8/8/2019 08 CustSatisfaction Report FINAL
1/20
High Perormance in theAge o Customer Centricity
Tuning in to todays consumerAccenture 2008 Global Customer Satisaction Report
8/8/2019 08 CustSatisfaction Report FINAL
2/20
3 Hearing Today's Consumer
Customer
Centricity
8/8/2019 08 CustSatisfaction Report FINAL
3/20
Accenture 2008 Global Customer Satisfaction Report 3
For the past our years, Accenture has
surveyed consumers about their current
perceptions o and recent experiences
with customer service. This research
provides an annual reading on how well
companies are meeting the expectations
o consumers around the world.
We began by surveying consumers in
the United States and United Kingdom,
in both 2005 and 2006. By 2008, we
had expanded our research to include
4,189 consumers in Australia, Brazil,
Canada, China, France, Germany, India,
the United States and United Kingdom.
One o the key insights gleaned rom this
research over time has been the steadyincrease in what consumers expect rom
customer service. In this years survey,
our respondents again reported their
expectations are higher now than they
were ive years ago, and higher than
they were just 12 months ago.
Nowhere has this phenomenon
been more evident than in emerging
markets, and in 2008, the trend was
more pronounced than ever: 84 percent
o survey respondents in China, Indiaand Brazil reported their expectations
are higher now than they were ive
years ago. Sixty percent said their
expectations are higher today than just
12 months ago.
One positive sign: this year 58 percent
o our respondents described the
quality o customer service as good
or excellent. However, a closer look
suggests all is not well: ully hal o
respondents in the important emerging
markets described the service they have
experienced as air, poor or terrible.
Moreover, when asked how oten their
expectations were met in the pastyear, more than hal (55 percent) o all
respondents chose never, rarely or only
sometimesa signiicant increase rom
47 percent in the prior year. Several
countriesCanada, France, China and
Brazilalso reported a notable decrease
in how oten their expectations are met,
and in the emerging markets, 64 percent
reported their expectations were met
only sometimes, rarely or never.
The most startling inding rom this
years survey: two o every three
respondents globally67 percent
switched companies in at least one
industry sector at least once in the
past year due to a poor customer
service experience.
This is the highest level o switching
reported in all our years we have
conducted this survey.
Underscoring this sharp rise in
switching is the overall erosion in
customer loyalty: ully hal o the
consumers reported that they switched
providers in multiple industry sectors
during the year, taking an average o
$4,000 worth o business with them,
by their own estimate, each time they
switched providers.
The disparity is striking between
how respondents described customer
service quality and how oten they
let because o it. Even consumers
who described the quality o customer
service as above average did not appear
to be more loyal to their providers.
Our analysis suggests that how oten
consumers elt their real expectations
were met appears to be a better
indicator o their likelihood o leaving
or remaining loyal.
In addition, while most respondents
described overall service quality as
above average, we ound a signiicant
gap between the speciic service
eatures they said were most importantto them and how satisied they were
with those eatures. Similarly, we ound
that many o the service experiences
they ind most rustrating happened to
them quite oten.
Our conclusion: it takes very little
today to persuade a customer to
leave, even one who views customer
service as above average. Increasingly,
it seems, what some providers may
consider good enough when it comesto customer service is not nearly good
enoughand these organizations
may need to develop more sensitive
antennae or tuning into what todays
consumers expect and value, and
learning what it takes to reach and
retain them.
Executive Summary
8/8/2019 08 CustSatisfaction Report FINAL
4/20
4 High Performance in the Age of Customer Centricity4 High Performance in the Age of Customer Centricity
In this period o rapid commoditization
and globalization, customer loyalty is
under siege. Increasingly, organizations
ind that competitive advantages
based on price or innovation have a ar
shorter liespan, and can be challengedby providers rom virtually anywhere in
the global market.
The economic uncertainty that now
permeates the business environment
provides urther incentives or
recalibrating competitive strategies,
to ward o threats to proitable
relationships and minimize the cost
o developing new ones. In act,
our research suggests that even
in challenging economic times, a
customer-centric experience remains a
powerul orce or retaining and even
attracting customersin some markets,
stronger even than price.
Accentures high perormance business
research has ound that leading
organizations enhance customer loyalty
by mastering speciic activities. O
these activities, our research shows,
providing a consistent, dierentiated
customer experience has the most
impact on customer loyalty, which in
turn contributes to growth, proitability
and shareholder value.
Behind the Research:Why Customer Centricity Matters
Using the customer experience as
a springboard to high perormance,
however, is ar rom simple. With
their heightened expectations,
expanded choices and lowered
tolerance or inconvenience,consumers are inherently less loyal.
