A piece of research came out yesterday which talked about how online commerce sites treated their customers and, in turn, how those customers felt about returning to do more business. The study was done by Foresee Results and you can download a copy of it here if you’re so inclined.
I worked with Foresee when I was involved with the NHL’s online commerce business and I always found their insights valuable, mostly because they’re very actionable. I suppose it doesn’t take a great deal of research to figure out that the more satisfied a customer is the greater the likelihood that they’ll do more and better business with you, but isn’t it nice to have data?
Here is the gist of the report as reported by the Media Post folks:
The study shows that highly satisfied visitors to retail websites in the U.S. say they are 65% more committed to the brand overall, 68% more likely to purchase from the retailer online, 48% more likely to purchase from the retailer offline, and 67% more likely to recommend the retailer than their dissatisfied counterparts.
Well, yeah! It goes on to say…
…highly satisfied shoppers say they are 64% more likely to consider the company next time they are purchasing a similar product. Satisfied shoppers also report being far more likely to return to the site, recommend it, and be loyal to the brand. Another convincing argument for the importance of customer satisfaction is that an analysis of top e-retailers in the United States shows that a one-point change in website satisfaction was found to predict a 14% change in the log of revenues generated on the web, says the report
The report doesn’t even measure some of the other benefits that one would expect accrue to those online retailers that do it right. Positive word of mouth, offline visits to those retailers who have physical outlets, and less price-sensitivity are things one would expect based on a great experience and those show up. I’m sure there are data points in the analytics – repeat visits, time on site, page views – that would demonstrate engagement but might not show all of the surrounding good will.
We can’t take our customers for granted and it’s nice to have yet another demonstration of that truth.