Design and Customer Experience

Design and Customer Experience

1. Description of the experience

Customer experience refers to the complete perception of the customer with your brand or business. It is how things are done that impact the perception of our customers hence influencing their decision to keep coming back for more. It, therefore, remains prudent that excellent customer experience is the key ingredient to success.

Good customer experience is very advantageous to the business in the sense that it promotes better positive reviews and hence, repeat customs. There is minimal colliding with the customers through returns and complaints. The main benefits of good customer experience include increased customer loyalty, positive reviews and recommendations, and increased satisfaction of the customers (Ahmed et al., 2014).

Any business model benefits a lot from a good customer experience. For instance, when customers subscribe to any given business, that business will enjoy a reduced churn and increased retention. Increased repeat customers and reduced returns, the services offered tend to gain recommendations while lowering on the complaints.

2. Application of the servicescape and service-profit chain to the experience.

Servicescape refers to the physical environment in which services take place in a business setting. Servicescapes are crucial in the identification and analysis of the impacts of optimum conditions that favor service in an industry (Bitner, 1992).  Service profit chain a business model that institutes relationships between customer loyalty, customer experience, employee satisfaction, and productivity.

Servicescape and service-profit chain dissects all the levers of production and converts them to profitability. The results from quantifying and understanding these levers help the company to increase output through the empowerment of employees.

Service chain levers can be improved through creating a customer feedback loop, creating an employee feedback loop, and creating processes to action input. There is an ultimate measure of customer loyalty using the service profit chain. The frontline employees play a significant role in providing a great customer experience. Frontline employees can be trained to translate customer feedbacks with the help of rightful processes and techniques to yield more in terms of profitability and service.

Links in the service-profit chain

Operation strategy and service delivery system

Workplace design                                     service concept:                      retention

Job design                                                 results for customers               referral & repeat

Employee rewards                                                                       services to meet

Tools for serving customers                                                        customer needs

3. Unique Competitive Advantage Experience Will Give To The Company

Customer experience is the main factor that determines how competitive business will be. The ability of a company to stand out among other companies in the same business in terms of customer retention is vital to the position of that company in the market place. Competition in the market place is about convincing customers to buy your services by providing quality or matching that of the competitor (Mantymaa, 2013). There is, therefore, a need to build a firm and enduring connection with the customers to prevent losing customers to the competitors.

4. Profitability And Customer Loyalty

Customer loyalty is known to be the best stimulator of profit and growth in a business. Customer loyalty is directly proportional to profitability is a business setting. Loyal customers are the best since they are likely to cost less to serve than newer customers. The loyalty of a customer is greatly influenced by purchasing behaviors (Hallowell, 1996). More purchases relate per customer translates to more loyal that customer is to the company. This because loyal customers have prior knowledge of the product and hence, maybe in a position to make a judgment and accurate reference prices. When people talk positively about the outcomes of a company, they are likely to sell out and market that company. Also, when a customer keeps buying from only one company, they are likely to increase sales hence the profitability of the company. The more the purchases a customer makes from a company, the more profitable the business becomes, and also, the more that customer becomes essential to the company.

Reference

Ahmed, Z., Rizwan, M., Ahmad, M. and Haq, M., 2014. Effect of brand trust and customer

satisfaction on brand loyalty in Bahawalpur. Journal of Sociological Research, 5(1), pp.306-326.

Bitner, M.J., 1992. Servicescapes: The impact of physical surroundings on customers and

employees. Journal of marketing, 56(2), pp.57-71.

Hallowell, R. (1996). The relationships of customer satisfaction, customer loyalty, and

profitability: an empirical study. International journal of service industry management, 7(4), 27-42.

Mäntymaa, J. (2013). Gaining competitive advantage through quality of services in financial

industry. University of Oulu, Oulu.