Touchpoint
In marketing, a touchpoint describes any instance where a consumer interacts with an organisation's brand or image. This can include traditional advertising or company-owned resources such as a website, public exposure, and personal recommendations.
Overview
In marketing, a touchpoint describes any instance where a consumer interacts with an organisation's brand or image. This can include traditional advertising or company-owned resources such as a website, public exposure, and personal recommendations. A brand touchpoint, also known as a brand encounter, is formed when a consumer is exposed to a brand. This exposure can occur in many different forms, such as an advertisement featured on television, radio, in a newspaper, or in a magazine. Other forms of advertising could include a display on a billboard located on the roadside, discussions regarding the product on talkback radio, a product in a window display, or a verbal discussion between friends and family, all giving exposure to the brand. All of these touchpoints create a "brand experience" for the consumer. Touchpoints are the first association that a consumer has with a product or service offered by a company or individual and are the contact points between a consumer and said provider of services. The touchpoint offers a link between the consumer and the service, acting as a go-between for what the consumer wants and what the service provider is offering, providing a central service in the communication between customer and supplier (2011: 16). A touchpoint is the first interaction that a customer has with a company and that interaction is considered as the starting point of a customer journey (2011:15). The customer journey/experience is the full involvement that a customer has with a particular brand, starting at the first connection between customer and service, and ending with the purchasing of a product or service and the advocacy of said product or service to others (Richardson, 2010). Touchpoints provide the basis and foundations for information gathering techniques used by customers. Within modern marketing, business, and service providing, there is a focus on the experiences of the customer base during the customer-supplier interaction (Voss and Zomerdijk, 2007). The customer journey perspective in marketing highlights the importance of multiple components that interact with each other and the customer, with the visual, audio, and social aspects of a marketing strategy being crucial for a successful customer journey (2007: 2). The strong importance placed on the customer experience over pure product has been established due to the increasingly competitive marketplace in which products and services exist (Khanna, Jacob, Yadav, 2014). Touchpoints make up an important and effective means of interacting with a customer base and build a notion and image of a brand within the memory of a customer. Successful businesses utilise touchpoints to build an image of what they can offer to customers, straightforward communication between parties, and value that comes with the purchase of products or services (Hogan, Almiquist, & Glynn, 2005).
In consumer decision-making
The consumer decision-making process is influenced by brand touchpoints; touchpoints influence the pre-purchase, purchase, and post-purchase stages of the decision-making process. This is because brands are constantly in contact with consumers by way of experiences (touchpoints) with the brand or service, advertising (all forms), contact with employees, social media, and many other ways. Each stage of the decision-making process is also an opportunity for the brand to influence the consumer's decisions, regardless of whether or not the consumer has made a decision to purchase. There are many ways in which touchpoints can influence the pre-purchase stage of the consumer decision-making process. The pre-purchase stage is said to be one of the most important stages of the consumer decision-making process, as it includes the point where the consumer recognizes that they have a need for a product or service. It is at this point of realization that pre-purchase touchpoints are crucial because this triggers the consumer to actively search for information about a certain product. Such searches for information can be actively conducted via searching in advertising, social media, internet search, or word-of-mouth and finding out family and friend’s experiences, etc. It is important that during this stage, in order for consumers to consider purchasing from a brand, that the brand creates relevant touchpoints that increase their appeal. Modern consumers have access to multiple electronic devices such as smartphones, laptops, tablets, and televisions and are sometimes connected simultaneously to all devices. As a result, brands may not acquire the desired amount of exposure because of the consumer's tendency to frequently switch from one device to another and from one task to another task. Therefore, brands must create short and engaging advertisements to capture the attention of the consumer during the pre-purchase stage of his or her decision-making process. Such action will ensure that the consumer will be able to relate to a brand and will instill the belief that the brand has their interests at heart. Brands or companies cannot precisely manage the touchpoints at the pre-purchase stage to work in their favor. They can only do so much to make sure they monitor the channels by which consumers search for product/service information to make sure they are readily accessible. Touchpoints for the "purchase" stage of the decision-making process are somewhat more direct. In this stage, the consumer evaluates the information they have searched for in the pre-purchase stage. Evaluation in this sense is when the consumer has selected a set of brands from their information search and compared them to one another. At this point of the consumer decision-making process, brand touchpoints become the difference between a decision to buy and a decision not to buy. Touchpoints during the purchase stage are more direct than the pre-purchase stage because touchpoints during the purchase stage can be found in the store (or office if