Last week I wrote about how the customer experience scale is tilted and that we have to go beyond the expectations of our customer (or boss) to leave them with a good customer experience. Since all resources are limited, how much does it cost to provide a good customer experience? What factors can be used to measure the cost of going beyond the expectations of your customers? Since a customer’s experience includes all touch points of your business — as a company: billing, sales, product delivery; as an employee: quality of work, daily attitude, readiness for change –, the cost can be distributed over many areas, not just the sales support department and not just the quality of an employee’s work.
The Big and the Small
For a large company such as the phone company or the electric company, spending money on training the call center employees to be happy, training them to say that they are sorry (like AT&T does), and providing a friendly and informative customer experience has benefits: a happy customer. An example of this is when you call your internet service provider (cable company?) and complain about an Internet outage. How many buttons do you need to press to hear them say there isn’t anything wrong in your area? How often do you call about an Internet outage and they recommend going to their website for convenient information related to your concern? How transparent is the technology and how informative are the tools when you, as a customer, contact them? If they have invested in your customer experience you get to talk to someone immediately that is happy to help you, is interested in finding the issue quickly, and also gives you a follow up number. If the company really cares about you then you get a survey from them where you can give them some quality feedback. If a company has not invested in your customer experience you rarely have a chance to talk to a human and when you do they do not have the tools to assess the problem quickly.
For a small company or an employee the benefits are similar, but not many of us have call centers to field our customer’s concerns. So, the costs are centered around spending emotional energy and physical time on change request calls, absorbing disruptive emergencies, and accepting work that is outside the scope of the project. All of which can be very expensive emotionally. We can all relate to having a customer or a boss hand us an assignment with a short deadline and ask us to make his work a priority. Faced with conflicting deadlines, working for free, and also trying to get home to have dinner with our loved ones is a common issue with providing a good customer experience on a personal level. Regardless of your company or team size, providing a good customer experience is expensive (high cost). Fortunately, the benefit or the Return on Investment (ROI) is a happy customer (or boss) that is willing to spend more money on your services and products.
ROI Breakdown
A closer look at ROI shows that the investment is divided into two kinds of costs: a hard cost ($) of implementing better systems, training, and more efficient customer touch points, and secondly an emotional cost of being happy, available, and making the customers emergency our emergency. By the way, the guy who wrote “poor planing on your part doesn’t constitute an emergency on my part” was let go a decade ago (or at least has been moved to the back closet where he can argue over who has his red stapler). The paradox is that with all ROI being equal a larger company must spend large amounts of money creating efficient and transparent customer touch points (call centers, sales, product support), but only a little emotional cost in improving the customer experience. On the other hand, a small company will spend very little hard costs on creating transparent touch points (because there is no call center, or a very small sales staff, or product support is the actual engineer), but a very large emotional cost in working with customers directly and making the customers emergency your own.
Again, with all ROI the same, the economy of a good customer experience looks like this:

Just Do It
After this exploration the lesson is: big or small you have to pay to provide a good customer experience with either sweat and tears or with hard earned cash (or a little of both). Fortunately, the benefit is a happy customer that will tell their friends about you and will ask you for more work or products. When I consider the cost of a good customer experience and our current economy I can only pass on to you what my mom used to tell me when I was a kid (just last year): “buck up cowboy, and just do it”.