market Research Analyst
Not just the executives or a company, a CX Analytics Solution helps Market research analysts as well to conduct super-fast market research. Research Analysts may interpret distinct customer emotions and discover genuine consumer views of product categories and brands.
Top 10 Customer Experience Analytics Solutions
Clootrack is the fastest Customer Experience Analytics platform. It helps you understand the actionable qualitative customer priorities, real-time. Clootrack obtains these insights from customer conversations, feedbacks, and reviews.
Clootrack obtains open-ended customer conversations from a wide range of data sources – both online and private enterprise data. Online data sources include eCommerce sites, forums, blogs, social media, etc. Private enterprise data can be any data source including customer care tickets, open-ended NPS surveys, website/app feedbacks, chatbots, etc. Clootrack insights are unbiased, require minimal configuration, and support 55 languages. The time to go live is 7 days!
Qualtrics Experience Management (XM) helps brands continually assess the quality of their four core experiences—customers, employees, products, and brands. With Qualtrics XM, organizations can be at every meaningful touchpoint, for every experience, and predict which changes will resonate most with stakeholders. At Qualtrics, our mission is to close the experience gap.
Zendesk is a CRM company that builds software designed to improve customer relationships. Zendesk offers a platform for customer service and engagement. It can be used by businesses of any size. Zendesk offers the features of security, help desk software, ticketing system, knowledge base, and community forums.
4. Verint ForeSee
Verint Foresee is a customer engagement company that helps companies improve the customer experience for more engagement, loyalty, and efficiency. ForeSee Voice of Customer solutions. This platform listens to customer signals — across web, mobile, location, and contact center — then connects data for deeper insights.
5. NICE Satmetrix
NICE Satmetrix is a CX software for companies to manage their customer experience programs. It enables companies to collect, integrate, and analyze customer feedback data; close the loop with customers, including action management and tracking, escalation management, and comprehensive reporting. It includes reporting and data delivery. It is purpose-built for managing the entire customer experience management process. Business outcomes for customers include higher rates of growth, improved retention and upsell, reduced churn, and lower cost to serve.
ResponseTek for Telco is a cloud-centric Customer Experience Management (CEM) solution based on Amazon Web Services, enabling customer feedback to be captured as close to the customer experience as possible, delivering accurate information and optimal response rates.
Medallia captures experience signals created on daily journeys in person, on calls and digital channels, over video and social media and IoT interactions and applies proprietary AI technology to reveal personalized and predictive insights that can drive action with tremendous business results.
Verint Opinion Lab is a tool that captures customer-initiated feedback via web and mobile channels throughout the digital customer journey that helps to make business decisions. You can configure comment cards. The feedback is sent in a concise daily email. This tool works on both the app and the web.
HubSpot’s customer service platform offers features that can be used for customer experience management. The tool offers help desk and ticketing to assist in the record of customer inquiries and track recurring support cases. It helps to identify common customer problems and implement changes that help users overcome them.
Clarabridge is a CX tool that helps brands to understand and improve their customer experience. With text analytics, Clarabridge transforms survey, social, voice, and all other forms of customer feedback into intelligence that can be used for decision making.