Mize Connected Customer Experience enables durable goods companies to Maximize Customer Lifetime Value by helping them to:
- Retain more of the customers,
- Increase sales to the loyal customer base, and
- Grow profits through higher margin service and repeat sales
The lifetime value of customers includes everything they will ever buy from the company now, and during all the years they own the products. Customer Lifetime Value as compared to Customer Acquisition Costs (CLV/CAC) provides a better indicator of a company’s profitability.
The value of Customer Retention
Many industry studies and surveys clearly prove the value of focusing on customer retention:
- The cost of acquiring a new customer is estimated to be 4 to 20 times greater than keeping an existing customer happy. (Source: What is the Cost of Customer Acquisition Customer Retention? )
- Customer retention and loyalty increase when Customer Satisfaction and Experience improve as 67% of customers indicate poor customer experience as the reason for switching the brands (Source: 50 Important Customer Experience Stats for Business Leaders )
- Companies can generate incremental sales from customers as repeat customers spend, on average, 67% more than new customers (Source: Bain and Company; How To Make More Money Without Making More Sales )
- A 5 percent increase in retention yields profit increases of 25% to 95% (Source: Bain and Company)
Companies also reduce the cost of customer acquisition through the references, reviews, and advocacy of the satisfied customers.
How does Mize Create Value for Customers?
Mize formula for creating value for companies is:
Optimize CX = Maximize Value / Minimize Hassle
Mize enables durables goods manufacturers to enhance ownership experience by delivering better value to customers at important service touch points throughout the customer journey.
A recent McKinsey customer experience survey of 27,000 US consumers across 44 industries found that companies that focus on providing a superior and low-effort experiences across their customer journeys – such as customer onboarding, account changes, and problem resolution – realized positive business results, including a 10-15 percent increase in revenue growth and a 20 percent increase in customer satisfaction.
The less effort it takes for consumers to accomplish their goal when they contact you, the more loyal they become.
Mize elevates Experience during Customer Journeys
Mize makes it easier to do business with the Brands by:
Simplifying service interactions through a Customer Portal
Enabling better service delivery through Channel Connect, a service portal and a mobile app for channel partners
Connecting customer support & service across existing silos with Customer Central
- Reduce the number of calls to the Contact Center
- Improve response time and reduce wait times as contact center personnel focus on fewer requests and resolve issues better with information captured from the customers
Enable more productive and effective Service delivery to improve service sales and margins. Service Technicians can improve first-time fix rates and productivity freeing them up to complete more service requests.
IT Value: Minimize the Cost of Customer Support & Service Systems
Companies today rely on many different custom developed applications or point solutions that do not integrate well and are inflexible. Mize platform and Smart Blox makes it easier to create unified service experience. By implementing an integrated solution for entire customer lifecycle, companies can reduce the cost of maintaining desperate systems. Mize improves efficiency and reduces integration costs by addressing the needs of customer, service delivery channels and Customer Support & Service organizations.
Mize enables companies to move the support & service systems to cloud, mobilize the applications through responsive web and native mobile apps, and provide better analytics and insights from the data to measure and improve customer experience.
Source of investment for improving Customer Experience
The money to invest in Customer Experience can come from reducing the waste in ineffective marketing and poor customer service. Research indicates that companies are wasting over $150 Billion a year on ineffective marketing that is being avoided by today’s empowered consumers and $62 billion a year on poor customer service that results in customer churn. Allocation of small % of that spend to improve the customer experience will result in better customer retention and higher margin sales growth.
The margins in sales of service parts, service plans, accessories, and services is closer to 30-40% as compared to less than 10% of new product sales. Companies can realize higher profits and better ROI from investments in improving customer experience and retention.
Optimize Customer Experience
Mize helps companies deliver better experiences and realize better economic value by moving beyond the commodities, goods, and services. Mize Connected Customer Experience platform helps brands to orchestrate seamless customer experiences. Smart Blox, the building blocks of Customer Experience, can be easily provisioned and bolted on reducing the risk and providing a clear roadmap to unify the entire life-cycle over time as companies realize the benefits and ROI.
Maximize Customer Lifetime Value
The Customer Experience remains as the only sustainable differentiator as global competition, and faster product cycles are making it difficult to differentiate products based on features and pricing. The ability to deliver and realize value throughout the customer lifecycle will help companies to retain more customers and grow profitable sales.
The companies can maximize lifetime value as higher Customer Lifetime Value (CLV) results from
- Increase in Customer Retention,
- Incremental Sales to Loyal Customer Base, and
- Higher profit margins.
Request a demo now to learn how you can maximize customer lifetime value with Mize Connected Customer Experience.
Mize simplifies Service & Support Delivery with new release of Connected Customer Experience Platform and Smart Blox