Problems in customer service come from poor strategies: Oracle

Report reveals businesses’ aspirations and pitfalls

Cloud company, Oracle, has revealed the results of its report on customer experience, unveiling insights into the challenges, strategies, and lessons faced by organisations on this front.

The Global Insights on Succeeding in the Customer Experience Era report is a survey of 1342 senior-level executives from 18 countries across North America, Europe, Asia-Pacific (APAC) and Latin America.

Results showed that 97 per cent of executives agreed that delivering a great customer experience is critical to business advantage and results, and estimate the average potential revenue loss for not offering this is 20 per cent of annual revenue.

Ninety-three per cent also said that improving the customer experience is a top three priority for the next two years, with 91 per cent wishing to be regarded a customer experience leader in their industry.

Funnily enough, 37 per cent are just getting started with a formal customer experience initiative, and 20 per cent consider the state of their customer experience initiative to be advanced.

Do the math: 91 per cent aspire for a claim to the top, but only a fifth consider themselves advanced in this department.

In addition, “the study revealed that business executives underestimate the impact of customer experience on behaviour,” according to Oracle; 49 per cent indicated that customers will switch brands due to a poor experience, but 89 per cent of customers said they actually have switched brands due to one (the latter stat referring to the 2011 US Customer Experience Impact report by RightNow).

Oracle said that social media is key to customer experience. It empowers the customer, and businesses are scrambling to respond. Eighty-one per cent agree that leveraging social media effectively is key to positive customer experience. Actions speak louder than works again, though, with 35 per cent stating they do not have social media for sales channels, and the same amount do not have it for customer service.

What is the lesson in all of this?

“We recommend that organisations map their customers’ journeys to identify specific improvement areas that will help them cross the execution chasm,” Oracle group vice-president, David Vap, said.

“By empowering customers and employees, breaking down organisational silos, and implementing flexible processes and technology tools, organisations can deliver personalised, seamless customer services through the entire experience lifecycle.”

Oracle makes three key points in relation to employee engagement. First, it recommends building training programs and incentives for employees to offer a great experience. Second, businesses must update company core values to include customer experience. Third, implementing a specific technology to improve customer service is critical.

Full results of the report can be found on Oracle’s Web site.

Tags surveyreportCustomer Experiencesocial mediaOracle

More about APACOracleVap

ARN Directory | Distributors relevant to this article

ARN Directory | Vendors relevant to this article

Comments

Comments are now closed

 

Latest News

Oct 31
Over a quarter of Australians won’t bank on their mobile: Kaspersky
Oct 31
HDS A/NZ Partner Summit 2014 in Noosa (+15 photos)
Oct 31
The Google shakeup continues: Andy Rubin is out
Oct 31
Impact Systems boss wants to buy 10 resellers
More News
05 Nov
LIVE Webcast: Lessons Learned from the Biggest Security Breaches
05 Nov
vForum 2014
10 Nov
Ascom Myco Launch Event
11 Nov
DCIM Certified Solutions Professional
View all events