Customer Experience (CX) is of great importance for business success. Salesforce Research reveals in its study that 80% of customers say the experience a company provides is just as important as its product. This is particularly true in today’s confusing world, where COVID-19 has shifted consumer habits and priorities immensely. Therefore it is not surprising that companies are competing on the experience they offer. Effectively suiting your consumer’s needs and showing them you care requires a good CX strategy. So what constitutesis a solid CX strategy?
A CX strategy can be described as the process of defining, planning and documenting an approach to improve the customer experience, to accelerate the achievement of business goals. A good CX strategy helps to understand the ever-changing customer behavior, so that your organization can meet and even beat your customer’s expectation. A striking experience ensures that consumers distinguish your organization from the competition. It also boosts sales, ensures more loyal customers and customer advocacy.
Just Eat measures everything
A good customer experience strategy focuses on a lot of data points, as this Just Eat case shows. Using Google Cloud, Just Eat has created its own proprietary Customer Ontology framework, which today contains 5.5 billion features that better understand consumers’ behavior and food habits, and provides insights into previous visits.
As data is the fuel of Just Eat’s rapid growth, a capable data platform is crucial. In its early days, Just Eat struggled with the deluge of information and faced fragmentation across its systems. In fact, the company realized its legacy data vendor wasn’t capable of ingesting 90% of the data produced by its food platform.
Just Eat turned to Google Cloud, and now uses machine learning (ML) to power sophisticated consumer recommendations on both its app and website. It also makes heavy use of features offered by Google Cloud Platform, including BigQuery for running analytics on its customer data set and Cloud Pub/Sub for messaging app users with relevant offers in real-time.
The effects of Just Eats’ Customer Ontology Framework result in small iterations of the companies’ services that have big effects. For example, Just Eat recently created an “Adventurous Index” to automatically map its customers according to their ordering habits, enabling them to tailor their experiences. For example, mid-adventurous customers are shown a choice of restaurants that serve their most ordered cuisine, while adventurous customers can choose from restaurants that serve a wider variety. This not only has prompted consumers to be more adventurous with their choices, but also has led to more business at a more diverse set of restaurants. Today the company helps 27 million customers find food from more than 112,000 restaurants — everything from homemade Italian pasta, to Chinese noodle bowls, to fish-and-chips.
Interested in learning more about the technological sides of measuring everything your customers do? In this video from Google Next 2019 we explain how Recommendations A.I. (our service that helps retailers deliver personalized recommendations at scale) helped eMAG create more than 1 billion unique recommendations with over 500 million page views per month:
So, measuring customer expectations is the basis of a good CX strategy. But how can your organization deliver an experience that actually exceeds consumer expectations? For this you need to understand how consumers store the memory of the experience in their minds. Nobel Prize winner and economist Daniel Kahneman noted that people use mental shortcuts (heuristics) to remember the most important things. A frequently used mental shortcut for remembering experiences is the ‘Peak-end rule’. It explains that people only remember snapshots of a complete experience, especially the peak and the end. The entire experience is evaluated based mostly on these two moments. When we apply the Peak-end rule to customer experience, the conclusion is: create a highlight and pay attention to the final part of the experience. Watch the video below to learn more about this psychological trick!
Playing the numbers game
As you can see, a personalized customer experience is all about playing the numbers game by measuring everything your customers do. This asks for a data platform that’s up for the task. If you’re interested in learning more about Google Cloud’s possibilities, please don’t hesitate to reach out.