On the Podcast: The Wallet Allocation Rule with Luke Williams
On this episode of The CX Show, our co-founder and CEO, Dan Michaeli, sits down with Luke Williams, head of customer experience at Qualtrics and author of “The Wallet Allocation Rule: Winning the Battle for Share”, which details a breakthrough approach for growing share.
When asked to define customer experience, Williams said that when he thinks about CX, it is the sum total of all the interactions that an organization has with its customers, which is sometimes delivered through a front-line experiences, as well as other experiences customers have with your brand that all adds up to a full customer experience. We are in a time now where companies are all competing on customer experience, so in order to stand out, your business needs to be positively differentiated from all the others in the field.
In his book, “The Wallet Allocation Rule: Winning the Battle for Share”, Luke said they wanted to study the difference between making customers happy and making customers spend money. What they found out during their research was that what makes people happy and what drives people’s spend are two completely separate things. When you look at direct metrics regarding how satisfied people are and relate that to how much money they are spending with you, the correlation between those directly, doesn’t exist. The book goes on to explain how a business could improve their experience in a way that drove sales, using metrics and data.
If you’re interested in learning more about the Wallet Allocation Rule, listen to our full podcast here!