Investing in Customer Experience should seem like an obvious action to take, yet so many companies still don’t get it! The key challenges for the organisations are; wrong use of digital technologies, lack of human touch, inattentiveness to employee needs and a customers’ lower tolerance for failure. By investing in CX you will invest in all these aspects and many more.
If you are wondering if you should take the leap, here are the 5 benefits of why you should invest in Customer Experience:
Increased retention
As the experience for your customers improve, while they’re using your product or service, they will become more inclined to stay with your business. By using The CX Framework™ you can build stronger emotional bonds with your customers. These bonds create deeper relationships between the customer and the company to deliver CX Excellence. Consequently the strong bond convinces customers to stay with your brand even if there are other cheaper alternatives.
Research shows that 68% of customers who leave a company do so because they feel the company doesn’t care about them. At the heart of the relationship between a customer and a company is an emotional connection such as trust. If this emotional connection is lost then the relationship will break down.
Advocacy – new acquisition
Increased retention and the bond you build with your customers is ultimately leading to an outcome of customer advocacy. In today’s world it is harder and harder to get new customers through advertising. People either ignore ads because there are so many of them or refuse to believe them.
When a company is recommended to someone by their relative, friend or work colleague, or they see a post on social media, people are generally more likely to consider interacting with the company themselves. Today your best marketing strategy is to create advocates for your brand – loyal customers who will recommend and often try to convince others that your brand is the best.
Increased and repeated sales
This one has to convince you! In short: Loyal customers that stay with your service or product will be more likely to buy from you repeatedly and at a higher price. As Investopedia states, “Research shows that, over time, return customers tend to spend about 300% more than one-time buyers. Return customers would also likely trust your recommendations enough to buy your more expensive products or services.”
By investing in CX you are directly investing in your business. The most important thing to remember is that your customers will literally pay for a good experience… and most of the time creating a good customer experience doesn’t take much effort. Once you truly start caring for your customers they will be more than happy to return the favour in the form of purchasing from you again and again.
Improved Employee Experience
Happy customers = Happy staff, simple.
Staff who continuously deal with frustrated customers, can lose motivation and their mental health can easily deteriorate. This can cause them to want to leave the company faster than anticipated by you. Remember that every time an employee leaves, you have to employ another one to fill that gap, which takes time and effort and costs a lot more in the long run.
Mistakes will happen, but if you provide a general good experience for your customers, employee strain will reduce. Inevitably your staff will be more likely to stay with you for longer and will be more motivated to do their job well. As an employer you should always remember to recognise your staff for their achievements, and empower them to be able to solve customer queries efficiently.
Increase Profitability
Ultimately, every business initiative should lead to increased profitability. CX is definitely one of these initiatives. By Investing in CX you allow your business to grow long term. Every positive experience your customers will have with your brand, will add to the factors above. They will be more likely to cross-buy, buy more often and at a higher price. They will recommend your company to others and as a result of having a positive experience they will help improve Employee Experience too. So naturally, if all these things happen your business will be growing and so will the shareholder value.
The CX Academy Framework provides the means with which your business can succeed.
How TCXA Framework increases shareholder value.
If you want to learn more about how to utilise The CX Academy Framework enrol in our Professional Diploma or Certificate courses today!
