Delivering great customer experiences (CX) is at the core of every business. As competition intensifies in the automotive industry, customer satisfaction and loyalty are critical to retaining customers, and therefore being profitable. But exactly what is the key to delivering best-in-class CX?
ag analytics recently conducted a survey of the Nordic automotive market. It included Norway, Sweden, and Denmark, with 3,341 equally distributed and randomly selected respondents. The survey focuses on trends, core processes, and pain points affecting CX across brands in the automotive industry, and it provides several interesting data-backed insights.
All automotive brands have well-documented sales and service processes, but they are merely generic process descriptions if they are not combined with what is most important in the eyes of the customer.
|Fact box: Designing a CX programme
Automotive manufacturers provide detailed sales and service process descriptions that explain the customer journey, step by step, with best practices, expectations, and objectives. In a well-designed CX program, the survey questions must follow the process descriptions and be elaborative enough to allow for concrete measures on how to improve the processes. Failing to do so, CX programs can only indicate underperformance. They cannot indicate what processes need to be improved and exactly how employees should work to improve the CX.
For many dealers and workshops, the precise effects of the core processes and pain points are subject to uncertainty. To deliver great CX, it is vital to know the precise effects of the core processes that affect overall customer satisfaction. Being aware of the effects of the core processes, workshops can identify must-win battles and prioritize the most important processes, which will ultimately lead to higher CX scores. Our Nordic Automotive Insight Survey quantifies these effects:
*Return on Investment (ROI)
Data show that the core processes effect the customer journey differently. The hand over/invoice walk-through proves to be the most important process in the eyes of the customer when visiting workshops. When looking at why, it is clear that this process seeks to solve several customer challenges. When handing over the car and going through the invoice, the work that has been done is communicated to the customer, because it is critical that the customer understands what has been done and why it has been done, to promote transparency. In terms of rational customer jobs, the customer will know the reason behind the work and why it is important, for example, to maintenance or safety. In terms of emotional jobs, the customer will feel informed and perceive the workshop as trustworthy.
|Fact box: How do higher CEM scores improve busines performance?
Higher CX scores improve conversion rates from sales to service and service to sales, and therefore profitability. Consequently, excellent CX management becomes a vital part of improving customer loyalty and can, when implemented correctly, become a competitive advantage and improve business performance.
Examining the data further, it is evident that the hand over/invoice walk-through has a very significant effect on customer satisfaction and loyalty:
*On a scale from 1 to 10
The results clearly demonstrate the importance of consistently delivering top ratings on hand overs to maximize customer satisfaction and loyalty.
|Fact box: What is an ambassador?
An ambassador is defined as being very satisfied, having strong loyalty, and intending to recommend. In practice, ambassadors need to meet two requirements:
Knowing the exact effects of different processes affecting the customer journey makes the execution of a CX strategy more efficient. By identifying must-win battles and using data-based feedback on performance on the most important processes, the front line will be better equipped to deliver best-in-class CX.