At Investor in Customers (IIC) we always talk about the importance of externally measuring both your customer and employee experience. This isn’t just a sales pitch but internal measurement can be detrimental to the success of a business in several ways:
- Limited Visibility: Internal assessments of both customer and employee experience can be limited by bias, subjectivity, and a lack of objectivity. This can result in a skewed understanding of customer and employee needs and preferences, leading to missed opportunities for improvement, growth and retention.
- Inaccurate Data: Without an external measurement process, businesses may not have access to accurate and reliable data on customer and employee experience. This can lead to incorrect assumptions and poor decision-making based on incomplete or inaccurate information.
- Ineffective Strategies: In the absence of external measurement, businesses may not have a comprehensive understanding of the drivers of customer experience. This can result in ineffective strategies and initiatives that fail to address the root causes of poor customer experience.
- Competitive Disadvantage: Competitors who measure their customer experience externally may have a better understanding of their customers' needs and preferences, giving them a competitive advantage. This can result in lost market share and reduced profitability for businesses that do not measure their customer experience externally.
- Missed Opportunities: Without external measurement, businesses may miss opportunities to identify areas for improvement, optimize customer experience, and differentiate themselves in the market. This can lead to missed opportunities for growth and profitability.
- Employee Turnover: Poor employee experience can lead to high turnover rates, resulting in lost productivity, knowledge, and talent. This can also lead to increased recruitment and training costs, reducing profitability and hindering growth.
- Disengaged Employees: Disengaged employees can negatively impact productivity, customer service, and overall company culture. This can result in a decline in morale, increased absenteeism, and reduced profitability.
- Legal Issues: In extreme cases, poor employee experience can lead to legal issues, such as discrimination or harassment claims. This can result in significant financial and reputational damage for businesses.
Ignoring the importance of externally measuring both customer and employee experience can result in limited visibility, inaccurate data, ineffective strategies, competitive disadvantage, and missed opportunities. Plus, disengaged staff and fast staff turnover. All of which have a negative impact on the business in general.
Therefore, it is crucial for businesses to measure their customer experience externally to stay competitive, identify areas for improvement, and drive growth and profitability.
To learn more, and to find out how we can help, book a call and talk to a member of our team today.
