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97 Customer Experience Stats Marketers Need to Know

By 2020, customer experience will overtake price and product and the key differentiator between brands.

Are you prepared?

While most business leaders admit the importance of customer experience, few understand what it takes to become a leader. For marketers, this is a major area where we can deliver value across the organization. But even we need to better understand what it means before we start investing in the experience. Here’s 97 statistics that will give you perspective:

  1. $41 billion is lost by U.S. companies alone each year due to poor customer service. (NewVoiceMedia)
  2. 75% of brands do not know what engagement means, but are measuring “it.” (ThinkJar)
  3. 60% of consumers have higher expectations for customer service now than they did just one year ago. (Parature)
  4. Loyal customers are 5 times as likely to repurchase, 5 times as likely to forgive, 7 times as likely to try a new offering and 4 times as likely to refer. (Temkin Group)
  5. A 2% increase in customer retention has the same effect as decreasing costs by 10%. (Leading on the Edge of Chaos, Emmet Murphy and Mark Murphy)
  6. Engaging with customers equals 40% more revenue per person. (Bain and Company)
  7. 89% of consumers have stopped doing business with a company after experiencing poor customer service. (Rightnow Customer Experience Impact Report)
  8. A customer is 4 times more likely to buy from a competitor if the problem is service related verses price or product related. (Bain & Company)
  9. Research shows that 55% of consumers are willing to pay more for a guaranteed – not just promised – good experience. (ThinkJar)
  10. 86% of consumers are willing to pay more for an upgraded experience. (ThinkJar)
  11. It is 6-7 times more expensive for companies to attract new customers than to keep existing customers. (ThinkJar)
  12. Nearly 80% of contact centers say their current customer service systems won’t meet their future needs. (Dimension Data)
  13. A typical business hears from 4% of its dissatisfied customers. (“Understanding Customers” by Ruby Newell-Legner)
  14. 65% of companies are able to successfully upsell or cross-sell to existing customers. But only 12% of companies are able to successfully upsell or cross-sell to new customers (ThinkJar)
  15. On average, loyal customers are worth up to 10 times as much as their first purchase. (White House Office of Consumer Affairs)
  16. It takes 12 positive experiences to make up for one unresolved negative experience. (“Understanding Customers” by Ruby Newell-Legner)
  17. 3 in 5 Americans would try a new brand or company for a better service experience. (American Express)
  18. According to consumers, customer service agents failed to answer their questions 50% of the time. (Harris Interactive)
  19. 80% of Americans agree that smaller companies place a greater emphasis on customer service than large businesses. (American Express)
  20. 78% of customers say a happy experience comes from competent service reps while 38% say it comes from personalization. (“The Cost of Poor Customer Service” by Genesys Global Survey)
  21. 66% of consumers who switched brands did so because of poor service. (ThinkJar)
  22. 85% of customer churn due to poor service was preventable. (ThinkJar)
  23. 11% of customer churn could be prevented by simple company outreach. (ThinkJar)
  24. 67% of customer churn is preventable if the customer issue was resolved at the first engagement. (ThinkJar)
  25. 70% of companies that deliver best-in-class customer experience use customer feedback, versus industry average of 50% and 29% for laggards. (ThinkJar)
  26. 56% of customers just want the right answer, but 64% of customer do not trust the information. (ThinkJar)
  27. One happy customer can equal as many as 9 referrals for your business. (American Express)
  28. Customer experience leaders have more than a 16% advantage over competitors in willingness to buy, reluctance to switch brands and likelihood to recommend. (Temkin Group)
  29. In a poll of enterprise contact centers, 82% view the customer experience as a competitive differentiator, and view accuracy and quality of information provided (82%) as well as ease of interaction (73%) as the most important attributes of a quality customer experience. (Deloitte)
  30. By 2017, 50% of product investment projects will be redirected to customer experience innovations. (Gartner)
  31. Only 23% of B2B marketers claim to have a customer-centric – versus a channel- or product-centric – organizational structure. (Forrester)
  32. Only 17% of respondents said their company had fully integrated their customer data across all areas of the organization. (Salesforce)
  33. 50% of C-suite respondents said their organization uses no consistent measure of their customers’ experience. (Almighty)
  34. Executives have noticed: 81% of CXOs anticipate more digital interaction with customers by 2020 and 66% expect more focus on customers as individuals. (IBM)
  35. 77% of U.S. online adults say that valuing their time is the most important thing a company can do to provide them with good service. (Forrester)
  36. 1/3 of consumers say they would “rather clean a toilet” than speak with customer service. (BizReport)
  37. 90% of customer Experience decision makers say that a good experience is critical their success. (Forrester)
  38. 91% of organization said they aspire to be among the customer experience leaders in their industry, yet only 37% had started a formal CXM initiative. (“Global Insights on Succeeding in the Customer Experience Era,” Oracle)
  39. While 73% of companies with the most positive CX impact understand the link between customer experience and business results, only 35% of companies with the lease positive customer experience impact claim the same. (Temkin Group)
  40. 78% of marketing professionals say they “try to differentiate through customer experience.” (Econsultancy)
  41. 42% of service agents are unable to efficiently resolve customer issues due to disconnected systems, archaic user interfaces and multiple applications. (Aspect)
  42. Companies with the strongest omni-channel customer engagement strategies retain an average of 89% of their customers compared with 33% for companies with weak omni-channel strategies. (Aberdeen Group)
  43. 89% of customer get frustrated because they need to repeat their issues to multiple representatives. (Accenture)
  44. 87% of customers think brands need to put more effort into providing a consistent experience. (Kampyle)
  45. 67% of customer mention bad experiences as a reason for churn but only 1 out of 26 unhappy customers complain. (Huffington Post)
