Report: 2013 Temkin Experience Ratings

Temkin Ratings website

2013TemkinExperienceRatings_Cover

We published the 2013 Temkin Experience Ratings. The report analyzes feedback from 10,000 U.S. consumers to rate 246 organizations across 19 industries. Congratulations to the top firms in this year’s ratings: Publix, Trader Joe’s, Aldi, Chick-fil-A, Amazon.com, and Sam’s Club.

Download report for FREE
You can also download the data for $395.

The Temkin Experience Ratings are based on evaluating three elements of experience:

  1. Functional: How well do experiences meet customers’ needs?
  2. Accessible: How easy is it for customers to do what they want to do?
  3. Emotional: How do customers feel about the experiences?

Here are the top and bottom companies in the ratings:

2013TER_BestWorstHere’s how the industries compare with each other:

(NOTE: We have published posts on the detailed results for all 19 industries)

2013TER_IndustriesHere are the companies that are leaders and laggards across the 19 industries:

figure10

In this year’s ratings, 37% of companies earned “good” or “excellent” scores, while 28% are rated as “poor” or ”very poor.” Companies with at least a “good” rating grew by nine-percentage points since 2012 and by 21-points since 2011. Of the 203 companies that are included in both the 2012 and 2013 Temkin Experience Ratings, 57% firms had at least a modest increase. The companies that made the largest improvement over 2012 are Citibank, TriCare, TD Ameritrade, Office Depot, EarthLink, Hardees, and Regions Bank.

Download report for FREE

Get the Data

Do you want to see all of the data? You can purchase an excel spreadsheet for $395…

Screen Shot 2013-02-24 at 5.42.22 PM

To view all of our ratings (experience, loyalty, trust, forgiveness, customer service, and web experience), visit the Temkin Ratings website

Temkin Ratings website

The bottom line: Customer experience is improving, but there’s still a long way to go

Report: Net Promoter Score Benchmark Study, 2012

We just published a Temkin Group report, Net Promoter Score Benchmark Study, 2012. It provides NPS data on 175 U.S. companies across 19 industries. Here’s the executive summary:

USAA took the top two spots for its banking and insurance businesses while HSBC came in at the bottom for banking and credit cards. Our analysis of differences across consumer demographic segments showed that NPS tends to go up with age, doesn’t vary much by income levels, and is often highest with Asians. We also asked consumers what would make them more likely to recommend the companies and found that promoters are more likely to select lower prices and detractors are more likely to select better customer service. While there is some debate about the efficacy of NPS, our analysis shows that promoters are much more likely than detractors to purchase more in the future across all industries. To help you implement a successful NPS program, we’ve included eight tips such as don’t believe in an “ultimate question” and use control charts, not pinpointed goals. The industries included in this report are airlines, auto dealers, banks, computer makers, credit card issuers, fast food chains, grocery chains, health plans, hotel chains, insurance carriers, Internet service providers, investment firms, major appliance makers, parcel delivery services, rental car agencies, retailers, software firms, TV service providers, and wireless carriers.

Download report for $295
(includes the data)

The industries included in this report are airlines, auto dealers, banks, computer makers, credit card issuers, fast food chains, grocery chains, health plans, hotel chains, insurance carriers, Internet service providers, investment firms, major appliance makers, parcel delivery services, rental car agencies, retailers, software firms, TV service providers, and wireless carriers.

The report contains the following components:

  • NPS for 175 companies across 19 industries
  • NPS differences based on age, income, and ethnicity of consumers
  • Improvement areas selected by promoters and detractors by industry
  • Connection between NPS and future purchases by industry
  • Eight tips for implementing a successful NPS program

Figure1Figure4

Download report for $295
(Includes the data)

The bottom line:  Companies need to give customers a reason to recommend them

2012 Temkin Web Experience Ratings

Temkin Group has just released the 2012
We introduced the Temkin Web Experience Ratings last year. The 2012 Web Experience Ratings include 159 companies from 18 industries and is based on a survey of 10,000 U.S. consumers.

