The brands most effectively using customer feedback within their business are rewarded with 18.8 per cent year on year revenue growth on average, according to a new report by research body Aberdeen Group.
Having surveyed 366 businesses on their customer experience management initiatives, the report found the top 20 per cent ‘best in class’ brands significantly outperformed the industry average rate of 5.4 per cent.
Revealingly, these brands also benefited from a 91 per cent customer retention rate, compared to the 69 per cent industry standard. This, the report stated, led to sizeable cost savings since converting new customers generally requires a great deal more investment than retaining current ones.
Looking more closely into the customer experience strategies of the respondents, three key themes emerged that unite the top performers. Primarily, voice of the customer programs, used to capture feedback from consumers, must be formally included in the company’s business plan. This means taking a measured approach to ensuring customer sentiment is heard, whichever brand touchpoint the customer interacts with, and real steps are taken to act on that information.
The report discovered that, for the leading 20 per cent of companies, 53 per cent of queries are resolved on first contact. As the relevant figure for low-performing firms is just 12 per cent, the study’s results clearly underline the value of an effective customer support system for both the business and the customer.
Furthermore, the report found that companies must have a system in place to collate together customer feedback into a format all relevant members of the company can access to guide their decisions. On an individual customer level, this CIM tactic provides customer service assistants with a unique customer view of all previous communication with the brand. Finally, to create a dependable customer experience, brands must then ensure they deliver consistent customer service messages across all channels.
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