Customer Experience Management
What is Customer Experience Management?
Customer Experience Management (CEM) is a strategic approach aimed at creating positive, consistent, and brand-appropriate experiences across all touchpoints. It places customer needs and an optimal customer experience at the centre — ranging from the first contact to the post-purchase phase.
The goal of active Customer Experience Management is to enhance customer satisfaction and, in turn, strengthen loyalty.
To achieve this, customer feedback is continuously collected (e.g. via Google Reviews, Yelp, Trustpilot, or in-house surveys) and analysed alongside behavioural data. Based on these insights, both communication and service offerings can be tailored to customer needs—potentially in a personalised manner. Additionally, employees receive specialised training to meet the service standards of the respective brand.
Customer Experience vs. User Experience
While CX refers to the overall interaction between customers and a company, User Experience (UX) primarliy focuses on individuals’ experiences when using specific products and services.
A positive Customer Experience leads to public advocacy and increased loyalty – in other words, customer retention. Digital channels provide companies with opportunities to engage with customers more directly and intensively, enhancing the quality and depth of the relationship and ultimately benefiting from the positive effects. Consequently, customer experience has a significant impact on a company’s revenue.
Phases of Customer Experience
The various touchpoints between customers and a company, its products or services, as well as key contact points such as customer service, can be divided into different phases. The Customer Journey provides companies with a structured overview of the individual touchpoints within the purchasing decision process. Identifying so-called pain points and gains is crucial to creating the best possible customer experience. This is achieved through the targeted optimisation of the most purchase-relevant touchpoints.
Measuring Customer Experience
Measuring Customer Experience requires a comprehensive analysis of key performance indicators (KPIs) that capture both qualitative and quantitative aspects of the customer journey.
Key KPIs for assessing CX include traditional customer satisfaction (Customer Satisfaction), the Customer Effort Score (measuring the effort required to resolve an issue), Customer Lifetime Value, and the Net Promoter Score (willingness to recommend a brand). In the digital space, metrics such as the add-to-cart rate, churn rate, and conversion rate provide valuable insights into pain points and gains during the online purchasing process.
Customer Experience is dynamic. Evolving customer expectations and market influences necessitate continuous monitoring and targeted optimisation to enhance the overall experience.
Contact
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Our branding experts are available at +49 89 273 73 54 00 or via email at info@biesalski-company.com.
You can also find more information about Biesalski & Company’s services in the area of User Experience Management.
Sources & Recommended Reading
- Barbu, C. M., Florea, D. L., Dabija, D. & Barbu, M. C. R. (2021). Customer experience in Fintech. Journal Of Theoretical And Applied Electronic Commerce Research, 16(5), 1415–1433.
- Salazar, K. (2024, 30. Januar). User Experience vs. Customer Experience: What`s The Difference? Nielsen Norman Group.
- Phan, N. A. (2023). The Application of CX and UX Design in the Marketing Field in Finland. Theseus.
