Brexit: What’s the Impact to Your CX Strategy?

The referendum results taking the United Kingdom out of the European Union has created an atmosphere of uncertainty. Financial markets initially responded unfavorably and analyst assessments of the economic impacts in the short term cover virtually any potential outcome Euromonitor forecast declines in GDP and increases in both unemployment and inflation. (See http://blog.euromonitor.com/2016/06/the-brexit-vote-is-in-what-next-for-the-uk-leave.html). In stark contrast are predictions that restrictions on immigration may create a labor shortage. Predictions for impact on the EU as a whole and investor confidence vary widely. Forrester predicts wide-scale impacts on technology investments. This ambiguity and uncertainly will continue until the two year exit strategy is defined and negotiations completed.

What is certain is that now is the time to pay extraordinary attention to your customers. At Market Force, we weathered the 2008 economic downturn with our clients. Those who maintained a laser focus on product, service and value, came through with flying colors. Some lost their focus and went bankrupt. Others suffered damage and recovered, including corporations in the banking and auto industries.

We’ve also seen the measurable consequences when companies pull back on their CX investments. In three different situations, detailed below, pulling back on investments or stopping measurement significantly impacted the ability to meet corporate objectives and satisfy customers:

  • For a large retail bank: Customer engagement scores for advisors responsible for accurately presenting products and upsell, dropped by almost 50 points, from 72% in compliance to 25% in compliance. When measurement restarted, performance returned to previous levels.
  • For one of the world’s largest QSR companies: NPS declined by 5.6 points and a critical upsell behavior—recommending a beverage—dropped by almost 80 points from 91% to 9%, creating friction with their beverage partner. When measurement restarted, upsell increased but took time to gain traction.
  • For a major wireless retailer: Performance on five critical selling skills declined between 3 points and 10 points with consequences for ability to attract new customers and sell accessories. 

The uncertainty caused by Brexit creates both risk and opportunity for any corporation. Market Force considers this a time of opportunity and will continue investing in technology, focusing on text analytics, social media listening, and mobility

And we will continue to invest in the teams that serve you, focusing on our ability to help you execute on your brand standards, delight your customers, and position you for financial success. Market Force is here at the ready to help you navigate these uncertain times.

Schedule a briefing

 

Ray is the consummate road warrior. His 25 years of experience as a senior-level executive has taken him to over 40 countries in multiple roles. As CEO for Market Force, Ray champions the role of technology and innovation in creating programs that improve our clients' brands. 

Forrester CX Conference: CX Investment Remains Core for Leading Brands

On June 21 and 22, Market Force participated in the Forrester Customer Experience (CX) conference in New York City. A report by Markets and Markets estimates that this space is due to grow to $8 billion by 2020, and certainly the level of commitment and investment by presenters validates that trajectory. I found the conference very valuable and walked away with a few key points that I’ll share with you. All of these points are framed by a keen focus by the world’s largest companies in creating cultures focused on exceptional customer experiences. 

  1. The customer is becoming increasingly powerful. George Colony, CEO of Forrester, put corporations on notice by claiming that we are now in an “existential crisis” with the increasing power of customers to voice their opinions and demand increasing levels of service. He believes that customers will increasingly judge corporation based on the state of their business technology and that software investments will be critical to success.
  2. Effortless customer experience requires vision. Vicky Jones at AT&T simply thrilled the audience with the bold and sweeping vision AT&T has for integrating large acquisitions like DirecTV with current mobility platforms to create an “effortless customer experience”. That focus is backed by AT&T’s CEO, Randall Stephenson. His commitment? Over $1 billion in budget to make that happen. Vicky reiterated that this is a “long game” with sustained investment and grit to make it happen.
  3. Design with simplicity as the core principle. Echoing the message from Vicky Jones, Mark McCormick, Head of User Experience at Wells Fargo, spoke to the power of simplicity in the design of products and experiences. “Simplicity is hard. Simplicity is noble”. He made an argument that products and experience that are complex or difficult to use “rob us of time time and confidence”.
  4. Map the customer journey to align the corporation. A presentation by Joana van den Brink-Quintanilha, Forrester analyst, compelled me to think again about the importance of customer journey mapping. This powerful tool makes it clear where every function and every employee plays a role in creating an effortless, simple customer experience. A good journey map will help create channel parity, simplify offers and pricing, and streamline platforms across multiple channels.
  5. Ask creative questions of your CX data to show ROI. Mike Dzura, EVP of GNC, presented a case study based on his experience as SVP of Operations at GameStop. He showed how analysis of CX data could predict top performing managers, clarifying where GameStop should make its talent investments and the strategy for growing game sales.