They are also becoming more diverse,
demographically and behaviorally, and
they expect providers to recognize and
cater to these dierences.
To locate new sources o growth and
sustain business perormanceat
any phase o the economic cycle
organizations must become more in
tune with todays consumerswho
they are, how to reach them and whatkind o experience they expect.
8/8/2019 08 CustSatisfaction Report FINAL
5/20
Accenture 2008 Global Customer Satisfaction Report 5
Respondents rated servicequality less avorably in2008 compared to 2007.With the exception o Brazil and France,
respondents in all countries sampled
perceived service quality less avorably
in 2008 compared to 2007. In 2008,
42 percent o our global respondents
described the quality o customer service
as terrible, poor or air, compared to just
39 percent in 2007.
Despite the perceived decline in service
quality, the majority o respondents
perceived the quality o customer service
overall as good. Respondents in the
United States rated service quality the
highest; respondents in China, Brazil
and Germany rated it the lowest (Figure
1). In general, respondents in emerging
markets were less positive about service
quality than those in mature markets.
The perceived quality o service variedwidely by type o provider. Banks
were seen most oten as providing
satisactory serviceaccording to 51
percentand were the only sector
that received a majority o positiveevaluations. The industries delivering
the least satisying service were hotels,
airlines and lie insurers (Figure 2).
Consumers in India and Canada were
the most likely to view all types o
companies as providing satisactory
service while those in Brazil and the
United Kingdom were least likely.
These results also closely matched our
2007 indings. Year over year, wireless
phone service providers were the
one category that posted a notable
improvement in perceived served quality.
Furthermore, consumers rom most
countries believed that companies in
most industries became more ocused
on customer service during the past
two yearswith banks making the most
improvement in service quality. Hotels
also made signiicant strides, with 43
percent reporting that this industryhad become more ocused on service
compared with only 7 percent reporting
it had become less ocused (Figure 3).
Most customers do notbelieve their expectationsare met most o the time.While respondents ound the quality
o service to be reasonably high, the
majority o respondentsparticularly
those in Brazil and Chinaalso said
companies were alling short o their
expectations. In act, more than hal
globally said their expectations were
met never, rarely or only sometimes.
Indeed, ewer consumers in 2008 thanin 2007 reported their expectations
were requently or always met: 45
percent versus 53 percent, respectively
(Figure 4).
Once again, the most positive responses
came rom Anglophone countries:
United States, India, Canada, Australia
and the United Kingdom. Yet even in
the United States, the country with
the most positive results, expectations
were satisied requently or no more
than 50 percent o respondents.
Key Findings rom 2008Research
8/8/2019 08 CustSatisfaction Report FINAL
6/20
6 High Performance in the Age of Customer Centricity
Figure 1.Overall, how would you rate the quality of service youve received from most companies?
Global Overall
Consumers in France and Germany
were slightly below the global average,while consumers in China and Brazil
delivered the lowest average ratings o
all countries polled. In act, these two
countries had the highest percentage o
consumers indicating their expectations
were rarely or never met. And in China,
there was an especially large change in
consumers perceptions: The percentage
o consumers in China believing their
expectations were requently or always
met dropped rom 70 percent in 2007to just 32 percent in 2008.
Consumer expectationsare rising every year.Also concerning is the act that
consumer expectations or service
continues to rise. Nowhere is this
more evident than in the emerging
economies we surveyed, suggesting
that companies looking to make
inroads in those markets may have towork even harder to ensure consumers
eel their expectations are being met.
One-third o our respondents globally
indicated their service expectations arehigher today than they were one year
ago. Even more dramatic is the change
over the past hal-decade, with 52
percent o respondents reporting higher
service expectations today compared
with ive years ago.
The most precipitous increase during
the past 12 months occurred among
consumers in China and India, while
the biggest jump in the past ive
years was seen among those in India
and Brazil. Even mature markets,
though, are clearly experiencing higher
expectations, i less dramatically than
the emerging markets (Figure 5).
We also ound that consumers overall
expect the quality o service they
receive to be commensurate with their
spending with a particular company.
In act, 73 percent o our global
sample in 2008 indicated they expectbetter service rom a company when
they increase their spending with or
purchase more requently rom that
company. This sentiment was most
prevalent in China, India and Brazil,and least pronounced in the United
States and United Kingdom.
What kinds o improvement do
consumers expect? Seventy-six
percent o consumers globally said
they expected some type o reward
or being a good customerup rom
approximately 50 percent in 2007.
Fity-nine percent desired aster service
or quicker responses to their inquiries,
while just under hal (47 percent) said
they wanted service agents to know
more about them and be able to cater
to their individual preerences.
