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How Data Analytics Enhances Customer Experience

By Visionet November 27, 2020 January 5th, 2021

Data analytics works like magic when utilized properly. It has not only refined the customer experience but also revolutionized the customer-marketer relationship while multiplying sales and enhancing customer satisfaction. Paul Gaynor, a partner at PwC, states that advanced business analytics inhabits the potential to predict everything from customer interaction to financial transactions, anywhere in the world. This equates data as no less than a superpower for businesses today.

 

Read more: AI-Powered Big Data Analytics for Insurance is the New Normal

 

With Forbes reporting that 96% of the customers say that customer service is important in their choice of loyalty to a brand and Gartner stating that 74% of customer experience leaders expect budgets to rise, it’s significance cannot be overlooked. It helps predict what to expect, draft a response ahead of time, and influence outcomes greatly in a timely fashion. As Gaynor puts it, “It’s like looking ahead with a telescope, not glancing through the rear-view mirror.”

 

Toss the guesswork out of the equation and read on to find how data analytics enhances customer experience.

 

Power of Personalization

Directing the right message at the customer at the right time and through the right channel is crucial. Through the power of predictive analytics, a relevant and engaging personalized collection can be curated for customers. Founder of Pacific Data Science, Adam Lichtl agrees that analyzing data gives birth to tremendous opportunities for discovering patterns of customer behavior that assists the companies to marshal their energies in an effective manner.

 

Lure Them Back to Reduce Customer Churn Ratio 

Once loyal customers who are no longer making purchases is a company’s biggest nightmare. For this reason, retailers are always on the lookout for reducing customer churn considering that it is far less expensive to maintain a customer base as opposed to acquiring a new one. A rule of thumb when using data analytics to enhance customer experience, is to attract unaffected customers back into making a purchase by offering incentives, time-bound offers, or price alternatives.

 

Customer Interaction Counts Across All Touchpoints

A buyer’s journey includes several touchpoints and how the consumer feels about your company depends heavily on how you treat them. Facebook ads, packaging, branding, service calls, and emails should all be evaluated if you want to step up your game. Whether you are creating a safe space for the customer or self-sabotaging your name, it’s all in your hands.

 

An extraordinary example is that of Apple which has an easy-to-navigate website, precise descriptions, responsive customer support, and in-store demos that convert visitors to customers with each interaction. Pre-purchase customer experience includes ads, promos, social media, and marketing campaigns while the purchase includes packaging, invoice, website, and so on. It is also vital to add to the customer experience post-purchase through surveys, newsletters etc. This ensures optimum use of data analytics for improving the customer experience.

 

Provide a Frictionless Customer Experience

Nobody wants to waste time or money navigating through a poorly designed website. A good website design creates a frictionless experience for the customer by anticipating their needs and leading them to their destination with the help of employing data analytics for optimizing customer experience. For example, if you want to read a blog on Visionet, the blog link should be available in the header, not buried away deep down in the menu.

 

Earn Brand Loyalty by Practicing Gratification

One of the proven ways to heighten customer experience is through the provision of gratification. Thanking the customer will not only make them feel valued but also foster long term loyalty with your brand. Weave this process into the entire brand experience till delivery and beyond to see your metrics soar high!

 

Read more: The impact of machine learning and analytics on the banking sector

 

Data Analytics – An Asset for Customer Experience

Keeping an eye on data analytics is crucial in keeping up with customer needs and enhancing their experience. It should be a top priority in your sales objectives as it attracts more paying customers, builds loyal relations, gives the customer a safe space and flexibility, which equates to an enhanced customer experience. Analytics is a prized asset for customer experience and over 80% of companies that work to improve their customer experience report an increase in revenue, states Forbes.

 

Don’t know how to integrate data analytics into your business? Get in touch with our experts and have all your questions answered by taking the guesswork out of the equation.