Customer Delight - T H E GUIDE TO - Capsule Marketing
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Contents
THE Why Customer Delight
is the difference between
boom or bust p1
How did Jeff Bezos do it? p3
What is
Customer Delight ? p4
GUIDE TO Delivering above
and beyond p7
Anticipating what
your customers want p8
Customer
Being consistent p8
Making your customers
feel valued p9
Delight
Responding quickly p9
Listening to employees p10
Conclusion p11
How Capsule can help p11
T R A N S F O R M I N G B US I N ES S O P E R AT I O N A L E XC E L L E N C E How to contact Capsule p12
Why 2021 will make Customer
Delight the difference between
boom or bust in logistics
Faced with the unprecedented challenges of C-19, companies
of all configurations did things that had previously seemed
impossible and did them almost overnight. The relentless
pressure of increased customer demand meant that many
businesses, both B-2-B and B -2-C, relied on the resilience
and creativity of the logistics sector to meet that demand.
1
The shutting down of international travel for humans meant
that airline freight was almost wiped out overnight, cargo
ship crews were stranded on their vessels for many months
more than planned. That was only the start of it as volumes
increased dramatically and the whole industry had to turn
on a sixpence.
Meeting the challenge
The challenges seemed overwhelming, but the logistics world
met the demand. Yet at the same time it learnt the harsh reality
that there are immense challenges and opportunities going
forward – the world has changed. As we start 2021, and
consider the new normal of a post Covid reality, it is my belief
that those logistics businesses which put the customer at
the centre of their business are the ones that will grow fastest
and will be the ones that thrive in the new normal. One of
the biggest winners from the Covid crisis has been Amazon.
The challenges seemed overwhelming,
but the logistics world met the demand
2
How did Bezos do it? What is
intuitive to Bezos does not come
naturally to most companies
Even with 244 million unique customers, Jeff Bezos knows advertisers with promotional deals, which was the norm
better than to see his customers as a series of transactions. in newspaper publishing, instead he transformed the Post
But with so many different customer relationships to maintain, into a digital force in the publishing world, invested in more
what’s the wisdom that keeps this enterprise running? investigative journalism - for which the reputation of the Post
Surprisingly, Amazon’s success isn’t rooted in multi-million had been legendary – and hired a larger number of journalists.
dollar advertising campaigns or shortening product life cycles, The result was delighted readers, who returned to the paper,
but rather, the desire to be the “Earth’s Most Customer- pulling in more advertisers and returning it to profitability.
Centric Company”. From the get-go, Bezos has based Amazon
around 4 principles: customer obsession , eagerness to
invent , long-term thinking and operational excellence .
The dominating theme has been the customer centric focus
of the whole company. When Amazon acquired the loss-making
Washington Post in 2013, the strategy was to focus on getting
more readers for the post so that the advertisers would
be tempted to come back. Bezos didn’t focus on wooing
3
What is Customer Delight ? 29%
of all businesses
don’t even have a
Simply defined: “Customer delight is Customer satisfaction measures the extent to which coherent definition
surprising a customer by exceeding his or the expectations of a customer are met (compared to of customer
experience
her expectations and thus creating a positive expectations being exceeded). However, it has been
management in
emotional reaction. This emotional reaction discovered that mere customer satisfaction does not create their organization.
leads to word of mouth. Customer delight brand loyalty nor does it encourage positive word of mouth.”
directly affects sales and profitability of a
company as it helps to distinguish the company Even in the nineties, academic literature recognised that
and its products and services from the moving from customer satisfaction to customer delight
competition. In the past customer satisfaction directly benefited the bottom line. However, remarkably
has been seen as a key performance indicator. few firms have been able to deliver delight.
