Thursday, April 25, 2024

Losing customers over poor digital experience

Many of Australia’s largest brands are coming up short in delivering digital experiences, according to research from software corporation SAP.

SAP’s ‘Australian Digital Experience Report’ offers detailed insights on Australians’ digital expectations and the ability of brands to meet them.

Forty-seven per cent of the report’s 3,000 respondents said they were unsatisfied with the digital experiences delivered by 34 of the nation’s largest organisations.

Of those consumers identified as unsatisfied with their digital experience, just 17 per cent stated they would remain loyal to the brand involved. The net promoter score (NPS) for this segment was a staggering -55 per cent.

In contrast, if a brand can provide a strong digital experience, the picture is completely different. Of those consumers delighted with their digital experience, 73 per cent would remain loyal, with the NPS a positive 63 per cent.

The 3,000 consumers rated a total of nearly 7,000 digital interactions against 13 core attributes of a delightful digital experience, including engagement, personalisation, responsiveness and simplicity. Based on the research data, SAP has compiled a digital-experience index comprising all brands assessed by industry and their digital-experience score.

“In today’s digital world, the consumer is in full control,” SAP Australia and New Zealand President and Managing Director John Ruthven said.

“Brands need a much deeper understanding of their digital-experience performance if they are to keep their customers and stay competitive.

“With our research, we’re helping Australian organisations not only identify the link between digital experience and business outcomes, but offering a framework that helps them measure and manage their digital-experience performance from their customers’ perspective.”

In the report, industry analysis reveals that the grocery retail industry is the leading performer, yet, on the whole, still had more unsatisfied consumers than delighted ones. Banking and insurance were the next best performers, with telecommunications and utilities scoring lowest.

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