The boostCX Blog

Customer experience (CX) is much more than just a buzzword — it is an important factor in the success or failure of your business. In many ways, customer experience can be subjective, but with the right data and the right statistics, you can quantify the value of the customer experience. The numbers don’t lie and investing in customer experience leads to real results — from increased revenue to improved customer loyalty.

Here is a better look at our Top 25 Stats that Show the Value of Customer Experience created by the boostCX Team!

25 Customer Experience Statistics You Need to Know

Relevant statistics provide visual and quantifiable proof of the success of customer experience management strategies that your company may employ. A greater understanding of key metrics and industry benchmarks helps you and your business identify areas for improvement, allocate resources effectively, and demonstrate the impact of CX initiatives on the bottom line.

Why Are Customer Experience Statistics Important?

Customer experience statistics provide invaluable information on customer behavior, preferences, and expectations as they are related to your products and services. Analyzing these metrics can identify emerging consumer trends, anticipate the needs of your customers, and allow you to make data-driven decisions.

These statistics serve as a key indicator and will guide companies towards a better understanding of their customers and the factors that influence customer satisfaction. By analyzing customer experience statistics, businesses can take a proactive approach to the customer experience, identify potential issues, optimize customer journeys, and drive growth.

1. An estimated 84% of companies and businesses that work to improve their customer experience have reported increased profits and revenue
2. Data indicates that 87% of customers who experience excellent customer service will do business with that company again
3. Brands that put the focus on the customer versus products and services report profits that are 60% higher than businesses that do not put the customer first
4. 72% of customers that have a positive customer experience with a business will tell six or more people
5. When customers have a poor customer experience, an estimated 89% will choose a competing product or service
6. 80% of businesses and companies compete based on their customer experience
7. A positive customer experience is a key factor in purchase decisions for an estimated 73% of consumers
8. An estimated 90% of businesses — in a variety of industries — have reported that they have made customer experience a priority
9. 64% of customers have claimed that a great customer experience is more important than the price of products or services
10. Data has shown that 42% of customers are willing to pay more for goods and services if it involves a great customer experience
11. 96% of consumers have indicated that customer service is an important factor when related to brand loyalty
12. Personalization is key in retail and up to 80% of consumers are more likely to purchase products or services from a company when their experience is personalized
13. Companies that make customer experience a priority have more engaged employees and an estimated 79% of employees at those companies are moderately or highly engaged
14. Companies with engaged employees perform up to 147% better than companies that do not have an engaged workforce
15. 95% of customer interactions with a business are expected to be controlled by AI by the year 2025
16. An estimated 73% of customers appreciate businesses that ask for feedback and apply it to products and services
17. U.S.-based companies lose an estimated $62 billion each year due to bad customer experiences
18. Online customer service is important and an estimated 60% of customer touchpoints occur online
19. 67% of customers expect a resolution to their issue within 3 hours of reporting
20. An estimated 72% of customers prioritize immediate customer service
21. 48% of customers expect benefits for being a good and loyal customer
22. 80% of companies that have employed conversational AI have reported improved customer satisfaction
23. AI has the potential to increase productivity at a given business by as much as 40%
24. Up to 57% of businesses believe that chatbots provide an increased benefit for a minimal investment
25. 74% of customer service representatives believe that additional access to customer experience tools and data will allow them to personalize customer experiences

The power of customer experience is undeniable and understanding key customer experience statistics can help you make decisions based on hard data. To unlock the full potential of your customer data and elevate your customer experience strategy, we have created a list of our Top 25 Stats that Show the Value of Customer Experience.

In a competitive economic landscape your customer experience can make your business stand out from the competition. Companies that make customer satisfaction and loyalty a priority can discover hidden value and drive future success. With a strategic approach and the right customer experience management tools, businesses can improve customer experiences at every touchpoint to build a loyal customer base, drive growth, and build lasting relationships. boostCX is a leading customer experience management provider and we want to help you succeed with our list of the Top 5 Benefits of Creating a Great Customer Experience.

How Does a Great Customer Experience Benefit Your Business?

Are you working to improve the customer experience at your business? You may now know about all the ways that a great customer experience can set the tone for future business and benefit your company and your bottom line. An exceptional customer experience sets the foundation for business success.

By delivering memorable interactions at every touchpoint on the customer journey roadmap, businesses can promote brand loyalty, drive revenue, and build a strong brand identity. Happy customers are far more likely to become repeat customers and recommend your brand to their friends and family, leading to increased market share. In addition — a positive customer experience can improve employee morale and productivity, as satisfied customers create a more positive work environment and improve the employee experience.

