How Service Leaders Can Increase Customer Loyalty

Pivot toward a customer value enhancement strategy

Customer Loyalty and Retention Strategy

Customers are ultimately loyal to a company’s product or service offering. Gartner research found that the role of customer service in increasing customer loyalty is twofold: resolving customer issues in a low-effort manner and helping customers derive greater value from the product — what we call “value enhancement.”

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Capture an untapped opportunity for customer service to drive loyalty

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    Customer Loyalty through Successful Value Enhancement

    Value enhancement represents an economically significant opportunity for service to boost customer loyalty — not just mitigate disloyalty. This opportunity holds true regardless of switching costs and industry or how a service organization measures customer loyalty.

    Probability of customers choosing to stay with the company

    Customer Loyalty Insights

    To help customer service and support leaders drive customer loyalty and customer retention, Gartner took a threefold investigative approach consisting of a customer panel survey with 6,000 global participants, service and support leader survey with 100+ global participants, and interviews with 80+ service leaders across industries, geographies and business type. Service leaders can utilize the resources below to learn more about implementing a customer value enhancement strategy. 

    Deliver Enhanced Customer Value

    If customers receive value during a service interaction, there is
    The opportunity for value enhancement is growing

    Operationalize value enhancement

    While value enhancement is relatively uncommon today, the silver lining is that it is occurring organically without a deliberate strategy to support it. However, there is a significant opportunity to expand where value enhancement occurs because of the shifting makeup of contact types and their relative suitability for value enhancement conversations.

    Download the infographic to learn how to kick-start your value enhancement strategy.

    Measure success with Value Enhancement Score

    While incorporating value-enhancing activities is an important step to reaping loyalty rewards, an adjusted measurement strategy is also crucial. Measuring value enhancement will enable service leaders to gather a baseline, to identify the strongest value-enhancing opportunities and individuals, to track progress and, most important, to measure success.

    Download the Gartner's customer value measurement strategy.

    Relative impact on loyalty (retention, increased wallet share and positive word of mouth) of NPS, CSAT and value enhancement score

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