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A complete guide to customer journey analytics.

13 min read Customer journey analytics can help you to nail down exactly why your customers behave the way they do and tie your customer experience efforts to financial outcomes. Learn how to use customer journey analytics for improved CX with our ultimate guide.

What is customer journey analytics?

Customer Journey Analytics is the process of understanding the impact of every interaction a customer has with your business.

Often, customer journey analytics starts with a customer journey map , which is presented as a graph, flow chart, or other visual that documents each stage of the relationship between a customer and a brand.

However, instead of just charting their customer journey on a map, customer journey analytics takes a further step to analyze what effect each interaction has on your customers’ decisions.

Further information is overlaid to help analyze how each interaction drives customers toward the end goal.

Customer journey analytics can include analysis of:

• Customer needs
• Emotional highs and lows
• Key metrics per step in the journey
• Customer satisfaction scores , customer effort scores , and other survey results

Customer journey analytics can help you to direct your customers’ attention and resolve any pain points that stop them from taking desired actions. It helps you to augment your customer experience and develop a customer journey that not only gets customers to where you want them to go, but helps them connect to the journey itself.

Learn the analytics and ROI on customer journey management in our free course. 

Customer journey analytics vs. customer journey mapping

Many brands have a broad sense of their customer journey but haven’t optimized it by creating a comprehensive customer journey map or analyzing what affects their customers’ experience.

Customer journey analytics and customer journey mapping are complementary but different processes. Here are the main ways in which they are distinct, and how they work together.

What is customer journey mapping?

Customer journey mapping is the process of laying out the end-to-end journey in a clear way. Creating a map of every touchpoint your customer will experience means you can see what steps your customers take to reach the end goal of a purchase, signup, or other action.

Often, journey maps are documented at the process level. For example, an insurance provider would map the claims process, and a bank would document the new account process.

Some common components of customer journey maps include:

• The process being evaluated
• The stages of the journey
• Critical customer interactions and touchpoints
• Representative customer quotes
• Key customer expectations
• Metrics like satisfaction score, mention volume, NPS
• Trends in topics related to this part of the journey

Our ultimate guide to customer journey mapping can help you to draft your first customer journey map or optimize one you have already.

How do you use customer journey analytics with customer journey mapping?

As we’ve already explained, customer journey analytics is the process of gathering as much information as you can from every part of the journey and analyzing the journey for pain points and successes.

Understanding which parts of the journey function as planned and which obstacles are in the way of your customers’ progress means you can take action to ensure they complete their journey as you intend.

Benefits of customer journey analytics

There are several benefits to completing customer journey analytics. From better understanding your customers’ behavior to a better ROI for your customer experience , customer journey analytics gives you better insights and a more informed strategy for improvement.

Your brand becomes more customer-centric

Understanding the customer journey allows your company to be more customer-centric . It allows you to closely evaluate the activities, expectations, thoughts, and feelings of your customers . You learn what they like and dislike, how to move them through your buying cycle, and how to satisfy and retain them . When journey mapping is complemented with customer journey analytics it helps you understand the priority for your customer experience initiatives.

Your business becomes more unified

In addition, with the right focus, customer journey mapping and customer journey analytics break down internal silos. They empower you to streamline services across departments. Not only that, but they help to align everyone by providing a common understanding of the customer experience. Employees get greater visibility into what happens upstream and downstream of their interactions with customers, letting everybody provide a more consistent, high-quality experience.

You can find track issues as they happen

With a sophisticated customer journey analytics platform, you can pinpoint issues in real-time. You can test new approaches and see their influence on your customer experience and bottom line with analytics that update as quickly as you need them.

You see direct and indirect feedback in one place

Explicit feedback – for example, the information you gather through surveys – is easier to pinpoint to specific interactions customers have with your brand. The customer has an experience and directly after, you request input.

Implicit feedback is more complex to understand. This type of data might include operational data such as sales numbers, or it might cover social mentions, what your customers say on the phone to your care center, third-party reviews, and more.

Understanding how your audience thinks, feels, and acts in response to customer interactions without directly asking them might seem impossible, but with tools such as conversation analytics , you’re able to link your customer journey to this type of customer data.