4
promo to rs
Bain & Co came up with the Net Promoter Score (NPS), a
business tool to measure customer satisfaction. On the NPS
0-10 scale, 9 and 10 are the only positives and 0 to 6
are negative. This measure has become very popular
with major firms. Bain’s research demonstrates that
pa s s i ves
customers who excel in customer experiences grew revenues
4-8% above their market. This is because a better experience
helps to earn customer loyalty which then turns them into
promoters who tend to buy more, stay longer and make
recommendations to their friends. It is too easy to state that
NPS scores of 9 & 10 equal customer delight – particularly if
such scores are prompted by agents – but they become the
simplest measure and there is evidence that these scores do
coincide with improved customer loyalty.
det ra cto rs
WALT DISNEY
said “Just do your best work - then try and trump it”.
If you really try to make experiences and interactions
better for your customers they will notice; so will you
as loyalty and engagement grow too.
5
Amazon Prime is a great case of delighting customers to
improve loyalty. Prime customers spend on average $1,300
150 million
per annum while other customers spend less than half that. current Amazon Prime subscribers
50% increase
Not only that, 20% of Prime customers shop on Amazon a
couple of times of week or more with 7% saying that they shop
on Prime daily. New benefits are being added to Prime all the since 2018
$1,300
time such as free delivery for Amazon Fresh. Demand for Prime
is still growing; there are currently 150 million subscribers,
which is an increase of 50% on 2018 (last time numbers were
average spend per Prime customer per annum
available). From when Prime launched in 2005, Bezos seemed
to understand intuitively that customers love the idea of free
delivery and he has continued to innovate and deliver more 7% 20%
value-add ever since. shop on Prime daily shop on Prime twice or more per week
JEFF BEZOS
seemed to
understand
intuitively that
customers love
the idea of free
delivery and he
has continued to
innovate and deliver
more value-add
ever since.
6
1 DELIVER ABOVE AND BEYOND
This assumes that you know what your customer really wants
in the first place. Too many businesses have initial success
through assuming they are servicing PLU: people like us.
As a niche strategy, this may work, but it certainly has limits.
As such, research which is meaningful and then acted upon by
everyone is critical to getting to really understand customers.
Sometimes bosses need to take a hard look in the mirror.
How do they spend their time? How often do they talk with and
about customers? Do they even use the company’s products
and services? Jeff Bezos still spends time in his call centre
so that he understands first-hand what customers are asking.
He can combine this anecdotal information with collecting
data on every customer so as to deliver above & beyond.
Jeff Bezos still spends time
in his call centre so that
he understands first-hand
what customers are asking
7
2 ANTICIPATE WHAT YOUR 3 BE CONSISTENT ACROSS
CUSTOMER WANTS ALL CHANNELS
Don’t just collect data; use it & use it intelligently. Understand Your smart customers demand any time access across all
what customers want, how they want it and perhaps how to channels, journeys and devices. When one channel isn’t
deliver the product or service in a better way. It might not be consistent with another, the experience feels broken. More and
what you expect. Research from Bain & Co has shown that more each day it is an omnichannel world, yet businesses are
one of their clients - a well-known bank - thought that their still forgetting to manage and measure customer experience
customers were most interested in a mortgage, ease of on-line at every stage of the customer journey. Nothing highlights this
banking or a loan, perhaps for their daughter’s wedding. more than the fact that, despite 52% of all internet traffic being
via a mobile device, a whopping 90% of customers report
What customers really wanted having a poor experience when seeking customer support
Research showed their customers were most worried about on mobile devices. Customers simply expect better.
fraud. How the bank dealt with the fraud directly influenced
whether customers were evangelists or denigrators. Swift
resolution and a quick answer from the first person that the
customer contacted meant much higher customer happiness
52%
scores. So, speed, process and service of all internet traffic is via mobile device
became the cornerstone of the fraud
resolution experience, something that
would typically have been almost
90% of customers report poor experience
hidden and highly structured.