Congratulations to the top firms in this year’s ratings: Amazon, credit unions, USAA, PNC, Southwest Airlines, eBay, Sam’s Club, ShopRite, JCPenney, and ING Direct. Of course, not every company has earned good web experience, especially the companies at the bottom of the 2012 ratings:  Charter Communications, Humana, Qwest, Cigna, Time Warner Cable, Anthem, Road Runner, Medicare, Blue Shield of CA, and TracFone.

We also  examined industry averages and found that banks and investment firms have earned the highest Temkin Web Experience Ratings followed by hotel chains and retailers. But consumers gave very low ratings to Internet service providers, health plans, and TV service providers.

The research also examines how individual companies are rated relative to their industry peers. The following 11 firms outscored their industry average Temkin Web Experience Ratings by 10 percentage points or more: Kaiser Permanente, Amazon, ShopRite, Southwest Airlines, USAA, Starbucks, H.E.B., Publix, credit unions, Marriott, and Apple.

The following 15 companies fell 10 percentage points or more below their industry averages: Wells Fargo Advisors, AAA, Charter Communications, Delta Airlines, Citibank, Bank of America, Humana, TracFone, Qwest, Old Navy, U.S. Airways, Rite Aid, Kohl’s, Kmart, and Charter Communications.

Temkin Group also analyzed changes from the 2011 Temkin Web Experience Ratings. Led by TV service providers and insurance carriers 11 of the 12 industries that were in both the 2011 and 2012 ratings improved since last year.

Seventy-two percent of companies that were in the 2011 and 2012 Temkin Web Experience Ratings showed improvement. Led by Comcast (Internet and TV service), Allstate, AOL, Charter Communications, Toshiba, and Sam’s Club, 20 companies improved by 10 percentage points or more between 2011 and 2012. Only three companies­— Kohl’s, TracFone, and Rite Aid—declined by 10 percentage points or more during that timeframe.

Do you want to see the data? Go to the Temkin Ratings website where you can sort through all of the results for free. You can even purchase the underlying data if you want to get more access.

The bottom line: Web experience is not good enough for how important it is

2012 Temkin Forgiveness Ratings

Temkin Group has just released the 2012
Every company makes mistakes now and then, but how willing are customers to forgive the company when it happens? Forgiveness is a valuable asset that companies earn by consistently meeting customers’ needs.

We introduced the Temkin Forgiveness Ratings last year to gauge which companies are earning this important element of loyalty. The 2012 Temkin Forgiveness Ratings include 206 companies from 18 industries and is based on a survey of 10,000 U.S. consumers.

Congratulations to the top firms in this year’s ratings: USAA, Hyatt, credit unions, H.E.B., Hy-Vee, Dollar Rent A Car, Chick-fil-A, PublixCostco, and Amazon.com. Of course, not every company enjoys such a high degree of forgiveness from their customers, especially the companies at the bottom of the 2012 ratings: Citigroup, Charter Communications, HSBCChrysler dealers, EarthLink, Bank of America, Comcast, Quest, and US Airways.

We also examined industry averages and found that grocery chains have earned the most forgiveness from consumers followed by retailers, appliance makers, and parcel delivery services. But consumers are not very likely to forgive mistakes by credit card issuers, Internet service providers, and TV service providers.

We examined how individual companies are rated relative to their industry peers. USAA holds the top two spots, outpacing its credit card and banking peers by more than 30 percentage points. USAA also outpaces the insurance industry by more than 20 percentage points. Credit unions, Hyatt, US Cellular, Dollar Rent A Car, Chick-fil-A, and Bright House Networks are also more than 15 percentage points above their industry averages. Five companies fall 15 or more percentage points below their industry’s average Temkin Forgiveness Ratings: Chrysler dealers, Citigroup, Travelers, Charter Communications, and RadioShack.

