Qualtrics Launches Digital Experience Metrics, Allowing Companies to Tie Customer Sentiment Directly to Their Bottom Line

Rhea-AI Summary

Qualtrics (NASDAQ: XM) has launched Digital Experience Metrics (DX Metrics), a framework to measure the impact of customers’ digital experiences on spending. Research indicates that enhanced customer satisfaction can lead to a 37% increase in spending, while reducing task effort can yield a 23% increase. DX Metrics offers businesses a way to benchmark their performance against industry standards, improving customer relationships and revenue potential. The tool will be available in Q2 2022.

Positive

• Launch of Digital Experience Metrics (DX Metrics) to measure customer digital experiences.
• Research shows a potential 37% increase in spending with improved customer satisfaction.
• Reduction in effort for online tasks can lead to a 23% increase in spending.
• DX Metrics allows benchmarking against industry standards, enhancing visibility into performance.

Negative

• None.

Companies can now use Qualtrics to quantify the financial impact of customers’ digital experiences and compare them to others in their industry

As customer sentiment improves, customers spend up to 37% more on a purchase, Qualtrics research shows

PROVO, Utah & SEATTLE--(BUSINESS WIRE)-- Qualtrics (Nasdaq: XM), the leader and creator of the experience management (XM) category, is launching Digital Experience Metrics (DX Metrics), a simple, science-backed framework designed to measure how a customer’s digital experience across an organization’s website, mobile apps, digital marketing, and social channels impacts how much they spend.

Qualtrics XM Institute research: Poor customer satisfaction, effort and success scores lead to a loss in revenue. (Graphic: Qualtrics)

As customers increasingly interact with companies through digital channels, businesses need a new approach to building deeper customer relationships by measuring how each customer feels about their digital experience and understanding where to take action. While online channels are inherently transactional, customers are more likely to come back when the experience is effortless and evokes a positive emotion.

DX Metrics, built into Qualtrics CustomerXM, includes a set of scientifically validated questions that measure three key aspects of any digital experience: emotion (measured by customer satisfaction), effort (measured by how easy or difficult was it to complete a task) and success (measured by task completion). New Qualtrics research, embedded and available within the DX Metrics, shows that increasing a customer’s satisfaction score can increase their spending by up to 37%. Reducing the effort required to complete a task online can lead to a 23% increase in their spending.

This validated approach to measuring the three core aspects of the digital experience helps companies benchmark and compare their metrics against similar organizations in their industry, giving brands better visibility into their performance and opportunities to increase revenue. It also includes dashboard templates and recommendations to help marketing and product leaders understand how certain factors, such as the account creation process or web checkout user experience improvements, impact customer sentiment the most, and which actions they can take to improve each factor.

“Creating great experiences, even in traditionally impersonal digital channels, is a critical differentiator for every business today,” said Brad Anderson, president of products and services at Qualtrics. “Digital Experience Metrics connect customer sentiment to financial impact, helping organizations understand how investing in better digital experiences based on individual feedback can impact their bottom line.”

According to Qualtrics research, the industries with the most room for improvement include automotive, healthcare and hospitality. The table above outlines the average expected revenue lost from digital channels, sorted by industry, that could be recovered by improving the digital experience with things like better UX and personalized content and customer journeys.

Creating personalized experiences based on digital insights

The data gathered in DX Metrics flows into Qualtrics Experience ID, a single, unified view of the preferences people are sharing with a brand. Experience ID organizes these insights into unique individual profiles that provide a 360-degree view of each customer’s expectations and interactions with a company, allowing brands to deliver personalized experiences over time, at scale.

For more information about Digital Experience Metrics, please visit the Qualtrics Blog.

Availability

Digital Experience Metrics will be generally available in product in Q2 2022.

Methodology

Qualtrics XM Institute conducted digital customer research in the fourth quarter of 2019, 2020 and 2021. Respondents were selected from a randomized panel and asked to rate certain website experiences that had taken place in the last 30 days with 150 companies in 15 commerce-focused industries. Respondents were considered eligible if they live in the United States and were at least 18 years of age. The total number of respondents was 50,000.

About Qualtrics

Qualtrics, the leader and creator of the Experience Management (XM) category, is changing the way organizations manage and improve the four core experiences of business—customer, employee, product and brand. Over 16,750 organizations around the world use Qualtrics to listen, understand and take action on experience data (X-data™)—the beliefs, emotions and intentions that tell you why things are happening, and what to do about it. The Qualtrics XM Platform™ is a system of action that helps businesses attract customers who stay longer and buy more, engage employees who build a positive culture, develop breakthrough products people love and build a brand people are passionate about. To learn more, please visit qualtrics.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20220317005243/en/

Tyler Petersen

press@qualtrics.com

Source: Qualtrics

FAQ

What is Digital Experience Metrics from Qualtrics?

Digital Experience Metrics (DX Metrics) is a framework launched by Qualtrics to measure the impact of digital experiences on customer spending.

How much can improved customer satisfaction increase spending for Qualtrics clients?

Qualtrics research indicates that improved customer satisfaction can lead to a 37% increase in spending.

When will Digital Experience Metrics be available?

Digital Experience Metrics is expected to be generally available in Q2 2022.

What are the three key aspects measured by DX Metrics?

DX Metrics measures emotion (customer satisfaction), effort (ease of task completion), and success (task completion rate).

What industries can benefit most from Qualtrics' DX Metrics?

Industries such as automotive, healthcare, and hospitality show significant room for improvement in digital experiences.