In summary, the conference emphasized the increasing importance of the Customer Experience, with companies like Ford, Wells Fargo, AT&T, Marriott, SiriusXM, American Express and Etsy emphasizing their own investments in time, money, and people...lessons for all of us. To understand more about Market Force’s solutions for prioritizing investments, see our strategic advisory workshops.

As Chief Strategy Officer, Cheryl aligns Market Force's strategic direction with our clients' strategic objectives. She oversees the North American client base, Analytics and Insights, Winnipeg Operations and Marketing. She has a Ph.D. in social psychology and broad business experience in both private and public companies.​

Mystery Shopping: Four Mistakes To Avoid

Mystery shopping is an extremely important tool to have in your customer experience management toolbox. Why? Because it measures each location’s adherence to brand standards. Brands invest six or seven figures in their merchandising strategies and planograms, sales associate training, line management protocols, and healthy and safety regulations. Those investments are wasted if teams don’t adhere to them.

Mystery shopping is an objective, standardized method for measuring operational excellence and the execution of brand expectations at every location. Implementing a mystery shopping program requires thinking through how to design the questions to ensure both the quality of the data gathered, and the actions you want to encourage in the behaviors of the managers and teams receiving the results. Here are four things you should avoid when structuring your program:

  1. Use subjective questions. The whole purpose of mystery shopping is to provide objectivity—not opinion. When questions are structured so they become opinion-based, they lose credibility. Question design needs standardized, clarifying comments so that your managers and teams know what to repair to drive performance improvement at the location level.
  2. Set up scenarios that identify shoppers. Shoppers need to remain anonymous. Anything that allows teams to quickly identify shoppers should be removed from the scenario. For example, we worked with a QSR company that wanted shoppers to approach the cash register with a $20/bill in hand. How many of us pay in cash—or have the cash ready at the register?
  3. Allow managers and operators to constantly question results. Pushing back on one questionable shop result is understandable. Pushing back on 10 of them is not. When a location receives many poor scores, it’s not the shop that’s wrong—it’s operations. Make sure operators use the data to take action—not complain about the shop.
  4. Look at only aggregated data. Sure, the overall score for your shops, aggregated at the brand level is important. However, it’s more important to look at how all of your locations perform and the distribution of scores. If locations perform very inconsistently on your own standards, brands are at risk. Location-level data provides the insights needed to drive change…at the location.

Market Force prides itself on the extraordinarily high quality of its mystery shopping programs. Companies rely on us to deliver insights about thousands of locations and these tips come from our experience as the largest mystery shop provider in the world. Contact us if you would like our expertise in helping you build a world class mystery shopping program. 

Schedule a briefing

 

As Vice President, Operations, Emily oversees Market Force's mystery shopping operations in North America and helps build programs that meet regulatory guidelines and retain customers. She also holds a BA in government from the College of William and Mary. 

Engaged Employees: The Key to a Thriving Brand

So much has been written about the importance of employee engagement that it almost seems foolish to spend time talking about it. But if we are creating environments that created happy, productive employees, why do organizations like Gallup report that only about one third of employees report being “engaged” in their work?

The reality of what employees actually think about your brand, their job, and your customers needs to be measured. Why? Because literally hundreds of research studies, including those from Market Force, show that engaged employees create more revenue, lower costs, and create more loyal customers. In one study by Market Force, we found that a 30% difference in absentee rate and a 19% difference in retention between locations with high vs. low employee engagement.

Employee engagement is a vital part of your customer experience management strategy. So how should you measure employee engagement? You will need to assess satisfaction and engagement in two core areas: Engagement and Enablement. Consider the following in each core area: 

  • Engagement. Do your employees love your brand? Do they understand your mission? Do they personally believe that the brand and the location they work in serves customers well? Do they believe that their job matters to the business and that they do their job well? Do they believe they can grow and learn?
  • Enablement. Do your employees have the tools and training they need to do their jobs? Do they receive regular feedback about their performance? Do they understand corporate policies and how to follow them? Do they have a reasonable workload and are able to balance?

In restaurant and retail, employees come and go. You may think the revolving door is inevitable. It’s not. By getting a clear picture of what employees need in these two core areas, and then having the fortitude to act on what you learn, your brand will thrive and be the place where the best want to work. 

As Chief Strategy Officer, Cheryl aligns Market Force's strategic direction with our clients' strategic objectives. She oversees the North American client base, Analytics and Insights, Winnipeg Operations and Marketing. She has a Ph.D. in social psychology and broad business experience in both private and public companies.

Schedule a Briefing

To discuss your needs for improving performance for your multi-location brand, give us a call. We’d be happy to discuss best practices for measuring the customer experience and compliance to brand standards, using analytics to understand what matters most and the ROI for change, and technology solutions that integrate large quantities of data on one single platform. We look forward to a great discussion!

Schedule a Briefing
We've noticed you might not be visiting the appropriate version of our site. Would you like to: