Insight

Why good Customer Experience means more than efficiency

December 18, 2024
James Carr
Hero Image of Panel Discussion in an Auditorium

Challenging the efficiency-driven CX model

The rising importance of customer experience (CX) within organisations is undeniable. According to Google Insight, in November 2024, there were over 20,000 searches for ‘CX’ - an uplift of 39% year on year. This surge in interest highlights a growing desire to understand this emerging discipline. However, translating CX from a concept into a tangible initiative is not always straightforward. Many organisations default to creating efficiencies throughout customer interaction points, from reducing response times to automating support. While speed and cost-effectiveness are crucial, is this enough?

Efficiency alone can lead to a transactional and impersonal customer experience. We challenge this narrow focus by exploring why CX leaders need to think beyond metrics and streamline processes. The real question brands should ask themselves:  "How do we create emotional connections that drive long-term loyalty?”

In this article, we discuss the limitations of an efficiency-only approach, the importance of building meaningful connections and how to balance efficiency with empathy. You will find ‘Key Takeaways’ throughout. 

Let us dive in!

The problem with focusing solely on efficiency

Efficiency is not a substitute for customer empathy

It is no secret that efficiency helps brands scale, but it also has its limitations.

When brands overly streamline their processes - whether through automated systems or rigid workflows - they risk overlooking the most crucial element: human empathy. When a customer’s unique needs are neglected by a business in favour of fast resolutions, the experience can become cold and impersonal.

Take automated chatbots, for example. According to Tidio, 82% of customers would use an online chatbot to save them time by not having to wait for a customer service representative. Yet, 18% of customers would rather wait for a human. Whilst these chatbots can save time, they can often miss nuances in communication. If empathy is automated out of your CX strategy, you might solve an issue quickly, but at what cost? You could potentially disappoint one in five of your customers, creating a much bigger issue due to meaningful engagement.

Key Takeaway: Automating empathy out of your CX strategy might save time, but it can cost you long-term loyalty.

Why speed and convenience are not always the solution

In the race to deliver fast, efficient customer service, many businesses forget that speed doesn’t necessarily equate to satisfaction. While customers might appreciate a quick response it doesn’t replace the need for personalisation or quality interaction. Brands that cut corners on emotional engagement, in the name of efficiency, often end up with dissatisfied customers in the long run.

We've all received a generic LinkedIn connection request that if accepted is immediately followed by automated generic cold outreach message that contains very little to no personalisation. While that’s efficient, if the response feels generic or lacks relevancy to the your specific role or situation, it fails to make a positive experience. Personalisation and quality are often sacrificed in the name of convenience, but the impact usually leaves customers feeling despondent.

This is not just exclusive to digital experiences either. In an effort to save £150 million, Marks and Spencer is rolling out self-service checkouts across its retail outlets. By early 2028, the retailer aims to install over 800 self-service tills in more than 100 stores. This initiative has led to considerable public outcry, with the pinnacle of journalism the DailyMail, even covering the impact on shoppers. All jokes aside, the introduction of these cost-saving measures may jeopardise customer relationships and alienate older generations who are not as technically savvy.

The emotional side of customer experience: building real connections

Emotional value: the key to brand loyalty

While efficiency can resolve immediate issues, it’s emotional value that drives brand loyalty. Customers value authentic connections, and they often return to brands that offer more than just a transactional experience. Emotional engagement fosters trust, making customers feel valued and understood.

Key Takeaway: A memorable emotional experience can be worth more than any operational improvement.

Brands that go beyond efficiency and tap into their customers’ emotional needs create lasting connections. For example, luxury brands often emphasise emotional storytelling and exclusive, personalised experiences to cultivate strong, long-term relationships with customers. It’s this kind of value that drives loyalty far beyond what efficiency metrics can achieve.

A study completed by CapGemini found that emotionally loyal customers will default to their favourite brands when making a purchasing decision. As a result of high emotional engagement, 86% of consumers said they always think of the brands they are loyal to when they need something. Emotionally loyal customers will always promote their favourite brands when a real connection is formed.

