Delightful or Efficient? How Service Recovery Affects Customer Experience - Følstad, Kvale
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CUSTOMER CARE 2015 Deligh5ul or efficient? How service recovery affects customer experience Asbjørn Følstad, SINTEF Knut Kvale, Telenor Research ServDes 2016
Transcript of Delightful or Efficient? How Service Recovery Affects Customer Experience - Følstad, Kvale
CUSTOMERCARE2015
Deligh5ulorefficient?HowservicerecoveryaffectscustomerexperienceAsbjørnFølstad,SINTEFKnutKvale,TelenorResearchServDes2016
Lessonslearntfromearlieryears
Lessonslearntfromearlieryears
Lessonslearntfromearlieryears
Quitepossibly,oneofthemostfrequentlyappliedquotaVonsinthefieldsofservicedesignandinnovaVonis…
80%ofcompaniesbelievetheydeliverasuperiorexperiencetotheir
customer
8%oftheircustomers
agree
Allen, J., Reichheld, F. F., Hamilton, B., & Markey, R. (2005). Closing the delivery gap. Technical report. Bain & Co.
Butwhatdoesthisimply?
80%ofcompaniesbelievetheydeliverasuperiorexperiencetotheir
customer
8%oftheircustomers
agree
Allen, J., Reichheld, F. F., Hamilton, B., & Markey, R. (2005). Closing the delivery gap. Technical report. Bain & Co.
Increasedconcernfor
delightandcustomerexperience?OrjustprioriVzeplain,old,
efficiencyinservicedelivery?
80%ofcompaniesbelievetheydeliverasuperiorexperiencetotheir
customer
8%oftheircustomers
agree
Allen, J., Reichheld, F. F., Hamilton, B., & Markey, R. (2005). Closing the delivery gap. Technical report. Bain & Co.
Customerexperiencekeytoservicedesign.TheemoVonalaspectofcustomerexperienceseenascriVcal
Deligh'ulorefficient?
Berry,L.L.,Carbone,L.P.,&Haeckel,S.H.(2002).Managingthetotalcustomerexperience.MITSloanManagementReview,43(3),85.
Deligh5ulorefficient?
Dixon,M.,Freeman,K.,&Toman,N.(2010).Stoptryingtodelightyourcustomers.HarvardBusinessReview,88(7/8),116-122.
DonotprioriVzedelight,butefficiencyandloweringofcustomereffort• systemaVcagemptsatdelighVng
customersdonotpayoff.
Servicerecoverypresentedasanareaofpoorcustomerexperience• 57%needtoswitchfromwebto
phoneduringrecovery• 62%needtomakerepeated
contacts
Servicerecovery
Goldstein,S.M.,Johnston,R.,Duffy,J.,&Rao,J.(2002).Theserviceconcept:themissinglinkinservicedesignresearch?.JournalofOperaVonsmanagement,20(2),121-134.
ConcernsthecapabilitytomiVgateservicefailures
Muchstudiedinthefieldofserviceresearch
…considered"acriVcalaspectofservicedesignresearch"
EfficientservicerecoveryposiVvelyaffectcustomersaVsfacVon
ServicerecoveryatServDes?
ServicerecoveryasatopicofpracVcalandresearchworkremarkablyabsentfromServDesBrieflymenVoned5(!)VmesinenVresetofServDesproceedings(acccordingtoaninformalcount:-)
Before,thelifeofcustomerwas,ifnoteasy,atleastsimple
Foto:LeifHarbue,flickr
Servicerecovery–increasinglyimportant
Now,thecustomerhasbeenhandedtheroleasserviceintegrator
Servicerecovery–increasinglyimportant
Thecase–orderinghomebroadbandconnecVon
Ordering Delivery 8weeksaperinstalling
Installing
Method
QuesVonnairesurvey• fixedanswerandfreetextquesVonson
thecustomerjourneyandanycustomerservicecontact
Dependentvariable:Customerexperience• measuredthroughtheNetPromoter
Score(NPS)quesVon–withqualitaVvefollow-up
312respondents• 167ofwhichhadiniVatedservice
recoverybycallingcustomerservice.
