Competing and Winning in Challenging Environments with Matt Dixon and Vikas Bhambri

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Competing and Winning in Challenging Environments with Matt Dixon and Vikas Bhambri TW

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In this episode of the Customer Service Secrets Podcast, Gabe Larsen is joined by guests Matt Dixon from Tethr and Vikas Bhambri from Kustomer to discuss Matt’s most recent research on over one million customer service phone calls. In this episode, they discover what the research indicates and how leaders can utilize the data to their advantage. Listen to the full episode to learn more.

Adapting in the Biggest Stress Test Ever for CX

Soon after the WHO declared COVID-19 a global pandemic, Matt Dixon and his team of professionals quickly got to work analyzing data from 1,000,000+ customer service calls. This last year has been described as CX’s greatest stress test ever because teams are having to constantly adjust and adapt to the ever changing world. A year in the making, the data is showing what teams are and aren’t doing correctly in this new environment. Something that Matt hopes teams will make note of, is pre-pandemic, about 10% of customer service calls were classified as difficult. Seemingly overnight, the amount of difficult calls jumped to a whopping 20%, overwhelming underprepared CX agents. As history shows, greater difficulty in customer experience interactions leads to greater amounts of negative word of mouth marketing and upset customers. This then leads to more people being unwilling to purchase goods or services from a brand because of high difficulty interactions. To help teams adjust to a new normal and return to work, Matt offers some practical and actionable tips in the episode. He explains that making sense of collected data is key for all teams who want to be successful in the future. “Data is voluminous. It is unbiased. It’s unvarnished. It’s really actionable in the technology that exists today.”

Using Data Proactively Now and for the Future

Data is constantly being discussed in modern CX conversations on a global scale. It seems that more and more companies are turning to using data to gather helpful information about their customers. No longer are the days of QA teams and reps who had to take detailed, tedious notes on every customer interaction to gather data and search for opportunities for improvement. New technologies allow for that data to be automatically collected, scored, and reviewed. Brands would be wise to implement data collection and implementation on a company-wide basis, as it plays a major role in customer success and higher NPS scores across the spectrum. Matt believes that in order for that collected information to be holistically useful, teams have to be proactive about the way they utilize such data – to not only solve immediate issues, but to use it to predict future issues and customer difficulty. Matt explains that data can be used to prepare for “The thing they’re (customers) probably going to call you about in a couple of days or weeks or months. … It’s a very low effort way of thinking about the customer experience.” In addition to this, Matt believes that so many companies spend too much valuable time concentrating on gathering survey responses that would be better spent on analyzing data that is stored within the technology they already have access to. As CX leaders learn more about their technology and how they can use it to collect data, customer satisfaction is sure to skyrocket.

Employee Satisfaction Leads to Brand Loyalty

The topic of employee satisfaction has gained traction in the CX realm. Leaders are starting to recognize the importance of having teams of agents that are happy, rewarded for their efforts, and satisfied with their contributions to the company. The year of customer experience calls that Matt and his team analyzed revealed that big brands are being exposed and their weaknesses are being made public. Their lack of training and agent accountability is contributing to public distrust of these big brands. Vikas uses the example of reps working from home without direct supervision that are telling customers to complain on social media because they don’t have the tools, permission, or training to properly help them. Matt and Vikas believe that it is extremely important to hire the right people, train CX agents correctly, and establish a level of trust with them so that they can work independently and efficiently. “If you haven’t hired the right people and you haven’t helped coach them on the behaviors that’ll lead to success, when you put them in an at-home environment, that becomes really apparent really quickly.” When these agents feel that they are trusted and have the freedom to make crucial decisions on part of the customer, brands are more likely to win. Evidently, customer interactions prove that when the agents are happy, trusted, and feel like their efforts are important to the company, customers are happy and have a greater chance of staying loyal to the brand.

To learn more about 1,000,000+ customer calls and what the data shows, check out the Customer Service Secrets podcast episode below, and be sure to subscribe for new episodes each Thursday.

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Full Episode Transcript:

What 1,000,000 Customer Service Calls Tells Us | With Matt Dixon & Vikas Bhambri

TRANSCRIPT
Intro Voice: (00:04)
You’re listening to the Customer Service Secrets Podcast by Kustomer.

