Service with a Smile, a Text Message, a Location, and an iPad

Much of the attention focused on social media today - from a business perspective - is on marketing, branding and promotion. But some of the most immediate benefits come from leveraging social channels to more effectively communicate with current customers. This means not only utilizing new channels, but in many instances it means changing the style of communication, as well as a change in the message being delivered over these new social channels.

An example of how changing (or in this case adding) communication channels can positively impact customer engagement is Southwest Air’s use of text messaging to alert passengers of flight information. To better reach passengers with critical flight information, Southwest embarked on a campaign to collect customer mobile phone numbers, in order to send SMS messages when flight disruptions took place.

Phase 1 went live in 2008, which included voice notifications of flight cancellations, offered an apology and provided the option to be transferred for rebooking. Phase 2 went live in 2009, which included flight delay notifications and gate change notifications over voice. The upgrade to SMS went live in January of this year, which provides notifications on all of the above through an SMS channel.

As a result, Southwest Airlines was able to increase the number of flight notifications sent by 138 percent and minimize long wait times and lines at the airport from customers seeking information or flight changes.

Adding channels for customers to engage over has also paid off for Walgreens, who rolled out a prescription SMS alerts service earlier this year - In fact SMS sign-ups are outpacing email subscriptions.  But what Walgreen’s has found is that customers who engage them in multiple channels are three times more valuable to them than those who only use one.  Also, those interacting with Walgreen’s online are way more likely to order their prescriptions online, and then pick up their orders in the store.

New Technology Offers New Ways to Impact Customer Experience

As seen above with Walgreens, increased interaction with customers across channels provides more opportunities to engage with them – which is leading to more valuable customer relationships.  And many of these cross-channel interactions are taking place over the latest generation of smartphones. 

Modern mobile technology is allowing us to do more of just about everything from wherever we are.  Combined with broadband wireless networks, these devices are changing our customer’s capabilities for doing business with us. 

Mobile banking has been around for years, with the ability to check balances, pay bills and do other banking functions we used to have to do at a local branch.  One of those tasks that still required a trip to the branch was the act of depositing checks.  But now Chase has an iPhone application that allows you to even deposit checks.  By using the iPhone’s camera to take pictures of both sides of the check, the Chase app assists you in getting it deposited into your account.  It also gives you an immediate confirmation of the deposit. 

The ability to get account information from your mobile is great, but the ability to turn pictures into deposits can dramatically change the customer experience with the bank, by positively impacting their life experience with fewer trips to the bank.

Location, Location, Location… as a Customer Service

Even with the ability to now deposit checks from your iPhone, there are still times when you may need to get to the closest branch possible.  And thanks to GPS technology in most of the newer smartphones, applications like the Chase app can utilize location-based services (LBS) to find the closest branch possible, then map out the best route to take for you to get there. 

Instead of having to type in the address of your physical location, Geico’s app uses your current location to assist you in finding the closest taxi/rental car service, find nearby towing and gas stations, and to report where you are if you were involved in an accident.

With location-enabled sites like FourSquare, GoWalla, Loopt growing in popularity – and with Facebook and Twitter adding LBS capabilities – we’re at the tip of the iceberg for these services.  And there is no doubt that there will be many opportunities for companies to leverage these services to further engage with customers by improving their life experience, through improved customer experiences.

The iPad

While smartphones have been popular for years, tablet devices are now coming into their own thanks to the iPad.  There’s no doubting its popularity, with over three million units sold in the first eighty days on the market.  And according to a recent study from Appcelerator, interest in developing iPad applications is right behind that of developing applications for the iPhone. 

The iPad’s form factor, display, touch-screen interface and other functions present a unique engagement experience – different from both desktop/laptop and smartphone platforms.  And just like each of these platforms, customers are finding unique ways to take advantage of the portability/functionality mix the iPad offers its users.

One company that is leveraging the engagement experience the iPad offers to its customers is Hyundai, who is including an iPad in the 2011 Equus.  Even more interesting is how Hyundai has changed its service process to take advantage of the iPad’s capabilities.

The iPad that comes with the Equus comes preloaded with the owner’s manual installed, as well as a service scheduling application.  And the process of servicing your Equus has changed to improve the customer experience.  Rather than driving to a dealership for an appointment, the owner uses their iPad app to schedule their vehicle to be picked up from home or work.

Once the car has been serviced, the customer can use the iPad app to schedule a time and location to have the car delivered.

This is a great example of how new technology, combined with a process flow redesign, can positively impact customer engagement and customer experience.  Furniture retailer Arhaus has also turned to the iPad to deliver a new customer process and improved experience.

Arhaus is outfitting their delivery drivers with iPads that come equipped with applications displaying images that help customers with ideas/options for setting up their new furniture.  Open delivery, the driver hands the iPad over to the customer, where a “welcome” application guides the customer through an on-boarding process.  Additionally, there are applications that integrate with workforce management systems.  So if a piece of furniture arrives at a customer’s house with a problem, the driver can order a replacement piece right from the iPad. 

Putting it all together

Social networks, mobile technology and location-based services are providing new canvases for companies to create unique ways to improve the life experiences of their customers, which should improve their relationships with them.  And serving them starts with the very first interaction, and flows through with self-service functionality, a robust customer support community, and fast response and resolution to issues requiring assistance from agents.

A new service that may be a model of how these technologies will allow customers to improve their experience with us may be the location-based AisleBuyer app recently released.  Once you’ve downloaded the app onto your mobile device, use your phone’s camera to scan a picture of an item’s barcode while shopping in any store.  Once the barcode image is scanned, the AisleBuyer app provides you with product information and customer reviews, to assist a potential buyer in making a purchase decision.  And if you end up wanting to buy the product, you can use your phone to finish the transaction – no need to stand in line at the store.  According to AisleBuyer, self-checkout are nearly 20% of all transcations today, and expect to account for $1.6 trillion by 2013.

As the Hyundai example illustrated, adding an iPad to the car as a delivery system for the owner’s manual is nice, but what also impacts the customer’s life is the redesign of the car service process.  Just as if a customer can anticipate when a repairman is coming to fix a broken air conditioner, as the repairmen uses location-based service to let people know where they are and how long they expect to be there. With this kind of process maybe there’s no need to tie up four hours waiting for service, which would improve not only the customer’s experience with the company, but improves their day.