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What are the biggest mistakes companies make with customer experience innovation?

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Customer experience innovation is the process of creating new or improved ways of delivering value and satisfaction to your customers. It can help you stand out from the competition, increase loyalty, and generate positive word-of-mouth. But not all customer experience innovations are successful. In fact, some can backfire and damage your reputation, retention, and revenue. Here are some of the biggest mistakes companies make with customer experience innovation and how to avoid them.

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Dr. Janet Bentley-Ewers

Vice President, Senior Compliance Officer at Truist

1 Ignoring customer feedback

One of the worst things you can do with customer experience innovation is to ignore what your customers actually want, need, and expect from you. If you base your decisions on assumptions, trends, or your own preferences, you risk creating solutions that are irrelevant, ineffective, or even annoying for your customers. Instead, you should always listen to your customers, collect and analyze their feedback, and involve them in the innovation process. This way, you can create solutions that are aligned with their problems, goals, and preferences.

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Dr. Janet Bentley-Ewers

Vice President, Senior Compliance Officer at Truist
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Understanding what the consumer not only wants, but needs in a particular season is paramount. If the changes happen too quickly, then the consumer may grow discontent with the product, especially if the changes are not productive to their needs. If the changes are too infrequent, then consumers may go elsewhere to stay in lock step with industry changes. There has to be a careful balance of understanding current consumers’ needs while always anticipating the future wants AND introducing those wants at the right time and cadence.

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Asha P.

VP, Success & Ops @ Devensoft | Championing Value-First CX Strategies
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Companies often focus too much on technology or trends and lose sight of the customer's actual needs. They might implement new systems or processes that don't really enhance the customer experience. The key is to always center innovations around real customer feedback and their specific preferences.

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Angelica S.

Results-Driven Professional | Expert in Customer Service, Financial Wellness, and Cross-Functional Communication | Proactive Approach to Service & Retention | Strategic Problem Solver
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GETTING TOO HUNG UP ON METRICS AND FORGETTING THE BIGGER PICTURE Often times, companies will focus so much on little details regarding metrics and what looks good on paper, to the point where they forget that without customer satisfaction the business falls apart. At the end of the day, you want a healthy balance of metrics AND customer satisfaction in order to be successful. I've seen one too many companies only care about their bottom dollar and metrics to the point where customer satisfaction and reviews plummet.

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2 Failing to test and iterate

Another common mistake with customer experience innovation is to launch a new or improved solution without testing it first. This can lead to unexpected errors, glitches, or negative reactions from your customers. Even if you have done your research and involved your customers in the design process, you still need to validate your solution before rolling it out to the market. You should test your solution with a small group of customers, measure their responses, and use their feedback to improve your solution. You should also monitor and evaluate your solution after launch and make adjustments as needed.

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3 Overcomplicating the experience

Sometimes, companies try to impress their customers with complex or flashy solutions that end up confusing or frustrating them. Customer experience innovation is not about adding more features, functions, or options to your solution. It is about making your solution simpler, easier, and more enjoyable for your customers. You should focus on the core value proposition of your solution and eliminate any unnecessary or distracting elements. You should also design your solution with clarity, consistency, and convenience in mind.

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4 Neglecting the human touch

While technology can enable and enhance customer experience innovation, it cannot replace the human element. Customers still value personalization, empathy, and connection with your brand and your employees. If you rely too much on automation, artificial intelligence, or self-service, you may lose the opportunity to build trust, rapport, and loyalty with your customers. You should balance your use of technology with human interaction and ensure that your solution reflects your brand personality and values.

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Ayodele Tijesuse

Service Above Self
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Yes, I totally agree with this. Some organizations tend to rely or overdepend on chatbots to respond to customers even during work or office hours. Chatbots and the likes should only complement outside office hours.

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5 Forgetting the employee experience

Finally, one of the most overlooked aspects of customer experience innovation is the employee experience. Your employees are the ones who deliver your solution to your customers, and their satisfaction, engagement, and performance can have a huge impact on your customer experience. If you neglect your employee experience, you may face issues such as low morale, high turnover, poor service quality, or resistance to change. You should involve your employees in the innovation process, train and support them to adopt and implement your solution, and reward and recognize them for their efforts.

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6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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What are the biggest mistakes companies make with customer experience innovation?

1

2

3

4

5

6

1 Ignoring customer feedback

2 Failing to test and iterate

3 Overcomplicating the experience

4 Neglecting the human touch

5 Forgetting the employee experience

6 Here’s what else to consider

Customer Retention

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What are the biggest mistakes companies make with customer experience innovation?

1

2

3

4

5

6

1 Ignoring customer feedback

2 Failing to test and iterate

3 Overcomplicating the experience

4 Neglecting the human touch

5 Forgetting the employee experience

6 Here’s what else to consider

Customer Retention

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