Managing Customer Experience: Value, Importance, and Factors

This report focuses on managing customer experience in the service sector. It explains the value and importance of understanding customer needs, wants, and preferences. It explores the factors that drive and influence customer engagement. It also includes creating a customer experience map and discussing customer touch points to create business opportunities. The case study is based on Amrutha Lounge, a restaurant that offers vegan dishes and focuses on customer satisfaction and loyalty.

Unit 2: Managing
Customer Experience

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
LO1..................................................................................................................................................3
P1 Explain value and importance of understanding needs, wants and preferences of target
customer groups .........................................................................................................................3
P2 Explore different factors that drive and influence customer engagement of different target
customer groups..........................................................................................................................4
LO2 ................................................................................................................................................6
P3 Create customer experience map for service sector organisation..........................................6
P4 Discuss customer touch points throughout customer experience create business
opportunities................................................................................................................................8
LO3 ...............................................................................................................................................10
P5 How digital technology is employed in managing customer experience including specific
examples of customer relationship management system..........................................................10
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12

INTRODUCTION
The management of consumer experiences is always be used to the business as in form of
practices under which reacting rate and effectual designing is developed. In this rate of
customer's attraction is increases and assist to meet market requirement and expectation as on
timely basis. It brings higher customer satisfaction, advocacy, loyalty, trust, faith and believe by
which long term attraction is attained with perfection (Bolton and et. al., 2018). The following
report is based on Amrutha lounge as it provides classical comfort and better food that promotes
modern arrangement of buffet-style dinner and lunch. The report below is consist of need and
expectation of market segment, customer experience map to create business opportunities and
optimise customer touch point along with impact of digital technology in customer relationship
management.
MAIN BODY
LO1
P1 Explain value and importance of understanding needs, wants and preferences of target
customer groups
Target market
It basically define the standardised form of potential customer's as it is demanded by the
business so that its goods and services is promoted in well manner. It is a market t hat is targeted
by business in order to attain higher benefits.
The customer profile and characteristics of target audience through market segmentation
It is a prospect under which customer's are described on the basis of adequate matching
with the business offered services. In this various characteristic and demand of customer's and
business is matched and on the basis of this Amrutha lounge has targeted special marketplace
and its segmentation that is as explained below as:
Characteristics of target audience:
1. Age group: Amrutha lounge, provide vegan dishes that is more innovative as well as
heart warming as well (Centobelli and Ndou, 2019). Thus lounge has targeted the age
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group of 20-60 years. In this they have target both youngsters and quadragenarian
people as they are more attracted towards vegan food.
2. Income group: Amrutha lounge has targeted the people those having higher paying
system and it is also be affordable to moderate income age group individual as well.
3. Occupation: The lounge has targeted the group who has better occupation and with
this include professionals, business person and aged individual's as well.
4. Geographic locations: Amrutha lounge is located near by city and with this it is easy
for business to get attract lot more customer's. For this they have provide different offer
and discount profitability is increases.
Value and importance of Target customer groups
The targeted customer group has varied range of importance and values that is defines
below as with related to Amrutha lounge:
 Customer service- It is an essential prospect and under which large amount of
customer's get attracted by which better profit and higher sales is attained with
continuous period of time (Goodman, 2019). Amrutha lounge and its management make
sure that they have delivered better services as while maintaining quality as well. In
addition timely innovation is induced that used to satisfied more of customer's in certain
period of time.
 Fulfils social responsibility- It is a responsibilities that is played by business under
which environmental care is protected that induce without paying harm to surround and
an individual as well. In relation to Amrutha lounge, its management make sure that
environment friendly techniques has been used that produces less pollution and enhance
market productiveness.
