HOW A CUSTOMER EXPERIENCE STRATEGY HELPS SCALE REVENUE GROWTH (AND ACHIEVE PROFITABILITY)
The customer experience (also known as CX) is defined by the various interactions and experiences that any customer has with your business throughout the entire customer journey, from first contact to becoming a happy and loyal customer.
Simply putting this statement as, happy customers remain loyal.
It makes sense, right?
The happier you are with a brand or a product, the longer you stay with them. So, if you treat your customers poorly or ignore their customer service emails, then they are more likely to stop doing business with you. This is why companies that deliver a superior customer experience outperform their competitors – and this means they’ll be spending more with your business (and less in theirs!).
For example, here’s a few statistics that caught our eye:
- Customer experience is set to be the number one brand differentiator in recent years
- 1 in 3 customers will eventually leave a brand they love after just one bad experience,
- Customers are willing to pay a price premium of up to 13% (and as high as 18%) for luxury and indulgence services, simply by receiving a great customer experience,
- 49% of buyers have made impulse purchases after receiving a more personalized customer experience.
- Customers that rate companies or platform with a high customer experience score (i.e. 10/10) spend 140% more and remain loyal for up to 6 years.
Impact of bad customer experiences
If a great customer experience is focused on ensuring all interactions and touchpoints with your business is easy, enjoyable, and seamless, then the exact opposite is true when it comes to a bad customer experience.
More than almost $60 billion is lost each year to bad customer service. Meanwhile, another study found 91% of unhappy customers leave a brand without complaining.
It doesn’t get any better. Only 10% of consumers say brands meet expectations for a good experience.
Some of the most common causes of bad customer experiences involve:
- Difficult purchasing processes
- Negative experiences with customer support
- Compromising a customer’s personal security
- Waiting too long on hold
- Ignoring customer feedback
- Let’s take a look at seven ways to create a great customer experience strategy to help you improve customer satisfaction, reduce churn, and increase revenues – including examples.
- 1. Create a clear customer experience vision
- 2. Understand who your customers are
- 3. Create an emotional connection with your customers
I hope this article has been helpful to one to understand basic about customer experience and its value.