Putting the ‘Human’ back in customer interactions

As more companies adopt automation, there’s a growing need to humanise customer interactions. Technology may offer efficient solutions, but it’s the personal touch that builds a stronger connection between a brand and its customers. Even in a world driven by AI and automation, empathy and personalisation shouldn’t be sacrificed. It’s why we always take a human-centric approach when helping our clients understand and challenge the problems they are faced with. 

One brand that successfully blends technology with emotional connection is Apple. Their customer service is fast and efficient, but also deeply personal - making sure that customers feel valued every step of the way. Apple's offer of free engraving for in-store purchases further personalises the experience. This strategy promotes in-store shopping, increasing engagement with Apple employees and enhancing the brand's human touch.

By striking the right balance between tech and human touch, brands can enhance their customer experiences and stand out from the crowd.

However, customer experience (CX) isn't just about front-end interactions. It also involves internal processes that make those interactions possible. Oracle Red Bull Racing is a perfect example of this. By using OCI (Oracle Cloud Infrastructure), they were able to run 25% more simulations, providing their drivers and the supporting team with a competitive edge. Real-time insights on performance and other critical factors improved decision-making and contributed to their Grand Prix success. Enabled by a modern technology stack and the power of Kubernetes, they scaled their simulation platform while maintaining cost efficiency within the sport's regulations.

Beyond internal efficiencies, Oracle Red Bull Racing also focused on enhancing fan engagement. They created the Oracle Red Bull Racing Paddock, an interactive platform where fans can earn points for exclusive merchandise and digital downloads. In 2023, fans participated in a ground breaking contest to design the livery for the team’s cars, bringing them closer to the action and deepening their connection with the racing brand.

Creating CX experiences that stand out

Designing for delight, not just efficiency

But its not always about being the fastest. CX strategies that solely focus on reducing friction and speeding up processes miss the bigger picture. Customers don’t just want fast solutions - they want experiences that deliver delight and engagement. Designing for delight means creating moments that uplifting customers, making their experience not only efficient but also enjoyable and memorable.

Key Takeaway: Customers will not remember how fast you solved their issue, but they will remember how you made them feel.

Disney World exemplifies this approach. While the average wait time for a ride is 38 minutes, the true essence of the Disney experience lies in the magical atmosphere of the theme parks, created by everything beyond the rollercoasters themselves. It is the interactions with the characters, the meet and greets, the autograph collecting, the shows and parades, the lighting, the music, the total ambience created.

It’s not just about time efficiency; it’s about creating an experience that lingers in customers’ minds long after the interaction.

This focus on experience needs to be consistent across both physical and digital. Going beyond themes parks and recognising the rise of streaming services, Disney saw an opportunity to deepen its connection with its audience and expand its digital, revenue-generating footprint.

In 2019, Disney+ was launched. Three years later, the streaming service reached 235 million subscribers, outpacing Netflix. The secret? Creating a distinct experience that leverages its stories, characters and sub-brands to forge an emotional connection, blending nostalgia with a strong visual identity across every touchpoint.

The streaming platform capitalises on its globally recognised franchises from Disney, Pixar, Marvel, Star Wars, and National Geographic to transform its image. By repositioning itself from a special-occasion streaming service to a reliable source of daily entertainment, it successfully grew its subscriber base. With a century of stories and characters to tell, Disney has harnessed its vibrant and varied content to captivate its audience.

Key Takeaway: Emotional connections and a strong visual identity can drive significant growth and loyalty, but companies must handle customer data and consent with care.

The role of storytelling in Customer Experience

Building on the idea of creating delightful experiences, storytelling can elevate a customer’s interaction with a brand by making it more personal and emotionally engaging. When brands use storytelling effectively, they can foster a deeper connection with their audience by sharing their values, history, and mission.

For example, Patagonia has successfully embedded storytelling into their brand expression in their overall experience, highlighting their environmental values and commitment to sustainability. Customers who connect with their narrative become loyal advocates because the brand resonates with them on an emotional level.

