Why Must You Invest in Customer Experience?

We’ve all been in that situation where we have complained to a friend or a family member about the kind of customer support service we received from a company.

According to a report by Microsoft, about 96% of customers say customer service is an important factor in their choice of loyalty to a brand.

Investing in customer service is extremely essential while running a successful business. 

The 21st century is all about quality customer service.

A report by Dimensional Research, when asked consumers what impacts their level of trust with a company – offering excellent customer service ranked number one. 

Though customer service assistance is a key differentiator, businesses sometimes fail to recognize this. Investing in the right CRM software can make a lot of difference. 


5 Reasons why you must invest in Customer Experience 

1. Better customer retention

Investing in customer experience management tools and customer experience strategy means investing in your customer service team’s ability to retain customers.

A report by InMoment states that 60% of loyal customers will purchase more frequently from their preferred companies.

The right tools in the hands of your customer service teams can help them perform better and serve customer needs in a much more efficient fashion. 

Customer service agents increase first call resolution rates, solve customer tickets faster, etc all of which creates a much better experience for the customer which leads to better retention rates. 

Investing in quality customer experience not only increases customer satisfaction but also increases a pattern of repeat buying.


2. Enhances Growth

The 21st century is a very competitive space and while trying to keep up with the fast-paced consumerism, businesses find it difficult to maintain consistent growth levels.

Did you know that according to a study by Bain, companies that excel at the customer experience drive revenues 4% to 8% higher than those of their market?

Yes, this is true! Customer experience is an important factor that plays a far-reaching role when it comes to overall growth. 

According to Forbes, there is an 80% increase in revenue for businesses that focus on improving customer experience.

Investing in tools like Kapture CRM software and conversational AI-driven chatbots to provide the best customer experience can not only improve organizational growth but also shoot up profitability. 


3. Better Brand Visibility

According to a report by Sharpen CX, 88% of businesses now prioritize customer experience in all of their contact centers.

It is no secret that quality customer experience helps bring in a better brand image. The way a business treats its customer and its customer service employees really impact its brand image. 

  • Investing in customer experience never fails to bring out better brand visibility.
  • Investing in customer experience means being customer-centric. And being customer-centric helps businesses have great customer interaction.
  • Every time a customer has a great interaction as a result of the customer service operation that the business invested in, it brings in positive brand visibility. 


4. Improves CSAT scores 

A study by Super Office says that about 92% of customers would forget about a brand after experiencing two or three negative customer experiences with that same brand.

When businesses invest in customer management tools, it helps contact center agents perform better. Customer service agents tend to be more productive and also come up with better solutions to customer tickets when they have the right weapons like intelligent CRMs.

Better agent performance is directly linked to better customer support and happy customers.

Investing in the right customer experience tools can significantly improve customer satisfaction or CSAT scores. 


5. Improves your Net-Promoter score

A net promoter score or an NPS is a metric that is used across the globe for measuring customer loyalty. Imagine a situation where you invest in training your customer service agents.

Regular training helps your customer service agents provide customers with the most contextual responses that are appropriate to their situation which then leads to better ticket remediation. 

This not only improves customer satisfaction levels but also leads the customer into spreading the good word. Every time a customer shares his or her positive experience with their friend or family it helps businesses improve net promoter scores.


Important customer experience stats you should know – 

  • Businesses that are known to deliver top-notch customer service experience are known to do about 4% to 8 % better than other businesses of the same nature. (Source – Bain and Company)
  • 43% of customers who use mobile devices to get in touch with customer service agents find it a more pleasurable experience. (Source – Microsoft)
  • 4 out of 10 customers have admitted to not recommending a business when they have had a bad customer experience. (Source – Cloudfront)
  • When you have a negative customer experience, it will take 12 positive feedbacks to make up for that one negative feedback. (Source – Glance)
  • Approximately 47% of customers have admitted that they have stopped purchasing from certain brands or websites because they were not impressed with the customer service or the after-sales service that they received. (Source – Salesforce)
  • Good customer service means more sales. 52% of buyers have admitted to making additional purchases from the same brand based on customer service experience. ( Source – Dimensional Research)
  • 72% of customers will tell six or more people if they have a satisfying experience. (Source – Esteban Kolsky)
  • 36% of consumers will share their customer service experience, whether good or bad. More than one-third report posting on Facebook, followed closely by Instagram. (Source – CFI Group)


Can’t figure out how to create a customer experience strategy?

According to a report by Adobe, about 70% of customers believed that excellent customer experience should be fast, convenient, helpful, and must do all of that in a friendly manner.

Often businesses break their heads while trying to explore ways to improve their customer experience within a budget. In times like this, investing in the right CRM or Customer Relationship Management system can make all the difference. To know more about how you can provide a quality customer experience with the Kapture CRM, click here for a demo.


About the Author

Nimit Kumar
Namitha RV
Namitha R V is a freelance content writer and copywriter whose primary focus leans on B2B and B2C content writing. She has worked on several SEO projects and has a demonstrated history of writing for diverse content requirements like – Long form blog posts, Optimized Website content, Infographics, Ad copies, Social Media content, etc.


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