• Print Friendly and PDF
  • Print Friendly and PDF
Bob Thompson

Bob Thompson

CustomerThink Corp.
Bob Thompson is CEO of CustomerThink Corp., an independent research and publishing firm focused on customer-centric business management, and Founder/Editor-in-Chief of CustomerThink.com, the world's largest community dedicated to customer-centric business. Thompson is a popular international keynote speaker, blogger and author of numerous reports, articles and papers. He also serves on the Board of Directors of the Customer Experience Professionals Association.
  • 0 comments 1,180 reads
    Posted on 2013-05-08

    Over the past 10 years, perhaps more, I've been following the so-called Enterprise Feedback Management (EFM) industry. Getting, and acting upon, customer feedback is one of the most important habits of customer-centric firms.

    I've always been mystified why the CRM industry didn't embrace these sorts of solutions, despite all the rhetoric about customer loyalty. Thankfully, EFM found a home in the burgeoning market for Customer Experience Management (CEM) solutions. And in recent years EFM solutions have expanded dramatically to include more channels, use text analytics on verbatims or social feedback, and even connect to CRM for customer history.

    And yet, the problem remains that most companies don't systematically act on customer feedback -- less than 50% according to Forrester Research. That's why I've come to define Voice of Customer 2.0...

  • 7 comments 3,662 reads
    Posted on 2013-05-07
    Last week I had the pleasure of attending the B-to-B Customer Experience Summit, organized by Walker, a customer intelligence consulting firm. This two-day conference, the first CX event focused exclusively on B2B, was a big hit with attendees -- CX leaders representing prominent brands in technology, telecom, distribution and more.

    The keynotes were amazing, and I really enjoyed moderating two panels on predictive analytics and customer intelligence ROI. The setting was delightful in a Hilton hotel overlooking the San Diego bay. Kudos to the Walker team for a stimulating two days and great experience.

  • 2 comments 1,823 reads
    Posted on 2013-04-26

    I know, that "2.0" thing has been overdone. It's been used to signify the next generation of the Internet (Web 2.0), collaboration (Enterprise 2.0) and much more.

    When it comes to Voice of Customer (VoC), however, I'd like to take a different tack this time. It's true that VoC efforts have changed in recent years from being mainly about surveys to incorporating more types of feedback (behavioral, social, etc.). See the 6 feedback dimensions in this diagram I created a couple of years ago.

    But that's not really what "next-generation" VoC is about. No, VoC 2.0 is about actually getting business value from customer feedback.

    In our most recent CX Forum webinar, this issue was brought to light early on by Claire Sporton of Confirmit in this...

  • 4 comments 1,539 reads
    Posted on 2013-04-10

    Over the years when I've spoken at conferences and workshops, I've done a group exercise asking for a definition of "customer value."

    With rare exceptions, the majority of the time attendees will discuss what the customer is buying (revenue), how much money the company makes from the customer's purchase (profit) or customer lifetime value (discounted value of profit stream).

    In other words, customer value = what the customer is worth to the company.

    Is that wrong? No. Just incomplete. It's a decent reflection of what CRM has been about. IBM defined CRM as "the technology, the tool, the process of extracting value from customer relationships."

    Granted some CRM advocates will object to this, and I certainly never presented CRM as this one-sided approach during my early years in this industry. But this definition, sadly, reflects the majority view of the world about...

  • 0 comments 612 reads
    Posted on 2013-04-09

    Last year a ClickFox survey found Apple scored highest in brand loyalty.

    This year, a similar survey found Apple once again in the top spot. More than one in four (28%) voted Apple as the top brand consumer can't live without. None of the other top 5 (Starbucks, Google, Microsoft and Amazon) cracked 4%.

    Asked why they picked that brand, consumers picked these as the top 3 "crucial" factors: brand quality (60%), ease of use (46%) and features (40%). However, these overall results are probably skewed by Apple's dominance as a favorite brand.