1. Increased Customer Loyalty and Retention

Customer experience management is an essential tool for many businesses and leads to increased customer loyalty and higher retention. A consistent and exceptional customer experience leaves a lasting impression on customers and can foster stronger relationships. Loyal customers are more likely to make repeat purchases, become brand advocates, and provide valuable feedback down the road — driving long-term growth. Data indicates that a small increase of 5% to customer retention leads to a 25% to 95% increase in profits.

2. Creates Brand Advocates and Word-of-Mouth Marketing

A great customer experience creates brand advocates who drive word-of-mouth marketing. Satisfied customers who have a positive experience are more likely to share their experiences with friends and family, leading to increased brand awareness and new customers. In fact — an estimated 50% of customers who have a positive experience with a business are likely to share that interaction with friends or family and 72% are likely to share that positive experience with six or more people.

3. Higher Customer Lifetime Value

A superior customer experience is directly linked to increased customer lifetime value and an estimated 76% of companies consider customer lifetime value to be an important measurement of success. By delivering exceptional experiences time after time and building strong relationships with customers, businesses can encourage repeat purchases, upselling, and cross-selling opportunities. Important data has shown that it may cost businesses 5 – 25 times more to acquire a new customer than to retain a current customer — an important factor in lifetime value metrics.

4. Improved Customer Engagement

A great customer experience fosters deeper engagement and interaction with your customers. When customers feel valued and understood, they are more likely to actively participate in brand conversations, share feedback, and explore additional offers or services. This increased engagement leads to stronger relationships and an exceptional customer experience, and studies have shown that an estimated 86% of customers are willing to pay more for products or services if it involves a better experience.

5. Better Customer Churn Rates

A superior customer experience leads to customer loyalty and translates to reduced customer churn rates. When customers feel valued and enjoy a great customer experience, they are more likely to remain loyal to your brand and make additional and repeat purchases. Improved engagement builds stronger customer-business relationships and addresses customer needs effectively, which can significantly reduce customer attrition and protect your customer base.

Investing in creating a great customer experience has become imperative to business success and by prioritizing customer satisfaction and loyalty, businesses can unlock untold benefits. Learn more with our list of the Top 5 Benefits of Creating a Great Customer Experience and accelerate success for your company.

Measuring the return on investment (ROI) of customer experience (CX) initiatives is crucial for illustrating the value of customer experience management (CXM) strategies. Businesses that track key performance indicators (KPIs) that directly correlate with business outcomes can quantify the impact of their customer experience and their customer experience initiatives to make data-driven decisions. boostCX is a leading customer experience management provider and we hope that this look at the best KPIs to measure customer experience ROI will help you dive deeper into the numbers tied to customer experience management.

What Are the Best KPIs for Customer Experience?

To measure the effectiveness of customer experience strategies, businesses can track and analyze important KPIs. Metrics that can indicate the success of customer experience initiatives include Customer Satisfaction Score (CSAT), Customer Effort Score (CES), Net Promoter Score (NPS), Customer Lifetime Value (CLTV), and Customer Churn Rate. These metrics provide valuable insights into customer sentiment and loyalty that translate to business success. Continuously monitoring these KPIs helps companies identify areas for improvement, optimize customer journeys, and drive overall business success.

Customer Satisfaction Score (CSAT)

Customer Satisfaction Score (CSAT) measures customer satisfaction with a product, service, or customer experience and is important in many industries. Your CSAT is calculated by dividing the number of satisfied customers by the total number of respondents to your survey and provides a straightforward metric for evaluating customer experience management strategies. By tracking CSAT over a specific period of time, businesses can visualize the impact of customer experience initiatives and discover areas for improvement.

Customer Effort Score (CES)

Customer Effort Score (CES) measures how easy it is for customers to interact with a company. This metric can be calculated by asking customers to rate the difficulty of their experience on a scale and dividing the number of positive responses by the total number of responses and multiplying by 100 to create a percentage. Your brand’s CES provides insights into operational efficiency and customer satisfaction with a single metric. A low CES score indicates areas where processes can be streamlined, while a high score signifies a positive customer experience and tracking CES over time helps identify trends and quantify the value of current customer experience strategies.

