While the experience your customers have with your brand is what drives them through your sales process, data is what drives the strategy behind that experience. To assist with that strategy, and to give you an idea of where the market is headed as a whole, here are the key stats that you should know as a customer experience professional, and how to use the information:
Growth of the Customer Experience Market
The Global Customer Experience Management (CEM) market will grow at a compound annual growth rate of 20.79 percent over the period of 2012–2016, according to a recent TechNavio report. One of the key factors triggering this growth is an increase in the number of customer touch points, the report said.
Companies should take advantage of this trend and formulate marketing strategies accordingly. Analyzing the feedback they receive from the various touch points via which the customers interact with them can help in developing such strategies.
Multi-channel Customer Experience
While companies are interacting with their customers across multiple channels —online, offline, and via social media— it is important to create an integrated communication strategy. The lack of such a strategy can pose as a challenge to the growth of this market, according to the report.
Delivering a meaningful customer experience (CX) across all channels is of paramount importance for companies today. 89% of businesses are expected to compete mainly on the basis of customer experience by 2016, according to Gartner research.
Mobile and Tablets
For customers, mobile devices like smartphones and tablets are increasingly becoming the preferred method of interaction and communication with brands. According to a recent mobile behavior report by Salesforce, 85% of customers said that such devices are becoming an essential part of their lives. Customers are spending 3.3 hours each day on their smart phones, the report also said. Creating a ‘mobile-first’ marketing strategy has thus become essential.
The market is also witnessing a growing demand for mobile analytics. The reason being that more customers are using mobile devices to interact with brands, which in turn is triggering more website traffic for businesses.
With tablet owners spending an hour or more on their devices per day, research has shown that a customer is more likely to make a purchase on a tablet than online or via mobile.
But marketers should also consider the respective uniqueness of tablets and smartphones while developing these strategies. Applications should be devised in a way that they match a customer’s personal preference, making the purchase decision easy. Personalization boosts customer experience. But it is important to remember that delivering a consistent experience across all channels is key because customers need to know what to expect. This in turn also helps to generate loyal customers. It is important to know your target audience and tailor strategies according to their needs.
The Bridge Between Performance and Results
To round out the key statistics you should be aware of, a 2014 Business2Community article states nine CX statistics to keep in mind that can help bridge the gap between a company’s performance and results:
1. Poor customer experience has led 82 percent US consumers to stop doing business with a company.
2. It is almost 10 times more expensive to win a new customer than to retain one.
3. Only 5 percent increase in customer retention rates can increase profits by 25–95 percent.
4. 56 percent customers complained that they had to re-explain their issue during a service interaction.
5. 59 percent were transferred during such interaction.
6. 62 percent said they spoke with more than one person to resolve the issue.
7. Customers spend up to 40 percent more with companies with whom they engage with in social media.
8. When an issue could not be resolved through social media, 40 percent of customers called the company’s toll-free number.
9. The number of questions asked by customers on a company’s Facebook page has increased by 30 percent in Q1 2013 from Q4 2012.
As you look to improve your customer experience and formulate your strategy for 2016, having a greater understanding of your industry and your company is vital. However, these statistics only tell you half the story. For a complete view, you need to collect meaningful insights into how your customers view your experience. Combining these industry statistics with a customer feedback program will allow you to intelligently boost your customer experience in 2016 and beyond.
What statistics or analytics are most important to your customer?