62 Customer experience statistics every business needs to know

Business Ownership | 5 minute read

62 Customer experience statistics every business needs to know

In today’s global marketplace, it takes more than product and price to stand out from the crowd. The new watchword is customer experience and it's changing the way we do business. Find out what it's all about with these key CX statistics that every business needs to know.

Gary Bartley

Gary Bartley

February 7, 2018

In today’s global marketplace, it’s easy for companies to get lost in the crowd. Businesses can no longer differentiate themselves on product or price alone. These days it takes more to stand out and win customers. The new watchword is customer experience and it’s changing the way we do business.


Customer experience, or CX as it’s commonly known, has become the key differentiator for businesses looking to get ahead of their competitors.


Type the term into a quick Google search and you’ll see just how much momentum customer experience has gained in recent years. It’s certainly a game-changer and something every business needs to know about.


We know not everyone has the time to trawl through all the influencer insights, research results, fact and tips on the subject of customer experience.


So, to save you the trouble, we’ve put together a list of key customer experience statistics that every business needs to know.


 

Customer experience - the opportunity


1. According to Econsultancy’s annual Digital Marketing Trends survey, customer experience has come out top as the single most exciting business opportunity for organisations, for the last two years running.


2. By the year 2020, customer experience will overtake price and product as the key brand differentiator. ~ Walker 



Customer experience - what customers say


3. 76% of UK adults say a positive customer experience is more important than the product. ~ Lithium


4. 74% of UK adults will spend more on products and services from a brand they love. ~ Lithium


5. 80% of companies believe they deliver a superior customer experience, but only 8% of customers agree. ~ Lee Resources


6. 76% of consumers view customer service as the true test of how much a company values them. ~ Aspect


7. 55% of customers are willing to pay more for a guaranteed good experience. ~ White House Office of Consumer Affairs


8. 40% of customers want customer service improvements to focus on taking care of their needs more quickly. ~ American Express (2017)


9. 56% of global consumers say they have higher expectations for customer service now than they had just one year ago ~ Microsoft (2017)

 


Customer experience and customer happiness


10. 70% of buying experiences are based on how the customer feels they are being treated. ~ McKinsey


11. Brands need to focus on emotion to become a CX leader. The top five UK brands provided an average of 16 emotionally positive experiences for each negative experience, compared with 7 for the bottom five brands. ~ Forrester


12. Happy customers tell on average of 11 people about a positive experience. ~ American Express (2017)


13. Unhappy customers tell on average of 15 people about a poor experience. ~ American Express (2017)


14. For every customer who bothers to complain, 26 other customers remain silent. ~ White House Office of Consumer Affairs


15. After a bad experience, 30% of consumers tell the company, 50% tell their friends, 15% provide feedback on a ratings site and 14% Tweet about it. ~ Temkin Group


16. 69% of customers will spend more with a company that has good customer service. ~ American Express 2017


17. Customers who encounter positive social customer care experiences are nearly 3x more likely to recommend a brand. ~ Harvard Business Review


18. Customers who have a good experience are 3.5x more likely to make additional purchase and 5x more likely to recommend a business. ~ Temkin Group


19. 33% of customers would consider switching companies immediately after poor service. ~ American Express 2017


20. 66% of consumers who switched brands did so because of poor service. ~ thinkJar


21. 85% of customer churn due to poor service was preventable. ~ thinkJar


22. 67% of customer churn is preventable if the customer issue is resolved at the first engagement. ~ thinkJar


23. Resolve a complaint in the customer's favour and they will do business with you again 70% of the time. ~ Lee Resources


24. Increasing customer retention rates by 5% could increase profits from 25% to 95%. ~ Harvard Business Review


25. 91% of unhappy customers who are non-complainers simply leave. ~ thinkJar



Customer experience and marketing


26. It is 6-7x more costly to attract a new customer than it is to retain an existing customer. ~ White House Office of Consumer Affairs


27. 5-20% - the probability of selling to a new prospect. ~ Marketing Metrics


28. 60-70% - the probability of selling to an existing customer. ~ Marketing Metrics


