three-stage process for improving the cx using predictive analytics and automation
TRANSCRIPT
Laura Cumings, Director of Customer Intelligence & Strategy, Gordon Food Service Customer Analytics Innovation Summit, Chicago, June 16-17, 2016
Three-Stage Process for Improving the Customer Experience using
Predictive Analytics and Automation
Customers Expect an Omni-Channel Experience
Source: Gartner Customer 360 Summit (2011)
• Omni-Channel Performance = Anytime, Anywhere, Any Device +Seamless Interactions
Ease of Doing Business
Statements
Responsiveness
In-Store Experience
Privacy
Cost
Direct MailCustomerInformation
Mobile Accessibility
Locations
In Home Experience
Ethics
Media
Friendliness
Reputation
Master CX Companies Performed Better with Digital
• CX Masters delivered 13% in revenue growth by investing heavily in digital without forgetting their offline channels*
Source: B2B Customer Experience: Start Playing to Win and Stop Playing Not to Lose (Accenture Survey Study; n=1,458)
Meausure the Entire CX from End-to-End
Awareness &
Assessment
Onboarding
ProblemResolutio
n
• Retention• Cross-sell/
• Upsell
Loyalty
Added Value
Services
Business Cycle
• Survey customers after every interaction about their experience
Connect
Convince Collaborate
Measure the CX Using Common Metrics
• Provides flexible aggregation and robust predictive models to help identify your differentiated experiences
ChannelChannelProducts
& Services
Products&
Services
BusinessUnits
BusinessUnits
• Evaluate seamlessness• Top/Bottom channels• Co-occurrence & optimization
• Ease of use• Cumulative impact
of products/services
• Evaluate end-to-end journey• Transfer of knowledge• Greatest differentiating services
Follow this Modeling Methdology
End-to-End CX Drivers(End-to-End CX Transactional Survey)
Financial Outcomes
(Data Warehouse)
Create Your Analysis Dataset
Confirmatory Factor Analysis(Standardized Latent Scores)
Multiple Linear Regression Model(Link CX Factors to Financial)
Create Your (Latent) CX Variables
Build Your CX Predictive
Model
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COMPANY CONFIDENTIAL Slide 7
Linking the End-to-End CX Drivers to Retention and Acquisition at Gordon Food Service
Random Sample of 2,315 Current Gordon Food Service Customers
R-Square = 0.84
End-to-End CX
Invoice & Payment
Store
Problem Resolution
Special Orders
Product
Value Added Services
OrderingSales
Driver
Delivery
CX Latent Variable• Omni-
channel• Personalized• Easy• Enjoyable• Added Value• Competitivel
y Priced
Financial Performance
Latent Variable
• Retention• Upsell/
Cross-sell• Acquisition
(from Positive Referrals)
Ord
ere
d f
rom
Hig
h t
o L
ow
Ef
ect
Siz
e
Confidential
Omni-Channel & Personalization Are Top CX Drivers
Being enjoyable to do business with
Providing value to your operation
Being easy to do business with
Providing an omni-channel experience
Personalized to meet your needs
MEDIUM
MEDIUM
MEDIUM
HIGHEST
HIGH
Relative Impact
Being competitively priced LOW
Customer Experience
Make it easy for
ME
Be relevant
to ME
Be consistent with ME
Know ME
$When you deliver a Efficient, Easy and
Seamless CX, price isn’t a key differentiator
Confidential
Guest Speaker: Emily Rhodes
Expertise● Personalization● Omni-Channel Experiences● Decision Sciences● CRM
Industries● Retail● Financial Services● Consumer Products
Execution Specialist using Big Data and Predictive
Analytics
Inputs For CX Automation
IDENTIFICATION>>
Simple Rules
Segmentation
Affinity Analysis
Propensity: Lookalike, Response and Uplift
Migration Models
LTV Models
Big Data Event Detection
Live:• Store• Branch• Phones• Kiosk
Digital:• Website• Mobile• EM, DM, SMS
Emerging:• Social CRM• Onsite Retargeting
CHANNELTREATMENT >>
Customer Service Messaging
Promotion/Discount
Value-Added Services
Loyalty Rewards
Phone Script/Instructions
New Customer Program
Personalized Content
Treatments designed to optimize the top CX driver
Identify the eligible customers who receive the treatments
Channel that delivers the treatments to the customer
Auto Optimization of CX Treatments
Omni-Channel Treatment Delivery
DecisionScoring
AutoOptimization
The delivery of targeted customer treatments across all channels
A rank order of customer treatments based on a
multi-dimensional score
Real-time optimization that selects the most effective treatment to
deliver to the customer
• CX treatments are ready to be served to any channel, any time
• Treatments are served when the customer is authenticated on the channel
• CX treatments are ready to be served to any channel, any time
• Treatments are served when the customer is authenticated on the channel
Real-time scoring based on these dimensions:
1. Company fit
2. Customer fit
3. Channel fit
4. Model fit
Real-time scoring based on these dimensions:
1. Company fit
2. Customer fit
3. Channel fit
4. Model fit
• Machine learning optimization
• Automatically remove low performing treatments
• Add constraints using business rules
• Machine learning optimization
• Automatically remove low performing treatments
• Add constraints using business rules
What:
How:
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Review What We Just Learned
1. MEASURE – Entire CX with common metrics
2. MODEL – Identify the top CX drivers
3. AUTOMATE – Treatments to optimize the top CX drivers
BI & Analytics Platforms
28
Advanced Analytics
16
SaaS
15
Social Software
21
Analytics Service
18
15
Salesforce Automation
1
Gartner’s Magic Quadrant: Multi-Channel Campaign Management Platforms
CHALLENGERS LEADERS
NICHE PLAYERS VISIONARIES
COMPLETENESS OF VISION
AB
ILIT
Y T
O E
XE
CU
TE
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Technology Landscape for CX Automation
Analysts and Marketers need to understand and navigate multiple technologies to execute CX Automation