Consumers in Brazil, India and China
were ar more likely than counterparts
in other countries to say they expect
aster service and to want services not
available to other consumers. Also,
consumers in these countries tended to
be more interested than those in Europeand North America in having direct
access to more experienced and skilled
customer service agents.
US 3.7463% 7%27%3%
India 3.667%3% 34% 56%
Canada 3.634%5% 31% 60%
UK 3.604%4% 37% 55%
Australia 3.595%5% 37% 53%
France 3.571%3% 43% 53%
China 3.513%3% 58% 36%
Brazil 3.383%14% 36% 47%
Germany*
Scale: 1 5
3.292%9% 55% 34%
Poor/Terrible Fair Good Excellent
GlobalAverage
Averages
* Not included in 2007 sample
3.6255% 6%35%4%
3.575% 37% 54% 4%
Averages
2007
2008*
Poor/Terrible
Fair
Good
Excellent
* Includes India and Germany
Scale: 1 5
By Country
8/8/2019 08 CustSatisfaction Report FINAL
7/20
Accenture 2008 Global Customer Satisfaction Report 7
Figure 2.In the past year, which of the following types of service providers, if any, have companies that you switched away from
because of poor customer service? (Multiple mention)
Figure 3.
Do you believe these industries have become more focused or less focused on customer service over the past two years?
Global
2008
Global
2007
India Canada US China Australia France Germany Brazil UK
Banks 51% 50% 56% 59% 59% 46% 54% 48% 50% 37% 46%
Internet service providers 39% 37% 37% 51% 43% 28% 48% 41% 28% 32% 39%
Retailers 37% 34% 27% 45% 44% 19% 40% 26% 31% 32% 44%
Wireless/cell phone 29% 23% 38% 33% 39% 31% 23% 31% 31% 20% 19%
Home telephone 29% 26% 33% 44% 31% 21% 36% 22% 33% 19% 28%
Cable/satellite television 28% 26% 31% 42% 42% 11% 17% 13% 11% 24% 29%
Utility companies 27% 23% 29% 35% 33% 15% 28% 28% 15% 25% 24%
Hotels 24% 20% 27% 25% 24% 27% 26% 14% 24% 34% 22%
Airlines 22% 21% 33% 25% 18% 31% 33% 12% 20% 22% 20%
Life insurance providers 15% 12% 36% 21% 15% 14% 13% 12% 11% 11% 10%
Utilitycompanies
Airlines
30%
41%
-15%
Home telephoneservice providers
36%
44%
-15%
Banks
37%
47%
-11%
Wireless/cellphone companies
49%
36%
-7%
Retailers
43%
25%
Internet serviceproviders
-17%
-21%
Cable/satellitetelevision service providers
-16%
-21%
Life insuranceproviders
Hotels
-15%
-18%
Become more focusedBecome less focused
8/8/2019 08 CustSatisfaction Report FINAL
8/20
8 High Performance in the Age of Customer Centricity
Are companies allingshort where it mattersmost?Many actors contribute to the customer
service experiencerom the channel
to the service agent to the time it
takes the customer to resolve his or her
issue. Based on input rom consumers
surveyed, it appears that companies
in general are not perorming at a
consistently high level in the areas that
matter most to consumers.
For example, consumers clearly told us
which customer service channels they
preer to useand where they believe
providers are alling short. As was the
case in 2007, calling or assistance is
ar and away the channel preerred by
the largest percentage o consumers
globally in 2008 (approximately 85
percent both years). However, most
consumers did not ind the service they
experienced by phone to be especially
satisying. Only about one-third o
consumers in Germany, Australia andthe United Kingdom, only one-ourth o
those in Brazil, and about 20 percent
in France said they are satisied or very
satisied with the service they receive
over the telephone.
We also presented participants with a
list o speciic service characteristics
and asked them to indicate how
important each characteristic was to
them, and how satisied they were with
each. The results showed a signiicant
gap between the level o importance
and the level o satisaction or every
characteristic (Figure 6).
For instance, the characteristic seen
by consumers as most important
was having employees who are
knowledgeable and well-inormed,
which received an average rating
o 4.67 (on a scale o 1=not at all
important to 5=extremely important).However, consumers rated their
satisaction with this characteristic
a 3.26 (using a scale o 1=not at allsatisied to 5=extremely satisied)a
gap o 1.42.
Similarly, the amount o time
consumers have to wait to be served
received an average importance score
o 4.48, but an average provider
perormance score o 2.68a gap o
1.8. We saw this pattern across all 11
characteristics, indicating companies
at least in consumers eyeshave
much work to do to improve their
perormance in the areas that count.
