Indian businesses hold $200bn potential through enhanced customer experience: Report

Indian companies stand to unlock a staggering $200 billion in additional value by adopting and implementing effective Customer Experience (CX) strategies, a recent report by KPMG India has revealed.

Titled "Mastering Intentional Experiences – India CX Report," this comprehensive study sheds light on how leading brands have successfully nurtured intentional customer experiences, spanning sectors like retail, financial services, travel, telecom, and utility.

The report is built on the foundation of insights gleaned from an extensive primary survey involving more than 5,000 Indian consumers. Its primary objective is to acknowledge and applaud organizations that have excelled in providing superlative customer experiences. It scrutinizes how Indian enterprises are adapting to the evolving landscape of consumer expectations, greatly influenced by global events, and underscores the immense potential for Indian companies to augment their value by $200 billion through the adept deployment of CX strategies.

The research isn't confined to the Indian subcontinent alone; it extends globally, encompassing 25 markets and benchmarking leading brands on their CX performance.

Key findings from the report underscore India's prowess in delivering exceptional customer experiences through well-defined tools and methodologies. India surpasses the global average in Customer Experience Excellence (CEE) scores, with an emphasis on personalized experiences and the effective fulfillment of customer expectations. Notably, many of the surveyed brands have raised the bar by enhancing their CEE scores, with an average increase of 5%, primarily attributed to improvements in the expectations pillar, averaging a 7% rise.

Within the different sectors examined, the retail sector takes the spotlight, boasting an impressive CEE metric of 8.33. This sector showcases a robust loyalty score, minimal customer churn, and a willingness among consumers to pay more due to perceived value. Notably, consumers in the retail sector exhibit the highest loyalty score at 8.45, while the logistics sector lags slightly behind with a score of 8.09. The report casts a spotlight on key brands in the retail sector, such as Nike, Puma, Kalyan Jewellers, Crossword, and Sketchers.

Manuj Ohri, Partner, Business Consulting at KPMG India, emphasized, "It is imperative for businesses to recognize and appreciate that customer experience is much beyond transactional. In the Indian market, leading companies and brands have recognized customer experience as imperative to sustained value creation. Personalization has emerged as a key pillar to drive customer loyalty."

He further added, "Focusing on customer needs and experience will be necessary for brands to stay relevant in the current scenario and to make consumers their biggest advocates."

The report also spotlights a select group of brands that have made substantial strides in their CEE ranking, identified as the "movers and shakers." This list includes ICICI Prudential Life Insurance, Airtel, Hotstar, Crossword, and HDFC Standard Life Insurance.

In conclusion, KPMG's report serves as a compelling testament to the immense potential lying within Indian businesses' grasp, beckoning them to harness the power of enhanced customer experiences and unlock a remarkable $200 billion in additional value. As businesses across sectors continue to innovate and prioritize customer-centric strategies, the landscape of Indian commerce is poised for a transformation that promises enduring growth and prosperity.