P2 Explore different factors that drive and influence customer engagement of different target
customer groups
Customer Behaviour and attitudes
The behaviour of customer's is changes as per their suitability, taste and preferences
under which favouritism is promoted. In this sustained amount of changes and modifications is
considered that is underlying with the marketplace actions (Gopalakrishna, Malthouse and
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Lawrence, 2019). As in context to market segmentation of Amrutha lounge, customer's
behaviour and its attitude is as explained below as:
Understanding behaviours and attitudes of customers in several market segments to
develop brand loyalty
 Complex buying behaviour: It is a behaviour of customer's in which they have make
different preference as per according to their need and offers that is grabbed by market as
on random basis. In also dependent on better involvement of marketplace as it offer
various benefits and discount in order to grab attention of most of the marketplace
(Kandampully, Zhang and Jaakkola, 2018). In order to attract more of customer's
Amrutha lounge use parallel support of digital technologies and with this they are able to
connect with potential customer base.
 Accustomed purchasing behaviour: These are the behaviour that show that some of the
customer's having habit of eating relative food as it is consider under favouritism. In this
customer's having similar taste and preferences and be selective for their food. Thus for
this Amrutha lounge, has targeted specialised customer's and with this offer best and
qualitative food to its customer's that assist to enhance brand image, value and loyalty.
Cluster of emotions that drive and destroy value engagement factors
The customer engagement is a continuous procedure in which business make sure that
customer's always get connected towards the business and its operation. For this Amrutha
lounge ensure that adequate range of strategies is induced within the business by which growth
and success rate of business is enhanced with continuous period of time. It also promote better
emotions under which positive image is developed and it is furthermore explained briefly as
below as:
 Possibility for customer engagement- In this Amrutha lounge has offered different
opportunities within which customer satisfaction is increases over repetitive period of
time. It also consider proponent cluster of information and under this business has induce
better changes as per the market expectations (Keiningham and et. al., 2020). In addition
lounge also offered various services as per according to sustained opportunities and it is
processed with support of clear and effective interaction. It is used to advance rate of
opportunities by which profitable outcome is developed within the stipulated period of
time.
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 On boarding and post-boarding strategies for customer engagement
◦ The Managing customer experience. Off Amrutha lounge is completely based on the
dependability of customers and their choices. Lounge maintain its clear target to an
adult and youngsters. To offer their suitable services business has worked over to
better treatment to its customers. At first visit of customer business has provide warm
welcome and pleasant treatment so that more customers get attracted. For post board
lounge collects feedback of customers and implement the change as soon as possible.
◦ Amrutha lounge attracts their customer by providing relaxed goods and services
along with relaxed surround (Kumar, Steward and Morgan, 2018). In order to enlarge
customer efficiency business worked on to improvise various offers and discount
along with balanced innovation. It improvise the rate of productiveness so that long
term sustainability is maintained.
Factors that drive and influence customer engagement-
In order to influence the customer, attract ability, an engagement Amrutha lounge has.
Induced a lot of strategies. Towards its targeted market so that they achieve. High success within
the stipulated period of time. There are different factors that influence consumer engagement,
which is as described below as:
 Understand the expectation of customers-In order to understand the expectation of
customers of targeted market, Amrutha launch has worked on to measure different
prospect of marketplace. In addition, timely feedback also collected by Amrutha lounge
so that they are able to understand the need and requirement of their potential customers
and apply that within their business accordingly.
 Clear communication-It is a factor Through which ombretta loans make clear
interaction with their customers so that they understand demand of marketplace with
better suitability.
LO2
P3 Create customer experience map for service sector organisation
Customer journey experience map
It is a map that shows the customer journey that has started with the initiation of business
and processed throughout with parallel to business growth. It Assisted the business to make
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appropriate changes within the working style by which ability of business to retain and attract
more of customers is enhanced (McLean, Al-Nabhani and Wilson, 2018). In relation to Amruta
launch. Do you have analyzed the different opinion of customers and make suitable changes
within the business so that more of the customers get attracted for a longer period of time. It
assist the business to make valuable change by which higher profit is achieved and that is as
furthermore explain below as:
Stages of customer journey
 Awareness- It is an initial stage in which manager of Amrutha lounge worked for two
create. And awareness within the marketplace so that they could reach towards more of
the potential customers. In this they also tried to identify. The needs and demand of
customers and then make changes within the business accordingly.