As was the case with other questions,
there were some distinct dierences
among consumers in various countries
in their perspectives on the 11 service
characteristics covered in the survey
in some countries, major gaps exist
between importance and perormance
or virtually every service characteristic
(Figure 7).
Figure 4.How often do companies meet your customer service expectations?
By CountryGlobal Overall
US
2007
2008
2007
2008
2007
2008
2007
2008
2007
2008
2007
2008
2007
2008
2008
2008
53% 5%37%5%
India*
3%6% 41% 50%
Canada
5%7% 45% 43%
Australia
2%5% 36% 57%
UK
2%8% 40% 50%
Germany*
3%7% 45% 45%
France
1%6% 46% 47%
China
2%7% 45% 46%
44% 1%48%7%
2%9% 48% 41%
3%6% 46% 45%
2%9% 56% 33%
4%3% 28% 65%
3%12% 56% 29%
4%13% 54% 29%
3%14% 58% 25%
Brazil
Never/Rarely Sometimes Frequently Always
Movement: Good/Excellent
* Not included in 2007 sample
Scale: 1 5
3.3949% 4%42%5%
3.508% 47% 43% 2%
Averages
2007
2008*
Never/Rarely
Sometimes
Frequently
Always
* Includes India and Germany
Scale: 1 5
8/8/2019 08 CustSatisfaction Report FINAL
9/20
Accenture 2008 Global Customer Satisfaction Report 9
3.4434% 19%28%20%
3.2022% 26% 34% 18%
2007
2008*
3.2527% 6%56%12%
3.4113% 56% 26% 5%
Average
2007
2008*
Scale: 1 5
18%
22%
22%
23%
24%
25%
44%
67%
68%
23%
31%
34%
21%
27%
48%
75%
US**
Australia**
France**
Germany*
Germany
Canada
UK
Brazil
India*
China**
35%
41%
48%
51%
44%
48%
76%
85%
89%
44%
54%
59%
45%
49%
48%
93%
US **
Australia**
France**
Canada
UK
Brazil**
India*
China
*Not included in 2007 **Where shift of Higher (Much + Slightly Higher)between 2007 & 2008 is > 5%
Movement: 2007/2008
2007 2008
Figure 5.How have your customer service expectations changed as compared to 12 months and 5 years ago?
Global Overall
Compared to 12
Months Ago:
Compared to 5
Years Ago:
By Country [Higher (net)]
8/8/2019 08 CustSatisfaction Report FINAL
10/20
10 High Performance in the Age of Customer Centricity
Figure 6.Importance of service dimensions vs. satisfaction with quality of service received: All respondents
4.48
2.68
4.44
3.29
4.44
2.97
4.17
3.33
4.05
3.18
3.78
3.02
4.67
2.86
4.26
3.00
4.41
2.94
4.49
3.51
4.57
3.25
Importance
The amount of time I have to waitto be served
Low High
Having customer service availableat convenient times
The amount of time it takes tocompletely resolve my issue orproblem
Being able to access customerservice using multiple channels
The amount of time it takes toread and understand information
the company sends me
Being able to resolve questions/issues on my own, without speakingto a service agent
Having employees who areknowledgeable and well-informed
Having employees who are politeand friendly
Having service people who take
ownership of my issue and see itthrough to resolution
Having customer service people whocan deal with my issue without havingto refer it to another person
Having customer service people whoknow me and my history based oninformation I have previously providedso I dont have to repeat myself eachtime I talk to someone
Mean Scores
Satisfaction
0 1 2 3 4 50 1 2 3 4 5
General
Characteristics
CompanyRepresentatives
8/8/2019 08 CustSatisfaction Report FINAL
11/20
Accenture 2008 Global Customer Satisfaction Report 11
Figure 7.Gap between Importance and Satisfaction: By country
In addition to asking consumers about
service characteristics, we exploredhow consumers elt about various
customer service shortcomings. We
presented participants with a list
o shortcomings and asked them to
indicate how rustrating they ound
each (using a scale o 1=not rustrating
at all to 5=extremely rustrating) as
well as how requently they experience
each (on a scale o 1=never to
5=requently).
Ten o the 12 shortcomings were seen
by consumers as rustrating. The most
rustrating was being kept on hold or
a long time while contacting service
(an average rating o 4.47), ollowed
by having to contact customer service
multiple times or the same reason
(4.44), having to repeat the same
inormation to multiple service agents
(4.40), and dealing with customer
service agents who cannot answer
customers questions (4.37). The least
rustrating or consumers were havingto complete a lot o paperwork or
electronic orms (3.79) and not being
able to understand inormation the
company sends customers (3.69).