looking for a service) as the store layout, through the sales team and staff, the point of sale, and in many other elements. The store layout is a whole touchpoint in itself as it includes all types of atmospherics that help influence consumers. Such atmospherics involve using the senses to relate to consumers on a more personal level through the use of store scents, visual appearance, music, and the ability to touch products. This can be further explained using the concept of "The Consumer’s Culture" where the psychological core of the consumer determines the effectiveness of brand touchpoints and influence. When consumers are exposed to such elements of a brand, it is at that point where they make the decision to buy or even the decision not to buy. To reduce the chance of having the consumer turning away from buying a particular brand, companies ensure their staff are properly trained in product knowledge and interpersonal skills. Effective staff are important since customer touchpoints with staff are a physical and human representation of the brand. Therefore, it is important for customers to have a sense of trust in the brand or the company, and the staff need to build rapport with the customer to retain such trust. This trust and rapport can be strengthened at the point of sale, where the customer purchases a product and feels that the product they have chosen may serve their needs. Finally, the post-purchase stage of the decision-making process is vital for the brand to retain their customers. Interactions between the brand and consumer after the purchase still count as touchpoints. Examples of post-purchase touch points are customer satisfaction surveys, product services, post-purchase customer service and support, loyalty programs, and even billing processes. All such touchpoints enable brands or companies to nurture the relationship between consumer and brand and, if successful, retain the customer. These touchpoints also provide brands with a sense of being able to control the post-purchase element of a consumer's decision-making process in a more effective manner. Companies hope to maintain a positive perception of the brand, that customers will relate to the brand on a positive level through these touchpoints. Post-purchase touchpoints are especially important for brands to be seen as readily available to, and accessible, by customers for the customer to remain trusting of the brand. Otherwise, the customer may perceive the brand treating them as a quick opportunity to make a sale with no post-purchase care.
Usage in everyday business communications
Businesses that offer products or services directly to customers use touchpoints in order to improve the relationship with the consumer and create brand recognition (Roll, 2015). Companies that offer services such as transport, mobile phone packages, flights, and rental cars create awareness of themselves through the intensive or minimal, targeted or broad use of touchpoints (Hogan, et al., 2005), which portray certain positive aspects of their company to prospective clients and customers. The choosing of (a) suitable touchpoint/s send messages to the customers about what values the company holds in high esteem. This is particularly important in the marketing of products in heavily filled marketplaces such as telecommunications, with companies producing tech-information services to retain customers in a competitive marketplace (Ojiako, Chipulu and Graesser, 2012). Touchpoints are important in the everyday communication of business ideas, creating brand encounters with potential customers, the satisfactory results of purchase and the retention of previous customers. Pre-purchase experiences of a customer are in relation to their behaviors before the business interaction between consumer and company. These experiences before purchase are crucial in the marketing of a brand or product (Gardial, Clemons, Woodruff, Schumann and Burns, 1994) as potential customers base their decisions on direct marketing decisions such as price and incentives, or are coerced by advertising and marketing campaigns. These touchpoints are created in order to influence customers before they have even decided on a product to purchase, coercive and invisible methods of design assert systematic authority over potential customers and become systems that create value before purchase has happened (Mager and Sung, 2011). The in store purchase experience is the next point of interest in the customer's interaction with a brand. When a customer has decided to purchase a product the sales agents, packaging of the product and in-store marketing are touchpoints that are in use to bridge the communication gap between brand and customer (Marin, 2014). These touchpoints are in place to specifically to influence the customer in regards to which purchase they make through effective control of layout and in store marketing (Marin, 2014). Despite online shopping being in a steady growth period, the fundamentally important aspect of customer interaction on a face-to-face level is still needed and aided through the use of in-store touchpoints (Drodge, 2015). These specific demographics, such as millennials and are adept at utilizing different means and technologies in order to acquire products and services that fit their needs. Through the use of product advocacy, customers are also in contact with brands after the purchase has been completed, lending their consumer expertise to how the product functions and recommending said product to other potential consumers. The success of post purchase touchpoints relies on the advocacy of customers to resell the treatment they received during their in store purchase experience. The most prized customer is one who recommends the brand to others, feeling that their expectations have been met and they achieved what they wanted in store (Flynn, 2013). The reliance on the quality of the product or service itself is a crucial way for brands to build a loyal customer base and this is an important touchpoint. With the quality of the product being of high importance, so too is the continuation of the brand-customer communication relationship through after purchase touchpoints (Flynn, 2013).
