Frustrated Consumers Three Times More Likely Than Satisfied Consumers to Avoid Buying From Retailer or Brand Again, Accenture Study Finds

Nearly Half of Consumers Would Pay More for Experience That Exceeds Their Expectations

Consumers who had a frustrating shopping experience are three times more likely than satisfied consumers to not buy from the retailer or brand again, but companies that consistently exceed customer expectations could significantly increase revenues by charging a premium for the experience, according to new research from Accenture 

The research is based on a survey of more than 20,000 consumers across 19 countries in North America, Europe, Asia, South America and Africa. Respondents were deemed to be frustrated if they said that their most-recent shopping (i.e., browsing and/or purchasing) experience didn’t meet their expectations and/or if they found any aspect of the shopping experience frustrating. Of the 20,736 respondents, 8,757 — or 42% — fell into the “frustrated” bucket.

A key finding: Nearly half (47%) of frustrated respondents said they would avoid doing business with the retailer or consumer goods brand, showing that a frustrating experience can significantly damage brand loyalty.

Read More: MapsPeople Partners With VenueNext To Create The Future Of Customer Experience

At the same time, however, the same number (47%) of all consumers said they would be willing to pay more for an experience that exceeds their expectations every time, with frustrated customers almost twice as likely as satisfied consumers to say they’d be willing to pay more for such an experience.

“Despite digital technologies fueling an explosion in opportunities to engage and interact with consumers throughout their browsing and shopping experience, many retailers and brands still struggle to deliver a seamless experience across the integrated marketplace,” said Laura Gurski, senior managing director and head of Accenture Consumer Goods and Services practice. “Meeting or exceeding expectations calls for a complete rethink, all the way from developing new concepts through manufacturing to the store shelf and beyond. And with so many consumers willing to pay more for an experience that exceeds expectations, there’s a potential pot of gold for those that get it right.”

The research highlights some significant variations between geographies. For instance, respondents in China were the most likely to say that they’re willing to pay more for an experience that exceeds their expectations, with 81% of them indicating such willingness, while those in the U.S. and U.K. were the least likely to say they’d pay more for such an experience (31% and 28%, respectively).

Read More: Sabio Group Strengthens Leadership To Support Accelerated Growth

Perhaps more surprising, frustrated consumers overall were far more likely than satisfied consumers to say they’d be willing to pay more for such an experience (62% vs. 36%, respectively). The gap was greatest in Germany (63% vs. 27%, respectively) and Italy (61% vs. 33%, respectively).

“We are in a day and age when loyalty needs to be rethought and rewarded with fresh tactics,” said Jill Standish, senior managing director and head of Accenture Retail practice. “By replacing traditional points-based programs with responsible, mobile-enabled, customer-focused concepts retailers and consumer goods brands can strike a new kind of value bargain with these customers: a hyper-convenient personalized digital experience in return for new insights into consumer preferences and behavior. If they can translate this level of data and analytics sophistication into a human-centric form the whole workforce can get behind, they can orient their entire businesses around the consumers with the greatest lifetime potential.”

Read More: Fuze Wins 2019 Aragon Research Innovation And Women In Technology Awards

 

Write in to psen@martechseries.com to learn more about our exclusive editorial packages and programs.

AccentureConsumer Goods and ServicesNewsShopping Experience
Comments (0)
Add Comment