Customer experience management, often called CXM or CEM, is a system of marketing strategies and technologies that focus on customer engagement, satisfaction, and experience.
CXM is an approach to relationships with customers that goes beyond just marketing tools and software – with the goal of achieving a digital transformation that truly puts customers at the center of the business. A customer experience management mindset prioritizes the orchestration and personalization of the entire end-to-end customer experience and helps to do it at scale, on any channel, in real time.
What’s the difference between CRM and CXM?
CXM is often confused with customer relationship management due to the similarity that they have in some basic functionality. While there is some overlap, CXM isn’t a mere renaming of traditional CRM. CXM takes the next step in managing customer relationships. Where CRM mostly deals with optimizing the internal processes of a business, CXM offers an even more customer-centric approach in several ways – with new technologies, as well as processes, strategies, and customer-centric design.
CRM
Quantitative Relies on relatively impersonal data analysis and looks at customers in terms of statistics, data, and trends.
Focuses on operational business improvements to drive profitability.
Improves customer service via different integrations across channels.
CXM
Qualitative Unifies relationship data across the full customer lifecycle and prioritizes customer experiences.
Focuses on customer engagement to drive profitability.
Anticipates and responds faster to customer needs and uses AI and applied CRM data for real-time impact on customer experience.
Why does customer experience management matter?
Effective customer experience management is more than just good optics or good PR. By centering your customers’ experiences and making technology feel more human, you create win-win scenarios for you and your customers alike.
Customer experience has become a critical differentiator for all kinds of businesses in the competitive, hyperconnected global marketplace. While the end result for a business might be seen in lead generation, conversions, or long-term brand loyalty, the customer also comes out a winner with rich, personalized experiences, increased satisfaction, and a rewarding relationship with the brand.
Customer experience management helps to:
Achieve a deeper understanding of customers
- Gives an enhanced view of customer behaviors and preferences across all touchpoints.
- Allows more detailed segments to provide the highly relevant personalized experiences that customers demand and that drives increased conversions.
Drive loyalty and retention
- Delivers personalized experiences and create seamless customer journeys.
- Cultivates deeper, lasting relationships with customers through intelligent service, product recommendations, and loyalty incentives.
Maintain a competitive edge
- Improves operational performance to increase customer satisfaction and lower customer churn.
- Increases the win rate of offers and lowers service costs.
Measure the success of initiatives
- Gathers and interprets much larger volumes of data – allowing for more accurate visibility into the success of your engagement efforts.
- Helps to make more informed, customer-centric business decisions.
To find out what Microsoft has to offer to improve your CX strategy, contact SMART business professionals – sales@smart-it.com