Customer Experience bridges the gap between Customer Satisfaction and Customer Loyalty. Customer Satisfaction deals mainly with attitude. Customer Loyalty has to do with behavior.
If you measure Customer Satisfaction and have been doing so for years, you probably have a hard time translating this into the newest metric fad, Net Promoter. The bottom line is that Net Promoter has a greater association with loyalty, so these scores will be much lower than your customer satisfaction scores. This paradigm is not uncommon. Realize that Net Promoter is not a silver bullet metric and your ability to tie this to tangible behavior (call back rate, spending, etc.) is what will separate you from other businesses. We will discuss that more later.
Customer Experience can be the difference between satisfied and un-satisfied, loyal and unloyal customers. Picture a 2x2 grid with these dimensions. 2 are bad, 1 is nearly impossible unless you are a monopoly or the barriers to exit are so high (think life insurance and surrender charges). It is truly a moment where an emotional trigger can translate satisfaction into loyalty.
Customer Loyalty can be broken down further. There is (cognitive, affective, conative, and action loyalty).
Diagram: Left to right Cognitive----->Affective----->Conative------->Action
Customer experience can change an un-loyal customer to a loyal customer, regardless of their satisfaction and that is why it is so important.
Coming up: What impacts Customer Loyalty?
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