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UNIT 2 MANAGING CUSTOMER EXPERIENCE
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Table of Contents INTRODUCTION...........................................................................................................................1 LO1..................................................................................................................................................1 P1 Explain value and importance of understanding needs, wants and preferences of target customer groups.........................................................................................................................1 P2 Explore different factors that drive and influence customer engagement of different target customer groups..........................................................................................................................2 LO2.................................................................................................................................................4 P3 Create customer experience map for service sector organisation..........................................4 P4Discusscustomertouchpointsthroughoutcustomerexperiencecreatebusiness opportunities................................................................................................................................6 LO3.................................................................................................................................................8 P5 How digital technology is employed in managing customer experience including specific examples of customer relationship management system............................................................8 CONCLUSION................................................................................................................................9 REFERENCES..............................................................................................................................10
INTRODUCTION Consumer experience management is management of customer interaction through each physical and digital touchpoint in order to deliver personalize experience that derive brand loyalty and increase organization's revenues. Consumer experience management heavily rely on voice of consumer programs that quantify customer sentiment about their experience with the company.InthecontextofrespectedrestaurantorganizationTheGloberestaurant,the restaurant is one the most exciting contemporary luxury hotels in London. Globe organization highly concerned about managing consumer experience, with great service and better quality of food of their hotel business. Below is the detail examination of how manger of The Globe is working on improving consumer experience and motivating employees to work effectively and efficiently(Peppers and Rogers, 2016). LO1 P1 Explain value and importance of understanding needs, wants and preferences of target customer groups Target market It references to group of potential consumer to whom company wants to sell its product and services. Target market is one part of total market for goods and services(Goodman, 2019). Definingcustomerprofileandcharacteristicsoftargetaudiencethroughmarket segmentation It references to a description of consumer, or a set of consumer based on a characteristics that they have in common. In the context of hotel organisation The Globe, below is the characteristics of target audience, which hotel choose for their market segmentation. Characteristics of target audience: 1.Age group:In terms of respected organisation, The Globe can target consumer age group of 18 – 30 , in this group of customers they target youth like university graduates, newly married, college students, and business professionals. 2.Income group: high income professions could target by the Globe organisation, because of high standers and high maintenance of hotel. It could be not affordable for low income group of people. 1
3.Occupation:respected hotel targets groups by their occupation, they target group of professionals, students, business groups etc. these occupation groups are easy target for restaurant. 4.Geographic locations:respected hotel organisation also target customers located out of the city. They attracts customers by offering special discount offers for these customers(Homburg, Jozić and Kuehnl, 2017). Value and importance of Target customer groups There are several importance of target customer groups in context of The Globe Restaurant that can be shown below: Customer service- This is beneficial for restaurant to retain and attracts the target customer groups so that high profits can be gained out. In case of The Global Restaurant, manager can assures that they offers the best quality services to the customers by timely reviewing them so that people are satisfied with the restaurant services and attracts towards it so that it helps in enhancing the profits. Fulfils social responsibility- In current environment customers are very aware about the environment safety and prefer the products that does not harm environment. In Context ofThe Globe Restaurant manager can focus on adopting the use of eco-friendly products and packaging of foods and drinks that will safe the environment and this will helps in targeting the customers and attracting them to the high extent(Zhang and et. al., 2017). P2 Explore different factors that drive and influence customer engagement of different target customer groups Customer Behaviour and attitudes It references to the feeling of favourableness and unfavourable that an individual has for particular company or organisation and consumer behaviour is the study of actions of consumer at market place and underlying motives for those actions. Below is the study of understanding behaviours and attitudes of customer in market segmentation of The Globe restaurant. Understanding behaviours and attitudes of customers in several market segments to develop brand loyalty Complex buying behaviour:this type of behaviour encouraged when consumers are buying expensive products. They highly involved in purchase process and consumers' 2