Gabe Larsen: (00:11)
All right. Welcome everybody to today’s show. We’re excited to get going here. We’re going to be talking about customer service research. What 1 million, it’s more than a million phone calls, tell us what the heck you’re supposed to be doing to be successful in customer service. And to do that, we brought on a couple of special guests. One you know, Vikas Bhambri, and the other is Matt Dixon. Guys, why don’t you take just a minute and introduce yourself? Matt, let’s start with you.

Matt Dixon: (00:37)
Yeah, sure. Gabe, thanks for having me on. Matt Dixon, I am the Head of Product and Research at Tethr, which is an AI machine learning venture out of Austin, Texas. Prior to that, I hailed from CEB where I ran the customer experience and customer service practice for many years there. And I worked on all the research related to effortless experience, customer effort, score, effort reduction, some of which we’ll talk about today, hopefully.

Gabe Larsen: (01:04)
Awesome. Awesome. Vikas, over to you.

Vikas Bhambri: (01:06)
Sure. Happy Friday, everyone. Vikas Bhambri, Head of Sales and CX here at Kustomer. Looking forward to the chat with Matt and Gabe.

Gabe Larsen: (01:14)
And you know myself, Gabe Larsen. I run Growth over here at Kustomer. So Matt, what does it feel like to be a celebrity? I mean, people must come to you. This question, by the way, those of you that –

Matt Dixon: (01:24)
[Inaudible]

Gabe Larsen: (01:28)
People must come to you and be like, “You changed my life.” I mean you wrote Effortless Experience, you wrote Challenger. I mean, how does it feel to be a celebrity? I’m partially kidding, but those are big books. A lot of people have been impacted by them. So number one, thank you. But in all seriousness, what does that kind of done differently for you in the way you’ve kind of managed your career so far?

Matt Dixon: (01:49)
Well, thank, first, thank you for the kind words. I think they’re, the first thing I’ll say is this. Those books and all that research was a big team effort. So it, it’s a kind of an awkward thing to have your name on a book that you know there were dozens and dozens of people behind, putting that research together. But at the same time it’s been a pretty fun journey. We’re, I think in both sales and customer service, we’re a little bit different from a lot of the other folks out there. I mean, you and I know a lot of the same folks in the sales world. I know you hailed from that world as well prior to your time at Kustomer in the customer experience and customer service world. And I think there’s so many good expert, kind of subject matter experts and thought leaders out there. What I think makes some of this research different is the thing I still try to stick to today is I’ve never run a call center. I’ve never been a Head of Customer Experience. I’ve never been a call center rep. I think I’d be, probably be an awful call center rep. I’ve also never been a salesperson. I’ve never run a sales organization and I’ve not, I have not carried a bag for 20, 30 years like many of the other folks out there writing about sales. I think what makes me different, and some of the folks I worked with on that research, is that we’re researchers. We brought data to the air against some of the big questions people were asking.

Matt Dixon: (03:07)
So Challenger, it was, how do we sell the information to power buyers? And we’ve been taught for so long that it’s all about needs diagnosis and relationships and this kind of thing. Is that actually true? And we found with the Challenger research, a lot of that stuff was built on flawed assumptions, or at least it didn’t stand the test of time and the data currently shows a better way to do things from a sales perspective. In effortless experience, very similar. We’re all taught to believe that more is better. It’s all that delight and wowing and exceeding the customer’s expectations and we shouldn’t do that as companies. We should have a great brand that delights, a killer product that delights, great pricing that delights, a sales experience delights, but when things go wrong, we’ve found that’s not the time to delight. That’s the time to get things back on track and make it easy for the customer. Play good in customer service.

Matt Dixon: (03:52)
And so I think in some ways I like, I don’t know that I put myself up in the Pantheon of like the MythBuster guys from Discovery Channel, but I, and that’s kind of how I think of, my career has been a lot about that. Trying to bring science to bear, to test some of these assumptions that a lot of people have that feels so right. And then we never stopped to question whether or not they’re actually true and there’s a lot that we go and test and we find out it’s actually true, but there’s a lot that we tested we find out it’s actually wrong. And I think exposing that for sales leaders, customer experience leaders, contact center leaders, customer service leaders is really important and really valuable because it helps them proceed with clarity and allocate the resources better.

