Definition
An Experience Level Agreement (XLA) is an agreement between a company and its customers that focuses on the quality of the customer experience. It is a promise to deliver a specific level of customer experience that is reliable, efficient, and consistent over time. Unlike traditional service level agreements (SLA’s) that focus solely on technical metrics, XLAs consider the end-to-end customer journey, including touchpoints before and after the technical interaction. In simpler terms, an XLA is a guarantee that a brand will deliver an exceptional customer experience.
What are the Benefits of XLAs?
The benefits of an XLA are numerous, but they all point to a single outcome: happier customers. By creating an XLA, companies can develop a customer-centric approach to measuring and maintaining service quality over time. This creates a valuable differentiation from competitors and strengthens brand loyalty. And because an XLA takes the entire customer journey into account, it can drive improvements in every aspect of the business, from technical support to marketing campaigns.
How is an XLA Different from an SLA?
While both XLAs and SLAs outline agreements between a company and a customer, they differ in their focus. SLAs are centered around specific technical performance metrics, such as uptime percentage or resolution time. On the other hand, an XLA focuses on the overall experience of the customer, taking into consideration pre- and post-technical interactions, as well as the human touchpoints that occur throughout the customer journey. An XLA drives a more holistic approach to customer satisfaction and loyalty, while an SLA focuses on technical aspects alone.
What Should Marketers Know About XLAs?
As marketing leaders, it’s essential to recognize the importance of customer experience as a competitive differentiator. By creating an XLA, you can shift the focus of your team from solely attracting and selling to building trust, loyalty, and customer satisfaction. When customers have a consistently positive experience, they are more likely to evangelize your brand and recommend it to others – directly contributing to your bottom line. Additionally, an XLA can provide valuable insights into customer behavior and pain points, providing marketing teams with valuable opportunities to engage customers in a personalized and meaningful way.
Companies that prioritize the overall customer experience are bound to succeed in the long run. Not only do happy customers drive loyalty, but they also generate valuable word-of-mouth recommendations that can contribute to growth.
Related
- Customer Satisfaction Score (CSAT)
- Customer Taxonomy
- Net Promoter Score (NPS)
- Customer Effort Score (CES)
- Service Level Agreement (SLA)
Resources
Article: Considering Value of Price in the Buyer’s Journey
Article: Customer Retention is a Growing Priority