    OK, so what? These results look much like other loyalty/brand surveys. I discussed the survey with ClickFox VP of Marketing Jeff Gossman, who said these findings stood out:

  • 1 comments 643 reads
    Posted on 2013-04-05

    Apple has been on tear since introducing the iPhone in mid-2007. Hard to believe that was just 6 years ago.

    I remember at the time thinking that very few people would buy such an "expensive toy." Especially after the financial collapse in late 2007 and the Great Recession that followed.

    Well, long story short, Apple has done quite nicely for its customers and shareholders. The iPhone has seen several updates and the iPad launched the tablet market. Apple stock price has increased 500% since January 2007. Wow.

    Still, there are clouds on the horizon. Even though Apple stock is trading at $400+ now, it peaked at $700/share a little more than six months ago. What's going on?

    I see several risks to the continued growth of the Apple empire going forward.

    First, Steve Jobs is gone.
    Granted his leadership was a mixed blessing, what with all the shouting, berating employees and so one. A jerk, basically. But, his passion for making "insanely...

  • 0 comments 1,433 reads
    Posted on 2013-04-04

    A few years ago, my family experienced frequent power outages at our home during bad storms. One time, the power to a sump pump cut out when we needed it most. Result: $5,000 of water damage. Needless to say, that day I had some choice words for our electricity provider, Pacific Gas & Electric.

    Unfortunately, if a utility doesn't do its job, U.S. consumers can't pick up the phone and easily switch to another supplier. The U.S. energy market is essentially a bunch of regional monopolies, with regulations imposed by federal and state government to make sure customers are not mistreated.

    Intense competition is the best incentive to innovate and provide great customer experiences. So you can understand why utilities are not top of mind when I think of customer-centric success stories. I searched PG&E's 2012 annual report...

  • 1 comments 911 reads
    Posted on 2013-03-22

    Next time you’re walking in the desert on a hot day, in the distance you may see what appears to be a body of water. Keep walking and the water never seems to get closer. That's known as a mirage -- an optical illusion. The real water is much farther away, but appears closer because the hot air bends the light to make water appear where it's not.

    That's what I'm beginning to think is the case with multi-channel orchestration, also known as Omnichannel Experience. The idea is simple enough. If a customer starts an experience in one channel, they should be able to continue it another without any loss of information. That information loss, which I've dubbed "touchpoint amnesia," negatively impacts loyalty (in service interactions) and propensity to buy (in purchase interactions).

    Banks get this -- when it comes to managing your money. If you deposit money in an ATM, then walk inside to speak with a teller, they'll know the status of your money up to the second. You...

  • 1 comments 1,662 reads
    Posted on 2013-03-17

    In the mid-1980s during my time at IBM, I remember an "empowerment" initiative that swept through the company. We attended training programs and learned that to be empowered meant we had to take more responsibility and be accountable for the results. Over the next couple of years the strategy unfolded, as IBM pushed more authority to lower levels of the organization. Eventually I headed up a "business unit" with P&L responsibility and had more authority to make decisions on discretionary spending.

    Looking back, it's not clear to me that these changes had any real impact on our business results. Still, I felt good that IBM gave me a bit more authority. That's an example of what academic researchers call "psychological empowerment"—giving employees a sense of control in how they do their jobs. This can lead to higher levels of job satisfaction which can boost productivity and increase retention.

  • 0 comments 743 reads
    Posted on 2013-03-15

    You know a tech trend has really arrived when IBM gets behind it. At the very least through its marketing. Remember eBusiness? IBM helped give the Internet industry a push though its advertising, although I'm not sure that the company reaped the rewards directly.

    Then there's "Smarter Planet" -- aimed to stimulate all things analytic. Makes sense for IBM since it has deep analytic expertise and purchased SPSS a couple of years ago.

    Now IBM has turned to the Customer Experience, with the launch of the IBM Customer Experience Lab, which according to the press release, is "dedicated to helping business leaders transform the way customers experience their products, services and brands through the use of mobile, social, cloud and advanced analytics technologies."

    Due to the growth of social and mobile usage, the time is now, IBM says, to...