Brand customer touch-point types
Within the customer journey from pre- to post-purchase, there are different stages at which communication between customer and brand occurs through the use of touch-points. The categories of touch-points range from brand originated, intrinsic, highly controllable mediums to customer, initiated and unexpected modes of communication (Brand Customer Touch-Points, 2007). These methods of communication through touch-points include:
Company-created touchpoints
A company-created touchpoint is one that is created and controlled by the company or brand. These touch-points are pre-planned modes of communicating a message through physical channels, such as banner adverts and in store decorations. These methods are used to publicize certain directives to customers. These types of touchpoints operate in a traditional manner, visibly advertising a message the brand wants to convey.
Intrinsic touchpoints
These intrinsic touchpoints are in use when a customer is in store or in the act of purchasing a product or service (EClub News, 2012). Touchpoints such as timely and adept customer service is in constant use during the purchase period. These touchpoints are often human oriented; messages being communicated between customer service operator or staff and actual customers. This type of touchpoint is vital for communicating a brand's message and modus operandi, be it a family store that looks after customers on a personal level or a global company that can offer the best prices (Brand Customer Touch Points, 2007).
Unexpected touchpoints
Unexpected touchpoints are out of control of the brands themselves but can be influenced by good business practices. These touchpoints are the communication from outside stakeholders, often dissatisfied or satisfied customers. These shareholders communicate between themselves, higher powers within the brand or company and review websites. These communications are touchpoints which hugely affect the reputation of the brand. The unexpected touchpoints of a company are out of their hands but also reliant on the decisions made by customers in regard to their pre purchase, in store and post purchase experiences. It's not only customers but employees that also create unexpected touchpoints, speaking about their treatment within a company, pay rates and other customers with family or friends (EClub News, 2012). This all has unexpected consequences to a brand, either positive or negative, that can affect reputation of their product or service.
Customer-initiated touchpoints
Much like the unexpected touchpoints, customer-initiated touchpoints are a communication between customer and brand directly, without purchase. Unlike other touchpoints, these customer-initiated touchpoints are created solely by customers relaying the experiences they received from the brand/company directly back to the brand/company. Again, these are particularly difficult to control directly yet can be managed effectively and can portray a positive message to customers through actions such as a help desk or suggestions line. These touchpoints, created by customers and transferred directly to companies/brands, are effective ways of keeping in communication with customers even after they have finished their purchasing, evolving a brand and growing a customer base.
