20 Statistics to Understand the Rise and Value of CX
With customer expectations continually on the rise, customer experience (CX) has been a top priority for brands in recent years.
In this blog, we will look at 10 statistics that demonstrate the growth and prioritisation of CX for businesses in the past year and 10 reasons why investing in CX is proven to be worth it.
The Growth of CX:
- Global CX spending is set to reach $641 billion this year, an increase of over $130B since 2019.
- 90% of businesses, regardless of the vertical they are operating in, have stated that they have made CX their primary focus.
- The US CX market is expected to report a growth of 15% annually from 2021 to 2028.
- More than three-quarters of executives have stated that CX is now a top priority of theirs.
- More than half of B2C companies have now assigned a designated CX team – with the majority of teams being formed in the previous two years.
- Over 90% of companies have now appointed a Chief Customer Officer (CCO) or Chief Experience Officer (CXO) – an increase of 25% over the last 5 years.
- 86% of companies reported that they expect to compete on CX alone – a 50% jump since 2010!
- The majority (87%) of business leaders point to CX as their top growth driver.
- 67% of customers state that their expectations for CX are at the highest level they have ever been.
- Two-thirds of companies currently compete on CX alone.
The Return on Investment (ROI) of CX
From the above, it is evident that CX is front and centre for the majority of brands. But why are brands making the conscious decision to improve their CX? What’s in it for them?
- Consumers are willing to pay a 16% price premium in return for a superior customer experience.
- CX alone drives over two-thirds of loyalty – more than price and brand combined!
- Improving CX can reduce customer support costs by up to 33%.
- Customer spending increases by up to 140% following a positive experience.
- Companies that focus on improving their CX can expect a boost in revenue of up to 80%.
- Experience-Driven brands report almost 2x higher YoY growth in customer retention, repeat purchase rates and customer lifetime value than CX laggards.
- More than 70% of people state that they would recommend a product or service following a pleasant experience.
- CX leaders bring in almost 6 times more revenue than laggards.
- Customer-centric brands report profits that are 60% higher than those who fail to focus on CX.
- Experience-driven companies grow their revenue at a rate that is 1.4x faster than their competitors.
CX has become a top priority for businesses worldwide in recent years because the return on investment (ROI) is second to none.
The CX industry has grown rapidly over the last decade and it doesn’t look like it’s going to slow down anytime soon. Invest in your CX – you won’t regret it!