Customer Experience: Conceptualization, Management, and Measurements

Abstract

Customer experience has arisen as an important concept in the business landscape. Behind the rise of experiences lies acknowledging its significance on customer satisfaction and loyalty, which are proven to impact financial performance. By understanding the constituent elements that encompass the concept of customer experience and customer experience management, it is possible to develop metrics and scales that facilitate greater understanding, help businesses to make well-grounded decisions, and increase the bottom line.

However, the absence of generally accepted measurements covering the totality of customer experience is one major limitation of the domain. Companies often use metrics based on loyalty and satisfaction, namely NPS, CES, and customer satisfaction. Moreover, more comprehensive scales have been created to gain more in-depth customer insights to capture the holistic nature of customer experience. While utilizing the mentioned metrics poses certain challenges, each metric can be reasonably justified to capture a particular aspect of customer experience. Hence, the integration of multiple metrics will generate the most optimal outcome.