customer

CustomerZone360 NEWS

Free eNews Subscription

More Than Half of Executives Seek to Protect Customer Care from Cost-Cutting

By Tracey E. Schelmetic May 01, 2023

Companies today engage in a lot of ongoing cost optimization, for good reason. Costs can quickly spiral out of control and eat into profits if they’re not well controlled. But should customer engagement efforts be on the cost-cutting block? According to a new study, the answer is “no.”

Research by Information Services Group (ISG) found that a majority of executives worldwide consider customer experience a top strategic priority that is off limits to cost optimization efforts. The global ISG Buyer Behavior Study, which surveyed more than 250 senior executives in February 2023, found 48 percent of respondents cite customer experience as extremely important to their organization’s strategic direction, and 53 percent say they intend to “completely protect” customer experience from cost optimization programs. The findings will be detailed at the ISG Xperience Summit, May 15–16, at the San Francisco Marriott Union Square in San Francisco. The event will also feature corporate leaders who will discuss strategies for driving customer loyalty and leveraging data to create differentiating experiences.

Experts suggest that it’s not enough to calculate what companies can save by trimming customer support efforts. Companies also need to calculate the value of missed opportunities that result from poor customer care.

“Enterprises have successfully created friction-free experiences that are consistent across physical and digital platforms. Now they’re challenged by their customers to not only maintain but exceed that experience,” said Sush Apshankar, practice lead, ISG Data Analytics and AI/ML, and co-host of the ISG Xperience Summit. “In an uncertain economy when cost-cutting is the norm, the fact that enterprises are protecting customer experience programs from cost optimization shows they understand that solid, long-term customer relationships are truly foundational for growth and success.”

The study also noted that 33 percent of respondents to the ISG study said they will protect environmental, social, and governance (ESG) programs from cost optimization, reinforcing the importance of corporate values.


Edited by Greg Tavarez
Get stories like this delivered straight to your inbox. [Free eNews Subscription]

CustomerZone360 Contributor

SHARE THIS ARTICLE
Related Articles

Zappix and OP360 Create Seamless Self-Service Experiences

By: Greg Tavarez    6/7/2023

Zappix and OP360, in a new partnership, bring together their expertise to address the evolving customer experience demands.

Read More

TDCX Announces New AI Consulting Arm

By: Tracey E. Schelmetic    6/7/2023

Customer experience solutions provider TDCX announced the launch of its AI consulting arm, TDCX AI.

Read More

UK Customers Abandon Merchants That Lack Favorable Shipping Options

By: Tracey E. Schelmetic    6/6/2023

E-commerce shipping solutions companies ShipEngine and ShipStation recently published a guide titled, "Exploring the Nuances in Ecommerce."

Read More

Taking Sales Communication to the Next Level: Pipedrive Debuts Advanced Call Center Integrations

By: Greg Tavarez    6/6/2023

Pipedrive announced the launch of two new advanced integrations with CloudTalk and JustCall to streamline sales communication and make business calls …

Read More

TCN Enhances Consent Tracking Feature to Help Debt Collectors Succeed with SMS Communications

By: Tracey E. Schelmetic    6/5/2023

Cloud-based call center platform provider TCN, Inc. has announced SMS Consent Tracking feature enhancements to its flagship platform, TCN Operator.

Read More