Customer experience is the key to growing your business this year and beyond. The numbers show that customer experience matters more than traditional differentiators like price and brand. Let’s explore some statistics that show how businesses can deliver great customer experience in 2020.
What is customer experience?
Customer experience is your customer’s perception of your brand based on different touchpoints from the moment of first discovery. The stronger your customer experience, the more likely they are to keep using your services and promote your brand to friends and family.
Why customer experience matters
Customer experience matters for one reason: your customers value it. Studies show that customers are willing to pay more for a great customer experience. On the other hand, the numbers show that bad experiences lead to a bad reputation and lost revenue.
- Customers are willing to pay up to a 16% price premium for great customer experience. (PwC)
- 32% of customers are willing to walk away from a brand they love because of just one bad experience. (PwC)
- 65% of U.S. customers find a positive experience with a brand to be more influential than advertising. (PwC)
- 88% of online consumers are less likely to return to a site after a bad experience. (SWEOR)
- 80% of customers say the experience businesses provide is just as important as its products and services. (Salesforce)
- Customers who had the best past experiences spend 140% more than those who had the poorest past experiences. (Harvard Business Review)
- Efforts to improve customer experience can decrease customer care costs by up to 33%. (Harvard Business Review)
- Differences in net promoter score explain 10-70% of the differences in revenue growth between direct competitors. (Bain & Company)
- 80% of consumers are more likely to make a purchase when the business offers personalized experiences. (Epsilon)
- Customers tell an average of 9 people about positive experiences, but an average of 16 people about negative experiences. (Deloitte)
- 81% of companies view customer experience as a competitive differentiator. (Dimension Data)
- 90% of CEOs believe customers have the biggest impact on company strategies. (PWC)
Customer experience matters now more than ever
As time goes on, the customer experience matters more and more. In our new digital age, customers are looking for seamless experiences enabled by technology.
- 67% of customers say their standard for good experiences is higher than ever. (Salesforce)
- 81% of businesses are expected to compete primarily on customer experience in the year 2020. (Gartner)
- 67% of business leaders believe their business will no longer be competitive without embracing digital transformation. (Gartner)
How businesses are falling short
The stats show that customer experience is crucial for businesses. Unfortunately, it seems that many businesses are falling short of customer expectations.
- 51% of customers say most businesses fall short of their expectations for great customer experience. (Salesforce)
- 82% of consumers are disappointed by brands. (Oracle)
While lots of businesses understand the need for digital transformation, their operations are simply not there yet.
- 72% of corporate strategists say their company digital efforts are missing revenue expectations. (Harvard Business Review)
- 70% of employees lack mastery over the skills they need to do their job. (Gartner)
Mobile experiences matter
Nowadays, customers are searching for solutions on their smartphones. It’s up to businesses to adapt and make sure they’re delivering fantastic mobile experiences.
- 52% of website traffic happens on mobile devices. (Statista)
- 90% of customers have had poor experiences seeking customer service support on mobile devices. (Software Advice)
- 84% of CIOs focus on the mobile customer experience. (Vision Critical)
Customers want better interactions with businesses
Anyone who’s called a business but got left on hold or went to straight to voicemail knows that customer interaction is a key part of the customer experience. In 2020, customers aren’t satisfied with just phone and email. Customers are looking for convenient communication options like chat and text messaging. Of course, they are also looking for the human touch.
- Only 14% of customers report being happy with business communication. (EY)
- 59% of customers feel that brands have lost touch with the human element of customer experience. (PwC)
- While 89% of customers want to use text messaging to communicate with businesses, only 48% of businesses are equipped to handle text messaging. (Twilio)
- 79% of businesses say live chat has a positive effect on sales, revenue, and customer loyalty. (Kayako)
- 66% of customers use at least three different communication channels. (Microsoft)
- 60% of customers want human interaction. (Oracle)
- 59% of customers say tailoring interactions based on past engagement is key to winning their business. (Salesforce)
While customers are looking for the human touch, there is still room for businesses to use automation. While chatbots can’t completely replace your employees, they can help to complement the experience. A chatbot can be used to answer simple questions and free up time for your customer service team.
- 25% of businesses will use virtual assistants or chatbot technology. (Gartner)
- 57% of businesses agree that chatbots deliver large ROI with minimal effort. (Accenture)
Deliver a fantastic customer experience with BirdEye
Want to get started delivering a great customer experience? BirdEye’s all-in-one platform can help. With BirdEye, you can deliver the human touch to website visitors with a Live Chat solution. You can also collect quality feedback from your customers via surveys and natural language processing insights.