Closing the Customer Experience Gap in Canada

New Research from IPSOS and Medallia Points to a Significant Mismatch Between Consumer Customer Service Expectations and Business Delivery

Are Canadian businesses measuring up to expectations when it comes to customer service and support? According to new data released from IPSOS and customer experience leader Medallia, the answer to that question is a firm no.

While 41% of Canadian consumers surveyed said they are prepared to switch brands due to poor experience, only a mere 11% of Canadian business leaders consider themselves customer experience leaders. These findings point to the fact that the majority of Canadian businesses are still playing catch-up when it comes to delivering on consumer expectations for a seamless omni-channel customer experience.

“Every brand in Canada has the potential to drive a phenomenal customer experience. Great customer service and support are now regarded as table stakes among the Canadians we surveyed", says Shannon Katschilo, Medallia AVP and country manager for Canada.

The research further shows that while 16% of Canadians will pay more for a great customer experience and businesses that do invest in customer experience realize strong ROI and revenue growth, only 23% of consumers believe they receive consistent service across all channels. Against the backdrop of the pandemic, only 28% of consumers felt companies they dealt with have mastered contactless interaction and engagement.

"The key to closing this gap is for companies to focus on not the why, but the how through better use of technology and data" says Katschilo. “The value of a great customer experience is well understood by business leaders. But Canadian businesses aren’t taking the next step to back up their promises with tangible data management strategies. Less than 1/3 of the executives we surveyed believe that their organization obtains and analyzes customer data well. Only 27% believe the tools being used to collect and analyze customer sentiment are adequate.”

Companies also have to better equip their employees to become strong CX champions, says Katschilo. “Shockingly, only 33% of employees of businesses we surveyed are aware of customer feedback programs within their organization. And even worse, only 43% of those employees are engaged with those programs. The majority of employees (60%) said they lack the necessary tools to deliver an exceptional customer experience.”

Katschilo sets out a three-step strategy to help Canadian businesses and CX leaders close the customer experience gap. “First, you need to use data to solve problems in real-time and retain customers before they are lost to you. Second, you need to focus on building a seamless omni-channel experience. And finally, create an employee culture that ensures your brand consistently delivers leading experiences.”

Written by Shannon Katschilo, GM and AVP Sales for Medallia

Medallia is an American customer and employee experience management company. To download a full copy of Medallia’s State of Customer Experience in Canada report click here.