Study: The More You Spend On Customer Experience The Better The Bottom Line

Study: The More You Spend On Customer Experience The Better The Bottom Line
SHARE
THIS



More evidence out this week, as if any were needed, that better customer experience directly drives revenue growth. This time it’s a study by Sitecore and Avanade of 880 decision makers in six countries, including Australia.

The researchers found that for every dollar invested in improving the customer experience, businesses generated three dollars in return. In addition, they said, companies can expect to to see an 11 per cent increase in revenue in the next 12 months.

SC chart June 12The study called Customer Experience And Your Bottom Line examined customer experience strategy, its adoption, benefits, challenges as well as the importance of building a long-term relationship with customers.

Among the key findings;

  • 78 per cent of respondents say key technology upgrades helped their success.
  • 65 per cent say payoff comes from giving customers personalised info at the right moment.
  • Companies that invest in CX are seeing lifetime customer value jump 22 per cent.

The authors reveal that competition and customer feedback were the main reasons behind prioritising a customer experience strategy.

“A full two-thirds of respondents said that competition made their organisation realise the need to prioritise customer experience, while 52 per cent of global respondents and 60 per cent of Australian respondents reported customer feedback as the driver.” according to the study.

“Interestingly, 46 per cent of Australian respondents cited increased operational costs as a key driver for prioritising customer experience compared to 14 per cent in Canada, 24 per cent in the UK, 13 per cent in Germany, 31 per cent in the US, and 42 per cent in Singapore.”

The report also identified key impediments including outdated services, a lack of internal skills (compared to 41 per cent globally), and an inability to provide a seamless experience across different channels, according to the research.

“For Australian brands to truly succeed, they need to move beyond standalone marketing tools and shift marketing to their customers in context across every brand touchpoint no matter whether they’re targeting millennials or retirees,” said Scott Anderson, CMO at Sitecore. “Companies need to understand that customer experiences are now built around knowing what each individual is trying to achieve at that very moment in time and create the right brand experience around those insights.

He said, “By prioritising a customer experience strategy, almost half of those Australians surveyed have experienced increased customer loyalty over the past 12 months while more than one in three have increased their revenue, 23 per cent have increased their profitability and 34 per cent have increased both the retention and acquisition of customers.”

This article originally appeared on B&T’s sister business site www.which-50.com

Please login with linkedin to comment

Advertising Standards Bureau Salary Samsung Galaxy 5S

Latest News

Simone Biles Makes History… Becoming The First Olympian With Their Own Emoji
  • Technology

Simone Biles Makes History… Becoming The First Olympian With Their Own Emoji

If you’ve been watching the Olympics these past few days, chances are you’ve probably come across the talent that is US gymnast Simone Biles. Biles has encapsulated viewers with her athletic jumps, flips and all-around gymnastic genius. As a result, Biles has also dominated social media feeds, with fans pouring out their admiration for the […]

by B&T Magazine

B&T Magazine
Australian Study Finds Guidelines Are Needed For Vaping On TikTok
  • Media
  • Technology

Australian Study Finds Guidelines Are Needed For Vaping On TikTok

A study conducted by the University of Queensland has claimed that the social media app TikTok needs to create regulations around vaping. Researchers at the University of Queensland analysed and evaluated the content of over 800, of TikToks most viewed vaping videos. Collectively the TikToks amassed over one billion views.  The study found that 63 […]

ESPN Secures Landmark Deal With NBL
  • Media

ESPN Secures Landmark Deal With NBL

ESPN and the National Basketball League have extended their broadcast partnership for a further three seasons as part of an expanded television rights package. ESPN and the National Basketball League announce a new expanded agreement that will run for three seasons, until the end of the 2023/24 NBL season. The landmark broadcast deal comes with […]

Workit Spaces Launches Aussie First ‘Beyond The Store’ Web Series
  • Marketing

Workit Spaces Launches Aussie First ‘Beyond The Store’ Web Series

Sydney-based co-working startup, Workit Spaces, announced today the launch of ‘Beyond The Store’, a six-part web series to uncover the smarts and passion behind successful Australian eCommerce businesses. Workit Spaces has gone where no other coworking hub has gone before, by investing over $100,000 to tell the stories of six Australian eCommerce businesses and how […]

Semi Permanent Sydney Announces New Dates For 2021 Festival
  • Marketing

Semi Permanent Sydney Announces New Dates For 2021 Festival

In light of the prolonged lockdown occurring throughout New South Wales, Semi Permanent Sydney has announced new dates for this year’s festival. It will now take place between 17-19 November 2021 at Carriageworks. “Our mission, always, is to craft the best and most valuable experience for both our speakers and audience, and to ensure the […]

Acast Adds New Brand Suitability Controls For Advertisers Via Comscore
  • Advertising
  • Media

Acast Adds New Brand Suitability Controls For Advertisers Via Comscore

Acast, the independent power source of podcasting has teamed up with Comscore to provide brand suitability controls for brands advertising through the Acast Marketplace. This new innovation is part of a global partnership with Comscore, and will be available to all advertisers working with Acast Australia and New Zealand. The brand suitability solutions offered by […]

Hootsuite Appoints Maggie Lower As Chief Marketing Officer
  • Marketing
  • Media

Hootsuite Appoints Maggie Lower As Chief Marketing Officer

Social media management solutions company Hootsuite, has announced that Maggie Lower has joined the company as chief marketing officer. Lower will own the brand’s overall global strategy, demand generation, communications, and events. Prior to joining Hootsuite, Lower was the global chief marketing officer at Cision, the first chief marketing officer at TrueBlue, and has held […]