Blog 1 - Customer Insights

In the “Mighty Amazon”, the article details the hard efforts of CEO Bezos to gain customer insights for his company. For example, Bezos holds weekly meetings to go over various in-depth details about products and strategies to understand and to be informed about the company’s specific activities. I believe this “hands-on” approach from the CEO is an effective way for management to become aware of what is going in the company so that everyone can be responsible for creating efficiencies and seeking improvements. Similarly when I worked as a financial analyst intern this summer, my team and I had daily team huddles where we discussed each person’s tasks and any updates for the team. In this way, we were able to update each other and also help each other. We shared our challenges and problems with the team so we could help and give advice on how other could approach their problems. In addition to the weekly meetings, when it comes to customer service Bezos concentrates on not the “qualitative” conclusions but the quantitative concerns. He analyzes and scrutinizes the data with charts and tables instead of just receiving managerial updates from each of the department. I believe numbers truly tell the story and secrets of a company; by breaking down the data into conclusive numbers and averages you can pin point and fix the exact areas that need improvements. In order to maximize customer satisfaction you have to provide the basic satisfactory elements such as fast customer contacts and response. Data provides what the customers are really looking for in the company and how they are willing to get it. Then the adjustments and improvements based on these insights can help build better customer experiences.
In addition, Amazon.com utilizes a very important tool in their process of building the best customer experience: technology. Technology is an investment option for companies; you get what you put in. Although Amazon took a big risk with purchasing their big software development, it was a key factor in building the customer experience. I am not a frequent online shopper; however, I think Amazon is a great website for any type of online shopper. The investments they have made I think pays off and shows on Amazon.com. One of the key features is that it remembers the products you have viewed and recommends several products based on your past selections. The company created a “thinking” website for its customers rather than just a good working website; they have taken a “machine” and created a personable face for the customers. For instance, if you as a customer walked into a clean and organized store where you could find the items you were looking for while all of the sales associates remembered your name and recommended other items to you based on your previous purchases, you would definitely come back because of the great customer service and experience. I believe Amazon has achieved this type of experience through their use of technology and their website.
In order for companies to not only stay competitive but to stand out from their competitors they must pay attention to the customers. When the technology boom hit, many companies sought out to create efficiencies and stream line their processes to reduce costs and to effectively run their businesses. However, companies are realizing that this is not enough; they have to do more. As we discussed in class, another example of a company who has created a great customer experience is Barnes and Noble Bookstore. From their comfy couches, to the availability of huge book selection, many customers can enjoy a book in a comforting atmosphere with the freedom to sample other products such as music and magazines. For companies to retain current customers and to attract new customers, they must build on the growing want for the complete customer experience. It’s not just about producing a great product and reducing costs for maximum profits. In order for companies to stay in business they must focus on collecting valuable customer information from qualitative sources such as customer feedback surveys and quantitative information from the company data; these factors are the keys in understanding the wants and needs of today’s customers.