Australian customers are leaving at extraordinary rates, and most Australian businesses are ill-prepared to counter this pandemic rebound trend, new research finds. While 70% of Australian sales and marketing managers agree that it is more profitable to retain existing customers than to close a new sale, the same percentage indicate an increase in customer turnover, compared to 52% in a survey conducted the previous year.
This information and more has been revealed in a new study by SugarCRM, based on a survey of 1,600 sales and marketing professionals worldwide, including 400 in Australia. The results highlight the organizational turbulence throughout the customer journey while highlighting the inadequacies of traditional CRM solutions that are not specifically designed to meet the realities of today’s post-pandemic customer experience.
Despite the cost of churn, 61% of Australian businesses surveyed admit they don’t understand the reasons for churn and 63% struggle to effectively quantify and track churn rates. This “great customer resignation” — yet another challenge for brands battling an onslaught of forces including supply chain disruption and employment challenges — threatens the future of businesses everywhere. sectors around the world.
More than three-quarters of Australian respondents suspect customers leave because of poor customer service or experience. This is likely why 78% of Australian respondents said they needed to do more to improve customer trust in their brand/organization and why 76% highlighted the need to act on customer feedback to improve customer service and experience.
Organizations need effective CRM strategies to combat customer churn and ensure greater sales and marketing synergy and assurance. However, 68% of Australian respondents say their CRM system wastes them time and money, while 71% say their current CRM system cannot be properly customized to meet their specific needs. CRM difficulties are highest in Australia, compared to 46% of US respondents and 56% of UK respondents.
“Tackling customer churn in the post-pandemic rebuild is a mission-critical activity,” said Jason du Preez, SVP Asia Pacific, SugarCRM. “Australian organizations need to be more customer-centric and use technology to optimize and personalize customer engagement. Unfortunately, many companies will fail to address these issues without leveraging AI specifically designed to solve customer engagement issues. Marketing and Sales Australian businesses need a CRM platform that connects marketing, sales and service with a comprehensive, real-time customer view.
“To thrive, Australian businesses need to understand the current and future needs of their customers and eliminate any friction points in the customer journey. They need to equip their employees with technology that can help them delight their customers and deliver a great customer experience. »
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