customer experience management: optimize your site to deliver a highly engaging user experience

Customer Experience Management:

Optimize your site to deliver a highly engaging customer experience

© 1999 - 2011 Tealeaf Technology, Inc. All Rights Reserved. Confidential and Proprietary.

February 9, 2912

2:40 PM

Janet A. Jaiswal

Agenda

› What does Customer Experience Management mean?

› Why does it matter?

› How does CEM help my bottom line?

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› What should I be doing?

› Example of customer experience measurements

› Q&A

• 450+ Enterprise Customers

• 7 of the 10 largest US banks

• Increase website and mobile conversion and adoption rates

• Improve customer satisfaction and retention

Tealeaf is the leader in online

customer experience management

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• Improve customer satisfaction and retention

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Improving online customer relationships

one experience at a time

• Reduce IT and Support costs

• Improve customer service efficiency

• Founded in 1999 and based in San Francisco, CA

Hundreds of companies rely on Tealeafincluding 30% of the Fortune 100

InsuranceTravelFinancial ServicesMore E-business

LeadersRetail

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Note: Tealeaf only uses the names and logos of customers who have given us prior permission.

Including more than 40 P&C Insurance

Companies

Including 25% of the leading Travel

Providers & Portals

Including 7 of the 10 Largest U.S. Banks

Telco, Pharma, Utilities, etc. with B2C & B2B Sites

Including 1/3 of all Internet Retailers >

$100M

What Does Customer Experience Management

Mean?

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Mean?

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How CEM Relates to Web Site Optimization Tools

Application Web

Content Optimization

Campaign Optimization

Marketing Performance

Mgmt

Usability Analysis

Customer

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Application Performance Management

Web Analytics

Multivariate Testing

Mgmt

Voice of

Customer

Customer Experience

Management,CEM

The web site optimization ecosystem

Marketing Performance Mgmt

Content Optimization

Campaign Optimization

Multivariate Testing

Spend, Mix

Targeted Offers

Campaign ROI, List Segmentation

Page Configuration & Content Tests

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Voice of Customer

Content Optimization

Application Performance Mgmt

Web Analytics

Multivariate TestingTargeted Offers

Clickstream, Referrals

Customer Surveys, Behavior Predictions

Content Tests

Site Usability

Customer Behavior, Business Impact

Page & Transaction Response Times

FOUNDATIONAL “MEASUREMENT & ANALYSIS” SOLUTIONSThe best companies will leverage these five solutions, at a minimum

Usability

Customer Experience Management

Customer experience management means reducing customer struggle not just site errors

vs.

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Site Errors

vs.

Customer struggle

Why Does Customer Experience Matter?

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Customer Experience Matter?

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We absolutely want to give our customers the best possible online experience so they

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experience so they continue to fly with us.

30%

40%

50%

60%

WEB

Customer preference for online is accelerating

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WEB

IVR

PHONE0%

10%

20%

30%

20062007

20082009

2010

2011

WEB

IVR

PHONE

% of Revenue by order capture channel:

PHONE – Talking to an agent

IVR – An automated telephone ordering service

WEB – Orders placed through the website

92:1

Companies typically spend $92 to bring customers

to their site.

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92:1But only $1

to convert them.

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CEM means removing obstacles to customer success

Usability issues

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Usability issues

Application issues

Site errors

System issues

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Mobile is growing exponentially,User experience is critical

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Q: “What Advice do you have for companies looking to build a mobile presence?”

A: “Every senior employee at the company… should…test out their own user experience to make sure it’s effective and good…So the first thing is to actually get on the platform, then experiment” – Mary Meeker

Market changes driving the need for online customer context in the contact center

“The paradigm of ‘contact centers as cost centers’ doesn't hold water. It only applies to contact centers that offer poor experiences.” — The Economic Necessity of Customer Service

“80% …plan to use customer experience to … differentiate…

Strong Need to Differentiate Based on Customer Experience

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“80% …plan to use customer experience to … differentiate… [their business]” — The State of Customer Experience, 2010

But Cross Channel Experience is Very Poor and Impactful

“… 45% of those frustrated customers completely stopped doing business with a company as a result of bad customer service.” — Harris Survey, 2009

“Only 49% of consumers are satisfied with the transitions from web to phone!” — Cross-Channel Design, One Channel Pair At A Time, Forrester 2009

Why Does Customer Experience Matter?

A mobile channel example

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A mobile channel example

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Mobile Challenges

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Many companies lack visibility into the mobile channel

• Why am I getting negative reviews?