  46. By 2020, customers will manage 85% of the relationship with an enterprise without interacting with a human. (Gartner)
  47. 50% of customers think it’s important to solve product or service issues themselves. (Zendesk)
  48. 78% of customers expect to get an answer from self-service. (ThinkJar)
  49. 70% of customers expect a company’s website to include a self-service application. (The Self-Service Economy, Steven Van Belleghem)
  50. 84% of customers are frustrated when the service agent doesn’t have information. (ThinkJar)
  51. 86% of buyers will pay more for a better customer experience but only 1% of customers feel that vendors consistently meet their expectations. (Forbes)
  52. Only 1 out of 26 unhappy customers complain. The rest churn. (ThinkJar)
  53. 91% of unhappy customers who are non-complainers simply leave. (ThinkJar)
  54. 67% of service interactions are easily replaced with community interactions. (ThinkJar)
  55. Only 2% of companies are doing cross-channel tracking of customer data. (ThinkJar)
  56. 67% of customer don’t care what channel is used. (ThinkJar)
  57. 75% of customers believe it takes too long to reach a live agent. (Harris Interactive)
  58. 91% of unhappy customers will not willingly do business with you again. (Lee Resources)
  59. Resolve a complaint in the customer’s favor and they will do business with you 70% of the time. (Lee Resources)
  60. Top two reasons for customer loss: 1) Customers feel poorly treated and 2) Failure to solve a problem in a timely manner. (Customer Experience Report by Harris Interactive/RightNow)
  61. 91% of non-engaged customers leave with dissatisfaction. (ThinkJar)
  62. 74% of consumers have spent more due to good customer service. (American Express)
  63. Companies with a social care program experience a 7.5% year-over-year increase in customer retention while those without only see a change of 2.9%. (Aberdeen Group)
  64. 76% of consumers say they view customer service as the true test of how much a company values them. (Aspect)
  65. When making a purchase online, 71% of visitors expect help within five minutes. (LivePerson)
  66. 51% of B2B companies avoid vendors after a bad customer service experience with them. (Zendesk)
  67. 95% of customers tell other about a bad experience. (Zendesk)
  68. 88% of people trust online reviews written by other consumers as much as they trust recommendations from personal contacts. (Bright Local)
  69. 45% of customers can’t remember having a recent successful customer experience. Most failures were related to disappointing customer service: 35% of the survey respondents experienced poor response times; 30% said the employee they contacted was poorly trained; 31% said the employee they spoke too wasn’t empowered to help; 29% of customers received inaccurate or conflicting information when they did talk to customer service representatives. (“The Global CX Wakeup Call Report,” SDL)
  70. 75% of consumers have spent more with a business due to a history of good customer service. (American Express)
  71. 90% of consumers said they have had poor experiences seeking customer support on mobile. (Software Advice)
  72. 52% of customer are less likely to engage with a company because of a bad mobile experience. (WOW Local Marketing).
  73. 84% of companies that claim that they are customer-centric focus on the mobile customer experience. (VisionCritical)
  74. 65% of customers ages 18-44 use mobile to look for a service more than once a month. (Software Advice)
  75. 84% of companies who consider themselves customer-centric focus on mobile customer experience. (VisionCritical)
  76. 52% of customers are less likely to engage with a company because of a bad mobile experience. (Think with Google)
  77. Incorrect display and difficult navigation are the highest sources (90%) of customer frustration for mobile experiences. (SoftwareAdvice)
  78. 45% of companies offering web or mobile self-service reported an increase in site traffic and reduced phone inquiries. (CRM Magazine)
  79. Almost 62% of companies think mobile customer service is a competitive differentiator. (ICMI)
  80. Maximizing satisfaction with customer journeys can increase customer satisfaction by 20%, lift revenue by 15% and lower the cost of serving customers by as much as 20%. (McKinsey & Company)
  81. 34% of companies have undertaken customer journey mapping. 2% have reported success. (ThinkJar)
  82. 13% of customers say customer journey mapping worked for them. 72% say it missed their needs. (ThinkJar)
  83. Maximizing satisfaction with customer journeys has the potential not only to increase customer satisfaction by 20% but also to lift revenue by up to 15% while lowering the cost of serving customers by as much as 20%. (McKinsey & Company)
  84. 86% of senior-level marketers say that it’s absolutely critical or very important to create a cohesive customer journey. (Salesforce)
  85. Customer journey analysis is now the most valuable conversion rate optimization method, with A/B testing dropping to second. (eConsultancy)
  86. Integrated customer journeys provide a competitive advantage, in some cases doubling sales year-over-year. (Harvard Business Review)
  87. Over half of all customer interactions happen during a multi-event, multi-channel journey. (McKinsey & Company)
  88. 72% of customers expect a response to their complaint on social media within one hour. (Econsultancy)
  89. 55% of customer requests for service on social media are not acknowledged. (ThinkJar)
  90. 84% of social media service interactions are escalated to other channels. (ThinkJar)
  91. 67% of escalated social interactions go back to the channel of origin. (ThinkJar)
  92. Satisfaction on customer journeys is 30% more predictive of overall customer satisfaction than measuring happiness for each individual interaction. (McKinsey & Company)
  93. Customers who encounter positive social customer care experiences are nearly 3 times more likely to recommend a brand. (Harvard Business Review)
  94. Over 1 million people view tweets about customer service every week. Roughly 80% of those tweets are negative or critical in nature. (Touch Agency)
  95. When companies engage and respond to customer service requests over social media, those customers spend 20% to 40% more money with the company than other customers do. (Bain & Company)
  96. 60% of organizations still cite marketing (not customer experience) as the main function of social channels. (Genesys Research)
  97. When companies engage and respond to customer service requests over social media, those customers spend 20% to 40% more money with the company than other customers do. (Bain & Company)

