Customer Experience and Its Impact in Business Growth
Is having a robust and loyal customer important for businesses to boost revenue? Without a second thought, yes. Yes. Also, YES.
Let’s be honest – if your customers don’t visit your store anymore, you better just close your doors and move on. If you want to stay in business, always aim for a positive customer experience.
A Forbes study has shown that businesses prioritizing customer experience (CX) usually have a 4-8% higher revenue growth than laggards.
It’s true — today’s market is becoming more competitive by the hour. Organizations worldwide are going all in to offer the best customer experience to gain a competitive advantage.
Continue reading to learn more about what CX stands for, why it’s important and how you can excel in offering an incomparable customer experience.
What is customer experience?
Have you heard this famous saying, “you never get a second chance to make a first impression”?
Companies take this very seriously. Studies have shown that two-thirds of organizations compete to provide a better customer experience.
So, what exactly does CX mean?
Customer experience refers to customers’ impression of a particular organization over a while. It is determined by how extraordinarily or poorly they were throughout their buyer journey.
What is customer experience important?
Some look at customer experience as optional. It has now become a full-fledged competitive battleground and they tap out.
The idea here is simple — happy customers always recommend your brand to their products by word of mouth. Similarly, unhappy customers can become a severe threat to your business.
So if you’re investing in making your customers satisfied and content every time they visit your store, they’ll start coming more often. Since this trend has boomed, 84% of companies with a customer experience mindset have witnessed an improvement in revenue growth.
Here are more insights about how two of the most prominent global organizations benefited from shifting towards a customer experience mindset:
1. McDonald’s
Do you ever wonder why McDonald’s set up self-order kiosks in 2016? So that their customers could stand in queues for shorter periods.
Do you know how McDonald’s benefited from introducing this modern-day ordering tech? BTIG witnessed a 4.1% increase in same-store sales, and the comparable sales figures improved by almost 100 basis points.
2. Coca Cola
Coca-Cola initiated a #ShareACoke campaign in 2011. Remember?
Usually, the Coke bottles used to come with their iconic circular logo on both sides. However, due to this campaign, the brand replaced it with “Share a Coke with,” adding a person’s name at the end.
This campaign gradually became a massive hit worldwide, and the company sold over 150 million personalized Coca-Cola bottles alone in 2014. Besides, the #ShareACoke tag has more than 600k Instagram posts shared to date.
3. Tesco
South Korea is busy with adult professionals working overtime to make ends meet. Amid such hustle-bustle, waiting in line to shop for groceries becomes a tough job to manage.
Tesco solved this inefficiency by introducing virtual grocery stores with a streamlined next-gen process via an app called HomePlus. This app has more than 900k users and has raised online sales by 130%.
Currently, Tesco is South Korea’s #1 retailer brand.
Summing It Up
Standing out by creating excellent advertisements and billboards isn’t enough anymore. To thrive in today’s cutthroat marketplace, offering unmatched customer experience should be your priority numero uno.
Because, in the end, would you go back to a store where you previously had a horrible buying experience? You won’t.