Gabe Larsen: (04:30)
Yeah. Well, I think that’s one of the things that I’ve appreciated about the methodology in the CX space. It seems like it’s fluffier at times, right? It’s a day on the phone with Zappos for 50 hours to make somebody feel good. There’s just so much kind of feel good stuff, that I remember reading the Effortless Experience and it was the first time I was like, “Oh my goodness, a data driven view into customer experience that I think maybe isn’t the standard.” So I do think it is nice to have some research. That’ll set up our conversation as we jump in. Vikas, I mean, your experience with the Effortless Experience, or it’s got to be one of those books, that’s just, you’ve talked to maybe a hundred thousand people about?

Vikas Bhambri: (05:09)
No, look it’s, Matt and team did a great job. It’s top of mind for a lot of folks right now, right? In terms of just how do you compete effectively? And I think the effortless experience in terms of that experience that you can deliver, not only externally, but internally with your team, and then how do you use data to iterate that experience, right? I think what Matt and team do is they’re looking at it at a macro level, across many customers and many trends. And then, what any operational leader needs to do is then apply it to their business and say, “Look, let me look at the metrics in my data. These are the bars that I want to aspire to. What do I need to do to get there?” And looking at the data within their own tools and tool sets and saying, “Where am I falling short?” So I think it’s that perfect convergence in terms of how do people effectively compete in what’s becoming a very challenging environment, right? New companies popping up in every space, almost on a daily basis.

Gabe Larsen: (06:05)
Yeah. Yeah. Well, let’s get into kind of then, some of the latest research and it may not be the latest latest, because it seems like every time I talk to Matt, he’s got something new on his, on his cuff, but –

Matt Dixon: (06:16)
[Inaudible] Now I feel lazy because I have –

Gabe Larsen: (06:23)
[Inaudible] four weeks old. What the hell?

Matt Dixon: (06:28)
[Inaudible] me lately.

Gabe Larsen: (06:28)
Yeah, that’s right. This isn’t good enough. So maybe kind of give us the backstory on this. Obviously it was COVID related. A lot of phone calls. Fill in the blanks as to why you started it, what it is.

Matt Dixon: (06:39)
Yeah. So we at, just a little bit of background. So at Tethr, we are in the conversational analytics space. I know a lot of the folks on the, listening on that are familiar with that technology. We’re one of the players in that space. And so we work with a lot of big companies around the world. And what was interesting is we take their phone date, phone call data, we take their chat interactions, their email changes, other other data, and we help them make sense of it. And to understand what’s going on in the customer experience, what the reps are doing to the good and to the bad. What the customer’s experience is with their product and their digital channels and so on and so forth. And one of the things we noticed is, with COVID in that, obviously it took the world like in a blink of an eye, just changed a lot of what we do. Think about a call center leader, multiple kind of dynamics at play. On the one hand, all of my reps who used to be sitting together in a contact center that are now all working from home. No access to peers, no access to supervisors, no shoulder to tap to ask for some help, really working on an island. And then you add onto that the fact that customers are now calling about maybe not entirely new issues, but much more acute issues. So think about, for instance, a utility company, we work with a number of utility companies. They’ve always had a certain percentage of customers that call for financial hardship reasons. I’ve lost my job. My spouse has lost their job. I can’t pay my electric bill this month. I need to go on a payment plan [inaudible] will shut my power off. That, we found in one company in our study, the number of financial hardship-related costs increased by 2.5x almost overnight in the span of like a couple of days. The number of people calling in saying, “I can’t pay my bill. I cannot have you turn the power off. And I don’t know when I’m going to be able to pay to pay you guys. So I need to, you got to come up with a plan and it’s got to be a new, creative plan, right? Because I don’t know when I can get back on track financially.” That produced this perfect storm for customer service leaders. So we started hearing from a lot of our customers, “Hey,” like, “let’s get under the hood of what’s going on in these conversations. What’s changed for our reps? What’s changed in the customers, with the customer’s expectations? What are the good reps doing that we need to do more of? What are the reps doing to the bad that we need to do less of, and let’s get our arms around this because this stuff is happening so fast.”

