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Customer Experience Management: Issues and Business Impact of Online Transaction Errors

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Customer Experience Management: Issues and Business Impact of Online Transaction Errors

Presented as part of the POST Magazine Ebusiness Strategies roundtable conference in London, an event specifically for the Insurance industry.

Discover the massive business impact of online transaction issues, the most common website problems, and how your customers are reacting... using a more expensive channel, abandoning to a competitor and worse, now sharing their poor online experience virally. Understand how online visibility by Tealeaf can increase conversion and drive revenue

Presented as part of the POST Magazine Ebusiness Strategies roundtable conference in London, an event specifically for the Insurance industry.

Discover the massive business impact of online transaction issues, the most common website problems, and how your customers are reacting... using a more expensive channel, abandoning to a competitor and worse, now sharing their poor online experience virally. Understand how online visibility by Tealeaf can increase conversion and drive revenue

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Customer Experience Management: Issues and Business Impact of Online Transaction Errors

  1. 1. POST Magazine Ebusiness Strategy Event Visibility | Insight | Answers March 25, 2009 Geoff Galat, VP Marketing & Product Strategy © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary.
  2. 2. Harris Interactive Survey Reveals… Far-Reaching Effects of Online Experiences 4th Consecutive Year Immediate Business Rising Expectations “Echo Effects” of Pervasive Online Impacts: 2 waves of Issues abandonment 87% 77% 2nd wave: Of those who 9 in10 then experience bad customer service, another 42% abandon 1st wave 2007 2008 49% 42% 40% 37% Consumers …abandon or … contact … Expect a …share their experienced issues switch to a customer service transaction to experiences with competitor when completing work, the first time others (both online transactions and and offline) then… Source: 2007, 2008 Harris Interactive Surveys © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 1
  3. 3. Top Problems Experienced by Consumers 36% Received error messages 28% Difficulty navigating 23% Difficulty logging in 25% Insufficient, incorrect, or confusing information 24% Endless loops block transactions 24% Search function not functioning properly 18% Were automatically kicked off the page 0% 10% 20% 30% 40% Source: 2008 Harris Interactive Survey © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 2
  4. 4. Summary Results for Consumers Who Conducted Online Insurance Transactions Key Problems Encountered 30% The website was difficult to navigate. 39% Received error messages. 24% Difficulty checking in/ logging on to the website. 27% Insufficient, incorrect, or confusing information on the website. 26% Unable to complete an action or transaction due to an endless loop. 25% Search function on the website was not functioning properly. 21% Were automatically kicked off the page. Top Reasons to Permanently switch to another company’s site (even if issue only occurred once) 36% Inability to complete an action or transaction due to an endless loop 40% The website is difficult to navigate 27% Being automatically kicked off the page 16% Receiving error messages 18% Difficulty checking in/ logging on to the website Source: 2008 Harris Interactive Survey © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 3
  5. 5. 1st Wave: 49% Abandon or Switch Up 12% on 2007 = UK consumers increasingly unforgiving Lots of Choices, Start with Search, Switching is Easy I had both a Web site and a 44% product in mind I had a product in mind but 33% not a Web site I had a Web site in mind but 7% not a product I had neither a Web site nor a 3% product in mind None of the above 13% Source: ForresterNorth American Technographics® Retail Online Survey, Q3 2007 2008 Harris Survey: Massive Business Impact £11.9 Billion estimated annual business impact of transaction issues © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 4
  6. 6. 2nd Wave: 42% Contact Customer Service Contact Centres ill-equipped to serve Web users 51% of User Issues Were Unable to be Resolved 75% of users who contact customer service after experiencing a website problem felt the service agent was not knowledgeable about the website. 73% of users who contact customer service after experiencing a website problem did not feel the service agent was knowledgeable about their particular issue. 42% of those who have experienced poor customer service from a company’s call centre stopped doing business with that company entirely and 34% decreased the amount of business they do with the company Source: 2008 Harris Interactive Survey © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 5
  7. 7. Online Issues Evoke Emotional Responses User Expectations are High, Tolerance Low 83% Frustrated Transaction Issues “…the biggest motivation for sharing feedback was to be ‘heard’ by other 38% 57% consumers… the ensuing conversation Angry Disappointed would amount to a form of emotional catharsis– a chorus of comments like ‘You too?’ or ‘Oh, I’ve been there’ or ‘Man, if only I could have warned you ahead of time!’” – Satisfied Customers Tell Three Friends, Angry Customers Tell 3,000, Pete Blackshaw, July 2008 15% Confused Source: 2008 Harris Interactive Survey © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 6
  8. 8. Lasting Impact Empowered Users Take Action – The “Twitter” effect Far-reaching Implications for companies in multichannel business environment: If they experienced a problem online, 57% would be less likely to buy from the same company offline Huge “Echo Chamber” Effects: 77% of those who experience problems conducting online transactions share their experiences with others. 61% share their experiences using 56% share using online modes non-online modes: such as : Source: 2008 Harris Interactive Survey © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 7
  9. 9. Online Customer Experience: Mainstream Issue, Business-Critical “ We absolutely want to give our customers the best possible online experience so they continue to fly with us. ” - SVP and CIO US Airways • 91% of executives surveyed stated that Customer Experience was very important or critical to their success. • 84% say that improving the usability of the online experience is somewhat or considerably more important in the current economy • Highlights the growing importance of cross-channel interactions, which will lead the Web and call center teams to work together. ource: “Customer Experience Spending Intensifies in 2008,” Forrester Research, Inc. February 26, 2008. © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 8
  10. 10. The Solution: Tealeaf Online Customer Experience Management (CEM) What Tealeaf Provides Unprecedented visibility into every user’s unique online interactions • Why have conversion rates dropped on our credit card application? • Why are customers searching for products multiple times and still not adding items to the shopping cart? Benefits • Increase conversion and adoption rates • Improve customer satisfaction and retention • Reduce the IT and Service costs associated with problem resolution • Increase customer service efficiency and effectiveness “ ” Tealeaf is an industry pioneer... the unchallenged leader in customer behavior analysis. – Forrester, June 2007* *Source: “The Forrester Wave: Appliance-Based End-User Experience Monitoring,” Q2 2007 (June 2007). © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 9
  11. 11. Tealeaf Captures Every Customer, Every Interaction, Every Time All actions All interactions All customer experience obstacles © 1999-2008 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 10
  12. 12. Visibility Connects the Stakeholders A ‘Common View’ of the Online Experience Web Site (E-business Team) Customers Contact Center (Service Team) © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 11
  13. 13. Hundreds of Companies Rely on Tealeaf Including 30% of the Fortune 100 More E-business Insurance Travel Financial Services Retail Leaders Including more than Telco, Pharma, Including 25% of the Including 8 of the 10 Including 1/3 of all 40 P&C Insurance Utilities, etc. with leading Travel Largest Banks Internet Retailers > Companies B2C & B2B Sites Providers & Portals Worldwide $100M Note: Tealeaf only uses the names and logos of customers who have given us prior permission. © 1999-2009 Tealeaf Technology, Inc. All rights reserved. confidential and proprietary. 12

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