A Master Class Part 3: Unlocking the Psychology of Customer Experience

In the third episode of our Master Class series on the Psychology of Customer Experience, we delve into how other people influence our behavior. Understanding these theoretical dynamics is practical, empowering you to design effective Customer Experiences.

Robert Cialdini's research on influence is a cornerstone of understanding social dynamics and persuasion techniques. In this episode, we rely heavily on his groundbreaking work.

First, let’s consider Social Proof. Social Proof is a concept that describes how the actions and preferences of others influence people. Two examples that demonstrate how this works are the idea of trending, or the tendency to like something if others do, and the fear of missing out (FOMO), which drives people to join in activities or trends.

Reciprocity influences behavior, too. Reciprocity is the idea that people respond positively to kindness and favors. Many times, people who have been on the receiving end of kindness will return that behavior.. However, acts of kindness that inspire reciprocity must be genuine. If they come with the expectation of something in return, they will not produce the same results.

Scarcity is a persuasive tactic that capitalizes on the limited availability of a product or service to create a sense of urgency and desirability. It can be seen in online shopping carts indicating low stock or limited time offers presented during a cruise.

In this episode, we provide an overview of many of these social dynamics that influence customer behavior in your experience. Understanding social dynamics and influence can inform strategic decisions in customer experience design, including marketing campaigns, sales techniques, and product positioning. Best of all, Colin uses his serious “Master-Class” voice, which tells you that he really knows what he is talking about.

In this episode, you will also discover:

• The concept of Social Proof and how it influences consumer behavior.

• The power of Reciprocity and how acts of kindness can drive customer loyalty.

• How Scarcity tactics can create a sense of urgency and increase demand for products or services.

• Examples of these influence techniques in real-world scenarios, like online shopping cart messages and to-good-to-be-true cruise line offers.

• The importance of considering social influences throughout the customer journey.

• Strategies for leveraging social dynamics to enhance customer experiences and drive sales.

Quality assurance is crucial in Customer Experience Management, and assessing call center operations provides valuable insights into an organization's customer-centricity. The subject of today’s episode is the result of our None of Use is Clever as All of Us feature. One of our listeners, Jamie Scott of Evaluagent shared his thoughts on Quality Assurance and the problems organizations have regarding this area.

Observations and conversations with call center agents reveal operational inefficiencies and training gaps that impact the overall customer experience. Scott highlights key issues with traditional quality assurance practices and offers insights into leveraging AI for enhanced customer service.

Scott emphasizes the importance of viewing AI as a tool rather than a replacement for human agents and advocates for analyzing all customer interactions to gain comprehensive insights. He underscores the need to focus on the emotional aspects of customer interactions and suggests using AI to predict and diagnose customer sentiments across various channels.

However, challenges such as siloed AI implementations and focusing on rational data in quality assurance metrics hinder progress in this area.

In this episode, we explore Scott's topic and how it can help you with your Quality Assurance efforts. Despite these challenges, there are actionable strategies for customer service and quality management professionals.

In this episode, you will also discover:

• The significance of assessing call center operations for understanding an organization's customer-centricity.

• Insights from Jamie Scott on leveraging AI and overcoming challenges in quality assurance practices.

• The importance of viewing AI as a tool to enhance human decision-making rather than a replacement for human agents.

• Strategies for analyzing all customer interactions to gain comprehensive insights and identify areas of improvement.

• The need to focus on emotional aspects of customer interactions and incorporate emotional metrics into quality assurance practices.

• Practical tips for implementing a top-down approach to delivering the desired customer experience and measuring targeted emotions across all customer touchpoints.

A Master Class Part 2: Unlocking the Psychology of Customer Experience

In this episode, we continue exploring the psychology behind Customer Experience, focusing on the role of memory. Customer loyalty hinges on how memories are formed and retained. Therefore, understanding memory formation is crucial for designing impactful experiences.

Memory formation begins with encoding, where new information is processed and stored in the mind. Encoding involves several effects, including the Primacy Effect, which prioritizes remembering initial experiences, and the Recency Effect, which emphasizes recollecting recent events. Additionally, the Frequency Effect highlights the importance of repeated actions in memory retention.

Retrieval effects determine how stored memories are recalled. Professor Daniel Kahneman's Peak-End Rule suggests that people remember the most intense emotion experienced during an event and its conclusion. This rule applies to evaluative memory, shaping overall perceptions of past experiences.

Memory also has structure. Memory structure resembles a fishing net, with individual memories as knots connected to form a net, which represents the larger memory network. Retrieving one memory often triggers the recall of associated memories, along with the emotions and experiences linked to them. It’s helpful to picture the fishing net at the bottom of a shallow pool and imagine pulling it by one of the knots to the surface. You get the knot you grabbed, but all the connected knots come along, too.

Strategically managing memory formation involves planning for encoding, recall, and structure. Tactics such as leveraging primacy and recency, incorporating humor or emotional connections, and providing follow-up reminders can enhance memory retention. It's crucial to prioritize memorable aspects of the experience and reinforce positive memories over time.

Considering the interconnected nature of memory concepts, such as the relationship between encoding and recall, helps design experiences that leave a lasting impression. For instance, understanding how customers perceive value allows you, as a professional, to highlight key features that resonate with your target audience, instilling confidence in your ability to create memorable customer experiences.

In this episode, we discuss how memory plays a significant role in driving customer loyalty, making it essential to proactively shape how customers remember their experiences. By being deliberate about memory formation, businesses can create meaningful connections and foster enduring relationships with their customers.

In this episode, you will also learn:

• The importance of encoding and retrieval in memory formation.

• Strategies for enhancing memory retention, such as leveraging Primacy and Recency effects.

• The role of emotional connections in shaping memorable experiences.

• The significance of follow-up communication in reinforcing positive memories.

• How memory structure influences the recall of associated experiences.

• The interconnected nature of memory concepts and their implications for experience design.