SYDNEY – June 8, 2016 – Investing in your customer experience strategy has a significant financial impact on businesses, says a new study released by Avanade and Sitecore®. The study conducted with 880 decision makers in six countries, including Australia, found that for every dollar invested in improving the customer experience, businesses generated three dollars in return. In addition, they expect to see an 11 percent increase in revenue in the next 12 months.
The global research study focused on businesses’ customer experience strategy, its adoption, benefits, challenges as well as the importance of building a long-term relationship with customers. In fact, 65 percent of global respondents and 71 percent of Australian respondents expect further opportunities to improve profitability when they focus on improving the overall lifetime value of customers. As expected, an overwhelming 96 percent of both global and Australian respondents surveyed have or are developing a customer experience strategy. Also, 92 percent of those with a strategy in place, both in Australia and overseas, report that the customer experience strategy is one of their top three priorities.
The research revealed that competition and customer feedback were the main reasons behind prioritising a customer experience strategy. A full two-thirds of respondents said that competition made their organisation realise the need to prioritise customer experience, while 52 percent of global respondents and 60 percent of Australian respondents reported customer feedback as the driver. Interestingly, 46 percent of Australian respondents cited increased operational costs as a key driver for prioritising customer experience compared to 14 percent in Canada, 24 per cent in the UK, 13 percent in Germany, 31 percent in the US, and 42 percent in Singapore.
There are still several obstacles preventing businesses from delivering an effective customer experience. 48 percent of Australian respondents cited outdated services and systems Compared to 44 percent globally), while 49 percent cited a lack of internal skills (compared to 41 percent globally) , and more than half (52 percent compared to 39 percent) cited an inability to provide a seamless experience across different channels, according to the research.
“For Australian brands to truly succeed, they need to move beyond standalone marketing tools and shift marketing to their customers in context across every brand touchpoint no matter whether they’re targeting millennials or retirees,” said Scott Anderson, Chief Marketing Officer, Sitecore. “Companies need to understand that customer experiences are now built around knowing what each individual is trying to achieve at that very moment in time and create the right brand experience around those insights. In fact, by prioritising a customer experience strategy, almost half of those Australians surveyed have experienced increased customer loyalty over the past 12 months while more than one in three have increased their revenue, 23 percent have increased their profitability and 34 percent have increased both the retention and acquisition of customers.”
“Today’s digital customer has higher expectations than ever,” said Avanade Australia managing director Sarah Adam-Gedge. “In an increasingly hyper-connected world, brands need to challenge traditional business models and consider what can be done differently to attract, win and retain these empowered customers.”
“Whether increasing engagement with fans like our client Williams Martini Racing or reimaging an online brand experience like Treasury Wine Estates, innovative organisations recognise that digital transformation is essential to effectively meet and exceed the expectations of customers at every touch point, ensuring sustained revenue growth and competitive advantage.”
Read more about the Avanade and Sitecore partnership here: http://www.avanade.com/en/about-avanade/partnerships/sitecore> .
About the research
The study is based on a survey of 880 decision makers across the United States, Canada, United Kingdom, Germany, Australia and Singapore and conducted by Vanson Bourne in February and March 2016. Brand data reflects country, sector and size across 14 industries including financial services, retail, automotive, healthcare, media and communications and CPG. The results can be viewed here: www.sitecore.net/cxresults
Avanade leads in providing innovative digital services, business solutions and design-led experiences for its clients, delivered through the power of people and the Microsoft ecosystem. Our professionals combine technology, business and industry expertise to build and deploy solutions to realise results for clients and their customers. Avanade has 28,000 digitally connected people across 23 countries, bringing clients the best thinking through a collaborative culture that honors diversity and reflects the communities in which we operate. Majority owned by Accenture, Avanade was founded in 2000 by Accenture LLP and Microsoft Corporation. Learn more at www.avanade.com
Sitecore is the global leader in experience management software that enables context marketing. The Sitecore® Experience Platform™ manages content, supplies contextual intelligence, and automates communications, at scale. It empowers marketers to deliver content in context of how customers have engaged with their brand, across every channel, in real time. More than 4,600 customers—including American Express, Carnival Cruise Lines, easyJet, and L'Oréal—trust Sitecore for context marketing to deliver the personalised interactions that delight audiences, build loyalty, and drive revenue. For more information, follow us at @sitecore or visit sitecore.net
Sitecore is a registered trademark of Sitecore Corporation A/S and/or its subsidiaries in the USA and other countries. All other brand names, product names or trademarks belong to their respective holders. Sitecore reserves the right to alter product and services offerings, and specifications and pricing at any time without notice.
© 2016 Sitecore Corporation A/S. All rights reserved.
CSO Perspectives Roadshow Interview - Silas Barnes, Group Chief Information Security Officer, Virgin Australia Group
CSO Perspectives Roadshow 2017 Showreel
CSO Perspectives Roadshow Interview - Jeff Lanza, Retired FBI Agent (USA)
CSO Perspectives Roadshow Interview - Mark Loveless "Simple Nomad" Senior Security Researcher at Duo Security
Panel Session sponsored by VMware, Application Security: Does moving your applications to the Cloud mean reduced risk or just relocated risk?