New FXI Sheds Light on Retail Customer Experience
The ForeSee Experience Index (FXI): 2013 U.S. Retail Edition Now Available
Welcome to a new era of ForeSee Reporting.
Today we released the landmark ForeSee Experience Index (FXI): 2013 U.S. Retail Edition. Whereas the ForeSee E-Retail Satisfaction Index (U.S. Holiday Edition) that we’ve produced for the past eight years focus was mainly the Web experience, the FXI was developed with the multichannel, multi-device consumer in mind and for those retailers looking to better understand this generation of customers.
Based on 67,600 surveys collected between November 29 and December 17, 2013 for the 100 biggest U.S. retailers as reported by the Fortune 500 and Internet Retailer’s top 100 websites, the five-part report features Company-level and channel-specific (Web, Mobile, Store, and Contact Center) customer satisfaction analysis for the top U.S. retailers.
The result is one of the most comprehensive reports centered on the retail customer experience.
The data shows that customer loyalty for retailers is on the decline, yet consumers are satisfied with the top retail brands and had the best experience with retailers who mastered the multichannel experience. Key findings for this study are further explored in the full report available here and include:
- L.L.Bean tied Amazon to set the bar for customer experience excellence, recording the highest Company-level satisfaction with a score of 90 (on the study’s 100-point scale). While this is the first time ForeSee has studied company-level satisfaction for the top retailers, the L.L.Bean website has scored an 80 or above in ForeSee holiday e-retail reports eight out of the nine years measured. Amazon has topped the list every year.
- Priceline.com – the only travel site in the study – came in with the lowest Company-level satisfaction (76), as well as the lowest Web satisfaction (75) and Mobile satisfaction (73) scores.
- Apple, which prides itself on stellar Apple Store customer experiences, lost to the supermarket chain Publix Super Markets with a Store satisfaction score of 86 – three points higher than Apple’s score of 83.
- 53% of retailers registered merchandise as the top priority affecting in-store purchases, while 35% of retailers register service.
- Amazon (satisfaction 88) leads the pack for Web satisfaction.
- 57% of retailers identify merchandise as the top driver affecting customer web experience, compared to only 7% that register price.
- In a category that saw satisfaction stagnate this year, Walmart (80) was the only company to experience a significant increase of more than three points in Mobile satisfaction, seeing a five-point improvement from 2012’s score. Again, Amazon led the pack with a mobile satisfaction score of 87.
- 38% of retailers register functionality as the top priority affecting the mobile customer experience, above both merchandise (34%) and content (31%).
Contact Center Channel:
- QVC (88) beat Amazon (85) in Contact Center satisfaction by three points. Costco and O’Reilly AutoParts tied with Amazon.
- 55% of retailers record knowledge of the customer service representative as the top priority affecting the customer contact center experience.
Customers’ loyalty wanes:
- 12% of customers surveyed said they only considered one company when making a purchase (satisfaction 91). Almost half (49%) of people reported that the company they visited was one of several companies they considered equally when shopping (80).
Multichannel retailers satisfy shoppers:
- The most satisfied shoppers this holiday season were the ones that interacted with a retailer across multiple channels. The majority (57%) of customers were single channel users with a satisfaction of 82, and the remaining 43% who used two or more channels to engage with the company recorded a satisfaction score of 85.
Customer satisfaction is predictive of 2014 business success for retailers:
- When comparing the future behaviors of highly satisfied customers (with satisfaction scores of 80 or higher) to less satisfied customers (with satisfaction scores of 69 or less), ForeSee found that highly satisfied customers at the Company-level report being:
- 71% more likely to prefer the company to others
- 57% more likely to retain loyalty to the company
- 72% more likely to purchase additional products or services from the company
- 64% more likely to purchase next time they are in the market to buy similar products or services
- 63% more likely to give a positive recommendation
- 60% more likely to trust the company
Download the full ForeSee Experience Index: 2013 U.S. Retail Edition here.