Customer experience systems

Customer experience systems are integrated business and operational support systems (BSS/OSS) that particularly address service providers’ mandate of focusing on the customer experience.

Systems Reflect New Customer Orientation

In the past, service providers (wireline, wireless, broadband cable, satellite) and other companies competed through product differentiation and price points. Today, with products more and more commoditized and price differences negligible, the remaining differentiator is how well a company can deliver a customer experience that is personalized, rewarding, and meets customer needs. (Peppers & Rogers 2005)

Customer experience systems support service providers’ efforts to transform into customer-focused organizations as they recognize that consumers, not products, are driving today’s market. These systems power the front and back office (BSS/OSS) and integrate billing, customer relationship management (CRM), ordering, self service, digital content delivery, service fulfillment and assurance, and network planning. (Musico 2008) Software companies that sell these applications, including customer care and billing vendors, and increasingly, network equipment providers, can be considered providers of customer experience systems when their offerings are appropriately integrated. The first customer experience systems were introduced by Amdocs.

Customer Experience Systems Support Transformation

A 2006 Bain and Company report found that 80 percent of executives believed their company delivered a superior customer experience, while only eight percent of customers said they received one. (Bain 2006) Business Week's Jeneanne Rae says, “Building great consumer experiences is a complex enterprise, involving strategy, integration of technology, orchestrating business models, brand management and CEO commitment.” (Rae 2006)

Service providers employing experienced-based differentiation will be able to bridge this disconnect and deliver products and services that meet customer needs, according to Forrester analyst Maribel Lopez. “These new experience-based providers will integrate both internal and external innovations to create end-to-end customer experiences.” (Lopez 2007) Customer experience systems are components in making the shift to delivering valuable customer experiences, particularly in a digital world.