Unortunately or companies,
consumers also told us that they tend
to encounter the most rustrating
shortcomings airly requently (Figure
8). In act, o the our most commonly
encountered shortcomings, three
were seen by consumers as the most
rustrating: being kept on hold or a
long time while contacting service,
having to contact customer service
multiple times or the same reason and
having to repeat the same inormation
to multiple service agents.
Once again, country dierences are
evident in this set o data, and illustrate
where companies appear to be having
the most trouble avoiding placing
consumers in rustrating servicesituations. The biggest challenge
seems to be in Brazil, where consumers
reported they requently encounter
shortcomings the vast majority o
them ind rustratingespecially being
kept on hold or a long time, having to
repeat the same inormation to multiple
agents, having to talk to multiple
agents to resolve a single issue, and
having to contact customer service
multiple times or the same reason.
In both analyses, the results point
out a prevailing lack o customer
centricityservice designed
around what truly matters most to
consumersthe economic impact
o which is considerable.
Total US Canada Australia India China Brazil France Germany UK
Total US Canada Australia India China Brazil France Germany UK
0.0
0.5
1.0
1.5
2.0
2.5
Having customer service availableat convenient times
The amount of time I have to waitto be served
Being able to resolve questions/issues on my own, withoutspeaking to a service agent
Being able to access customerservice using multiple channels
The amount of time it takes toread and understand informationthe company sends me
The amount of time it takes tocompletely resolve my issueor problem
Having employees who arepolite and friendly
Having employees who are
knowledgeable and well-informedHaving customer service peoplewho can deal with my issuewithout having to refer me toanother person
Having customer service peoplewho know me and my historybased on information I havepreviously provided
Having service people who takeownership of my issue and see itthrough to resolution
0
5
0
5
0
5
General Characteristics
Company Representatives
8/8/2019 08 CustSatisfaction Report FINAL
12/20
12 High Performance in the Age of Customer Centricity
Figure 8.Customer service frustrations vs. frequency with which they are encountered overall
Figure 9.Percentage of respondents who switched due to poor customer service
3.79
4.47
3.60
4.40
4.10
3.47
4.29
3.44
3.44
4.44
3.33
4.37
3.00
4.18
2.86
3.69
2.74
4.26
2.75
4.08
2.77
3.79
2.78
4.19
EncounterFrequency
Being on hold for a long timewhen contacting customer service
Low High
Having to repeat the same information
to multiple customer service agents
Having to talk to multiple customerservice agents while trying to resolvea single question/issue
Having to contact customer servicemultiple times for the same reason
Having to wait for a response afterIve requested customer service
Dealing with customer service agentswho cannot answer my questions
Running into technology issues
that get in the way of my goals
Running into business policies thatget in the way of my goals
Having to complete a lot of paperworkor electronic forms
Being sold other products when Icontact customer service
Dealing with customer service agentswho are unfriendly or impolite
Not being able to understandinformation the company sends me
Global Customer Service Survey: Q14 and Q15
Mean Scores
Frustration
0 1 2 3 4 5
46%
42%
37%
36%
33%
24%
21%
17%
14%
13%
9%
Retailers (e.g. grocery stores,department stores)
BanksInternet service providers (e.g.dial-up and broadband services)
Home telephone serviceproviders
Wireless/cell phone companies
Cable/Satellite televisionservice providers
Utility companies (e.g.electricity, gas, water-related)
Hotels
Airlines
Life insurance providers
Other
* Analysis excludes Prefer not to say responses (n=101)
By Service Provider By Country
US
India
95%
Canada
90%
Australia
86%
UK 64%
Germany
64%
France
64%
China
63%
55%
52%
Brazil
8/8/2019 08 CustSatisfaction Report FINAL
13/20
Accenture 2008 Global Customer Satisfaction Report 13
Consumers let companiesin a larger proportionthan ever as a result opoor customer service.The overall lack o customer centricity in
customer service appears to be havingsigniicant consequences: in 2008, survey
respondents abandoned companies due
to poor service at a higher rate than
ever reported in the our years we have
conducted this survey.
In act, 67 percent o all consumers
surveyed in 2008 said they have
switched at least one provider in
any industry in the past year due to
poor customer service. This igure
is substantially higher than the 59percent recorded in 2007 and the 52
percent cited in 2006.
Consumers in China, Brazil and India
appear to be the most disaected, with
95 percent, 90 percent and 86 percent
o consumers, respectively, indicating
they have let at least one company
due to bad service. Conversely, those in
France and the United States exhibited
the most loyalty in our sample, with
only 52 percent and 55 percent,
respectively, saying they had made a
switch. Still, even at the bottom o the
list, the act that more than hal o the
consumers polled said a bad serviceexperience had driven them away
should be concerning to businesses
everywhere.
