The top 6 customer experience (CX) pain points and what enterprises can do to solve them
Business is more competitive than ever, and customer experience (CX) has become a crucial differentiator across all industries. Long gone are the days of competing purely on price or product quality. Today, companies are also vying to provide the best possible experience because it is critical to attracting and retaining customers.
With digital technology now ubiquitous, delivering a superior CX is what sets leading businesses apart. Consumers now expect seamless, personalized, and prompt interactions across all touch points and channels. They seek the best products with holistic experiences catering to their needs and preferences. CX is now a vital component of any company's complete product offering.
A study by Dimension Data found that the vast majority (81%) of organizations cite CX as a competitive differentiator. Providing a superior CX has many advantages, including:
- Increased retention: Positive customer experiences lead to higher customer satisfaction, which fosters loyalty. According to research from Forrester, customers are 2.4x likely to stay when companies solve their problems more quickly.
- Feedback and data: Focusing on CX allows businesses to gather valuable customer feedback. This access to high-quality first-party data can be used to improve products, services, and overall operations so companies stay relevant and responsive.
- Customer advocacy: Happy customers are likely to become brand advocates, sharing their positive experiences with friends, family, and social networks. This word-of-mouth marketing can be invaluable for attracting new customers.
- Increased revenue: Satisfied customers tend to spend more and are less price-sensitive. Investing in CX can increase sales and profit margins by up to 84% as customers are willing to pay a premium for a better experience.
In all of our research here at Zingly and in our ongoing conversations with customers, we consistently find that businesses that excel in CX are better positioned to thrive in an environment where customer expectations continually increase. Prioritizing CX is essential for building strong, lasting relationships with customers, gaining a competitive edge, and driving business growth in today’s market.
The top 6 CX pain points faced by consumers in 2024
In 2024, the CX landscape continues to change rapidly, driven by advancements in technology and shifting consumer expectations, and many organizations are still struggling to deliver seamless and satisfying experiences. According to the 2024 CCW Market Study titled June Market Study: CX Trends, Challenges, & Opportunities, consumers frequently encounter these six primary pain points. Addressing them is crucial for businesses to enhance customer satisfaction and loyalty. Below, we will explore these key challenges and offer actionable solutions for enterprises to overcome them effectively.
Pain point 1: Difficulty reaching a live agent
"A staggering 52% say it is difficult to reach a live agent, establishing that lack of humanity as the #1 pain point in 2024."
The solution: Always provide a live help option
Many companies have quickly implemented AI-powered solutions, making it harder to reach live agents. While AI can handle many routine tasks, it's crucial to ensure customers can still access live agents through their preferred channels. This balance is essential to provide a satisfying and effective CX, combining the efficiency of AI with the personal touch of human support.
Pain point 2: Unhelpful automated platforms
"An alarming 49% call this a challenge, meaning that customers are essentially out of luck."
The solution: Invest in UX testing and optimization
Continuously update and test automated systems to ensure they provide accurate and helpful responses. Adopt a customer-first approach and incorporate surveys and feedback to optimize the CX. This involves understanding customer needs and preferences, using their input to make iterative improvements, and ensuring the automated systems are intuitive, effective, and aligned with user expectations. Regular UX testing will help identify pain points and areas for enhancement, leading to more seamless and satisfying customer interaction.
Pain point 3: Long wait and hold times
"Other common pain points include long wait and hold times (a problem for 48% of consumers)."
The solution: Improve your digital CX
Almost every organization has invested enormous sums into its website and digital properties. These channels are scalable and efficient, offering consumers more channels and tools for getting the help they need beyond the telephone. Platforms like Zingly allow consumers to access tools themselves, work with an AI-powered chatbot, or get support from a human agent in one seamless user experience.
Pain point 4: Repetitive questions and information requests
"Frequently having to repeat information (37% of consumers)" was identified as a common pain point.
The solution: Centralize customer data
Utilize a centralized database that stores all customer information and previous interactions to minimize repetitive questions and improve customer support. Integrate your CX platform into your CRM systems to efficiently track and manage these interactions. Consolidating and tightly integrating systems can provide a truly 360-degree CX, reducing the need for customers to re-input or repeat information already provided.
Pain point 5: Distracted and unknowledgeable agents
“More than 80% of consumers believe agents are distracted during interactions, and less than a quarter believe agents are knowledgeable.”
The solution: Invest in training programs and AI tools
Better training and advanced tools can significantly impact the quality of real-time agent assistance. Incorporating AI-powered solutions provides agents with easily accessible knowledge libraries, allowing them to remain focused on delivering effective support. Real-time guidance, continuous learning, and up-to-date information transform agent performance and improve the overall CX.
Pain point 6: Lack of personalization
“Only 16% of consumers encounter meaningful personalization during their interactions.”
The solution: Offer more personalized experiences
Consider utilizing AI-driven analytics to gather and leverage customer data, allowing for more customized interactions. Ensure all touchpoints reflect this personalized approach, creating a cohesive and unique customer journey. Implement AI-driven customer insights to tailor recommendations, offers, and support based on individual preferences and behaviors. Regularly update and refine personalization strategies to align with evolving customer expectations, ensuring a dynamic and engaging experience that builds strong customer relationships.
CX and the “Amazon effect”
The CCW Market Study also identified an industry-wide trend they call the "Amazon Effect," which refers to how consumer expectations are shaped by their best experiences with leading brands. 63% of consumers said they evaluated brand interactions against their best cross-industry experiences, and Amazon is widely recognized as providing a world-class CX.
It’s important to point out that technology is only one dimension they excel in. Amazon's relentless focus on customer-centric policies, such as easy returns, fast shipping through Amazon Prime, and personalized recommendations, has set a high standard in the e-commerce industry. By leveraging advanced data analytics and AI, Amazon ensures that each customer's interaction is smooth, personalized, and efficient. This dedication to CX has resulted in high customer satisfaction and loyalty, significantly contributing to Amazon's dominant market position.
The company’s ability to quickly adapt to customer feedback and continually refine its services showcases how prioritizing CX can drive growth and foster strong customer relationships. What we like best about this example at Zingly is that it illustrates the tangible benefits of investing in CX, reinforcing its critical role in today's competitive landscape.
Elevating your CX is crucial to staying competitive
Businesses must prioritize CX to stand out. While technology can significantly enhance CX, poor implementation can have the opposite effect, reducing customer satisfaction and loyalty, leading to churn and decreased revenue. By taking a holistic, customer-first approach, organizations can address the top CX pain points, creating a seamless, personalized, and satisfying customer journey. This commitment not only helps retain customers but also fosters loyalty, advocacy, and ultimately, drives business growth and profitability.
When it comes to providing superior CX in your organization we would ask you to consider these three key values in order to create a culture that values superior CX:
- Invest in continuous improvement: Regularly review and refine your CX strategies. This involves not only reacting to customer feedback but also proactively seeking new ways to enhance the customer journey. Conduct frequent audits of your customer service processes and identify areas for improvement.
- Foster a customer-centric culture: Ensure that every employee understands the importance of CX and is committed to delivering exceptional service. This involves regular training and creating a culture where customer satisfaction is a top priority. Empower your employees to make decisions that benefit the customer.
- Prioritize speed and efficiency: Customers expect quick resolutions to their issues. Invest in tools that help reduce response times and streamline processes. Automated workflows, AI-powered solutions, and efficient CRM systems can significantly enhance the speed and efficiency of your customer service.
Excellence in CX for sustained business success
By integrating these strategies into your business operations, you can ensure that your customer experience is competitive and exceeds customer expectations. A commitment to excellence in CX will drive loyalty, advocacy, and sustained business success for years.