Did you know that 86% of customers are willing to pay more for a great customer experience?
Many companies have started implementing customer transformation processes to meet the ever-changing needs of their digital consumers. But what does customer transformation entail, and how can your business benefit from it?
In this article, we’ll be lifting the lid on customer loyalty. Read on to discover five secrets about customer transformation from Chris Hood, a digital strategist, and tech guru.
1. What is Customer Transformation?
Customer transformation is a term used to describe the process that a company undergoes when it shifts its focus from acquiring new customers to retaining and growing its existing customer base. Overall, customer transformation has three goals:
- Delivering value to new and current customers
- Adapting to changing consumer expectations
- Using these processes to attract new customers
The core aim is to create long-term relationships with customers, not just sell them a product or service.
Companies must first understand what their customers want and need to achieve this. And then, they need to align their business goals with these desires. Additionally, they must provide an exceptional customer experience at every touchpoint and continuously measure and improve upon it.
Customer transformation can be a complex and lengthy process. But those who are successful are rewarded with increased loyalty, brand advocacy, and profitability.
2. What Are the Benefits of Customer Transformation?
There are numerous benefits that businesses can experience from undergoing customer transformation. Some of these benefits include:
Improved Customer Satisfaction
67% of users say their standard for a good customer experience is higher than ever. One of the main goals of customer transformation is to improve customer satisfaction. And when customers are happy with your company’s products, services, and experiences, they’re much more likely to continue doing business with you.
Increased Customer Loyalty
51% of US customers stay loyal to the company that offers the latest product or service. Customer transformation can also lead to increased customer loyalty. When you focus on delivering an excellent customer experience, customers are more likely to remain loyal to your brand.
Improved Customer Retention
Another benefit is improved customer retention. By delivering a great customer experience, you’re more likely to keep customers returning.
And as we mentioned before, it’s much cheaper to keep existing customers than to attract new ones. So, not only will it save you money in the long run, but it’ll also help you boost your bottom line.
Customer transformation can also help you acquire new customers. This is because when you deliver an excellent customer experience, customers are more likely to recommend your company to others.
Increased Revenue and Profits
Finally, focusing on customer development can lead to increased revenue and profits. This is because happy customers tend to spend more money with your company. It’s estimated that companies that focus on customer experience see an increase in revenue within the first year.
3. What Are the Steps of Customer Transformation?
Any business looking to effect change within their company must go through the proper channels to complete a customer transformation. There are four main steps involved.
The first step is to assess the current state of the business. This includes taking stock of both physical and human assets, as well as company processes.
Once the current state is understood, it’s time to determine what needs to change. This can be anything from streamlining processes to instituting new policies.
Once the changes have been identified, it’s time to implement them. This is often the most difficult part of the process, as it requires buy-in from employees and customers.
Finally, it’s important to evaluate the results. This helps ensure that the transformation is successful and that any necessary adjustments can be made. By following these four steps, any business can effect positive change within their company.
4. What Are Some Common Pitfalls?
Customer transformation is a hot topic these days, and for good reason. In today’s competitive landscape, businesses need to be able to innovate and adapt in order to survive. However, customer transformation is not without its challenges. Here are some of the most common pitfalls businesses face when undertaking a customer transformation:
Lack of C-level Commitment
Customer transformation requires buy-in from the top. Without a commitment from senior leaders, it will be difficult to get the resources and budget necessary to execute a customer transformation.
Lack of a Clear Vision
A successful customer transformation requires a clear vision and strategy. Without these in place, it will be difficult to rally employees and other stakeholders around the initiative.
Many customer transformations stall during implementation. This is due to factors such as scope creep, budget constraints, and resistance from employees. It is important to have a clear plan for how the transformation will be implemented in order to avoid delays.
Another common pitfall is poor communication between different teams and stakeholders. A lack of communication can lead to confusion and frustration, both of which can hinder the success of a customer transformation.
How Can Chris Hood Help You?
Chris Hood is a leading expert on customer transformation. He has helped businesses of all sizes navigate the challenges of customer development, and he can do the same for your business.
Chris has a proven track record of helping businesses increase revenue and profits through customer change and experience. He can help you assess your current state, identify areas for improvement, and develop a clear plan for how to implement the necessary changes.
Contact Chris today to learn more about how he can help your business transformation.