Customer Centricity in numbers and why it matters

Companies that focus on customer experience reduce churn and increase revenues – leading to higher profits.


What is Customer Experience? 

Customer experience is the sum of all experiences a customer has with a business during their entire lifetime relationship, taking in not just the key touchpoints (product awareness, social contact, the transaction itself, post purchase feedback) but also how personal and memorable these experiences are.


Why does Customer Experience matter?

McKinsey, for example, has evaluated that companies that use customer centricity as a guiding principle achieve 5-10% revenue growth and 15-25% cost reduction within only three years of implementation (source: www.mckinsey.com).

Once a business uses advanced analytics to understand customer experience, within three years they achieve:

 




And in a recent PwC report, customer centricity among millenials was stated as one of the leading decision making factors when it comes to making new purchasing decisions.



How do you create a good customer experience?

Creating consistent, top-class customer experience in all levels of the organization is no easy task. While 80% of companies say they deliver superior customer experience, only 8% of surveyed customers agree. And while it takes twelve positive experiences to make up for one negative experience, about 2.4 people hear from unhappy customers for every happy customer they hear of (Source: Recontour magazine).

News of bad customer services reaches twice as many people as praise for good service experience

 

It takes twelve positive experiences to make up for one unresolved negative experience.



A key differentiator in customer centricity is omni-channel interaction. In their 2020 retail report, PWC found that the number of companies investing in the omni-channel experience has jumped from 20% to more than 80% (Source: PWC retail 2020 report). Customers want to interact with brands on multiple channels, may it be through a form on a website, on social media, through the telephone or on a mobile page.  

Are you providing a consistent experience across all channels, both online and offline? Is your organization built for customer centricity? Do know when customers abandon your brand after they made a bad experience? And is your online presence up to the challenge to keep customers happy?

→ Stagecast consulting helps you figure out what your customers care about most, design great customer experiences as well as arm and inspire your employees to deliver them.