Happy customers are engaged and loyal. Many of them act as brand advocates, happily promoting businesses without monetary or incentive compensation. Temkin Group’s customer service statistics showcase that after enjoying a positive experience with a company, 77% of customers would recommend it to a friend. In addition, 72% of customers share their positive experiences with six or more people, which showcases just how impactful a positive customer experience can be.
But that’s not all. Recommendations from friends and family are one of the most potent forms of advertising. Nearly 83% of online respondents in 60 countries say they trust recommendations from friends and family and buy from businesses they recommend.
As you can see, engaged existing customers can bring in new clientele, help you boost brand loyalty, and ultimately generate more revenue. In support of this statement, Rosetta states that engaged customers spend 300% more over the course of a year than non-engaged customers. Moreover, increasing customer retention rates by a mere 5% can increase profitability between 25% to 95%. For the sake of comparison, a 2% increase in customer retention is the same to profits as cutting costs by 10%.
But engaging your customers isn’t enough. Your employees need to be involved as well so they can create memorable experiences and drive more sales. By increasing employee engagement by just 10%, organizations can increase profits by $2,400 per customer service representative per year.
To showcase the power of engagement and positive experiences further, consider this example; a company with $1 billion annual revenue can increase revenue by $823 million in 3 years with a moderate increase in customer experience. However, to reap the benefits of excellent service, you first need to become a top-performer in NPS by meeting customer service benchmarks and increasing your NPS to 41% or higher.
over the course of a year.
Organizations can increase profits by
per employee per year by increasing employee engagement by just 10%.
A company with $1 billion annual revenue can increase revenue by
million in 3 years with a moderate increase in CX.
increase in customer retention is the same to profits as cutting costs by 10%.
Increasing customer retention rates by
increases profits by 25% to 95%.
Harvard Business Review
After having a positive experience with a company,
of customers would recommend it to a friend.
Top-performing brands have an average NPS score of
increase in customer retention can produce 25% more profit.
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