The importance of investing in customer experience
It is vital for businesses to invest in customer experience and introduce new technologies that align better to the needs and preferences of customers.
Hesitation to invest in CX transformation is understandable. It takes time and resources which leaders may prefer to allocate towards immediate targets, like sales growth or efficiency drives.
But you can’t afford to delay.
Dwindling customer loyalty has been a trend for over a decade. History tells us that businesses who prioritised customer service and experiences in the last recession realised 3 times the returns of those who did not. While customers who have excellent experiences have been shown to spend 140% more on services.
65% of financial services customers would use an app to pay a bill.CMS Wire
Customer experience is central to your ability to offer differentiated services which help your business to grow your share of a market where customer loyalty is in short supply. It doesn’t only contribute to your competitive advantage – it is a competitive advantage.
When you transform your digital infrastructure and meet your CX goals you can shape experiences to increase cross-sell opportunities and directly grow revenue.
Why invest in customer experience: insurance services
Let’s take an example from the insurance sector. Consolidating customer and business data into a single place which can be accessed by every system – and person – in the organisation provides a platform for automated upselling and cross-selling when customers purchase a policy. A modern CX approach helps you align your growth goals with your customers’ needs, using your business data as a reliable source of truth to inform your sales and marketing efforts.
Data governance is also about trust. If your teams can access the right data they can build a more realistic picture of your customers and operations. Meaning they can ask the right questions, and put the correct security steps in place. All of which help you continuously optimise your CX methodology and encourage greater engagement from your customers.
So, why invest in customer experience? The long and short is that making smart investments in platforms and strategies that support better CX are needed if organisations, from financial services to retail, want to build sustainable growth and acquire new customers.