Consideration and decision making- At this stage of Journey, manager of Amrutha
lounge consider the demand of customers and then make suitable decision about the price
rate of different dishes that is offered by them. In this ability of business to gain higher
profit and better connectivity is increases.
Retention-It is a stage at where company maintains its focus towards retaining of its
potential customers by which it is easy to gain higher success and long term benefits. In
this Amrutha lounge has analysed the requirement of potential customers and then make
adequate interpretation systematically (Moliner-Tena, Monferrer-Tirado and Estrada-
Guillén, 2019). It also assist to enlarge market share and its value in effective manner.
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 Advocacy- It is a final stage at where ability of business to attain easy and long term
efficiency is developed in ordinate mode. In this Amrutha lounge develop strong and
loyal customer base and gain long term growth.
Deconstructing customer journey and building customer narrative to offer strategic
insights
It is an essential working prospect of business under which Amrutha lounge determine
customers range and their likeliness. Thus market engagement and involvement both get enhance
but along with this it is also necessary to develop strong interrelationship with customers. It helps
to gain more profit over continuous time period.
Strategies of customer insights
Amrutha lounge maintain focus towards customer enlargement and for that develop various
strategies and policies that help to gain more profit over longer period of time. It also boost
business credibility and there are few insight of business that is as explained below as:
 Marketing- It is a form through which customer insight is developed and under this
Amrutha lounge promote its products and service in adequate mode (Roos and Bekker,
2018). For this various digital technologies has been used by which More of the
customers get attracted over regular basis.
 Customer interaction- It is a factor under which Amrutha lounge maintain focus on to
design various strategies and implement that in social media usage. In this customers
reviews and feedback is collected by which loyal customer base is developed in
constrained mode.
P4 Discuss customer touch points throughout customer experience create business opportunities
In relation to Amrutha lounge, its management worked on analyse various touch points
that provide several opportunities by which sale and revenue is collected in timely basis.
Pre purchase During purchase Post purchase
Touchpoints In this customer has
uses various online
platforms as like
email, search engine
optimisation, websites
It is necessary aspect
under which quality
service is offered to
customers at timely
manner. It also
It is a touch point
under which
customers has a
chance to review
different services that
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etc. In this various
data is collected that
enhance cost and
delivery effectiveness
along with gaining
suitable knowledge.
promote suitable
connection with
marketplace and in
addition also offer
appropriate guidance
through which better
experience is offered
(Roy, 2018).
is played by them. As
after enjoying the
services customer
provides its feedback
and reviews that assist
other to make proper
decision.
Perception of
customers
It is a prospect under
which customer is not
in contact with the
brand but get collect
various information
and knowledge about
different service
provider and it is
provided by family,
friends, newspaper,
printing information
and many others as
well.
In this stage both
customers and
business are not able
to make accurate and
defined contacts thus
it is not possible to
connect and develop
clear and transparent
interaction..
In this customer has
that ability to share
their feedaback
whereas, company is
able to resolve
redundancy by
considering customer
knowledge.
Opinion for
betterment
For this Amrutha
lounge has worked on
to make better
innovation as by
recognising various
ideas and thinking that
is suitable for
customers and market
It is a continuous form
under which various
training and
development is
offered so that
customer's get better
treatment in ordinate
mode. It induces
It is a condition at
where customer's
provide their reviews
and share their
prospect as about the
offered services.
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growth. It is a
responsibility that is
processed so that
profitable outcome is
achieved with
repetitive basis.
satisfactorily base
through which loyal
customer base is
developed by which
long term profit is
achieved effectively.
In this Amrutha lounge has different touch points through which they have interact with a
lot of customers in specified manner. The touch points of customers is based on different
prospect and it is as described below as:
 Websites- It is an aspect from which Amrutha lounge maintain their own official website
in order to attract and retain more customers. In this relative information of customer is
identified along with this visitors also get adequate knowledge about offered varieties in
simpler manner.