The types o companies most requently
let by consumers globally are retailers
(likely because o the ease o switching
and the myriad o alternatives rom
which to choose), ollowed by banks,
Internet service providers and home
telephone service companiesdespite
those enterprises being atop the list
o companies most requently cited by
consumers as providing satisactory
service (Figure 9).
The least-requently switched
companies, according to survey
participants, are hotels, airlines and
lie insurance providers. Its interesting
to note that lie insurance providers
were cited least oten as the type o
company consumers have switched
in the past year, despite the act that
such companies were seen by just 15
percent o consumers as providing
satisactory customer service. This,again, supports the notion that even
when consumers believe the service
quality is good, it will not help win
their loyalty i its not meaningul and
relevant to their expectations.
The total value o the business that
consumers in our sample switched
due to poor service over the prior year
exceeded, by their estimate, $31 million.
Respondents estimated the average value
o the business they took with them each
time they switched at $4,000; with a
total per-consumer average o $11,600
switched or the year.
8/8/2019 08 CustSatisfaction Report FINAL
14/20
14 High Performance in the Age of Customer Centricity
Figure 10.Globally, respondents who switched providers did so more often due to the poor quality of the customer experience than
because they found a better price somewhere else. This trend varied somewhat by country.
Customer service representatives lack
of knowledge
Customer-service technologies that
delay or stop service
Company policies that create bureaucracy
Lack of customized solutions
Overall poor quality of the customer
experience
Get a lower price elsewhere
68%
53%
45%
40%
39%
38%
Global Overall
Germany Australia UK France* Brazil Canada US China India
Get a lower price elsewhere 59% 59% 58% 57% 56% 56% 47% 45% 45%
Overall poor quality of the
customer experience49% 75% 73% 44% 62% 74% 74% 66% 71%
Customer service representatives'
lack of knowledge44% 42% 41% 39% 58% 47% 43% 43% 59%
Company policies that create
bureaucracy35% 37% 29% 28% 72% 43% 35% 56% 39%
Lack of customized solutions 45% 34% 24% 46% 55% 29% 30% 67% 50%
Customer-service technologies
that delay or stop service48% 31% 27% 41% 51% 30% 30% 55% 51%
* Switched more oten due to price than due to poor customer experience
Least price sensitiveMost price sensitive
8/8/2019 08 CustSatisfaction Report FINAL
15/20
Accenture 2008 Global Customer Satisfaction Report 15
While price-sensitivityincreased, the quality othe customer experienceremained key to attractingand keeping customers.
For respondents who switchedproviders in the past year, a poor
customer experience was the most
common reason or leaving, identiied
by 68 percent. Presented with other
possible reasons, 45 percent blamed
service representatives lacking
knowledge; 40 percent pointed to
company bureaucracy; 39 percent
cited the lack o customized solutions;
and 38 percent pointed to service
delays or outages.
Interestingly, only 53 percent globally
reported leaving because they ound
a better price elsewheresigniicantly
ewer than the 68 percent who
let because o a poor customer
experience. In two surveyed markets
France and Germanyprice carried
more weight as a actor motivating
consumers to leave, and in Brazil,
more consumers let as a result
o being rustrated by corporatebureaucracy (Figure 10).
More eye-opening still, when asked
about their reasons or choosing
a new provider, 66 percent chose
customer serviceonly marginally
ewer than the 68 percent who
selected their new providers based
on price. In China, Canada and India,
customer service ranked higher than
price when it came to the choice
o new providers, and in the United
States, customer service and price
carried equal weight.
When economic concerns increase,
companies may turn to price-cutting as
a strategy or retaining customers who
are increasingly price-sensitive. When
it comes to customer loyalty, however,
providers would do well to remember
the powerul role played by a satisying,
customer-centric experience.
Several service-relatedactors appear to havea stronger inluence onconsumers decision toleave a provider.
We ound a strong correlation betweenseveral actors and consumers proclivity
to switch vendors.
O the 8 percent o respondents whose
service expectations were met only
rarely or never, only 3 percent indicated
they had not let any company in the
past year because o poor customer
service. However, ully 58 percent o the
respondents whose expectations were
met always or requently indicated they
had not let any company in the past
year because o poor customer service.
This comparison shows that consumers
who did not believe the customer service
experiences were usually relevant and
meaningul to their expectations were
three times as likely to change providers
as consumers who believed their service
experiences met their expectations.
The extent to which a company meets aconsumers service expectations is clearly
a actor associated with consumer loyalty.
Another actor is how satisied consumers
are with the speciic aspects o customer
service that matter most to them.
