WAKEFIELD, Mass. – More than 80% of retailers plan to increase their customer experience spending in 2015, according to a new survey from SDL, a provider of global customer experience, and Econsultancy.
Findings from the online survey, called The Retailer’s Imperative: A Strategic Approach to Customer Experience, reveal that North American retailers are past the stage of debating the importance of customer experience management and are now trying to master it, according to a report from Chain Store Age.
“Mastery of the customer experience is a challenge with many facets. Retailers are overwhelmed by the complexity of data, technology and understanding of the customer journey,” stated Paige O’Neill, CMO at SDL. “Our latest research indicates that North American retailers are acutely aware of their technological shortfalls when it comes to creating a seamless, personalized customer experience across multiple channels.”
The online survey, which was sent to more than 225 senior marketers at North American retail companies with annual revenues of more than $100 million, revealed some key findings.
Increasingly, companies understand the importance of delivering a superior customer experience. The combination of intense competition, more demanding customers and an increasing range of channels mean that organizations have to continually improve the service they offer to consumers if they are to retain business — regardless of the sector they are in.
The vast majority (80%) of retailers surveyed are increasing their customer experience budgets, and a third are planning a significant increase of more than 10% from their current level. None of the respondents have plans to reduce their customer experience commitment in the year ahead.
While many retailers view customer experience as a tool for higher conversion and retention, they do not necessarily see the connection to acquisition. According to the survey, this is an important disconnect, and one that creates a competitive advantage for those focused on content and social marketing.
Most retailers point to product offerings (54%) and price (45%) as their primary methods for attracting new customers. And for 45% of retailers, content is a tool to grow their audience, often in tandem with social reach. According to the survey, 97% of retailers cite integration of customer experience technology as “important” or “essential” to their growth. Yet only 40% describe their relevant systems as integrated and cross-functional, revealing a significant gap between the industry today and where it needs to go.
Mobile commerce is among the fastest-growing segments in retail, and more than half of retailers surveyed say they have a strong understanding of the mobile-user experience. However, only one-third of retail marketers (35%) believe they can differentiate using mobile.