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research before going for product or service. To attract these customers restaurant could use effective level of adverting so customer can understandthe position of The Globe restaurant in food market. Habitual buying behaviour:These are characterized by the fact that the consumer has very little involvement in the product and brand category. They usually buy the product with same test and preference. Thus, The Globe restaurant could target these customers by giving them best service and better quality of food, so they can develop brand loyalty into these customer groups(Koetz, 2019). Cluster of emotions that drive and destroy value engagement factors Customer engagement refers to encouraging customers by interacting and sharing the experiences to the organisation. This represents the engagement strategy that can foster the growth and create brand loyalty. In this emotions of the customers can affect more on the company image in positive and negative way. In case of The Globe restaurant, cluster of emotions majorly affect the customer engagement determinants in several factors that will create opportunities and threats. Some factors can be shown below: Opportunities for customer engagement-In context of The Globe Restaurant, the major opportunity for customer engagement is thehappier customersas they are denoted as aAdvocacy cluster. In this company can do survey about the customers experience so that they offers the services related to welcoming and offering food and drinks according to it. It will represents as an effective opportunity. This restaurant can capture the opportunity by makingeffective communication more personalisedthat reflects the profitable results to the company and helps in accomplishing their revenues goals. In this they targets therecommended clustersso that their trust and loyalty can be maintained(Ieva, 2019). On boarding and post-boarding strategies for customer engagement ◦Customer experience manager of The Globe Restaurant, majorly emphasis on those customers that are based onadults and family groups by offerings the quality serviceslikeservingthemodernFrenchfareinspiredfoods,clubfacility, entertainments areas for the children that can influence the customers towards the restaurants. This helps in engaging the people with the organisation in effective and efficient way. 3
◦The Globe Restaurant majorly attracts the adults people who are active in looking for spending their relaxing time with friends and family for sometime. To attracts the customers in large base restaurant can provides the varieties of offers like child free environment, classic ambience with soft music an best quality food. In this they target all class people who want to spend their free time in memorable one. This also developing the base of loyal customers(Hwang and Seo, 2016). Factors that drive and influence customer engagement-It is very essential to influence the customers of different target groups people so that The Globe Restaurant can achieve high success. Some factors that influence customer engagement are shown below: ◦Understandtheexpectationofcustomers-InthismanagerofTheGlobe Restaurant can understand the expectation of people in society that the restaurant can target that are family groups, high income level people etc. In this customers want the comfort at the time of taking services in restaurant. The restaurant can focus on providing that so that customers are highly engaged with the company. ◦Clear communication-Within The Globe Restaurant manager can clearly defines the offers, rules and code of conduct that are useful for the customers so that they will attracts towards it and retain with for long time period. LO2 P3 Create customer experience map for service sector organisation Customer journey experience map It refers to a visual representation based on customer prospects that helps in achieving the goals of the company. This term also helps the organisation to sense the motivation of customers by understanding their needs and pain points. In context of The Globe Restaurant, customer journey experience helps in outlining the touchpoints of customers that helps in gaining profits and sales. This helps in getting the valuable insights so that manager can focus on enhancing customer attraction. It is based on two aspect pre sale customer experience service and post sale customer service that can shown below: Stages of customer journey 4
Awareness-It is the first step in which manager of The Globe Restaurant can create awareness related to their products and services that they offers to the customers.And by the customer point of view in this can analyse their needs and wants so that they can purchase according to that. Consideration and decision making-In this customers can examine what is best for them and according to that they make their purchase decisions. In context of The Globe Restaurant manager can use the several offers attracts the customers so that they take their buying decision in favour of restaurant that will enhance the profit and sales volume of company(Roy and et. al., 2017). Retention-In this stage of customer experience journey, company can focus on retaining the customers. In this customers can buy the service of restaurant and after that they give their view point. This will decide the retention of the customers within the firm. In this manager can take follow-ups of the customers so that there reviews about the restaurant can be gaining and changes can be done according to it. This will helps in enhancing the sales of organisation. Advocacy-It is the last stage that shows customers are happy with their decision related to purchase of The Globe Restaurant services. And these customers are retain and loyal for the restaurant to long term. Deconstructing customer journey and building customer narrative to offer strategic insights 5
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It is very essential for The Globe Restaurant to effectively examine the customer journey by timely communicating them so that consumers are engaged with the organisations for a long period of time. To eliminates the disconnection and deconstruction restaurant can effectively focus on needs and requirements of customers so that loyal customer base is to be developd. Strategies of customer insights The Globe restaurant can focus on enhancing the customers insights for this manager can focus on developing strategies so that objectives can be attained on time and this also boosting the success of firm. Some customer insights strategies in context of The Globe Restaurant can be shown below: Marketing-It is one of the best customer insight strategy that is followed by manager of The Globe Restaurant. In this they can promote their services and products in the market as in a unique way by using digital techniques so that more customers are attracted towards it(Ali and et. al., 2018). Customer interaction-Manager of The Globe restaurant can develops the customer insights by using customer interaction. In this they interact with their customer by using social media to understand their views regarding the company so that they are loyal towards the company. P4 Discuss customer touchpoints throughout customer experience create business opportunities In context of The Globe Restaurant, manager can focus on touchpoints so that they can capture major opportunities related to profits and revenues. Pre purchaseDuring purchasePost purchase TouchpointsIncurrentscenario customers can adopts the online tools such aswebsites,text message,e-mailetc. forgatherthe informationrelated to good and services becauseitiscost Forrestaurantsitis very essential to offers the qualitative services to the customers and maintainthe connections with them after booking the table atrestaurant.Inthis manager can assist and In this customers can checkthereviews related to services of restaurantbefore bookingit.Inthis consumerswhocan availtheservicesof firmcansharetheir viewpointsand 6
