How transforming the user experience can deliver rapid, ever-increasing business benefits
A key strength of applying a user centric Agile approach to digital transformation is that it can deliver incremental improvements to the customer and employee experience without having to reconfigure an organisation’s entire operating model “all at once”. Furthermore this approach can enable further benefits to be potentially realised across the whole business.
These improvements alone may not always generate great bottom line benefits for different organisational stakeholders, but cumulatively they can have a massive (“snowballing”) sustainable impact. Also this approach may be the only way smaller organisations can realise the benefits of digital ways of working and technology at an acceptable level of risk.
Here’s an example of how this UX snowball effect could potentially deliver the tangible business benefits of digital transformation in less than one year for a medium sized high street and on-line retailer (note all change activities described in this scenario are tactical, not strategic):
- An on-line channel requires users to complete a free text form; the process is cumbersome for customers leading to a significant number of complaints and drop-out to off-line sales channels. Based on customer and service centre feedback, the onsite UX team designed and implemented a new on-line form that uses drop down menus. This made the process of completing the form for all users easier and more responsive – and resulted in more on-line purchases and a reduction in complaints
Cumulative indicative benefits: improved customer satisfaction score
- Because the UX team used Agile to deliver this user experience enhancement quickly in collaboration with the customer service centre management team, these stakeholders were able to rationalise back office capabilities in parallel that generated cost efficiencies
Cumulative indicative benefits: improved customer satisfaction score + reduced costs to serve
- The significantly reduced admin burden meant sales staff could focus on higher value engagement activities such as engaging new customers
Cumulative indicative benefits: improved customer satisfaction score + reduced costs to serve + increased new customer acquisition
- The user-friendly on-line form also enabled cleaner, more accurate data to be collected about customers’ browsing and purchasing behaviour; using money saved from back office efficiencies, managers invested in analytics/reporting tools to create a better understanding of customer needs based on this deeper information. This insight meant the company could pro-actively respond to the changing demands of individual customers
Cumulative indicative benefits: improved customer satisfaction score + reduced costs to serve + increased new customer acquisition + data driven personalisation
- Using insights gathered from the data analysis, marketing were able to use this evidence to build a business case for new innovative services that addressed genuine gaps in the market
Total UX “snowball benefits” realised in one year: improved customer satisfaction score + reduced costs to serve + increased new customer acquisition + data driven personalisation + lower risk diversification
…And all resulting from innovating the user experience for completing an on-line form!
If you would like more information about the issues discussed in this post, or how digital transformation can benefit your business, please leave a reply below, or contact the Sopra Steria digital practice