Matt Dixon: (08:57)
And so that’s what we did. We collected. We took a sample of calls. A million calls total from across 20 different companies. And we specifically picked those companies because we thought they represented a broad cross section of the economy. Some industries really effected like travel and leisure, some less so. And so we combined, we created the sample and we went in and we studied it. One of the first things we did was we scored all of the calls for the level of effort. So we had built an algorithm at Tethr, we call it the Tethr Effort Index, think of it like a predictive survey score. So rather than asking your customer at the end of a call to tell you how much effort that call was and for those of you familiar with the Effortless Experience, you know a customer effort score is one of these things that we talk about a book. That relies on a survey, but what we built a Tethr was a machine generated algorithm that could take a recorded phone call and the machine could tell you basically, here’s the score you would have gotten on the survey if the customer had filled it out, but without the high effort experience and the expense of asking the customer to fill out a survey.

Matt Dixon: (09:57)
So the first thing we did was we started collecting calls on March 11. We picked that date because it was the date the WHO declared COVID-19 as a global pandemic. We ran the study for two weeks to get a million calls sample from across 20 different companies. So that was a subset of the total call volume those companies do with us. And we scored those calls and we looked at what the scores were before and what they were after. And we saw a real increase overall in just the difficulty of calls, so the effort level of calls. And for those of you again, who know the research, know that effort corresponds with churn. It corresponds with negative word of mouth. It corresponds with customers unwilling to buy more from you, unwilling to accept the save offer, right? When they get transferred to the retention queue.

Matt Dixon: (10:42)
Specifically, we saw before the pandemic for the average company in our study, it was about 10% of their calls that would have been scored as difficult on our scale. It’s a zero to 10 scale. So we’re looking at the scores in the zero to four range. Those are the bad ones. In the study, so after March 11th, for those companies, that percentage doubled to 20%.

Vikas Bhambri: (11:02)
Wow.

Matt Dixon: (11:03)
So now, one fifth of their total call volume was in that zone of customers who are likely to get on social media and badmouth you, likely to churn out, not likely to buy anything more. They’re going to go in and tell their neighbors and their friends and their colleagues, “Don’t do business with these guys. It’s a terrible company, they’re treating me,-” and again, a lot of the, it was compounded by the way the reps were handling that. The fact that they’re all working from home and we get into a little bit of that, but it was kind of a staggering overnight change in the dynamic.

Gabe Larsen: (11:31)
Well, and I think that’s obviously, I think we’re all experiencing that. So it’s not too surprising from an interpersonal perspective. I can relate. Obviously taking this call from home at the moment. So if I understand the basis of it though, it did start in March 11th, it went for two weeks. Million plus phone calls, cross segment of the industries, just touch on that real quick. It was, you did try, it was pretty variety. So it wasn’t just hospitality and travel. You felt like you got a pretty good cross section on that.

Matt Dixon: (11:57)
Good cross section. So we, we’ve got in there some consumer products companies, some travel and leisure companies, utilities, financial services, card issuers, telco, and cable. It was a broad cross section. We had a couple of more B2B tilted companies as well. So we felt like we had a pretty good sample that we could say, “It wasn’t all skewed towards travel and leisure.”

Gabe Larsen: (12:18)
I love these different industries. Go ahead, Vikas.

Vikas Bhambri: (12:20)
Let me touch on one thing, which I think is really interesting. I think this is about the data, right? And I think if people aren’t using their contact center or CX data in the best of times, shame on them. But especially now, and I think there’s a real opportunity for companies to do what we call proactive service. And I think a great example of this is if you’re an insurer and you’re seeing that 20% of your volume coming in is around, “Hey, I want a reduction in my premium because I’m not driving my car,” why not use that data? Go out to market like my insurer’s done and say, “Hey, we’re giving you a credit to your account because you haven’t even asked for it, but chances are, you’re not driving. So we’re giving all our,” and look at the positive press and you’re seeing some big insurers now are catching on to this. And people are like, “Wow. My insurer’s thinking about me in this time of need.” And I think using that data, because chances are, they were going to give people individually, those credits anyway. One, you’ve reduced your conversation volume into your contact center because now you’re proactive about it and you’re getting positive press. Any thoughts on that and how people might be using that data creatively?