effectiveandalso givestheappropriate knowledgein a small period of time. provideclear guidelinestothe customers and so that theyoffersthe outstanding experience to them. experiencethathelps the other people at the timeoftaking decisions. Perceptionof customers Inthiscustomers cannotattractswith localreferralthat provideinformation. In this several factors that are family, friends and other printing data candevelopsthe minds of customers to planforconsuming company services. Inthisnoeffective communication can be donebetween restaurantand customersthatwill createsthe dissatisfactionin customersmind relatedtobuying services. In this customers can share their experiences withtheirfamily, friends, colleagues and so on. Opinionfor betterment InthisTheGlobe restaurant can tries to designthenew servicesfortheir customersbygetting theideasfrom customersviews.In this firm will bifurcate theresponsibilities androlessothat positive outcomes can be come out. In this restaurant can offersthetraining sessiontoemployees so that they attend in an effective way. It is verysignificantto communicate effectivelytothe customers for gaining highloyalbaseand retaining for long time byhandlingalltheir issues. In this users can share theirperceptionand opinionwiththeir closeonerelatedto company services that they receive. 7
With in The Globe restaurant customer touchpoints are very effective for interacting with customers in effective and efficient way. There are some aspects through based on customer touchpoints which boost customers experience can shown below: Websites- In this The Globe Restaurant can make their official website to interact with customers. In this people get data and information regarding restaurant in effective way. In this manager can timley update their data so that customers get up to date knowledge this will develops customer relationship within competitive advantage. E-mail- It is an effective term in which company and customers can communicate effectively. In case of The Globe restaurant, manager prefer to emailing their customers for timely update them regarding the services and good, offers, discountsand many more. This helps in attracting the high base of customers and profit margin of the restaurant(Shin, Perdue and Pandelaere, 2020). LO3 P5 How digital technology is employed in managing customer experience including specific examples of customer relationship management system Customer relationship management It references the combination of business strategies, software and process that helps to build long lasting relationship between companies and their customers. Furthermore, this software ensures every step of interaction with customer goes smoothly efficiently in order to increase overall profit. There are different types of CRM system: Operational CRM:This system helps in automates sales and marketing as well as service processes. In the terms of respectedThe Globe Restaurant, restaurant can use operational CRM for generating higher marketing for their organisation. Analytical CRM:The main function of thisCRM is data analysisand provide management much better insight with regard to current business status. The Globe restaurant can use this type of CRM for better reach to their customer by collecting customer data(Roy and et. al., 2017). There are several digital platform that helps in managing customer experience Social media:The Globe restaurant is using many social media platforms for better customer experience. They are using social platforms like Facebook, Tweeter, and 8
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YouTubeforgainingcustomerloyaltymakinglongtermrelationshipwiththeir customers. SMS or EMAIL MARKETING:The Globe Restaurant sends customised commercial massages and mails to their customers for updating customers about offers and deal currently they are serving in their restaurant. It could help in attracting their customers loyalty towards the restaurant and increase it's profitability. CONCLUSION From the above report it is concluded that business enterprise may develops and grow with the help of best customer experience. It is very significant for company to engage the loyal customers. In this several aspects can be included as a touchpoints such as emails, websites etc. to effectively understand the need of customers and offers the quality service experience to them. In this using the advanced technologies helps the restaurants to satisfy and managing the customers so that high class reputation can be maintained. 9
REFERENCES Books and Journals Ali, F. and et. al.,2018. Make it delightful: Customers' experience, satisfaction and loyalty in Malaysian theme parks.Journal of destination marketing & management.7.pp.1-11. Goodman, J., 2019.Strategic customer service: Managing the customer experience to increase positive word of mouth, build loyalty, and maximize profits. Amacom. Homburg, C., Jozić, D. and Kuehnl, C., 2017. Customer experience management: toward implementing an evolving marketing concept.Journal of the Academy of Marketing Science.45(3). pp.377-401. Hwang,J.andSeo,S.,2016.Acriticalreviewofresearchoncustomerexperience management.International Journal of Contemporary Hospitality Management. Ieva,M.,2019.MANAGINGCUSTOMEREXPERIENCETOFOSTERCUSTOMER LOYALTY.Loyalty Management: From Loyalty Programs to Omnichannel Customer Experiences. Koetz,C.,2019.Managingthecustomerexperience:abeautyretailerdeploysall tactics.Journal of Business Strategy. Peppers, D. andRogers,M.,2016.Managingcustomerexperienceand relationships:A strategic framework. John Wiley & Sons. Roy, S.K. and et. al., 2017. Constituents and consequences of smart customer experience in retailing.Technological Forecasting and Social Change.124.pp.257-270. Shin, H., Perdue, R.R. and Pandelaere, M., 2020. Managing customer reviews for value co- creation: An empowerment theory perspective.Journal of Travel Research.59(5). pp.792-810. Zhang,M.andet.al.,2017.Understandingrelationshipsamongcustomerexperience, engagement,andword-of-mouthintentionononlinebrandcommunities.Internet Research. 10