Customer experience is becoming the key competitive differentiator across industries. Study after study proves CX leaders grow revenues faster. But excelling at CX requires understanding your customers.
Kiosk-based feedback provides unparalleled visibility into the customer journey through structured, location-specific data. But what's the ROI of investing in feedback kiosks? How can you accurately calculate the financial impact?
In this post, we'll explore concrete ways feedback kiosks drive value and how to measure their monetary benefits, including:
- Increased customer loyalty and lifetime value
- Lower churn and service recovery costs
- Improved operational efficiency
- Faster location ramp-up
Read on to learn how to build an ROI case for feedback kiosk to earn stakeholder buy-in and maximize your return on investment.
Feedback Kiosk Enables Targeted CX Enhancements
Kiosks place the voice of the customer directly into environments like retail stores, airports, hospitals and more. The location-specific nature of kiosk data enables highly targeted CX improvements.
For example, kiosks can reveal that satisfaction with checkout times is low at a specific store location. This enables you to add registers or staff to that high-problem area to quickly solve the issue.
Kiosks also generate a prioritized list of broader CX opportunities by uncovering common pain points across locations. If 40% of customers consistently rate staff product knowledge as poor, you can invest in training programs or tools like mobile knowledge bases for employees.
In both cases, feedback kiosk allows you to make data-driven investments into improving CX. But how do you calculate the ROI of these enhancements? Here are two approaches:
> Value from Increased Customer Lifetime Value
Using customer value metrics, you can model the revenue upside of higher retention and loyalty. If kiosk data shows you can increase average customer tenure by 20% through targeted CX fixes, tally the revenue impact for a typical buyer.
> Cost Savings from Lower Churn
Do the CX improvements enabled by kiosk data reduce churn? Estimate the saved costs from fewer defections. Calculate factors like lost revenue, service recovery efforts, marketing spend to acquire replacements, etc.
When you can tie CX enhancements to clear revenue and cost outcomes, you demonstrate how PXP Feedback Kiosk quickly pays for itself.
Feedback Kiosks Identify Operational Improvement Opportunities
Kiosks also provide invaluable data to optimize operations and employee experiences. This indirectly boosts CX as more efficient operations create more satisfied customers.
For example, feedback kiosk may reveal that the checkout process is chronically understaffed during certain hours at a store. By adding staff, you can reduce walkouts, keep employees less stressed, and boost CX.
Here are two ways to calculate the ROI of these types of operational improvements:
Value from Lower Walkout Rates
If more registers reduces walkouts by 10%, look at the revenue recapture rate and average purchase value to model the sales upside.
If better staffing enables employees to spend 15% less time addressing customer complaints, quantify the greater efficiency. Assign a dollar value to higher productivity.
The metrics for demonstrating the ROI of operational enhancements enabled by feedback kiosk are very tangible. This aspect of the business case typically resonates well with operations-focused stakeholders.
Kiosks Speed New Location Ramp-Up
Opening new locations comes with inherent risks. How quickly can you identify and resolve operational issues?
Here feedback kiosks prove invaluable once again. The instant feedback loop they create allows you to:
- Spot problems before opening by surveying staff
- Identify customer dissatisfaction drivers in week one
- Continuously refine new site operations
This results in faster ramp-up to peak efficiency. But what can accelerating successful location launch by 25% be worth?
Look at factors like:
Faster ramp-up to peak revenue run rate
Less spent on promotions if initial reception is strong
HR Cost Avoidance
Less turnover and re-training if location launches smoothly
Viewed through this lens, you can build a compelling case for placing kiosks in new locations to de-risk openings and maximize success.
Key Takeaways to Calculate Feedback KIOSK ROI
Here are best practices to keep in mind when calculating the ROI of feedback kiosk programs:
- Isolate revenue impact - Model value from factors like increased customer lifetime value and share of wallet
- Quantify cost savings - Reduce churn costs, service recoveries needed, marketing spend, etc.
- Value operational improvements - Higher employee productivity, lower walkout rates
- Factor in risk mitigation - Faster launch of new locations and mitigation of issues
Approached holistically, feedback kiosk provides manifold benefits that quantifiably boost revenue and customer loyalty while reducing costs. By diligently modeling financial impact using the strategies outlined above, you can build a rock-solid business case and maximize your ROI.
Act Now to Calculate Your Feedback Kiosk ROI
Still not sure of the ROI on feedback kiosk? Start small by placing kiosks in a few high-impact locations. Track customer metrics diligently pre- and post-launch. Talk to stakeholders about the revenue, cost savings, and risk management benefits realized. This quickly makes the case for larger deployments.
Get started today with these steps:
- Deploy kiosks in 3-5 key locations
- Establish processes to act on feedback
- Monitor CX metrics for improvement
With this approach, you'll be able to directly experience the power of feedback kiosk and have the data to calculate a compelling ROI case for wider rollout. The benefits for customers, employees, and your business collectively will be clear. Utilising feedback from customers is an essential component of todays operations because it enables businesses to better understand and solve the wants and concerns of customers, discover new opportunities for development and innovation, enhance operational efficiency, and save costs.
Our mission at Press'nXPress is to help our clients improve customer satisfaction by continuously monitoring customer experience. You can reach out to our experts to see how PXP Feedback Solution can benefit your business today! If you have questions or would like to learn more, get in touch. Reach out and talk to us.