• What is working and what is not and why?

• Should I add features or expand to other platforms?

• Why are conversion rates lower on mobile?

Users have high expectations of mobile

47%

80%

85%

50%

60%

70%

80%

90%

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0%

10%

20%

30%

40%

Experience on the phone should be better

than in-store

Experience should be better than or equal to

in-store

Experience should be better than or equal to using laptop or desktop

Source: 2011 Harris Interactive Survey of Mobile Transactions for Tealeaf

Poor Experience Matters

Mobile financial service capabilities had more impact on a consumer’s decision to select a bank than….

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select a bank than….

Source: Mercatus LLC and Visa Inc. Dec 2010 study

the availability of online banking, access to ATMs or nearby branches.

Poor Experience Matters

63% of users would be less likely to buy

from the same company via other purchase channels (online, in store) if they encountered a mobile transaction problem.

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84% of users experienced problems when

conducting online transactions on mobile devices.

Source: 2011 Harris Interactive Survey of Mobile Transactions for Tealeaf

Bad customer experiences are more dangerous than ever

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78% of users who

encounter problems completing mobile transactions share those experiences with others

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How do you find out about bad customer experiences?

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Will Good Customer Experience Help my Bottom Line?

Some Examples

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Some Examples

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Online Financial ServicesMortgage calculator fix leads to $2M in additional annual revenue

Speculated visitors struggled with mortgage rate calculator but couldn’t validate issue.

Discovered back-end system issue wasn’t

Problem

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Discovered back-end system issue wasn’t recognizing use of commas in loan amount field and disqualified loan amounts incorrectly.

Issue resolved with back-end fix, realized over $2M in annualized benefit.

Solution

Results

Travel siteOutbound Sales Team Now Accounts for 20% of Revenue

Tealeaf helped inbound sales representatives but company wanted to proactively improve conversion and bookings.

Problem

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The travel company converted 6 inbound reps to outbound to contact customers that struggled with bookings.

Arming this small team with Tealeaf, flight conversion doubled to 30% and now accounts for 20% of revenue.

Solution

Results

What Should I be Doing?

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#2: Proactive Monitoring

#3: Multi-Channel Optimization

Institutionalizing CEM across the enterprise

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Tealeaf CEM Maturity Model

#1: Reactive Problem Resolution

Improving Existing Processes

Putting new processes in place for CEM

enterprise

Step 1: Define your online goals

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• Increase registration rates from Mobile apps users?• Increase the number of products purchased?• Improve self service capabilities of your site (reduce contact center calls)?• Reduce checkout abandonment rate?• Follow up on complaints received via feedback survey?

Online Channel

Step 2: Understand your entire user base

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Offline Channel

Channel

A Mobile example: Understand your user base

• User Behavior

– Screens Viewed, Referring Screen

– Text Field, Text Field Value

– Touches, Motion

– Etc.

• Environmental

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• Environmental

– Site & App Version, OS version, Device Model

– Device Orientation

– Carrier, GPS

– Etc.

• Application Health

– Exceptions, Crash

– Server Connection Success/Errors

– Etc.

Step 3: Know what to measure to make smarter decisions

Identify your Key Performance Indicators

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Example of business measure: New accounts opened

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Example of business measure: e-commerce site KPIs

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Example of technical performance: Application errors

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Early warning system into customer struggle

Cross-channel visibility into key metrics

Example of customer listening measures

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Early warning system into customer struggle

Cross-channel visibility into key metrics

Example of usability measures

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Step 4A: Optimize your site

› Develop new goals, measure and improve performance across

• All user channels

• All geographies

• Around the clock

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Step 4B: Monitor progress regularly

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Summary of recommendations

Step 1: Develop goals

• What are your key online goals

Step 2: Understand your user base

• All online services (mobile apps, mobile web, desktop web, contact center, social media)

Develop goals

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center, social media)

Step 3: Know what to measure

• Identify Key Performance Measures

• Identify and eliminate customer struggle (not just site errors)

Step 4: Optimize your site

• Develop goals, measure and improve performance

• Monitor regularly

Understand your users

Know what to measure

Optimize your site

Improving customer experience:Key takeaways

1. Better visibility into customer issues

2. Faster trouble isolation and resolution

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If you don’t, your competition will

resolution

3. Higher customer satisfaction

4. Identify new service opportunities

Thank You

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Janet A. JaiswalSr. Director of Product Marketingjjaiswal@tealeaf.comTwitter: JanetJaiswal