29. Only 12% of companies are able to successfully upsell or cross-sell to new customers. ~ thinkJar


30. 65% of companies are able to successfully upsell or cross-sell to existing customers. ~ thinkJar


31. Loyal customers are 5x as likely to repurchase, 5x as likely to forgive, 7x as likely to try a new offering, and 4x as likely to refer. ~ Temkin Group


32. On average, loyal customers are worth up to 10 times as much as their first purchase. ~ White House Office of Consumer Affairs



Customer experience and engagement


33. 75% of brands don’t know what ‘engagement’ means - but are measuring it. ~ thinkJar


34. Organisations that optimise an emotional connection outperform competitors by 26% in gross margin and 85% in sales growth. ~ The Disney Institute


35. 70% of companies that deliver best in class customer experience use customer feedback. ~ thinkJar


36. Only 31% of organisations recognise and reward employees across the company for improving the customer experience. ~ Forrester Research


37. 56% consumers willing to share data to receive faster and more convenient service. ~ Salesforce


38. 57% of consumers agree they’re willing to share data with companies that send personalised offers and discounts. ~ Salesforce


39. 61% of Millennials are happy to share personal data if it leads to a more personalised in-store or online shopping experience. ~ Salesforce


40. 52% of consumers are likely to switch brands if a company doesn’t make an effort to personalise communications to them. ~ Salesforce


41. 50% consumers are likely to switch brands if a company doesn’t anticipate their needs. ~ Salesforce


42. 75% of consumers now expect a consistent experience wherever they engage with brands – through a website, social media, mobile, or in person. 73% are likely to switch brands if they don’t get it. ~ Salesforce

 


Customer experience in the digital world


43. 85% of people trust online reviews as much as a personal recommendation. ~ BrightLocal


44. 97% of consumers read online reviews for local businesses in 2017, with 12% looking for a local business online every day. ~ BrightLocal


45. Consumers read an average of 7 reviews before trusting a business ~ BrightLocal


46. 64% of consumers and 80% of business buyers said they expect companies to respond to and interact with them in real time. ~ Salesforce


47. 80% of consumers report that immediate responses to requests influence their loyalty to a given brand. ~ Salesforce


48. 59% of 25-34-year-olds share poor customer experiences online. ~ New Voice Media


49. 70% of consumers say technology has made it easier than ever to take their business elsewhere. ~ Salesforce


50. 69% of digital media time is spent on mobile. ~ comScore


51. 61% of visitors to a mobile unfriendly site are likely to go to a competitor’s site instead. ~ Google


52. 57% of users say they won’t recommend a business with a poorly-designed mobile site. ~ Socpub


53. 13% of companies claim that 25% of service requests start socially. ~ thinkJar


54. Customer service interactions over Twitter have increased 250% in the last two years. ~ Twitter


55. 71% of Twitter users expect a brand to respond to their query within an hour. 63% received a response within that timeframe. ~ Twitter


56. Answering a social media complaint increases customer advocacy by as much as 25%. ~ Convince and Convert


57. 96% of users who had a friendly customer service experience with a brand on Twitter would buy from that brand again. ~ Twitter


58. 55% of customer requests for service on social media are not acknowledged. ~ thinkJar


59. 84% of social media service interactions are escalated to other channels. ~ thinkJar


60. 72% of Facebook interactions are never completed, in any channel. ~ thinkJar


61. 8 out of 10 businesses have already implemented or are planning to adopt AI as a customer service solution by 2020. ~ Oracle


62. Intelligent automation will manage 85% of businesses’ customer relationships by 2020. ~ Gartner



62 Customer Experience Statistics Every Business Needs To Know: the takeaway


As the stats show, customer experience has become hugely important in today’s global marketplace.


It’s now the only way a business can achieve true stand out and success in a world where the power lies firmly in the hands of the customer.


Increasing customer expectations, the rise of digital channels and significant advances in new technology are bringing even more exciting developments.


In fact, we predict the world of CX will change immensely over the coming years. Is your business ready to take on the customer experience challenge?

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