Matt Dixon: (13:29)
Yeah, no, I mean, I think you’re right. So the, a couple comments, one is, being proactive, I think was one of the things we wrote about in The Effortless Experience. Not just solving this issue, but thinking about the next issue proactively for the customer. The thing they’re probably going to call you about in a couple of days or weeks or months, but you as a company know this, so you can use your data to predict that, and you can fully resolve it for the customer. It’s a very low effort way of thinking about the customer experience. But the other thing in general, I totally agree, Vikas, with what you’re saying. That I see, I’m constantly surprised by how little companies, big companies actually leverage all the found data in their enterprise and how much they obsess about getting more data from like, for instance, post-call surveys.

Matt Dixon: (14:17)
So that to me, I find to be like, it’s just this weird head snapping thing that I don’t understand at all, which is they all obsess about post-call surveys. What do we need to do to get more customers to respond to our survey so that they can tell us how much effort the experience was? And I always think, “Well, you’re recording all your phone calls and your email exchanges, and your chat interactions, your SMS exchange and all this stuff on WhatsApp and Facebook Messenger and social. Like you have enough data already to know what the experience was. Why are you obsessing about your survey response rate?” And it just, it’s so interesting the way, and even when you get down to it, I hate to be pessimistic here, but our data in this view, but I think part of the reason is they get paid on survey response rates and NPS scores and things like that. And so that’s why they obsess about it. It’s not, ultimately, if they really wanted to fix customer experience, there are way better sources of data in the systems they already use so that they can be more proactive, so they can find those effort causes and drivers and do something about it. It’s, that data is voluminous. It is unbiased. It’s unvarnished. It’s really actionable in the technology exists today, you know? Sure. 10 years ago you needed a QA team, kind of with headsets, listening to calls, making notes and surfacing opportunities to get for improvement. But you don’t have to do that today. Machines can do that at tremendous speed and scale and so, but it surprises me why more companies don’t do it.

Vikas Bhambri: (15:38)
Yeah. I mean, the thing is if you send somebody a 15 page survey after an interaction, right, if you’re in the travel industry, for example, right, after I’ve spoken to a customer service professional, it’s like you had good interaction. And I don’t think maybe it’s a, maybe it’s a lack of understanding at the executive level that what kind of data occurs in these conversations, right? If you’re a marketeer and you don’t realize that the best feedback you’re going to get about a promotion or an offer or a competitor, what a competitor’s doing, is in those conversations. If you’re a product person and you don’t realize, “Wow, like my contact center gets real-time feedback on a new feature or a new service that I’m providing,” there’s a lack of understanding there about the richness of the data that resides in the contact center environment.

Matt Dixon: (16:27)
Yeah. I agree. It’s, I think there’s this assumption that it’s the data in so far as leverage, it’s really just valuable for making contexts in our interactions better. So, but we find when we go into those conversations, it’s a gold mine, Vikas, as you’re saying, of the insight around your digital experience. What were all the things the customer was trying to do on your website or your app before they picked up the phone and called that they’re actually telling the rep or complaining about in the conversation and you’ve just recorded it? What are all the things they talk about with respect to your product or your feature or your pricing, or your competitive differentiation, or about the sales rep who oversold them on the product or service to begin with, and now they’re calling in disappointed? So there’s just tons of insight there for all parts of the enterprise, not just for the QA team at the call center.

Vikas Bhambri: (17:11)
Right.

Gabe Larsen: (17:12)
No, I love that. So this is one way I think companies are trying to kind of do things differently in this, it’s been called the new normal or the new world we live in, using data in a way maybe they haven’t done. There were some other things that you were alluding to, Matt based on findings you have, and we’ve put a link in the chat for the actual HBR article that you wrote. So if you want to see some of the additional findings but I want to get into some of these takeaways. Where did you kind of go based on then the data that was revealed? Can you maybe start at the top? So we got data, one, and then what’s next?

Matt Dixon: (17:43)
Yeah. So we, so the highest level again, we found a doubling of the predicted effort level of interactions from pre-pandemic to in the pandemic or pre-March 11 to post-March 11th. The other thing we found as we started digging into what was really driving this was, and I think you found that generally speaking at the highest level, this is this higher level of effort in these interactions was sort of born of two different things. And they’re kind of, there’s a little bit of overlap. And on the one hand I mentioned before, customers who are feeling a lot more emotion and anxiety, driven by things like financial hardship, coming in really frustrated because maybe it took them two hours to get through to a rep because now the call center doesn’t have access to the outsource that they used to provide overflow support. The call volume has spiked, and now there’s a longer hold time. So they’re frustrated to begin with. They’re doubly frustrated maybe because they went to a website and what in normal times wasn’t such a big deal, now it was a really big deal because the alternate option going in self-serving failed them. They’re talking to a rep who they feel like is dealing with policies that really haven’t been updated in light of the pandemic. So you might be asking for a bill payment, that utility example I used before, a bill payment extension or a payment plan. And they’re still pushing customers to the policies that existed before the pandemic. And they haven’t really updated us because the company moves really slowly and they just feel like they’re dealing with people who are just throwing out policy and hiding behind policies.