Brand Touchpoint Wheel
The Brand Touchpoint Wheel displays the various ways in which consumers interact with an organization's brand, creating higher brand education. Brand touchpoint segments can be split into pre-purchase, purchase, and post-purchase experience. These all help influence the consumer's purchasing decision. The pre-purchase experience shows the diverse range of interactions the consumer has with the brand and product before they enter the store. This touchpoint interaction is devised to increase brand awareness and increase a consumer's perception and expectation of the brand. These touchpoints should highlight the brand's features, and benefits over other competing products increasing the brand's value to the consumers. The pre purchase segment in the brand touchpoint wheel allows the customer to decide if the product or service will fulfill their needs and wants. The benefits of pre-purchase touchpoints are that they engage prospective customers, as well as retaining current customers. During this segment of the buying process people have access to knowledge of the brand, which allows them to see if they will gain from selecting this product or service over another competing brand. An example of a pre-purchase touchpoint is public relations. Public relations creates positivity around the brand, as well as media influence over prospective customers. Websites and advertising are other pre-purchase touchpoints, which allow customers to engage and learn about products or services. The purchase experience touchpoints help the consumer shift from considering the brand to actually making a purchase. These interactions include presentation of the store, point of sale, displays and assistance from a sales person. These touchpoints and interactions influence the consumer's purchasing decision and help the consumer feel confident about the product they are purchasing, maximizing the value of the product. The post-purchase touchpoints are those that appear after the sale has taken place to maximize the experience the consumer has received. This can be achieved through after sales services such as loyalty programs, newsletters and emails to ensure ongoing sales. Consumers who have experienced quality customer service in store are more likely to return for further purchases. These touchpoints increase brand loyalty, providing long term value between the consumers and the company. Brand touchpoint segments can be split into pre-purchase, purchase experience and post-purchase experience. The pre-purchase segment in the brand touchpoint wheel allows the customer to decide if the product or service will fulfill their needs and wants. The benefits of pre-purchase touchpoints are that they engage prospective customers, as well as retaining current customers. During this segment of the buying process people have access to knowledge of the brand, which allows them to see if they will gain from selecting this product or service over another competing brand. An example of a pre-purchase touchpoint is public relations. Public relations create positivity around the brand, as well as media influence over prospective customers. Websites and advertising are other pre-purchase touchpoints, which allow customers to engage and learn about products or services. The purchase experience is the point in the buying process, which converts the prospective customer into actually buying the product or service if they see the benefits are great enough. Packaging, in-store sampling and price- value relationship all affect the purchase experience. The customer must feel they have reaped benefits that are greater than the price they have paid for the product or service. The Brand Touchpoint Wheel demonstrates that the sales force is a large contributor in this experience, as this will leave the consumer feeling either satisfied or dissatisfied with the purchase process (Khanna, 2014). The post purchase experience is the interaction with satisfaction the consumer receives after the sale or service has taken place. This is the stage where the brand and the customer may commence a long-term relationship. And the buyer can choose to become a part of the brand's community by joining a loyalty program or agreeing to receive promotional emails. If the customer is satisfied with the purchase of their product or service, they will most likely be a recurring buyer and will recommend the product or service to their peers. (Longoria S. D.)
