Frustrated Consumers Three Times More Likely Than Satisfied Consumers to Avoid Buying From Retailer or Brand Again, Accenture...
December 17 2019 - 11:01PM
Business Wire
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 (NYSE: ACN).
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.
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’s 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).
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’s 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.”
About the Research The research is based on an online
survey of 20,736 consumers in 19 countries: Brazil, China, Denmark,
France, Finland, Germany, Iceland, India, Ireland, Italy, Japan,
Norway, Singapore, South Africa, Spain, Sweden, the Netherlands,
the U.K. and the U.S. The survey, conducted by Coleman Parkes
Research Ltd on behalf of Accenture, was fielded in January and
February 2019.
About Accenture Accenture is a leading global professional
services company, providing a broad range of services and solutions
in strategy, consulting, digital, technology and operations.
Combining unmatched experience and specialized skills across more
than 40 industries and all business functions — underpinned by the
world’s largest delivery network — Accenture works at the
intersection of business and technology to help clients improve
their performance and create sustainable value for their
stakeholders. With 492,000 people serving clients in more than 120
countries, Accenture drives innovation to improve the way the world
works and lives. Visit us at www.accenture.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20191217005699/en/
Tara Burns Accenture +44 7850 435 158
tara.burns@accenture.com
Aleks Vujanic Accenture +44 7500 974 814
aleks.vujanic@accenture.com
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