We also analyzed changes from the 2011 Temkin Forgiveness Ratings. The research shows that consumers are more forgiving this year than they were last year. Led by banks and insurance carriers, all 12 industries that were in both the 2011 and 2012 Temkin Forgiveness Ratings showed improvement.
Sixty-eight of the 139 companies that were in the 2011 and 2012 Temkin Forgiveness Ratings earned double-digit improvements and four companies improved by more than 25 percentage points: TD Ameritrade, Lenovo, USAA, and credit unions. Ten companies lost ground over the last year with the biggest drops coming for Citigroup, Continental Airlines, Travelers, Sears, Holiday Inn Express, and The Hartford.

Do you want to see the data? Go to the Temkin Ratings website where you can sort through all of the results for free. You can even purchase the underlying data if you want to get more access.

The bottom line: To err is possible, to earn forgiveness is divine

TracFone Tops Customer Experience Ratings of Wireless Carriers

This post examines the seven wireless carriers included in the 2012 Temkin Experience Ratings.

TracFone was the top rated carrier, but only received an “okay” rating. AT&T, Verizon Wireless, and Sprint also earned “okay” ratings while the remaining carriers were rated “poor.”

The average ratings for the wireless carriers placed it 13th out of 18 industries in the study. Temkin Group also analyzed the changes between 2011 and 2012 and found that customer experience in the wireless industry improved over the previous year. Led by Virgin Mobile and TracFone, all six carriers that were in both the 2011 and 2012 Temkin Experience Ratings had improved ratings. Sprint fell behind the other carriers with only a very slight improvement since last year.

Other highlights from the research include:

  • TracFone and Verizon Wireless received the highest Functional ratings, while T-Mobile received the lowest. Virgin Mobile had the largest increase in this area while Sprint had the largest decline.
  • TracFone and Verizon Wireless received the highest Accessible ratings, while Virgin Mobile and T-Mobile received the lowest. TracFone had the largest increase in this area while T-Mobile had the largest decline.
  • TracFone received the highest Emotional ratings, while T-Mobile and US Cellular received the lowest. Virgin Mobile had the largest increase in this area while T-Mobile had the smallest.

Do you want to see the data? Go to the Temkin Ratings website where you can sort through all of the results for free. You can even purchase the underlying data if you want to get more access.

The bottom line: Wireless carriers have improved, but they have a long way to go in CX

TracFone Leads In (Poor Group Of) Wireless Experiences

In the 2011 Temkin Experience Ratings, we examined the customer experience across 12 industries. For this post, we will take a closer look at the six wireless carriers in the ratings.

Wireless carriers have an average rating of “Poor” and was the 8th ranked industry out of 12…

Let’s take closer look at the results for all of the individual wireless carriers…

As you can see, TracFone, Sprint, and AT&T barely cross into the “Okay” customer experience rating. The remaining three carrriers, Verizon Wireless, T-Mobile, and Virgin Mobile are in the “Poor” range.

Let’s take a look at the three components of the Temkin Experience Ratings…

TracFone is the top-performing carrier when it comes to functional and emotional experience, but falls behind four other carriers in the accessible component. While none of the carriers crossed the line of goodness for the accessible component of our ratings, Sprint comes out as the easiest to do business with. Virgin Mobile takes the bottom spot for both emotional and accessible components and T-Mobile falls well behind the other carriers in its functional experience.

The bottom line: Wireless carriers need to deliver better experiences

Download this post for printing or sharing

Customer Experience Leaders Make A Difference

Gartner and 1to1 Media recently announced their 2010 CRM Excellence Awards. The two winners for customer experience were Sprint and CIGNA — congratulations to both organizations!

My take: These winners are not a surprise. I highlighted Sprint as one of the companies that had improved the most in Forrester’s 2010 Customer Experience Index. Both firms are on very aggressive customer experience journeys being led by two of the strongest customer experience executives in the industry — Jerry Adriano (Sprint) and Ingrid Lindberg (CIGNA).

