“Create exceptional customer experiences.” Companies in every vertical are adopting this mantra as a way of organizing efforts to improve revenue and competitiveness.
And for good reason – McKinsey states that customer experience leaders can expect to see revenue gains of 5%–10% and cost reductions of 15%–25% within three years, compared with their current baseline(i). Those are the kind of numbers that can really turn shareholders’ heads and get the C-suite popping the bubbly.
Data is a critical but often overlooked component of delivering superior customer experiences. Most of us know firsthand how bad data creates a negative experience. Getting duplicate letters from your cable company doesn’t exactly inspire confidence. It’s irritating – and possibly alarming – when your doctor’s office misspells your name on a document. And getting sales offers to “switch” to a bank you’ve done business with for years can cause you to seriously think about switching – to some other bank.
Why is this type of experience so common? It’s simple – customer data records of most companies are not in great shape. Research shows that much of the customer data at many companies is incorrect or incomplete. In fact, in one Information Difference survey, only 4% of companies described their data quality as “excellent.(ii)
Customers, rightfully, want to be treated as if they are special. They expect the companies they do business with to know them, understand them and remember them. Delivering on that expectation requires great data.
Enriching data with as much information as possible lets you improve service, build loyalty and deliver better experiences. Having excellent data means that customer service representatives can see the full history of previous interactions when a customer calls with a question or issue. It tells an ER nurse who a patient’s primary care doctor is without having to ask. It lets an insurance salesperson already know whether a potential customer lives within a floodplain. And it spares representatives the embarrassment of using a wrong name, wrong address or wrong information when talking with a loyal, long-term customer.
Essentially, data enrichment lets you know your customer better, so you can personalize conversations, offers and solutions more accurately to deliver better service and sales.
Here are the essential steps for enriching your customer data to enable superior experiences.
When you significantly improve the quality of your customer data, it inevitably leads to better experiences and happier customers. And happy customers, of course, lead to more sales, greater revenue and high-fives all around.
iDuncan, Ewan et. Al. “Customer experience: New capabilities, new audiences, new opportunities.” McKinsey & Company, No. 2, June 2017.