A recent survey conducted by Gallup has revealed that what consumers really want is a valuable customer service experience. The State of the American Consumer focused on the retail, banking, and hospitality sectors, gathering responses from more than 18,000 adults across the U.S., and found that personal attention has a great impact on engaging consumers.
That engagement, in turn, results in increased profits for businesses. According to the report, fully engaged customers make up an average 23 percent premium when it comes to profitability, relationship growth, and revenue, while actively disengaged customers represented a 13 percent discount in terms of profits, relationships and revenue. Indeed, the effect of consumer engagement is so great, the survey found, that companies that engage their customers and employees enjoy a 240 percent boost in performance based business outcomes.
Actively engaged consumer electronics shoppers, for example, make 44 percent more store visits in one year compared to their disengaged counterparts. These shoppers, on average, spent $373 during these shopping trips, while disengaged shoppers spent $289.
Companies should focus on valuing customers, employees
The report gave some insight into how companies can improve their customer experience to engage shoppers. First and foremost, businesses need to focus on customer service – retail banking customers who said they receive “exceptional services” were 29 percent more likely to be distinctly engaged than other consumers.
Companies can improve their customer service plans by treating individuals as valued guests, which will pay off in profits. Hotel guests, for example, were found to be most engaged when treated as valued individuals – but less than 50 percent said they actually felt valued, showing an opportunity for growth in the hospitality sector and beyond.
Gallup said that, in order to fuel consumer engagement, companies should focus on creating a brand promise and sticking to it. A brand promise allows a company to deliver its message effectively, whether through physical or virtual channels. The study further suggested that companies focus on internal engagement by investing in valuable new hires, personal development, and engagement tactics, as engaged employees will put more effort into their work, including customer service. Decision makers who want to increase their revenue have to start from within, the study stated, focusing on smart hiring and staff training.
Leading training sessions, whether in customer service or the latest in mobile technology, can be expensive. Those who are interested in making business gains should contact National Funding to find out more about small business loans and other financial options.