Onthebasisofyourexperienceconcerningtheorderingofbroadbandfrom[thebroadbandserviceprovider],howlikelyareyoutorecommend[thebroadbandserviceprovider]toyourfamily,friends,andcolleagues?(0=notatalllikely|10=extremelylikely)
Results–whatwedidnotfind(twfsl*)
WeinvesVgatedeffectsof
• Timeaperdelivery• Choiceoforderingchannel(weborphone)
• Timefromorderingtodelivery
• Comparisonsmadewithotherproviders
*)thoughweforsurelooked:-)
Results–whatwedidnotfind(twfsl*)
WeinvesVgatedeffectsof
• Timea2erdelivery• Choiceoforderingchannel(weborphone)
• Timefromorderingtodelivery
• Comparisonsmadewithotherproviders
Weeksaperdelivery
Meanscoreon
NPSque
sVon
*)thoughweforsurelooked:-)
Results–whatwedidnotfind(twfsl*)
WeinvesVgatedeffectsof
• Timeaperdelivery• Choiceoforderingchannel(weborphone)
• Timefromorderingtodelivery
• Comparisonsmadewithotherproviders
VS.
*)thoughweforsurelooked:-)
Results–whatwedidnotfind(twfsl*)
WeinvesVgatedeffectsof
• Timeaperdelivery• Choiceoforderingchannel(weborphone)
• Timefromorderingtodelivery
• Comparisonsmadewithotherproviders
*)thoughweforsurelooked:-)
Results–whatwedidnotfind(twfsl*)
WeinvesVgatedeffectsof
• Timeaperdelivery• Choiceoforderingchannel(weborphone)
• Timefromorderingtodelivery
• Comparisonsmadewithotherproviders
Provider1
Provider2
VS.
*)thoughweforsurelooked:-)
Results–whatwedidnotfind(twfsl*)
WeinvesVgatedeffectsof
• Timeaperdelivery• Choiceoforderingchannel(weborphone)
• Timefromorderingtodelivery
• Comparisonsmadewithotherproviders
NoneofthesefactorswereevenclosetoexplainingthevariaVonincustomerassessments
*)thoughweforsurelooked:-)
Results–whatwedidfind
Theeffectofservicerecovery
Results–whatwedidfind
Didnotcall (n=145)
Resolvedimmediately(n=60)
Resolveda2erawhile/notyet
Called1-2x(n=59)
Called3-5x(n=20)
Called>5x(n=18)
012345678910
MeanNPSscores
Results–whatwedidfind
Ordering Delivery 8weeksaperinstalling
Installing
Results–whatwedidfind
Customerswhoseissuewasresolvedimmediatelywereabout2xmorelikelytomenVoncustomerserviceastheirreasonfortheNPSscore
…describingthecustomerserviceas"pleasant","great",or"best"
Results–whatwedidfind
Customerswhoseissuewasresolvedimmediatelywereabout2xmorelikelytomenVoncustomerserviceastheirreasonfortheNPSscore
IalwaysgetgoodanswerswheneverIhavequesLons,andyouhavegreatcustomerservice.(P#56,NPS-score10)
Results–whatwedidfind
Customerswhoseissuewasresolvedimmediatelywereabout2xmorelikelytomenVoncustomerserviceastheirreasonfortheNPSscore
[…]excellentgreatcustomerservicewhenIcalledforhelpduringtheinstallaLonprocess.(P#221,NPS-score10)
ConclusionDeligh5ulorefficient–cometogetherinsuccessfulservicerecoveryCorteous,pleasant,andefficientservicerecoveryprovidesahighlymemorablecustomerexperienceServicerecoveryapotenVallyworthytopicforServDes?
ThanksforyouragenVon!