Customer experience transformation isn’t easy; it takes a lot more than a few superficial changes. As I’ve highlighted in recent research, companies that want to build customer experience differentiation need to master 4 competencies: Purposeful Leadership, Compelling Brand Values, Employee Engagement, and Customer Connectedness. That’s why these efforts require strong leaders like Adriano and Lindberg.

To understand the impact of leadership, I took another look at the data from our May 2010 survey of large North American companies. For this analysis, I compared the companies that had a senior executive in charge of customer experience for at east 6 months with all of the other firms in the survey. Here are the major obstacles identified by each group:

What jumps out from this data is that companies without a senior executive in charge of customer experience suffer from a lack a clear strategy. There’s a 32 percentage point gap between the two groups in that area.

Here are some of other things that I found interesting:

  • All companies suffer from competing priorities
  • Companies without customer experience leaders are 10+ percentage points more likely to run into several problems associated with starting their journey:
    • Lack of a clear strategy
    • Lack of incentives and rewards
    • Wrong people or organizations leading the effort
    • Lack of important skills
  • Companies with customer experience leaders run into more problems as they start to make changes:
    • Limited funding
    • Conflict across organizations

The bottom line: Customer experience takes leadership

Forrester’s 2010 Customer Experience Rankings

This is our third year publishing the CxPi. The 2007 CxPi and the 2008 CxPi rankings were published in Q4. We decided to publish this year’s CxPi in Q1 2010, so we don’t have a 2009 CxPi.

The 2010 CxPi ranks 133 organizations across 14 industries: Airlines, Banks, Credit Card Providers, Health Plans, Hotels, Insurance Firms, Internet Service Providers, Investment Firms, Parcel Shipping Services (new this year), PC Manufacturers, Retailers, TV Service Providers, Utilities (new this year), and Wireless Carriers.

The CxPi is based on consumer evaluations during November 2009 across three areas: 1) meeting needs; 2) being easy to work with; and 3) enjoyability (see the methodology section below).

Here are the full 2010 CxPi rankings

Barnes & Noble took the top spot in the CxPi rankings for the second year in a row. Marriot Hotels, Hampton Inn, Amazon.com, and Holiday Inn Express round out the top 5. At the other end of the spectrum, Charter Communications landed at the bottom of the CxPi rankings for the third year in a row. Here are some additional insights about the overall results:

  • Retailers take 12 out of the top 20 spots. Most of the top rated companies on the list are retailers. Hotels also grabbed three of the top 20 spots. Interestingly, three financial services firms also cracked the top 20: credit unions, SunTrust Bank, and Vanguard.
  • Healthcare, Internet and TV services dominate the bottom. The bottom 11 companies on the list came from only four industries: five health insurance plans (United Healthcare, Medicaid, Anthem, and CIGNA), three ISPs (Charter Communications, Comcast, and Qwest), two TV service providers (Charter Communications and Comcast), and one credit card provider (HSBC).
  • There was very little excellence. Only 13 firms ended up with an “excellent,” and 35 received a “good” rating. 40 companies fell in the middle with “okay” ratings. At the bottom of the list, 45 received either a “poor” or “very poor” rating.
  • Liberty Mutual improved the most. When we compared firms’ 2010 CxPi with last year’s results, we found that 22 companies had improved by at least five percentage points. Led by Liberty Mutual’s 15 percentage point increase, five firms even had double-digit improvements (Comfort Inn, Sprint, and Time Warner Cable).

CxPi Results Across Industries

We also looked at the overall results for the 14 industries included in the CxPi.

Read more of this post

Retailers Lead, TV Service Providers Lag In Loyalty

I just published research called How Loyal Are Consumers? Not Very that examines the loyalty that consumers have with 113 large firms across 12 industries: airlines, banks, cell phone service providers, credit card providers, hotels, insurance firms, Internet service providers, investment firms, medical insurance companies, PC manufacturers, retailers, and TV service providers.

