New research shows that organisations can differentiate themselves especially in terms of the emotional element of the experience. Up to 60% of customer loyalty is created by the customer’s emotional experience, according to Professor Lars Grønholt, CBS.
The study’s main conclusions are:
? Strong relationship between Customer Experience Management ability and financial performance Customer Experience Management generates increased differentiation. High differentiation improves the companies? ability to create high market performance and financial performance.
? Customer Experience Management contribute to create significant financial performance If Customer Experience Management is improved by 10% differentiation capabilities will increase by 9%, that subsequently will improve financial performance by 5%.
? Top management involvement and implementation of customer focus in all customer touch points are the most important Customer Experience Management dimensions The two dimensions account for more than 40% of the companies? ability to differentiate from competitors and are the starting point for better market performance and financial performance.
? A balanced emotional and rational customer experience creates better results
Overall, top performing companies balance rational and emotional elements when creating customer experiences.
You can request the full study from Stig Jorgensen & Partners here
This all fits very well with our own experience working with The Service Profit Chain
Read more about our approach to the Service Profit Chain here