Dépêches

Improved Customer Experience Can Generate $100s of Millions in Additional Revenue for Companies

Dépèche transmise le 10 mai 2011 par Business Wire

Improved Customer Experience Can Generate $100s of Millions in Additional Revenue for Companies

BOSTON--(BUSINESS WIRE)--A new research report published by Temkin Group, The Customer Experience-Loyalty Connection, finds a strong connection between improved customer experience and increased consumer loyalty-- leading to increased company revenue.

“Great customer experience isn’t just a nice thing to provide for customers; it’s a critical component for improving the bottom line by increasing customer loyalty.”

Based on a survey of 6,000 US consumers, Temkin Group found that consumers who have a good customer experience are more loyal to companies across all 12 industries included in the study: airlines, banks, credit card issuers, health plans, hotel chains, Internet service providers, insurance companies, investment firms, personal computer makers, retailers, TV service providers, and wireless carriers.

According to Bruce Temkin, author of the report and Managing Partner of Temkin Group, “Great customer experience isn’t just a nice thing to provide for customers; it’s a critical component for improving the bottom line by increasing customer loyalty.”

Key findings in the report include:

• A modest improvement in customer experience can generate a three-year revenue boost between $308 million for retailers and $179 million for health plans for every $1 billion in revenues. The study identifies the revenue levels for all 12 industries.
• Customer experience leaders have 10.8 percentage points more customers who are likely to recommend them compared to customer experience laggards.
• Customer experience leaders have 12.7 percentage points more customers willing to buy from them compared to customer experience laggards.
• Customer experience leaders have 14.1 percentage points fewer customers looking to switch away from them compared to customer experience laggards.

This report can be accessed from the Temkin Group website (www.temkingroup.com) or from a new Website called Temkin Ratings (www.temkinratings.com) where companies can download the detailed data from this research.

About the author, Bruce Temkin

Bruce is a Customer Experience Transformist and Managing Partner of the Temkin Group. He is also the Chair and co-founder of the Customer Experience Professionals Association (CXPA.org). Prior to founding the Temkin Group, Bruce was Vice President with Forrester Research. During his 12 years with Forrester, Bruce was Forrester’s most-read analyst for 13 consecutive quarters and remains one of the most respected analysts in the industry. Bruce holds a master’s degree from MIT Sloan School of Management and an undergraduate degree in mechanical engineering from Union College.

About the Temkin Group

Temkin Group is a customer experience research and consulting firm with one simple goal for its clients: increase customer loyalty by becoming more customer‐centric. We combine customer experience thought leadership with a deep understanding of the dynamics of large organizations to help senior executives accelerate their results.