“Your brand is what other people say about you when you're not in the room.” – Jeff Bezos, Amazon. This quote brilliantly explains the exact sentiments that a customer holds for a brand. To make sure that your customers are always gaga over you and your service when you are not even offering them a discount, we give you these 101 statistics that we have assembled. You can undoubtedly form a Business CX strategy while keeping these in mind for creating better and delightful experiences for your customers.
Customer Experience Statistics
- 50% of customer experience natural occurring churn every 5 years.
- Only 1 out of 26 unhappy customers complain. The rest churn. A lesson here is that companies should not view absence of feedback as a sign of satisfaction. The true enemy is indifference.
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- 91% of unhappy customers who are non-complainers simply leave.
- It is 6-7X more expensive for companies to attract new customers than to keep existing customers.
- 65% of companies are able to successfully upsell or cross-sell to existing customers.
- Only 12% of companies are able to successfully upsell or cross-sell to new customers.
- 75% of brands do not know what engagement means - but are measuring “it”
- 90% of consumers said they have had poor experiences seeking customer support on mobile.
- 89% of marketing leaders expect to compete primarily on the basis of customer experience by 2016, as compared with 36% four years ago.
- By 2016, mobile search will generate 27.8 billion more queries than desktop search.
- By 2020, the customer will manage 85% of the relationship with an enterprise without interacting with a human.
- 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.
- By 2017, 50% of product investment projects will be redirected to customer experience innovations.
- 89% percent of marketers think customer experience will be their main differentiator by 2017.
- 59% of 25-34 year-olds share poor customer experiences online.
- 90% of customer experience decision makers say that a good experience is critical to their success.
- Customer experience leaders have more than a 16% advantage over competitors in willingness to buy, reluctance to switch brands, and likelihood to recommend.
- By 2017, 89% of businesses will compete mainly on customer experience
- By 2020, customer experience will overtake price and product as the key brand differentiator for B2B.
- By 2017, 50% of product investment projects will be redirected to customer experience innovations.
- 51% of companies planned to increase the staffing of their centralized customer experience team in 2014.
- By 2020, the customer will manage 85% of its relationship with an enterprise without interacting with a human.
- 91% of organizations said they aspire to be among the customer experience leaders in their industry, yet only 37% had started a formal CXM initiative.
- 92% of organizations that view customer experience as a differentiator offer multiple contact channels.
- 95% of companies fail to exceed the expectations of their customers
- 86% of buyers will pay more for a better customer experience, but only 1% of customers feel that vendors consistently meet their expectations.
- 93% of Corporate Leaderships place Customer Experience improvement on their list of strategic priorities.
- Resolving issues quickly counts as the number one factor to a great customer experience for 82% of customers.
- 45% of businesses feel integration across technology toward customer experience is vital.
- 72% of businesses, or the majority, use a headless CMS as the main customer experience management tool.
- Over half of all customer interactions happen during a multi-event, multi-channel journey.
Customer Experience Statistics (Social Media)
- 80% of customers say that companies do not have the context of their last conversation.
- 83% of those surveyed said they liked—or even loved—when a company responded to them on social
- 42% of people will tell their friends about a good customer experience on social; 53% will talk about a bad one.
- Failure to respond via social channels can lead to a 15% increase in the churn rate.
- 60% of organizations still cite marketing (not customer experience) as the main function of social channels.
- Today’s internet consumers want their online questions to be addressed promptly; 42% expect a response within one hour.
- 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.
- 33% of consumers prefer social care, or a swift response on social media, over a phone response.
- Customers who encounter positive social customer care experiences are nearly 3 times more likely to recommend a brand.
Customer Loyalty Statistics
- Nearly 40 percent of retail leaders say that earning the loyalty of millennials is their greatest challenge.
- Ninety-seven percent of global consumers cite customer service as important in their brand choice and loyalty.
- In the U.S. alone, there are 3.3 billion loyalty program memberships—an average of 29 per family.
- 97% of global consumers say that customer service is very important or somewhat important in their choice of and loyalty to a brand.
- 73% of customers say they love a brand based on a friendly customer service representative, like TopStep brand who provide promo codes to their loyal customers too.
- Authenticity came in as second in customer experience with Millennials in importance behind loyalty programs.
- One happy customer can equal as many as 9 referrals for your business.
Customer Service Statistics
- 78% of consumers have bailed on a transaction or not made an intended purchase because of a poor service experience.
- It is 6-7 times more expensive to acquire a new customer than it is to keep a current one.
- For every customer who bothers to complain, 26 other customers remain silent.
- In the last year, 67% of customers have hung up the phone out of frustration they could not talk to a real person.
- 70% of buying experiences are based on how the customer feels they are being treated.
