Times have definitely changed. Today, customer experience is a powerhouse driving growth and revenue ... [+]
When I first started writing and speaking about customer experience nearly 15 years ago, it was a foreign topic for many business professionals. CX was something that happened by chance or that was managed by a tiny group of people in the corner of the office, not a priority for executives and the entire company
Times have definitely changed.
Today, customer experience is a powerhouse driving growth and revenue at companies across the world. As the discipline has grown, so too has the number of people working in the field and its importance and credibility. CX is no longer shunned to the kids’ table at family dinner—it is in its rightful spot at the head of the table. Customers have power, and companies realize the value of investing in great experiences.
Here are 10 ways that show the growth of CX as an industry and practice.
1) Global CX technology spending is expected to reach $641 billion in 2022. (IDC)
Why it matters: Companies don’t throw money at things that don’t work. The incredible growth of CX technology spending shows the huge demand from customers for digital solutions and that companies are willing to invest in future-ready systems.
2) 87% of business leaders tag CX as their top growth engine—the highest of any other growth area. (North Highland)
Why it matters: Things like marketing and sales used to be considered the biggest areas for growth. But customers have power and respond well to brands that prioritize their experiences. Improving CX is a huge opportunity for growth.
3) The size of the U.S. CX industry is expected to grow 15% annually from 2021 to 2028. (Grand View Research)
Why it matters: Long-term, continued growth shows that CX isn’t a fad but instead has staying power that will continue to expand in coming years. Few industries have such high or consistent growth predictions.
4) Two-thirds of companies compete on customer experience, up from 36% in 2010. (Gartner)
Why it matters: CX is no longer just something that’s nice to have—it’s a competitive advantage that brings in customers and increases loyalty. Product and price are less important to many customers than experience.
5) Nearly 90% of companies have a CXO or equivalent executive, compared to 65% of companies with a CXO in 2017. (Gartner)
Why it matters: For years, the biggest challenge of CX was getting buy-in from executives. But as CX has gained credibility and showcased its power, it has gained a seat in the C-suite and become a critical element of overall business strategy.
6) 95% of leading organizations cite CX job roles as important to achieving business growth—the highest of any job role. (Econsultancy)
Why it matters: CX practitioners are getting the respect they deserve. Investing in CX pays off with strong customer relationships, personalized digital solutions and innovative products or services.
7) 56% of B2C companies have a dedicated CX team, with most formed in the last one to two years. (Usersnap)
Why it matters: CX is becoming an intentional and proactive part of business strategy with dedicated teams and resources. Although everyone in the company plays a role in CX, having a dedicated team ensures initiatives reach their full potential.
8) The number of brands improving their CX in 2020 was up 13% from 2019, and the number is expected to grow further in 2021. (Forrester)
Why it matters: Even with a global pandemic, CX was still a priority in 2020. Many companies stripped things down to the essentials, and CX made the cut, showing how vital it is to finding and retaining customers.
9) 76% of executives say improving CX is a high or critical priority. (Forrester)
Why it matters: Executives see the value of continually improving CX. When leaders are on board, it sets the tone and mindset for the entire organization. If leaders want to improve CX, other employees will follow suit.
10) 70% of financial companies, 58% of tech companies and 50% of retailers anticipate having a larger budget to invest in CX technology in 2021. (Zendesk)
Why it matters: The pandemic shook things up for most companies, but CX is still a priority as companies start to rebuild. Of all the ways to increase budget post-COVID, CX is at the top.
Clearly, the CX industry is growing in size, power and prestige. And with it comes a greater number of CX practitioners to lead change in their organizations every day.
I may have been alone when I dove into CX more than a decade ago, but you don’t have to be alone today. One of the greatest CX pros have is each other as we learn and grow together to take the industry to the next level.
Blake Morgan is a customer experience futurist, keynote speaker and the author of the bestselling book The Customer Of The Future. Be part of the brand new Customer Experience Community here.
