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Brand Experience Sells: Happy Customers Will Spend $100 Every Month with Brands They Love

happy businessman with money in hand  and computer rejoices win over the InternetGreat Customer Experience Means More to Consumers than Great Products

What makes customers happy? And what’s a happy customer worth? Eighty-three percent of U.S. consumers say having a positive customer experience with a brand is more important than the product itself. According to a new study from Harris Poll, consumers are willing to spend a third of their disposable income—$100 per month on average—with brands they love based on a great customer experience. That’s around $31 billion up for grabs every month to brands who make their customers happy.

Experience Over Product

Brands work relentlessly on product design and features, but today’s consumer increasingly values how a brand treats them as more important than the product they sell. The study, commissioned by Lithium Technologies, found 43 percent of consumers would actually buy an inferior product from a brand that they had a great experience with, and 73 percent will spend more on a product if it is from a brand they love. But this works both ways, with 71 percent of consumers unlikely to ever use a brand again after only one bad experience. Worse, 44 percent would share their negative experience with friends and family, potentially leading to even more customers fleeing.

“Customers’ increasingly high expectations of brands have reached a critical point,” said Rob Tarkoff, president and CEO of Lithium Technologies, in a news release. “When two thirds of consumers say they are unwilling to stick with a brand that has treated them badly even if they love the brand’s products, it’s time to sit up and take notice. Brands need to dig deeper to understand how they can create awesome experiences for their customers across platforms.”

What’s A Brand to Do?

Brands can no longer dictate terms. They must connect with the customer in the channel of their choice, which is increasingly digital. The study reveals 29 percent of consumers prefer to engage with a brand via its website/blog/social channels, compared to 17 percent who prefer in-store engagement, and 16 percent who prefer to connect over email.

“This study shows that as consumers reach out on digital channels, they are highly sensitive to how and when brands respond to them,” said Tarkoff. “It’s a wakeup call for brands to realize that providing great experiences on digital is the surest path to attracting and retaining happy customers.”

Download the complete study here.

happy customer

This survey was conducted online by Harris Poll on behalf of Lithium from December 28-30, 2016 among 2,032 adults ages 18 and older in the U.S. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. 

Source: PR Newswire; edited by Richard Carufel

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