- Customer experience quality could result in a swing of $184 million for a large Internet retailer
- 41% of consumers expect an email response within six hours. Only 36% of retailers responded that quickly.
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- A customer is 4 times more likely to buy from a competitor if the problem is service related vs. price or product related.
- 33% of consumers would recommend a brand that provides a quick but ineffective response.
- 17% of consumers would recommend a brand that provides a slow but effective solution.
- Each year companies lose an estimated $41 billion due to their poor customer service.
- 68% of customers say they’ve switched service providers because of poor customer service
- 74% of consumers have spent more due to good customer service
- 60% of consumers have higher expectations for customer service now than they did just one year ago.
- 75% of consumers think companies should make answers to all their common questions available via smartphones.
- 82% of consumers say the number one factor that leads to a great customer service experience is having their issues resolved quickly
- 42% of service agents are unable to efficiently resolve customer issues due to disconnected systems, archaic user interfaces, and multiple applications.
- 29% of customers switch brands because of poor staff knowledge.
- 91% of customers value honesty and authenticity above all brand markers.
- Great reviews about your customer service (read: care) can generate 40% more additional revenue for your business.
- 44% of customers have received a wrong answer at some point.
If a customer hasn’t reached a live person in two minutes or less, you’ve lost them.
- 61% of customers prefer the option of call-back over waiting on hold.
- 81% of customers prefer the phone channel.
- 77% of those ages 18 to 24 use mobile devices at least once per month for customer support.
- $1.6 trillion = The estimated cost of customers switching due to poor service.
- 71% of customers say that valuing their time is the most important thing a company can do to provide good service.
- 66% of customers are most frustrated from interacting with employees who are rude or unfriendly.
- 91% of customers in one global survey said it’s important to not let customers down, second only to communicating honestly about its products and services.
- Millennials and Centennials are likely to share information with your business to receive a promotion, discount, coupon and product suggestion.
- Likewise, over half of customers prefer DIY accessibility: 51% prefer online knowledge base support
- 57% prefer live chat customer service.
- Customers are three times more likely to recommend your business after experiencing great customer care.
- 74% of customers become extremely frustrated if they have to follow-up on the same request. There’s nothing that shows lack of care more than unresponsiveness.
- CRM is forecasted to be a $17 billion dollar market by 2017.
Customer Retention
- 66% of consumers who switched brands did so because of poor service.
- 85% of customer churn due to poor service was preventable.
- 11% of customer churn good be prevented by simple company outreach.
- 67% of customer churn is preventable if the customer issue was resolved at the first engagement.
Customer Feedback/Social Media Statistics
- 55% of businesses believe call monitoring to be the most effective way to gather customer feedback.
- 45% of customers share negative reviews on social media.
- 59% of 25-34 year-olds share poor customer experiences online.
- 83% of all consumers have completed at least one survey in the past 12 months, with an average of three to four being completed in that same time period.
- Data suggests that if a respondent begins answering a survey, there is a sharp increase in drop-off rate that occurs with each additional question up to 15 questions.
Customer Experience (Mobile)
- 84% of companies who consider themselves customer-centric focus on mobile customer experience.
- In 2016, there are more mobile search queries than desktop (and more than 27 billion searches total.)
- 52% of customers are less likely to engage with a company because of a bad mobile experience.
- Incorrect display and difficult navigation are the highest sources (90%) of customer frustration for mobile experiences
- 45% of companies offering web or mobile self-service reported an increase in site traffic and reduced phone inquiries.
- Only 33% of businesses rank understanding how customers “segment and engage” across mobile as important.
- A minority of businesses, 25%, don’t feel they know what customers perceive as valuable when it comes to mobile.
- Only 35% of retailers feel they can differentiate in their mobile customer experience strategy.
- 75% of customers believe answers to common questions should be available by smartphone.
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Sources- Accenture, American Express Survey, 2011, Bain & Co., Bright Local, Business2Community, Capterra, Chief Outsiders, Colloquy, ComScore, CRM Magazine, Deloitte, Econsultancy, Emarketer, Esteban Kolsky - CEO of thinkJar, Exact Target, Forbes, Forrester Research, Gartner, Harvard Business Review, Internertretailer.com, Market Force, Market Watch, McKinsey, Microsoft, Mobile Marketer, mycustomer.com, New Voice Media, newmediaandmarketing.com, Nielsen-McKinsey, Ogilvy, Google and TNS, Ohio University, onereach.com, Oracle, Parature, Software Advice, Sprinklr, Survey Monkey, Synthetix, Temkin Group, The Forum Social, Think with Google, Vision Critical, Walker, White House Office of Consumer Affairs, www.aspect.com, Zendesk