Internet Marketing Chapter 6 Lecture Slides
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Transcript Internet Marketing Chapter 6 Lecture Slides
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4
Customer Experience
McGraw-Hill/Irwin
© 2004 The McGraw-Hill Companies, Inc., All Rights Reserved.
Customer Experience — Today’s
Objectives
Objectives will be to:
Introduce and define the concept of customer experience
Explore the seven elements of customer experience
Examine the three stages of the customer-experience hierarchy
Discuss six broad goals in creating desirable customer experience
Explore how the stages of customer experience apply to eBay
Chapter 4: Customer Experience
The Elements of Customer Experience
The Stages of Customer-Experience Hierarchy
Broad Goals in Designing Desirable Customer Experience
EBay’s Customer Experience
Conclusion
Chapter 4: Customer Experience
The Elements of Customer Experience
The Stages of Customer Experience Hierarchy
Broad Goals in Designing Desirable Customer Experience
EBay’s Customer Experience
Conclusion
Seven Key Elements of Customer
Experience
1.
2.
3.
4.
5.
6.
7.
A certain level of functionality must exist in order for
a site to work; basic standards and expectations
must be met
Relates to the individual’s unique perception of the
encounter with the firm
More than just the economic transaction - the entire
customer encounter experience includes both process
and output measures of the shopping experience
Includes a customer’s response to multiple
variables, from the tactical layout of the store/site to
high-level interpretations of the meaning of the brand
To the extent that it is relevant, assessment of the
customer experience needs to incorporate all five
senses
Cognitive responses are thoughtful and evaluative in
nature; emotional responses tend to capture moods,
attitudes and feelings of the customer
Previous, separate experiences can affect a
consumer’s reaction to various stimuli during a
shopping experience
The Objective Element
The Perception Element
The Encounter Element
The Reactions-to-Stimuli Element
The Sensory Element
The Cognitive and Emotional Element
The Relative Element
Customer Experience vs. Building
Brand
Point-Counterpoint
Brand Awareness
Is the Key to Success
Building
brand awareness leads to traffic
Investors need to see site traffic and the
likelihood of future profitability
Offering
a great customer experience
when nobody knows about the site is a
waste of resources as long as a baseline
functional standard is being met
Customer Experience Is
the Key to Success
Focusing
on customer experience is the
single most profitable thing a business
can do
Customers
that have a positive
experience with the site are more likely
to keep coming back and to tell their
peers about it
Positive customer experience leads to
purchases at commerce sites,
exploration at content sites and
participation at community sites
Chapter 4: Customer Experience
The Elements of Customer Experience
The Stages of Customer Experience Hierarchy
Broad Goals in Designing Desirable Customer Experience
EBay’s Customer Experience
Conclusion
Exhibit 4.1: Stages of Customer
Experience
If a Firm Gets This Right …
Stage One: Functionality
Stage Two: Intimacy
Stage Three: Evangelism
Design and information
architecture
Deep understanding of customer
behavior
Platform independence
Efficient transactions
Warehousing and mining
Tailoring of pages and offerings
Overlay human interaction
Integrated data
Consistent performance over
time
Constant innovation and
upgrading (incremental or
significant)
Supports evangelists
Acknowledgment of evangelists
This Is What the Customer
Experiences
Site is easy to use
Quick downloads
Intuitive navigation
Site reliability
Personalization
Increasing trust
Repeated experiences of
exceptional value
A sense of “being in the
know”
Consistent experiences
Significant benefits relative to
other offerings
Desire to make messages to
the market
Community benefits
Exhibit 4.2: Stages of Customer
Experience Over Time
Exhibit 4.3: Seven Deadly Sins of
Customer Experience
Chapter 4: Customer Experience
The Elements of Customer Experience
The Stages of Customer Experience Hierarchy
Broad Goals in Designing Desirable Customer Experience
EBay’s Customer Experience
Conclusion
Broad Goals for Creating a
Desirable Customer Experience
1.
Create a Rich Description of the Target Customer
2.
Develop Use-Case Scenarios for Each Target
Segment
3.
Effectively Integrate the Online and Offline
Experience
4.
Articulate Clear Stages of Desired Experience
5.
Effectively Assess Relative Levels of Hierarchy
6.
