Even though this research includes sophisticated and complex statistical analyses, in essence it is a practical tool. Its main objective is to improve your offering in the areas that matter most to your customers and to boost their commitment.
In order to stimulate the loyal behavior of your customers, i.e. to stay with you or buy another service or recommend your product, the first step is to understand the experience of your customers in dealing with your company.
This is what Connexion does: Monitors customer attitudes to drive favourable future behaviour
The customer experience is analysed from several angles: satisfaction, emotions and image. Satisfaction is measured by product attribute, touch-point and as overall satisfaction.
In understanding the importance of product attributes we use statistical analyses to calculate derived attribute importance. Why is that? You know that when you ask your consumers how important are the different elements of your product, they give high importance to the majority of attributes. Using derived importance takes into account the actual and not the perceived value.
An analysis of Key drivers identifies attributes with highest impact on overall satisfaction.
Finally a customer satisfaction index is calculated. This 0-100 CSI is a handy tool to track customer happiness over time.
Emotions and Image attributes also play a significant role in customer experience as drivers of loyal behavior and are included in the survey.
A Loyalty Index is designed to represent the loyalty drivers’ impact on customers’ retention.
We know that not all satisfied customers are loyal, so customer vulnerability is another important measurement to focus upon. To what extent loyal behaviour would erode under competitive pressure? Which customer clusters are most vulnerable?
Another useful analysis is the Loyalty – Satisfaction Matrix. As satisfaction on its own does not guarantee loyalty. Switching barriers, bonding, competitive environment have impact. So, where do you stand, what percentage of your satisfied customers are also loyal?