By Patrice Meadows — Jan 9, 2018 11:00 AM
How people experience your brand matters a lot, regardless of what industry you are in. Competition is fierce across the board so virtually every touchpoint before, during, and after purchase influences, whether potential customers purchase, repurchase, recommend or review your offering.
While many marketers are familiar with this concept, few create comprehensive programs that show a commitment to winning in the experience economy. Doing so means more than just providing outstanding customer service or support, it means creating unique experiences that customers value more than any product or service it’s tied to.
Stats on the Experience Economy:
- 36% of marketers said that their business was competing mostly on customer experience. (Gartner)
- 87% of companies are only beginning to discover how customers are motivated and respond accordingly (Maritz CX)
- By 2020, customer experience will outpace price and product as the main differentiator between brands. (Walker)
- 67% of customers say that bad experiences cause them to stop doing business with a company (Kolsky)
Economists, B.Joseph Pine II and James H. Gilmore introduced the concept of using positive customer experiences to drive revenue in the late 90s when they released The Experience Economy. This best-selling book explained how leading businesses were moving away from competition based on price or service and towards business built on valuable (and profitable) experiences. The book explored themes Pine and Gilmore introduced in a Harvard Business Review article of nearly the same name in 1998. Although both publications were well-received, many organizations are still struggling to differentiate themselves based on experiences they create for potential and existing customers.
As more and more tools make large-scale personalization and customization more accessible, more companies will use them to stand out from the pack. Can your business afford to get left behind?