 E-mail- It is a form of insight in which Amrutha lounge send e-mails to their potential
customers so that they have better knowledge about different offers and discount that is
offered by business (Shukla and Pattnaik, 2019). In this timely update is provided to
customers by which customer base get more wider and stronger
LO3
P5 How digital technology is employed in managing customer experience including specific
examples of customer relationship management system
Customer relationship management
It is a prospect that is used by Amrutha lounge while developing strong relation with
customers. It is processed by business in order to develop different strategies so that they are able
to manage customers aspects and feedback. For this lounge maintain its own software as they get
related themselves with customers so that long term sustainability is achieved with perfection.
There is different method of CRM system that is as illustrate below as:
 Operational CRM: It is a system that is used to maintain balanced level of autonomy
under which working operation and its potential both get enhanced.
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 Analytical CRM: In this system Amrutha lounge analyse its data and then make
adequate modification as per current status of business. In this ability to enhance market
reach is increases on repetitive mode (Smit and Melissen, 2018).
There are several digital platform that helps in managing customer experience
 Social media: It is a platform that is used by Amrutha lounge to enhance its market
expectations and it is done with supports of Twitter, Facebook, own web portals by which
ability to develop strong relationship is developed..
 SMS or EMAIL MARKETING: It is a form of marketing that is performed by
Amrutha lounge and in this they circulate official services and information to its potential
customers. In this probability to gain more benefits is increases in productive mode.
CONCLUSION
It has been concluded from the above report that managing a customer experience is
always a basic standard that us followed by business to gain higher competitive advantage along
with higher profitability. In this significant changes is addressed that aid to make positive
changes and for this business use various digital technology such as email, own portals, website
etc. Furthermore, there is different touch point of customer experience that is utilised so that
need of customer is measure in clear basis.
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REFERENCES
Books and Journals
Bolton, R.N. and et. al., 2018. Customer experience challenges: bringing together digital,
physical and social realms. Journal of Service Management.
Centobelli, P. and Ndou, V., 2019. Managing customer knowledge through the use of big data
analytics in tourism research. Current Issues in Tourism. 22(15). pp.1862-1882.
Goodman, J., 2019. Strategic customer service: Managing the customer experience to increase
positive word of mouth, build loyalty, and maximize profits. Amacom.
Gopalakrishna, S., Malthouse, E.C. and Lawrence, J.M., 2019. Managing customer engagement
at trade shows. Industrial Marketing Management. 81. pp.99-114.
Kandampully, J., Zhang, T.C. and Jaakkola, E., 2018. Customer experience management in
hospitality. International Journal of Contemporary Hospitality Management.
Keiningham, T. and et. al., 2020. Customer experience driven business model innovation.
Journal of Business Research. 116. pp.431-440.
Kumar, A., Steward, M.D. and Morgan, F.N., 2018. Delivering a superior customer experience in
solutions delivery processes: Seven factors for success. Business Horizons. 61(5).
pp.775-782.
McLean, G., Al-Nabhani, K. and Wilson, A., 2018. Developing a mobile applications customer
experience model (MACE)-implications for retailers. Journal of Business Research. 85.
pp.325-336.
Moliner-Tena, M.A., Monferrer-Tirado, D. and Estrada-Guillén, M., 2019. Customer
engagement, non-transactional behaviors and experience in services. International
Journal of Bank Marketing.
Roos, M. and Bekker, J., 2018. Managing customer experience using data analytics in a
partnering venture.
Roy, S., 2018. Effects of customer experience across service types, customer types and time.
Journal of Services Marketing.
Shukla, M.K. and Pattnaik, P.N., 2019. Managing customer relations in a modern business
environment: Towards an ecosystem-based sustainable CRM model. Journal of
Relationship Marketing. 18(1). pp.17-33.
Smit, B. and Melissen, F., 2018. Sustainable customer experience design: Co-creating
experiences in events, tourism and hospitality. Routledge.
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