We asked 4,500+ US consumers about three areas of loyalty:

  1. Willingness to consider the provider for another purchase
  2. Reluctance to switch business away from the provider
  3. Likelihood to recommend the provider to a friend or colleague

Here are some of the industry-level findings (in terms of the percentage of loyal customers):

  • Willingness-to-repurchase
    • Leaders: Retailers (89%) and Insurers (82%)
    • Laggards: TV Service Providers (69%) and ISPs (73%)
  • Reluctance-to-switch 
    • Leaders: Retailers (80%) and Investment Firms (73%)
    • Laggards: Airlines (62%) and TV Service Providers (63%) 
  • Likelihood-to-recommend 
    • Leaders: Retailers (81%) and Insurers (75%)
    • Laggards: TV Service Providers (59%) and Health Plans (60%)

Here are some of the company findings (ranked relative to their industry averages): 

  • Willingness-to-repurchase
    • Leaders: USAA credit cards (+24%), Southwest Airlines (+13%), and credit unions banking (+13%) 
    • Laggards: US Airways (-18%), Sprint (-16%), and RadioShack (-13%)
  • Reluctance-to-switch 
    • Leaders: USAA credit cards (+20%), Apple (+19%), and Hampton Inn (+18%)
    • Laggards: US Airways (-18%), Sprint (-16%), RadioShack (-15%), and Washington Mutual banking (-15%)
  • Likelihood-to-recommend 
    • Leaders: USAA credit cards (+26%), Kaiser (+17%), and Southwest Airlines (+17%)
    • Laggards: US Airways (-18%), Compaq (-17%), and RadioShack (-16%)

The bottom line: What are you doing to make your customers more loyal?

No Surprise, Sprint Loses More Customers

Sprint announced a loss of nearly $600 million in Q1 which was “largely because of defections of the company’s customers to other wireless carriers.” Given Sprint’s poor customer experience and the high degree of correlation between customer experience and loyalty in the wireless industry, these results are not surpising. Here’s some of the consumer feedback that we’ve analyzed:

The bottom line: Sprint needs to accelerate its customer experience journey.

Web Satisfaction Snapshot- USAA, Amazon.com, and Barnes & Noble Top The List

We asked more than 4,500 US consumers about their satisfaction with experiences across 12 different industries: airlines, banks, cell phone service providers, credit card providers, hotels, insurance firms, Internet service providers, investment firms, medical insurance companies, PC manufacturers, retailers, and TV service providers. Our analysis looked at phone, store/branch, and Web interactions.

Satisfaction With Web Interactions

Here are some highlights of consumer feedback on Web interactions. The analysis looked at satisfaction rates at an industry level and changes from last year’s results, examined satisfaction for individual companies, and compared responses across generations of consumers.

  • Highest industry satisfaction: Banks (84%) and credit card providers (84%)
  • Lowest industry satisfaction: Heath plans (66%) and wireless carriers (66%)
  • Most improved industry: Banks (improved 1%)
  • Least improved industry: TV service providers (declined 6%)
  • Highest company satisfaction: USAA (93%), Amazon.com  (93%), Barnes & Noble  (93%), eBay  (92%), Southwest Airlines  (91%), and Hilton Hotels  (91%) 
  • Lowest company satisfaction: Comcast- TV (60%), Sprint (61%), Time Warner Cable (62%), Medicare (62%), Comcast- ISP (62%), and AAA (64%).
  • Most satisfied generation: Seniors were most satisfied for eight of the industries
  • Least satisfied generation: Gen Yers were least satisfied for seven of the industries
  • Largest generation gap: Airlines (Seniors at 91% versus Gen Y at 73%)

The bottom line: What’s it like when customers go to your Websites?

In-Person Satisfaction Snapshot- Costco, Barnes & Noble, and Marriott Top The List

We asked more than 4,500 US consumers about their satisfaction with experiences across 12 different industries: airlines, banks, cell phone service providers, credit card providers, hotels, insurance firms, Internet service providers, investment firms, medical insurance companies, PC manufacturers, retailers, and TV service providers. Our analysis looked at phone, store/branch, and Web interactions.