Matt Dixon: (19:11)
That’s kind of on the customer side. Then the agent side, think about it. And you’ve got to be empathetic to the agent situation here, too. Many of these agents who are now working from home, the fact of the matter is that before the pandemic, most of them were working in kind of a factory floor model of a contact center where they were, they sat in a group surrounded by colleagues who they could tap on the shoulder and ask for help. Supervisors they could wave their hand and flag down for assistance or a policy exception in the moment. They were given a script, they were given a checklist. They had access to all the resources they needed. There were kind of like cogs in the machine. What happens when you send all those folks out to their home offices and now they’re left to their own devices?

Matt Dixon: (19:52)
What you find is that in some cases, maybe we didn’t hire people, we didn’t hire the right people. And maybe in some cases we never coached them on the behaviors that could lead to them being successful. We just kind of told them to stick to the script and just follow the rules, follow the checklist. That doesn’t really work in a situation where customers are calling in about high-anxiety, high-emotion issues. And they’re asking reps to make exceptions and make up their minds and decide things on the fly. Then what do you do if there’s no tenured colleague or supervisor you can flag down? You’re sitting in your basement or your living room doing your job. It’s really, really tough. So what that means is agents are shirking responsibility. They’re citing policies. They’re saying, “Hey, I can’t really help you. Maybe you should write a letter to the company. Sometimes that gets their attention. And you know what you might want to do is just bad mouth them on Twitter, because if you do that, they usually jump to it and they can help you out.” You know? And I’m not kidding. There’s a lot of that going on and it, that then compounds the frustration from customers. So beyond that, we started to look at, I think the good news is there are things we found in the research that are, we think tools and ways forward and we’ve talked a little bit about those, but let me pause here and just see if you have any thoughts, Gabe or Vikas, on that piece of it.

Gabe Larsen: (21:03)
Yeah. Any response to that? I mean, definitely a customer side and an employee side. It sounds like.

Vikas Bhambri: (21:08)
No, I look, I think I, Matt, I’ve been saying for weeks as we’ve been doing these is, this is the biggest stress test that the contact center industry has ever gotten. And I think a lot of the fundamentals that were broken at a macro level across the industry, but individually are in for specific brands are being exposed. And I think that lack of training and empowerment is one that is absolutely coming to the forefront because for somebody who’s been walking the floors of contact centers for 20 years, this even today, there’s the culture of the supervisor walking the floor, looking over the shoulder, providing guidance, jumping in and saying, “Hey, let me listen to that call. Let me coach you through it,” and forget the technical limitations. How do you do that? Now when you’ve got, maybe you’re a supervisor of 20 people and now they’re disparate and they’re working from home, forget the, like I said, the technology limitations, how do you actually do that? So I think, like I said, we’re exposing a lot of the flaws and I think, what are some of the changes we’ll see going forward is that ability to empower and really create this into a knowledge worker role, right? Because as self-service takes care of the low level simple questions, you’re going to see, I think you’re going to see this in the contact center regardless of the work from home environment, but you’re really going to need people who can handle those difficult questions.

Matt Dixon: (22:36)
Yeah. We actually, there’s another one, I don’t know if, Gabe you throw this up on the, with the other article, but there’s an article we wrote in 2018 about T-Mobile’s journey toward a different in kind of knowledge work environment for their contact center, where they basically told their reps, “You guys are now small business owners and we are, our job as leaders is to figure out what’s getting in your way of delivering the right customer experience. Is it a policy? Is it that you don’t have the right tools? You don’t have the right, you’re not on the right platforms that the connection speeds too slow? What is the thing that’s getting in your way? But you tell us what you need. We’ll clear the road for you. Your job is to own the customer experience and come up with creative solutions, but use your own judgment.”