See how Qualtrics CustomerXM enables customer journey analytics

An example of using customer journey analytics

Customer journey analytics can be used to understand the impact of sub-journeys limited to single processes – such as opening a new account – or the entire digital customer journey .

Below is an example of how you can use customer journey analytics to chart the success of each journey.

Resolving a customer satisfaction issue for a specific sub-journey

Let’s take a printer business that provides hardware to its customers. The brand has realized that the repair sub-journey is currently leading to low Net Promoter Scores (NPS) and a higher cost to serve per customer.

The journey

First, the brand needs to chart the customer journey. It looks like the below:

• A customer has an issue with their printing device
• They call the customer care center to schedule a repair
• The service agents arrive at their place of residence
• The repair is made

However, there are other ways this journey might unfold. For example:

• The service agents arrive at their place of residence but the customer is not present
• The repair cannot occur, so the customer has to call again to reschedule the repair
• The repair is made at a later date when the customer is present

The analysis

Overlaying the NPS scores on this latter journey, the company realizes that the NPS score drops when the customer has to reschedule the repair. Asking the customer to go through the same process once again to rebook their appointment is causing customers to feel less satisfied with their experience.

Using natural language processing (NLU), the team can also see that there is a more negative sentiment expressed in the open text question they have added to the NPS survey. With the additional calls to the care center, the cost to serve each customer also increases.

The resulting action  

The brand decides it’s best to provide other means to customers to book their appointments at a time to suit them. Offering customers a self-service booking system that they can access via their mobile on an app or through the website gives the customers more control over when their appointment occurs. Adding a facility to reschedule any booked appointments for a more convenient time and accentuating this with push or text notifications when the repair team is on their way can help to see if this reduces the instances of missed repairs and reduces the impact on the customer care center .

With customer journey analytics in place, the brand team can see if this improves NPS scores at the same points in the customer journey, and measure in financial terms the impact of actions taken for improved customer experience .

How to use customer journey analytics

Customer journey analytics provides the insight you need to successfully manage your customer’s journey. From lowering customer churn to helping you predict customer behavior, putting a customer journey analytics solution in place will help you to leverage your customer behavioral data for financial success.

But how do you start using customer journey analytics? Below is the outline of the actions you’ll need to take.

1. Map your customer journeys and aggregate data

First, you need to create a customer journey and aggregate the customer data that you already have. Good customer journey analytics tools will be able to do this for you, cutting down the time your team needs to spend sourcing data from third-party locations, customer service chat logs, and survey results.

Competent customer journey analytics software will also be able to track data in real-time, allowing you to build a comprehensive map that reacts to current customer behavior . It should also be able to draw data from numerous sources, helping you to break down traditional business silos and understanding customer interactions from all business angles: sales, marketing, and more.

Learn the five competencies for customer journey mapping

2. Analyze your customer behavior and data

Once you have your customer journeys mapped out and your data collected, you can link specific interactions to particular customer behavior, survey results, social media comments , and more. You’ll need a customer journey analytics solution to be able to link all of this data together in an efficient way.

3. Take action informed by data-led insights

Customer journey analytics provides you with the ability to see cause and effect, as well as providing you with concrete steps to change specific interactions or the entire customer journey. When customers react badly to specific processes or interactions, you can test how changes in your customer journeys affect their future decisions.

Not only that, but you can coordinate your teams across your business to work on customer satisfaction with their experience, based on the data you’ve analyzed. For example, if customers are led to purchase through your marketing but aren’t happy with their purchase, they will deal with your marketing , sales, and customer care teams. Understanding what specifically caused a problem for them means you can inform each team of actions they can take to improve.

How customer journey analytics can improve your customer experience

Brands often hit a wall when trying to measure customer experience . Charting your customers’ often nebulous sentiment and which actions have an impact on customer experience can be difficult without the right tools to hand.