Highly Leverage the Evangelists
Exhibit 4.5: Stages of Customer
Experience for REI.com
Generic Desired Customer
Experience
Functionality
Intimacy
Evangelism
Site is usable
Easy navigation
Quick download
Speedy site
Reliable
High trust
Consistent experience
Quick, effective communication
High personalization
Exceptional value
Consistent with brand message
Takes word to the market
Defends the experience
What REI.com Delivers
Content organized around user needs
Easy-to-find gear and activity information
Multiple views of products and services
Website that rates high on efficiency and
fulfillment
No crashes and limited downtime
Authoritative content and information
Kiosks in store link to online channel
Easy access to customer service, including
live online help
E-mail newsletter
Member discounts and rebates
Product returns to store or by mail
Adventure travel service
Membership advantages
E-mail option for sharing information
Community message boards
In-store and local events
Chapter 4: Customer Experience
The Elements of Customer Experience
The Stages of Customer Experience Hierarchy
Broad Goals in Designing Desirable Customer Experience
EBay’s Customer Experience
Conclusion
Exhibit 4.6: Steps in Creating
Good Customer Experience
Step
Create Rich
Description of
Target Customers
Develop Use-Case
Scenarios for Each
Target Segment
Integrate Online and
Offline Experience
Articulate Stages of
Desired Experience
Assess Levels of
Hierarchy
Leverage the
Evangelists
Monitor and Adjust
Benefit to Customer
Company better able to imagine
customer motivations
Company better able to anticipate
and meet customer needs and
expectations
Customer experiences consistency
across brand and channels
Customer experiences increased
attachment to company, greater
loyalty and potential for evangelism
Customers perceive that they are of
value to the company
Customer participation in brand and
marketing is rewarded by feeling of
belonging and community
Major and incremental changes to
site diminish barriers to good
experience
Benefit to Company
Brings market research to life
Allows shared understanding of customer
types
Site designers put themselves in
customers’ shoes, which helps create
intuitive navigation and ensures usability
Enhanced overall sales, lessening of
perceived channel cannibalization
Company able to map desired outcomes
to product and site deliverables
Company able to consider strategies for
moving customers along the experience
hierarchy
Company gains insight into product uses
and product development; benefits from
viral marketing
Online channel’s full potential is
leveraged
Exhibit 4.7: Stages of Customer
Experience for EBay
Stages
Generic Desired Customer Experience for
Auctions
Functionality
Intimacy
Direct message
Clean layout
Quick browsing, searching, and bidding
Straightforward selling
Good market segmentation (by category,
region, special interests
Reliable
Effective communication
Consistent experience
Trustworthy customer service
Only the necessary level of personalization
Exceptional value
Consumption for leisure
Channel for selling, especially B2C
Active community members
Assistance in brand building
Evangelism
Taking word to the market
Defends the experience
Look down on competitors
What eBay Delivers
Easy-to-locate items
Easy-to-upload information about selling
Fast auction interactions
Easy-to-understand rules and auction interface
No crashes and limited downtime
Very efficient access
User constantly knows status of auction
Site is consistent across all areas
Quick, effective personalized e-mail responses
Users make "My eBay" their main interface with the site
Enabling transactions is regarded by eBay community as
extremely valuable
Businesses use eBay as a distribution channel
Active users in personal and company’s feedback
forums
Feedback Forum becomes emotion driven: “I wonder
what people are saying of me”
Describes eBay as the ultimate experience in terms of
great deals and trustworthiness
No need to visit other auction websites for better deals
or more variety
Exhibit 4.8: EBay’s Functionality
EBay’s Score
The Basics
Usability and ease of
navigation
Speed
Reliability
Media accessibility
Security
Intuitive interface guides both buying and selling process
Logical organizational structure reinforces where you are in the
site at all times
Site is light on graphics, making performance quick on dial-up
connections
Item searches are extremely fast
Site can handle 800,000 transactions per minute
Outages, a problem in eBay’s earlier days, have been reduced to
a minimum
EBay Anywhere enables access from any wireless device
Security keys for payments separate from eBay passwords,
adding extra level of protection
Encryption used on all transactions to ensure safe exchanges
Chapter 4: Customer Experience
The Elements of Customer Experience
The Stages of Customer Experience Hierarchy
Broad Goals in Designing Desirable Customer Experience
EBay’s Customer Experience
Conclusion
Customer Experience —
Conclusion
Customer experience refers to a customer’s perception and interpretation
of all the stimuli encountered while interacting with a firm
There are three stages to the customer experience, which are outlined by the
customer-experience hierarchy:
Stage One: Experiencing Functionality — “The Site Works Well”
Stage Two: Experiencing Intimacy — “They Understand Me”
Stage Three: Experiencing Evangelism — “I Love to Share the Story”
In the process of designing a desirable customer experience, firms should
set six broad goals: 1) create a rich description of the target customer,
2) develop use-case scenarios for each target segment, 3) effectively
integrate the online and offline experience, 4) articulate clear stages of
desired experience, 5) effectively assess relative levels of hierarchy, and 6)
highly leverage the evangelists