Does Cx Customer Experience Impact Revenue Growth?

By Author: Ethique Advisory
Total Articles: 25
Comment this article

A customer's overall experience when interacting with a business can be the decider between winning and losing over the long term. A recent survey among shoppers found that 73% of the respondents said that customer experience (CX) was the deciding factor when making purchase decisions. In contrast, two-fifths of the respondents were willing to pay more when they found a friendly customer experience. When companies provide outstanding customer experiences, businesses see higher conversion rates, see more loyal customers and create brand awareness for the product through word-of-mouth marketing. But what is customer experience, and is it crucial in increasing revenue growth?

What is Customer Experience?
Customer experience is the perception of your company by your customers. Customer Experience is the result of every interaction that a customer has at every touchpoint of the business- from the visit to the website, engagement with online chat or a call to your office/ showroom, interaction with staff or interaction with the product or service, the purchase process, post-purchase experience with the product and or ...
... service staff interaction.

Everything a company does when designing, marketing, and selling the product is designed to move the customers' perception of the company positively.

The customer experience acts as the signature on the dotted line stating whether the company lived up to its promise and decides whether you have a repeat and loyal customer or a disgruntled one who will never stop bad-mouthing you. Customer experience, in short, is the decider for the success of an organization.

The Importance of Customer Experience
In recent times, organizations have outright dismissed the importance of customer experience, forgetting that it can make or break the company in the long run. A study by Forrester found that companies that prioritize customer experience can outperform their peers in revenues by as much as 80%. A positive customer experience fuels word-of-mouth publicity through positive reviews, references, and recommendations across their circle of influence and beyond, bringing traction to your offerings. A study confirms that WOM (word-of-mouth marketing) publicity significantly impacts decision-making since 95% of prospective customers read reviews, and 86% said they considered it an essential factor when making a purchase. An enhanced customer experience brings additional benefits, such as lower cost of customer acquisition, lower marketing expenses, saved costs & consequently increased profits over time. A loyal customer base helps boost the long-term growth of the organization organically. By creating a great customer experience, organizations make customers feel appreciated, building trust and implicitly encouraging them to buy more from the company.

Read our full blog on how Can Companies Improve Their Customer Experience

Ethique advisory has a team of highly experienced and skilled Coaches who create customized coaching programs tailored to fit our customers.