Satisfaction with Store Interactions

Here are some highlights of consumer feedback on in-person interactions. The analysis looked at satisfaction rates at an industry level and changes from last year’s results, examined satisfaction for individual companies, and compared responses across generations of consumers.

  • Highest industry satisfaction: Retailers (88%)
  • Lowest industry satisfaction: Heath plans (69%) and TV service providers (69%)
  • Most improved industry: Credit card providers (improved 6%)
  • Least improved industry: Internet service providers (declined 7%) and health plans (declined 7%)
  • Highest company satisfaction: Costco (94%), Barnes & Noble (94%), Marriott (94%), Old Navy (93%), credit unions (93%), and Sam’s Club (93%) 
  • Lowest company satisfaction: Time Warner Cable (61%), Road Runner (63%), Sprint (64%), and Comcast (66%)
  • Most satisfied generation: Seniors and Gen Y were most satisfied for four of the industries
  • Least satisfied generation: Gen Yers were least satisfied for six of the industries
  • Largest generation gap: Banks (Gen Y at 86% versus Younger Boomers at 68%)

The bottom line: What’s it like when customers come to see you?

Phone Satisfaction Snapshot- USAA, Credit Unions, and Amazon.com Top The List

We asked more than 4,500 US consumers about their satisfaction with experiences across 12 different industries: airlines, banks, cell phone service providers, credit card providers, hotels, insurance firms, Internet service providers, investment firms, medical insurance companies, PC manufacturers, retailers, and TV service providers. Our analysis looked at phone, store/branch, and Web interactions.

Satisfaction With Phone Interactions

I’ll start with some highlights of consumer feedback on phone interactions. The analysis looked at satisfaction rates at an industry level and changes from last year’s results, examined satisfaction for individual companies, and compared responses across generations of consumers.

  • Highest industry satisfaction: Insurance providers (84%)
  • Lowest industry satisfaction: TV service providers (60%)
  • Most improved industry: Retailers (improved 3%)
  • Least improved industry: TV service providers (declined 6%)
  • Highest company satisfaction: USAA (93%), credit unions (92%), and Amazon.com (91%) 
  • Lowest company satisfaction: Charter Communications- TV (47%), Comcast- TV (54%), Time Warner Cable (54%), Aetna (54%), Comcast- ISP (55%), HSBC (55%), Sprint (58%), and Dish Network (59%)
  • Most satisfied generation: Seniors were most satisfied for nine of the industries
  • Least satisfied generation: Gen Yers were least satisfied for eight of the industries
  • Largest generation gap: Airlines (Older Boomers at 81% versus Gen Y at 62%)

The bottom line: What’s it like when customers call you?

Wireless Carriers Fail (Again) On Customer Experience

In Forrester’s Customer Experience Index (CxPi), we ranked 114 companies across 12 industries. I recently published a snapshot of the wireless industry results. The carriers, as a group, ended up tied for 8th (with PC manufacturers) out of the 12 industries. Here are some highlights of the results:

  • Wireless carriers got worse. In last year’s CxPi, wirless carriers ended up with a not so good 66% rating. But in this year’s CxPi, the wireless carriers dropped to 64% (a rating of “poor”).
  • Alltel takes the top spot. With an “okay” rating of 72%, Alltel topped the list of wireless carriers in the 2008 CxPi. Alltel also came out on top of all three categories of the CxPi, with the largest lead in enjoyability. Verizon Wireless, TracFone, and AT&T all scored well in usefulness.
  • Sprint holds on to the bottom spot. Sprint’s score of 45% put the firm at the bottom of the list of carriers, the same spot it held last year. The low score left the carrier well below its closest competitor and 108th out of all 114 companies in the 2008 CxPi. Making matters worse, Sprint also had the largest drop from last year.
  • AT&T makes the only gains. With a small 1% increase between 2007 and 2008, AT&T was the only carrier that improved its CxPi score. Alltel remained at the same level as last year, but all of the other carriers’ scores declined.

