CRO VS. CXO by Nick Phipps, CX Strategist

Content Performance & Optimisation
User Experience (UX)
Optimisation/Conversion
Attribution & ROI

As seems to be the case in all areas of digital, there is some confusion as to what Conversion Rate Optimisation (CRO) means. CRO can mean different things to different people and different industries. 

Add to that the growing trend called Customer Experience Optimisation (CXO), and it's no surprise that everyone is a little confused and fed up with more bloody acronyms. 

I want to use this blog to explain what we mean by CRO and how it differs from CXO. 

 

First of all, what is CRO, and why is it important?

In its purest form, CRO is the practice of data-driven experimentation to persuade a website or app user to take the desired action. 

CRO is essential for anyone spending money to drive traffic to a website because you can lead a horse to water, but you can't stop it from clicking the wrong button... or something like that. 

However, there are different levels of CRO... I define them as micro and macro levels (original...). At the micro-level, we test small iterations of a single element on a page, such as changing the copy on a button. At the macro level, we take a more holistic approach and consider multiple touchpoints in the user journey to reduce friction. 

At both the macro and micro-levels, CRO outputs will usually include: Research, Hypothesise, Experiment, Analyse, Repeat. 

 

So, what is CXO?

CXO is closer to the macro level I mentioned above, except it should extend beyond your website or app and consider the ENTIRE customer journey. From phone calls to physical interactions.

Typically CXO will resonate with senior-level execs as they have their business objectives in mind, and they’re not so bothered by the detail of campaign-level KPIs.

CXO is a longer-term and cross-functional practice that considers how ALL of your customer touchpoints impact the overarching Customer Experience and is measured by brand perception, customer sentiment, customer lifetime value, customer retention, reviews, NPS and CSAT.

Digital CXO outputs could be design changes, information architecture reshuffles or the creation of brand new features. 

These two services collide because, ultimately, CRO & CXO are both centered around data and experimentation.

 

How do I get started with CRO?

CRO starts with research. You have to fully understand your customer and the way they behave on your website or app. Start with quantitative research using something like Google Analytics; this is where you gather your primary research to find out what you want to optimise. What is performing well, what isn’t working etc.? 

Couple that with qualitative research using something that gives you more behavioural insights, e.g., Hotjar, using session recording, and heat mapping to see where people are clicking. This helps identify where consumers are having problems, making U-turns, rage clicking, and leaving negative feedback. Using tools like these allows you to gather data directly from customers. 

As you walk through the research steps (technical, heuristic, data, user feedback), you’ll start creating a list of actions; some of these actions will need testing. For that, you’ll need some form of testing tool. Such as Google Optimise, Dynamic Yield, Unbounce, Conversion.com; ultimately, they give you the ability to test variations vs. an original.

They are all driven by a statistical engine that helps you quickly determine a winning test variation. These tools allow you to test ideas without a developer before you deploy permanent changes to your website fast.

 

How do I get started with CXO?

You can use similar research tools to CRO, but you’ll learn more from qualitative research and feedback from customers and front-line staff to find insights. 

You’ll need to take the time to build a complete picture of each customer type, so you’ll probably need to write some personas and identify pain points for each. An excellent place to start would be to build a Customer Journey Map. These maps will help you to spot customer needs and opportunities to solve any problems they may experience when interacting with you. 

 

CRO Example - Airfix (Hornby Hobbies)

From a CRO perspective, Airfix is a great example. We saw an opportunity to create a better experience for new visitors. The original design had a search bar as the primary CTA on the homepage for all visitors; however, we discovered that new visitors wanted the option to browse before looking for a specific product. So we replaced the search bar with two buttons, one that took new users to Starter Kits, which was where we believe most new customers began their journey. The second button was for browsing the entire catalog for those who may be new visitors to the site but already familiar with Airfix products. The CRO team added these two buttons to the header and testing compared to customers using the search bar. We saw an increase of 22.72% in transactions and have deployed this change to the website.

 

CXO Example - Hunters

Rawnet used a CXO mindset to help improve Hunters’ website by completing a customer journey map to buy a home from Hunters. We simplified the stages of buying a house, then mapped those stages against what content and tools Hunters have available on their website and how they help guide and retain customers during that journey. Once we mapped those two things together, we were able to see opportunities there… I’d love to share them with you, but then you’d never learn how to do it yourself, would you?!. 

 

In summary

There is a place for both CRO and CXO within any organisation. CRO on a macro and micro level will improve your conversion rates quickly, and you’ll see a better return on your marketing spend. CXO will take longer but could propel you miles ahead of your competition by allowing you to build something they haven’t identified yet. Our approach is to blend CRO and CXO by involving cross-functional teams that drive toward the same objectives. 

 

What do CRO and CX mean to you? Let me know your thoughts; nphipps@rawnet.com