The business world has spent the last several years literally obsessing over improving the customer experience. And the results are in…
THE GOOD NEWS: Customer satisfaction has been steadily improving. Our data shows customer satisfaction increased by more than 12% between 2017 and 2020.
THE BAD NEWS: These improvements have not translated into higher customer retention. For most companies, customer retention has actually gotten worse! Our data shows retention decreased overall by 22% from 2017 to 2020!
→ But how can this be true?
WHAT’S YOUR EXPERIENCE?
A lot of people think they are the only ones with this problem:
You’ve worked hard to improve everything you do for your customers.
Your customer success and support activities are much better than before.
And your product has definitely come a long way over the past few years.
Obviously, none of it is perfect - far from it - but it’s WAY BETTER than it used to be!
→ So, then WHY HASN’T RETENTION IMPROVED?
It’s frustrating, but I can assure you that you are not alone.
The problem is that the conventional way of doing things simply isn't working. That’s why I believe it’s time to call it…
The Customer Experience (CX) revolution has been a flop!
The data overwhelmingly undermines the core logic of Customer Experience:
Happy customers do NOT stay longer than unhappy customers.
and,
Improving customer experience does NOT lead to higher retention.
But we really should have known this already simply because virtually every company in the world has been enthusiastically applying the principles of “CX” and the results stink.
IT’S TIME FOR SOMETHING DIFFERENT...
The only way out of this trap is to START OVER. We need new ideas based on real data about what works rather than the same old conventional approaches that obviously don’t work.
I am excited because tomorrow I will be making a big announcement that is my answer to this need. My team and I have been working on something for the past few years, and I'm thrilled with the result which I believe is what is needed to transform customer retention. I can't wait to show you what we've done!!