Editorial
The Gist
- CEO imperative. Leading CX begins at the top, with the CEO championing the cause.
- Unified support. CX leadership success hinges on peer executive buy-in.
- Trust building. Effective communication is vital for building trust in the CX process.
We are all customers — or potential customers — based on the everyday purchases we make and those once-in-while buying decisions. In an ocean of choice, how can companies compete for our attention and capture our loyalty? I believe they do this by putting customer experience (CX) at the heart of the organization. While this seems simple, having this organizational mindset requires a commitment to change.
CX has become the driving force behind many successful organizations, permeating every facet of their operations. Placing the customer at the core of decision-making is a profitable strategy with McKinsey & Company research suggesting 3x higher returns between CX leaders and their opposing laggards. To achieve this, getting buy-in from all departments, including product, technology, finance and more is crucial. Building loyalty, ensuring consistency, actively seeking feedback and continually improving are all essential elements of this approach.
Unfortunately, some companies fail to prioritize the customer experience. In industries lacking consumer choice, the fear of change and an excessive emphasis on financials can hinder progress. It is essential to recognize that while CX demands upfront investments, it generates long-term value.
In the past few months, many West Coast tech companies faced layoffs and the consequences of over-hiring. However, by refocusing on the consumer and streamlining processes, these organizations can enhance investments and thrive. From my work with clients advising on their CX leadership strategy, I commonly see three key ingredients for organizational success.
CX Requires a Top-Down Approach, Starting With the CEO
In any industry, customer experience serves as a key differentiating factor. By meeting consumer expectations and offering convenience, consistency and demonstrated value, companies can secure a loyal customer base. This necessitates leadership from the top-down, with the CEO setting the customer strategy and effectively communicating it to the entire organization.
One of my favorite CX success stories is Walmart. The company’s strapline: “Save Money. Live Better” exemplifies its commitment to meeting consumer expectations by offering convenient, local products at everyday value. In the past, I’ve been in Walmart and found some of what is now my favorite vintage vinyl. Something you might expect to get in a local record store, not the world’s largest retailer.
Related Article: Is Your Culture Creating a Great Customer Experience?
Your CX Leader Needs Peer Executive Buy-in to Be Successful
Every executive within the company must embrace their role as a CX leader, working collaboratively to achieve shared goals. Like a quarterback in American Football, the CX leader guides the team but is also actively involved in executing the game plan. Furthermore, organizations need to align their metrics with the customer strategy, such as attaching a significant portion of all executive bonuses, regardless of their mandate or role title, to metrics like Net Promoter Score (NPS).
Related Article: 20 Customer Experience Metrics Critical for Your Business
Effective Communication Builds Trust in the CX Process
A robust communications strategy is equally vital, where senior leadership consistently places the customer at the center of their actions. Accountability from a people perspective, led by HR, ensures that individuals throughout the organization prioritize the customer experience and align their efforts accordingly.
In today's competitive landscape, organizations must recognize that everything is CX and CX is everything. By fostering a customer-centric culture, engaging all stakeholders, and investing in long-term value, companies can position themselves as industry leaders while reaping the rewards of enhanced customer loyalty and satisfaction.
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