After all these years of being told that customer experience was fluffy and held little commercial value, we can now show proof that there’s a hard benefit to creating great customer experiences.
Watermark Consulting took Forrester’s annual customer experience Index and compared the return over five years of investing in the top 10 versus the bottom 10 ranked companies for customer experience. The results were staggering. in the five-year period 2007 – 2011 the leaders outperformed the broader stock market by 27% over the S&P 500 and 128% over the companies considered customer experience laggards.
What this means for all of us is that what we assumed was common sense really does bear out in hard numbers. But it’s necessary to take the long view. It’s essential to see the benefit of customer experience beyond reduced average handling time or an NPS score. Now we have to take a holistic view of what it means to the enterprise as a whole and to the brand.
If you treat your customers with the respect and service they deserve and want there will be a direct benefit to your share price. And that’s the bottom line.