Net Promoter Score (NPS)

Net Promoter Score (NPS) is an important business metric that measures customer loyalty and advocacy — which translate to future success. Your NPS can be calculated by subtracting the percentage of detractors (scores 0-6) from promoters (scores 9-10) based on survey results and it provides a simple metric for gauging customer satisfaction. In many industries — customer loyalty equates to long-term success and by tracking NPS over time, businesses can see the results of key initiatives that impact the customer experience.

Customer Lifetime Value (CLTV)

Customer Lifetime Value (CLTV) is a crucial metric for measuring the long-term profitability of customer relationships and customer experience management. Calculated by estimating the total revenue a customer will generate throughout their lifetime, CLTV helps businesses prioritize customer acquisition and retention efforts. Retail-based industries like e-commerce can calculate this metric by multiplying the average order value by the frequency of purchase and the estimated customer lifespan. Improved CLTV metrics indicate exceptional customer satisfaction and loyalty that translate to sustainable growth.

Customer Churn Rate

Customer churn rate is an important KPI in many industries that measures the percentage of customers who stop doing business with a company over a set period of time. Your customer churn rate can be calculated by dividing the number of lost customers by the total customer base within a specific period. Customer churn rate is a critical indicator of customer retention and increased retention means your current customers will continue to do business with you. A high churn rate can indicate underlying issues with the customer experience that require your attention. Reducing your churn rate via improved customer experiences can increase revenue and profitability.

There are many ways to track success and key performance indicators are important in many different business settings — but what are the best KPIs to measure customer experience ROI? By tracking and analyzing key performance indicators like — CSAT, CES, NPS, CLTV, and Customer Churn Rate — businesses can quantify customer experience success.

Many businesses are asking — what are the key advantages of investing in customer experience management? boostCX is here to help with a short list of the Top 5 Benefits of Customer Experience Management. Beyond keeping customers happy, a strategic customer experience management platform provides additional benefits. When you emphasize customer satisfaction at every touchpoint of the customer journey — no matter the industry — customer experience management solutions will unlock hidden value and boostCX is here to help.

What Are the Key Benefits of Customer Experience Management?

Happy customers are the key to business success and customer experience management (CXM) is an important tool in your customer service toolbelt. By prioritizing the customer journey, companies can improve customer retention, create brand loyalty, and increase revenue. A strong customer experience strategy leads to higher customer satisfaction, reduced customer churn rates, and positive word-of-mouth marketing that will help you grow your business and your profits. In addition — customer experience management helps build trust, foster customer advocacy, and differentiate your brand from competitors. Investing in CXM is an investment in long-term growth and profitability.

1. Increased Customer Retention

Customer experience management has a direct impact on customer retention. By delivering exceptional customer experiences, businesses can reduce customer churn rates and create loyalty among customers. Research indicates that a 5% increase in customer retention can increase profits by as much as 25% – 95%.

2. Improve Brand Loyalty

Improving the customer experience is essential for building customer and brand loyalty. By always delivering exceptional customer experiences at every touchpoint, businesses can increase customer satisfaction and turn customers into brand advocates and create word-of-mouth advertising. Studies of the customer experience illustrate that customers who have a positive experience are four times more likely to recommend a brand to potential customers.

3. Create Repeat Business and Increased Revenue

An exceptional customer experience has the potential to drive repeat business and revenue growth for your business. By exceeding customer expectations, businesses can build loyalty and encourage repeat purchases from their customers. Satisfied customers are much more likely to become repeat customers, which leads to increased revenue and long-term profits.

4. Builds a Brand Identity

A one-of-a-kind customer experience is synonymous with strong brand identity. To create a brand identity requires consistent delivery of positive interactions across all customer touchpoints that reinforce brand values and create a lasting impression. When customers feel valued, understood, and appreciated, they are more likely to become loyal customers and brand advocates, sharing their positive experiences with others. This word-of-mouth marketing is invaluable for building brand awareness and attracting new customers.

5. Builds Trust with Customers

Customer experience management is the foundation of a trusting business-customer relationship. By consistently delivering on the promise of a high-quality customer experience, addressing concerns promptly, and protecting customer data, businesses build a sense of reliability and security. When customers feel valued and understood, they are more likely to trust a brand and continue to do business with that company.

Investing in a customer experience management solution is important to business success and growth and this list of the Top 5 Benefits of Customer Experience Management created by boostCX highlights the value of a customer experience management provider. From improving customer retention and building brand loyalty to driving revenue growth and fostering trust, the benefits of a well-executed CX strategy are undeniable.