Understanding the return on investment for specific actions taken for customer experience is difficult for a number of reasons:

• Data is siloed or overwhelming
• Business departments work separately with a lack of oversight
• Actions aren’t based on data
• There isn’t a way to track the impact of actions on customer experience

Qualtrics CustomerXM allows you to see the value of customer journeys with rich data analysis, provided through conversational analytics . With natural language understanding, Qualtrics is able to provide you unrivaled insights into customer emotions, sentiment, and more to paint a complete picture of friction points and their rationale. Powered by feedback from multiple areas of your business, you are able to create a plan of action with a tangible effect on your customer experience and business outcomes.

With a deeper understanding of customer behavior, your brand is able to not only understand the return on investment of your actions but develop a customer experience that delivers results. Extending your customer lifetime value , increasing customer satisfaction, and reducing customer churn becomes easier when you understand the triggers for the behavior.

Learn how to take action on customer journey management with our free online course

Related resources

Customer Journey

How to Create a Customer Journey Map 22 min read

B2b customer journey 13 min read, customer interactions 11 min read, consumer decision journey 14 min read, customer journey orchestration 12 min read, customer journey management 14 min read, customer journey stages 12 min read, request demo.

Ready to learn more about Qualtrics?

A guide to customer journey analytics

Last updated

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Customer journey analytics is a powerful tool that gives your business a comprehensive view of the customer experience—from before the initial point of contact to the final purchase. 

Your business can gain insights into customer behavior , preferences, and pain points by analyzing data from various touchpoints along the customer journey. You can then use these insights to optimize marketing campaigns, improve customer service, and ultimately drive revenue growth.

• What is customer journey analytics?

Customer journey analytics is the process of understanding the interactions between customers and a business across various touchpoints. By outlining each point of contact a consumer has with your company, you can better understand their path to completing an activity like signing up for your service or buying your product. 

Common components of customer journey maps include:

The stages of the journey

Demographic information and behavioral traits

Touchpoints and key moments of interaction

The customer's goals, needs, and expectations at each touchpoint

Pain points across the journey

The points in the journey that can make or break the customer's experience

The channels or platforms the customer uses to interact with the business

Customer actions

Business actions addressing customer needs

Opportunities for the business to improve the customer experience

Customer sentiment (emotion or satisfaction) at points in the journey

Metrics (e.g., satisfaction scores)

Customer journey analytics is essential for businesses that want to understand their customers' needs and preferences and provide them with a personalized and seamless experience.

• Customer journey analytics vs. customer journey mapping

Journey analytics and journey mapping are related but distinct concepts. Customer journey mapping is the process of visually representing the customer's end-to-end experience with a business, from the first interaction to the final purchase and beyond. It typically involves creating a diagram or flowchart that shows the different touchpoints along the customer journey stages.

On the other hand, customer journey analytics involves collecting and analyzing data on customer behavior and interactions across various touchpoints to gain insights into the customer experience . It involves using tools like data visualization and machine learning to identify patterns and trends in customer behavior.

Customer journey mapping provides a high-level overview of the customer journey. Customer journey analytics, on the other hand, provides detailed insights that you can use to optimize specific touchpoints and improve the overall customer experience. 

Both approaches are important for understanding and improving the customer journey. Businesses can combine them to create a holistic view of the customer experience. For example, a customer journey map can serve as a starting point for identifying which touchpoints a business needs to dive deeper into with customer journey analytics.

• Benefits of customer journey analytics

Customer journey analytics provides businesses with various benefits that can help them improve the customer experience, build loyalty, and drive revenue growth. With these benefits, you’ll find that:

Your brand becomes more customer-centric

Customer journey analytics allows you to deeply understand your customer's behavior, preferences, and pain points throughout their experience with the business. These insights enable you to tailor your marketing efforts and provide a personalized experience that meets their needs. 

A McKinsey survey found that 71% of consumers expect organizations to provide personalized interactions . So, by putting the customer at the center of your business and customizing their experience, you build loyalty, increase customer satisfaction , and ultimately drive revenue growth.

Your company becomes more cohesive

Mapping your customer journey involves collecting data from various departments and touchpoints across your business. This process requires collaboration and communication between departments, which can lead to a more unified approach to the customer experience. 

By breaking down silos and sharing information, you can create a seamless customer journey that improves customer satisfaction and increases retention. A unified approach to the customer journey also helps to eliminate duplicate efforts and reduce costs, making your business more efficient and effective. 