Across the 11 aspects o customer
service we tested, consumers expressing
satisaction with their providers
perormance in these areas were less
likely to have switched providers in the
past year. Furthermore, a regressionanalysis (Figure 11) revealed the
respondents who switched had a lower
level o satisaction with our actors
they rated as highly important:
Polite and friendly employees.
The amount of time taken to resolve
customer issues.
Service people taking ownership of
the issue at hand.
Convenient availability of customer
services.
Similarly, how oten respondents
encountered speciic sources o
rustration appeared to inluence
whether they stayed or switched. We
examined the relationship between
how oten respondents encountered
12 common rustrations and whether
these respondents switched a vendor.Again, we ound a clear and consistent
pattern (Figure 12).
The more requently consumers
encountered these rustrations; the
more likely they were to have switched
vendors. The two rustrations that
appear to have the greatest impact
on consumers decisions to switch are,
in order:
Having to wait for a response afterrequesting customer service.
Encountering vendor business policies
that get in the way o a consumer's
ability to have their issues addressed.
Its important to note that these
patterns apply to the global sample o
consumers surveyed. Within speciic
geographic regions, somewhat dierent
patterns might emerge. What holds
true, however, across countries in this
sample is that consumers who do not
eel they're satisied in the areas that
matter most to them, or who requently
encounter experiences that are most
rustrating to them, are more likely to
leave, regardless o whether they eel
the overall quality o customer service
is good.
8/8/2019 08 CustSatisfaction Report FINAL
16/20
16 High Performance in the Age of Customer Centricity
Figure 11.Influence of customer satisfaction factors on switching
Satisfaction: did not switch
Satisfaction: switched
4.46
4.46
4.46
4.46
4.66
4.68
4.56
4.58
4.50
2.87
4.44
4.41
4.10
4.21
2.89
3.32
3.47
3.47
4.014.07
3.16
3.19
3.76
3.79
3.48
4.27
4.23
2.76
3.74
4.43
4.39
4.52
The amount of time I have to wait to be served
Low High
*Having customer service available at convenient times
*The amount of time it takes to completely resolvemy issue or problem
Being able to access customer service usingmultiple channels
The amount of time it takes to read and understandinformation the company sends me
Being able to resolve questions/issues on my own,without speaking to a service agent
Having employees who are knowledgeable andwell-informed
*Having employees who are polite and friendly
*Having service people who take ownership of myissue and see it through to resolution
Having customer service people who can deal withmy issue without having to refer it to another person
Having customer service people who know me andmy history based on information I have previouslyprovided so I dont have to repeat myself each time Italk to someone
Mean Scores0 1 2 3 4 5
General
Characteristics
CompanyRepresentatives
Importance: did not switch
Importance: switched
* Customer service factors with strongest influence on
switching behavior. For our respondents, these performancefactors had the strongest influence on switching behavior.Those with higher levels of satisfaction in these areasswitched less often. Those with lower satisfaction in theseareas were more likely to switch.
2.58
2.87
2.89
3.32
3.47
3.47
3.11
3.14
3.16
3.19
3.18
3.19
3.48
2.81
2.76
3.74
3.40
2.94
2.85
3.21
3.05
3.25
8/8/2019 08 CustSatisfaction Report FINAL
17/20
Accenture 2008 Global Customer Satisfaction Report 17
Figure 12.Influence of customer frustration factors on switching
Encounter frequency: did not switch
Encounter frequency: switched
4.44
4.32
3.74
4.32
4.13
4.21
4.09
4.25
4.49
4.44
4.23
4.38
4.48
3.964.17
4.32
4.40
3.73
3.60
4.09
4.07
4.28
4.23
3.81
Being on-hold for a long time when contacting
customer service
LowFrequency/Frustration
HighFrequency/Frustration
Having to repeat the same information to multiplecustomer service agents
Having to talk to multiple customer sevice agentswhile trying to resolve a single question/issue
*Having to wait for a response after Iverequested customer service
Having to contact customer service multipletimes for the same reason
Dealing with customer service agents who cannotanswer my questions
Running into technology issues that get in the wayof my goals
*Running into business policies that get in theway of my goals
Having to complete a lot of paperwork orelectronic forms
Being sold other products or services when I contactcustomer service
Dealing with customer service agents who areunfriendly or impolite
Not being able to understand information thecompany sends me
Mean Scores0 1 2 3 4 5
Frustration: did not switch
Frustration: switched
3.91
3.58
3.59
3.76
3.14
3.28
3.63
3.63
3.01
3.16
3.07
3.49
3.14
2.92
2.49
3.03
2.72
2.50
2.48
2.88
2.44
2.92
2.39
2.92
* Customer service factors with strongest influence onswitching behavior. For our respondents, these performancefactors had the strongest influence on switching behavior.Those with higher levels of satisfaction in these areasswitched less often. Those with lower satisfaction in theseareas were more likely to switch.