Matt Dixon: (23:15)
A lot of that really increases the importance of hiring great people, coaching them in a really effective way, giving them great manager support and putting them in a climate that really rewards people for using their own judgment; doesn’t just tell them to stick to the script. So that article was called Reinventing Customer Service and I encourage everyone to read that because it picks up on this story that Vikas is talking about. When the easy stuff goes away, by definition, what’s left is the more complicated stuff that the live rep is handling. And you need to have really good people who can exercise their own judgment, and that’s even more important. And what becomes apparent is when, if you haven’t hired the right people and you haven’t helped coach them on the behaviors that’ll lead to success, when you put them in an at-home environment, that becomes really apparent really quickly.

Matt Dixon: (24:01)
And so it really, this is, I think there are two trends that’ll be kind of shot through a tunnel of time with COVID. I think one is digital and specifically omni-channel capabilities. The ability for companies to seamlessly switch, obviously work that you guys do at Kustomer, to switch from one channel to the next. I think the ability, the effectiveness of asynchronous messaging in particular, chat effectiveness, SMS effectiveness, customers used to use that stuff for simple binary interactions. Now, when they’re looking at a two hour, wait time in the phone to queue, they’re going to go try that chat channel first, right? And see how far they can get. What that’s doing is it’s forcing chat to grow up really fast and forcing our chat bots to get really smart really quickly. I think the other trend that will be shot through a tunnel of time is agent empowerment and hiring great people, putting them in a climate of judgment where they can leverage the expertise of their peers, but more importantly, where they’re trusted to do what they know is right, because we trust that we hired great people and we showed them, here are the boundaries in the sandbox we can’t go across for regulatory reasons or legal reasons, but within that, use your judgment. Do what you think is right for the customer. We’re not going to script you. We’re not going to checklist you. And it turns out putting customer reps in those environments means they deliver actually better outcomes, more customer-centric outcomes, and they deliver better results for their companies, higher NPS scores, lower churn, higher cross-sell and up-sell. And that’s exactly what T-Mobile saw in their experience.

Vikas Bhambri: (25:27)
Yeah, and if I can just touch on what Matt said about that omni-channel experience. It’s really delivering that same experience, regardless of channel. I talked to a lot of customer service leaders that complain you gave the example of people going to Twitter to complain. And I didn’t know agents were actually coaching them to do that. I can see why. And it was really interesting. I remember a few years ago, I did some work with an airline where I met their social team, the Twitter team, and they were like, they walked into the room, like really like a group of alphas. They were talking about how they had a separate set of policies that they were able to do than the core contact center, because they were like, “When people complain on social, we have the ability to offer them refunds and things that the core team isn’t.” I was sitting there laughing. I’m like, “This is not a good thing. You’re basically training people to go to social media, to amplify their voice so that they get better customer service.” And I’m like, “That is a fail because what you’re doing then is you’re training them to go to these places.” And so for me, omni-channel experience, it’s not just about delivering the channels, but you should have a uniform experience regardless of which channel that customers coming to you with. So I thought that just, when you mentioned Twitter and agents guiding customers to that just triggered that airline story.

Gabe Larsen: (26:44)
Crazy.

Matt Dixon: (26:45)
Because they say, “Well, look. Actually the alpha team is on that group. I know several companies, big name companies that put their best reps, you graduate into the social team. When you reach the highest level of agent status, that’s where you go, like, that’s the destination job. There are no rules or no policies do whatever you want. And what they’re doing is teaching their customers that the way you get the best service from this company is by publicly complaining about it.

Gabe Larsen: (27:08)
Sure.

Matt Dixon: (27:08)
And it’s just like –

Gabe Larsen: (27:11)
Yeah. It’s funny that that’s what, that’s the world we’re in though, you guys. Our time is unfortunately come to an end, such a fun talk track, always more to discuss. We did leave the link to the HBR so you can dive in a couple more of the findings and the research. Matt, it’s always great to have you. Vikas, thanks for joining. For the audience, have a fantastic day.

Matt Dixon: (27:29)
Thanks.

Vikas Bhambri: (27:29)
Thanks.

Matt Dixon: (27:29)
Take care guys, bye.

Exit Voice: (27:38)
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