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I was working with an online clothing company on service quality improvement. They had identified four areas for improvement including online shopping experience, speed of delivery, customer support, and returns processing. Each area of improvement would require investments in technology and other expenses.
As not all investments deliver equal returns, we used a structured approach to evaluate the options.
It was a 3-part evaluation.
First, we looked at the performance of each area. We compared the performance of each service area with historical averages and looked at trends. The comparison provided a gauge on whether the results were trending in the right direction.
Second, we gathered input from customers by conducting a survey. The findings raised awareness of what matters to the customers.
And third, we evaluated the ROI for each planned improvement. It helped to quantify the gain.
After reviewing the four improvement areas, it was clear that the priorities were better online shopping experience and on-time delivery. Both choices aligned with customer preferences and also delivered great ROI for the business.
By taking a holistic look atf what matters to the customers and objectively evaluate the ROI of each investment, it helps to steer away from investments that deliver minimal gains.
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