8/8/2019 08 CustSatisfaction Report FINAL
18/20
18 High Performance in the Age of Customer Centricity
Through our experience working with
clients across various industries we
have determined that customer-centric
organizations excel in three key areas.
Knowing the customer. They conduct
customer segmentation and analysisthat both reveals customer preerences
and predicts customer behavior, and
they translate this analysis into a
complete view o the customer and
segment-based blueprints or managing
customer interaction.
Reaching the customer. They develop
strategies based on segment preerences
and behaviors, addressing both direct
and indirect channels as well as socialnetworking channels that inluence
customer attitude and behavior. In
addition to using channels to stimulate
demand, they use channel interactions
to set customer expectations and
monitor how well expectations are met.
Rather than ocusing exclusively on
meeting sales quotas or ixing customer
problems, they give equal weight to
strengthening relationships in sales
and service interactions.
Delivering the customer experience.
They deliver consistent experiences
relevant to customer intentions and
expectations, and they synchronize this
experience seamlessly across marketing,
sales and customer service channels.
They create adaptable supply chain
operations that enable them to respond
readily to changing market conditions
and customer opportunities. And they
empower rontline employees, at everycustomer touch point, to recognize and
meet the needs o customers.
Although our respondents were
generally positive about the quality
o the service they receive, their
behavior indicated that retaining
their business ultimately rested on
delivering a service experience directly
relevant to their speciic preerences
and which were designed to meet
their speciic expectationsin other
words, an experience that was truly
customer-centric. Providers that
ailed to satisy these criteria were
more likely to lose customers, and it
appears many companies are ailing
in this regard, given the high rate o
switching demonstrated across the
markets we surveyed.
We also ound that consumer needs
and preerences dier signiicantly rom
market to market, and providers must
understand these dierences in order
to deliver dierentiated experiences
that resonate with speciic customer
segments. The preerences and attitudes
o consumers in mature economies and
those in emerging economies oten
varied widelya inding with important
implications or companies serving a
geographically diverse customer base,
and or companies looking to emerging
markets or growth. Without tailoring
the customer experience to the
distinct attributes o speciic consumer
segments, organizations run the risk o
alienating the consumers they wish to
attract as well as undermining current
relationships.
Mastering these areas may require
companies to make undamental
changes to many key business
unctions: product and oer
development; pricing; campaign
development and execution; sales and
post-sales service and support; supply
chain operations, inance operations
even merger and acquisition strategies
and integration. Further, these
changes must be operationalized
without increasing complexity,
while retaining the lexibility to
adapt readily to changing customer
expectations and market conditions.
In summary, the results o our 2008
customer satisaction survey illustratethe essential role that delivering
customer-centric experience plays
in retaining customers and the key
role it can play in attracting new
customers. As companies grapple
with current economic realities, and
seek to sustain business perormance
in the ace o intensiying global
competition, customer centricity must
be a cornerstone o any strategy
or preserving the value o existing
relationships, growing the customer
base or expanding market share.
Conclusion
8/8/2019 08 CustSatisfaction Report FINAL
19/20
Accenture 2008 Global Customer Satisfaction Report 19
Contact UsLearn more about the Accenture 2008Global Customer Satisaction researchat accenture.com/centricity. To discusshow we can help your organization,call us toll-ree at +1 877 889 9009.Outside the United States and Canadaplease dial +1 312 737 8842.
About AccentureAccenture is a global management
consulting, technology services
and outsourcing company.
Combining unparalleled experience,
comprehensive capabilities across
all industries and business unctions,
and extensive research on the worlds
most successul companies, Accenture
collaborates with clients to help them
become high-perormance businesses
and governments. With more than
186,000 people serving clients in over120 countries, the company generated
net revenues o US$23.39 billion or
the fscal year ended Aug. 31, 2008. Its
home page is www.accenture.com.
Accentures Customer Relationship
Management service line helpsorganizations achieve high perormance
by transorming their marketing, sales
and customer service unctions to
support accelerated growth, increased
proitability and greater operating
eiciency. Our research, insight and
innovation, global reach and delivery
experience have made us a worldwide
leader, serving thousands o clients
every year, including most FORTUNE 100
companies, across virtually all industries.
8/8/2019 08 CustSatisfaction Report FINAL
20/20
Copyright 2008 Accenture
All rights reserved.
Accenture, its logo, and
High Perormance Delivered
are trademarks o Accenture.
Top Related