Accenture 2010 Global Consumer Survey

Changing consumer attitudes and behavior – in both mature and emerging economies - will play a key role in setting the pace of economic recovery and generating new opportunities for organic growth.

The Accenture Global Consumer Survey is an annual research project that provides insights into how consumers have changed in recent years. The 2010 survey, the sixth in the series, assesses consumer attitudes toward marketing and sales and customer service practices.  These findings are crucial: as consumers gain more control and the pace of “change” increases, many businesses have been challenged to satisfy their own customer bases, let alone connect with new customers.

Organizations seeking to grow must understand what their customers value, what influences their purchase and switching behaviors and how marketing, sales and customer service practices play a key role. The insights from this survey can help businesses identify opportunity areas to enhance the customer experience to, ultimately, help fuel growth.

The 2010 Accenture Global Consumer Survey included more than 5,800 people in 17 countries (in both mature and emerging markets) across 10 industries.

• Satisfaction with customer service has decreased since 2009 in each of 11 characteristics measured.
  
  

• 64% of consumers have switched companies in the past year due to poor customer service. That percentage is down from the 2009 survey (69%).
  
  

• While switching has declined to pre-downturn levels, it remains a significant issue with 2 in 3 consumers – and even higher numbers in emerging markets - having switched in at least one industry.
  
  

• More than half of global consumers (54 percent) are not willing to compromise on levels of customer service, product options, product quality and frequency of communications with companies in exchange for lower prices.
  
  

• More than three-quarters (77 percent) of global consumers reported that the use of technology in the pre-sales phase has improved their experience when deciding to purchase a service provider’s offerings.
  
  

• In selecting a new provider, better price and better customer service continue to be the two most differentiating factors. Word of mouth is the most used and most important source of information for consumers.
  
  

• More than two thirds (66 percent) of consumers say their growing use of technology for customer service has improved their experience (up from 50 percent in 2007). Equally, more than three-quarters (77 percent) of global consumers reported that same thing about the use of technology in the pre-sales phase.
  
  

• Only one in four respondents say they trust the companies with which they do business.  This is important to note, as loss of trust emerges as one of the critical drivers for consumers to switch.
  
  

• Although fewer than half of consumers, on average across industries, participate in a loyalty program, the numbers increased in 2010 compared to 2009.  Similarly, the percentage of consumers who were persuaded to remain with their service providers as a result of loyalty programs increased in 2010.
  
  

• The percentage of consumers intending to purchase more in at least one of the industry categories has increased from 26% to 54% in 2010. This increase is more marked in the emerging markets than in the mature ones.

• Consumers are increasingly demanding, and many companies are not meeting expectations. The widening gap between what consumers expect and what they actually experience will likely hinder companies’ growth, especially in emerging markets.
  
  

• Customers will likely act on their dissatisfaction…even if they haven’t already. Switching due to dissatisfaction remains considerable and, given growing dissatisfaction rates, current customers may well switch in the future. Additionally, consumers are influenced by a broadening set of factors when deciding to stay or leave a provider. 
  
  

• Trust is emerging as a critical influencer of consumer behaviour.  Building trust among a company’s customer base represents a large opportunity given the small percentage of respondents who say their providers are “trustworthy”.
  
  

• The “customer experience” begins before a consumer is actually a customer.  Marketing and sales efforts influence whether a prospect becomes a customer and, if so, how well the company meets expectations. All consumer touchpoints should offer consistent, relevant experiences, not just the post-sale customer service experiences.
  
  

• One-size-fits-all customer service is insufficient. With existing customers, expectations are that companies will provide tailored, meaningful experiences to fit customers’ needs and preferences. Additionally, the “customer experience” may continue after switching occurs, influencing lapsed customers and reinforcing the premise that it is rarely too early or too late to improve the customer experience.
  
  

• Lower prices are usually not sufficient to offset service and product expectations. Most consumers are not willing to trade off customer service, product options, or product quality in exchange for lower prices. In last year’s research findings, price had greater influence, which may have been impacted by the economic climate. In 2010, price remains a key driver but has decreased in importance compared to other factors.
  
  

• Technology is an increasingly important enabler of customer service and marketing and sales. Technology has boosted consumers’ experiences, especially when prospecting and much more so in emerging than mature markets.  It is imperative for companies to engage their customers in these channels to provide positive experiences and, ultimately, greater satisfaction. Importantly, these newer channels have not replaced other channels but rather added to them, as consumers expect a multi-channel experience.
  
  

• Social media is the catalyst for convergence of digital channels and mobile devices and is dramatically accelerating the exchange of customer opinions.  Word of mouth is a critical factor impacting consumer decisions, which includes exchanges through social media. In addition to switching, dissatisfied customers have the equivalent of a megaphone through social media and digital channels to communicate their frustration to others. Companies need to make conscious decisions about their social media strategies and practices, as ignoring it is not an option.

• Utilize knowledge of your prospect and customer base like never before. Master analytics to turn vast customer data into actionable insights. Use this understanding of consumer segments to deliver tailored product and service offerings that meet segments’ needs.
  
  

• Improve the customer experience both before and after the sale. Understand that positive customer service experiences can not only help retain existing customers, but also entice new customers. Offer customers a variety of interaction points for learning about a company’s offerings and obtaining service.
  
  

• Leverage technology and digital channels – including social media. Make your organization’s products and services more accessible and customized to customers’ needs by using technology. To be successful, the content and services provided to consumers over the phone, in person and online—whether automated or human—must be integrated, relevant and consistent.
  
  

• Extend loyalty programs’ focus beyond retention to encompass an end-to-end experience. To be effective, loyalty programs should go beyond transactional rewards to incorporate tailored, relevant experiences to help strengthen consumers’ trust and satisfaction.