8
4 MAKE YOUR CUSTOMERS 5 RESPOND QUICKLY
FEEL VALUED
Every customer desires
Most companies say they focus on customer value. The same swift action regardless of the
is not true of making customers feel valued. When customers situation. How quickly you
believe their relationship with you matters and that respond shows how much you
you recognise the contributions they make, loyalty and care. Sometimes a quick email
engagement follow. Ask yourself whether you believe that just acknowledging that someone has begun to resolve the
Amazon and Amazon Prime delivers the cheapest or best issue or is looking into how it might be fixed is all that it takes.
selection. You may have to think hard, because that is typically
not what you value; you expect the price Negative feedback
to be there or thereabouts, but you Negative feedback is a gift and a huge opportunity because it
probably value the ease of ordering and means that your customers still care; silence and withdrawal is
the certainty and speed of delivery. the kiss of death. In some businesses like hospitality, it is almost
the worst thing that can happen. Restaurants are notoriously
The empty chair difficult businesses to manage. Miniscule margins, fresh food
Jeff Bezos is famous for with short shelf life, volume volatility (an issue faced by logistics
having an empty chair in businesses, too) and human staff, meaning mistakes happen.
meetings in the belief How a restaurant recovers from errors sets them apart and
that the customer helps to build a loyal fan base who will evangelise about their
should always have favourite place to eat and, perhaps more
a seat at the table. importantly, they will return again and again.
96 LISTEN TO EMPLOYEES
AND EMPOWER THEM
Listen to employees, particularly those on the front line with
customers. They can often identify opportunities and improve
customer experience. The bottom line impact should be
obvious: happier employees really can mean happier
customers. However, employees need to be empowered.
Employees need the authority to improve customer experience
and the recognition for doing this. Business leaders sometimes
fail to get their people to really embrace customer delight
because they have two blind spots. 1 Initiatives are pushed
through from the top without a true understanding of jobs
their teams have to juggle on a daily basis. 2 Change can
be difficult. Employees worry about their roles and start to
resist change unless they really trust their bosses and believe
in the importance of customer delight to their own futures.
Just as making a win-win experience for customers starts from
understanding a customer’s desires and priorities and putting
Employees on the front line with
yourself in a customer’s shoes, so does making a customer
customers can often identify opportunities
centric business mean that bosses have to have meaningful
and improve customer experience
empathy with their teams.
10Conclusion So how can
Logistics businesses cannot rely
Capsule help?
on operational excellence alone.
If your customer likes you, they will choose to remain with you
Differentiation & customer loyalty
and eventually become an advocate. That is brought about by
will only be delivered through
improving customer experience. Covid has accelerated the
an obsessive focus on customer
destinies of B2b marketeers in logistics. Most must
experience with the objective
quickly adopt new technology and shift towards
of achieving customer delight.
improved digital channels. Digital customer
experience is where it’s at. Not many of us are doing face to
This requires truly understanding
face business at the moment and all the research points to it
customers and what they want
being here to stay.
and having people, systems and
customer journeys to exceed their
Omnichannel customer experience is non-negotiable.
expectations, not just when things
With our help, you can:
go right, but when they go wrong.
Establish and manage a consistent experience across
all channels, for all devices – this will provide that
customer with a unified experience and excellence
experience across the journey
11Map and improve the customer journey
end-to-end across all channels - this Customer
delivers a cohesive customer experience
Identify your customers’ preferred feedback
Delight
channels – this enables you to optimise
feedback loops
Use digital platforms to provide meaningful
data with predictive analytics – this will
promote continuous improvement
To find out more about how we can help you with
Video marketing, chat bots & AI might getting customers to be at the heart of your business
be the answer but not always. please contact ….
01787 267949
A marketing partner such as Capsule is there to provide
the right response in a digital world. While we are au fait simon.isaac@capsulemarketing.co.uk
with shiny trendy digital solutions that enhance customer
www.capsulemarketing.co.uk
experience, we can help you to recognise when a good old
fashioned newsletter is the answer. Park House, Earls Colne Business Park,
Colchester, Essex CO6 2NS
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