Touchpoints and consumer experience
A consumer's brand experience is based on the interactions they incur with the brand. Their experience can be shaped through both direct and indirect experiences contributing to their overall perception of the brand. Touchpoints create value for consumers and the customer-brand relationship as they come into several contact points with the brand over time. There are three types of brand touchpoints that influence the consumer's brand experience and consideration to purchase. The first is brand owner touchpoints, which is any form of brand advertising directly controlled by the company. The second is retail touchpoints, which include retail advertising, such as promotions and a range of in-store communications, which are also directly controlled by the company. The third is the range of third-party touchpoints which includes word of mouth, peer observation, and traditional earned media. Some third-party touchpoints can be detrimental to the consumer's perception of the brand specifically word of mouth. The negative experience of one customer can create negativity towards the product and influence prospective purchasers turning them against the brand. Touchpoints are used in order to persuade as well as engage customers to commit to a specific brand over other competing brands. Brand advertising is advertising by the owner of the brand or the retailer, which will give potential customers information that may persuade them into buying goods and services. In-store communications is a touchpoint, which includes viewing in store posters, and seeing display goods, it is the communication between seller and buyer in the store environment. Third party touchpoints are elements such as word-of-mouth, which can be defined as any conversation held in person or online discussing a specific brand. Peer observation is another third-party touchpoint as it is the effect of other customers in the consumption or retail environment. Traditional media is another such as news coverage and editorial information. A study at the University of South Australia conducted by the marketing school, explored the effect of different touchpoints on brand consideration. The following categories were evaluated; 1. Brand advertisements, 2. In-Store communications 3. Word of mouth, 4. Peer observation, and 5. Traditional media. The highest ranked touchpoint was in-store communications, an example being the display of products in retail outlets, and the communication of information from seller to buyer delivered by a salesperson. In store communication and display of goods led to unplanned purchases in the retail environment. Multi-sensory communication from store to customer where a customer can visually see products, smell them, and taste them such as supermarket in store cooking demonstrations. This creates an opportunity for unplanned purchases. The second ranked touchpoint was brand advertising and then peer observation. Whether the advertising is endorsement by celebrities or people regarded highly in peer groups. Visually seeing another peer wearing or using a specific product or service can entice a prospective buyer into choosing that same good. Word of mouth was ranked next; there was more positivity in peer observation as a touchpoint in comparison however. Ranked last was traditional media, which could be explained by the shift to guerrilla type marketing styles. This is a new way of engaging public customers in a more inexpensive way, while keeping customers encouraged to buy (Navrátilová, 2015) (Baxendale, 2015). The way in which the brand reaches out to the individual is what leaves them with a customer experience in the hopes that they will remember the brand. Customer experience is important in the communication process from seller to buyer as if the product or service is not promoted and people cannot see what they will receive for the transaction of purchasing the good their willingness to buy will decline.
Company-created touchpoints
Touchpoints allow marketers to deliver brand messages, increase consumer's knowledge of the brand and strengthen the company's customer-brand relationship, while adding value to the brand or product. When planning marketing touchpoints, marketers focus their attention on creating touchpoints that are most critical in forming and maintaining consumer relationships with the brand. Each company has communication objectives they look to achieve through having effective communication with their consumers through persuasion, influencing the brand voice and personality, creating a positive feeling towards the brand and driving sales. When a consumer enters a store, they intend to convert their pre-existing intentions into purchases. These pre-existing intentions are formed through pre-purchase experience touchpoints. These touchpoints include advertising, promotions, social media, word of mouth among others which allow consumers to interact with the brand before entering the store. However, the store itself also contains in-store communications which have the ability to introduce new brands to the consumer and influence spontaneous purchases. Of the aforementioned touchpoints the company only has direct control over the brand's advertising, however, still has an influence on other touchpoints. Maintaining a diverse range of touchpoints is vital in evolving the consumer's attitudes and behaviors towards the brand. Touchpoint interactions create benefits for the company as they are able to access feedback to monitor customer satisfaction, providing them with customer insights and allowing them to understand and meet the needs of their customers. They also allow the company to deliver a greater number of brand messages, emphasize promises between the brand and the customer and increase customer involvement with the brand. Traditional brand touchpoints have been utilized for many years such as, ad campaigns, media advertising, promotions, and events. In present day, non-marketing communication touchpoints seem to have a larger influence on consumers and their relationship with the brand, such as word of mouth and social media.
Customer-initiated touchpoints
Customer-initiated touchpoints are influenced through consumers and their experience with the company, however, are not created by the company. Customer-initiated touchpoints can include product use; products purchase as well as visiting a brand's website. The most influential customer-initiated touchpoint is word of mouth where their experience was shared and may influence other consumer's perceptions towards this brand.
Wikipedia contributors · Touchpoint · revision 1380829937 · CC BY-SA 4.0 · Plain text extracted and formatting adapted; tags derived from linked topics.