What is Touchpoints?
In the world of marketing, the term ‘Touchpoints’ refers to all the different ways in which a business or brand interacts and engages with its customers – both before, during, and after the sale. These can range from website visits, email exchanges, social media interactions, in-store experiences, to eventual purchases. Essentially, each time a customer ‘touches’ any aspect of your brand or business, fits the definition of a touchpoint. It might not always lead to an immediate sale but each interaction contributes to the overall customer journey.
Formula
Example
Imagine a customer wanting to purchase a T-shirt online. Their friend recommends an online clothing store on Instagram. The customer goes to Instagram (first touchpoint), checks out the online store’s profile, reviews photos, and then clicks the link in the bio which lands them on the store website (second touchpoint). The customer then browses the website (third touchpoint), adds a product to their shopping cart (fourth touchpoint), and finally completes the purchase (fifth touchpoint).
Why is Touchpoints important?
Touchpoints help brands understand how customers interact with their brand journey. This understanding can reveal areas of strengths and weaknesses, allowing businesses to smartly invest in touchpoints that can maximize customer satisfaction and increase loyalty. As consumer perception of your brand is built across multiple touchpoints, effective management of touchpoints could lead directly to higher profits, increased customer lifetime value and overall growth of your business.
Which factors impact Touchpoints?
Improving touchpoints requires a deep understanding of your customers and their expectations at each stage. Step one is to identify all customer touchpoints. The next step is to critique each touchpoint from a customer’s perspective. Based on this critique and customer feedback data, improvement areas can be identified. This might mean revamping your website design, personalizing emails better, optimizing your social media strategy, or enhancing in-store experiences.
How can Touchpoints be improved?
Producing and maintaining successful touchpoints generally depends on four factors: the quality of the customer insights you have, alignment of touchpoints with overall strategy, the ability to deliver consistent engagement across touchpoints, and measuring the effectiveness of touchpoints to continuously improve.
What is Touchpoints’s relationship with other metrics?
Touchpoints directly relate to various Ecommerce metrics. For example, customer satisfaction can be gauged by evaluating their experience at various touchpoints. Metrics like bounce rate, conversion rate and customer acquisition cost are in many ways reflections of the quality of your touchpoints. Optimizing touchpoints can consequently lead to better performance on these Ecommerce metrics.