Customer experience isn’t a marketing “thang.” It’s a business approach. It’s something that everyone within the entire business need to believe is important and then rally around. That’s the only way to deliver a seamless, connected and consistent customer experience.

Photo Credit:  Flickr user The Lex Tallonis

About Carla Johnson

@CarlaJohnson helps marketers unlock, nurture and strengthen their storytelling muscle so they can create delightful experiences for audiences. She works as a trusted advisor at the highest level of blue-chip brands to establish open conversations and instill creative confidence that develops highly prized teams and stellar business results. Her book with Robert Rose – Experiences: The 7th Era of Marketing – is available on Amazon. Dig deeper at Type A Communications

5 Responses to “97 Customer Experience Stats Marketers Need to Know”

  1. Jeff Rothe October 19, 2016 at 12:32 pm #

    Great points. I had to forward some of these stats to Waikoloa Vacation Rentals this morning. Their letter in advance of our stay at the Hali’i Kai Resort property last week gave details on resort and cleaning fees, plus gave us directions to the property. It failed to alert us of the Ironman race that closed the highway to the resort.

    After two turnarounds, an extra hour and 45 miles driving we arrived blaming them for a bad service instead of feeling excited by the experience of seeing part of the Kona Ironman. How we feel about an experience is, of course, our choice. So is where we stay next time.

    • Carla Johnson October 20, 2016 at 12:09 am #

      As your situation points out, Jeff, a brands experience is more than just what happens with interaction with the product. It’s about how easy it is to access and use it…whatever it is. We need to think about how we can reduce friction every chance we get so we delight customers and keep them coming back again and again.

  2. Kevin Carter October 27, 2016 at 8:38 pm #

    I like the Customer Effort Score…https://hbr.org/2010/07/stop-trying-to-delight-your-customers

    Measure how easy it is to do business with you.

    • Carla Johnson October 27, 2016 at 9:56 pm #

      I like this, Kevin, thanks. I hadn’t seen it before.

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