The bottom line: Wireless carriers are heading in the wrong direction.

Forrester’s 2008 Customer Experience Rankings

This is our second year publishing the CxPi. The 2008 CxPi ranks 114 firms across 12 industries: Airlines, Banks, Credit Card Providers, Health Plans, Hotels, Insurance Firms, Internet Service Providers, Investment Firms, PC Manufacturers, Retailers, TV Service Providers, and Wireless Phone Carriers.

The CxPi is based on consumer evaluations during October 2008 across three areas: 1) usefulness; 2) ease of use; and 3) enjoyability (see the methodology section below).

Here are the full 2008 CxPi rankings

Forrester's 2008 Customer Experience Rankings

Barnes & Noble took the top spot in the CxPi rankings, just barely beating out USAA’s credit card business. Borders, Amazon, and last year’s leader Costco round out the top five. At the other end of the spectrum, Charter Communications landed at the bottom of the CxPi rankings for the second year in a row. Here are some additional insights about the overall results:

  • Retailers take seven out of the top 10 spots. Last year, nine out of the top 10 firms were retailers. While retailers still dominate the top of the CxPi, three non retailers have cracked the top 10: USAA, Hampton Inn, and credit unions.
  • Healthcare and TVs dominate the bottom. The bottom 10 companies came from only four industries: four medical insurers (Medicaid, Blue Shield of California, Aetna, and Cigna), three TV service providers (Charter Communications, Time Warner, and Comcast), two ISPs (Charter Communications and Comcast), and one wireless carrier (Sprint). Charter Communications, Medicaid, Aetna, and Sprint were also on last year’s bottom 10 list.
  • Several banks made significant improvements. When we compared firms’ 2008 CxPi with last year’s results, we found that a number of companies that had improved. The three firms with double digit improvements were all banks (US Bancorp, SunTrust Bank, and Citibank) and six out of the top seven improvements were made by banks as well.

CxPi Results Across Industries

We also looked at the overall results for the 12 industries included in the CxPi.

Forrester's 2008 Customer Experience Index Results

The industry CxPi data shows that:

  • Retailers and hotels dominate. Two industries at the top of this year’s ratings, retailers and hotels, were the only industries to receive “good” average ratings. The two industries at the bottom of the list ended up with “very poor” CxPi ratings: health insurance plans and TV service providers.
  • Banks improved and TV service providers got worse. Comparing this year’s data with last year’s results, we found that four industries have improved while five had gotten worse. Banks made the largest improvement; increasing their average CxPi scores by 7%. The average CxPi scores for TV service providers, on the other hand, dropped by 7%.

The CxPi Methodology

This analysis was based on responses from 4,564 US consumers during October 2008. The Customer Experience Index (CxPi) was calculated as an average of the indices that came from consumer responses to the following three questions from an online survey:

  1. Thinking about your recent interactions with these firms, how effective were they at meeting your needs? (“Usefulness” rating)
  2. Thinking about your recent interactions with these firms, how easy was it to work with these firms? (“Ease Of Use” rating)
  3. Thinking about your recent interactions with these firms, how enjoyable were the interactions? (“Enjoyability” rating)

Consumers selected responses along a five-point scale – ranging from a very negative experience (1) to a very positive one (5). The individual indexes were calculated by taking the percentage of consumers who selected one of the top two boxes (4 or 5) and subtracting the percentage of consumers who selected the bottom two boxes (1 or 2).

In order to limit consumer feedback to organizations that consumers are familiar with, we only asked consumers about organizations that they’ve interacted with during the previous 90 days.

While we received feedback on many firms, the CxPi  only includes the 114 organizations that had at least 100 consumer responses.

The bottom line: There’s plenty of room to improve customer experience which will increase customer loyalty.

%d bloggers like this: