Conversion Customer Optimisation
5 years of growth ahead
- Roger Martin Fagg, Economist, Q4 update 2015
We're all ready to grow
3 trends we're all navigating
New competition
Anything anywhere
Service transparency
If you can't find a way to give them what they want, where they want it and in a way that they value, someone else can.
"Customer experience will be more important than price by 2020"
We manage 40 million customer experiences each year.
We believe that the best way to help you achieve your goals is to help your customers achieve theirs.
YOU
CUSTOMER
3 methodologies from under the hood
Decision-making
Memory design
Customer behaviour
Marketing has never been more accountable.
You can be sure about one thing in 2020.
You will still be selling to people.
12 million feelings - Over 3 years - Global dataset
Our needs as people won't change.
Neither will the way we make decisions.
Decision-making
Memory design
Customer behaviour
#1
Simplify decision making
Sensory > Emotional > Cognitive
Sensory
Sensory > Emotional > Cognitive
Emotional
Sensory > Emotional > Cognitive
Cognitive
Title Text
Your brain is made of two systems.
System one is fast, intuitive and effortless.
Do you prefer dogs or cats?
Which one is Kiki and which one is Bouba?
Title Text
A.
B.
Bouba
Kiki
Across cultures people choose this...
Kiki > Teeth > Sharp
Bouba > _____? > Round
What is 8,992 x 19.86?
Welcome to system two.
Wherever possible, we prefer to use system one
How does this effect how we judge price?
It depends on the level of uncertainty.
How much should a next-generation watch cost?
$17,000?
Seems steep but now $349 looks reasonable.
This heuristic (mental short cut) is called anchoring.
But, the big number doesn't need to be a price.
+38%
VS. Baseline
Numbers with more syllables feel bigger.
Fifty Six Pounds
£55.99
Fifty Five Pounds Ninety Nine
1
2
3
4
5
6
7
1
2
3
4
£56
VS.
Even increasing the price can increase sales.
+14%
VS. Baseline
Could I make decisions easier for customers?
The
Effect
Number of decisions
Liklihood of doing what we want
Could I remove any decisions for customers?
3 Questions to ask your teams
-
What decisions are we asking customers to make?
-
What decisions could we simplify for system one?
-
What decisions could we remove?
Decision-making
Memory design
Customer behaviour
#2
Design Customer Memories
"80% of the companies believe they provide superior services, only 8% of the customers agree."
Seven Things You Need to Know About Marketing in The 21st Century. World Business, Bain & Company, 2006. Sample 362 Firms.
Which moment does my brand own?
CX mapping
Peak-end theory
What was the standout moment?
Arrival?
Course 3?
Course 5?
Course 9?
It was the 45 minutes I spent on hold.
Book
Arrive
Eat
Leave
How can I design more powerful memories?
- Where is the expectation line?
- What do I want our peak to be?
- How strong is our ending?
Decision-making
Memory design
Customer behaviour
#3
Focus
On
Behaviour
Do I organise by channels or customers' challenges?
Keep it simple.
Find.
How do you make it easier to find you when they're looking?
Inspire.
How do you inspire people to want your product / service?
Lead.
How do you lead more customers through a promise to a purchase?
Engage.
How do you engage customers to become loyal advocates?
( + ) x x = £
Increase volume Reduce cost
Increase reach Reduce cost
Increase conversion
Reduce CPA
Increase CLV
Increase referral
How do I implement FILE?
- Create ownership for each segment
- Force collaboration through cross-department KPIs
- Assess opportunities in the FILE context
Decision-making
Memory design
Customer behaviour
What's in your toolbox?
"We don't make money when we sell things, we make money by helping people make great decisions".
- Jeff Bezos, Amazon CEO
B2B H2H B2C
YOU
CUSTOMER