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The most overlooked ROI of CX transformation

A trio of young teammates collaborate and smile while pointing at the tablets they're holding.

When it comes to the future of customer experience (CX) transformation, the real shift isn't about doing more with less, but about doing more with more. Traditionally, CX strategies have prioritized cost-cutting through transformation, digitization, and automation.

However, the true power of CX transformation extends beyond mere cost savings. Its essence lies in unlocking additional capacity for businesses, not just trimming expenses. By liberating resources and funds, CX transformation enables strategic reinvestment for growth.

In this article, we'll explore why companies should shift their mindset towards viewing CX transformation through the lens of capacity creation, rather than solely focusing on cost savings. We'll delve into how this perspective shift is driving innovation among CX-focused companies, bringing transformative changes to CX.

Unlocking capacity through CX transformation

Capacity creation involves unlocking resources and funds that can be redirected towards other business initiatives. This is achieved through three key CX strategies:

  1. Reducing friction involves making your customer journey as smooth and effortless as possible. It means getting rid of pain points, simplifying processes, and offering more convenient options. By reducing friction, you can lower operational costs, increase customer satisfaction, and reduce churn rates.
  2. Enhancing loyalty focuses on creating a strong and lasting relationship with your customers. It means exceeding their expectations, delivering value, and building trust. By cultivating loyalty, you can increase retention rates, capitalize on cross-selling and upselling opportunities, and maximize customer lifetime value.
  3. Improving engagement entails empowering and motivating your employees to deliver excellent service. It means providing them with the right tools, training, and feedback. By elevating engagement, you can reduce employee turnover rates, reduce recruitment and training costs, and minimize error rates.

It's essential to recognize that a successful customer experience transformation — and the capacity creation that comes with it — requires a strategic and intentional approach aligned with the organization's vision and goals. It doesn’t happen overnight. You may also face challenges, such as resistance to change, data privacy and security concerns, and integration and scalability issues, that you should be prepared for.



The increase in customer satisfaction that companies can expect when they excel at digital customer care, according to McKinsey & Company. These companies can also generate savings of up to 30% via a reduction in call-center volume.


Cruising to CX excellence

See how one TTEC Digital client leveraged its customer experience transformation to drive operational efficiency and, ultimately, better customer experiences.

AAA Logo

Mapping a roadmap for CX success

Challenge: AAA of Western and Central New York sought to map their CRM and digital strategy to improve their customer experience.

Solution: Through journey mapping, TTEC Digital worked with AAA of Western and Central NY to identify pain points, prioritize areas for improvement, and develop a technical architecture roadmap that aligned with the company's vision for both insurance and emergency roadside businesses.

Result: AAA of Western and Central NY achieved a 10% reduction in average handle time, enabling agents to assist an additional 600 members per year. A more manageable call volume reduced agent attrition by 5%. Drivers saved 24 minutes per service, allowing agents to serve an extra 800 members per year. AAA of Western and Central NY also reduced the number of dispatchers needed, resulting in annual savings of $125,000. A 15% increase in member satisfaction led to additional referrals and generated $500,000 in revenue.

Tips for building capacity through CX transformation

For companies striving to leverage customer experience transformation for growth and capacity building, consider these innovative approaches:

  • Co-create with customers: Instead of just understanding customer needs, actively involve them in the design process. Feedback loops and focus groups foster deeper engagement and generate unique insights that can drive capacity creation in unexpected ways.
  • Invest in employee empowerment: Beyond providing tools and training, empower frontline employees to make decisions and take ownership of the customer experience. This not only enhances engagement but also unlocks untapped capacity by leveraging their insights and expertise — because who understands your inefficiencies and opportunities for growth better than your front line?
  • Harness the power of ecosystems: Look beyond organizational boundaries and collaborate with partners, suppliers, and even competitors to enhance the customer experience. Ecosystem partnerships can unlock new sources of value and drive capacity creation through shared resources and capabilities.
  • Measure holistic impact: Look beyond traditional metrics like customer satisfaction and cost savings. Consider broader indicators such as innovation velocity and organizational agility. This means assessing not just the immediate effects but also how CX transformation influences the organization's ability to innovate and adapt to change. For example, tracking how quickly the company can bring new products or services to market provides insights into the overall impact of CX transformation on capacity building.

CX transformation isn't just about cost-cutting; it's about reinvesting savings strategically to drive innovation, differentiation, and business growth. By prioritizing CX and building capacity, companies can consistently deliver exceptional experiences while fueling organizational success.

Martha Roman

About the Author

Martha Roman

Vice President, CX Strategy, Design & Process Consulting Leader

Martha leads the expansion of TTEC Digital’s CX consulting capabilities, focusing on client transformation engagements.

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