Storytelling transforms CX from a simple interaction into an immersive journey that creates a sense of belonging for customers.

Efficiency with empathy: finding the balance

Combining speed with Emotional Intelligence

Efficiency and emotional intelligence don’t have to be mutually exclusive.

Brands can deliver a fast, streamlined service while maintaining a personal touch. Technologies powered by AI and Machine Learning can be used to enhance and personalise experiences, tailoring responses to individual customers’ needs without losing the human centricity.

Here at EM Code, we have been exploring how we can use AI-powered solutions to humanise CX. Our performance and development team has been testing how we can integrate sophisticated automation tools that speed up processes while ensuring each customer still feels valued and understood. We’ve been testing how AI can be used to improve customer enquiries traditionally made on automated calling services, such as appointments made via phone calls. This innovative approach uses a Large Language Model (LLM) within an AI Sandbox, integrates existing data from a data experience platform via an API, and combines it with audio output to generate intentional, tailored responses based on the customer's enquiry. The initial feedback has been extremely positive, and we are eager to see the transformative effects of this approach once it is deployed.

CX strategy should evolve beyond metrics

However, improving efficiency and personalisation is just the beginning. Most brands measure their CX success with metrics like response times and cost-per-interaction. But these numbers don’t tell the full story. It’s time for businesses to evolve beyond efficiency-based metrics and focus on deeper measures, like emotional connection, sentiment analysis and customer advocacy.

Key Takeaway: Stop measuring CX success by efficiency metrics alone - focus on long-term emotional loyalty and customer advocacy.

When brands shift their focus from short-term operation to long-term emotional value, they set the stage for deeper relationships and stronger brand loyalty.

It’s time to build a CX strategy that transcends efficiency

Efficiency will always be an important part of customer experience, but it shouldn’t be the only focus. To build lasting relationships and brand loyalty, businesses need to go beyond quick fixes and invest in emotional value and human connection. By rethinking their approach and considering both speed and empathy, brands can create experiences that truly stand out.

If you're not sure on where to get started or how to execute your initiatives, consider partnering with EM Code. We're a customer experience agency, that can you explore and define innovative ways to deliver emotionally-driven, meaningful experiences that foster brand loyalty and ultimately drive growth. Get in touch today.

Here are your four key takeaways:

  • Automating empathy out of your CX strategy might save time, but it can cost you long-term loyalty.
  • Customers will not remember how fast you solved their issue, but they will remember how you made them feel.
  • Emotional connections and a strong visual identity can drive significant growth and loyalty, but companies must handle customer data and consent with care.
  • Stop measuring CX success by efficiency metrics alone -focus on long-term emotional loyalty and customer advocacy.

About EM Code

EM Code is a customer experience, digital innovation and AI agency.

We’re a strategic digital partner that delivers breakthrough growth throughout the customer experience (CX).

We achieve this through our industry-renowned services in digital transformation, web development, brand strategy, conversion rate optimisation (CRO) and UX (user experience).

Our human centric approach underpins every aspect of our work.

A collective of experts in multiple disciplines, we collaborate to distil the complex needs of organisations and end users to engineer solutions that make an impact.

From fast scaling start ups to global brands, we can help you to transform your organisation.

EM Code is a part of EssenceMediacom North.

About EssenceMediacom North

EssenceMediacom North helps brands to breakthrough in the new communications economy.

Disrupting models of media, EssenceMediacom North accelerates creative and business transformation for its client roster, including Hillarys, Absolute Collagen, Webuyanycar.com and United Utilities.

The agency delivers breakthrough growth, capabilities, and revenue through the integration of media, creativity, data and technology, combined with its diverse industry-leading expertise.

Equipped with access to the richest data, robust benchmarking and advanced technologies, EssenceMediacom North unlocks new opportunities to deliver truly integrated media solutions for scaling and global brands.

EssenceMediacom North is part of WPP’s media investment group, GroupM.

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