5 Reasons Why Customer Experience Is The Pulse Of Every Business
Customer experience is how customers perceive their interactions with your company. A successful strategy should be useful, usable, and enjoyable from the customer’s point of view.
So why has customer experience become such a hot topic today? Consumer expectations are higher, word of mouth travels faster.
Purchasers are empowered like never before, and great customer experience drives loyalty and revenue. Leaders in Customer Experience deliver, on average, 17% of revenue growth within 5 years, whereas poorer customer experience departments deliver 3% over the same period.
Downplaying its importance is no longer an option for businesses, as the voice of the customer continues to get louder and louder.
Building a great online reputation and investing in customer experience is now the main focus of 68% of marketers; so we’ve put together a list of reasons why looking after your company’s customer experience is important.
1. Improves customer satisfaction
Companies across the world have an average customer satisfaction rate of 86%.
Customer experience is key to exceeding your customers’ expectations. Brands have to be accurate, dependable, and provide the service they guaranteed. The opportunity lies in the ability to deliver what you promised and surprise your customer with extra care and support.
A totally satisfied customer contributes 2.6 times as much revenue as a somewhat satisfied customer, and 14 times as much revenue as a somewhat dissatisfied customer.
The main goal is to create a consistent customer experience across all touchpoints to exceed your and your customers’ standards. By keeping an eye on the entire customer journey, you’re making sure that the promise of a positive experience is kept and that you’re offering a superior service.
2. Turns new customers into loyal customers
Creating an experience really impresses purchasers and ensures that they will keep doing business with you in the future. A superior experience becomes a valued and unique asset for any type of business.
Acquiring a new customer costs 7 times more than maintaining an existing one. Investing in your existing customers will pay off and it’s only a matter of time until you see positive results.
What if your customer is unhappy?
There are a few things that impact a brand’s reputation more than the way it responds to complaints. Customer service is an important part of developing brand loyalty, and the way you respond to unhappy consumers will determine what they say about you afterwards.
Ideally, every business would rather have exclusively positive feedback, but unfortunately, that’s a pretty unrealistic goal.
The key to handling negative feedback is to respond politely and assure them that you’re trying your best to find a solution to their issue. Make your customer feel heard and cared for and you’ll find it will pay off in the long run.
In fact, did you know that 95% of people who had a bad experience are willing to give the brand another go if they know their issue has been dealt with correctly?
3. Increases customer advocacy
Word of mouth is one of the most powerful tools a company can wish for today. The truth is, 84% of consumers do not trust adverts anymore. People are now seeking third-party validation when making an online purchase.
And that’s why customer advocacy is so important.
By focusing on creating amazing customer experiences and embodying the desire for your business to go above and beyond, you’re creating an advocate out of every consumer.
Lululemon makes good with their Instagram account by asking customers to share photos of themselves in their outfits. This campaign is a huge success because it’s built from the active brand lifestyle, showing potential customers that the sportswear brand is great for both exercise and casual use, and that existing customers support the brand.
Using advocates and user-generated content is an amazing way to engage customers, reinforce brand loyalty and recommend the brand to other consumers.
4. Helps you stand out from competition
It is getting harder and harder to differentiate yourself from other businesses when everyone is sharing the same thing online: great content.
But a competitive advantage is huge, and customer experience is the perfect tool to help you stand out from your competitors.
As Jerry Gregoire, CIO at Dell, says, “The customer experience is the next competitive battleground.”
This way, your consumer will no longer compare only products and prices, but also service and user experience.
Customer feedback has become an invaluable tool. If customers couldn’t openly access other people’s experiences with a brand, they would need to look elsewhere quickly to build confidence. 88% of consumers read reviews to determine the quality of a business’s customer experience.
Embrace a customer-centric strategy, and stand out from your competitors by making sure today’s customers become tomorrow’s brand advocates.
5. Builds trust and creates personal relationships
In a world where we are being touched by hundreds of brands and adverts every day, how can you build a strong relationship with your consumers?
Personalised content and experiences are key. Making each one of your customers feel special and unique will send a positive message: they are cared for and important to your business.
By doing so, you have a better chance at building trust with them, and therefore at creating a strong, long-lasting relationship.
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