Once you have a journey map that is the single source of truth for the customer’s experience, you can then share it across the entire organization.

You can monitor issues in real time

You can quickly identify and address pain points and customer service issues by tracking customer behavior across touchpoints. This proactive approach to problem-solving enables you to improve the customer experience and prevent negative feedback from spreading on social media or review sites. 

Research shows that 86% of loyal customers will leave you after two to three bad experiences. So, you can greatly increase customer satisfaction and loyalty by addressing issues as they happen.

You can view direct and indirect feedback in one place

Direct feedback, such as surveys and customer service interactions, provides valuable insights into customer preferences and pain points. Indirect feedback, such as social media mentions and reviews, can also provide valuable insights into the customer experience. 

By analyzing both types of feedback, you can gain a more comprehensive view of the customer experience. This helps you make data-driven decisions that improve the customer journey.

• How to use customer journey analytics

To use customer journey analytics effectively, businesses must follow a structured process involving three key steps.

1. Map your customer journeys and collect info

The first step in using customer journey analytics is to map your customer journeys and identify the various touchpoints where customers interact with your business. This could include your website, social media channels, email marketing, and customer service channels. Once you have mapped out these touchpoints, you need to collect and aggregate data from each one. 

2. Analyze your customer data and behavior

Once you’ve collected and aggregated your data, the next step is to analyze it to gain insights into customer behavior and preferences. This could involve using data visualization tools to identify patterns and trends and machine learning algorithms to identify correlations and anomalies in the data. 

By analyzing your customer behavior and data, you can identify areas where you could improve the customer experience and develop data-led strategies to address these issues.

3. Take action based on data-driven insights

The final step in using customer journey analytics is to take action based on the insights you’ve gained from your data analysis . This could involve: 

Making changes to your website or marketing campaigns

Improving your customer service processes

Implementing new tools and technologies to improve the customer experience 

By taking action informed by data-led insights, you can make targeted improvements to the different stages of the customer journey in order to drive increased customer satisfaction and loyalty.

• An example of using customer journey analytics

Here's an example of how a clothing store could use customer journey analytics to improve its business:

The journey

The clothing store maps out the customer journey, which looks like this:

The customer becomes aware of the store through online ads, social media, or word-of-mouth

The customer then visits the boutique's website and browses available products

Next, the customer adds items to their cart and proceeds to checkout

The customer either completes the purchase or abandons their cart

Through customer feedback and website analytics, the store identifies that customers frequently abandon their online shopping carts during checkout. Using customer journey analytics tools, the store analyzes the data to determine the cause and impact of the cart abandonment issue. 

They find the checkout process too complicated, with too many form fields and a lack of transparency around shipping and return policies. They also find that customers aren’t receiving enough reassurance that their personal and payment information is secure.

Resulting action

The store simplifies the checkout process by reducing the number of form fields and offering a guest checkout option. They also provide more detailed information about their shipping and return policies and add trust signals such as secure payment badges and customer testimonials. 

They implement these changes and track the impact on customer behavior, finding that the cart abandonment rate decreases significantly.

• The challenges with customer journey analytics

Customer journey analytics has become an important tool for businesses to understand and optimize customer interactions across various touchpoints. However, organizations must overcome several unique challenges to use this tool effectively. 

Here are four of these challenges:

Many organizations have data silos , which are isolated data repositories that aren’t easily accessible or shareable. This makes it difficult to get a complete picture of the customer journey, as data is scattered across different systems and departments.

Lack of standardization

Customer journey data may come from various sources and be recorded in different formats, making it difficult to standardize the data and draw meaningful insights. This can potentially lead to data inconsistencies, errors, and duplication.

Limited data quality

Customer journey data may be incomplete, inaccurate, or outdated, which can impact the accuracy and reliability of the insights derived from the data. This can lead to incorrect assumptions about customer behavior and preferences. 

To avoid this, use up-to-date customer research to build personas that inform the journeys. Also, acknowledge the moments in the customer journey that occur outside of the existing touchpoints.

