8 in 10 consumers willing to pay more for better customer experience: Capgemini report

Mumbai, June 28 2017 – Capgemini, a global leader in consulting, technology and outsourcing services, recently announced the findings of “The Disconnected Customer: What digital customer experience leaders teach us about reconnecting with customers”, a study of more than 3,300 consumers and 450 executives at the companies that serve them. The research reveals a gap between how businesses and consumers perceive the quality of their customer experience. While three-quarters (75%) of organizations believe themselves to be customer-centric, only 30% of consumers agree. Frustrated by organizations that don’t listen to their feedback or reward their loyalty, the majority of consumers are willing to increase their spend with an organization in return for a better experience (81%). Yet, nearly a third of businesses (31%) say they face a challenge in keeping up with the rapidly evolving technology landscape and consumers’ digital expectations.

Reality Check for Big Business on Customer Experience

The report, which surveyed consumers across Australia, China, France, Germany, India, the Netherlands, UK and US, provides a reality check for big businesses in their efforts to deliver better customer experiences through digital. Not only is there a big disconnect between businesses and consumers on what represents customer centricity but also on whether the customer experience is improving. Capgemini used the industry standard Net Promoter ScoreSM (NPS®) model - an index ranging from minus 100 to plus 100 that measures the willingness of customers to recommend a company's products or services – to gauge consumer satisfaction. 90% of companies believed that their organizations’ NPS® had increased by 5 points over the last three years, however, half of consumers agreed (54%).

Utilities and Consumer Products Companies Most Out of Sync with Customers

The report also highlights significant differences between industries. Internet services companies and their customers are almost in step and setting the bar for other organizations, while utilities and consumer products companies have a long way to go to meet consumer expectations.

Consumers Ready to Reward Better Experiences with Increased Spending

Only three in ten of the 125 unique organizations identified in the study are matching their customers’ expectations. For the remaining 70%, the rewards for delivering a better experience are high as 8 in 10 consumers (81%) indicate that they are willing to spend more with an organization for a better customer experience, and 1 in 10 (9%) consumers would increase spend by more than a half. Consumers in India (98%) and China (95%) are most likely to reward good experiences with increased spend, while those in Germany (61%) and The Netherlands (72%) are least likely.