In the future, companies measure Return on Experience before Return on Investment. Here is why.

This article was co-authored by Anders Martinsen

An ordinary hotel in Los Angeles knows that a red telephone at the pool is the reason for their huge success. Southwest Airlines knows that their silly, but entertaining, safety instructions on the plane result in an additional $ 140 million in revenue.

They reap the benefit of that knowledge through the systematic use of “Return on Experience”.

But do you know what experiences are crucial to your company’s success? If not, read through here and learn how to create “Return on Experience” — ROX.

What is ROX?

Where ROI (Return on Investment) measures the return on one’s investment (i.e. how much money we invest and how much money we get back in x number of years), ROX measures across the company to find correlations that have decisive influence on the customer and employee experience — and which can ultimately have a positive effect on the bottom line. ROX is not a model you can go out and buy and just implement.

ROX is about constantly creating the next practice more than it is about delivering the best practice.