The State Of Customer Experience

A couple of weeks ago I gave a teleconference to Forrester clients called “The State Of Customer Experience, 2009.” My key message: Customer experience is showing resilience in the face of the down economy.

My assessment comes from a few different angles. First of all, I’ve been in touch with many vendors who sell voice of the customer solutions and they are continuing to report pretty strong pipelines.

In addition, I analyzed consumer data from late last year; looking at the correlation between customer experience and loyalty. This was the same analysis that I did the previous year in research called “The Business Impact Of Customer Experience.” It turns out that link between customer experience and loyalty has increased for all 9 industries I examined. If you’re interested in more details on this analysis, look out for a report called “Customer Experience Correlates To Loyalty” in the near future.

I also looked at a survey of large North American firms that we fielded in Q4, 2008. Their responses showed no drop-off in commitment to customer experience. As a matter of fact, the percentage of firms that had a senior executive in charge of customer experience has increased from 45% to 57% and the percentage of firms that use a single measure of customer experience across their company has grown from 53% to 69%. 

We also asked specifically about how the companies will react to the down economy; here’s one of those questions: 

20090205_temkin_stateofcxp_v3_vsmall1

If you look at these responses, 48% of companies expect relative strength in customer experience spending, which is higher than the number who expect cuts to be at par with other areas and 4 times the number of people who expect customer experience spending to go down more than in other areas.

While the tough economy will likely affect customer experience spending (as it does everything else), companies seem to understand that customer experience is one of the more important items to focus on in a recession.

The bottom line: Customer experience remains critical in a recession.

About Bruce Temkin
I am a customer experience transformist, helping large organizations improve business results by changing how they deal with customers. As part of this focus, I examine strategy, marketing, interaction design, customer service, and leadership practices. I am also a fanatical student of business, so this blog provides an outlet for sharing insights from my ongoing educational journey. Simply put, I am passionate about spotting emerging best practices and helping companies master them. And, as many people know, I love to speak about these topics in almost any forum. My “title” is Managing Partner of the Temkin Group, a customer experience research and consulting firm that helps organizations become more customer-centric. Our goal is simple: accelerate the path to delighting customers. I am also the co-founder and chair of the Customer Experience Professionals Association (CXPA.org), a non-profit organization dedicated to the success of CX professionals.

One Response to The State Of Customer Experience

  1. Pingback: Weekly Points of Interest at Experience Matters

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