Forrester published a new report with highlights of changes among customer feedback management (CFM) vendors to give you the crucial insights you need to understand your CFM options. Why? Since the 2014 reports on the VoC vendor landscape and VoC vendor go-to-market strategies, we saw some big changes in the CFM market. Many changes are good news for CX pros who are looking to support their enterprisewide VoC and CX measurement efforts. But they don't make navigating this market any easier.
Key changes in the CFM market include:
Consolidation of established CFM vendors. CFM vendor Mindshare acquired Empathica in September 2013 and then relaunched the newly combined company in June 2014 under the name InMoment. Maritz Holdings acquired Allegiance and merged it with Maritz Research to launch MaritzCX in January 2015.
Entry of new CFM vendors. Clarabridge, formerly a specialist vendor that focused on text analytics, moved into the CFM category by adding significant capabilities to support all stages of the VoC cycle through a combination of an acquisition and native development. Qualtrics, formerly a survey platform specialist, entered the CFM category by adding capabilities to interpret unstructured feedback and act on VoC.
Last week, many of our customer experience (CX) analysts — including me and my colleague Sam Stern—were glued to their computer screens, watching a presentation by a big bank. It had introduced a tool to capture and manage ideas from its employees on how to improve the customer experience. This presentation mattered to us because only 25% of CX professionals say their companies’ CX programs actually improve customer experience. Those who fail lack insight into the root causes of poor CX. And those root causes lie in the customer experience ecosystem. So while many companies have programs in place to mine voice of the customer, customer feedback alone is insufficient to get at root causes of bad CX because it penetrates only the top layers of the ecosystem.
My colleague Andrew McInnes recently wrote a post about the tunnel vision that results when companies rely solely on analytics for understanding customers. By neglecting qualitative research methods like ethnography and related tools like personas and customer journey maps, firms run the risk of thinking they know what customers want and need but in reality not having a clue. And that’s the root cause of some of the worst customer experience problems — issues that can drag down a business.
Take the case of Kevin Peters, Office Depot’s president, North America. Kevin recently spoke at our Customer Experience Forum where he described the biggest puzzle that confronted him when he got his job. Even as sales declined, store mystery-shopping scores compiled by a third-party research firm were going through the roof. How could this be? How could customers be having a great in-store experience but not actually buying?
As it turned out, the mystery shoppers had been asking the wrong questions. They were accurately reporting that the floors and bathrooms of Office Depot stores were clean and that the shelves were stocked with merchandise. But as Peters put it: “Who cares?” When he personally visited 70 stores incognito, walked the aisles, and talked to customers, he discovered his real problems. For example, the combination of very large stores, weak signage, and employees who weren’t all that helpful made it hard to find products. That resulted in customers who walked in determined to buy and walked out without a purchase.