Application Case 3.6 Expedia.

com's Customer Satisfaction Scorecard

Who are the customers of Expedia.com? What factors make happy customers so crucial
to their success?

Expedia.com's clientele consists largely of individuals and companies that use the site
to reserve travel arrangements like flights, hotels, rental cars, and holiday packages.
Expedia.com as a business competing in the highly competitive online travel industry,
Expedia.com strongly emphasizes satisfied consumers. Customers who are happy with the
services they receive from Expedia.com are more likely to return to the site, leave positive
feedback, and refer it to others.

How did Expedia.com improve customer satisfaction with scorecards?

Expedia.com improved customer satisfaction by implementing scorecards, which

allowed them to measure and track key performance indicators (KPIs) related to customer
experience. The scorecards provided a visual representation of performance metrics, enabling
the company to identify areas of improvement and take targeted actions to enhance customer
satisfaction.

The scorecards included KPIs such as:

Booking completion rates: Ensuring a smooth and seamless booking process.

Response time to customer inquiries: Promptly addressing customer queries and concerns.

Accuracy of booking information: Ensuring accurate and up-to-date information on

bookings.

Customer reviews and ratings: Monitoring customer feedback and ratings to identify areas
for improvement.

On-time service delivery: Ensuring timely delivery of travel services.

Expedia.com could identify trends, patterns, and areas requiring attention by regularly
reviewing the scorecard metrics. The insights gained from the scorecards helped drive
customer-centric initiatives and continuous improvement efforts.

What were the challenges, the proposed solution, and the obtained results?

Challenges:
 Expedia.com faced challenges in monitoring and improving customer satisfaction due
to the scale and complexity of its operations, with millions of transactions and interactions
occurring daily.

There was a need for a systematic approach to track and analyze customer satisfaction
metrics across multiple touchpoints.

Proposed Solution:

Expedia.com implemented a data warehousing solution that integrated data from

various sources, including customer interactions, bookings, and reviews.

They developed a scorecard system that captured and visualized key customer
satisfaction metrics.

The scorecards provided real-time insights into customer satisfaction performance,

allowing for proactive actions.

Obtained Results:

The scorecards enabled Expedia.com to identify areas of improvement and take

targeted actions to enhance customer satisfaction.

By monitoring the scorecard metrics, the company was able to address issues,
resulting in improved customer experiences quickly.

Customer satisfaction levels increased, leading to higher customer retention rates and
positive word-of-mouth recommendations.

Expedia.com gained a competitive advantage in the online travel industry by

prioritizing customer satisfaction and aligning its business operations accordingly.

Expedia.com was able to monitor, gauge, and ultimately enhance client satisfaction
thanks largely to using scorecards and data warehousing. Scorecards allowed for more data-

driven decision-making, leading to better customer service and more profitability for the
organization.