The quality of a customer's experience with a company may be more closely related to the business' revenue than expected, according to new findings released by Forrester Research. The company's study on customer satisfaction and loyalty revealed a direct correlation between experience and a consumer's willingness to keep spending money or spend more with a given company, according to Smart Planet.
Overall, "The Business Impact Of Customer Experience, 2012" established that higher customer experience scores yield more loyalty, increase the likelihood of word-of-mouth recommendations and ultimately, raise incremental revenue, the source reports.
The impact of customer experience on hotels is $1.36 billion and $1.3 billion for wireless carriers, Forrester found. Hotels earned roughly $825 million in extra revenue from retaining customers that could have gone elsewhere to spend their money. Wireless carriers brought in $788 million from this potential new revenue.
One of the most important elements in providing high-quality customer experience is engaging with employees, according to Business 2 Community. Companies that do not have loyal employees are less likely to have loyal customers because the service experience won't be as good. Additionally, U.S. customers are now willing to spend more with brands that provide outstanding service, Jim Bush, executive vice president of world service at American Express told the source.