Difficulty in attribution

With multiple touchpoints and channels, it can be difficult to attribute specific actions or behaviors to a particular customer. This can make it challenging to identify which touchpoints are most effective in driving conversions or building customer loyalty .

Customer journey analytics is a powerful tool, but organizations must overcome these challenges to unlock their full potential.

With the rise of digital channels and the increasing importance of customer experience, customer journey analytics is more important than ever. With the right tools and strategies, customer journey analytics can help you stay ahead of the competition and create a seamless, personalized customer experience. 

Whether you're a small clothing store or a large multinational corporation, implementing customer journey analytics should be an essential part of your business strategy.

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Customer Journey Analytics Software Market: Projected Surge to US$ 7.4 Billion by 2032 with a 13.7% CAGR

The  customer journey analytics software market  is estimated to reach from US$ 2.1 Billion in 2022 to  US$ 7.4 Billion  in 2032 and is projected to reach a  CAGR of 13.7%  during the forecast period from 2022 to 2032. With the recent boom in digital technology and transformation, customers have gone through a consumer revolution in terms of changes in purchasing patterns, choices, and modes.

To serve businesses in the market, vendors continuously seek to incorporate new features into their solutions. Buyers will have more access to small-scale suppliers as a result of increased market competition. Customer journey analytics software will expand as a result of rising demand for seamless customer experiences and a focus on customer engagement tactics across a variety of channels.

Get Instant Access to Your Visuals-Packed Report, request a sample at https://www.futuremarketinsights.com/reports/sample/rep-gb-14690

Key Takeaways from the Customer Journey Analytics Software Market Report:

• Large enterprise customer journey analytics software segment to expand at a CAGR of 13.1% during the forecast period
• In the U.S., the market is predicted to reach US$ 2.7 Billion while growing at a CAGR of 13.4% during the forecast period.
• China’s market will grow at a 13.1% CAGR during the forecast period.
• South Korea recorded a CAGR of 11.2% CAGR during the forecast period.
• Japan is expected to reach a CAGR of 12.1% during the forecast period between 2022 and 2032.
• The market for cloud-based type customer journey analytics software segment is to expand at a CAGR of 13.6% during the forecast period.

Competitive Analysis:

• In March 2022, Adobe announced a new feature for Customer Journey Analytics, its platform-agnostic customer tracking solution under Adobe’s Experience Cloud. As a new experimentation feature in Journey Analytics, Adobe introduced a new way for businesses to test real-world scenarios and analyze their results to better understand how even small changes can affect the overall customer journey across their various properties
• In January 2021, Quantum Metric, a company that helps businesses build better digital products faster, announced a $200 million Series B investment led by Insight Partners that secures its place among the first tech unicorns of the year. As Quantum Metric grows its customer base, the new funding will be used to continue building features and functionality on its platform, as well as investing in its product and support teams to better support its continuous product development (CPD).

Leading Key Players:

• Pointillist
• CloudCherry

Seize the Opportunity: Buy Now for a Thorough Report https://www.futuremarketinsights.com/checkout/14690

Customer Journey Analytics Software Market Segmentation:

• Cloud-Based
• On-Premises

By Application:

• Large Enterprises
• North America
• Asia Pacific
• Middle East and Africa
• Latin America

About Future Market Insights (FMI):

Future Market Insights, Inc. (ESOMAR certified, recipient of the Stevie Award, and a member of the Greater New York Chamber of Commerce) offers profound insights into the driving factors that are boosting demand in the market. FMI stands as the leading global provider of market intelligence, advisory services, consulting, and events for the Packaging, Food and Beverage, Consumer Technology, Healthcare, Industrial, and Chemicals markets. With a vast team of over 400 analysts worldwide, FMI provides global, regional, and local expertise on diverse domains and industry trends across more than 110 countries.

Contact Us:        

Nandini Singh Sawlani    

Future Market Insights Inc. Christiana Corporate, 200 Continental Drive, Suite 401, Newark, Delaware – 19713, USA T: +1-845-579-5705 For Sales Enquiries:  [email protected] Website:   https://www.futuremarketinsights.com LinkedIn |  Twitter |  Blogs  |  YouTube

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CX Cloud Release Notes April 2024

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