Earlier this summer, the Wall Street Journal ran an article titled, “Customer Experience Is Getting Worse.” In the article, Katie Deighton references a recent Forrester Research study that analyzed 96K customers’ perceptions of some of the top companies and government agencies. The study found that the 2021 to 2022 decline in customer experience scores (CX scores) was one of the largest YoY decreases in CX scores since the metric was introduced in 2016. Fewer companies received the rating of “good,” and more were just “OK” or “poor.”
Prior to joining Pecan, I worked in the CX space for 3 years. I helped promote the notion that moving to the cloud could help improve your customer experience and overall CX scores. But after two years of COVID and with companies moving to the cloud in droves, how can CX scores be declining? I thought improving CX scores was a major promise of moving to the cloud. That promise helped justify making the switch.
But as I’ve learned more about businesses’ current challenges and the potential of predictive analytics, I’ve recognized that today’s CX issues have little to do with on-prem or cloud environments. Instead, they have more to do with logistics and planning. Challenges include staffing shortages and supply chain problems. These issues cannot be solved for customers over the phone, over chat or through a chatbot. These problems need to be solved in stores, in warehouses and, most importantly, with better planning.
“Today’s CX issues have little to do with on-prem or cloud environments. Instead, they have more to do with logistics and planning.”
Look to the future to boost CX scores
So what are brands supposed to do? You’ve already spent thousands, if not millions, on digital transformation. What’s the solution, especially in light of current economic trends?
Fortunately, predictive analytics can help companies address these issues. This approach to data provides foresight into future customer behavior and demand, informing strategies and resource allocation. Without a data-driven strategy that includes predictive modeling, knowing the road ahead is likely going to be difficult. That’s especially true with ongoing staffing issues, inflation, a recession and other challenges. Now is the time for brands to think twice about their analytics approach. They need to start optimizing for the signals from their customers and the market.
Brands need to hold baseline planning sessions so they can stop overpromising and under-delivering to their customers. But it’s possible to get ahead of questions around supply and demand with a future-driven, predictive approach. Whether anticipating customer churn, predicting customer lifetime value or optimizing capacity planning, predictive analytics can help brands get in front of customer challenges. They can identify bottlenecks and pain points before they become major customer roadblocks.
“With trustworthy knowledge of the future, you can proactively and confidently address your customers’ issues.”
Resolve the causes of customer concerns and improve scores
If your CX scores are low and customer churn is increasing, predictive analytics can help you identify the root causes of customer issues. Predictive models and platforms should explain the importance of different variables in the generation of predictions. Those explanations offer invaluable insight into what will drive future customer behavior and demand. Once pain points are identified, you can take informed action to shape the future. That’s much better than just guessing at the right direction, solely using data from the past.
With trustworthy knowledge of the future, you can proactively and confidently address your customers’ issues. Give your marketing or CX teams the ability to deliver personalized promotions or offers to ease tension. Win the hearts and wallets of your customers — and watch your company’s CX scores rise.
Explore how predictive analytics could work for your business and support your customers’ experience. Let Pecan help you with the next steps in bringing AI to your team, without adding data science resources.
Get in touch for a quick, easy use-case consultation. We’ll help you find the best way to get future-ready.